In 2007, the Texas Legislature (80th Texas Legislature, Regular Session, 2007) authorized the creation of the Texas Rural Technology (R-Tech) Pilot program, which provides $8 million in funding to support rural districts in implementing technology-based supplemental education programs. In order to be eligible for funding, districts must have served fewer than 5,000 students and must not have been located in a metropolitan region of the state in 2007. Districts with limited course offerings and low accountability ratings received priority in grant awards. R-Tech funding is intended to support supplemental educational programs, including online courses, offered outside of students' regularly scheduled classes (e.g., before or after school). Districts that receive funding are required to provide students in Grades 6 through 12 with access to technology-based instructional resources for a minimum of 10 hours a week. In establishing R-Tech, the Legislature required that the program be evaluated to assess its effects on student and teacher outcomes, as well as the program's cost effectiveness. The findings presented in this report are preliminary and are drawn from R-Tech's first implementation year in Cycle 1 districts. The ongoing evaluation will continue to collect information about how Cycle 1 districts implement R-Tech, the challenges and benefits of implementation, and the program's effect on student and teacher outcomes, as well as its cost effectiveness across the grant's second year. More conclusive findings for the grant's full 2-year implementation period will be presented in the final evaluation report (fall 2010). Appended are: (1) The Online Principal and R-Tech Facilitator Survey; (2) Online Teacher Survey; (3) Online Student Survey; (4) R-Tech Site Visits; (5) The Implementation of Dual Credit Courses on R-Tech Campuses; and (6) Technical Appendix--Hierarchical Linear Modeling (HLM). (Contains 11 figures, 53 tables, and 60 footnotes.) [For "The Texas Rural Technology (R-TECH) Pilot Program: Second Interim Evaluation Report. Executive Summary," see ED536696.]