Though the City and Town Hall's construction occurred in 1884, its history began 18 years earlier, in 1866. That year, the Flagg Township levied a township tax totaling US$3,000 for the purpose of constructing a township building. The project was to be a joint venture between Flagg Township and the city of Rochelle; the city was to provide an additional $3,000 to finance construction. Disagreements over the project eventually led to the city of Rochelle's refusal to pay its share and, thus, construction was delayed indefinitely. The city specifically objected to the cost of the structure the township wanted. In 1869 the township purchased two more lots adjacent the future site of City and Town Hall; the total cost for the two lots was $2,000.