THE METHODOLOGY IS CALLED THE COST OUTCOME/ COST-EFFECTIVENESS (COCE) TECHNIQUE AND CONSISTS OF TWO GENERAL COMPONENTS: A CONCEPTUAL MODEL OF COST-EFFECTIVENESS ANALYSIS AS IT APPLIES TO COMMUNITY MENTAL HEALTH CENTER PATIENT SERVICES AND A DATA SUPPORT SYSTEM CONSISTING OF SOURCE DOCUMENTS AND COMPUTER SOFTWARE THAT GENERATES THE DATA NEEDED FOR ANALYSIS. COST-EFFECTIVENESS IN HEALTH, EDUCATION, AND WELFARE PROGRAMS INVOLVES CERTAIN PRELIMINARY STEPS. THESE STEPS INCLUDE SPECIFYING GOALS TO BE ATTAINED, OPERATIONALIZING GOALS, DEVELOPING ALTERNATIVE PROGRAMS FOR REACHING GOALS, DETERMINING THE COST OF EACH PROGRAM, AND ASSESSING THE EFFECTIVENESS OF EACH PROGRAM. A COST-OUTCOME STATEMENT FOR A COMMUNITY MENTAL HEALTH CENTER CAN BE VIEWED AS A SUMMARY OF ANSWERS TO THREE QUESTIONS ABOUT PATIENT SERVICES: (1) WHAT TYPES OF INDIVIDUALS ARE SERVED? (2) HOW MUCH DOES IT COST TO SERVE EACH INDIVIDUAL? AND (3) HOW MUCH HELP DOES EACH INDIVIDUAL RECEIVE AS THE RESULT OF A PROGRAM? CRITERIA ACCORDING TO WHICH THE SUCCESS OR FAILURE OF A PROGRAM CAN BE EVALUATED ARE EFFORT, PERFORMANCE OR EFFECTIVENESS, ADEQUACY OF PERFORMANCE, EFFICIENCY, AND PROCESS CRITERIA. ADVANTAGES OF THE COCE METHODOLOGY INVOLVE A STRUCTURED, FIXED-ALTERNATIVE, PERSONAL INTERVIEW WITH PATIENTS, PERTAINING TO PSYCHOMETRICS, TRAINING AND RELIABILITY, INTERVIEW EFFORT, PUBLIC ACCOUNTABILITY, AND NEEDS ASSESSMENT. THE COCE ADULT INTERVIEW CONSISTS OF 200 QUESTIONS WITH PRECODED ALTERNATIVE ANSWERS THAT ARE SUMMARIZED INTO 13 SCALES OF FUNCTIONING AND AN ADDITIONAL SCALE THAT ASSESSES PATIENT SATISFACTION WITH SERVICES RECEIVED (CONSUMER SATISFACTION). THE PROCESS OF DETERMINING THE COST OF A PARTICULAR PATIENT'S TREATMENT IS OUTLINED, AND NOTES ARE INCLUDED. (DEP)