Nitrogen and phosphorus budgets for two catfish raceways near Durant, Oklahoma, during 1972 and 1973, indicated that 18 to 64% of the total nutrient inputs accumulated in the raceways' sediment. Both N and P inflow/outflow levels were relatively constant throughout the study. Levels of nitrite-N, nitrate-N, ammonium-N, and organic-N were generally higher in the outflow than the inflow, but were typically within recommended water quality limits. Similarly, average total and soluble P concentrations increased in the raceways, doubling from inflow to outflow. Nevertheless, the increased N and P levels did not result in serious problems due to algae or other aquatic growths. Moreover, the health and growth of the catfish remained good. Present raceway management and catfish production practices seem to pose no particular water quality problem.