In this booklet, the New York State Department of Education's approach to the evaluation of categorically aided projects is described. It is stated that in recent years, the emphasis has been on structuring the content of data and limiting it to factors which are comparable and useful at local, State and Federal levels. Measurement procedures which should be employed in the data collection process are detailed. Suggestions are made with regard to language, local testing objectives, norming procedures, functional level testing, evaluation design models, and alternative designs to conventional testing methods. Format and data transmittal systems for aggregating data supplied to the State Department of Education by the schools are explained. A list of guidelines for categorical programs evaluation plans is provided. (WI)