A basic function of the Diffusion/Adoption Network is to assist interested school districts in becoming aware of successfully demonstrated, innovative educational ideas, products, and programs; and in aquiring, through training, the competencies necessary to adopt or adapt a proven educational program. There are five basic components of the Network: (1) the Developer Demonstrators, Local Education Agencies (LEAs) which have developed exemplary education programs on the local level; (2) State Facilitators, also LEAs, aiding other LEAs in their states to determine needs relative to the Network's pool of projects; (3) State Education Agencies, working with the State Facilitators, and aiding in the identification of programs which will continue the Network's successful practices after initial establishment and testing; (4) The Office of Education, providing the impetus, funding, and technical assistance for establishing the Network, and responsible for monitoring and evaluating its implementation; and (5) LEAs, representing the terminals of the delivery system, the consumers whose needs are to be met through the adoption or adaption of the developer demonstrator projects. This document presents an evaluation of the first year of the network's operation. (JD)