This white paper on educational accountability was written in response to a request from the Colorado Commission on Higher Education (CCHE). Of major concern in this study of accountability are the distinctions between system-level and institutional-level obligations. The concept of accountability is developed and related to other important processes, such as master planning, institutional role and mission definition, program review, resource allocation, and governance. Factors that make accountability requirements different for institutions with different missions are also covered. Specific requirements for accountability processes and related state agency functions in Colorado are addressed, with attention to a variety of Colorado statutes and procedures. Included are recommendations to CCHE concerning: system-level accountability, institutional action on selected statewide priorities, institutional accountability processes, and institution-level action. Appended is information on the kinds of methods available to assess effectiveness dimensions at the institutional and state/system levels. (SW)