Headed by a sarpanch, its gram panchayat is divided into three parts: Bahirwali No.

In the 15th century, Baharwali was likely inhabited during the rule of Sultan Yusuf Adil Shah in Konkan.

Baharwali's first settlement, called Diva, was on an island located at the centre of the Jugburi River.

As the population grew, people started moving to the mainland opposite the island.

Hanuman Jayanti, Mahashiv Ratri (Someshwar Temple – Bhaganewadi, Bahirawali), Ganesh Utsav, and Shimoga (Holi) are also celebrated.