In 1987, the Texas Legislature established the Texas Council on Offenders with Mental Impairments (TCOMI) to address the multifaceted problems presented by juveniles and adults with mental illness, mental retardation, and developmental disabilities. The legislature later expanded the council’s role to include offenders with serious medical conditions, physical disabilities, or who are elderly. This report attempts to highlight not only the accomplishments of the TCOMI in the biennium, but address areas of concern that require additional work to further the goals of the State in its response to offenders with special needs. The report is divided into seven sections: Council Membership, Executive Summary, Overview of the Council, TCOMI Programs, Continuity of Care-System Issues, Interim Legislative Studies, and Future Directions. Some of the major issues TCOMI initiated and/or completed during this reporting period include: in cooperation with Texas Juvenile Probation Commission and Texas Department of Criminal Justice/Community Justice Assistance Division, implemented the enhanced mental health/criminal justice initiative for juveniles and adults with serious mental illnesses; coordinated and participated on a 16-member task force created to examine the current practices for determining competency and insanity in the State; conducted a study in response to House Bill 1901 concerning the development of a comprehensive service plan for juvenile offenders with a mental illness and substance abuse diagnosis; implemented new requirements as set forth in Senate Bill 644 for the continuity of care system for offenders with mental illnesses or mental retardation; in cooperation with the Criminal Justice Policy Council, reviewed and made recommendations to a study on the application of the Texas Medication Algorithm Project within juvenile and adult correctional settings; and implemented new statutory provisions for the Special Needs Parole Program, as outlined in House Bill 772. These activities, and others listed throughout the report, are further evidence of the legislature’s commitment to issues impacting offenders with special needs. Appendices and glossary