In June 1885, the Educational Board of General Baptists organized and then gained a charter from the state of Indiana to operate a college at Oakland City.

However, because of a lack of funds, the first building, a two-story brick structure housing the administration and classrooms, was not complete until 1891—the same year Oakland City College opened its doors for classes.

Beside the normal, liberal arts and theological school, the college had added a large industrial and agricultural department to respond to the vocational needs of the rural area it served.

The end of World War II and the GI Bill saw a resurgence in enrollment and, by the mid-1960s, the "college on the hill" experienced an upswing comparable to the 1920s.

The sponsoring denomination, the General Baptists, made a successful effort to raise funds to keep the school open and hired James Murray as the college president.

[1] They are also a member of the National Christian College Athletic Association (NCCAA), primarily competing as an independent in the Mid-East Region of the Division I level.