This report describes a technique which can be used to provide both formative and summative evaluation of television programs designed to promote educational development in 3-, 4-, and 5-year-old children. The daily half-hour program evaluated is part of an Appalachia Educational Laboratory project, now in its second year. (Other project components are weekly visits in homes by paraprofessionals, and weekly visits by a mobile classroom.) Of the 170 TV programs transmitted in the first two years, observational data was collected on 133. The telecasts, designed to elicit overt responses from children, made possible a systematic observational evaluation of viewer responses. Each of eight paraprofessionals watched the program with a different child every morning so that, in a random fashion, all 270 children were observed an equal number of times. The observer coded children's responses while viewing the TV program and rated them on a standard tally sheet. First year and second year programs were compared on (1) the ratio of responses to questions asked by the TV teacher, (2) the ratio of negative reactions to enthusiastic reactions, and (3) the average number of enthusiastic reactions. Results indicate that systematic observational systems can provide formative evaluation of preschool TV programs to guide changes in presentation techniques, content, and emphasis. A summary of the AEL Early Childhood Program is available as PS 004 889. (AJ)