The Piedmont Schools Project (PSP) was one of the Experimental Schools Projects awarded grants by the National Institute of Education (NIE). The PSP is located in the Piedmont region near Greer, South Carolina and serves approximately 5,000 K-12 students from eight schools. The students in this region have historically performed at one or more grade levels below the national average on all content areas of standardized achievement tests. Major characteristics of the PSP include community involvement, individualized instruction, the open school, differentiated staffing, affective education, and ongoing evaluation. Two evaluation teams--Level I, which works for and reports to the project, and Level II, which works for and reports to NIE--provide on-site evaluation. This paper describes various aspects of the Level I PSP evaluation: the evaluation team, its responsibilities and activities (which include testing programs, surveys, and reports), and problems encountered. The author concludes that an on-site formative evaluation can contribute a great deal toward the success of an educational program. (Author/MV)