The purpose of this hearing was to examine the status of the Star Schools program, a federal program enacted by Congress in 1987 that enables students to be linked together via satellite or cable TV hookup with teachers in different parts of the country. Star Schools are a network of distance education programs that link remote classes of students with teachers and courses to which students would not otherwise have access, by using communications satellites and other telecommunications technologies. It is noted that Star Schools programs exist primarily in rural areas where access to mathematics, science, and second language instruction is often unavailable by traditional educational means. In addition to the prepared statements, communications to various concerned officials, and responses to questions entered into the hearing record, this report includes transcripts of conversations that took place during a demonstration of the Star Schools technology between committee members and teachers and students in ongoing distance education classes. Prepared statements were provided by Senators Edward M. Kennedy, Orrin G. Hatch, James M. Jeffords, Strom Thurmond, Robert J. Kerrey, and Brock Adams; Gary Vance of the Satellite Educational Resources Consortium (SERC); Nancy Carson of the Office of Technology Assessment (OTA); Inabeth Miller of the Massachusetts Corporation for Educational Telecommunications; Gregory J. Liptak of Jones Spacelink and Mind Extension University; and William F. Werwaiss of Southern New England Bell Telephone. Responses to questions asked by Senator Kennedy were provided by Jeanne M. Tinnin of Kaycee Public Schools as well as Gregory J. Liptak, Nancy Carson, Gary Vance, William F. Werwaiss, and Inabeth Miller. Also included are communications to Amanda Broun of the Education Counsel of the U.S. Committee on Labor and Human Resources and Smith L. Holt and Malcolm V. Phelps of Oklahoma State University. These letters are accompanied by materials describing an advanced placement course in American Government offered by Oklahoma State University. (DB)