Delta Junction was incorporated as a municipality in 1960. Oil was discovered in the North Slope of Alaska in 1968. In 1974 construction began on the pipeline to transport the oil from the North Slope to Valdez. The pipeline construction also aided the economy of the area. Delta Junction experienced a temporary boom similar to the gold rush that resulted in a wave of new residents and businesses in the community. Cost of living during this period was well above the national average due to transportation costs as well as gouging. Prostitution and bars flourished — as did churches and religious communes.
In the late 1970s and early 1980s, the Tanana Valley was designated as a potential agricultural area for Alaska. The state of Alaska then made large tracts of land available to future farmers for purchase. Significant was establishment of the "Barley Project" east of the city. Plans were made to grow barley, ship it to Valdez via a future rail terminal, and from there ship it overseas to Asia. Though farms were established and a storage facility constructed in Valdez, the railroad never came, essentially resulting in the failure of the project. Political pressure and growing costs resulted in the project being defunded upon change in governors. Today, these original farms are primarily used as pasture or for hay production though barley,
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