New to the current assessment-reform movement is an emphasis on the use of performance assessments to support systematic state-, district-, or school-wide objectives. This document presents findings of a study that sought to document and analyze the key characteristics of performance assessments, the facilitators and barriers in assessment reform, and the impacts of performance assessments on teaching and learning. Researchers visited 16 schools that were developing and implementing performance assessments and conducted interviews with school personnel, teachers, students, parents, and school board members. Findings present several implications for policy and future research: (1) clearly state the purpose of the assessment system; (2) match the format of the assessment system with the purposes of the assessment; (3) institute system-wide procedures to ensure the technical quality of the assessment system; (4) design a performance-assessment system that contains a mix of different types of performance-assessment tasks and scoring procedures; (5) coordinate assessment reform with other elements of education reform and with other assessment requirements; (6) tap existing resources when developing assessments and coordinated reforms; (7) plan the timeline with consideration of the length of time needed; (8) communicate to the public the purposes of and the theory underlying the assessment system; (9) provide and encourage professional-development activities for teachers; (10) involve teachers in the design and implementation of the system; (11) encourage schools to provide teachers with time to develop assessments and to discuss experience with their colleagues; and (12) provide waivers from testing and reporting requirements to schools experimenting with innovative assessment techniques. A total of 43 exhibits are included. The appendix contains a list of the research questions. (Contains 58 references.) (LMI)