Don Diego de la Viña shaped the beginnings of the municipality, “Valle hermoso” when he saw the beautiful valley.

The land or valley he saw a top the mountain ranges including Kanlaon (pa-unlakan as Bukidnons named) was the wilderness and flats called Bagawines.

However, de la Viña sought the tribal chief, named Ka Saniko and his wife Bella Hermoza a truck and bus barter and spotter (citation needed).

For lands on coastal Bagawines, de la Viña offered wondrous articles from Iloilo, such as fine canes, well-crafted bolos and colorful patadyongs.

De la Viña with a number of Bukidnons cleared the land and constructed his residence, a casa tribunal and a chapel.

Endowed with a pioneering spirit he searched for a place where he could establish a residence and fulfill his dream to carve out fortune.

Dr. de la Viña regularly informed Don Diego of the latest development of the Republic government under Gen. Emilio Aguinaldo.

He became the judge of local conflicts and designed the improvements for the place (source Negros Historian Prof. Penn Tulabing.Villanueva Larena, MPA a descendant of the Hermoso/ Olladas/ Serion and Bernus Clan an old Spanish family of this Town).

During the depression years of the Sugar industry in the 1920s, a Spanish company named Tabacalera foreclosed haciendas which could not pay their credits.

"Upon the recommendation of the Provincial Board of Oriental Negros and the Secretary of the Interior, and pursuant to the provisions of section sixty-eight of the Revised Administrative Code, the twenty-four municipalities of the Province of Oriental Negros, as established by section thirty-eight of the Revised Administrative Code, are hereby increased to twenty-five, by segregating from the municipality of Vallehermoso the barrios of Panubigan, Linothangan, Masolog, and Budlasan with all the sitios composing these barrios, and the sitio of Lucap of the barrio of Malaiba, and organizing the same into an independent municipality under the name of Canlaon, with the seat of government in the sitio of Mabigo, barrio of Panubigan.

"[6] On June 3, 2014, Monsignor Patrick Daniel Y. Parcon was appointed as the Bishop-elect of the Roman Catholic Diocese of Talibon, Bohol.

People in Vallehermoso are mostly farmers and fishermen while the minorities are average earners dependent upon the employment opportunities yielded by the government and the business sector.

Ingenious materials such as broomsticks, bags and fashion accessories are also being made by the town's people as another source of income.