The major goal in the settlement agreement of Mona Bronson, et al v. Board of Education of the City of Cincinnati, et al is continued significant progress in the reduction of racial isolation in the city's schools. In the first year of compliance with the agreement, data show that 26.8 percent of the goal has been attained in elementary schools, 17.9 percent in junior/middle schools, and 57.8 percent in senior high schools. As of December, 1984, Cincinnati Public Schools had 22 alternative programs, and nine exceeded the district guidelines for black enrollment. During the 1984-85 school year, 1,205 students participated in the open enrollment program, with a 97.6 percent black utilization rate. Data show that all schools but one are in compliance with the policy of providing a racial balance of teachers substantially approximating the balance of the teaching staff as a whole. A section on unbiased tests and policies contains a breakdown by race of students suspended and expelled and an assessment of bias in standardized testing. Recommendations for improving low-achieving schools are made. This is followed by a survey of secondary student participation in extracurricular activities which assessed the effects of open enrollment or transfer on participation. Finally, district/city housing activities that impact on racial isolation are described. Extensive appendices, which comparise more than half of the document, consist of the technical reports from which these conclusions were drawn. (CG)