The 1935 State Legislature designated Beaver Dam as a state park due to the insistence and support of local residents and state officials. Exceptional scenery and the recreational possibilities of Beaver Dam Wash were primary considerations in the park's designation. Camping facilities were constructed by the Civilian Conservation Corps (CCC) from 1934-36. No other improvements were made until August 1961 when the dam was completed, creating the reservoir that provides flood control and enhanced fishing opportunities.

Deep canyons, meandering streams, and diverse plant communities characterize the park's landscape. Volcanic rocks are

dominant and include extrusive pink rhyolite, dark red and grey andesites and white ash-fall tuffs. Vegetation varies from dense to sparse depending upon the microclimate, soil cover, topography, and other physical conditions. Dominant plants include pinion-juniper woodlands, ponderosa pines, sage brush, Gambel oak, willow and cottonwoods, and several varieties of cactus. The native wildlife at Beaver Dam is also diverse. Common animals include beaver (who actually build dams along the stream), mule deer, rabbits, bull frogs, a variety of birds, bats, rodents, lizards, and snakes. The Nevada Division of Wildlife stocks Schroeder Reservoir and the streams with rainbow trout. Desert suckers and golden shiner fish are also locally abundant.