Anacortes was officially incorporated on 19 May 1891.
First known as Ship Harbor, Anacortes was established with a name and a post office in 1879 in the vain hope that it would be selected as the western terminus of the transcontinental railroad. The town was officially incorporated in 1891 shortly after the railroad bust, and became a lumber and fishing center. In the 1950s oil companies built big refineries near town. Two of the five refineries in Washington are located near the town. One is owned and operated by Tesoro (originally built and owned by Shell Oil), the other is owned and operated by Shell Puget Sound Refinery Company (originally built and owned by Texaco). Refining remains the area's largest industry, but the economic base now includes yacht construction/shipbuilding, tourism, and residential services for the nearby Whidbey Island Naval Air Station
