As part of the activities establishing the National Institute of Education, a Planning Unit evolved to obtain advice from experts on the objectives, activities, and organizational structure of the new organization. The Planning Unit studies include this paper which traces the nature and evolution of Federal program development in education beginning with the Great Society programs. The general impact and evaluation of these programs are analyzed. Two possible conclusions based upon these experiences--that local implementation fails because of inadequate resources or deficient techniques for transfer--are applied to a proposal for a new style of development. A three phase model of program development, occurring over a longer time period, is outlined which would be based in research, focusing on engineering aspects such as training techniques, technical assistance and materials for use by local personnel; that would experiment with mechanisms for training and with dissemination of program models using highly skilled staff; and that would approach as closely as possible a typical operation program with minimum use of the program design. Capabilities required by this proposed concept of program development are intended to meet the need to carry on lengthy program efforts and to provide long range planning. (Author/KSM)