This chapter describes the significant developments which have enhanced democratic structures and processes in the conduct of government schools in the State of Victoria, Australia. In an analysis of processes, democratization of the system may be viewed as involving two complementary elements. The first element was the movement to devolution and decentralization; the second was the introduction of participative decision-making. At regional level, system administration was also blended with active involvement of school and community personnel, and democratic structures were established to support the process. The expectation is that the democratic participation of school communities in decisions about the school’s operation will lead to improved student outcomes and increased effectiveness. The need for a clear presentation of policies and guidelines within which schools could exercise their local discretion became a high priority. Schools and systems must guard against token participation or participation used simply to legitimate a leader’s whims.