 The discovery of anthracite coal in northeastern Pennsylvania in the early 1800s and the need to transport this valuable fuel to New York City gave birth to the Delaware and Hudson Canal, the American Railroad, and the Borough of Honesdale.Honesdale was named for Philip Hone, former Mayor of New York and president of Honesdale's Delaware & Hudson (D&H) Canal Company.Honesdale, originally called "Dyberry Forks," was laid out as a village in 1826 when the D & H Canal was created.