This paper presents the testimony concerning special education reform and inclusion programs of the Director of Education and Employment Issues before a House of Representatives subcommittee. The speaker concludes that inclusion programs can work (as in districts in California, Kentucky, New York, and Vermont) but take tremendous effort and considerable resources. The advice given by many educators and parents to districts attempting such programs to "go slow," is noted. Educational reform and inclusion programs are seen as having a reciprocal relationship. Key conditions for successful inclusion programs are identified. These include: (1) a collaborative learning environment; (2) natural proportions of students with disabilities in their local education setting; (3) adequate support--including large numbers of aides and training--for classroom teachers, and (4) a philosophical reorientation, from defining special education as a place to defining special education as a service. General support of inclusion by teachers and parents (of both disabled and nondisabled students) is noted. Concerns are raised regarding the appropriateness of inclusion for students with severe emotional disturbances or with learning disabilities requiring a highly focused learning environment. Major questions still unanswered concern funding, access, equity, and the federal role. (DB)