Increasing numbers of school boards and state legislatures are mandating the mastery of minimum essential skills in reading, writing, and mathematics as a requirement for high school graduation. However, in order to effectively assess and improve student performance in these skills, appropriate assessment instruments are essential. While large numbers of achievement tests are available, few qualify as appropriate for use in minimum competency assessment programs. Such unsuitability may be most apparent in the area of reading. Recent use of the term "minimal competencies", as it relates to reading, frequently connotes the ability to perform functional reading tasks, that is, reading tasks which are necessary for day-to-day living and effective participation in society. The concept that functional reading directly relates to everyday, commonly occurring reading experiences is not typically reflected in the content or format of traditional tests of reading achievement. Further, the majority of these tests do not provide teachers with guidance for designing instruction to promote student mastery of the measured skills. The need for an instrument which would assess high school students' proficiency with respect to well-defined functional reading skills and provide teachers with guidelines for planning appropriate instructional activities motivated the develop- ment of the Fundamental Reading Competencies Test (FRCT).