dear tammy --
i can't imagine the stress and worry you have for your son.
was there ever a time when his verbal skills began to regress? does he prefer not looking people in the eye when there is communication taking place?
you said he was fixated on objects at one point. now that he's in the 3rd grade, does he fixate on one class subject over the others, or one teacher?
did any of the professionals you've consulted suggeste asperger syndrome? a few years ago, i taught a young man with AS and it was a wonderful experience for us both -- but only because he was correctly diagnosed and treated [his mother was a guidance counselor at the same school, so she had access to many helpful things] -- the school should definitely be able to supply behavioral therapy through the special ed department.
i cut and pasted the following from http://www.udel.edu/bkirby/asperger/ as it explains things well and succinctly. i don't know your son or his situation -- i am just trying to think "outside the box."
Asperger Syndrome or (Asperger's Disorder) is a neurobiological disorder named for a Viennese physician, Hans Asperger, who in 1944 published a paper which described a pattern of behaviors in several young boys who had normal intelligence and language development, but who also exhibited autistic-like behaviors and marked deficiencies in social and communication skills. In spite of the publication of his paper in the 1940's, it wasn't until 1994 that Asperger Syndrome was added to the DSM IV and only in the past few years has AS been recognized by professionals and parents.
Individuals with AS can exhibit a variety of characteristics and the disorder can range from mild to severe. Persons with AS show marked deficiencies in social skills, have difficulties with transitions or changes and prefer sameness. They often have obsessive routines and may be preoccupied with a particular subject of interest. They have a great deal of difficulty reading nonverbal cues (body language) and very often the individual with AS has difficulty determining proper body space. Often overly sensitive to sounds, tastes, smells, and sights, the person with AS may prefer soft clothing, certain foods, and be bothered by sounds or lights no one else seems to hear or see. It's important to remember that the person with AS perceives the world very differently. Therefore, many behaviors that seem odd or unusual are due to those neurological differences and not the result of intentional rudeness or bad behavior, and most certainly not the result of "improper parenting".
By definition, those with AS have a normal IQ and many individuals (although not all), exhibit exceptional skill or talent in a specific area. Because of their high degree of functionality and their naiveté, those with AS are often viewed as eccentric or odd and can easily become victims of teasing and bullying. While language development seems, on the surface, normal, individuals with AS often have deficits in pragmatics and prosody. Vocabularies may be extraordinarily rich and some children sound like "little professors." However, persons with AS can be extremely literal and have difficulty using language in a social context.
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sometimes a child experiencing difficulties flies just under the radar of the public school systems... and -- just as you've experienced -- the system tries to "cure" children without proper assessments. why? it is faster, less expensive, and generally more convenient. he may well have add/adhd [you mention that he gets fixated on objects -- there is a component of "hyperfocus" in add/adhd]. if that's the case, though, you and HE have options! you may have to fight like a mother bear... but you do have choices and options.
blessings to you and your son!
prof-de-rien