The program substitutes lay mediation for criminal prosecution in cases where the victim and defendant are not strangers. The study examined the project's training program, the structure of mediation sessions, referral sources, caseload and caseload problems, and compared the costs of mediation to court costs saved. Data for the report were obtained by (1) interviewing project staff, mediators, and others knowledgeable about the project's origins and operation; (2) analyzing the files of the first 500 cases; (3) observing 34 mediation sessions; and (4) conducting surveys of disputants and mediators. The key to the content of mediation hearings was found to be the content of mediator training. Training programs should be designed for the kinds of disputes mediators will hear. They should not assume that mediation techniques that work well for other kinds of conflicts, such as labor disputes, will necessarily be effective in the interpersonal field. Sustained mediation training is critical regardless of the funding or philosophy of particular projects. High-volume mediation projects are likely to have important links to the criminal justice system. The connection to criminal justice means that domestic cases involving violence and harassment will constitute a major part of the hearing agenda. In the area of cost analysis, the means to measure the benefits of mediation in a systematic manner have not been developed. What can be said about mediation as an alternative to criminal prosecution is that its per case costs can be substantial and may in some instances be more than those of lower criminal courts; however, its benefits are almost surely going to exceed those of criminal processing. Tabular data and 15 notes are provided.