School boards, administrators, and representatives of the community should develop long-range plans that not only consider the present state of schools but attempt to project 10 years hence. Demographic changes in communities indicate that managing decline will require a willingness to pare expenditures and an attempt to win back citizens' confidence in public education. Among the approaches to managing decline are improved coordination between school districts for contract negotiations and labor relations generally, and for the legislative process. Coordination of programs and services and a common calendar for all schools reduces costs. Other budget measures include flexible staffing patterns that reduce salary costs, and fees for noninstructional programs. In view of an enrollment increase predicted by the end of the decade, contemplated school closings should be reconsidered. However, if school closing is necessary, school districts should allow sufficient lead time, establish objective reasons for the closings, and prioritize closings and relate them to long-range plans. Finally, there is a critical need for two-way open communication involving the public and the schools. (MLF)