In 1989, the Commission on the Future of the North Carolina Community College System adopted a series of recommendations to improve the operation, funding, and economic and social returns of the state's community colleges. This report looks at each of the major challenges of the Commission, reviews trends and developments that may have altered the situation in the past 3 years, highlights progress to date in achieving the Commission's goals, and points to new areas of concern. The six sections of the report focus on: (1) quality and access, including the colleges' efforts to provide student access to quality teaching and academic support services; (2) accountability and funding, including progress made in increasing planning and research capacities systemwide and decreases in funds allocated; (3) basic and critical thinking skills, including workplace and family literacy programs; (4) service to business and industry, including the expansion of focused industrial training, matching curricula to specific workplace demands, and the establishment of specialized technology centers; (5) partners in education, including partnerships between community colleges and high schools and the University of North Carolina System; and (6) leadership and governance, including the creation of a statewide task force on governance, the Executive Management Leadership Institute, and a leadership program for women and minorities. (ECC)