To determine the connection between newly formed stars and molecular clouds, observations were made in and around the young OB association Cepheus OB3 in the J = 1→0 transition of ^(12)CO. An extended (20 pc x 60 pc) molecular cloud was detected and mapped, and additional observations of ^(13)CO and H_2CO were made at selected positions. Moderately enhanced temperatures and densities were noted in several portions of the cloud. It appears that star formation is still continuing in the Cepheus OB3 complex