[Federal Register Volume 91, Number 151 (Friday, August 7, 2026)]
[Proposed Rules]
[Pages 51248-51322]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2026-16134]



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Vol. 91

Friday,

No. 151

August 7, 2026

Part III





Department of Health and Human Services





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Administration for Children and Families





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45 CFR Part 1301, 1302, et al.





Reducing Federal Burden for Head Start Programs; Proposed Rule

Federal Register / Vol. 91, No. 151 / Friday, August 7, 2026 / 
Proposed Rules

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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Administration for Children and Families

45 CFR Part 1301, 1302, 1303, 1304, and 1305

RIN 0970-AD30


Reducing Federal Burden for Head Start Programs

AGENCY: Office of Head Start (OHS), Administration for Children and 
Families (ACF), Department of Health and Human Services (HHS).

ACTION: Notice of proposed rulemaking.

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SUMMARY: This NPRM proposes to rescind and replace the Head Start 
Program Performance Standards (Performance Standards), last revised in 
2024. The proposed Performance Standards would significantly reduce 
Federal bureaucratic burden on programs; defer to State policies 
wherever possible; return substantial local control to Head Start 
agencies delivering the services and to parents as the primary 
caregivers and decision-makers for their children; reduce unnecessary 
duplication of Head Start regulations with Federal statute and other 
regulations; and emphasize the critical role of health, nutrition, and 
physical exercise for young children.

DATES: Please submit comments on this NPRM by October 6, 2026.

ADDRESSES: You may submit written comments, identified by docket number 
ACF-2026-0595 and/or RIN number 0970-AD30, by one of the following 
methods:
     Federal eRulemaking Portal: Go to https://www.regulations.gov. Follow the instructions for submitting comments.
     Email: [email protected]. Include the docket number 
ACF-2026-0595 and/or RIN number 0970-AD30 in the subject line of the 
message.
    Instructions: All submissions received must include the agency name 
and docket number or RIN number for this rulemaking. All comments 
received are a part of the public record and will be posted for public 
viewing on www.regulations.gov, without change. Please be advised that 
the substance of the comments and the identity of individuals or 
entities submitting the comments will be subject to public disclosure.

FOR FURTHER INFORMATION CONTACT: Adam N. Jones, Deputy Chief of Staff, 
Immediate Office of the Assistant Secretary, Administration for 
Children and Families, Department of Health and Human Services, 
Washington, DC 202-417-0115 or [email protected]. The docket on 
https://www.regulations.gov will include a plain language summary of 
the NPRM.

SUPPLEMENTARY INFORMATION:

I. Statutory Authority and Requirements

    This NPRM is published under the authority granted to the Secretary 
of the Department of Health and Human Services under sections 641, 
641A, 644, 645, 645A, and 646 of the Head Start Act (Act) (42 U.S.C. 
9836, 9836a, 9839(c), 9840, 9840a, and 9841), as amended by the 
Improving Head Start for School Readiness Act of 2007. In these 
sections, the Secretary is required to establish performance standards 
for Head Start and Early Head Start programs, as well as Federal 
administrative procedures. Specifically, the Act requires the Secretary 
to ``modify, as necessary, program performance standards by regulation 
applicable to Head Start agencies and programs. . . .'' (Sec. 
641A(a)(1)). Further the Act specifies that, ``in developing any 
modifications to standards . . . the Secretary shall--take into 
consideration . . . projected needs of an expanding Head Start program 
. . . [and] guidelines and standards that promote child health services 
and physical development, including participation in outdoor activity 
that supports children's motor development and overall health and 
nutrition'' (Sec. 641A(a)(2)). In order to meet requirements mandated 
by the Act, give more authority to states and parents, reduce 
unnecessary burden and regulatory duplication, and promote health, 
nutrition and physical exercise, this NPRM would reorganize and 
substantially amend the existing Federal regulations for Head Start 
programs.

II. Background

    Initiated under President John F. Kennedy's efforts and formally 
launched in 1965 as part of President Lyndon Johnson's ``War on 
Poverty,'' Head Start was created out of concern for the well-being of 
children in low-income families based on evidence that they were less 
likely to succeed in school than their more well-positioned peers. As 
its name implies, the Head Start program was developed to enhance the 
experiences of children in low-income families prior to school entry, 
with the goal of alleviating the negative effects of growing up in 
poverty.
    When Project Head Start was first started in the summer of 1965, 
over 560,000 children and families across the United States were served 
in an 8-week program. As the program grew, it expanded opportunities 
for children to receive services in a number of ways. In 1995, Head 
Start expanded to include pregnant women and children from birth to 3 
years of age through the Early Head Start program, which emphasized the 
importance of children's earliest years for lifelong development.
    The Head Start Program Performance Standards (Performance 
Standards) are the foundation on which programs design and deliver 
services to support the school readiness of children from low-income 
families. The first set of Standards was published in the 1970s. The 
first major revisions to the Performance Standards were issued in 1996. 
The 2007 reauthorization of the Head Start Act placed an emphasis on 
involving parents in the design of the program and placed a stronger 
focus on the educational outcomes of Head Start children. The proposed 
landmark 2026 revision would fundamentally transform the landscape, 
empowering states and local authorities to meet the unique needs of 
children and families in their communities--free from burdensome 
Federal regulations that have long constrained progress. With the 
freedom to create local solutions for local challenges, these changes 
would ultimately strengthen and revitalize the family unit.
    Over time, the delivery of these crucial services became 
unnecessarily encumbered by onerous regulations. Eliminating these 
restrictive Federal regulations would also empower small and local 
businesses, freeing them to focus on excellence in service delivery 
rather than bureaucratic compliance. This proposed sweeping reform 
would deliver tangible benefits to children, families, and the broader 
community, fueling prosperity and opportunity at every level. This NPRM 
would modernize the Performance Standards; reduce Federal regulation 
and duplication; empower states, local programs, and families with 
greater authority and flexibility; advance the health and well-being of 
children and communities; and reinforce evidence-based standards for 
health, nutrition, and physical activity.

Expert and Stakeholder Consultation

    Throughout the years, ACF has received feedback that the 
Performance Standards are overly prescriptive, constrain flexibility, 
and impede coordination with State and local requirements. This input 
comes from Head Start program leadership staff, including Tribal 
leaders, and national organizations that represent Head Start programs. 
Additionally, program

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monitoring has provided insight into the strengths and weaknesses of 
the current Performance Standards. The proposed changes in this NPRM 
give programs more flexibility and discretion in a way that matches 
local content. Additionally, the publication of this NPRM initiates a 
public comment period during which ACF will receive comment from all 
interested parties. In particular, ACF is interested in hearing from 
experts in the fields of child development, early childhood education, 
child health care, family services, administration, and financial 
management and others with Head Start operations experience.

III. Executive Summary

Purpose of the Proposed Rule

    This NPRM proposes to comprehensively rescind and replace the Head 
Start Program Performance Standards at 45 CFR Chapter XIII to restore 
flexibility to Head Start programs and families, reduce regulatory 
burden, eliminate duplication with statutory requirements, reinforce 
state and local authority, and refocus Federal oversight on core 
statutory priorities, particularly school readiness and child outcomes, 
child development and health, and parental engagement. This 
modernization would ultimately empower states to actively lead the 
advancement of early childhood education, ensuring meaningful impact 
for children and families. Its purpose is to drive lasting improvements 
in early childhood educational outcomes and to foster change by 
preparing our youngest learners to succeed in their educational 
journey, and seeking to end generational poverty.
    The Performance Standards have grown increasingly detailed and 
prescriptive, often duplicating or elaborating upon requirements 
already established in the Head Start Act or other Federal statutes and 
regulations. This accumulation of regulatory complexity has shifted 
program focus towards procedural compliance rather than direct service 
delivery. This expansion has constrained program flexibility, increased 
administrative workload, and limited the ability of grant recipients to 
tailor services to the unique needs of their communities.
    This proposed rule would rescind Parts 1301 through 1305 of the 
current Performance Standards in their entirety and replace them with a 
streamlined Part 1301 that maintains statutory accountability while 
reducing unnecessary Federal burden and overreach.
Reduce Regulations and Restore Authority to States
    The proposed rule would substantially reduce the scope and 
prescriptiveness of Federal regulatory requirements and return primary 
authority over areas traditionally within state and local purview. For 
instance, the proposed rule would give authority to the States to 
govern group size and ratios, background checks, and transportation 
practices while eliminating duplicative Federal requirements. By 
restoring flexibility in these areas, the rule would allow states and 
local programs to align more effectively with state early childhood 
systems and community conditions. This approach reflects principles of 
cooperative federalism and recognizes that state and local entities are 
best positioned to design and administer services responsive to their 
populations.
Returning Authority Back to Parents
    Consistent with the Head Start Act, this proposed rule specifically 
recognizes parents as children's primary teachers and essential 
partners in program governance. Furthermore, the proposed rule would 
reduce prescriptive Federal requirements governing curriculum 
implementation, parent committees, family engagement procedures, and 
service delivery structures. By eliminating detailed procedural 
mandates not required by statute, the rule reaffirms parental authority 
and strengthens opportunities for families to make meaningful decisions 
regarding their children's education and development. This shift 
ensures that family engagement is grounded in partnership and shared 
responsibility rather than compliance-driven process requirements.
Reducing Unnecessary Burden
    The proposed rule would rescind more than 1,400 highly detailed 
regulatory provisions and replace them with a consolidated and 
streamlined framework. It simplifies eligibility, recruitment, 
selection, enrollment, and attendance (ERSEA) requirements; removes 
duplicative documentation and procedural mandates; and reduces 
reporting obligations not required by statute. The rule would also 
broaden waiver authority, excluding core protections related to 
nutrition, physical activity, and eligibility, to provide programs 
greater operational flexibility. Facilities requirements would be 
simplified, reporting timelines made less prescriptive, and designation 
renewal processes streamlined to focus on measurable outcomes and 
fiscal integrity and remain in line with statute. Collectively, these 
revisions would shift resources from administrative overhead to direct 
services, reduce compliance-driven operational constraints, and improve 
program efficiency without altering statutory protections.
Furthers Emphasis on Health, Nutrition, and Physical Exercise
    While reducing regulatory burden in many areas, the proposed rule 
strengthens emphasis on core statutory priorities related to child 
health and physical development. The proposed regulatory framework 
would encourage programs to provide nutrient-dense, whole foods 
compatible with healthy dietary practices within the framework of the 
USDA Child and Adult Care Food Program meal standards and continue to 
structure meal times in ways that support both development and 
learning. In addition, programs would be required to provide a minimum 
of 30 minutes of physical activity for every three and a half hours 
that the child participates in the program, with outdoor activity 
required when weather permits.
Reduce Duplication
    The proposed rule would eliminate regulatory provisions that 
restate requirements already codified in the Head Start Act or other 
Federal laws and regulations. By removing redundant language and 
compliance layers, the rule clarifies that statutory requirements 
remain fully binding while avoiding unnecessary repetition in 
regulation. This approach reduces confusion, improves regulatory 
clarity and focus, and ensures that Federal oversight is focused on 
statutory requirements and areas where regulatory implementation is 
necessary rather than duplicative of existing law. This clarification 
is intended to improve regulatory transparency, reduce confusion among 
grant recipients, and ensure that Federal oversight is grounded in 
statutory authority rather than duplicative rule text.
Maintain Statutory Accountability
    Although many regulatory provisions would be rescinded, all 
statutory requirements contained in the Head Start Act remain fully in 
effect. Programs must continue to comply with statutory mandates 
concerning eligibility, governance, school readiness goals, services 
for children with disabilities, fiscal controls, monitoring, background 
checks, civil rights protections, and parent involvement. Federal 
oversight mechanisms required by statute, including monitoring, audit 
requirements, and child safety

