This progress report of a multi-site project involving eight elementary and middle schools examines the effects of the schools' family involvement program on children's learning; parent and teacher attitudes; school climate; and district, state, and federal policy. The report also examines the ways in which selected policies aid or obstruct school efforts to reach out to implement programs, and it identifies strategies for developing policies that support family and community involvement programs. The introductory section of the report provides information on the background and components of the project, and the purposes and questions for research. The second section discusses the changes in the relationship between the parents and teachers on the action research teams. The next section of the report provides case studies of the progress made at each of the individual schools during the first year of the project. The eight schools covered are: (1) Anwatin and Northeast Middle Schools (Minneapolis); (2) Atenville Elementary School (Atenville, West Virginia); (3) Fairfield Court Elementary School (Richmond, Virginia); (4) Ferguson-Florissant Early Education Program (Florissant, Missouri); (5) Samuel Gompers Fine Arts Option School (Chicago); (6) Patrick O'Hearn Elementary School (Boston); and (7) Matthew Sherman Elementary School (San Diego, California). The case studies include a brief description of relevant school, district, state, and federal policies which influence each program, and a description of the research design for the next 2 years. The appendix contains federal legislation contexts with funding sources. (SM)