Millwood State Park occupies the southern shore of Millwood Lake in southwestern Arkansas near Ashdown. The lake, created in 1966 on the Little River and held by Arkansas's longest earthen dam of its type, became known for its broad shallow waters, standing timber, wildlife habitat, and especially bass fishing. The park began as Cypress Slough, one of several shoreline recreation areas developed by the U.S. Army Corps of Engineers, and on April 1, 1976, the site was leased to Arkansas's State Parks Division and became Millwood State Park. Its growth reflected the Little River basin lakes' role in Red River flood control and continued federal-state investment.