We have explored the room temperature response of metal nanoparticle decorated single-walled carbon nanotubes (NP-SWNTs) using a combination of electrical transport, optical spectroscopy, and electronic structure calculations. We have found that upon the electrochemical growth of Au NPs on SWNTs, there is a transfer of electron density from the SWNT to the NP species, and that adsorption of CO molecules on the NP surface is accompanied by transfer of electronic density back into the SWNT. Moreover, the electronic structure calculations indicate dramatic variations in the charge density at the NP-SWNT interface, which supports our previous observation that interfacial potential barriers dominate the electrical behavior of NP-SWNT systems.