The members of the National Association of State Scholarship and Grant Programs (NASSGP) are surveyed annually to collect data on state- and U.S. territory-funded scholarship and grant programs to undergraduate and graduate students to attend public or private postsecondary institutions. The following are among the highlights reported in this year's survey: (1) the expected annual growth rate for need-based aid to undergraduates is slowing, in 1988-89 to only 7.8%, from $1.392 to $1.501 billion; (2) the non-need-based undergraduate grant programs of the 29 states with such programs are expected to increase their award dollars by 17% to $169.8 million; (3) there is some evidence to suggest that support for non-need-based types of aid programs is increasing in several states, even as college costs are increasing and driving financial aid needs upward; (4) one-fourth of the 1988-89 grant programs did not exist 5 years ago; and (5) since 1982, there has been a steady increase in the proportions of grant recipients who are considered independent, from 26% to nearly 37%. Data analyses are grouped under the following headings, each section consisting of a narrative followed by extensive tables of data: comparative program statistics, 1987-88 and 1988-89, and earlier years; policy issues and concerns; distribution of undergraduate need-based aid among student categories; and trends in need-based undergraduate aid dollar volumes by states. A listing of NASSGP officers and a directory of state grant agencies are appended. (KM)