The provision of vocational education and training (VET) delivered by Australia's adult and community education (ACE) sector was examined to identify the strengths the ACE sector brings to VET provision and challenges faced by the ACE sector in providing VET programs. Data were collected through the following four activities: (1) a literature review; (2) focus group discussions with 255 learners studying in ACE or technical and further education (TAFE) contexts; (3) questionnaires completed by 656 learners studying in ACE or TAFE contexts and 42 providers; and (4) interviews with ACE sector representatives. The evidence demonstrated that education and training provision within the ACE sector has distinctive qualities that are not commonly found in other VET or TAFE providers. ACE used a holistic approach to help learners link learning, work, and social activity in a way that encourages lifelong learning. VET delivered through ACE proved especially valuable to women and disadvantaged persons. Important bridges between the ACE, VET, and TAFE sectors were identified that must be supported with adequate funding. (The report contains 29 references and 22 figures/tables. Appended are the following: a list of ACE and TAFE providers who assisted with the research; questionnaire to ACE and TAFE learners; and a questionnaire to ACE providers and staff.) (MN)