There has recently been an increasing interest of the watershed management as a solution to a wide range of problems related water environment, therefore this study attempted to construct the environment information system to monitor the Geumho River watershed, and to evaluate the impacts of the watershed characteristics on stream water quality. A detailed GIS database to analyze the environmental characteristics at the subwatershed units, including 1:25,000 scale topographical maps, detailed soil maps, land use, 10m-resolution DEMs, roads, streams, vegetation index(NDVI) calculated from Landsat TM imagery, rainfall, and soil loss using RUSLE, is compiled for the study area. The set of variables representing watershed urbanization or industrialization, residential and commercial landuse, industrial landuse, and road area have significantly negative(-) relationship with water quality variables(BOD, COD, SS, T-N, T-P). On the other hand, watershed indicators related to natural environmental conditions, forest cover and vegetation index(NDVI) in each subwatershed were significantly positive(+) relationship with water quality. Three other variables, agricultural landuse, amount of fertilizer and pesticides, and potential soil loss, were not significant in explaining the correlations between watershed environment and stream water quality.