This report presents findings of an evaluation, conducted in 1994, of 10 Leadership in Accountability Demonstration (LAD) schools in the San Diego City Schools. The report provides information on the status of accountability implementation, particularly regarding the schools' recognition and intervention practices. The evaluation sought to determine the extent to which the LAD schools articulated and implemented an accountability system and addressed each of the four elements of accountability. The four elements of accountability included standards, related assessments, recognition and intervention measures, and public reporting practices. Data were obtained from school self-assessments and onsite observation (validation review). Findings show that the average highest ratings were in the area of standards, where most schools placed at performance levels 3 and 4 (on a scale of 1 to 4). The next highest ratings were for assessment, followed by articulation and implementation of the accountability system. Slightly lower average ratings were found for public reporting and recognition/intervention. The 10 LAD schools have continued to move forward in their accountability efforts. In the first project year, sites focused on the identification of standards and related learner outcomes and began to investigate performance-based assessments to measure progress toward those outcomes. During the second year, LAD schools began using their work in standards and assessment to identify appropriate recognition and intervention strategies and report on student achievement and programs toward meeting school goals and expectations. Five recommendations to improve the LAD system include: (1) promote the expansion of the accountability self-assessment process; (2) develop and disseminate suggested strategies to help sites make the "next step" in progressing along the accountability continuums; (3) investigate ways to continue building assessment capacity at the site and district level; (4) provide support and training for schools in the identification and application of appropriate means of recognizing success and the modification of programs and practices to intervene when progress is not made; and (5) bring into alignment all accountability systems and requirements from national initiatives (Goals 2000, Title I, School-to-Work), state projects (Program Quality Review, Western Association of Schools and Colleges Accreditation, state assessments), and district activities (LAD, Comprehensive Site Plan, professional development, district assessment). One table and five figures are included. Appendices contain an accountability process overview, the 1994-95 LAD evaluation plan, accountability rubrics, accountability rubic summary matrix, and a self-assessment and validation review rating sheet. (LMI)