This report to the Illinois Board of Higher Education makes recommendations concerning the function, general locations, and initial governance of two new senior institutions in Illinois. The report also discusses the need for additional colleges, education of disavantaged youth, and continued studies of demographic growth and corresponding educational requirements. The new institutions are to be located in the Springfield area, and in the south area of Cook County. They are to be primarily commuter colleges with programs blending the liberal arts, sciences, and training for direct entry into occupations. Emphasis will be on work-study programs leading to the baccalaureate degree. Instruction is to begin at the junior level. Both institutions should (1) be free standing, (2) utilize outside counsel in planning, and (3) have a permanent advisory board. It was recommended that the Board of Governors of State Colleges and Universities be given responsibility for the development and maintenance of the Cook County area institution, and that the Board of Regents be given responsibility for the Springfield institution. Several tables on higher education in the state and some appendices are included. (AF)