Long before European settlement, the Nooksack River valley and surrounding areas were inhabited by the Coast Salish peoples, primarily the ancestors of the Nooksack Indian Tribe and the Lummi Nation. These indigenous communities utilized the river for transportation and relied on the region's abundant salmon, wildlife, and native plants.
European-American settlement began in the late 1850s. The town was originally named "Jam" due to a massive logjam on the Nooksack River that required travelers to portage around it. The logjam was eventually cleared in the 1870s by settlers and indigenous people. In 1872, the town's first schoolteacher, Flora Rogers, reportedly suggested the name "Ferndale" after admiring the abundant ferns growing around the original schoolhouse.
Ferndale was officially incorporated on August 28, 1907. For much of the 19th and early 20th centuries, the local economy was dominated by timber and agriculture, particularly dairy and berry farming. Following World War II, the establishment of the Cherry Point industrial area just west of the city brought oil refineries and an aluminum smelter, transforming the regional economy and bringing steady industrial jobs.
Today, Ferndale retains its historic roots, most notably through Pioneer Park, which was established in the early 20th century by the Old Settlers Association. The city continues to grow, transitioning from a quiet agricultural town into a bustling suburban and commercial center.