The underrepresentation of Mexican Americans in Texas higher education is a major challenge facing the state's leaders. In Texas the growing Mexican American population will constitute the majority of the labor force in 20 to 30 years. The only way to insure a healthy and productive economy for Texas in the future is to invest now in the education of this labor force. The educational attainment of Mexican Americans is falling in proportion to their share of the population growth since 1965. Participation rates for Mexican Americans on college and university faculties are also falling. These trends must be reversed. Community colleges are in a position to offer valuable educational services if their leaders recognize and respond to the needs of the Mexican American community. Statewide articulation policies are needed to guarantee that students can transfer without penalty from 2- to 4-year institutions. Remedial and compensatory programs and the open admission policy should continue. Leaders in higher education must take action to increase the representation of Mexican Americans in higher education--as students, faculty members, and decision makers. This report includes 63 specific recommendations for educational policy related to the issues of participation, community college role, articulation, remedial education, and governance. (JHZ)