This annual amendment to a Federally funded Massachusetts state plan for community service and continuing higher education concentrates on the improvement of local government. Suggested means include cluster committees for each of four key problem areas (environmental control, health and welfare, economic opportunity, education); development of partnerships, for funded projects, between higher educational institutions and the respective communities served; and improved information processing services. Guidelines for cooperative planning by cluster committees, partnerships, and the State Agency for Title 1 are laid down, followed by criteria for selecting program proposals and by administrative assurances as to the soundness of the amendment. (ly)