The Pendleton Project residential service is a short term intensive care alternative to the long term, costly, and ineffective non-community based institutional model for treating children and families suffering from behavior problems. The residential services are designed to develop community competency from the vantage point of its unique integration of the human service delivery network. Application of behavior therapy principles is aimed at clinical outcomes that meet the expectations of the consumer. Within the therapy context, the residential treatment team has developed a "package" treatment program implemented by staff mediators by synthesizing diagnostic and treatment procedures for each resident on the basis of a token economy system. Evaluation of the treatment effectiveness has been done within single-subject and between-subject research designs, while the untreated non-random control group with pre- and post tests has been chosen as the most feasible research design. The case of 7-year-old emotionally disturbed boy demonstrates the treatment model. (Appendixes include copies of parental and referral contract sheets.) (Author/SBH)