The Town of Deer Trail, population 598, is a statutory town governed by a Town Board consisting of a Mayor and six Trustees.  The Town has two full-time employees.

On January 5, 1920, Deer Trail held an election to incorporate the Town.  All residents and property owners were entitled to vote.  The turnout was small, with 44 votes cast, all in favor of incorporation.  A Certificate of Incorporation was filed with the Secretary of State of the state of Colorado on February 3, 1920.

The Town's first election to choose a Mayor and six Council Members was conducted on April 6, 1920.  The election was a victory for the Citizen's Party with Mayor S. Guy Morrow, and Council Members John J. Barta, A.M. Sniff, S.R. Hutchens, A.J. Cummins, Bert Davis, and T.H. Woberman being elected.  The losing People's Party offered mayoral candidate William Kingsbury and Council hopefuls A.R. Sapp, Charles Fremont, Fred Baker, William Coeur, W.W. Norris, and I.J. Martin.

Deer Trail holds a municipal election in April of even-numbered years.