This final report describes the accomplishments and activities of a 5-year federally funded California systems change project supporting the development and replication of inclusive schools as part of the state's movement to provide the least restrictive educational environment for all students with severe disabilities. The project was a cooperative effort of several California State Universities, the California Department of Education and 15 school districts. The report begins with an examination of the context of education in the state in 1995 and moves to a descriptive narrative of the overall project goals and of specific tasks and objectives followed by a report of accomplishments related to each task. State and local level accomplishments at 43 sites are specified and include participation in the State Improvement Grant, conducting of professional development institutes and conferences, and development of materials, policy and procedures. Implications from project outcomes are discussed for the policy areas of curriculum, assessment, accountability, professional development, funding, and governance. A product list of 20 tools, articles, chapters, books, and training manuals and videotapes is included. Appended are a project brochure, the agenda for a training workshop, needs assessment forms, a manual for districts and schools, school/district self-assessment forms, and issue briefs. (DB)