The paper presents an outline for the development of a community mental health program based on assessment of a first grade population in an urban Negro neighborhood and involving a strategy that places primary emphasis on establishing ongoing community sanction and participation in policy-making. The strategy included the development of a community-wide system for the periodic assessment of specific subpopulations in the community; one that would give basic information for program development. The intervention program for a total population was based on the assessment of both qualitative and quantitative characeristics of need, while evaluation of the program involved periodic reassessment of needs in the total population. The intervention program was refined in light of the kinds and quantity of impact achieved by the program. Results of the study indicate that gaining and maintaining community sanction through citizen participation at both the policy-making and operational levels of human services is critical for the success of community wide programs. (Author/SES)