TO MEET CHANGING NEEDS AND CHANGING CORRECTIONAL CONCEPTS IN THE FEDERAL BUREAU OF PRISONS (BOP), THE OBSOLETE MONOLITHIC PENITENTIARIES BEING REPLACED BY SMALLER FACILITIES WHICH, WHILE RETAINING SECURITY AND CONTROL, ARE LOCATED CLOSER TO HOME AND ARE MORE OPEN AND CONDUCIVE TO PERSONAL CHANGE. RAPIDLY INCREASING COMMUNITY CORRECTIONAL PROGRAMS HAVE BEEN ANOTHER GOAL OF THE BOP'S INNOVATIVE EFFORTS. THE BOP ALSO HAS 15 OF ITS OWN COMMUNITY TREATMENT CENTERS (HALFWAY HOUSES) AND CONTRACTS FOR AN ADDITIONAL 500. IN ADDITION, SEVERAL THOUSAND PRISONERS EACH YEAR TAKE ADVANTAGE OF FURLOUGH, WORK/EDUCATIONAL RELEASE, AND OTHER SIMILAR PROGRAMS. OVERCROWDING IN FEDERAL PRISONS AND CONSTITUTIONAL STANDARDS FOR CORRECTIONAL TREATMENT HAVE NECESSITATED THE PLANNING AND CONSTRUCTION OF 14 CORRECTIONAL INSTITUTIONS AND 7 NEW CORRECTIONAL CENTERS SINCE 1974. IN ADDITION, MORE EMPHASIS HAS BEEN PLACED ON PROVIDING INCREASED WORK AND TRAINING OPPORTUNITIES FOR FEDERAL PRISONERS. A NUMBER OF POLICIES HAVE ALSO BEEN INITIATED TO FACILITATE DAY-TO-DAY MANAGEMENT. THESE POLICIES HAVE INCLUDED A CONCERTED DRIVE TO RECRUIT SENSITIVE STAFF, THE DEVELOPMENT OF CAREER OPPORTUNITIES IN CORRECRTIONAL COUNSELING FOR LINE STAFF, THE DEVELOPMENT OF A SYSTEMATIC APPROACH TO STAFF TRAINING, AND IMPLEMETATION OF A DECENTRALIZED UNIT MANAGEMENT SYSTEM. IT IS CONCLUDED THAT CONSTRUCTION OF SMALLER, MORE HUMANE FACILITIES, CONTINUING INVOLVEMENT IN COMMUNITY PROGRAMMING, QUALITY MANPOWER RESOURCES AND TRAINING, AND DECENTRALIZED AND LESS DEPERSONALIZED MANAGEMENT AND DECISIOMAKING HAVE PROVIDED THE BOP WITH A BALANCED APPROACH FOR UTILIZING LIMITED RESOURCES IN THE MOST EFFECTIVE MANNER. (JAP)