This post is a description of a town. I'll post the play report in a day or two.

Cotton Creek
This town was meant to be heavily based on Dust Creek with a character or two from West Cotton Fields, but a slight adjustment escalated and it became substantially different. But there's still plenty of the original town's remaining, so here are the towns which inspired it:
Dust Creek: http://www.indie-rpgs.com/viewtopic.php?t=15506
West Cotton Fields: http://www.indie-rpgs.com/viewtopic.php?t=15127

Steward Thomas: Thomas, an ex-Engineer, appointed Steward five years ago, and through his nifty Rube Goldberg irrigation and water filtration works (with a chaos of pipes and scaffolding snaking up to natural springs high in the mountains) has brought fertility to a dried up old town, and it's experiencing growth and prosperity. He's Guilty of Pride in his work. This leads to Injustice: the Waterworks project takes much of his time, and his flock are denied his full Stewardship.

Brothers Artax, Benjamin, and Cadmus (hmm, where did I get those names :)): actual brothers of each other, who don't like the town's rising prosperity. While Thomas sees potential to build ever larger, they think the town is growing too fast and should settle down for a while. They commit the Sin of Deceit - talking behind the Stewards back, drumming up fears. The richness of the town (especially its water supply) will attract soldiers of the Territorial Army and other types to prey on the town and enforce their sinful ways. The brothers encourage people to find excuses to avoid working on the project. When he sees he can't get any work done, he'll have to abandon it and turn back to his proper Stewardship duties, So they are helping him really.
Of course, the loss of manpower means that the Steward ends up devoting even more time and effort to motivate people to put in labour on his scheme, and leads to an even greater dereliction of his duty. Soon every meeting is consumed by talk of the Waterworks, often ending in arguments.

Second Sin: The Doctor: Brother Albert is an ex-military doctor who served at Fort Lemon (bit of foreshadowing since I plan to run that town later), and was heading back east to retire when he stopped off here and met Sister Marilla. He fell in love, converted, and married. Just like the Doctor in West Cotton Fields, he has clung to some of his old habits - like trying to give his patients a drink to ease the pain. Every now and then, some of them accept...

Demonic Attacks
As predicted, non-faithers and territorial army patrols start using the town as a convenient watering hole, paying for the privilege.
The TA takes notice of the towns usefulness, and gives a non-Faither named Van Dahmer a contract to establish a supply post and rest station for the soldiers whose patrol passes by here. He also builds the Fancy House, a saloon and bordello, so that he can also serve any and all travellers. (And alcohol is available for any townsfolk who enjoyed the doctor's offering a little too much.)
In response to Van Dahmer's request (after demonstrations from the townfolk), The T.A have required the Steward to appoint a Sheriff, and one of his duties is to protect the proprietor of the Fancy House. Thomas chose Albert, due to his soldier background and steady temper.
While men are working at the cliffside building more pipes, and women are bringing them food and drink, a landslide buries the Steward's wife, Ann, who also happens to be the sister of Artax, Benjamin, and Cadmus. This reinforces their dedication to stop the Waterworks.
This event has undermined the entire irrigation infrastructure, and Thomas knows he must repair it quickly lest the land and the entire crop be ruined. He overcomes - buries - his grief and guilt, and becomes obsessed with his work. Every time he repairs one section, another collapses. It's enough to suggest sabotage...
Since the townsfolk are increasingly unwilling to work on the damned thing, the Steward has started hiring out-of-towners to do work. "Temporary" homes are being built for them. The Steward has been selling water rights to Van Dahmer, in return for money to pay the hired help (many of whom also work for Van Dahmer...).
And last of all, old Henry the blacksmith was injured in a most peculiar way… When Thomas called him up to examine the irrigation system, one of the viaducts collapsed and fell on him. Old Henry's life was saved by Albert, but his hand was crushed and he suffers pain constantly. The Steward was standing right by Henry, and was unharmed.
False Doctrine
The Steward, after surviving too many collapses: The Lord Protects Me As Long As I Stay True To My Work (the Waterworks)
The Brothers Artax: To Save The Town The Waterworks Must Be Destroyed. The Waterworks Is Evil.
The Doctor (and some 'converts'): It's Not A Sin To Drink Alcohol If It's Just For The Pain.

Corrupt Worship
The Steward openly puts his prayers for the Waterworks before prayers for the townsfolk.
Brother Artax has started praying to the King for misfortune to befall the irrigation project. Seeing the recent calamity befall Old Henry, he believes his prayers have been answered. Old Henry must have deserved his fate for his collusion. So now, anyone who helps out the project will be punished.
Sorcery
The Steward is a sorcerer, but doesn't realise it.
Artax is a sorcerer, and is beginning to realise that his prayers are being answered.
Hate And Murder
None yet, but it's coming.

