According to Michael Goldstein, writing one of the opinion pieces in the NYT's 9/22/2009 symposium on "National Academic Standards: The First Test":
The politics has changed. All governors now recognize a problem: incentives to set low passing scores. Currently, a kid in Alabama might pass a 4th grade reading test that, if he lived in Massachusetts and took our version, he would fail.
You could add a resumptive pronoun: "a kid in Alabama might pass a 4th grade reading test that, if he lived in Massachusetts and took our version [of it], he would fail".
For some background, read "Ask Language Log: Gapless Relatives" and "More gapless relatives", 10/14/2007. This case is especially interesting because it might alternatively be construed as having a gap after fail, though that would seem to make the sentence self-refuting.
Please note that the Fellowship of the Gapless Relative, like the Fellowship of the Predicative Adjunct, is devoted to celebrating the glories of English syntax through contemplation of especially interesting examples of certain constructions, not to censuring any particular choices that speakers and writers may make.