The group was initially formed in 2007 by 35 LGBT alumni of the Air Force Academy.
The organization continued to grow, and in November 2009 established a leadership structure to support the membership of over 200. The organization now comprises an unofficial "common interest group" among the U. S. Air Force Academy Alumni. The organization incorporated as a 501(c)(3) in the State of California in ¿¿July, 2007?.
On 5 November 2011, the organization held the first two organized gay events on the Air Force grounds when they held a pre-game tailgate at the USAFA stadium and held their second annual dinner in Doolittle Hall at the Academy.
The Blue Alliance provides a path for "reconnection" for the many GLBT USAFA alumni who have over time been disassociated from the U. S. Air Force Academy and the USAFA Association of Graduates because of their sexuality or gender identity. By maintaining visibility, the members of the organization become role models for current Cadets, parents and family of midshipmen and for other alumni serving in the fleet.
One of the more revealing facts from the Blue Alliance study was the that only one in six of those who enter the academy identify as LGBT at the time they enter. The remaining 83% re-identify as LGBT while at the academy, in the fleet, or as civilians after completion of their service.