My 6 y/o is in Kindy and has been diagnosed with Auditory and Phonological Processing Disorder. He actually does ok on *most* basic word like cat, dog, etc. but words that have blends (th, ck, etc) throw him. He currently sees a reading tutor for 30 minutes a day and has an IEP written that gives him extra time for spelling test and lots of one-on-one instruction.

This summer, I would like to prepare him for 1st as best I can. He was in 1st for the beginning few weeks of school when his teacher came to me and said she thought he had some type of learning disability and that I should test him and possibly move him back to K (which we did). The second week of 1st grade he has a spelling test with non-phonemic words so I know he will struggle next year if I don't work with him this summer.

He is off the charts in Math and understands basic science and social studies. His real struggle is spelling and in particular a few letter still stump him (W, V, Z and Q). If you give him a few seconds to remember he knows the letter but not the sound. Even with constant working he struggles in this area. He knows about half of his Dolce (sp?) words but i have the sheet to use this summer (we use flash cards).

any suggestions for a summer program?

Gosh that sounds just like my DS at that age. If I were to do it all over again, I would seriously look at Joyce Herzog's stuff: Home Page (http://www.joyceherzog.com/) My DS also has done very well with spellingtime.com (free) I would also suggest making making flash cards before you introduce new spelling words using this method (cut and pasted from Jeannie Fulbrights website):
Charlotte Mason suggests this method to teach spelling:

Before a child copies a difficult word, they must memorize its spelling, studying it. Encourage them to close their eyes and see if they can see the word in their head; with their eyes closed, spell it out loud. If they got it correct, they are ready. They should always copy the entire word without looking back at the passage.

This method is awesome for my DS. HTH's

yes, we do use spellingtime and it's been great for phonetic words. he gets frustrated and cries when he gets a word he can't "sound out" so I've been avoiding that push. I will have him take the scaredy cat placement test tomorrow to see where he falls...