The California Library Authority for Systems and Services (CLASS) was formed by a Joint Exercise of Powers Agreement in June, 1976, to assist in developing and implementing a system for library program development and resource sharing. As a cooperative public agency, CLASS serves academic, public, and special libraries. The first annual report includes: (1) a summary and chronology of the year's activities; (2) membership; (3) publications; (4) finances; (5) audit report; (6) statement of revenues; and (7) directories of the Board of Directors, the Authority Advisory Council, the Interim Planning Committee, and members. (AWP)