Based on data obtained by the Bureau of Education for the Handicapped, the report provides the most recent information on the progress and issues of implementing P.L. 94-142, the Education for All Handicapped Children Act. An introduction gives a general sense of the progress being made nationwide in implementing the Act. Sections entitled "Accomplishments and Issues" and "Remaining Challenges" address 10 major provisions of the Act: right to an education; child identification, location, and evaluation; individualized education programs; least restrictive environment; protection in evaluation procedures; due process procedures; participation of private school children; state education responsibility for all education programs; comprehensive system of personnel development; and state education agency monitoring. Finally, the BEH Administration of P.L. 94-142 section describes improvements BEH is planning to make in monitoring and managing the Act. (SBH)