IC 1274 is a faintly luminous nebula lying on the near surface of the Lynds 227 (L227) molecular cloud. Four luminous, early-type (B0-B5) stars are located within a spherical volume ~5 in diameter that appears to be clear of heavy obscuration. Approximately centered in the cleared region is the B0 V star HD 166033, which is thought to be largely responsible for the cavitys excavation. Over 80 H-alpha emission sources brighter than V~21 have been identified in the region. More than half of these are concentrated in IC 1274 and are presumably members of a faint T Tauri star population. Chandra Advanced CCD Imaging Spectrometer (ACIS) imaging of a nearby suspected pulsar and time-variable gamma-ray source (GeV J1809-2327) detected 21 X-ray sources in the cluster vicinity, some of which are coincident with the early-type stars and H-alpha emitters in IC 1274. Deep (V~22) optical BVRI photometry has been obtained for the cluster region. A distance of 1.82 +/- 0.3 kpc and a mean extinction of Av ~1.21 +/- 0.2 mag follow from photometry of the early-type stars. Using pre-main-sequence evolutionary models, we derive a median age for the H-alpha emitters and X-ray sources of ~1 Myr; however, a significant dispersion is present. Our interpretation of the structure of IC 1274 is that the early-type stars formed recently and are in the process of dispersing the molecular gas on the near surface of L227. The displaced material was driven against what remains of the molecular cloud to the east, enabling the formation of the substantial number of T Tauri stars found there. We identify a V~21.5 star very near the position of X-ray source 5, the assumed gamma-ray source and young pulsar candidate. The lack of distinctive characteristics for this source, however, coupled with the density of faint stars in this region suggest that this may be a random superposition.
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