The Project on Adult Literacy was an independent, nonpartisan research effort that examined the role that the federal government has played in promoting adult literacy and the role that it should play. The project began operation in July 1988 and issued its final report in January 1989. It was discovered that the literacy problem in the United States has two dimensions: the difficulties experienced by all of those with limited basic skills and the difficulties experienced by those with limited proficiency in English. The literacy problems experienced by immigrants and Hispanics are especially pressing. Another important problem identified was the lack of literacy programs in the workplace. The measures required to come to grips with the problem of adult literacy in the near term are neither very expensive nor very difficult. The federal government must address the adult literacy problem from its executive and legislative branches. The President should establish adult literacy (and work force literacy in particular) as a major priority of his administration and should establish a cabinet council on adult literacy. Congress should introduce the Adult Basic Skills Act of 1989, which would build a stronger intellectual base for adult literacy, promote innovation in training and technology, and reinforce federalism. (MN)