This unit of instruction is one of a series of materials developed by the Comprehensive Vocational Teacher Education Program for the Mississippi ARC (Appalachian Regional Commission) Region to provide teacher educators, vocational directors, teachers, and others with basic instructional materials needed to guide and assist inservice vocational teachers in improving professional teaching competencies. This unit on developing individualized education programs (IEPs) for handicapped vocational students contains lesson plans, instructional material, teaching aids, transparency masters, evaluation instruments, and references needed to conduct a 3-hour inservice training session. The three lesson plans cover the characteristics of an IEP, steps in developing an IEP, and practical experience in IEP development. Included in the lesson plans are student learning objectives, materials and equipment needed, introduction, learning activities with suggested dialogue, application, evaluation, and summary. An appendix includes case study information for a practical exercise in IEP development. Directions for using the instructional inservice unit are included in the package. (SK)