The Secondary Transition Intervention Effectiveness Institute studies issues related to secondary education and transitional services for individuals with special needs. This third annual report offers an overview of secondary transitional services in the United States by Jane Dowling. Papers describing preliminary findings of the Institute's third year research projects are presented: "Social Ecology of the Workplace" (Janis Chadsey-Rusch); "Co-worker Mediated Intervention Strategies" (Frank Rusch); "Employer Perceptions of Hiring Individuals with Disabilities" (Adelle Renzaglia); "Federal Policy Affecting Transition: A Value-Critical Analysis" (Lizanne DeStefano); "Successful and Unsuccessful Placement of Secondary Students into Competitive Employment" (Laird Heal); "Secondary Analyses of Educational and Transitional Services" (Delwyn Harnisch); and "Changes in Aim and Activity During Transition Project Operations" (Robert Stake). The Institute's activities and plans are described for the following task areas: literature review, annual meeting, communication, technical assistance, model program database, experience for graduate students, and performance management system. Also provided are summaries of activities and plans for the conduct of research projects on: workplace social ecology, co-worker involvement, instructional strategies, parents in the transition process, assessing and facilitating employers' positive acceptance of employees with handicaps, policy analysis, meta-evaluation, characteristics of projects that endure after federal funding ceases, student assessment, analysis of extant data sets, and evaluation approaches. (JDD)