Located in the northeastern part of Illinois and is in the Kane and Cook counties. The city is bounded on the northwest by downtown Chicago. The early inhabitants of the town were the Potawatomi Indians when it was discovered by a settler from New York. When the dam was constructed in 1838, it gave way to the rise of several mills. And following the arrival of the railway link, the city rapidly became a center for dairy-production; however, it started to decline by the 1920s. At present, casino gambling, health care, and financial services are important economic activities to Elgin, which also includes manufacturers for several other industries. Elgin is also the site of Elgin Academy, Judson University, and Elgin Community College.