Special dilemmas confront reform organizations that rely on financial support from their parent structures and on political support from the individuals they serve. The history of the Educational Opportunity Program at the University of California, Santa Barbara, offers a case in point. Inaugurated in the wake of the Watts riot in 1965, and strengthened by later demonstrations on campus, the program began to suffer from administrative cutbacks and re-shuffling as minority power to stage impressive political acts waned. This study describes events from a framework of institutional racism, a subtle process that can lend discriminatory attitudes to ostensibly impersonal bureaucracies. Crisis mobilization, crisis management, and the dilemma of the reform organization are key concepts employed in the analysis. Research methods used include participant observation, in depth interviews, document analysis, and use of student newspaper files. (Author/KR)