The assistance program to American Indians enrolled in public schools, known as the Johnson-O'Malley (JOM) Program, has drawn increasing attention in recent years for Indian people, the general public, and the Bureau of Indian Affairs (BIA). This has resulted in the need for changes in the BIA Manual and the Code of Federal Regulations (CFR) material dealing with these programs and funds. Beginning with the passage of the JOM Act in 1934, this document explains the original act and its revisions, including its initial intent. Up to the FY 1975 appropriation, the position of the Administration and Congress has been that the JOM program is intended for public school Indian children who live on or near reservations. There has been, though, considerable expression of a desire to expand the program beyond the present eligibility restrictions and to include Indian children wherever they may live, so long as they are from a federally recognized tribe. The BIA has instigated assessments and audits aimed at improving the JOM program and is now working to change the CFR so that it better reflects the many changes that have been and may be made relative to the program. The report includes many of the various memos, drafts, proposed budgets and legislation, and reactions to proposed regulation changes. These cover special education programs, authority and definitions, contract eligibility, community participation, and general contract requirements. (KM)