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Prior to the California Gold Rush of 1848 anthropologists agree that the first inhabitants of Pinecrest were the early bands of Me-Wuk Indians. History shows that the area which is now Pinecrest was used by the Me-Wuks as a trading ground. Scattered throughout the forest you can still find evidence of ancient grinding rocks used by the Me-Wuks in areas assumed to be their campsites. As the Gold Rush began the Me-Wuks were treated poorly by the early settlers; leading to the diminishing numbers of Me-Wuk Indians. Over time miners and settlers began searching for new opportunities. Soon, logging became a major industry in the area. With logging came the development of many foothill towns. Water was vital to the survival of these towns. Many lakes, such as Pinecrest were developed in order to sell and provide water to the foothill towns. Pinecrest Lake sits in what was once a meadow surrounded by granite outcroppings. Originally, Pinecrest Lake was called Strawberry Flat because of the wild strawberries that once grew there. In the 1960's the name was officially changed to Pinecrest. Pinecrest Lake is the last in a series of dams constructed on the South Fork of the Stanislaus River. In the beginning the purpose was to divert water via ditches and flumes to the mining claims and towns in and around Columbia and the foothills. Much of this aqueduct system remains intact today and is still used as a portion of the main water system for the surrounding area. A large part of the aqueduct in the forest was built with wooden flumes, builders carried portable sawmills into the forest to mill the trees into boards in order to construct the flumes.