A sand dam is an old technology used to trap sand materials and store water in dry riverbeds. Besides the volume of sand stored, the water storage and supply capacity of the sand dam depends principally on material properties including hydraulic conductivity (K) and the specific yield (Sy). In this study, the water supply capacity of a sand dam, applied in South Korea with a modified scheme, was analyzed. Imported sand materials were placed in three layers, and perforated drain pipes were installed to abstract the water to a collection tank. Using a Modular Finite-Difference Groundwater Flow (MODFLOW) model, the drain pipe discharge related to aquifer properties and supply capacity of a sand dam was evaluated. Using the model, the productivity of the sand storage with several cases of inflow conditions was assessed. For the period from 9 March 2020 to 16 May 2022, the results of calculation of water supply for the installation and operation of new sand dam are as follows. Regarding the actual inflow condition, compared to the average water supply of the existing water intake source, the sand dam installation increased water supply by 61.6%, and the sand dam installation showed an effect of improving the water supply by 36.0% for the minimum water supply. The calculated water supply for the condition where the inflow was reduced by 50% showed an effect of improving water supply by over 70% on average due to the installation of the sand dam. The findings would be a benchmark for future expansions of the scheme in related places, and management and maintenance of the system.