The watersheds are functional geographical areas that integrate a variety of environmental and ecological processes and human impacts on landscapes. Geographical assessments using GIS recognize the relationship between interdependence of resources and ecological/environmental components in watersheds. They are useful methodology for viable long term natural resource management. This paper performs through the using hydrological analyses, landscape ecological analyses, remote sensing, and GIS. Indicators are items or measures that represent key components of the small watersheds, and they are developed to be evaluated. Some indicators are described that they represent watershed condition and trend as well as focus on physical, biological and chemical properties of small watershed. Also, ecological functions such as stability, resilience, and sensitivity are inferred from them. The model implemented in GIS allows to reflect the ecological and hydrological functioning of watershed. Methodology from image analysis, landscape ecological analysis, spatial interpolation, and numerical process modeling are integrated within GIS to provide assessment for eco-logical/environmental condition. Results are described from the small watershed of Gwynns Falls in Baltimore County and Baltimore City, Maryland, an area of about 66.5 square miles. The small watershed within Gwynns Falls watershed are subject to a number of land-use. But it is predominantly urban, with significantly lesser amounts of forest and agriculture. The increasing urbanization is ass-coiated with ecological/environmental impacts and citizen conflicts.