After 3 years of operation, the Appalachian Regional Commission presents this report and evaluation of its activities as required by the Appalachian Regional Development Act of 1965. A brief overview is given of the history of the program, the Federal-state relationship, the strategy and method of attacking the regions' rural and urban problems, and methods of financing the program. Specific reports for programs in transportation, education and health, community facilities and housing, natural resources, local development districts, and related research are also presented for the various states and regions included in Appalachia. (DK)