The federal Class-Size Reduction (CSR) Program, P.L. 105-277, begun in Fiscal Year 1999, represented a major federal commitment to help school districts hire additional qualified teachers, especially in the early elementary grades, so children would learn in smaller classes. The CSR program also allowed funds to be spent as professional development, in part to help teachers take advantage of instructional opportunities in smaller classes. The ultimate goal of the program was to improve student achievement, particularly in reading, by reducing class sizes in grades K-3 to an average of 18 students per class. As part of the reauthorization of the Elementary and Secondary Education Act of 1965 (ESEA), the CSR program was folded into Title II, Part A, of the No Child Left Behind Act of 2001 (NCLB). Although no longer a separate federal program, class-size reduction remains an allowable use of funds under Title II, Part A. It is one of many ways that districts can use their Title II, Part A, funds to improve teacher quality and student achievement in their schools. Therefore, this evaluation provides valuable lessons not just about the federal CSR program, but also about a major component of Title II, Part A, of NCLB. This evaluation was designed to address multiple research questions, organized into three main categories: (1) distribution and uses of federal CSR funds; (2) implementation of CSR; (3) and effects of CSR on class size. This report's structure reflects the four sets of evaluation questions. Chapter 2 addresses the distribution and uses of funds. Chapter 3 addresses recruitment and hiring of teachers, professional development, and resources for implementation. Last, Chapter 4 examines the impact of the federal CSR program on class size. Appended are: (1) Survey of District Personnel; and (2) Survey of School Principals. (Contains 33 tables and 25 footnotes.) [For the executive summary, see ED613400.]