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protections, would remain unchanged. Nothing in this proposed rule 
alters or waives statutory obligations; rather, it aligns regulatory 
text more closely with governing law. The proposed regulatory framework 
is designed not to diminish accountability, but to ensure that 
accountability flows directly from statutory requirements rather than 
layered procedural mandates.
Anticipated Impact
    If finalized, this rule would substantially reduce Federal 
regulatory complexity while preserving statutory safeguards and 
accountability mechanisms. Head Start grant recipients would have 
increased flexibility to design services responsive to local 
conditions, align more effectively with state systems, develop child 
outcome and school readiness goals that mirror state requirements, and 
prioritize direct services to children and families.
    The proposed rule would improve operational efficiency, strengthen 
fiscal stewardship, increase transparency for parents, reinforce health 
and physical development priorities, and clarify the appropriate 
balance between Federal oversight and state and local program 
administration. These outcomes would support long-term program 
sustainability while preserving core statutory protections. ACF 
recognizes there are a range of possible options regarding the 
effective dates for the proposed rescission and replacement of 
standards and requests public comment on implementation timing of these 
changes to maximizing the goals outlined above.

Costs, Benefits, and Transfer Impacts

    By removing multiple regulatory requirements in the Performance 
Standards, this NPRM is expected to reduce compliance costs and create 
efficiencies in the distribution of resources within the program. The 
primary quantified effects of this rule are reductions in program 
expenditures associated with changes in staffing, service delivery, and 
administrative requirements, as well as program reinvestment effects 
associated with the proposed administrative cost cap, as described in 
the Regulatory Impact Analysis (RIA). Because Head Start is a grant-
funded program, these reductions may be reallocated by grant recipients 
to support additional funded slots.
    Over a five-year time horizon covering 2027 through 2031, ACF 
estimates total quantified impacts of approximately $1,476,881,912 to 
$2,959,495,914 annually at full implementation, with a primary estimate 
of approximately $2,218,188,913. These estimates reflect the combined 
effects of scenario-based reductions in personnel expenditures and 
fixed reductions associated with structural policy changes, and program 
reinvestment effects associated with the administrative cost cap. 
Consistent with the phased implementation described in this RIA, these 
impacts increase over time starting in 2027 and reach full effect in 
2031.
    For purposes of presenting annualized impacts, ACF calculates 
annualized cost reductions and transfers over the five-year period 
using standard discount rates of 3 percent and 7 percent, consistent 
with OMB Circular A-4. Based on the phased implementation schedule 
described above, the estimated annualized cost reductions are 
approximately $1,304,696,469at a 3 percent discount rate and 
$1,271,000,241 at a 7 percent discount rate under the primary scenario.
    Consistent with prior analyses of Head Start policy changes, 
reductions in program expenditures may translate into increases in 
funded slots, including approximately 116,516 new Head Start Preschool 
slots and 45,578 Early Head Start slots in 2031. These estimates 
represent the number of funded slots that could be supported in that 
year and are not cumulative across years. These effects are reflected 
in the funded slot estimates presented in the RIA and are based on 
nominal cost reductions and program reinvestment effects and 
incorporate a phased implementation approach.
    To produce an estimate of the quantified annual cost savings 
associated with the proposed rule for purposes of Executive Order 
14192, ACF assumes that the impacts of the proposed changes on costs at 
full implementation in 2031 extend in perpetuity. Under this 
assumption, ACF calculates annualized cost savings at a 7 percent 
discount rate relative to the baseline year, excluding transfers and 
adjusting the estimate to 2024 dollars consistent with OMB guidance for 
Executive Order 14192 accounting. The annualized cost savings at a 7 
percent discount rate are approximately $0.94 billion. This amount 
reflects quantified reductions in regulatory compliance costs and 
program expenditures and does not include the administrative cost cap 
effect, for which the quantified effect is treated as a transfer 
because it reallocates Head Start resources within the program.
    Separately, ACF estimates potential funded slot capacity using the 
broader set of ongoing quantified impacts, including cost reductions 
and program reinvestment effects, under the funded slots methodology 
described above. That funded slot estimate is not used as the Executive 
Order 14192 accounting value. This estimate is based on 2031 costs and 
does not assume future appropriations increases, cost-of-living 
adjustments (COLAs) needed to keep pace with increasing costs, or other 
funding changes that would affect the number of slots that could be 
supported in subsequent years.
    These estimates represent potential changes in regulatory burden, 
program reinvestments and reallocations within the Head Start program, 
and associated impacts on funded slots. Actual realized impacts may 
differ depending on program-level decisions, state and local 
requirements, labor market conditions, and the extent to which programs 
choose to maintain existing practices even when they are no longer 
required by the Performance Standards.
Severability
    The purpose of this Section is to clarify ACF's intent with respect 
to the severability of the provisions of this NPRM. As explained above, 
ACF proposes removing Sections of the Head Start regulations because we 
determined that doing so would make the regulations clearer, less 
burdensome, and more accessible to the public. To the extent that any 
portion of the proposed removals are declared invalid by a court, ACF 
intends for all other provisions of this proposed rule to remain in 
effect to the greatest extent possible to ensure that Head Start 
regulations remain as concise and accessible as possible. For example, 
if section 1301.01 Committees is deemed invalid by a court, all other 
provisions in 1301 can function independently of 1301.01. As another 
example, if section 1301.14 on the 5 percent administrative cap is 
invalidated by a court, all other provisions in 1301 can function 
independently of 1301.14. None of the provisions contained herein are 
central to an overall intent of the proposed rule, nor are any 
provisions dependent on the validity of other, separate provisions.

IV. Table

    In this NPRM, we propose rescinding the Performance Standards as 
they currently exist and replacing them with a streamlined set of 
requirements that are not duplicative of the Head Start Act and other 
Federal statutes and regulations. We include the following table to 
help the public identify which current regulations we propose to remove 
entirely and which we propose to replace. We also indicate which 
current regulations will still be required by the Head Start Act, 
despite being removed or replaced in the proposed

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regulations. The table is not an exhaustive list of all other 
applicable Federal statute or regulations such as the Uniform 
Administrative Requirements, Cost Principles, and Audit Requirements 
for Federal Awards that still govern aspects of program operation.
    To understand the proposed requirements, it is essential to read 
them in full and reference the requirements in the Head Start Act, 
however, the table below is a tool to help reflect the relationship 
between the current regulations, proposed regulations, and the Head 
Start Act, at a high level.
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    Similar to all sections of this NPRM, ACF requests public comment 
on how to support states in complying with statute in the absence of 
the proposed rescinded regulations found to be duplicative with 
statute, including what challenges states may face in interpreting and 
complying with statute.

V. Discussion of Proposed Rule

    ACF proposes to rescind parts 1301 through 1305 in the current 
regulation and either completely rewrite or restructure them under 
subchapter B at 45 CFR Chapter XIII. The order proposed here removes 
parts 1302 through 1305 in the current regulation and redesignates new 
and remaining requirements in a new part 1301. The table provided in 
section IV., above, is intended to help the public readily locate 
current sections and provisions proposed for revision, removal, and 
renumbering.

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Program Governance

    The proposed new Sec.  1301.01 reflects a revision to parent 
committee requirements by making parent committees optional and 
eliminating Federal prescriptions regarding committee structure and 
function. In current Sec.  1301.4, programs must establish parent 
committees at each center and comply with specific requirements 
governing their structure and purpose. The proposed regulations at 
Sec.  1301.01 would allow, but not require, programs to establish a 
parent committee comprised exclusively of parents of currently enrolled 
children to advise staff in developing and implementing local program 
policies, activities, and services to ensure they meet the needs of 
children and families. Programs would have the flexibility to determine 
the bylaws of any committee including but not limited to length of a 
committee member's term and election procedures.
    These proposed changes at Sec.  1301.01 seek to reduce 
administrative burden and duplication of requirements that already 
exist in the Act. The Act's governance provisions remain in effect 
regardless of these proposed regulatory changes (Sec. 642(c-d)). The 
statute requires the establishment of a governing body, a Policy 
Council and in instances when the recipient has subrecipients, Policy 
Committees. The Act specifies the roles and responsibilities of each 
body, the reports that must be shared with these governance groups and 
the composition requirements of each body (Sec. 642(c)). Under the 
proposed regulations, Head Start programs would continue to be required 
to have a Governing Body, Policy Council, and for recipients that have 
subrecipients, Policy Committees.
    These proposed changes do not represent a departure from empowering 
parents as the lead decision makers for their children's education as 
the proposed regulation is simply returning to the statutory 
requirements, which include in Sec. 642(c) that membership of a 
program's governing body shall ``reflect the community to be served and 
include parents of children who are currently, or were formerly, 
enrolled in Head Start programs.'' This proposed rule continues to 
value and prioritize parental engagement.

