To fulfill the promise of inclusive school environments that support all students, it is necessary to understand the mechanisms by which discrimination and support occur in the school setting and how these mechanisms impact student development. The current study explored ways schools facilitate supportive or marginalizing experiences for first generation Arab heritage youth in the United States and investigated how these experiences impact acculturative experiences and identity negotiation for these students. Focus groups were conducted with 21 Arab American early college students and community dwellers. Qualitative analyses revealed three mechanisms by which the school setting uniquely impacts Arab heritage student's identity negotiation in high school: 1) peer and teacher discrimination; 2) school curriculum treatment of Arab history and culture; 3) and broader school structures that allow for student cultural expression. Implications and suggestions for School Psychologists are discussed.