Abstract: The contradiction between supply and demand both on water and land resources are becoming more and more incisive, wherein water resource is the key factor, which can decide trajectory and direction, to local land use. Therefore, to integrate water resources and land resources to more appropriate utilization and suitable allocation has scientific and practical depth. In this study, Huailai County in Hebei Province is selected as the study case. Geographical information system (GIS) technology is used for data base formulation on appropriate utilization on water and land resources. Based on the analysis on characteristics as well as problems encountered for the study region, the fundamental objective is how to allocate and utilize water and land resources rationally, so as to eco-environment recover and maximum efficiency on resource utilization. Cereal crops, other crops, woodlands, shrubbery woodlands, sparse woodlands, other woodlands, low-density grassland, medium density grassland and high-density grassland, altogether nine land use types are selected to perform grey linear planning approaches. Three research scenarios are defined, which are somewhat controlling on sand source expansion, absolutely controlling on sand source expansion and the last one, absolutely controlling on sand source expansion as well as appropriate structure on crop types. Under the research hypothesis of normal water utilization, ten percent on water-saving and twenty percent on water saving, above nine land use types and methods are performed under these hypothesis to optimize land and water resources usage both on quantitative and spatial perspectives. Strategy and scheme on optimized utilization on water and land resources in the study region are achieved through above process and methods. Aided by GIS functions on spatial analysis and management, such schemes can be spatially performed to land use units.