This report reviews the progress made from July 1991 to mid-September 1992 in the Water and Sanitation for Health and Ecuadorian Development (WASHED) Project, a joint effort of USAID/Ecuador and the Ecuadorian Institute for Sanitary Works (IEOS). It documents the activities to involve project staff in reviewing their own progress and developing a raised work plan and project performance indicators for the next year of project activity. The appendices provide detailed analyses of project accomplishments, deficiencies, and recommendations and document activities conducted in a three-day project monitoring workshop conducted with 29 project staff.