A Municipality was established at Franschhoek on 28 June 1881 under the provisions of Ordinance No 9 of 1836.

In terms of the Local Government: Municipal Structures Act, 1998 (Act 117 of 1998) the existing Municipality for the Area of Franschhoek together with the Stellenbosch Transitional Local Council, Nuweberg Transitional Representative Council, Paarl Transitional Representative Council, Pniel Transitional Local Council and Stellenbosch Transitional Representative Council was disestablished and the Stellenbosch Local Municipality established (Province of Western Cape Provincial Gazette Extraordinary No 5590, 22 September 2000, Provincial Notice No 489, 22 September 2000). The Stellenbosch Local Municipality forms part of the larger Cape Winelands District Municipality.