Expanded schooling options for disadvantaged children is one of the four major principles of the No Child Left Behind Act (NCLB), representing the theory that competition will produce better educational opportunities for disadvantaged students and improve the performance of low-performing schools. Under NCLB, school choice is the first in a series of sanctions that are applied to schools failing to meet a state's adequate yearly progress (AYP) goals, which are based on students reading and math scores for a given year. These low-performing schools are then required to offer their students the option to transfer to another public school that did make adequate yearly progress. With any new reform, it is important to understand the policy mechanisms that have been put in to achieve its stated goal. To understand whether the NCLB transfer policy improved educational options for low-income and minority students, the implementation of public school choice in ten urban districts-Mesa Public Schools and Washington Elementary District Schools, AZ, Fresno Unified School District and Los Angeles Unified School District, CA, Chicago Public Schools, IL, Buffalo Public Schools and New York City Public Schools, NY, Richmond Public Schools, VA, and Atlanta Public Schools and DeKalb County Schools, GA, were examined. This geographically, politically, and demographically diverse sample of districts provides a range of local contexts for studying the implementation of the NCLB transfer options. This report is organized into three major sections. First, the number of students who requested transfers and were offered the opportunity to move to a different school was examined. Second, the actual schooling options available to students attending schools that were required to offer choice were explored. Third, the constraints districts faced in complying with the regulations governing the NCLB transfer option were analyzed. Tabular information on "Data Sources on the Number of Schools Identified as Needing Improvement for 2002-03 and 2003-04, by State and District" is appended. (Contains 5 tables and 4 figures.)