The town takes its name from the neighboring Mokelumne River, which in turn is Miwok for the "people of Mokel," the likely name of a Native American village in the area.

Its population reached as high as 15,000 with people of all nationalities, particularly Americans, Frenchmen, Germans, Spaniards, Chileans, Mexicans, and Chinese.

Besides racial tensions, the easy gold attracted criminal elements, and the town gained a reputation as one of the bawdiest in the area.

The previous year the State Legislature had passed the Foreign Miners' Tax Act of 1850.

The Sheriff, also the Tax Collector, summoned a large posse to enforce the act, but the Frenchmen raised the French flag and proclaimed their independence.

This prompted the Governor to direct a battalion of militia, commanded by William D. Bradshaw, to suppress the revolt.

[7] According to the United States Census Bureau, the CDP has a total area of 3.1 square miles (8.0 km2), over 99% of it land.

There were 354 housing units at an average density of 114.9 per square mile (44.4/km2), of which 299 were occupied, 205 (68.6%) by the owners and 94 (31.4%) by renters.

[13] Federally, Mokelumne Hill is in California's 4th congressional district, represented by Democrat Mike Thompson.