The National Consortium on Testing undertook a case study of South Carolina's competency testing program. The Basic Skills Assessment Act (BSAA) passed in 1978 provided for the Basic Skills Assessment Program (BSAP). This program seemed a progressive approach because it is keyed to particular educational objectives. It is being implemented sequentially and focuses on assessment early in a student's school career. The assessment program provides information useful in furthering a child's development and learning. The report focused on the first grade readiness assessment portion of the BSAP. Kindergarten attendance is not compulsory in South Carolina. Therefore, children enter first grade with a wide variety of educational experiences. Teachers and administrators perceived many strengths and positive aspects to the readiness assessment in addition to its weaknesses. However, assessment does not seem to be influencing teaching and learning as it was assumed in the developement of BSAP. Implementation of centrally planned educational programs often encounters problems at the classroom level. The BSAP was found to be very progressive when compared to other state competency testing programs. Recommendations for improvements were listed. (DWH)