NASA accomplishes its strategic goals through human and robotic exploration missions. Many of these missions require launching and landing or returning spacecraft with human or return samples through Earth's and other planetary atmospheres. Spacecraft entering an atmosphere are subjected to extreme aerothermal loads. Protecting against these extreme loads is a critical element of spacecraft design. The safety and success of the planned mission is a prime concern for the Agency, and risk mitigation requires the knowledgeable use of thermal protection systems to successfully withstand the high-energy states imposed on the vehicle. Arc jets provide ground-based testing for development and flight validation of re-entry vehicle thermal protection materials and are a critical capability and core competency of NASA. The Agency's primary hypersonic thermal testing capability resides at the Ames Research Center and the Johnson Space Center and was developed and built in the 1960s and 1970s. This capability was critical to the success of Apollo, Shuttle, Pioneer, Galileo, Mars Pathfinder, and Orion. But the capability and the infrastructure are beyond their design lives. The complexes urgently need strategic attention and investment to meet the future needs of the Agency. The Office of Chief Engineer (OCE) chartered the Arc Jet Evaluation Working Group (AJEWG), a team of experienced individuals from across the Nation, to capture perspectives and requirements from the arc jet user community and from the community that operates and maintains this capability and capacity. This report offers the AJEWG's findings and conclusions that are intended to inform the discussion surrounding potential strategic technical and investment strategies. The AJEWG was directed to employ a 30-year Agency-level view so that near-term issues did not cloud the findings and conclusions and did not dominate or limit any of the strategic options.