This handbook was designed to assist adult basic education (ABE) program operators in developing and implementing programs responsive to local needs and resources. The handbook was prepared based on information gathered during a search of related literature, contributions of ABE practitioners, input from the project advisory committee, and the ideas of industry-education coordinators considered most appropriate for operators of ABE programs, primarily those in urban centers. The handbook is organized around four major topics: (1) overview of community resources used in ABE programs; (2) cooperative planning--a systems approach; (3) implementing cooperative arrangements; and (4) program evaluation. Each of these topics is described in detail to provide the reader with an understanding of the procedures involved in establishing or improving ABE cooperative planning and arrangements. (KC)