The town of Pompey's Pillar was founded in 1907 and was named after and situated less than a mile east of Pompey's Pillar National Monument, a 150 ft. tall sedimentary rock formation best known for William Clark's inscription of his name and the date July 25, 1806 on its surface. The site also has significant evidence of human activity spanning an estimated 11,000 years.
A Catholic church and a Union Congregational church once existed in Pompey's Pillar. The Northern Pacific Railroad connected the town to Billings, about 29 miles southwest. A post office currently operates in the community.
Pompey's Pillar National Monument was created in 2001 and placed under the jurisdiction of the Bureau of Land Management. In 2006 a new visitor's center and museum complex opened, coinciding with the bicentennial of the Lewis and Clark expedition. The site also has a small gift shop and other amenities.