This report describes major activities and accomplishments of the Arkansas Rehabilitation Research & Training Center on Enhancing Employability of Individuals with Disabilities from May 15, 1996 through May 14, 1997. The Center has a 5-year contract in the priority area of enhancing employability of individuals with severe disabilities. The mission, goals, and objectives are outlined and related to the six priority areas of the National Institute on Disability and Rehabilitation Research (NIDRR). Programmatic strategies for achieving the objectives are discussed and outcome goals are identified in the four areas of: (1) research; (2) dissemination; (3) training, education, and technical assistance; and (4) service and outreach. The project's 21 research projects are grouped by NIDRR priority areas with each objective listed and a summary included of the current status of specific projects addressing each objective. Brief indivdiual research project progress reports are included. Dissemination activities of the project are reviewed with lists of publications, presentations, and material development and distribution activities. Also described are project efforts in the areas of training, education, technical assistance, service, and outreach. Consumer/constituent feedback is summarized. Attached is a list of the faculty, staff, and members of the National Advisory Council. (DB)