The project lands have been farmed since the 1840s, but irrigation was difficult due to the lack of a reliable summer water supply.

By the 1860s the rancho had been subdivided into many smaller parcels; before damming, the valley was one of California's most fertile agricultural regions, centering on the town of Monticello, with roughly 250 residents.

[10] Land purchases in the future reservoir area were made in early 1953; however, landowners were allowed to stay throughout the construction period until their property was actually flooded by rising lake levels.

[10] Opponents of the big dam proposed that a series of smaller reservoirs be constructed to supply the water, but this was deemed uneconomical.

Despite major flooding between January and May 1956, more than 90 percent of the concrete had been laid by December 1956, and the dam was topped out on November 7, 1957, at a total cost of about $37 million.

[8] The reservoir completely inundated Monticello (though the city's ruins are visible at low water levels), and flooded 20,700 acres (8,400 ha) of the surrounding Berryessa Valley.

The Bureau of Reclamation operates five recreational areas around the lake, providing boat ramps and day-use facilities.

The reduction in tourism has caused economic collapse of the surrounding area; as a result many residents have moved away, unable to keep up with the increase in utilities from the closure of the resorts.

After a number of storms had caused the lake level to rise 35.5 inches (90 cm) since January 1, 2017, the reservoir was on the cusp of spilling once again at 439.2 feet (133.9 m).

[17] Eager to witness this event, a number of local boaters and recreation enthusiasts generated enough wake to cause the reservoir to spill, albeit briefly, at 1:45 p.m. on February 13, 2017.

Lake Berryessa reservoir filled and ran into its glory hole spillway for the first time in over a decade on February 16, 2017, at approximately 3:00 p.m. PST .

Emily Schwalen of Davis died after being caught in the current while swimming near the Glory Hole and being swept down the pipe, after holding on to the rim for about 20 minutes.

A comparison of the creek before and after the project showed ground water was recharged less, sandbars were deteriorated, and bed level lowering in channel decreased the population dynamics of cottonwood and willow.