School psychologists (13) representing the 6 counties served by the Northern Indian California Education Project (Title III, Elementary and Secondary Education Act) attended a workshop on January 14, 1972, at Humboldt State College. Also attending were Humboldt State personnel from the fields of education and psychology. The workshop was intended to bring together the practicing school psychologists to discuss educational problems of American Indian children within the service area. The problems of accurately conducting diagnostic evaluations of Indian students for special education placement or for other such purposes was of primary concern. A pre-questionnaire was administered to determine what instruments and procedures are currently used. The questionnaire was analyzed by tabulating responses and by running a factor analysis of correlations among responses. The education problem was seen as having 2 basic sources: (1) school--poor teaching, poor expectancies on the part of educators, irrelevant material, vast difference in environment from home; and (2) home and cultural factors--poor use of language by parents, unfavorable perception of education, different goals and values, and so on. The solutions decided upon were to develop a wide range of learning skills, more flexibility in educational programs, preschool work, smaller classes, better diagnostics, special instruction, and stressing of positive aspects of child's performance in communication with the home. The respondents also suggested that better instruments are needed for testing minority group children. (FF)