The incidence of retardation and of hearing loss among the retarded is considered and the problem posed by the aurally handicapped who may be misdiagnosed as retarded is examined. The historical background of past and existing education for the retarded deaf is presented. A study was begun in early 1970 which concerned services for and incidence of deaf retardates among the state's estimated 29,000 institutionalized retarded. Based on samples of educable and trainable persons aged 6 to 30 in two state schools, what was felt to be a minimum percent of .07 was determined to be the number who had hearing losses. No existing programs within schools for the retarded or for the deaf were adequately serving these people. These findings provided the rationale and need for the tentative proposal for a New York State Program which is described and includes site of the program facility, classes, living arrangements, vocational training and placement, and evaluation. Records, forms, and tables are appended. (RJ)