Eligibility, Recruitment, Enrollment and Attendance

    If finalized, this NPRM would rescind Part 1302 Subpart A of the 
current Performance Standards, often referred to as Eligibility, 
Recruitment, Selection, Enrollment, and Attendance (or ERSEA). This 
NPRM proposes requirements for Eligibility, Enrollment, and Attendance 
in Sec. Sec.  1301.02 and 1301.03. The proposed changes in Sec. Sec.  
1301.02 and 1301.03 reflect multiple ACF priorities, including 
restoring flexibility to local Head Start programs; reducing burden for 
programs and families; and reducing duplication with relevant statutory 
requirements. Each of the proposed changes are explained in more detail 
in the paragraphs that follow.
Proposed Eligibility Requirements Aligned With Current Regulation
    Multiple new proposed regulations under Sec.  1301.02 align with 
current regulations. These represent important policies to maintain 
that, for the most part, are not separately detailed in statute.
    New proposed Sec.  1301.02(a) outlines that a pregnant woman or 
child is eligible for Head Start if they meet the eligibility 
requirements in Section 645(a)(1) of the Act. This provision is 
intended to address the requirement in Section 645(a)(1)(A) that the 
Secretary prescribes by regulation eligibility for participation in 
Head Start programs. It is ACF's position that the newly proposed 
language is sufficient to meet that statutory requirement.
    New proposed Sec.  1301.02(b) continues to specify that children in 
foster care are categorically eligible for Head Start services. New 
proposed Sec.  1301.02(c)(3) specifies the type of documentation a 
program must secure to verify that a child is in foster care. Both 
proposed standards align with the current Performance Standards and do 
not represent a proposed change in policy (see current Sec.  
1302.12(c)(1)(iv) and (i)(4)).
    New proposed Sec.  1301.02(c)(1) clarifies the types of 
documentation programs must gather and use to determine family income 
for the relevant time period and whether such income meets requirements 
for eligibility. New proposed Sec.  1301.02(c)(2) describes 
documentation requirements when a family is found eligible for Head 
Start due to receipt of or eligibility for public assistance. These 
standards are consistent with the current Performance Standards and do 
not represent proposed changes in policy (see current Sec. Sec.  
1302.12(i)(1) and (i)(2) and 1305.2).
    Consistent with the current Performance Standards, new proposed 
Sec.  1301.02(d) describes requirements to reverify a child's 
eligibility when they move from Early Head Start to Head Start 
Preschool (see current Sec.  1302.12(j)(3)).
Proposed Eligibility Requirements Rescinded and Replaced From Current 
Regulation
    Proposed Sec.  1301.02(c)(4) specifies that self-attestation would 
no longer satisfy eligibility requirements. If finalized, this change 
would strengthen risk reduction strategies and mitigate the misuse of 
funds. Similar to all sections of this NPRM, ACF requests public 
comment on this proposed change.
    Proposed Sec.  1301.02(e) specifies requirements for eligibility 
determination records. Aligned with current regulation, the proposed 
paragraph would require programs to maintain such records for each 
participant while enrolled and for one year after they are no longer 
enrolled (see current Sec.  1302.12(k)(1) and (k)(3)). Finally, in line 
with efforts to safeguard Federal funds, proposed Sec.  1301.02(f) 
would require Head Start programs to make such records available to HHS 
upon request. Sharing such records must be done in accordance with 
relevant laws and regulations on protecting the confidentiality of 
personally identifiable information (PII). Note that Family Educational 
Rights and Privacy Act (FERPA) has exceptions, including for Federal 
audits/monitoring as well as law enforcement activities. Presumably, if 
agencies are adopting policies equivalent to FERPA, then similar 
exceptions would need to be included in those policies.
    To further guard against fraud and misuse of limited Federal funds 
and to ensure the neediest children are served by Head Start programs, 
proposed Sec.  1301.02(f) would require programs to report staff who 
violate eligibility determination regulations to their Office of Head 
Start Regional Office point of contact. This represents a proposed 
change in policy from the current requirement at Sec.  1302.12(l) that 
gives programs the flexibility to determine policies and procedures for 
violating eligibility determination regulations.
    To streamline Federal requirements and reduce duplication across 
regulations and statute, proposed Sec.  1301.02(g) clarifies that 
children experiencing homelessness qualify for program eligibility 
(consistent with current regulations at Sec.  1302.12(c)(1)(iii)) and 
that programs should address eligibility determinations for this 
population in accordance with the Act. If finalized, the proposed 
regulations would allow programs flexibility in documenting 
homelessness, but self-attestation would no longer meet eligibility 
requirements.
    Programs are reminded that statute specifies that the Secretary 
shall issue

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rules to remove barriers to enrollment and participation of children 
experiencing homelessness, including allowing such children to apply, 
enroll in, and attend Head Start while required documentation is 
gathered within a reasonable time frame (see Sec. 640(m)). In other 
words, under the proposed regulations, programs must still comply with 
the statutory requirement to support enrollment of children 
experiencing homelessness.
Eligibility Requirements Proposed for Removal From Current Regulation
    The proposed regulations for eligibility under Sec.  1301.02 would 
reduce duplication in Federal regulatory requirements for Head Start 
eligibility and remove provisions that currently allow programs to go 
beyond statutory authority. While programs would still need to comply 
with all eligibility requirements specified in the Act, their proposed 
removal from the Performance Standards would reduce duplicative Federal 
regulatory requirements and ensure these requirements more closely 
align with statutory requirements and limitations on eligibility for 
Head Start services.
    This NPRM proposes to remove the following requirements from 
current Sec.  1302.12 because they are already detailed in statute: age 
requirements for eligibility for both Head Start Preschool and Early 
Head Start (described in Sec. 638 and 645A(c) of the Act); eligibility 
for a pregnant woman or child whose family income is equal to or below 
the Federal poverty line (see Sec. 645(a)(1)(B)(i) of the Act); 
eligibility for a pregnant woman or child whose family is eligible for 
public assistance, or would be in the absence of child care (see Sec. 
645(a)(1)(B)(i) of the Act); flexibility to enroll up to 10 percent of 
children whose family income is over the income threshold (see Sec. 
645(a)(1)(B)(iii)(I) of the Act); flexibility to enroll up to 35 
percent of children whose family income is between 100 and 130 percent 
of the Federal poverty line (see Sec. 645(a)(1)(B)(iii)(II)), including 
requirements to justify such enrollment (see Sec. 645(a)(1)(B)(iv)); 
flexibilities in eligibility requirements for Migrant or Seasonal 
programs and for Indian Tribes (see Further Consolidated Appropriations 
Act, 2024; Pub. L. 118-47); eligibility requirements for communities 
with less than 1,000 individuals (see Sec. 645(a)(2)); eligibility 
duration for Head Start Preschool (see Sec. 645(a)(1)(B)(v)), including 
Migrant and Seasonal Head Start; and ensuring children in Early Head 
Start who are eligible for Head Start Preschool can receive those 
services if the family desires (see Sec. 645A(b)(10)). Regarding the 
requirements for those eligible for public assistance, programs are 
reminded that at the time of this publication, ``public assistance'' 
for Head Start eligibility is inclusive of Temporary Assistance for 
Needy Families (TANF), Supplemental Security Income (SSI), and 
Supplemental Nutrition Assistance Program (SNAP) (ACF-IM-HS-22-03).
    A few eligibility-related standards are proposed for removal 
because they go beyond statutory authorization regarding eligibility. 
Specifically, the NPRM proposes to reserve eligibility for those who 
meet the stated income threshold, without incorporating a further 
expansion of eligibility by applying housing costs for eligibility 
determination purposes (current 1302.12(i)(1)(ii), (ii)(A), and 
(ii)(B)). The NPRM also strengthens program integrity by proposing to 
remove a provision in current Sec.  1302.12(h) that permits programs to 
enroll a child without documentation of child age, if such 
documentation could not be provided by the family. We specifically 
request public comment on the proposed removal of this provision. 
Removal of these policies ensures programs are more closely aligning 
with statutory requirements and limitations on eligibility for Head 
Start services.
Enrollment and Attendance
    The requirements proposed in Sec.  1301.03 focus specifically on 
attendance and enrollment. Section 1301.03(a), which proposes to 
require programs to track attendance for each child, aligns with Sec.  
1302.16(a) of the current Performance Standards. Section 1301.03(b) 
specifies that all applicable Federal and state statutes and state 
regulations apply to attendance procedures regarding child safety 
concerns due to absence(s). This means programs must align their 
attendance procedures with a broader legal framework on attendance, 
such as the McKinney-Vento Homeless Assistance Act, the Civil Rights 
Act of 1964, and the Americans with Disabilities Act (ADA)/Section 504 
of Rehabilitation Act, which are examples but not an exhaustive list. 
Section 1301.03(c), which proposes to require that a program maintain 
its funded enrollment level and fill any vacancy as soon as possible, 
but not to exceed 30 days, aligns with Sec.  1302.15(a) of the current 
Performance Standards.
    The requirements proposed in Sec.  1301.03 would reduce the current 
burden on enrollment and attendance. Programs would continue to comply 
with requirements in the Act. The Act specifies that programs must 
enroll 100 percent of their funded enrollment, maintain an active 
waitlist, and engage in ongoing outreach to the community and 
activities to identify underserved populations (Sec. 642(g)); are 
permitted to provide more than one year of Head Start services to 
eligible children and can recruit and accept applications throughout 
the year (Sec. 645(c)); and must comply with enrollment-related 
reporting requirements if serving children under the 130 percent 
poverty line provision (Sec 645(a)(1)(B)(iv)). Lastly, the Act requires 
programs to ensure the sharing of accurate and regular information for 
the governing body and policy councils to use, specifically noting 
program enrollment reports, including attendance reports for children 
whose care is partially subsidized by another public agency (Sec. 
642(d)(2)(C)).
    The proposed changes to enrollment and attendance requirements in 
Sec.  1301.03 produce significantly fewer Federal requirements for 
enrollment and attendance, because many of the requirements are not in 
the Act and they are proposed for removal in the NPRM.
    These changes, if finalized, would greatly reduce administrative 
burden and increase program flexibility. Recipients are reminded that 
they are and will continue to be required to comply with all applicable 
state and local requirements that have a bearing on enrollment and 
attendance.
Other ERSEA-Related Requirements in Current Performance Standards
    This NPRM also proposes to remove other Federal ERSEA-related 
requirements in current Part 1302, Subpart A. The following sections 
discuss in more detail these requirements in the current Performance 
Standards and how they would be impacted when these proposed changes 
are finalized.
Determining Community Strengths, Needs, and Resources
    This NPRM proposes to remove the requirements in Sec.  1302.11 of 
the current Performance Standards to avoid duplication with the Act's 
requirements and to reduce burden for programs. If these proposed 
changes are finalized, there would be significantly fewer Federal 
requirements related to determining community strengths, needs, and 
resources. Under the proposed regulations, programs would not be 
required to propose a service area, as this requirement is duplicative 
of the Notice of Funding Opportunity (NOFO) process. When applying for

