A group of 442 New York district jurisdictions (which are overwhelmingly rural but have some "metropolitan" county locations) with 2,500 or fewer pupils are subdivided by size (1,100 or fewer pupils, 210 rural or metropolitan sites; 1,100-2,500 pupils, 212 rural or metropolitan sites; and 20 small city or metropolitan sites of 2,500 or under pupils) and compared as a modified single system. The specific questions of the analysis were the following: (1) Do small K-12 districts, subdivided by size, differ systematically from one another according to select academic or fiscal variables? (2) Does the district size of 500 or fewer pupils or location in "metropolitan proximity" to New York's 5 biggest cities further erode the possibility of successfully implementing "local site" educational reform operations in select districts? (3) Which districts with fewer than 2,500 pupils are further identified as the "worst" academic districts according to six indices of schooling? (4) Which of these smaller (under 2,500 pupils) districts would be further classified as "true 1990s fiscal hardships" according to 6 economic indices? and (5) Which of these smaller districts (under 2,500 pupils) enjoy a special compensation to true redistribution of state aid resources under categories of "high tax" and "reorganization incentive" districts? Findings confirm patterns of systemic difference and specific particularity within the statewide system. Appended are five charts and a select glossary. (41 references) (MLF)