This background paper provides a picture of general progress in vocational education assessment instruments and policies. Chapter 1 explains the paper's purposes and presents a summary of its contents. Chapter 2 traces the evolution of federal accountability requirements in vocational education law and explains the intent of the 1990 provisions. Chapter 3 profiles current state testing and assessment policies in vocational education. It analyzes how state assessment policies and practices are changing in response to Perkins Act requirements and considers how these changes could affect both other reforms in vocational education and the nature of learning and instruction in vocational education itself. Chapter 4 describes some testing and assessment resources available to measure various kinds of occupational skills, including tests developed by three main vendors. Chapter 5 explores alternative approaches for defining, teaching, and measuring broad technical skills and highlights issues that should be considered in moving toward assessments that meet needs identified by Congress. Chapter 6 describes how the U.S. Department of Education has implemented performance standards. One appendix lists legislative milestones related to accountability in federal vocational education programs. Another appendix explains acronyms. (YLB)