The materials in this manual are intended to provide the introductory information needed by new system advisory council members and staff of the Texas State Library on the history, role, governance, funding, services, and administration of library systems. Included in this handbook are discussions of: (1) The Role of Systems in Public Library Development in Texas (the formative years of library systems in Texas, a chronology of Texas Library systems from 1962 to date, and key concepts of public library development and systems); (2) The Governance of Systems (system governance at the regional level and the role of the State Library and Archives Commission in system governance); (3) System Funding and System Services; (4) The Administration of Systems (financial and performance management, planning for system services, other operational areas, and calendar of contract and reporting dates); and (5) Essential Documents for System Management (state and system working documents). A description of the roles and responsibilities of advisory council members, written by Alice Ihrig, is appended. (MAB)