This report, presented to the Legislative Finance Committee of the State of New Mexico, assesses the present procedures for evaluating and accrediting the public schools and makes recommendations for changes. The major flaws found in the present procedures are the amount of man hours involved and the focus on processes rather than outcomes. Recommendations are made for a reorganization of the staff involved in evaluation to reduce the time required and to provide for more citizen participation. It is also recommended that evaluation emphasize outcomes wherever possible and that a research effort be undertaken to provide firm data on the relationship between certain educational processes and outcomes. An appendix contains selected questions and answers which followed presentation of the report. (RT)