This booklet, prepared for the Peace Corps, describes the operation of the Volunteer Rehabilitation Project, a handicraft project for handicapped persons (mostly leprosy patients) in Ethiopia. Along with the project description are step-by-step instructions for carrying out a similar project and a discussion of the principles underlying the operation of the project. The report is organized into six sections. The first section is an introduction that provides an overview of the project, describes its main areas of operation, and suggests future directions the project may take. The second section describes the type of training provided to the workers. A step-by-step guide for some sample tasks is included. In the fourth section, the relationship of the project and the public is discussed, with directions for public relations and a procedure for creating a sales brochure. Section 5 focuses on production and salaries, while recordkeeping is the subject of the final section. A list of suggested resource publications is included in the report. (KC)