Three major historical efforts to create democratic prison programs as developed by Maconochie, Osborne, and Studt are discussed, emphasizing both the promise and the constraints. Then a conceptual framework is offered using psychological research as philosophical criteria for the developmental reeducation of prison inmates. The intervention project at Niantic, a facility for female offenders, is then outlined. Its evolution from the concept of self-governing units as rehabilitative instruments to use of these units as laboratories that not only served inmates but also explored the inner workings of the prison is traced. The conflicts between a minidemocracy and the larger bureaucracy served to sharpen the conceptual as well as the practical inconsistencies implicit in both prison management and bureaucracies generally. The community and group meetings held concerning the program are detailed, and inmate perceptions of prison moral atmosphere and changes resulting from their participation in the democratic living units are surveyed. Preliminary results of a 2-year study indicate that self-governing units (cottages) had a positive effect on female inmates' lives after they left prison. Of the 20 female model cottage graduates, less than 15 percent returned to Niantic after 1 year with either a new charge or for parole violations. Finally, constraints in instituting a democratic system within the confines of a prison setting are reviewed. References, an index, and some tabular information are provided.