This report presents a discussion of the source water watersheds for Little Rock, Arkansas, and its environs: Lake Winona and Lake Maumelle Watersheds. This report includes a description of each watershed’s current health, threats to water quality, and the ecosystem services benefits that the watersheds provide. In addition, we provide estimates for the economic value of these natural capital assets. By shedding light on the importance of these watersheds to the economic health of the region, these estimates provide the foundation for better-informed decisions regarding watershed management activities.