The Atchison, Topeka and Santa Fe railroad established a railway line about eight miles southwest of Coleman in 1904. The town of Valera developed in the area around the train depot. Its business district, established parallel to the railroad, reflected the needs of its citizens. Businesses included a post office, a hotel, a bank, a flour mill, a cotton gin, an opera house, grocery stores, a blacksmith shop, a cafe and a water well in the middle of the street.
Recognizing the need for a community cemetery, Mrs. Minnie K. Harris deeded more than five acres of land in 1922. One of two cemeteries serving the community, it contains more than 300 marked graves, and at least five unmarked graves. The first recorded burial was that of Mrs. N.C. Kidwell in 1922.
Many prominent citizens of the area are buried here, including Dr. H.H. Mitchell (1866-1927) who came to Valera in 1905. The only doctor in town, Dr. Mitchell helped establish the first school, was a deacon in the Baptist church and president of the First State Bank. Also buried here is local law enforcement officer Richard A. Pauly. The cemetery contains burials of veterans from the Spanish American War, World War I, World War II, and the Korean War.