This report has three parts--recommendations, substantiation for the recommendations, and an appendix of charts and tables. The recommendations are as follows: that the state board of education be assigned the sole responsibility for planning and overseeing the educational programs and related instructional services whereby all individuals in Illinois have an opportunity to reach their fullest possible educational development from early age through secondary school; that the state revise its method of financing the education of children with handicaps and other exceptionalities (the most recommended method is full state funding of extra costs); that the state board be given such responsibilities and financial resources as are necessary to establish an information system for reporting and accounting by public schools, other governmental agencies, and private agencies to carry into effect the recommendations and to improve the knowledge of educational activities in general; and that the present study be continued for four specific purposes. The chapters of the report are "Alternative Methods of Financing Special Education,""Special Education Services Provided by State Agencies,""Special Education and Assessment of Pupil Needs,""Education of Pre-School Age Handicapped Children," and "Bilingualism and Special Education." (Author/IRT)