[[Page 51264]]

funding, a NOFO is posted by service area, and entities apply for the 
service area(s) outlined in the NOFO. The recipient's Notice of Award 
also specifies the service area the Federal funding supports, thus 
providing documentation of the agreement between the recipient and OHS.
    The proposed regulations would no longer require programs to 
produce a complicated community needs assessment that meets current 
overly prescriptive standards, including how often programs must 
conduct the community assessment, what data elements must be included, 
and the timelines for review and updates of the community assessment.
    However, the Act clearly requires use of a community needs 
assessment, and the Act addresses both how programs and the Secretary 
should use it. First, the Act requires programs to consider the 
community needs assessment for purposes of program design and 
designation as a Head Start program. A program must use their community 
assessment when applying to convert part-day slots to full-working-day 
sessions and if applying to convert Head Start preschool slots to Early 
Head Start slots (Sec 645(a)(4) and (5)(A)(ii)) to demonstrate that a 
shift in the use of funds is responsive to community need. 
Additionally, the Secretary must consider whether programs have 
undertaken a communitywide needs assessment when expanding Head Start 
and have reflected in their application a need to provide full-working-
day or full-calendar-year services and collaborate with other child 
care providers (Sec. 640(g)(1)(C)).
    Second, the Act also has several requirements related to the 
community assessment in the context of monitoring. Reviews must include 
an assessment of whether programs have addressed the communitywide 
strategic planning and needs assessment (Sec. 641A(c)(2)(D)) and 
programs may receive a corrective action if the program fails to 
address the communitywide needs assessment (Sec. 641A(e)(1)).
    Third, the Act requires the use of the communitywide needs 
assessment for technical assistance, including programs developing an 
annual technical assistance and training plan based on their self-
assessment and their communitywide strategic planning and needs 
assessment (Sec 642(h)). The Act also requires the Secretary, in 
providing Training and Technical Assistance (TTA), to assist programs 
in conducting and participating in communitywide strategic planning and 
needs assessment, including the needs of children experiencing 
homelessness and their families (Sec. 648(a)(3)(B)(iii)).
    Lastly, programs must share information about program planning, 
policies, and operations with the governing body and policy council. 
One source of information is the communitywide strategic planning and 
needs assessment, including applicable updates (Sec 642(d)(2)(G)).
Selection Process
    ACF proposes to remove the requirements in Sec.  1302.12 of the 
current Performance Standards related to the selection process to allow 
programs greater flexibility in determining how to enroll children in 
their funded slots. Under these proposed changes, programs would still 
be required to have selection criteria, but not at the level of 
overprescription in the current Performance Standards. Note that 
programs could continue to consider the enrollment of children of staff 
members as part of their selection criteria, even though this standard 
is proposed for removal in this NPRM. The intent with the proposed 
removal of these requirements is not to take away a guidepost for 
meeting the Act's requirement for selection criteria and then find 
programs out of compliance; rather it is to be clear that programs have 
flexibility to develop criteria for filling their enrollment slots that 
is grounded in community need and best meets the needs of underserved 
populations.
    As noted, the Act requires programs to have selection criteria and 
references selection criteria in several ways. First, in outlining the 
responsibilities of the governing body, the Act includes establishing 
procedures and criteria for recruitment, selection, and enrollment of 
children (Sec. 642(c)(1)(E)(iv)(II)). This means the establishment of 
selection criteria fall within the formal responsibilities of the 
agency's governing body. Second, the Act requires that monitoring 
reviews include a review and assessment of whether programs comply with 
eligibility requirements under section 645(a)(1) and whether programs 
have met the requirements for outreach and enrollment policies and 
procedures, and selection criteria (Sec. 641A(c)(2)(J)). Third, the Act 
requires the Secretary to issue regulations that prescribe eligibility 
for participation in Head Start, including that programs may (1) 
implement outreach and recruitment policies and procedures and (2) 
establish selection criteria that ensure programs serve children who 
are low-income and experiencing homelessness before serving children 
whose families have incomes below 130 percent of the poverty line or 
are over-income.
    Lastly, the proposed removal of several provisions in Sec.  1302.14 
of the current Performance Standards reduces duplication with 
requirements included in the Act. The NPRM proposes to remove Sec.  
1302.14(b) related to the children eligible for services under IDEA, 
but the Act requires the Secretary to establish policies and procedures 
to assure that programs fill at least 10 percent of their actual 
enrollment slots with children eligible for IDEA (Sec. 640(d)(1)). As 
such, prior to a final rule taking effect, programs should expect 
guidance around the 10 percent enrollment requirement.
    The NPRM also proposes to remove Sec.  1302.14(c) related to 
waiting lists, but this base requirement does not change as the Act 
requires that programs maintain an active waiting list at all times 
with ongoing outreach to the community and activities to identify 
underserved populations (Sec. 642(g)). As noted, recipients are 
required to abide by Federal and state laws that apply to the selection 
and enrollment of participants in Federally-funded programs.
Recruitment of Children
    This NPRM proposes to remove Sec.  1302.13 of the current 
Performance Standards, which addresses the recruitment of children, to 
avoid duplication with requirements in the Act and to allow programs 
more flexibility in how they recruit children and families to 
participate in Head Start programs. If the proposed changes are 
finalized, decisions on how best to engage eligible children and 
families would be at the discretion of local programs. Programs can 
continue to use the current practices when recruiting children and 
families and would be compliant with requirements if they do, but 
programs will no longer be required.
    However, the Act includes several provisions that establish 
recruitment-related requirements and responsibilities, and programs 
will need to comply with these requirements even if the proposed 
changes are finalized. First, as noted in the discussion of current 
Sec.  1302.12: Selection process, the Act requires the governing body 
to establish procedures and criteria for recruitment, selection, and 
enrollment of children (Sec. 642(c)(1)(E)(iv)(II)). Second, the Act 
states that programs should be permitted to recruit and accept 
applications for enrollment throughout the year (Sec. 645(c)). Lastly, 
in clarifying expectations related to full enrollment, the Act requires 
that a program enroll 100 percent of its funded

[[Page 51265]]

enrollment and maintain an active waiting list at all times with 
ongoing outreach to the community and activities to identify 
underserved populations (Sec. 642(g)). The Act is clear that it is the 
responsibility of the governing body to establish selection criteria, 
that programs can recruit and accept children for enrollment throughout 
the year, and that programs must have ongoing outreach to the 
community, but the proposed removal of the requirements in current 
Sec.  1302.13 gives programs more discretion in how they meet the 
requirements in the Act.
Suspension and Expulsion
    This NPRM proposes to remove Sec.  1302.17 of the current 
Performance Standards, which outlines the limitations on suspension and 
the prohibition on expulsion. The Act requires that Early Head Start 
programs ensure that children with documented behavioral problems, 
including problems related to prior or existing trauma, receive 
appropriate screening and referral (Sec. 645A(b)(6)), thus programs 
serving infants and toddlers must comply with this statutory 
requirement. The removal of these regulatory requirements would apply 
to both Head Start Preschool and Early Head Start programs and would 
allow them to determine their own disciplinary policies within the 
context of state and local licensing requirements.
    The rationale for ACF's proposed removal of these requirements is 
twofold. First, when ACF included these requirements limiting 
suspension and prohibiting expulsion in its 2016 final rule revising 
the Performance Standards, many state child care licensing regulations 
either did not address suspension and expulsion explicitly or addressed 
them only indirectly through discipline policies. The landscape has 
changed, and a growing number of states have incorporated suspension 
and expulsion requirements directly into licensing regulations, quality 
standards, or state law. Second, the proposed removal of these Federal 
requirements restores state and local authority in recognition that 
effective Head Start programs can and do operate under varying 
approaches based on state and local contexts. These proposed changes 
are not an endorsement of suspension and expulsion as approaches to 
address persistent and serious behavioral concerns; rather, the intent 
is to allow programs to determine their own discipline policies, within 
the context of state and local licensing requirements. Recipients are 
reminded that they will continue to be required to comply with all 
applicable state and local requirements that have a bearing on 
suspension and expulsion.
Fees
    This NPRM proposes to remove Sec.  1302.18 of the current 
Performance Standards, which outlines the policy on fees, because it is 
duplicative of requirements in the Act. Section 645(b) of the Act, 
which aligns with Sec.  1302.18, prohibits the Secretary from 
prescribing any fee schedule or otherwise provide for the charging of 
any fees for participation in Head Start programs. The Act notes that 
this prohibition does not prevent (1) families who participate in Head 
Start programs and who are willing and able to pay the full cost of 
participation from doing so, and (2) programs that provide full-
working-day services in collaboration with other agencies from 
collecting a family co-payment to support extended day services, as 
long as the co-payment does not exceed the copayment charged to 
families with similar incomes and circumstances.

