This second-year project report describes the current status and future planned development of the Florida Information Resource Network (FIRN), an evolving statewide system which will make possible the electronic movement of educational data between Florida's public schools, school districts, colleges, universities, the Department of Education (DOE), and the legislature. Major sections of the report discuss legislative and DOE activities related to FIRN, current and future levels of functional computing capability in Florida's educational system, the five-phase FIRN implementation program, and FIRN's anticipated costs. The timing of implementation phases; advisory, policy and staff considerations; security and privacy issues; and proposed methods of evaluation are briefly described. A technical summary of hardware, software, and system configurations in different FIRN implementation stages is provided. Appendices contain diagrams of the management information system model used by Florida's educational information community and the hierarchy of that community; a list of current computing capabilities of the individual Florida school districts; sample pages from a FIRN data element dictionary covering student, program, staff, finance, facility, and community data elements; a recommendation from the State University System of Florida (SUS) for an educational computer network; and a review of DOE and public school data collection instruments and activities. A list of FIRN benefits and a glossary are included. (ESR)