This EdSource report maps out the history and status of the California High School Exit Exam (CAHSEE) and addresses key issues surrounding the exam. It explains, for example, that the state superintendent has rejected postponing the exam or offering alternatives--a stance shared by many state leaders. But several lawsuits have been filed claiming that at least some seniors are at a disadvantage. One suit has resulted in an exemption for a select group of students with disabilities. The report helps shed light on the issues by describing: (1) the CAHSEE's impact to date on students as well as on the state education system; (2) issues of fairness surrounding the exam; (3) what the state is doing to help struggling students (particularly special education students); and (4) options for students who have not passed by graduation day. [This document was written with research support from Noli Brazil.]