Powder Springs is where there's a big natural spring that, instead of water, spews gunpowder. It was very useful to the Confederacy, who got most of their gunpowder from Powder Springs.
Many place names in Georgia have interesting etymologies. Griffin, for example, is named after an animal (now extinct) which was a mix of a lion and an eagle. Thus the griffin was only one-half eagle, which is five dollars in gold. The study of zoology is full of surprises.*
* See Ambrose Bierce, The Devil's Dictionary, under "hippogriff".
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-- Carl
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