This report to the U.S. Congress reviews monitoring activities of the Office of Special Education Programs (OSEP) in regard to formula grant programs. The study looked at dates of the most recent monitoring visits to the state education agencies and calculated key steps in the monitoring process, such as the time from visit to issuance of the final monitoring report and the time from issuance of the final report to approval of the corrective action plan. Findings indicated no change in the frequency of monitoring visits since a 1989 study, with 15 states not visited in the previous 4-year period. The backlog of monitoring reports was reduced in comparison with that found in the previous study. Other improvements included decreased time taken to issue final monitoring reports, an additional monitoring team, and decreased time to approval of a corrective action plan. Appendixes provide a listing of OSEP visits to the 50 states and the District of Columbia for monitoring of formula grants and a chart showing changes in average processing time for key steps. (DB)