This report sheds a new light on the history of the U.S. Department of Education (ED), its abuses of policy, and recommendations for a path forward. The report's evidence, and the long-term political dispositions of America's citizenry, supports the wholesale reform of ED, but not its elimination. The authors have structured their report in this fashion: (1) A Map of the Territory: A brief outline of ED's organizational structure and of how it works; (2) History: A history of ED since its creation in 1980, focusing on its programs and its regulations. This history will orient readers and provide context for the Central Audit and the case studies; (3) Central Audit: A detailed analysis of the current structure of ED and of the effectiveness of its different programs as they pertain to K-12 education; (4) Case Studies: Case studies on the effects of ED programs and policies on three school districts--Philadelphia, Pennsylvania; Winchester, Virginia; and Ashland, Ohio. The authors have selected these case studies to include urban, suburban, and rural school districts; (5) ED's Programmatic Structure: Roadmap to Reform--A catalogue of every office and program within ED, itemizing which should be retained, which relocated, and which eliminated; (6) Policy Recommendations: A series of policy recommendations for the public and policymakers; and (7) Conclusion: Final conclusions.