A significant fraction of RNA polymerase II transcription complexes become arrested when halted within a particular initially transcribed region after the synthesis of 23-32-nucleotide RNAs. If polymerases are halted within the same sequence at a promoter-distal location, they remain elongation-competent. However, when the RNAs within these promoter-distal complexes are truncated to between 21 and 48 nucleotides, many of the polymerases become arrested. The degree of the arrest correlates very well with the length of the RNA in both the promoter-proximal and -distal complexes. This effect is also observed when comparing promoter-proximal and promoter-distal complexes halted over a completely different sequence. The unusual propensity of many promoter-proximal RNA polymerase II complexes to arrest may therefore be recreated in promoter-distal complexes simply by shortening the nascent RNA. Thus, the transition to full elongation competence by RNA polymerase II is dependent on the synthesis of about 50 nt of RNA, and this transition is reversible. We also found that arrest is facilitated in promoter-distal complexes by the hybridization of oligonucleotides to the transcript between 30 and 45 bases upstream of the 3-end.There is increasing evidence for eukaryotic gene regulation during the process of transcript elongation (reviewed in Ref. 1). It is thus important to understand in detail the elements that affect the efficiency of elongation by RNA polymerase II transcription complexes. Both biochemical (reviewed in Ref.2) and structural studies of prokaryotic and eukaryotic RNA polymerases support a particular model of the transcript elongation complex (3-7). According to this model, ternary complexes are stabilized primarily by the presence of an 8 -9-bp RNA-DNA hybrid just upstream of the catalytic center of the RNA polymerase and by a domain of the polymerase that serves as a sliding clamp, encircling the DNA just downstream of the active site and preventing dissociation of the template from the complex.This model explains certain examples of sequence-specific loss of elongation competence, or arrest, by multisubunit RNA polymerases. For example, RNA polymerase II arrests primarily at the boldfaced Ts while traversing the T Ia sequence (nontemplate strand) TTTTTTTCCCTTTTTT from the histone H3.3 gene (8). Complexes with U-rich 3Ј-ends contain the weakest possible RNA-DNA hybrid (U:dA). In response to this situation, the polymerase can translocate upstream, carrying the transcription bubble to a location where a more stable RNA-DNA hybrid forms. Indeed, an upstream translocated footprint was reported for polymerases arrested at the histone H3.3 T Ia site (9, 10). Upstream translocation removes the 3Ј-end of the RNA from the active site and thus prevents transcription from continuing. Arrested complexes can be restarted by cleavage of the transcript such that the 3Ј RNA end is again aligned with the enzyme catalytic center. This cleavage is catalyzed by the active site of the polymerase and is highly stimulated by ...