Smith Creek is located in the upper region of the Memramcook River Watershed. The Smith Creek watershed covers an area of approximately 20 km².
The physical habitat of Smith Creek is characterized by a rocky bottom, with the presence of sediment and organic matter. The area surrounding the watercourse is mainly wooded. Upstream of Smith Creek is Lake Folly, a eutrophic lake covering an area of 0.19 km². This Lake is used by locals for swimming and other forms of recreation.
In its lower section, the area surrounding Smith Creek is mainly open, aside from a group of shrubs relatively dense longing the Creek. A bit higher in this section, the creek widens to form a pod which is kept in place by a berm with a road crossing. This road has since been washed out at the end due to the force of the water during storms eroding away at the berm.
In the central section, the physical habitat of Smith Creek is characterized by a very nice rocky bottom, several sections of pebbles along its course, and very little fine sediment, housing a healthy fish population. The rocky materials (quartzy sandstone, polygenic conglomerates, quartz pebble conglomerates, and red shale) present here are different than those observed in any other watercourse in the watershed. The area surrounding the stream is mainly wooded, and the trees are mostly deciduous.