Education and the Learning Environment

    The proposed regulations on education and the learning environment 
reflect ACF's commitment to providing flexibility to Head Start 
programs in how they implement services in the classroom context. The 
proposed regulations address teaching and learning environment 
(proposed Sec.  1301.04), group size and ratio (proposed Sec.  
1301.05), and parent and engagement in education and child development 
services (proposed Sec.  1301.06).
Teaching and Learning Environment
    The proposed regulations for Teaching and learning environment 
(Sec.  1301.04) address requirements pertaining to language, nutrition 
and physical activity.
Language
    The proposed regulation regarding language in Sec.  1301.04(a) will 
require programs to conduct all education to children in English. 
Further, Sec.  1301.04(a)(1) specifies that if a child's native 
language is not English, and the child does not speak English, a 
program must prioritize teaching English to the child. Under the 
proposed regulations in Sec.  1301.17(d), an Indian Head Start agency 
will not be subject to Sec.  1301.04(a) so long as the language being 
spoken relates to the furtherance of tribal heritage.
    If finalized, these proposed changes would represent a shift from 
current Head Start regulations which require programs to support 
bilingualism, including both English and the home language for children 
who are dual language learners (see current Sec.  1302.31(b)(2)) as the 
current requirements are at odds with E.O. 14224, Designating English 
as the Official Language of the United States. As discussed in the 
E.O., learning English opens doors economically for families and helps 
individuals better engage with their communities. The changes proposed 
in this NPRM help achieve these goals as a key part of a young child's 
education.
    The Act includes several requirements aimed at supporting children 
and families with limited English proficiency (LEP), a term defined in 
the Act under Sec. 637 which includes children whose native language is 
not English or who come from an environment where another language 
affects English proficiency, and whose English difficulties may deny 
them success in an English-instruction classroom or full participation 
in society. Under Sec. 641A(a)(1)(B)(x), the Act requires the Secretary 
to modify, as necessary, standards for LEP children that must include 
progress toward the acquisition of the English language while also 
making meaningful progress in the broader domains (language, literacy, 
math, etc.). The Act requires programs to ensure that assessments are 
valid, reliable, and appropriately administered for LEP children, with 
necessary accommodations (Sec. 641A(b)(2)), provide outreach and 
information to parents of LEP children in a language they can 
understand, to the extent practicable, and establish procedures to 
identify LEP children and inform parents about instructional services, 
including English acquisition (Sec. 642(11) and Sec. 642(f)(10)), and 
build workforce capacity through training and technical assistance. In 
addition, the Act requires all recipients to establish goals and 
measurable objectives for educational services (Sec. 642(f)(9)).
    In summary, if these proposed regulations are finalized, programs 
would be required to conduct all education to children in English 
(except for Tribal programs, so long as the language being spoken 
relates to the furtherance of Tribal heritage). However, Head Start 
programs will continue to be required to continue to comply with all 
language requirements, for LEP children and their parents, as detailed 
in the Act. In addition to alignment with E.O. 14224, these

[[Page 51266]]

proposed changes would minimize non-essential multilingual services and 
redirect resources toward English-language education and assimilation.
Nutrition
    The proposed regulation regarding nutrition in section Sec.  
1301.04(b) requires snack and meal times to be structured and used as 
learning opportunities that support teaching staff-child interactions 
and foster communication and conversations that contribute to a child's 
learning, development, and socialization. Additionally, the proposed 
regulation encourages programs to meet this requirement with family 
style meals when developmentally appropriate. These proposed nutrition 
regulations under the teaching and learning environment align to 
current Sec.  1302.31(e)(2) and clarify and elevate key aspects of 
nutrition services and how they strengthen and reinforce education 
services. This emphasizes ACF's commitment to the Make America Healthy 
Again (MAHA) agenda through Head Start program services and places a 
spotlight on the role nutrition plays in promoting children's growth, 
development, and lifelong healthy habits.
    In summary, if the proposed regulations are finalized, programs 
would continue to be required to use snack and meal times as learning 
opportunities that support teaching staff-child interactions and foster 
communication and conversations that contribute to a child's learning, 
development, and socialization. Additionally, the proposed regulation 
continues to encourage programs to meet this requirement with family 
style meals when developmentally appropriate.
Physical Activity
    The proposed regulation regarding physical activity in section 
Sec.  1301.04(c) requires programs to recognize physical activity as 
important to learning and integrate intentional movement and physical 
activity into curricular activities and daily routines in ways that 
support health and learning. A program must provide a minimum of 30 
minutes of physical activity for every three and a half hours that t 
the child participates in the program. The proposed regulation also 
states that, weather permitting, the activity should take place 
outside. While the proposed policy aligns with existing requirements to 
``integrate intentional movement and physical activity into curricular 
activities and daily routines'' it goes a step further by setting a 
minimum baseline for the duration that such activity must take place. 
Programs that exceed this baseline would still be within compliance 
with these proposed requirements.
    For infants, physical activity may include a range of 
developmentally appropriate movements beyond prone positioning, such as 
supervised floor play and interactive movement. While ``tummy time'' is 
an important component of development, it is typically recommended in 
shorter intervals and does not represent the full scope of physical 
activity for infants. The proposed changes emphasize the importance of 
physical activity in young children's healthy development. Higher 
amounts of physical activity are associated with better indicators of 
bone health and reduced risk for excessive increases in weight in 
children 3 to 6 years of age.\1\ Regular physical activity is crucial 
for physical, metabolic, and mental health, as well as for the proper 
development of the musculoskeletal system in children.\2\ The proposed 
policy would ensure children receive a baseline amount of physical 
activity while attending Head Start programs.
---------------------------------------------------------------------------

    \1\ Pate, R. R., Hillman, C. H., Janz, K. F., Katzmarzyk, P. T., 
Powell, K. E., Torres, A., & Whitt-Glover, M. C. (2019). Physical 
activity and health in children younger than 6 years: A systematic 
review. Medicine & Science in Sports & Exercise, 51(6), 1282-1291. 
https://doi.org/10.1249/MSS.0000000000001940.
    \2\ Veldman, S. L. C., Chin A Paw, M. J. M., & Altenburg, T. M. 
(2021). Physical activity and prospective associations with 
indicators of health and development in children aged <5 years: A 
systematic review. International Journal of Behavioral Nutrition and 
Physical Activity, 18, Article 6. https://doi.org/10.1186/s12966-020-01072-w.
---------------------------------------------------------------------------

Group Size and Ratio
    The proposed regulations for group size and ratio (Sec.  1301.05) 
would require Head Start programs to establish and publish both a 
maximum group size and a ratio of children to staff that is consistent 
with applicable state and local laws and Child Care and Development 
Fund regulations. The published group size and ratio must be in a 
location and format visible to parents. Research indicates that staff-
child ratios in early care and education settings demonstrates that 
state child care licensing regulations provide adequate supervision to 
protect children's health and safety while supporting normal 
developmental progress. Research has found few, if any consistent or 
statistically significant associations between child-staff ratios 
(within the ranges permitted under state licensing standards) and 
children's cognitive, language, or social emotional outcomes.\3\ 
Therefore, the proposed regulations would replace Federally mandated 
staff-to-child ratios and group-size limits with state-established 
minimum standards that programs have the flexibility to either follow 
or remain more stringent.
---------------------------------------------------------------------------

    \3\ Perlman, M., Fletcher, B., Falenchuk, O., Brunsek, A., 
McMullen, E., & Shah, P. S. (2017). Child-staff ratios in early 
childhood education and care settings and child outcomes: A 
systematic review and meta-analysis. PLoS One, 12(1).
---------------------------------------------------------------------------

    Group size and ratio requirements are currently established only in 
regulation. The Performance Standards establish different group size 
and teacher-child ratio requirements for center-based Head Start 
Preschool (current Sec.  1302.21(b)(3) and (b)(4)), center-based Early 
Head Start (current Sec.  1302.21(b)(2)), and family child care 
(current Sec.  1302.23(b)). Ratios and group sizes are currently 
differentiated within program option type depending on the age of 
children served.
    Because the Act does not prescribe specific group size or staff-to-
child ratios, the proposed regulations would effectively rescind the 
current requirements in the Performance Standards, and Head Start 
programs would no longer be required to adhere to these requirements. 
Rather, they would be required to maintain a group size and a ratio of 
children to staff that is consistent with applicable state and local 
licensing laws and Child Care and Development Fund regulations.
    Currently, the Head Start ratio requirements are more restrictive 
than any state in the nation for three of the four categories of ratio 
requirements specified in the current performance standards, and in the 
remaining category, the ratio is more restrictive than every state 
other than Vermont and Massachusetts. Requirements are similarly more 
restrictive for group size, where the current Head Start regulations 
are more restrictive than every state in the nation for three of the 
four specified group size categories. The remaining category has a more 
stringent requirement for group size than every state other than 
Vermont. Thus, programs in all 50 states would be given the opportunity 
to serve more children if the program chose to do so, but programs 
would still have the right to remain at the current thresholds.
    Additionally, programs would be required to publish the group size 
and ratio in a location and format visible to parents. Collectively, 
these proposed changes would allow programs to defer to state licensing 
laws for group size and ratios. This proposed change allows programs to 
align with the state and local requirements on ratios and groups

[[Page 51267]]

