THE THREE MAJOR STEPS IN THE CORRECTIONAL PLANNING PROCESS -- ASSESSMENT OF THE EXISTING SITUATION, COLLECTION AND ANALYSIS OF DATA, AND FORMULATION OF A MASTER PLAN -- ARE NOTED. BASIC ASSUMPTIONS CONCERNING PHILOSOPHY, PRINICPLES, AND GOALS ARE STATED. THE ENTIRE APPROACH TO CORRECTIONAL PLANNING IS SAID TO BE GOVERNED BY THE ASSUMPTION THAT IT IS IMPERATIVE TO ORGANIZE THE CORRECTIONAL COMPONENTS OF A COMMUNITY INTO A SYSTEM THAT IS BOTH AWARE OF AND RESPONSIVE TO THE PROBLEMS AND PHILOSOPHIES OF THE COURTS AND POLICE. NATIONAL TRENDS IN CORRECTIONAL PRACTICES ARE NOTED, WITH REFERENCE TO THEIR IMPLICATIONS FOR STATE AND LOCAL POLICIES. A DISCUSSION OF THE RELATIONSHIP BETWEEN STATE AND LOCAL GOVERNMENTS IN THE AREA OF CORRECTIONS NOTES THAT AT LEAST THREE ALTERNATIVES EXIST: ALL CONTROLS AT THE STATE LEVEL; ALL CONTROLS AT THE LOCAL LEVEL; AND SOME FORM OF PARTNERSHIP ARRANGEMENT BETWEEN THE TWO LEVELS. IN MOST CASES, LOCAL GOVERNMENTS REQUIRE FINANCIAL ASSISTANCE IN SOME FORM FROM THE LARGER TAX BASE OF THE STATE. IN ADDITION, A SMALL PERCENTAGE OF OFFENDERS APPARENTLY REQUIRE PLACEMENT AWAY FROM THEIR LOCAL COMMUNITIES IN STATE-OPERATED PROGRAMS THAT SERVE LARGER GEOGRAPHIC AREAS. THE DELINEATION OF STATE AND LOCAL RESPONSIBILITIES AND ROLES IN CORRECTIONS IS DISCUSSED, WITH REFERENCE TO RECOMMENDATIONS BY THE ADVISORY COMMISSION ON INTERGOVERNMENTAL RELATIONS AND BY THE NATIONAL ASSOCIATION OF COUNTY COMMISSIONERS. (LM)