Situated about 2 miles upstream from Bonanza, Custer grew with the development of the rich quartz mines.

The Charles Dickens was the first big mine, and others nearby were the General Custer, the Lucky Boy, the Black Mine, and the Montana Mine.

With the defeat of General Custer in 1876 still fresh in their minds, the miners named the town in his honor.

The Custer mill started operating in 1881 and closed down in 1903, and at one time it had thirty stamps going.

A tramway was built up the mountainside behind the mill to carry down the ore. Unfortunatly the mill has been burned down and only the foundations remain.

Probably the main attraction at Custer is the McGown museum, housed in the old schoolhouse.

With the passing of Tuff McGown, the U. S. Forest Service has taken over the museum.