Potlatch is a city in the northwest United States, located in north central Idaho in Latah County, about six miles east of the border with Washi…Potlatch is a city in the northwest United States, located in north central Idaho in Latah County, about six miles east of the border with Washington. On the Palouse north of Moscow, it is served by State Highway 6, and bordered on the northeast by the small community of Onaway. The population of Potlatch was 804 at the 2010 census.