The possibilities of irrigated agriculture and speculative land sales in the Manson area were recognized by in the early 1900's. The Wapato Irrigation Company was incorporated on April 21, 1906 with the purpose of developing an irrigation works for commercial uses together with buying and selling the adjacent lands. Between 1906 and 1911 the Wapato Irrigation Company had purchased 1,351 acres of land from Wapato Allottee Indians and had filed for water rights on 12 creeks and lakes. They had hired engineers and constructed about 6 miles of main distribution canal from the reservoir now known as Wapato Lake.

On February 10, 1910 the assets of the Wapato Irrigation Company were purchased by the Lake Chelan Land Company. On June 9, 1911 the Lake Chelan Land Company conveyed the water rights and all the irrigation works to the Lake Chelan Water Company to handle all matters pertaining to its construction and operation. The Lake Chelan Land Company could then confine its activities wholly to the acquisition and sale of irrigable lands.

By 1916 the two companies were both extended to the utmost financially. The Lake Chelan Irrigation District was formed in 1917 for the expressed purpose of acquiring the irrigation works from the Lake Chelan Water Company. The two organizations were unable to come to terms due the bankruptcy litigation of the Lake Chelan Land Company. The Lake Chelan Irrigation District was subsequently dissolved in February of 1919.

The Lake Chelan Reclamation District began its organization in October 1919 and eventually acquired by deed the assets of the Lake Chelan Water Company. The District was adjudged organized on May 1, 1920 and embraced approximately 6,860 acres of which 4,359 were classed as irrigable. Approximately 1,198 of those acres were being irrigated at the time. The assets included a 14 mile collection system from Big Grade Creek to Antilon Reservoir. Antilon Reservoir had a storage capacity of 1130 acre feet. Assets also included a partially completed distribution system and the Wapato Lake Reservoir.

During the years from 1920 to 1940 the Lake Chelan Reclamation District accumulated considerable debt to expand and complete the system. The District had to overcome periods of drought and the necessity to rebuild sections destroyed by fire. Heavy reliance was placed on Washington State's Reclamation Revolving Fund during these years and at one point the debt reached approximately $500,000. Repayment was begun in the early 1940's and continued until 1961 when the final payment was made to the state.

In 1955 the US Bureau of Reclamation was asked to investigate the expansion and rehabilitation of the District. Studies between 1956 and 1960 investigated options of rehabilitating the gravity collection and distribution systems together with enlarging Antilon Lake to a capacity of 9,000 acre feet. The expanded system would serve up to 5,770 acres as compared to presently served acres totaling 4,365.

The application to be part of the Chief Joseph Dam Irrigation project was authorized by Congress in 1966. New studies evaluated the feasibility of rebuilding the system through pumping and storage facilities from Lake Chelan. In June of 1969 the first appropriation for construction was approved by Congress for the pumping and storage facilities alternative. The total project cost for the system was $18,778,000 with completion occurring in 1975. The system includes 73 miles of pipelines in the distribution system together with 10 miles of drains, 13 pumping plants and 13 reservoirs. A total area of 6,336 acres is served by the system.