This study defines the "serious" juvenile offender as "one who has been adjudicated delinquent on a current offense of a Part I crime as defined by the FBI's Uniform Crime Report, excluding auto theft, or of distribution of controlled dangerous substances and was 14, 15, 16, or 17 years old at the time of the offense." A "chronic" juvenile offender is defined as "a youth aged 14, 15, 16, or 17 who has been adjudicated or convicted more than once of a Part I crime as defined by the FBI's Uniform Crime Report at the time of the current offense or has been adjudicated or convicted more than three times in the past 2 years at the time of the current offense, or has been committed more than once to the Charles H. Hickey, Jr. School in the previous 18 months." A review of the treatment needs for such youth considers educational needs, vocational needs, mental health needs, physical health needs, family relationships, peer relations, substance abuse, life skills, and recreation and leisure skills. Placement needs are then discussed. Based on study findings, this report recommends against the establishment of a rehabilitation-oriented institution for serious and chronic juvenile offenders. Instead, it recommends establishment of a system of regionalized secure care. A network of small, 15-20 bed maximum-security facilities should be established to care for youth in or near their own communities. 19 figures, 9 tables, appended supplementary information, and 84 references