Consequences of the first allocation of public aid to independent schools in British Columbia in 1979 and 1980 were explored in this study. Interviews and questionnaires were used to query principals, education committee (or school board) members in private schools, and superintendents and presidents of teachers' associations in public schools. Three high officials of independent school associations were also interviewed. Findings (which are considered only tentative) suggest that the effects of British Columbia's program of aid to independent schools have been overwhelmingly positive, although some independent school leaders have expressed discomfort and worry about the accompanying regulatory procedures. Overall morale in insolvent independent schools apparently has been raised. The most affluent schools have been the most cautious about becoming dependent on the aid, using it almost entirely for scholarships, but more insolvent schools have readily allocated the funds for basic operating expenses, making it unlikely that they could withdraw from the program. There is little evidence of notable effects of the program on public schools, although public school leaders are fearful of enrollment loss, particularly of brighter students. A future study will look at effects on the social climate of schools. (Author/JM)