The State Legalization Impact Assistance Grant (SLIAG) Program, administered by the Administration for Children and Families within the Department of Health and Human Services, provides grants to states to help them pay the costs of providing services to certain aliens legalized under the Immigration Reform and Control Act of 1986 (IRCA). An executive summary introduces the report and includes information on such aspects of the program as management and specific services funded. An overview of the SLIAG program, a profile of legalized aliens, and information on state and local costs by program area (education, public assistance, and health assistance) are provided. The report includes an extensive list of exhibits. In conclusion, the evidence indicates that, except in the area of adult education, SLIAG costs do not represent new service demands on state and local programs. SLIAG dollars provide states and localities with a temporary source of funds to cover costs they would have been incurring, regardless of IRCA. (KM)