Project CHIME developed and implemented strategies to promote effective mainstreaming of preschool hearing-impaired children, ages 2-5, by establishing a model demonstration program that provided, over a 3-year period, 20 hearing-impaired children with mainstreamed learning experiences in a variety of integrated settings through neighborhood nursery schools and day care centers. Preschool curriculum materials were adapted for use with the mainstreamed hearing-impaired children and a training program was developed for staff in participating schools and centers. An extensive parent education program for parents of both hearing-impaired and nonhandicapped participants was also provided. In evaluations conducted at the end of the program, the hearing-impaired preschoolers demonstrated increased ability to function and learn in a group setting and had made gains in social-emotional adjustment, auditory language comprehension, and language development. Project CHIME also implemented a comprehensive screening and monitoring system to ensure early identification of potential hearing problems and provide appropriate referrals. More than 2000 preschool children were screened in a total of 54 participating mainstream preschool and day care sites. Appendices provide descriptive case studies and statistical evaluation data. (VW)