North Canyon Creek's source is on the western flank of Snow Valley Peak at , and flows southerly down North Canyon from just below Marlette Lake to Spooner Meadow, where it receives outflows from Spooner Lake. The upper reaches receive flows from a Comstock era man-made diversion from upper Secret Harbor Creek into North Canyon Creek. The diversion increased the watershed catchment area from to . Just north of the intersection of Highway 50 and Highway 28, North Canyon Creek enters Spooner Meadow where it receives outflows from Spooner Lake, a man-made reservoir formed by a dam built in the 1860s. The Spooner Lake watershed is approximately but peak flows from the lake are limited by Spooner Dam. Since the 1930s Spooner Lake has been used to store water for irrigation and recreational fishing.