The Watertown Fire District was formed in March of 1900 when a group of residents and business owners established the District for the purpose of providing fire protection to the central part of the Town of Watertown. In 1913 a Special Act of the Connecticut Legislature established the Fire District as an organization similar to municipalities within the State. Since these early beginnings the District has grown both in geographic area and in services provided.
In 1917 the District purchased the Watertown Water Company. The Water Company consisted of one small reservoir in Bethlehem and about 12.5 miles of pipe. In 1958 a much larger reservoir was built in Bethlehem and today this reservoir helps to replenish groundwater around the District's nine wells in Woodbury that make up the current source of drinking water for District residents.