In this address the U.S. Commissioner of Education discusses the changing nature of the relationship of Federal, State , and local governments to education. He states that the increasing tendency of mayors, governors, and school superintendents to rely heavily on the Federal government for solutions to educational problems should be reversed. The Federal Government's role in helping the states is to provide additional resources for equal educational opportunities for the poor to absorb much of the cost of educational change, and to aid the states in planning for and administering programs to achieve these purposes. However, the state and local governments are still expected to increase their support for education and to maintain educational standards. Too many bond issues and school tax levies for teachers' salaries and school facilities have already been defeated because it has been assumed that the Federal Government will bear these costs. In addition, states have not given sufficient support to cities, who need more state aid as their educational problems grow and as the tax base diminishes. To provide educational equality for all children, a state should allocate funds on the basis of need rather than property values. (NH)