This annual report consists of two major sections--the system staff and programs of the state's ten library systems, and the summary budget analysis. Information provided for each of the ten systems includes the address, telephone number, name of system coordinator of the interlibrary loan office and a directory of staff members; names and addresses of system advisory council members; a table of member libraries, showing population served, qualification, and deficient criterion (if applicable); and abstracts of system programs for SFY 1979. A statistical analysis of the budget includes system funds distribution, expenditures for collection enrichment, system film programs, continuing education and system administration programs, expenditures for headquarters staff, and system staffing. Included in the report are a state map showing the regional library systems and Texas library association districts, an introductory description of the state system (background, programs, and funding), and a staff directory of the Library Development Division of the Texas State Library. (JD)