As mandated by the U.S. Congress, this report evaluates the Learn and Serve America program's effects on higher education students (service providers), service recipients, and higher education institutions, and assesses the program's return on investment. An introduction summarizes the policy debate and reviews the study objectives and approach. Other sections: (1) review program accomplishments in direct service and capacity building; (2) assess the program's effects on student development; (3) assess the program's effects on communities; (4) assess the program's effects on colleges and universities as measured by four objectives (expanding student service opportunities, integrating service into course work, fostering mutually beneficial relationships with community organizations, and promoting sustainable programs); and (5) estimate the program's return on investment. The report finds that community organizations are strongly positive about the program; that institutional support is growing and an increasing number of service-learning courses are being offered; and that students are satisfied with their service learning courses. In measuring the program's return on investment, it was found that the value of services delivered increased sharply over three years relative to resources expended; in the third year, the return on investment was positive. (CH)