Community participation has gained widespread recognition in water management and planning for its potential to inform management plans and gain community support for actions that are aligned with the community’s water values. However, the practical application of community participation remains challenging as there is no consensus on who should be involved and why. During a participatory research project to inform the Tully Water Quality Improvement Plan (WQIP), the local community was involved in qualitative interviews and workshops to identify the water uses and values in the Tully basin. The results showed that these waters are extensively used and valued via a wide range of activities and that water is more than an economic good. All participants valued the aquatic ecosystems, which provide the basis for setting the most stringent water quality objectives (WQOs). Moreover, the results showed that many of the current uses and values of waters are under serious threat and that some uses and values have been lost over time. These findings informed the setting of the WQOs for the Tully WQIP to protect and re-establish the water uses and values that the local community supports.