This report details 12 recommendations and actions, agency re-invention activities, and fiscal impact analyses for the Department of Education resulting from the National Performance Review. Overall, the recommendations and analyses show that the Department could save $173.2 million by 1999 and that, by adopting these recommendations to clarify and simplify its work, the Department could operate more effectively. The recommendations are: (1) redesign of Chapter 1 of the elementary and Secondary Education Act; (2) reduction of the number of programs the Department of Education administers; (3) consolidation of the Eisenhower Math and Science Education Program with Chapter 2; (4) consolidation of National Security Education Act programs; (5) streamlining and improving the Department's grants process; (6) provision of incentives for the Department's debt collection service; (7) simplification and strengthening of the institutional eligibility and certification for participation in federal student aid; (8) creation of a single point of contact of program and grant information; (9) improvement of employee development opportunities; (10) elimination of the grant-back statutory provision of the General Education Provisions act; (11) construction of a professional, mission-driven structure for research; and (12) development of a strategy for technical assistance and information dissemination. Appendixes contain justifications for the elimination of programs and list accompanying reports of the National Performance Review. (JB)