To meet the needs of emotionally disturbed children, a residential program was planned to provide re-education for such children and training for the teaching staff. A model school served 40 children, aged 6 through 12, in five groups, each having a team of two teacher counselors and a liaison teacher backed by consultants. Teacher and parent ratings 18 months after discharge indicated moderate or great improvement for 80% of the children; additional ratings also indicated improvement. The project process, experience, cost, and manpower development program were considered as well. (JD)