Work during the past year in the areas of classical and anomalous transport, three-dimensional equilibria, divertor physics, and diagnostic techniques using waves is reported. Although much work has been done on classical transport, the validity of the guiding-center drift equations, which are the basis of much of the theory, has received little attention. The limitations of the drift approximation are being studied. Work on three-dimensional equilibria, which shows that quasi-helical symmetry is broken in third order in the inverse aspect ratio, on the modification of the current profile due to tearing modes has been completed. This work is relevant to the maintenance of a steady-state tokamak by the bootstrap current. Divertor physics is a primary area that required development for ITER. One of the few methods by which the physics of the divertor can be modified or controlled is magnetic perturbations. The effect of magnetic perturbations on the divertor scrapeoff layer in collaboration with Hampton University. The evolution of magnetic field embedded in a moving plasma is a dynamics problem of potential importance. Renormalization techniques gave important insights first in the theory of phase transitions. The applications of these techniques has extended to many areas of physics, including turbulence in more » fluids and plasmas. Essentially no diagnostics for magnetic fluctuations inside a fusion-grade plasma exist. A collaborative program with Old Dominion University and the Princeton Plasma Physics Laboratory to develop such a diagnostic based on the conversion of electromagnetic waves from the ordinary to the extraordinary mode is underway. « less