Montgomery County, Maryland, a suburb of Washington, D.C., received funding for three years, beginning in June, 1968, to develop, use, validate, and evaluate instructional materials which test the potential of the computer in the learning process. The report covers (1) materials, development, use, and validation (includes a cost analysis); (2) the facility and technical operations; (3) staff development (local teachers were trained to write CAI curricula); and (4) observations to data and projections. (RH)