Chemical methods have been used for the remediation of arsenic (As)-contaminated water; however, ecological consequences of these methods have not been properly addressed. The present study evaluated the effects of the Fe-oxide-coated sand (IOCS) remediation method on As toxicity to freshwater organisms (Lemna disperma, Chlorella sp. CE-35, and Ceriodaphnia cf. dubia). The As removal efficiency by IOCS decreased substantially with time. The IOCS remediation method was less effective at suppressing the toxicity of AsV than AsIII to L. disperma but was highly effective in reducing both the AsIII and AsV toxicity to C. cf. dubia. The growth of Chlorella sp. was significantly higher (p < 0.05) in remediated and pre-remediated water than in controls (non-As-contaminated filtered Colo River water) for AsIII, while the opposite was observed for AsV, indicating that AsV is more toxic than AsIII to this microalga. Although the IOCS can efficiently remove As from contaminated water, residual As and other constituents (e.g. Fe, nitrate) in the remediated water had a significant effect on freshwater organisms.