In the 1980s, a small group of 4 bike riders began riding in the Warby Ranges and local roads on mountain/hybrid bikes, becoming known as the Wangaratta Mountain Bike Social Club. The group became the Wangaratta Bicycle User Group Incorporated, after being approached by Bicycle Victoria (now known as Bicycle Network).

In later years, the BUG joined with the Wangaratta Bushwalking and Outdoor Activities Group.  With the growing popularity of the group, insurance became a factor with the variety of activities, and as cycling was the dominant activity, BUG again went their own way and singled out to concentrate on their cycling.

The formation of a committee resulted, with meetings being held at the TAFE College. Then in 1990s the club moved to their own club room at the Cloak Rooms building at the Wangaratta Show Grounds. Many social events were held here as well as committee meetings.

Also in the early 1990s, BUG members were instrumental in research into the "Rail Trail" developments in the USA, and this led to liaison with various Local Governments and Victorian Government members, which eventually led to the construction of the Murray to Mountains Rail Trail, the first in Australia.

The club proudly declared 100 members and commissioned professionally made jerseys. These were worn with pride when members rode in the Great Victorian Bike Rides, and on other occasions.

Over the years, the club took part in many and varied community activities, promoting cycling safety and health benefits.   Some of these included - organising Ride2Work Days and conducting 3 day cycling weekends over the March Labour Day weekends, attracting cyclists from over Victoria and Southern NSW.

The Wangaratta BUG was instrumental in helping Shepparton cyclists set up their own BUG club.  

In 2004 the group took part in the annual Pollie Pedal, led by the then Federal Health Minister Tony Abbott and the then member for Indi, Sophie Panopoulos (now Mirabella).  A big thrill for the club was winning the 2000 - 2001 "The Active Australia Award" not only the Wangaratta City Council award for "Club/Organisation of the Year", but also the "Club /Organisation" for Victoria's North East Region.

Past club member, the late Alan Watson, was the driving force behind the construction of the Murray to Mountains Rail Trail Bowser Gateway Facility, generously donating toward the project, as did the BUG club.  The facility was opened by the Rural City of Wangaratta in October 2009.  BUGs also contributed toward a shelter and picnic table erected on the Rail Trail at Reedy Creek.

In recent years, the club has taken active voluntary roles supporting the Wangaratta Marathon Fun Run and the Ned Kelly Chase.  Although BUGs takes a lower profile these days, it is still a cycling force in the area, with three rides programmed every week, a strong committee and membership, a website and it also sends out a bi-monthly, well appointed newsletter.