THE BACKGROUND PORTION OF THIS PAPER DESCRIBES THE CHANGES IN CORRECTIONS PHILOSOPHY AND THE OVERCROWDING IN GEORGIA'S PRISONS WHICH LED TO THE ESTABLISHMENT OF COMMUNITY-BASED CORRECTIONS FACILITIES. THE 10 RESIDENTIAL RESTITUTION CENTERS, LOCATED IN JUDICIAL DISTRICTS, ARE PART OF THIS OVERALL COMMUNITY-BASED EFFORT. THE CENTERS ARE DESIGNED FOR ADULTS, ARE OFFENDER FOCUSED RATHER THAN VICTIM FOCUSED, AND ARE AN ALTERNATIVE TO INCARCERATION, NOT AN ALTERNATIVE TO PROBATION SUPERVISION. THE OFFENDERS LIVE IN THE CENTERS 24 HOURS A DAY, 7 DAYS A WEEK. THEY EITHER KEEP THEIR JOBS OR ARE HELPED TO FIND JOBS, AND THE PAYCHECKS ARE GIVEN TO CENTER STAFF MEMBERS FOR DIVISION ACCORDING TO A CONTRACT. DURING THE 12-MONTH PERIOD ENDING JUNE 30, 1977, THE PROGRAM PAID $128,437 TO VICTIMS, LOGGED 8,372 HOURS OF VOLUNTEER WORK, AND PROVIDED SUPPORT TO OFFENDERS' FAMILIES. THE OFFENDERS ALSO PAID $206,880 IN ROOM AND BOARD TO THE CENTERS. THE TYPICAL OFFENDER IS ABOUT 19 YEARS OLD, MALE, A PROPERTY OFFENDER, HAS BEEN ON PROBATION ONCE, AND STAYS 4 MONTHS. TABLES PRESENT INMATE STATISTICS FOR GEORGIA AND THE UNITED STATES AS A WHOLE, A SURVEY OF SELECTED RESTITUTION PROGRAMS IN VARIOUS STATES, AN OVERVIEW OF THE OPERATING BUDGET OF THE 10 GEORGIA CENTERS, AND A COMPARISON OF BUDGETS FOR THE 10 CENTERS. SUGGESTIONS FOR SETTING UP SUCH A CENTER ARE PRESENTED, AND LESSONS LEARNED FROM THE GEORGIA EXPERIMENT ARE SUMMARIZED. FOOTNOTES PROVIDE REFERENCES AND ADDITIONAL INFORMATION. (GLR)