This study evaluated the special education program of the Hawaii State Department of Education including identification of those program concerns, issues, and problems which need policy or administrative changes or further study. Data collection included document review, onsite interviews with stakeholders, and a questionnaire survey of school level administrators and teachers. A total of 327 learning disabled and emotionally handicapped students were interviewed. A total of 153 special education staff, 94 regular teachers, and 350 parents of students from 21 schools completed a survey in April-May 1990 in addition to 35 individuals from key stakeholder groups such as the State Board of Education and the Department of Human Services. Special education issues identified included: student identification; placement options; learning disabled students; emotionally handicapped students; culturally diverse, minority, and rural students; transition goals; teacher training, certification and retention; and related services. Stressed is the need for a longterm effort to restructure the system with emphasis on integrating special education with regular education. The report identifies top priority issues in the areas of instruction/treatment, mainstreaming, and student identification. Noted are serious definitional problems with respect to learning disabilities and emotional disturbances giving rise to inter-district disparities. Teachers are seen to need assistance in meeting the needs of mainstreamed students. The report also identifies communication gaps among entities serving special education students (e.g., state legislature, board of education, special education parents, and the community at large). Establishment of a database on overall program impact is strongly encouraged. (62 references) (DB)