This handbook: (1) describes the educational research program of the Planning Services Branch of Alberta (Canada) Education; (2) outlines projects underway for 1986-87; and (3) describes projects completed between April 1985 and July 1986. Section 1, "The Educational Research Program," describes priorities, guidelines, and procedures for educational project grants. Projects must reflect provincial priorities and initiatives and must focus on innovation, integration, and individualization. Priorities for 1986-87 include projects on: (1) the improvement of teaching and learning: (2) the implementation of provincial and local evaluation policies; and (3) the improvement of provincial, school system, school, and classroom management practices. A list of eight guidelines and four categories of criteria determine that project proposals be consistent with the 1986-87 priorities. The application for funding consists of two stages: a preliminary and a detailed project proposal. Forty-two projects underway in 1986-87 are described in section 2 under the following headings: "Teaching Effectiveness,""Teaching-Learning Process with an Emphasis on Secondary Education,""Special Education Programs/Services,""System Evaluation,""Program Evaluation,""Teacher Evaluation,""Management and Finance Plan,""Alternative Delivery Modes,""Leadership Skills," and "Management of School Capital Funds." Section 3 briefly describes 11 projects completed by 1986. Section 4 contains the Planning Services Branch directory. (IW)