What People Want From The Dogs
Steward Thomas: He wants to the Dogs to whip his increasingly rebellious flock into shape, command them to help out with the repairs. (He himself actually has two incompatible goals: attend to his flock as a proper Steward, and repair/build the Waterworks - no-one else can do the latter, and he thinks - with some justification - that there isn't anyone suitable to replace him as Steward.)
Sheriff Albert Stern: Wants The Dogs to get rid of the Fancy House without breaking any laws he will have to enforce. Once the Fancy House is gone, he thinks peace will return and he'll be able to enjoy his retirement. Does not want to be replacement Steward! If the Dogs get injured, he wants them to accept a drink, just for the pain. He doesn't want the Dogs to cast aspersions on his history - as a military doctor he has fought and healed for his country, and those are good things.
Sister Marilla, young enough to be Albert's grand-daughter. She wants the Dogs to appoint someone else the Sheriff. (It doesn't matter that it's not strictly their job.) She has been worrying about Albert's safety with all these faithless rowdies about - and has started sneaking drinks from Albert's medicine cabinet to deal with the worry migraines. So she wants to know if her husband is right: is it okay to have a drink for the pain? (Subconscious thoughts: "Am I a sinner? Is my husband inciting sin?")
Old Henry, the Blacksmith. He wants the Dogs to heal his hand so he can stop being in pain! He also wants them to publicly legitimize his drinking. As a follower of false doctrine, he can be possessed, and has been getting drunk and beating his wife.
Marigold. Old Henry's wife. A good and Faithful woman who is frightened by what Henry becomes when he drinks. She wants the Dogs to give her back her husband - though she doesn't want to admit what he does ("I fell"). She wants them to shut down “The Fancy House” as the source of the Towns problems this year and Henry's source of booze.
Sister Jane: daughter of Old Henry, doesn't like it at home anymore ("Pa is always angry, and Ma gets angry at me afterwards. It's my fault.") She is welcoming the attentions of the riders, and admires Eliza who is so strong - wants to be like her. She wants the Dogs to stop her from joining Eliza and the saloon girls, and if they do, she wants one of the Dogs to take her away from all of this.
Brother Artax: As the town's sorcerer, he commands demons! He wants the Dogs to kill the Steward or remove and disgrace him. He wants them to command the destruction of the Waterworks. ("The waterworks is a temptation - we must destroy it, and place our trust in the Lord's Mercy!")
Brothers Benjamin and Cadmus: Artax's younger brothers shares his beliefs; they want the Dogs to make Artax Steward.
Sister Purity: daughter of Artax; she doesn't share his hatred of the Steward. She shares Thomas's pain at the loss of his wife (her aunt), and wants the Dogs to persuade her father to let her marry the Steward - he needs a woman to look after him. "All this trouble started after Auntie Ann died. He needs someone (me) to help him get over his grief - then he'll be a good Steward again."
Van Dahmer: the Germanic, monocle-wearing proprietor of the Fancy House, he wants the Dogs to stay out of his business. ("No Guns in the Saloon. Don't make me call the Sheriff.") He's got a license from the T.A for what he does, and he don't see nothing wrong with it. He's not a member of any Faith, and is not a sorcerer. His men are strictly bad sorts. They might get possessed, of course. He doesn't want the Dogs to find out about his deal with the Steward, and certainly doesn't want them to replace the Steward.
Bret Carson: the house gambler, a handsome and cool guy who wants the dogs to have a drink and a game with him. He wants to get the female Dog into bed.
Eliza is Van Dahmer's best girl. She came West to seek adventure. The young men of Cotton Creek are so unspoiled and handsome; she must try them all. She lets them play if they buy her fancy dresses, but once they mention love or marriage, she's off to the next one. She wants to get the Dogs alone and try them out, and then get them to buy her things so they can enjoy her again.
Brothers Virgil and Wiley: each wants the Dogs to persuade Eliza to choose him over the other, and persuade her to marry him. "Sex is alright if your marriage is ordained in heaven." Virgil is heartbroken that he has lost her, and Wiley is boastful that he (currently) has her. Oh, and they want the Dogs to "stay away from my woman!"
Jonny Black: leader of the Black Pass Riders, a band of couriers and messengers, who use their role to give them an advantage in a little sideline, as Outlaws. Currently being paid by the Steward to help repair the Waterworks. They know Van Dahmer's real goal (get control of the water), and see the Dogs as a threat - they want the Dogs to get out of town.

The Demons:
The Demons are pretty happy - the town is tearing itself apart. With two sorcerers in town they no longer have goals of their own.
They want the townsfolk to tear down the Waterworks, and fall to the temptations of the Fancy House.

What would happen if the Dogs never came?
Against a background of constant struggle to repair the waterworks, and more and more injuries, people would turn to liquor and the temptations of the Fancy House for relief. Thomas's deal with Van Dahmer would be exposed, revealing that Van Dahmer now owns all the rights to the Waterworks, just as one of Artax's brothers would be discovered sabotaging them. There'd be a couple of lynchings, after which Van Dahmer would own what was left of the town, and the Sheriff would be forced to be his puppet.
Or, during the lynchings, a riot would result in the destruction of the Waterworks, and the town would die, its people scattered and broken.