Jayne,
Yeah, that sounds really difficult. If the university will allow him to attend full-time, it might be better if he skipped the rest of high school. It sounds as if it would be a waste of his time. As for your daughter, perhaps the GED is a good solution, even though it may not look good on applications. If she's been doing advanced work, most colleges will see that she is not the "stereotypical" GED applicant. One of my friends (now out of college) had to do that option when he ran into similar problems with transfer credit, and there were only two schools that cared about a GED rather than a diploma (both small state schools). He also received aid from the schools that accepted him, rather than outside sources that required the diploma... Have you talked with any city officials about your daughter's situation, since you are being asked to pay for programs that should be provided by the district? Sometimes higher up officials can convince the school to accomodate transfer students...