In the early farming days in the district, boundary riders were stationed on the land on what later became the Borough Huts Settlement.
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A small out station was built there with a small fenced in paddock and sheep drafting yards.
The boundary riders lived in about six huts built of poles with bark walls and roofs.
The huts were small and simple, yet they also served to accommodate visiting dignitaries especially in the pre-guesthouse days.
One of the more distinguished visitors to stay at the Borough was the Governor of Victoria, Lord Carmichael in 1909.
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There are no definite dates as to when the original Borough Huts were first erected but it is known that the area known as the Borough Settlement which was used for habitation and activity well before the 1870s.
By the end of the century the Borough Huts were a small township and was then known as Upper Halls Gap.
After the 1870s the Borough Huts became associated with the development of Stawell's water supply system.
Right from its founding with the 1850s gold rushes, Stawell had been agitating for a good water supply for drinking, washing and for mining needs, but it was not until the 1870s that these hopes were realized.
A weir was built on Fyans Creek where the creek came down from Mt William. The water flowed along of 12kms of fluming, then through a one km long tunnel under the Mt William range and finally along a 24 km long siphon pipeline to Stawell where it was stored in reservoirs on Big Hill.
The Stawell Water Supply took seven years to develop and was completed in 1881.
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During the construction, the settlement at Borough Huts developed further to service the project.
The settlement also serviced several local sawmills including Sandersons Saw Mill, three miles from the Huts and the large number of bullock drivers who passed through.
The huts were situated about half way between the weir and the Western end of the tunnel.
The settlement included a large store, a butcher and a baker who called twice weekly, and the mail arrived weekly by horse back from Fyans Creek.
A school existed for six years at nearby Burnt Ridge for the education of the children of the workers at the Borough Huts.
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After the water supply project had been completed most of the inhabitants of the Borough left and very few families remained.
A fluming ranger stayed on and lived in one of the huts and was employed to check and maintain the waterway.
In the 1939 bushfires, the buildings were miraculously saved when flames came within yards of destroying them.
The Borough is now a popular picnic and camping area 10km southeast of Halls Gap but there remains little evidence of a once thriving community.