In 1931, the Port Dixie Harbor and Terminal Company planned facilities for a shipbuilding plant, railroad, port facilities, steamship lines, rubber tire plant, night club and town site on Garnier's Bayou.

The Corps of Engineers decided plans to dredge the Destin East Pass to accommodate deep-water vessels was not feasible. In the 1920's, mullet sold for as little as a penny per pound. While commercial fishing is important in the Niceville area, the charter boat business has dominated since World War II. The shift was accelerated by the first Destin Fishing Rodeo in 1949.