The Madhouse Projects is mainly about automotive engineer Dick Thurman who is dismissed from a California University and begins work at an underground research and development installation in Arizona called the Madhouse due to all the activity there. He meets various people who work on projects there for an organization called BOSS which stands for Backers and Organizers for Sensible Solutions. He builds fly-wheel-power electric Indy cars which are raced at the 2037 Indianapolis 500.

Dick's wife Kate starts working at the Madhouse after the Thurmans are considered killed in an accident. She used a virtual reality program which gets information out of a South American drug lord that nails people with drug charges. Later she develops a micromachine system that allows people to experience good mind trips.

Dick also develops levitated flying cars that use a double-field motive system to levitate and field displacement to fly like UFO. Dick and Kate's Christmas vacation to Europe and to Russia also needs a Madhouse which he helps organize with the help of the Russian President. It also deals with projects that are carried out in places around the world for the betterment of society and to improve the conditions of the world.