In the late 1950's a group of local citizens saw a great need for improved healthcare services in El Dorado County. The citizens formed a committee to petition the state of California for a nonprofit charter under which a hospital could be built and operated. As a result of this, plans were drawn, funds were solicited, Michigan California lumber company donated land for a hospital site, and Marshall Hospital opened its doors in 1959. A group of 10 dedicated employees worked hard to make the original 30 bed hospital a success. Marshall Hospital derives its name from the pioneer James Marshall, who discovered gold at Sutter’s Mill a few miles north of Placerville.