A method for improving curriculum and schools through the local development of competency tests in basic skills--the Competency-Rossville Model (CRM)--is outlined. The method was originated in the school system of Rossville (Illinois) and has been tested in five other midwestern school systems. The approach leads the faculty of the school, with the guidance of a measurement consultant, in the development of a series of grade-level tests to measure mastery in basic skills achievement. This method of test development serves to articulate the curriculum; provides a useful, relevant, and appropriate achievement testing program; and provides a management system for the improvement of basic skills instruction. The CRM is compared favorably to the norm referenced testing model. The CRM program includes: (1) inservice instruction of faculty in an alternate model of evaluation of academic achievement; (2) a committee of school faculty formed around use of the Delphi method to confer with their fellow teachers; (3) grade-level representatives in charge of informal committees for each grade level; (4) informal teacher conferences, involving each grade level, to establish a list of skills to be mastered by students; (5) development of test items; and (6) computer-assisted interpretation of tests. This type of inservice development project has been successful in increasing faculty morale, improving basic skills instruction, and improving school achievement testing programs. The project involves faculty actively in curriculum development, results in valid and reliable tests, and provides information that is valuable and useful to teachers. Nine figures are provided, and a sample skill-referenced math test is appended. (TJH)