This annual report provides a blueprint for higher education in Missouri and reviews activities undertaken throughout the state to further these goals. It outlines the vision statement for higher education in the state and summarizes the 1996 Governor's Conference on Higher Education. The report goes on to discuss the state's plan for postsecondary technical education and telecommunication-based delivery systems. It reviews programmatic initiatives at various institutions, partnerships, institutional planning, and data on performance measures. The report then examines student financial assistance in the state, discussing the Missouri Student Loan Program, the Missouri Student Grant Program, the Missouri Higher Education Academic Scholarship Program, and the Marguerite Rose Bernett Memorial Scholarship Program. It also discusses outreach activities, the proprietary school certification program, fiscal affairs, the appropriations process, and recent higher education legislation. (MDM)