The relationship between federal policy and educational research is discussed by the Assistant Secretary for Research and Improvement and Counselor to the Secretary of the Department of Education. Issues covered include federal funding, with particular attention to the department's recent fiscal year budget submissions for the Office of Educational Research and Improvement (OERI), OERI structural changes resulting in the creation of the National Center for Education Statistics, the National Assessment of Educational Progress, OERI research centers, research grants competition, fellowships, information dissemination, and the Educational Resources information Center (ERIC). The separation of research from statistics and assessment within the federal structure, and the thriving nature of mission-related research are discussed. The general perception of educational research as lacking real value is discussed, and education is compared to law and contrasted to medicine. Finally, a paradigmatic shift in educational research is advocated that is based on the successful and widely-accepted model of mission-related research. (TJH)