In response to allegations of possible criminal conduct at one center, the Governor ordered an investigation of the Otisville, Ray Brook, Masten Park, and Iroquois facilities which involved site visits, reviews of patient and financial records, and public hearings. A history of New York's treatment programs for drug addicts is followed by an overview of the ODAS and descriptions of the four facilities. The examination of expenditures for residential treatment revealed that the average cost of maintaining a patient for the 1974-75 fiscal year was $43,643 at Ray Brook, $45,110 at Otisville, $24,059 at Iroquois, and $25,820 at Masten Park. These expenses did not include capital costs for acquisition and renovation which were substantial. The investigation also found serious program deficiencies due to lack of planning, poor support from the central office, and inadequate supervision. Problems in medical services, education and counseling programs, and recreational activities are detailed for each facility. Sexual abuse, violence, and contraband were discovered, particularly at Otisville and Ray Brook. Other weaknesses uncovered by the investigation included poor referral techniques, an inoperative hotline, dificiencies in planning for release, poor aftercare services, and a high number of abscondances. In almost every area evaluated, a lack of supervision or poor training often coupled with ineffective communication was responsible for high costs, patient abuses, and ineffective programming. Facilities also failed to correct most problems cited by a recent State Health Department inspection. The investigators felt that a conflict of interest might be present in the Narcotic and Drug Research, Inc., a not-for-profit corporation formed by members of the Narcotic Addiction Control Commission. The report concludes with nine corrective recommendations.