The City of Mountain Home Arkansas first incorporated on July 2, 1888. The incorporation was passed by ordinance and was signed by Mayor W. Brooks and Recorder J.R. Luther. Mountain Home became the Baxter County seat in 1873. Mountain Home was actually not the biggest city in the area at the time. The City of Cotter saw a higher volume of population because of the Missouri-Pacific Railroad. This all changed in the early 40's and 50's when construction began on the Bull Shoals and Norfork Dam's. Many of the workers constructing the Dam's built houses in Mountain Home because the city served as a neutral location between the two.