The Korean government adopted the integrated stream water management policy recently with growing perception that natural disasters and pollution in Korea have been due not only to such human factors as urbanization and industrialization, but also to the policy of functionally separated management of irrigation, flood control and ecological management. Contrary to its good intention, research result shows that it is not realistic to expect that this new integrated policy in Korea will work well. In order to be an effective policy and program evaluation, this paper suggests that evaluation indicator on related programs and projects should be made through bottom-up process. For example, environmental benefit should be taken into account rather than just economic benefit, and cultural and social characteristics in the project region should be also considered seriously.