This report presents a description of state policies regarding the participation of English language learners (ELLs) in statewide assessment programs during the 1998-1999 school year. The data collected included descriptions of policies: (1) for the inclusion and exemption of ELLs; (2) regarding the allowance or prohibition of accommodations in general as well as specific types of accommodations; (3) regarding the inclusion of accommodated test scores in state, district, and school totals; and (4) for use of alternate assessments and policies for reporting the resulting scores. The study is based on the direct analysis of documents provided primarily by directors of bilingual and English-as-a-Second-Language education in each state (two states do not have state assessment programs). Findings show that while almost all states (48) have exclusion/exemption policies, there is great variability in the degree to which state policies address aspects of ELL participation. Forty-six states allow some form of exemption. One finding of note is the absence of academic criteria from the list of criteria to be considered when making inclusion/exemption decisions. States offer accommodations that can be divided into presentation, response, setting, and timing/scheduling categories. Most state policies do not specify that a person with professional knowledge of language learning processes participate in the decision making process. Policies regarding alternate assessment measures for ELLs are absent from most state assessment programs. The report recommends that states review and revise their existing policies to align them with current legislation and good practice. Three appendixes contain study cover letters, discussions of documentation and alternate assessment, and the fourth appendix contains the individual state reports on state inclusion and accommodation policies. (Contains 11 tables, 18 figures, and 33 references.) (SLD)