Students whose primary language is not English and who are of limited English proficiency are an increasing percentage of North Carolina's school population at all grade levels and in all parts of the state. These guidelines are designed to clarify their participation in the statewide testing program. This program includes the end-of-grade tests for grades three through eight, the end-of-course test for high school courses, and the computer proficiency and competency tests that will become graduation requirements. Off-grade level testing is not allowed, and tests must be administered with English instructions, although students are allowed to use dictionaries or electronic translators during the test. Conditions under which students are exempt from testing are outlined. How to determine whether a student is limited English proficient is reviewed, and testing recommendations are made to assure appropriate student placement and testing. Modifications are allowed to ensure equal opportunity to all students, but special arrangements or modifications must not be used for score enhancement. Five appendixes present a home language survey, English proficiency level descriptions, a list of resources, the testing code of ethics, and annual performance goals for students. (Contains two references.) (SLD)