THE AUTHOR INDICATES THAT THIS PROGRAM WAS DEVELOPED FOR THE PURPOSE OF CHANGING THE PLACE OF PRISONS AMONG CORRECTIONAL ALTERNATIVES, AND THAT ITS USE HAS FURTHERED THAT OBJECTIVE BY REDUCING THE LEVEL OF NEW COMMITMENTS FROM SUPERIOR COURTS. THE FIRST SECTION OF THIS PAPER LOOKS AT THE GENERAL POLICY MILIEU OUT OF WHICH THE DIAGNOSTIC PROGRAM GREW, AS WELL AS THE SPECIFIC EVENTS WHICH LED TO ITS ENACTMENT. THE SECOND SECTION BEGINS BY OUTLINING THE SPECIFIC DIAGNOSTIC SERVICE WHICH IS PROVIDED TO THE COURTS BY THE CALIFORNIA DEPARTMENT OF CORRECTIONS (CDC). IT THEN FOCUSES ON TWO FEATURES OF INTERACTION BETWEEN THE COURTS AND THE CDC: 'INTERVENTION' AND 'IMPACT.' SPECIALLY SHOWN IS HOW THE CDC AND THE COURTS HAVE BEEN ABLE TO COALESCE FOR THE PURPOSE OF REACHING THEIR OBJECTIVES IN THE FIELD OF SENTENCING CRIMINAL DEFENDANTS; HOW THESE TWO ORGANIZATIONS OPERATE IN AND CONTRIBUTE TO A POLITICAL AND SOCIAL ENVIRONMENT WHICH HAS BECOME INCREASINGLY CRITICIAL OF LARGE STATE-RUN PRISONS. TABLES REPRESENTING INMATE POPULATIONS ARE INTERSPERSED THROUGHOUT THE TEXT TO ILLUSTRATE THE INFLUENCE OF SENTENCING DECISIONS. (AUTHOR ABSTRACT)...KAP