This document first provides an overall explanation of the Education Consolidation Improvement Act Chapter 1 and then describes Arkansas' involvement in Chapter 1 services. The report reveals that there were 76,588 Arkansas students who received Chapter 1 services in fiscal year (FY) 92, which amounted to a 7 percent increase over the previous year. Statistical data cover the following areas: (1) the number of local education agencies that participate in Chapter 1; (2) the ethnic distribution of students in Arkansas using Chapter 1 services; (3) the total number of students using Chapter 1 services by grade level; (4) the total distribution of Chapter 1 expenditures for all state institutions for 1991-92; (5) 1992 achievement levels in reading, mathematics, and language arts; and (6) the prevalence and costs of various kinds of staff members employed in Chapter 1 programs during both the regular term and summer school. Data show that for FY 92, Chapter 1 funding was over $65 million for public school students, an 18.1 percent increase over FY 91. Achievement tests show that reading, language arts, and mathematics programs across Arkansas have been improved, with the average Normal Curve Equivalent Score gains across all grades being positive, except in math for advanced skills in grades 10 and 11. (GLR)