Vote to incorporate was held October 27, 1981. It carried 47 to 33 and the following officers were appointed by the County Commissioners.
Mayor: James Johnson
Auditor: Joan Heckaman
Council Members: Marie Pfeifer, Joyce Topp, Alice Scanson, Marilyn Bucholz.
First election to be held April 6, 1982
Grace City again has a bank, a branch of the Farmers State Bank of Carrington, which opened its doors January 11, 1982 with Sharon (Mrs. Morgan) Davis in charge.
Source: A History of Foster County 1983 Page 319