The level of competition between secondary adult education and community college programs, and the effects of duplication of services upon finances was the focus of this California study. Three geographic areas were selected to represent high inter-institutional cooperation, moderate competition, and intense competition. Key administrative personnel were interviewed and related documents were examined. Findings revealed that: (1) institutions tended to develop programs in isolation; (2) course offerings were not modified as a result of the initiation of competitive programs; (3) the student recruitment pool was similar; (4) students tended to be disproportionately white, middle-class, female, and more educated than the general population; (5) conflicts emerged from invasion of institutional "territory," but were not harmful because of the large student pool; (6) alternative adult programs increased overall adult enrollments; and (7) there was little "unnecessary duplication" since classes were either filled or cancelled, although community college costs were higher than those of secondary adult programs. Legislation pertaining to this area is discussed, as are the effects of SB1641 on finance formulas for community college enrollment growth and decline. (RT)