This report responds to a National Science Foundation (NSF) request to provide advice on developing Engineering Research Centers, which NSF described as "on-campus centers that would house cross-disciplinary experimental research activities." In addition to conducting such research, the principal purposes of the centers are to provide a means for bringing together university and industry personnel to improve the education of those who will undertake the practice of engineering and to expose a significant number of engineering students to the nature and problems of cross-disciplinary research on engineering systems. Included in the report are guidelines related to the fundamental mission of such centers, the level and duration of their funding, and the criteria for judging the initial proposals and the success of the working programs. Several general observations pertinent to increasing the chances of successful operation of the centers are also discussed. These include continuing support for the disciplinary bases of engineering research by federal, state, and private sectors, recognizing that this program is an important step in solving some of the problems in engineering education, and allowing the centers considerable latitude in attaining their goals. (JN)