This how-to guide, which is designed to assist state and local welfare reform efforts, explains how to design, implement, and manage mandatory stay-in-school (learnfare) programs for teenage parents on welfare. The following topics are discussed in the guide's five chapters: the importance of focusing on teen parents on welfare, Ohio's Learning, Earning, and Parenting (LEAP) program model, and other programs for teen parents; targeting issues (determining program exemption criteria, making the most of limited resources, extending learnfare to teens who receive welfare but are not parents); program design (allowable activities, aspects of school performance to encourage, services and special services, and bonuses and threats of sanctions); implementation challenges (key operational tasks, key staff and system capabilities, best ways of identifying and enrolling eligible teens, streamlining financial incentives and sanctions, linkages with schools); and program management (responsibility for running learnfare programs, staff duties, administrator roles, ways of maximizing participation, noncompliance with program rules, evaluation of programs' effectiveness). Checklists of best practices conclude chapters 2-5. Appended are the teenage parent provisions of the 1996 federal welfare law and four tables from the LEAP evaluation. (Contains 51 references and a list of 51 recent publications on Manpower Demonstration Research Corporation projects.) (MN)