A series of discussions between the Gloucester (England) Health Authority and a research team resulted in a 3-year project designed to support elderly people, and those who care for them, in their own homes. This paper is an updated version of a discussion paper prepared during the formative phase of the project. It was created to encourage consideration of a number of key issues related to innovative programs for community care of the elderly. Included are discussions of the cost effectiveness of community care, the scope of community care, support for caregivers, care in and by the community, the domiciliary care/nursing interface, the need for psychogeriatric services, and the importance of diagnosis and reassessment. The paper concludes with a brief consideration of the nature and problems of evaluation. The conclusion notes that subsequent evaluation will focus on the effect of improved needs assessment and coordination of service delivery on the maintenance of elderly people in their homes, and on their quality of life and well-being. Also evaluated wil be the initial definitions of at-risk clients; the new tools for needs identification, biographical analysis, and the assessment of consumer satisfaction developed during the course of the project; and the economic implications of the provision of care coordinators posts. (NB)