Based on 3-year evaluation of Utah State Office of Education (USOE) programs funded and operated under Title IV of the Elementary and Secondary Education Act, this manual suggests steps and procedures for use by the USOE or other similar agencies responsible for soliciting and reviewing proposals for funding of educational programs. Steps include: (1) eliciting high-quality proposals by using clear Requests for Proposals and model proposals; (2) preparing for the proposal review by carefully selecting reviewers and structuring panels, setting professional standards, controlling bias, properly preparing the proposals, developing the review instruments (criteria and rating forms), and providing specific instructions and training for reviewers; (3) conducting the proposal review process smoothly and objectively by appointing a coordinator (the program officer of the funding agency and/or a hired consultant), by completing individual reviews before panel reviews, and by making clear, consistent recommendations; and (4) presenting the proposal review results to the funding agency, including a technical summary of each recommended application and a pre-funding cover memorandum (a general description of the review process and the final recommended dollar amount of the award). Appendices contain support materials to illustrate and facilitate these procedures. (BS)