In a report of results of a study to the Northern New England Campus Compact, students who participated in service-learning courses scored significantly higher on all measures. The students reported higher community engagement, academic engagement, interpersonal engagement, academic challenge, and likelihood to remain at the university (retention) than students in courses that did not include service-learning. In addition, a mediation model showed that academic challenge and academic engagement were the elements of service-learning courses that most influenced students’ decision to stay at the university (retention).