An overview is provided of the issues involved in the state-mandated exchange of data about transfer students between two-year and four-year colleges in Virginia. Background is presented on state legislators' concerns with the measurement of student achievement; guidelines developed by the state assembly regarding data exchanges and student assessment plans; the community colleges' compliance with these guidelines; and examples of successful agreements. In addition, the report discusses the community colleges' needs for student-identifiable data and for information on the number of students who applied to the universities, those who were admitted, credits attempted and credits earned at the senior institutions, terms enrolled, and selected course grades. The need for agreement on a definition of the term "transfer student" is underscored. The bulk of the report consists of attachments, including: (1) the State Council of Higher Education for Virginia's guidelines for student assessment and for student assessment plans; (2) the Virginia Community College System's (VCCS's) guidelines for student assessment plans; (3) Elmo D. Roesler's paper, "Statewide Planning for College Individually Developed and Implemented Student Assessment Plans"; (4) a report on the success of Lord Fairfax Community College transfer students; (5) demographic and academic outcomes data on community college transfers to James Madison University; (6) various VCCS memoranda concerning the exchange of student transfer data; and (7) the VCCS's response to a survey regarding definitions of transfer. (WJT)