This is a book-length description of a large-scale, national implementation of a nonformal/community education project in Indonesia financed by a World Bank loan and jointly implemented by the Directorate of Community Education (PENMAS) and the Center for International Education at UMass Amherst. It describes the major components of the PENMAS nonformal Education Project. The text is organized in the following manner: Chapters I, II and III give the reader an overview of PENMAS, including its history and development, and of the scope and goals of the project. Chapters IV, V and VI describe various types and levels of staff training conducted under the project, an activity which was a critical component in the building of PENMAS' institutional capacity in nonformal education. Chapter VII presents and analyzes the complex materials development systems and types of learning materials produced by PENMAS. Chapter VIII describes the PENMAS framework for evaluation and discusses several principles of formative evaluation derived from this project's experience. Chapter IX reviews highlights from the summative evaluation project report, including a description of the evaluation design and the methodology and policies recommended as a result of the data analysis. Finally, chapter X elaborates on the relationship developed between PENMAS and the Center for International Education at the University of Massachusetts and the collaborative techniques used in managing the technical assistance component. Chapter XI concludes with a look to future possibilities of PENMAS based on project experience.