This annual report states the goal of the Alaska Division of Vocational Rehabilitation, which is to provide assistance to those who are vocationally disabled so they can secure and maintain suitable employment. The Director of the Division of Vocational Rehabilitation of the Alaska Department of Education offers an overview of fiscal year 1989 activities, focusing on service delivery for rural areas, grants to local nonprofit organizations, the Small Business Enterprise Program, performance standards for counselors, and assistive technology services. A list of specific 1989 accomplishments is provided. Regional reports are then presented from the north central, southeastern, Anchorage-Spenard, and Anchorage-Bragaw offices. Specific types of services are also described, including independent living services and disability determination services. Several graphs depict statistics concerning the vocational rehabilitation services provided. In addition, two clients and three counselors selected to join the Circle of Excellence are profiled. (JDD)