In 1969, the Municipality of Anchorage acquired this parkland through the State Land Selection process. The Sand Lake Lions Club volunteered to take on development of the area as a club project. The club members felt the junk in the area would take at least a year to clean up, as the area had been abused by snow machine use in the past.

Lions Club members cleaned the area, brought in sand to create the beach area and built barbeque pits. They also installed lights for skating in the winter. In 1973, additional projects added new sand, a new volleyball court and playground equipment.

In 1975, Jewel Lake was the site of a simulated oil clean-up exercise. Later, the Dimond Girls’ Little League worked to upgrade the ball field area, and the Municipality added new play equipment, a multi-purpose field and an improved parking lot.