The 18th annual report to Congress on the implementation of the Individuals with Disabilities Education Act (IDEA) describes the Department of Education's efforts to work with the States to maximize results for students with disabilities and to assess the impact and effectiveness of the Act. Current and historical service patterns for school-age students with disabilities are discussed in chapter 1, including national statistics, analyses generated from State-reported data to the Office of Special Education Programs (OSEP), and analysis of federal funding patterns. Chapter 2 reviews the implementation of the Preschool Grants Program (included in Part B of IDEA), the Early Intervention Program for Infants and Toddlers with Disabilities (Part H of IDEA), and other OSEP-funded projects for infants and young children with disabilities. Chapter 3 describes the progress made toward achieving full participation of students with disabilities in their schools and communities, analyzing educational placements and systems change. Chapter 4 outlines the challenges to providing special education services to students from culturally and linguistically diverse backgrounds, particularly in urban settings, and describes services and programs found to be effective in serving these populations. Chapter 5 focuses on OSEP's efforts to ensure continuous progress in achieving educational results for children with disabilities while maintaining procedural compliance with IDEA. Extensive data tables are appended, dealing with child count, educational environments, personnel, exiting, population and enrollment, financing, and early intervention. Other appendices present summaries and abstracts of the State Agency/Federal Evaluation Studies Program, listings of activities of the Regional Resource Centers and recipients of State Transition Grants, and a description of the methodology used to project personnel needs. (Individual chapters contain references.) (DB)