Community service objectives are to be an alternative to prison, to be a substantial punishment, to provide reparation for offending, and to rehabilitate offenders. A theoretical model which explains how community service might achieve rehabilitation is presented and ways that community service activities can be converted into changes in the individual offender's attitudes and skills are considered. Processes identified as possibly facilitating these changes include the nature of the work, the extent of contact with other people, and the type of supervision given each offender. Almost 80 percent of community service hours are shown to be spent on laboring and maintenance tasks. Most offenders feel that the work is useful to the community, most like the work, and about half said they earned something from it. The question of whether community service reduces offending is addressed. Data were collected from several sources: documentary materials on the development of community service in South Australia, analysis of individual offender records of 84 persons referred for a community service assessment during the first 6 months of operation, analysis of departmental records, and a questionnaire to 12 magistrates and 4 judges. Data were also gathered from an interview with the assistant director of the department of correctional services, interviews with community service supervisors and officers, and interviews with community agency supervisors. Additional interviews were held with 17 offenders. Assessments were conducted of 49 offenders and of the 49 community service projects. Data indicate that community service does not rehabilitate, but offenders prefer it to custody and to fines; community agencies see it as a positive development in corrections; and the courts have accepted it as a sentencing option and would like to see it more widely available. Suggestions for achieving the rehabilitation ideals of community service are provided. Seven appendixes, 21 tables, and 40 references are included.