Hanna City is a village in Peoria County, Illinois, United States. The population was 1,013 at the 2000 census. Hanna City is part of the Peoria, Illinois Metropolitan Statistical Area.Hanna City was founded in 1882 and named after William Hanna, who was president of the Peoria-Farmington Railroad, which ran through Hanna City. While originally a farming community, coal was soon discovered under the town. The coal mine was a major factor in the early years of the town and kept it thriving for more than half a century. The main coal mine shaft was near the intersection of Second St and the railroad. Remnants of the coal mine can still be found, e.g., air shaft near old Grade School.According to the 2010 census, Hanna City has a total area of 0.48 square miles, all land.As of the census of 2000, there were 1,013 people, 398 households, and 300 families residing in the village. The population density was 2,123.8 people per square mile.