Founded in 1823, Hillsboro developed around abundant natural resources, especially an eight-foot coal vein beneath the town, and coal from Hillsboro, nearby Taylor Springs, and Kortkamp was used mainly locally to fuel two of the world's largest zinc oxide manufacturing plants. Nearby Schram City became known for a glass factory that produced jars and bottles, and this manufacturing diversity created broad employment opportunities that shielded Hillsboro from much of the labor unrest affecting other coal towns in Central Illinois. Hillsboro prospered as residents supported the arts, built a vibrant cultural life, and invested heavily in education and public services such as parks and a superb library. The Illinois Traction System Electric Railway connected Hillsboro with St. Louis, Peoria, Champaign, and many other towns, and the city's prosperity appeared in fine homes, impressive civic buildings, and a notable opera house that remain visible today. In 2023, the Smithsonian Institution included Hillsboro in its Spark! program in recognition of the city's historically significant contributions to industrial innovation, while Old Settlers' Days reflects Hillsboro's embrace of both tradition and change.