Chipper was built as a civilian motorboat of the same name in 1913 by the New York Yacht, Launch and Engine Company at Morris Heights in the Bronx, New York.

The U.S. Navy leased her on 15 June 1917 from her owner, C. Wetherill of Erika, Virginia, for World War I service as a patrol vessel.

She was commissioned about six weeks later, in late July 1917, as USS Chipper (SP-256).

Chipper spent the rest of World War I on section patrol duty along the United States East Coast.

Chipper should not be confused with another patrol vessel and ferryboat, USS Chipper (SP-1049), which also was in commission in the U.S. Navy during World War I.