The original county seat of Carroll County was the village of Carrollton. The first courthouse was completed in 1865 for a cost of about $3,000. Then the county seat was moved to Carroll City and court was set up in the former railroad depot. In 1869, for the sum of one dollar, the railroad sold to the county the square upon which a $4,000 courthouse was erected. In 1886, this structure was damaged by a fire and could not be used.
In 1887, a beautiful, Victorian stone building was built, complete with cupola and clock. The old building was demolished in 1965 and a modern brick facility was constructed for approximately $750,000. The bell from the 1887 courthouse was preserved and is displayed on the current courthouse grounds.