This bulletin, the first of the Schools Council, suggests a possible approach to the problems of moderation which are likely to arise with internal, or school based examinations. Primarily, the local problem is discussed: How can schools, and groups of schools, best cooperate with the regional moderator to reach agreement on the reliability and validity of internal examinations, and on the distribution of grades? The three sections are: I - Local Examining, Assessing and Moderating by Teachers in Groups of Like-Minded Schools, in which the general principles and framework are discussed; II - Regional Moderation, which reviews the general principles and the first and second stages of regional moderation; and III - National Modernization, which presents general principles, goodness of fit, and the procedure for 1965, 1966, and 1967. The appendix contains order statistics and range estimates. (LS)