This long-range plan for higher education in New Mexico is designed as a guide for decision making rather than a plan for individual colleges. Introductory sections explain the development of the plan; planning principles and assumptions; conclusions about economic development, demography, and education in New Mexico; goals and priorities; and a vision for the future of higher education in the state. The bulk of the report consists of 32 policy statements. The first set focuses on the development of the higher education system, including statements on institutional role and mission, 2-year postsecondary education, 2-year college role and mission, comprehensive institutional planning, consortia, and interstate compacts. The second group of policies deal with the quality of education in New Mexico, including statements on a statewide accountability program, state-level program review, accreditation, faculty quality and renewal, endowed faculty chairs, technology transfer, adequate and equitable funding, a system development fund, the use of research overhead, capital outlay, and athletics. The next set of policies offers guidelines for improving the relationships between public schools and higher education, including statements on linkages between higher education and public schools, student preparation for college, the education of teachers, early savings for college, and the New Mexico Educational Research Foundation. Policies on improving the participation of minorities in higher education are presented next, including statements on financial incentives for improved participation; professional shortages; linking costs, tuition, and financial aid; developmental education; diversification of the delivery of education; and statewide course articulation. Finally, policies are presented on the role of the Commission on Higher Education. Data tables and charts are provided throughout the report. (JMC)