This is a NAVAL POSTGRADUATE SCHOOL MONTEREY CA report procured by the Pentagon and made available for public release. It has been reproduced in the best form available to the Pentagon. It is not spiral-bound, but rather assembled with Velobinding in a soft, white linen cover. The Storming Media report number is A923043. The abstract provided by the Pentagon follows: The Department of Defense (DoD) has numerous initiatives underway to improve the health care delivery system within the military. Telemedicine is one of these initiatives that combine images, videos, sounds, and text to enhance the health care providers' ability to diagnosis and treat patients. The Secretary of the Army in October 1994 established, "The Center for Total Access" as a laboratory for healthcare re-engineering in the military. This thesis is provided as a resource guide to inform those who may become involved with this complex and chaotic field of telemedicine by providing a review of state-of-the- art technology that can support delivery of telemedicine, and by proposing a cost benefit framework for telemedicine configuration design. The material for this thesis was primarily researched utilizing Internet web browsing technologies. A review of the Tri-Service Infrastructure Management Program Office (TIMPO) project (MEDNET) is outlined as working example of a large regional telemedicine I telehealth system which was found to be the most revealing in the study of telemedicine.