According to state-reported data at www.ideadata.org, approximately 90,000 or 1.5% of all students with disabilities were publicly placed in private day and residential settings in 2004. All categories of disabilities are represented by these publicly placed students to some extent. However, the following categories were represented at a higher percentage than others: multiple disabilities; emotionally disturbed; and deaf-blind. States struggle with a variety of challenges related to management systems and placement of these students. This document provides legislative background information related to publicly placed private students with disabilities, a brief overview of relevant research, and a summary of state issues and recommendations from two consecutive policy forums held in March 2006 on the areas of management systems and student-related issues on this topic. The process for determining topics and sources of information and participant list are appended. (Contains 3 footnotes.)