The Town of Ignacio is a Statutory Town located in La Plata County, Colorado, United States. The population was 669 at the 2000 census. Located within the boundaries of the Southern Ute Indian Reservation, the town is the capital of the Southern Ute Indian tribe. It was named for their nineteenth-century leader, Chief Ignacio. Ben Nighthorse Campbell, a retired U.S. Senator, lives in the town area.