The laboratory simulation of a scaled single-axis dual-level control system for a large space telescope is demonstrated. The dual-level control system consists of a coarse-body-pointing system and a fine-pointing system, which uses an image motion compensator, an image dissector tube, and digital electronics. The results of the simulation indicate that the dual-level system can be used to provide tracking capability within one-tenth of a diffraction-limited image diameter of a 3-meter f/100 telescope for stars up to a 12.3 visual magnitude.