The End of the Experiment

In 1950, Frederick Weyerhaeuser convinced Potlatch's directors to seriously investigate the possibility of selling the town. He continued to push the idea until the company finalized its decision to sell a year later. He insisted that the company not simply pull out without planning for the town's future; he wanted to ensure that the transition from company town to incorporated village went as smoothly as possible.

By early 1952 several employees were working on various aspects of the sale. At that time the company owned 267 houses, two apartments, thirteen business buildings, and two churches. In the fall of that year the company sent letters to all Potlatch residents announcing that it planned to sell its townsite and offering current tenants first option to purchase the places they occupied.

Simultaneously with the sale of houses and commercial buildings, other arrangements were made for transforming Potlatch from a company town into an incorporated village. The company donated St. Mary's Catholic Church to parishioners and also gave the lot on which the Lutheran Church stood to that congregation. In the following year the company donated land on Nob Hill for a new Presbyterian Church, and also built its basement and foundation. Potlatch also donated the library, fire hall, and a fire truck to the community. Finally, a pine grove at the edge of town was deeded as a city park.

In late 1952 Potlatch officially became known as the Village of Potlatch, governed temporarily by a five member board of trustees appointed by Latah County's commissioners. In April 1953 town residents were informed that they were eligible to vote in an upcoming election for city council. It was the first time any Potlatch resident had voted in an election affecting the community's government.

Potlatch remained a single industry community heavily dominated by the company and was, therefore, still atypical of most small towns. But in many ways it now functioned like communities elsewhere. By 1960 Potlatch's population had stabilized at 880 people, and Potlatch entered its fifty-first year in 1957 as a completely self-governed community. For nearly fifty years the company had seen to every need of the community. When Potlatch decided to end its town experiment it did not pull out quickly and cause a leadership and economic void. In an effort to seek greater profits and eliminate inefficient operations, the directors had voted to divest themselves of their community. To their credit, they undertook such divestiture in a way which benefited most town residents.