Cooperative education is a method of instruction that enables students to combine academic classroom instruction (school-based learning component) with occupational instruction through learning on the job (work-based learning component) in a career area of choice. Emphasis is placed on the students' education and employability skills. Co-op is a partnership among students, educational institutions and employers, with specified responsibilities for each party. These guidelines were specifically developed to assist administrators and cooperative education teacher-coordinators in complying with federal and state laws and regulations regarding cooperative education. The guidelines address laws, regulations and operational issues that should be followed to ensure an effective work-based learning environment for all students. The guidelines present essential characteristics and the Pennsylvania and Federal laws relevant to cooperative education. It presents the guidelines for operating such cooperative education programs as Capstone and the Diversified Occupations Cooperative, including the corresponding Pennsylvania Capstone Cooperative Education Related Instructional Guide and Pennsylvania Cooperative Education Diversified Occupations Scope of Instruction and Competencies. A section on evaluation describes quality indicators necessary for ensuring a solid program foundation.