This annual report by the Commission on Higher Education's details progress toward goals and objectives, annual statistics, and key issues in accreditation and quality assurance. A recurring theme of the report and the year it covers is the changing relationship between accrediting agencies and the federal and state governments, specifically in light of the Higher Education Act amendments of 1992. Following an opening message from the executive director, the first section describes executive and professional staff liaison with institutions in a range of campus visits and office meetings related to self-study, evaluation, and the requirements and expectations for applicant and candidate institutions. A section on annual statistics lists institutions receiving candidate status, reaffirmed accreditation, follow-up reports, candidate reports, visits, or other developments. The next four sections discuss information literacy and library support efforts, policy development work, new policy statements on student transfer and articulation, and accreditation of free-standing American institutions abroad. This section also discusses areas for policy work and development in 1994-95. The report includes a description of liaison with external organizations and groups, and workshops, conferences and special events held during 1993-94. A final page lists Commission members and staff. (JB)