This report presents a two-dimensional framework for classifying the health system which is recommended for use by health planning agencies during plan development activities. The content is in six sections: The first section discusses the need for a consistent planning framework. Section 2 presents the rationale for the selection of health services and the settings in which these services are delivered as the primary dimensions for classifying the health system. Section 3 covers the following two-level classification scheme: The services are grouped into seven first-level categories according to their intended purpose (community health promotion and protection, prevention and detection, diagnosis and treatment, habilitation and rehabilitation, maintenance services, personal health care support services, and health system enabling services), and then subclassified into second level categories wherever differences in techniques or areas of concern are readily distinguished; and the settings are first grouped into seven first-level categories according to the expected locational relationship between the provider and those served (home, mobile, ambulatory, short-stay inpatient, long-stay inpatient, free-standing support, and community) and then categorized by organizational type, where applicable. Section 4 briefly discusses the uses for the recommended framework; and section 5 defines each of the categories comprising the services classification scheme. The final section defines the setting classification categories. (EM)