This report covers the second year of programs funded under the Vocational Education Act of 1963. Topics covered include: (1) Services For More People, such as full-time postsecondary students, and out-of-school youth and adults, (2) Enrollments and Programs Surging Ahead, in which it was noted that enrollments increased in six major occupational programs in fiscal year 1966, with only home economics experiencing a decline, (3) Services Assuring Higher Quality, including teacher training and supervision, program evaluation, special demonstration and experimental programs, and development of state administration and leadership, and (4) Stronger Administrative Assistance illustrated by basic tools such as the State Plan for Vocational Education, Projected Program Activities Statement, and the Annual Report. Appendixes present narrative and statistical descriptions of administrative, fiscal, and program development activities. Earlier annual reports are available as ED 019 446 (1964) and VT 007 676 (1965). (CH)