This report summarizes research supports addressing three areas as targets for educational improvement in Alabama: beginning reading, expansion of reading power, and intensive intervention for those who are reading below grade level. The paper also describes Alabama's statewide initiative to implement best practices in these areas and summarizes the results of the reading improvement imitative for the year academic 1999-2000. The Alabama Reading Initiative (ARI), a collaborative model, was based on an extensive literature review and teacher training in summer institutes to help teachers implement research-based reading instruction. Implementation began at 16 schools named as Literacy Demonstration Sites for the 1998-1999 school year. In the second year of implementation, the year of this study, approximately 27,700 students, 2,354 teachers, 81 principals, 75 reading specialists, 64 higher education partners, and 21 preservice teacher education programs participated. The year-2 evaluation involved internal and external evaluation components that included surveys completed by 1,860 teachers, 77 principals, 74 reading specialists, 44 higher education partners, and 49 higher education faculty members. Overall findings include small but positive improvement on Stanford 9 reading test results for ARI students. Teachers at ARI schools reported increases in the use of research-based strategies and in student reading time, greater confidence and enthusiasm toward instruction, and improved student and teacher attitudes. Schools varied in the improvement noted on the Stanford 9 results, and findings suggested three factors linked to a greater degree of success: (1) the principal as a champion of ARI; (2) a hands-on and helpful reading specialist; and (3) a deeply involved higher education partner. (Contains 18 references.) (SLD)