sizes that are best for their communities. Public posting of this 
information would support transparency for parents in their selection 
of the best early education arrangement for their child.
    HHS acknowledges that the current ratio and group size requirements 
were adopted to promote child safety, support effective supervision and 
teacher-child interactions, and foster high-quality early learning 
environments. HHS continues to recognize the importance of these 
objectives and the research supporting them. However, the specific 
numerical thresholds currently prescribed in the Performance Standards 
were established decades ago based on the research and policy 
considerations available at that time. Since then, state early 
childhood systems have evolved significantly, including through more 
robust licensing and oversight requirements.
    HHS has therefore reconsidered whether a single set of Federally 
prescribed ratio and group size thresholds is necessary to achieve 
these objectives in all program settings across the country. While HHS 
continues to recognize the benefits associated with smaller group sizes 
and lower staff-child ratios, HHS has determined that a single 
Federally mandated approach may unnecessarily limit program capacity 
and local flexibility. HHS notes that the current requirements are more 
restrictive than those applicable in nearly all state early childhood 
systems, and programs remain subject to applicable state and local 
requirements.
    This proposal is also consistent with prior efforts to simplify 
requirements and provide greater flexibility to programs. In ACF's 2015 
NPRM and 2016 final rule on Head Start, HHS retained the existing ratio 
and group size thresholds while modifying related requirements to 
simplify implementation and increase flexibility. HHS believes this 
proposal continues that approach by allowing programs to make staffing 
and classroom organization decisions based on local needs and 
circumstances while maintaining responsibility for providing safe, 
high-quality services.
Parent and Family Engagement in Education and Child Development 
Services
    Proposed Sec.  1301.06(a) would require center-based and family 
child care programs to structure education and child development 
services to recognize parents' roles as children's primary teachers and 
nurturers. This proposed regulation aligns to current Sec.  1302.34(a) 
and demonstrates ACF's commitment to supporting families and ensuring 
programs prioritize the role of parents in the delivery of their 
education services. The strong emphasis on engaging parents in the 
context of the proposed streamlined regulatory framework spotlights the 
important role parents play in their child's development and growth and 
the partnership that programs need to forge to honor parents' decision 
making in regards to their child's education.
    Next, proposed Sec.  1301.06(b) would require programs to implement 
strategies to engage parents and family members in their children's 
learning and development and support parent-child relationships, 
including specific strategies for father engagement, and provide 
educational material and instruction that demonstrates healthy marriage 
as a positive good. Notably, the proposed regulations would add a new 
requirement to provide educational material and instruction that 
demonstrates the value of healthy marriage. This proposed change to 
current requirements reflects ACF's commitment to supporting strong 
families as the cornerstone of a healthy society.
    The Act authorizes and encourages programs to provide family 
support and family strengthening services, which can include activities 
that support healthy relationships and marriage. Under the Act, Head 
Start programs must provide family and community partnership services 
designed to support parents in improving family well-being and 
achieving family goals (Sec. 642(b)). The Act permits programs to offer 
services that support family stability, including activities related to 
relationship-building and father involvement. This includes education 
on marriage and healthy relationships. The Act also emphasizes 
responsible father engagement and family strengthening as part of 
comprehensive services to families (Sec. 641(d)(2)(J)(vii)).
    In summary, this NPRM promotes healthy marriage as a positive good 
and emphasizes the critical role of fathers. Under the proposed 
regulation, Head Start programs would be required to implement 
strategies to engage parents and family members in their children's 
learning and development and support parent child relationships, 
including specific strategies for father engagement, and have increased 
flexibility to so do. Additionally, if finalized, Head Start programs 
would newly be required to provide educational material and instruction 
that demonstrates healthy marriage as a positive good. These proposed 
changes would empower parents as their children's primary decision-
makers and help to show how healthy married households often have 
better economic and social outcomes for children and adults.
Determining Program Structure
    The proposed regulations remove existing limiting regulations 
regarding program options. As such, given that center-based, family day 
care (family child care), home-based services and locally-designed 
program options are outlined or defined in the Act programs will 
continue to be able to operate under these models with greater 
flexibility due to the removal of specific regulatory requirements.
    The conversion process from Head Start Preschool to Early Head 
Start is not impacted as the statutory authority for conversion is 
maintained in the Act (Sec. 645(a)(5)(A)).
Center-Based Service Duration
    Under the proposed regulations, the Performance Standards would no 
longer require programs to adhere to current center-based, Head Start 
Preschool service duration requirements (current Sec.  1302.21(c)(2)). 
Instead, programs are still required to abide by the Act which sets a 
floor whereby the Secretary must allow such programs to align with the 
hours of service in regulation in 1994, as long as programs do not 
provide less than 3 hours of service per day and do not reduce the 
number of service days per week or per year required in 1994 (Sec. 
640(k)(1)). When the current service duration requirements were 
finalized in 2016, ACF recognized that research generally supported the 
value of longer early education services for children, while also 
acknowledging that the evidence did not identify a clear threshold or 
specific combination of hours and days necessary to achieve positive 
child outcomes. Upon further consideration, ACF believes that 
prescribing a minimum annual number of service hours is not the most 
appropriate means of promoting positive outcomes for children. ACF 
believes that grant recipients, in partnership with their Policy 
Councils, are better positioned to determine service schedules that 
reflect the needs of their communities and families. Removing the 
service duration requirements as proposed in this NPRM will provide 
greater flexibility to design program schedules that reflect local 
family and community needs. To the extent that programs choose to 
reduce duration, ACF acknowledges that families may need to secure 
alternative child care arrangements, which could impose additional 
financial costs or lost work time for families. However,

[[Page 51268]]

programs will also have the flexibility to develop operational hours 
that align with the needs of parents' work schedules, including 
maintaining their current hours of operation if desired.
    Specifically, if the proposed regulations are finalized, the 
center-based, Head Start service duration requirements from 1994 would 
remain in place and stipulate that center-based preschool programs that 
operate four days per week must provide at least 128 days per year of 
planned class operations. Under the 1994 requirements, Center-based 
preschool programs that operate five days per week must provide at 
least 160 days per year of planned class operations. Those programs 
implementing a combination of four and five days per week must plan to 
operate between 128 and 160 days per year. All center-based preschool 
programs must provide a minimum of 32 weeks of scheduled days of class 
operations over an eight- or nine-month period. Every effort should be 
made to schedule makeup classes using existing resources if planned 
class days fall below the number required per year.
    With respect to center-based EHS service duration, the proposed 
regulations would return to the requirements found in the Act, which 
specifies that EHS programs must provide ``continuous'' comprehensive 
child development and family support services (Sec. 645A(b)(1)). Even 
prior to the establishment of 1,380 hours policy in regulation in 2016, 
ACF has long interpreted this statutory requirement to mean the 
provision of full-day, year-round services for infants and toddlers in 
EHS programs. This interpretation better supports working parents, 
children, and families as a whole, aligning with Head Start's core 
mission of fostering healthy child development, strengthening the 
family unit and helping families rise out of poverty into sustained 
economic self-sufficiency. Under these proposed regulations, recipients 
would still have to comply with the requirement for continuous EHS 
service duration and any other applicable state and local requirements.
Center-Based Licensing and Facility Square Footage
    Under the proposed regulations, the Performance Standards would no 
longer establish Head Start specific square footage and space 
arrangement requirements (see current Sec.  1302.21(d)(2) and (3)). 
These requirements are not specified in the Act. Therefore, these 
changes, if finalized, would reduce administrative burden and increase 
program flexibility to determine whether and how to continue these 
practices. Recipients are reminded that they still will be required to 
comply with all applicable state and local requirements, including 
continuing any of these practices if mandated by state or local law or 
regulations.
Home-Based Option
    With the exception of the proposed regulation at Sec.  1301.05(a) 
already discussed previously, the proposed regulations remove 
regulatory requirements with respect to how to conduct the home-based 
program option as currently described in Sec.  1302.22. As in other 
areas of the proposed regulations, this represents ACF's commitment to 
reducing regulatory burden and returning control to local programs. 
Under the proposed rules, hyper specific requirements regarding home 
visitor caseloads (current Sec.  1302.22(b)), service duration (current 
Sec.  1302.22(c)), and make-up requirements (current Sec.  1302.22 
(c)(3)) would be removed and those determinations will instead be made 
by local and state decisionmakers.
    Furthermore, the proposed rule removes all of the Federal 
regulations found at Sec.  1302.35 regarding home--based program 
design, instructional activities for home visits, curriculum, staff 
support, adapting curriculum, and group socialization structure. As the 
Act does not specify these requirements, the removal of these 
regulations would give programs greater flexibility in implementation.
Family Child Care Option
    With the exception of the proposed regulation at Sec.  1301.05(a) 
already discussed previously, the proposed regulations remove other 
requirements regarding the family child care program option as 
currently described in Sec.  1302.23. The Act does recognize and define 
the program option ``Head Start family day care'' as ``Head Start 
services provided in a private residence other than the residence of 
the child receiving such services'' (Sec. 637). Therefore, Head Start 
recipients would still be authorized to provide services through the 
family child care program option; this is not a change from current 
policy.
    Under the proposed rule family child care homes would still be 
required to accommodate children and families with disabilities 
(proposed Sec.  1301.10 and current Sec.  1302.23(a)(2)), as required 
by applicable Federal and state statutes and regulations regarding 
providing services for children with disabilities. Additionally, under 
the proposed rule, programs operating the family child care option 
would not be required to adhere to service duration requirements that 
specify a minimum of at least 1,380 hours of operations per year 
(current Sec.  1302.23(c)) or have a child development specialist 
(current Sec.  1302.23(e)). The requirement for 1,380 hours of service 
duration for family child care was added to the Performance Standards 
through a 2016 final rule. That final rule noted that, prior to this 
requirement being developed, nearly all Head Start family child care 
providers already provided longer service duration to families. 
Therefore, ACF believes that this regulation is unnecessary, as it is 
clear that family child care providers adapt well to the needs of 
working families without an overly prescriptive regulatory requirement. 
This NPRM will provide family child care programs the flexibility they 
need to design schedules that reflect local family and community needs, 
and ACF anticipates that many will choose to continue to offer longer 
hours of operation. If programs do choose to reduce duration, ACF 
acknowledges that families may need to secure alternative child care 
arrangements or may miss work time. However, programs will have the 
flexibility to develop operational hours that align with the needs of 
parents' work schedules, including maintaining their current hours of 
operation if desired.
    Overall, the proposed removal of regulatory requirements under the 
family child care option aligns with ACF's efforts to reduce 
prescriptive Federal oversight on local programs and provide more 
autonomy to local programs to operate as they see fit, within the 
bounds of Federal and state statutes.
Locally-Designed Program Option Variations
    The proposed regulations under Sec.  1301.18(c) related to locally-
designed program option variations are discussed in greater detail in 
the section of this preamble titled, Program Flexibility.
Curricula
    The proposed regulations do not restate curricula expectations 
which are currently specified under Sec.  1302.32, as the Act maintains 
that each Head Start agency must implement a standardized, research-
based early childhood curriculum that promotes school readiness in 
language, literacy, mathematics, science, cognitive, social and 
emotional development, and physical development, and that is aligned 
with ongoing assessment, learning goals, and the Head Start Birth

[[Page 51269]]

to 5 Early Learning Outcomes Framework (Sec. 642(f)(3)). Therefore 
under these proposed rules, programs would only be required to comply 
with the applicable curricula requirements as detailed in the Act.
Child Screenings and Assessments
    This NPRM proposes to rescind current Sec.  1302.33 Child 
screenings and assessments to remove duplication with the Act, reduce 
administrative burden, and restore more flexibility to local Head Start 
agencies to make decisions on how best to implement screening and 
assessment practices in their programs.
    The Act requires that programs use research-based assessment 
methods to support the educational instruction and school readiness of 
children in the program (Sec. 642(f)(5)). The Act includes further 
specification that assessment methods should be developmentally 
appropriate, consistent with nationally recognized professional 
standards, administered by staff with appropriate training for such 
administration, and high-quality research-based measures (see Sec. 
641A(b)(2)).
    In addition, the Act requires programs to use research-based 
developmental screening tools that have been demonstrated to be 
standardized, reliable, valid, and accurate for the child being 
assessed, to the maximum extent practicable, and aligned to the Head 
Start Early Learning Outcomes Framework (Sec. 642(f)(6)). In addition, 
some requirements related to the referral and support of children who 
may be or are eligible for services under IDEA still apply (see 
Services for Children with Disabilities for more details). Based on the 
requirements included in the Act, under the proposed regulations 
programs will continue to be required to conduct screenings and 
assessments for enrolled children.
    In summary, under the proposed regulation programs would continue 
to be responsible for conducting screenings and assessments but will 
have additional flexibility in how these are implemented as long as 
they continue to meet the requirements specified in the Act.
Parent and Family Engagement in Education and Child Development 
Services
    The proposed regulation in Sec.  1301.6 would substantially reduce 
the hyper specificity currently required of programs with respect to 
parent and family engagement in education and child development 
services currently found at Sec.  1302.34. This proposed change grants 
programs the flexibility to engage parents and families in ways that 
are best suited to individual needs and seeks to strike an appropriate 
balance between reducing regulatory burden on programs, while still 
recognizing the critical role of parents as children's first and 
lifelong educators and nurturers.
    Programs will still be required to comply with relevant provisions 
of the Act. These include the statutory requirement that parents 
participate in the governance of Head Start programs, including through 
policy councils responsible for program direction (Sec. 642(c) and 
(d)), and are involved in the development, conduct, and overall program 
direction at the local level (Sec. 642(b)). Accordingly, while the 
proposed rule would remove hyper specific regulations (such as the 
group size requirement that the number of family members to staff that 
conduct the family partnership process and work on family, health and 
community engagement is no more than 40:1(current Sec.  
1305.52(d)(2))), core statutory requirements concerning parent 
involvement and governance under the Act will remain, but with much 
greater discretion and control on the part of local programs to 
implement the requirements as they and the families they serve see fit.

