The first incorporated village in the state,[6] the community was founded by Agoston Haraszthy and his business partner, Robert Bryant in the 1840s.

[8] In 1852, German immigrants founded the Sauk City Free Congregation (Freie Gemeinde).

This group, a liberal religious society, celebrated German music, literature, and culture.

It met in a private home until 1884, when Park Hall was built as a meeting house.

The building is now home to the Sauk County Free Congregation, a Unitarian Universalist fellowship.

The article cited a pageant, attended by 4000 people, which enacted scenes from the village's history, and concluded with the naming of the school principal as the Civic Secretary, charged with making the school the center of the life of the town.

[citation needed] In 2017, the Great Sauk State Trail opened on the former railroad line running through the city.

[citation needed] As of the census[4] of 2000, there were 3,109 residents, 1,285 households, and 796 families living in the village.

[citation needed] Sauk City is the site of the first Culver's restaurant, which opened July 18, 1984.

Culver's corporate headquarters are located in neighboring Prairie du Sac.

[citation needed] In 1939, Arkham House, a firm devoted to preserving in print the work of H. P. Lovecraft and other dark fantasists, was founded by August Derleth and Donald Wandrei in Sauk City, where the firm continues to be headquartered.

[citation needed] Sauk City is adjacent to Prairie du Sac, located directly to the north.

Efforts have been made to join the two villages into a single entity, Sauk Prairie, but these have failed because of tax differences between the communities.