According to the United States Census Bureau, the city has a total area of 3.5 square miles (9.2 km2), all land.

Monroe is bordered by mountains on the east and south, and farmers' fields to the west and north.

Monroe is home to naturally occurring hot springs with travertine deposits, a result of the Monroe-Red Hill geothermal system found along the Sevier fault.

[5] On the east side of town, hot water surfaces at a temperature of 168 °F and a rate of about 200 gallons per minute.

This small group included George Wilson, his son David, and two others who were seeking to settle in this valley.

They spent the first year building small homes and dugouts, along with clearing space for fields and pastures.

[7] In April 1865, the Black Hawk War broke out between local Native Americans and the Settlers of both the Sevier and Sanpete counties.

[7] Alma had been settled in the middle of the Native Americans’ hunting grounds and as a result they started to go hungry.

During the war Native Americans were constantly trying to steal the Settler's stock for food, and they were successful during several raids.

An attempt to resettle Alma was made during 1868, but the Settlers ran into Native Americans near Cedar Ridge (now Vermillion, Utah) and a battle ensued.

[8] In 1882, Thomas Cooper and his wife homesteaded the area on the east side of town where hot springs water emerged.

School-age children are traditionally bused from the neighboring towns of Central Valley, Annabella, Elsinore, Joseph, and Sevier to Monroe to attend school.

Over 50 Latter-Day Saint churchgoers were reported to be sickened from carbon monoxide poisoning at the LDS Monroe East chapel of the Church of Jesus Christ of Latter Day Saints in Sevier County, Utah, on December 31, 2023, New Year's Eve, as reported by the Sevier County Sheriff’s office.

It was determined that the heating system malfunctioned, causing a release of carbon monoxide into the chapel, where services were being held.

Members who re-entered the building continued to experience poisoning symptoms and were transported for medical care.