Health and Nutrition

    The proposed regulatory changes related to Child Health and 
Nutrition reflect ACF's commitment to supporting the healthy 
development and nutrition of children served in Head Start programs. 
The proposed regulations address Child Nutrition (Sec.  1301.07) and 
Family Support Services for Health and Nutrition (Sec.  1301.08). The 
proposed regulations would require programs to have staff or 
consultants to support nutrition services, in alignment with current 
Sec.  1302.91(e)(8)(iii), that promote development and learning and 
ensure that infants are held during bottle feeding. The proposed 
changes in this NPRM will would require programs to serve nutrient-
dense, whole foods consistent with a healthy and nutritious diet, 
aligned to the program requirements of the Child and Adult Food Care 
Program (CACFP) or, where applicable, provide an opportunity for 
infants to be served breastmilk during the day. Similar to all sections 
of this NPRM, ACF requests public comment on the proposed changes, 
including whether any additional, and if so, what, supports programs 
may require to implement the proposed changes.
    In addition, programs would need to collaborate with parents to 
promote children's health and well-being through nutrition and physical 
activity support services. Under the proposed regulations, this 
collaboration would include discussions regarding: the child's 
nutritional status; the importance of physical activity and healthy 
eating; the negative health consequences of sugar-sweetened beverages 
and grain-based desserts; and selecting and preparing nutritious foods 
within family budgets. This proposed regulation retains the core 
principles of Head Start to engage families and provide for the health, 
nutrition and well-being of children and families. Prescriptive 
requirements pertaining to nutrition are proposed in contrast to the 
otherwise de-regulatory approach of this NPRM to highlight the 
importance associated with healthy eating. Other nutrition-related 
provisions affecting the learning environment and program goals are 
addressed elsewhere in this preamble (see Sec. Sec.  1301.04 and 
1301.13).
    The Act contains additional requirements that programs will 
continue to be required to comply with under the proposed regulations. 
The Act requires all recipients to establish goals and measurable 
objectives for health and nutritional services (Sec. 642(f)(9)). 
Statute requires programs to conduct screenings (Sec. 642(f)(6)); so, 
while the proposed regulations would no longer specify that programs 
must conduct hearing and vision screenings, this requirement will still 
apply due to statutory requirements. However, programs would have more 
flexibility on timeline and process for ensuring screenings are 
completed. Early Head Start programs must coordinate with other state 
and local entities to ensure a comprehensive array of services, 
including health and mental health services (Sec. 645A(b)(5)).
    In addition, Section 657A of the Act outlines requirements for 
parental consent for nonemergency intrusive physical examinations. ACF 
recognizes that USDA's CACFP is an important source of Federal funding 
to support access to nutritious foods in Head Start programs. Programs 
must continue to use USDA as a funding source for meals and snacks and 
programs must comply with applicable regulations regarding nutrition 
and food safety.
    While the Act establishes high-level requirements for these 
services, the proposed removal of multiple prescriptive requirements, 
including requirements to maintain a Health and Mental Health Services 
Advisory Committee, to obtain advance authorization for health, mental 
health, and developmental procedures, to have monthly mental health 
consultation, to assist children with daily teeth brushing, to conduct 
health

[[Page 51270]]

determinations, to assist families in navigating health systems, and to 
facilitate access to health care and insurance, would provide 
recipients more flexibility to design and implement health, nutrition, 
and mental health services that best meet their communities' needs. 
Many mental Health regulations were introduced in a 2024 final rule to 
reinforce that mental health should be integrated into all aspects of 
the Head Start program, but upon further consideration, ACF believes 
these requirements were overly prescriptive and limit programs' ability 
to tailor services to the needs of their communities.

Safety and Transportation Practices

Licensing
    This NPRM proposes to streamline safety and transportation 
requirements in the Performance Standards by removing regulations that 
duplicate state and local requirements. In proposed Sec.  1301.09(a), 
programs would be required to be licensed by the state, tribal, or 
local entity and comply with all Federal and State statutes, and 
regulations regarding safety and transportation practices for children. 
If exempt, programs must meet CCDF basic health and safety 
requirements. While some states narrowly define ``licensing exempt'', 
for the purposes of this proposed rule, ACF considers all programs that 
are not required by the state to be licensed ``exempt'', including 
school-based and tribal programs that do not have an applicable 
licensing mechanism. Based on administrative data on service locations 
and licensing, ACF estimates that approximately 26 percent of Head 
Start service locations are not licensed under state child care 
licensing requirements. These locations commonly include programs that 
are license-exempt, operating under public school or local education 
agency authority; home-based or other non-center-based service models; 
and sites licensed, permitted, or overseen through another authority or 
partner rather than through the state child care licensing process. 
Smaller shares reflect sites that are closed or not yet operational, 
and locations in the process of obtaining or renewing licensure.
Preventing Lead Exposure
    In proposed Sec.  1301.09(b), programs would be required to prevent 
children from being exposed to lead in the water and paint of Head 
Start facilities. Research has indicated there are higher than 
acceptable rates of lead in the water of child care facilities,\4\ and 
exposure to any amount of lead in early childhood is particularly 
detrimental for development.\5\ This proposed requirement is not new 
for programs; it would replace current Sec.  1302.47(b)(9), while 
giving programs and states greater flexibility on the specific pathways 
to prevent children from being exposed to lead.
---------------------------------------------------------------------------

    \4\ Triantafyllidou, S., Gallagher, D., & Edwards, M. (2020). 
Assessing risk and mitigation options for lead in drinking water in 
U.S. child care facilities. Environmental Research, 181, 108907; 
Redmon, J. H., et al. (2022). Lead levels in tap water at licensed 
North Carolina child care facilities, 2020-2021.
    \5\ Centers for Disease Control and Prevention (CDC). (2024). 
Lead exposure and health effects in children; Wehby, G. L. (2025). 
Early-life low lead levels and academic achievement in childhood and 
adolescence.; Lanphear, B. P., Hornung, R., Khoury, J., et al. 
(2005). Low-level environmental lead exposure and children's 
intellectual function: An international pooled analysis.
---------------------------------------------------------------------------

Reducing Duplication With State and Local Systems
    While the proposed rule would remove Federal requirements currently 
found in Sec.  1302.47 (safety practices) and Sec. Sec.  1303.70-
1303.75 (transportation) because they are duplicative with state and 
local requirements. The Act requires programs to collaborate on the 
shared use of transportation and facilities with the Local Education 
Agency, in appropriate cases (Sec. (642(e)(4)(A)).
    Under the proposed rule, programs continue to be required to meet 
all applicable state and local licensing and regulatory requirements 
pertaining to safety and transportation. These requirements include, 
but are not limited to, state transportation laws and vehicle safety 
standards, local building and fire codes, state child abuse and neglect 
reporting laws, state and local emergency preparedness requirements, 
and state requirements for use of child safety restraints in moving 
vehicles. Licensing exempt and programs that are not required to be 
licensed such as school-based or Tribal programs must meet CCDF's basic 
health and safety requirements. These include but are not limited to 
core safety requirements such as building safety, child protection and 
emergency preparedness. This proposal would return primary licensing 
and regulatory authority to states and eliminate regulations where 
Federal duplication of state and local standards exists.
    While the proposed rule would remove overly specific and detailed 
Federal requirements for transportation services in current Part 1303 
Subpart F, such as the requirement to have at least one bus monitor 
while transporting children, programs would remain permitted and 
encouraged to offer transportation services under the proposed rule. 
The proposed rule would also remove overly prescriptive safety 
requirements related to facilities, equipment and materials, safety 
training, hygiene practices, administrative safety procedures, and 
disaster preparedness in current Sec.  1302.47.
    Programs must continue to meet applicable state and local licensing 
and other regulatory standards including USDA food safety standards. 
Programs may voluntarily continue any practices from the current 
Performance Standards that support child safety, even if not required 
by state or local regulation, and programs retain discretion to 
implement safety practices that exceed minimum state and local 
requirements. Head Start programs will remain accountable for ensuring 
the safety of enrolled children. The Act requires the Secretary to 
monitor programs (Sec. 641A(c)), and HHS retains authority to issue 
deficiencies when monitoring reveals a systemic or substantial material 
failure that poses a threat to the health or safety of children or 
staff (Sec. 637(2)(A)(i)).

