Information in this guide is based on published research concerning effective strategies in dealing with at-risk youth. It was written for those communities invited to develop proposals under the Annie E. Casey Foundation's New Futures Initiative in an attempt to alleviate problems that compromise American children's futures. Each of three chapters is divided into four subsections. Chapter 1 gives an overview of national measures and trends of at-risk youth, describing and analyzing local problems as well as assessing current community problems. Two figures identify measures to describe local problems and outline sample programs and policies. In chapter 2, effective approaches for improving achievement and reducing dropouts, preventing teen pregnancies, finding youth employment, and creating a case management system are described. Chapter 3 delineates the community planning process, lead agency designation, data requirements and goal setting, and budget development in the new futures process. Figures 1, 2, and 3 define dropouts, graduates, and tell how to calculate average daily attendance. Four appendices give program descriptions and contact information about education reform and dropout prevention (21 sources), teenage pregnancy prevention (13 sources), youth employment (9 sources), and youth case management (3 sources). Three papers are included: (1) "The Role of Child Care in the New Futures Initiative" (Ready, Bucher, Escobedo, and Vendig); (2) "The Role of Incentives in Programs to Help At-Risk Youth" (Meyer); and (3) "New Futures State Policy Paper" (Powell). (EJS)