Academic grouping techniques are often subtle methods of discrimination that allow schools to sort students into homogenous groups. Findings indicate that American Indian students are overrepresented in lower-ability special education classes and in suspensions. Conversely, American Indian students are underrepresented in gifted classes and in graduations. A model, including American Indian representation, education, and income, as well as school district size, explains the amount of second generation discrimination faced by American Indian students. School districts that have greater American Indian political power have greater political representation on the school board and hence greater representation in school administration and in classrooms. The most important and consistent factor limiting the amount of second generation discrimination that American Indian students experience is the presence of American Indian teachers.