Since 1981, Chapter 1 of the Education Consolidation and Improvement Act has provided school districts with supplementary services funds for more than five million low-achieving students. Historically, schools have used "pull-out" programs to serve this population, but the provisions of the current legislation, the Hawkins-Stafford School Improvement Amendments of 1988, allow schools with an enrollment of at least 75 percent low-income students to use Chapter 1 funds to create schoolwide projects for improving programs throughout the entire school. Considerable flexibility in the implementation of schoolwide projects is allowed, although there are some limitations. Projects usually include the following components: (1) supplementary and pull-out services; (2) staff development; (3) supplementary professional staff members; (4) family-oriented programs; (5) innovative practices; and (6) other enrichment programs. The benefits of schoolwide programs, in increased flexibility and improved services, are becoming apparent. Drawbacks do exist, however, including a lack of documented academic improvement coupled with high costs at some locations. Costs, time commitments, and the problems of program evaluation requirements also discourage some districts from committing to schoolwide projects. The as yet undeveloped potential of schoolwide projects means that their future implementation must be thoughtful and thorough. (Contains eight references.) (SLD)