Its founding members were the Collingwood Shipbuilders, the Port Elgin Sunocos, the Owen Sound Greys and the Orangeville Cougars.
Port Elgin had been part of the OHA Intermediate C loop and Owen Sound was returning to the ice after a one-year hiatus caused by the 1977 collapse of the Southern Ontario Junior A Hockey League.
Collingwood was the first regular season champion, finishing first with a 30-7-0 record, but Port Elgin won the inaugural playoff championship.
The Georgian Bay league played an interlocking schedule with the five teams of the Niagara District Intermediate A Hockey League—the Georgetown Raiders, the Dundas Merchants, the Thorold Athletics, Port Colborne and Fort Erie.
Collingwood was second, Orillia was fourth, Barrie was fifth, Port Elgin dropped to sixth and Owen Sound finished seventh.
The same seven teams returned in 1981–82, although Port Elgin changed its nickname to the Suns, and Georgetown and Collingwood again captured the top two places in the standings.
Georgetown swept the playoffs, beating the Shipbuilders 4-0 in the final, and went on to win the Hardy Cup as Canadian champions.
The litmus test in question was the Northern Ontario Hockey Association's only Intermediate team, the Timmins Northstars.