This issue of WIN (Welfare Information Network) Issue Notes focuses on the tendency of children from low-income families to drop out of high school, become teen parents, become involved in drug-related activities, and become involved in other activities that place them at high risk of long-term welfare dependency. Section 1 offers the background. Section 2 outlines these policy issues that states may address when examining at-risk youth: special conditions teen mothers on Temporary Assistance for Needy Families face and additional services they need; kinds of support necessary to teen parents to enhance their ability to achieve self-sufficiency; conditions teen fathers face and special services the state can provide; support services that should be incorporated into all youth programs; new sources of money to support youth activities; and opportunities available to use funding across agencies. Section 3 summarizes research findings on program components and youth program costs. Section 4 describes work in progress. Section 5 describes innovative practices and contact information for programs targeted specifically at teen parents; those providing opportunities for at-risk youth; public/private efforts; and cross-agency initiative. Twenty-six resource contacts and 14 publications are listed. (YLB)