This report summarizes the activities and accomplishments of the Milwaukee Public Schools (MPS) system in accordance with "Board of School Directors v. Thompson" (the "Agreement"). The Agreement relates to Chapter 220, the Wisconsin State statute that provides financial aid to encourage student transfers among schools and school districts for racial and cultural integration. MPS efforts to uphold the Agreement are detailed in the following areas: (1) procedures developed to monitor compliance; (2) Chapter 220 transfers to suburban districts and to MPS; (3) summer school transfers; (4) the development of multicultural curricula and inservice teacher training programs; (5) cooperation between MPS and suburban school districts in student transportation; (6) minority teacher recruitment; and (7) MPS participation in Coordinating Council activities. A report issued by the Wisconsin Policy Research Institute, entitled "The Rising Cost of the Chapter 220 Program of Wisconsin," is analyzed and in part rebutted. The MPS report concludes with the following four recommendations: (1) the Coordinating Council should assume a larger role in parent and student information, student placement, and promotional strategies; (2) suburban districts should develop guidelines for better documenting and identifying exceptional education needs; (3) Chapter 220 transportation should be made more efficient and cost-effective; and (4) efforts should be made to ensure that Chapter 220 funds are spent for educational and programmatic benefits for participants. This study includes five tables, and a report on minority recruitment is appended. (AF)