ADMINISTRATION FOR CHILDREN AND FAMILIES
U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES
FOR IMMEDIATE RELEASE:
Friday, November 13, 1998
Contact: Michael Kharfen, (202) 401-9215
HHS TERMINATES HEAD START GRANTEE SERVING ST. LOUIS CITY
The Administration for Children and Families (ACF) in the Department
of Health and Human Services announced today that it is terminating
Head Start funding to the Human Development Corporation (HDC),
effective November 30, 1998 for failure to meet minimum Head Start
requirements for program and fiscal management.
ACF assures all Head Start families that they will continue to
receive services without disruption. HDC is funded through November
30 to provide services and has 10 days to appeal the ACF's decision
to terminate its funding. After November 30, the ACF will designate
an interim grantee to continue services until new grantees are
selected. ACF also will insure that the federal funds for Head
Start in St. Louis City will remain in St. Louis and will be provided
by community-based organizations. The new grantees will be selected
through a competitive process.
HDC currently receives $11,619,585 in federal funds to serve 2,519
children and their families in the City of St. Louis.
ACF is committed to assuring that all Head Start families receive
quality services. Nationwide, ACF has aggressively reviewed the
performance of Head Start programs to ensure the highest standard
of quality. This effort has resulted in the termination of 100
grantees since 1994.
This termination comes as the result of HDC's failing to meet
minimum Head Start requirements for program and fiscal management.
A full review of the agency conducted in April 1997 found significant
deficiencies, including failure to serve the number of children
funded, to provide appropriate services for children with disabilities,
to maintain proper fiscal and administrative management. In June
1998, a subsequent review by federal staff found financial irregularities
and HDC was placed on a high risk status, the most serious designation
of a troubled Head Start program. Even after nearly a year from
identification of the original deficiencies, HDC failed to make
the necessary corrections.
This continued failure to meet regulatory, administrative and
financial management requirements has convinced ACF that HDC lacks
the capacity to operate a quality Head Start program. Through
direct and contracted training and technical assistance, ACF makes
every attempt to insure that this and other Head Start grantees
meet program performance standards. This termination of HDC as
a Head Start grantee is necessary to insure that St. Louis children
receive quality Head Start services.
ACF will continue to inform and involve parents and local officials
as decisions are made on an interim organization and the competitive
process to select new providers of Head Start services.
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Note: All HHS press releases, fact sheets and other press materials are
available at http://www.hhs.gov/news.
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