The town was named for Louis Palm, a Swedish settler.

As of the census[1] of 2000, there were 55 people, 19 households, and 14 families residing in the township.

The racial makeup of the township was 94.55% White, 1.82% Asian, and 3.64% from two or more races.

21.1% of all households were made up of individuals, and 15.8% had someone living alone who was 65 years of age or older.

There were 20.0% of families and 10.4% of the population living below the poverty line, including 16.7% of under eighteens and none of those over 64.