In January 2001, the chancellor of the Virginia Community College System (VCCS) appointed a Distance Learning Task Force to develop a distance learning strategic plan. This final report details the Task Force's strategic plan in which they developed a distance learning vision, designed a prospective governance model, defined funding assumptions, and proposed a number of inter-related funding strategies. This report examines the strategic plan in six sections: (1) introduction; (2) current environment; (3) developing the distance learning governance model; (4) the distance learning governance model; (5) the distance learning funding model; and (6) implementation considerations (strategic, organizational, technology, delivery, policy, and process considerations). The plan endorses taking a student-centered approach to learning and providing support services that ensure student success and faculty development. Five key themes emerged from interviews and focus groups: rewards and incentives, structural balance, integrated services and infrastructure, quality assurance, and vision. It was also determined that strong and effective leadership is essential for realizing the distance learning vision. This report contains 11 appendices which include a glossary of terms, an interview guide, results from student and faculty surveys, four alternative governance models, four alternative funding models, learner services paths, and service center expenditure scenarios. (KP)