Various feedback mechanisms between the oceans and the atmosphere were examined. Several of these mechanisms appear to be the cause of the interannual variability of the atmosphere's general circulation and of climatic changes on a time scale of several tens of years. Specifically, a recent cooling trend in the North Pacific north of 40/sup 0/N, and sea-surface temperature fluctuations with an irregular periodicity of 2 to 4 years superimposed upon this trend were examined. To advance regional long-range forecasting skills we correlated January temperature anomalies over the eastern United States with flow patterns over the U.S. and Canada. The space-heating energy-consumption model for Greeley, Colorado, for the winter of 1976-77 was within 98.9 percent of actual natural gas consumption for that city. Modelling of Cheyenne, Wyoming, including the testing of a new statistical scheme to develop the building census required by our energy consumption model, is under way.