AN ARTICLE ON SCHOOL DISTRICT REORGANIZATION IS PRESENTED TO PROVIDE HELP TO THOSE CONSIDERING THIS STEP AND TO SERVE AS A BASIS FOR RESEARCH. CHARACTERISTICS OF INADEQUATE DISTRICTS ARE LISTED, AND REASONS FOR CONTINUED EXISTENCE OF SUCH DISTRICTS ARE DISCUSSED. FIVE CRITERIA FOR MEASURING SCHOOL DISTRICT ADEQUACY ARE PRESENTED--SCOPE OF THE PROGRAM, ADMINISTRATION AND SCHOOL STAFF, STUDENT POPULATION, THE COMMUNITY, AND THE DISTRICT'S ECONOMIC BASE. MAJOR AREAS DISCUSSED FOR APPLICATION OF CRITERIA INCLUDE EDUCATION FROM KINDERGARTEN THROUGH GRADE 12, BOARD OF EDUCATION FUNCTIONS, SCHOOL PERSONNEL REQUIREMENTS, PUPIL-TEACHER AND PUPIL-COUNSELOR RATIOS, SCHOOL DISTRICT-COMMUNITY RELATIONSHIPS, AND MINIMUM EXPENDITURES FOR EDUCATIONAL PROGRAMS. IMPLICATIONS FOR RESEARCH INCLUDE TWO QUESTIONS--(1) DOES MAKING THE BOUNDARIES OF A SCHOOL DISTRICT COTERMINOUS WITH A NATURAL COMMUNITY LEAD TO MORE ADEQUATE SCHOOL PROGRAMS, AND (2) WHAT ARE SOME USEFUL MEASURES OF EDUCATIONAL POTENTIAL OF A SCHOOL DISTRICT. THE ARTICLE DOES NOT INCLUDE LARGE CITY SCHOOL DISTRICTS IN ITS DISCUSSION. THIS ARTICLE WAS PUBLISHED IN THE "ADMINISTRATOR'S NOTEBOOK," VOLUME 9, NUMBER 2, OCTOBER 1960 AND IS ALSO AVAILABLE FROM THE MIDWEST ADMINISTRATION CENTER, 5835 KIMBARK AVENUE, CHICAGO 37, ILLINOIS, FOR $0.25. (RB)