An opening statement by New York Senator Alfonse D'Amato explores the extent of drug use in America, particularly among youth, and the role of the Federal Government in countering the problem. Florida Senator Paula Hawkins decries the scope and the impact of drug abuse among juveniles and advocates foreign policy sanctions against those countries that are major sources of drugs sold in the United States. Testimony by the Chancellor of the New York City Board of Education describes drug prevention programs undertaken in New York City schools, including drug education, counseling, and remedial education. The need for greater financing of such programs is indicated. Statements by youth rehabilitated from drug abuse through the programs of New York's Phoenix House Foundation indicate the extent of youth's exposure to drug use and the value of rehabilitative programs that help youth develop social and vocational skills while facing the possible consequences of continued drug abuse. Congressional witnesses report on their visits to countries supplying drugs to the illicit market in America, and recommendations are offered for dealing with the drug problem at its source.