The early 1800s saw the settlement of four families on the land now known as Shelby.  In 1823, James Gamble build the first industry, a grist mill that served the area for grinding one of its main products—corn.  For this reason, the settlement was originally known as Gamble’s Mill.  In 1836, the name of the village was officially changed from Gamble’s Mill to Shelby in honor of General Isaac Shelby who served with distinction in the Revolutionary War and was later elected the first governor of Kentucky.