Successful performance on the California High School Proficiency Examination (CHSPE) gives high school students the option of leaving school early with the equivalent of a high school diploma. After two years and eight CHSPE administrations, the number of participating students remains low. Possible reasons for this are given, including lack of publicity about the CHSPE, and student opinion that staying in school is preferable to the alternatives associated with early exit. Although CHSPE impact upon the state was, therefore, small, state funding based upon average daily attendance was reduced by approximately five million dollars. Interest in the precursors of educational policy formation led to a study of high school organization and management. A nationwide survey of 2,000 public and 600 private high schools indicates that a great variety of nontraditional courses are offered in a number of schools; that alternatives such as work experience and remedial programs exist to meet the needs of different students; and that some high schools in every state offer early graduation or proficiency examinations. The author suggests that a better knowledge of school programs prior to policy formation, and awareness of new programs' effects on equity might result in more appropriate expectations for educational policy. (GDC)