In response to Legislative Resolve 47 of the 1989 Alaska Legislature, the Alaska State Board of Education prepared this report on efforts to improve school performance and recommendations for legislative action. In the past year, the State Board met with educators, parents, Native leaders and organizations, nationally known experts, and appropriate legislative committees; appointed task forces to examine four major areas; and drafted legislative proposals. These proposals recommend that the legislature appropriate funds to: (1) restructure educational services in grades K-4, emphasizing language development and integration of curriculum content; (2) develop business and school partnerships aimed at preventing dropout; (3) create incentive programs to encourage high risk students to stay in school; (4) provide early childhood education and parenting programs; and (5) develop an evaluation and research agenda to focus on Alaska's education problems. The Alaska Department of Education will form partnerships with colleges and universities to strengthen teacher education programs and to recruit Native and rural residents. The Department of Education will develop pilot projects aimed at improving student performance in low performing districts. The State Board of Education will adopt a statewide school improvement plan featuring standards for educational outcomes, objectives for low performing districts, and an assessment and monitoring system. Appendices contain information on: (1) factors contributing to poor student performance; (2) the extent of Alaska's at-risk problem; (3) common characteristics of the 20 low achieving school districts; (4) state standards for outcomes of public education; and (5) State Board of Education long-range goals for school and student performance. (SV)