Services for Children With Disabilities

    The proposed Sec.  1301.10 ``Services for children with 
disabilities'' would require programs to comply with all applicable 
Federal and state statutes and regulations regarding providing services 
for children with disabilities. This Section is proposed to replace 
Part 1302 Subpart F of the current Performance Standards. This proposal 
is intended to reduce duplication of regulations while still 
maintaining the protection required for children with disabilities in 
statute.
    Additionally, the Act has multiple requirements that pertain to 
services with children with disabilities that will still apply to 
programs. The Act requires Head Start programs to establish effective 
procedures for timely referral of children with disabilities to the 
State or local agency providing services under IDEA and collaborate 
with that agency (Sec. 642(b)(14)). It also requires that programs 
establish effective procedures for providing necessary early 
intervening services to children with disabilities prior to an 
eligibility determination by the State or local agency responsible for 
providing services (Sec. 642(b)(15)). The Act also requires Head Start 
agencies to coordinate with the local education agency and programs 
offering services under Part C of IDEA and Early Head Start programs 
must ensure formal linkages with providers of early intervention 
services for infants and

[[Page 51271]]

toddlers with disabilities (Sec. 642(e)(3)). Lastly, the Act specifies 
that programs must work with schools to support children's entry into 
Kindergarten and to facilitate and seek the involvement of parents of 
participating children in activities designed to help such parents 
become full partners in the education of their children--these 
requirements are not specific to children with disabilities but apply 
to them and all other children enrolled in the program (Sec. 642)(b)).
    Furthermore, the Act requires the Secretary to establish policies 
and procedures that will ensure recipients provide early support 
services (educational and behavioral) to children who may have 
disabilities, before a formal IDEA eligibility determination is made 
and promptly refer children to the appropriate state or local IDEA 
agency and collaborate to coordinate services for children with special 
needs (Sec. 640(d)). While these requirements are no longer specified 
in the proposed regulations, if this proposed rule becomes final, the 
Secretary would issue policies and procedures to ensure these 
requirements are met.
    Under proposed Sec.  1301.10 programs would continue to be held to 
all Federal and state requirements to support children with 
disabilities and the core requirements of those services do not change 
under the proposed regulations. That said, the proposed changes would 
provide programs with additional flexibility to carry out these 
requirements. For example, the Act requires programs to help parents 
become full partners in the education of their children and create 
linkages to other agencies, the program will have flexibility with 
these proposed changes to do that in a way that best meets the needs of 
enrolled families as long as they are compliant with all other state 
and Federal laws and regulations.

Family Engagement and Program Transitions

Family Engagement
    The proposed rule includes requirements for family engagement as 
they pertain to education services (proposed Sec.  1301.06) and health 
and nutrition (proposed Sec.  1301.08). These proposed regulations are 
discussed in more detail in Education and the Learning Environment and 
Health and Nutrition, respectively.
    In addition, this NPRM proposes to rescind current 1302 Subpart E--
Family and Community Engagement Program Services to reduce duplication 
with the Act and increase program flexibility. The Act establishes as a 
central obligation for Head Start agencies that they actively involve 
families and members of the community in the life of the program. To 
meet this requirement, Head Start programs must actively engage parents 
and community members as meaningful partners in shaping and carrying 
out the program, ensuring they have a direct role in decisions and 
program design (Sec. 642(b)(1-2)). Programs are expected to establish 
strong, accessible processes that support parents as full participants 
in their children's education, including offering transportation when 
appropriate (Sec. 642(b)(3)). They must provide family-focused supports 
such as literacy services, parenting education, and substance abuse 
counseling, and conduct individualized family needs assessments in 
clear, understandable language. Programs are also required to conduct 
community outreach to attract new volunteers, ensure information is 
accessible to offer family literacy services and parenting skills 
training families (Sec. 642(b)(4-5)). The Act also requires programs to 
provide a family needs assessment (Sec. 642(b)(7)) and support to help 
parents secure assistance from public and private sources (Sec. 
642(b)(12)).
    Per the Act, Head Start agencies may also provide additional 
supports to parents, including training in basic child development, 
assistance in developing literacy and communication skills, 
opportunities for parents to share experiences with other parents, 
health services information, including maternal depression, regular in-
home visitation, and other activities designed to help parents become 
full partners in their children's education (Sec. 642(b)(6)).
    Under this NPRM many of the requirements in current 1302 Subpart E 
would still apply either through the proposed regulations or because 
they are required by the Act as summarized above. Other hyper specific 
requirements are proposed for removal and would no longer be Federal 
Head Start requirements which would increase program flexibility to 
better meet the needs specific to the families that are being served.
    While the Act requires family needs assessments (Sec. 642(b)(7)) 
the specific requirements in current regulation would no longer apply 
(current Sec.  1302.52) and programs would have flexibility to 
implement family needs assessments in ways that best meet the needs of 
their community. Overall, these changes seek to reduce duplication 
between program regulations and the Act and increase program 
flexibility.
Community Engagement
    This NPRM proposes to rescind current 1302 Subpart E--Family and 
Community Engagement Program Services to reduce duplication with the 
Act and increase program flexibility.
    The Act requires Head Start programs to actively collaborate and 
coordinate with public and private organizations in its community to 
improve the availability and quality of services for children and 
families (see Sec. 642(e)). This means working closely with the local 
schools, which children will attend after Head Start, school districts, 
businesses, community-based and faith-based organizations, museums, and 
libraries to build community support and strengthen school readiness 
efforts. In communities where both Head Start and public 
prekindergarten programs operate, the agencies must coordinate their 
activities. This includes working together to identify eligible 
children and align services. Head Start agencies must also coordinate 
with a range of other programs that serve young children and families, 
such as child care assistance programs, child welfare and foster care 
services, programs serving children experiencing homelessness, family 
literacy initiatives, and early intervention and special education 
services. In addition, per the Act, Head Start programs must take steps 
to work with local educational agencies and schools to share 
transportation and facilities when appropriate, reduce duplication of 
services, improve efficiency, expand access for underserved children, 
and exchange information about noneducational services such as health 
and social supports (see Sec. 642(e)). Finally, the Act requires Head 
Start agencies to enter into a written memorandum of understanding with 
the local entities responsible for managing publicly funded preschool 
programs in their service area, if one exists (see Sec. 642(e)).
    While this NPRM proposes to rescind the regulations on Community 
Engagement (current Sec.  1302.53), the majority of these requirements 
would continue to apply through the requirements specified in the Act, 
including coordinating and collaborating with public and private 
entities (e.g., schools, other early childhood programs, health, mental 
health, child welfare) to improve the availability and quality of 
services to Head Start children and families (Sec. 642(e)). In 
proposing to rescind the regulations at current Sec.  1302.53, this 
NPRM removes prescriptive guidance for how programs should 
operationalize

[[Page 51272]]

their coordination and collaboration, including that programs should 
participate in state Quality Rating and Improvement Systems (QRIS).
    With respect to QRIS specifically, while there is some evidence 
that participation in QRIS leads to increases in quality ratings 
particularly based on indicators or structural quality.\6\ Other 
academic research 7 8 has generally found weak or 
inconsistent association between QRIS ratings and children's 
developmental outcomes. Overall, there is not clear evidence that the 
QRIS infrastructure and strategies developed by states have had a 
meaningful impact on driving quality that produces child outcomes. 
Under the proposed regulations, programs would retain the flexibility 
to participate in their State or local QRIS and share relevant data 
with state systems, as long as doing so does not violate any state or 
Federal statutes or regulations, but the regulations would no longer 
tell programs they should participate. These proposed changes to 
regulations on Community Engagement greatly reduce duplication between 
the regulations and the Act and restore needed flexibility to programs 
to make determinations on how to coordinate with state partners and 
systems.
---------------------------------------------------------------------------

    \6\ Gomez, C. J., Whitaker, A. A., & Cannon, J. S. (2023). Do 
early care and education programs improve when enrolled in quality 
rating and improvement systems? Longitudinal evidence from one 
system. Early Education and Development, 34(5), 1236-1253. https://doi.org/10.1080/10409289.2022.2105624.
    \7\ Markowitz, A. J., Bassok, D., & Player, D. (2020). 
Simplifying quality rating systems in early childhood education. 
Children and Youth Services Review, 112, 104947. https://doi.org/10.1016/j.childyouth.2020.104947.
    \8\ Hong, S. L. S., Howes, C., Marcella, J., Zucker, E., & 
Huang, Y. (2015). Quality rating and improvement systems: Validation 
of a local implementation in LA County and children's school-
readiness. Early Childhood Research Quarterly, 30(Part B), 227-240. 
https://doi.org/10.1016/j.ecresq.2014.05.001.
---------------------------------------------------------------------------

Program Transition Supports
    This NPRM proposes to rescind current 1302 Subpart G--Transition 
Services from the Performance Standards and does not propose new 
regulations on the topic of transition services. However, the Act 
includes several requirements for supporting families in transitions 
that will still apply to programs that ACF will hold programs 
accountable to through monitoring.
    The Act directs Head Start agencies to take specific actions to 
promote continuity of services and effective movement of children from 
Head Start into elementary school settings (see Sec. 642A). Each Head 
Start agency must take steps to enable children to maintain the 
developmental and educational gains achieved in Head Start and to build 
upon those gains in further schooling by coordinating with the local 
educational agency. Agencies are required to establish ongoing 
communication channels between Head Start staff and their counterparts 
in the schools and promote the continued involvement of parents in 
their children's education as children transition to elementary school. 
Agencies must help prepare parents to be involved with schools, school 
personnel, and school-related organizations.
    The Act also requires programs to coordinate and collaborate with 
other entities providing early childhood education (Sec. 642(e)(3)). 
This collaboration should, among other things, be used to support the 
transition of children between early childhood programs; however, the 
Act does not specify requirements of what this process looks like, 
which gives programs the opportunity to choose how best to structure 
these transition practices. In addition, section 645A requires Early 
Head Start programs to develop and implement a systematic procedure for 
transitioning children and parents from an Early Head Start program to 
a Head Start program or other local early childhood education and 
development program.
    In summary, this NPRM proposes to remove regulations on transition 
services that are largely duplicative of requirements outlined in the 
Act. The Act includes specific, detailed requirements about supporting 
families transitioning to kindergarten. The requirements in the Act 
regarding supporting children transitioning from Early Head Start to 
Head Start and from Head Start to other early childhood programs are 
less restrictive than the requirements in the current regulations which 
give programs more flexibility and reduces administrative burden.

Services for Pregnant Women

    This NPRM proposes to streamline requirements for providing 
services to pregnant women to reduce administrative burden, while still 
ensuring programs provide important support to pregnant and postpartum 
women. Under the proposed Sec.  1301.11, programs would continue to be 
required to provide newborn visits and offer comprehensive supports 
through referrals that at a minimum includes nutritional counseling and 
food assistance. In addition, the proposed rule maintains the current 
requirement to provide postpartum information, education, and services 
that address, as appropriate, fetal development, the importance of 
nutrition in the prenatal and postpartum stage including breastfeeding, 
the risk of alcohol, drugs, and smoking, and the benefits of substance 
use treatment, labor and delivery, postpartum recovery, and infant care 
and safe sleep practices.
    The Act requires recipients to provide for family involvement, 
including conducting an individualized needs assessment for each 
participating family (see Sec. 642(b)). This is inclusive of enrolled 
pregnant women so under the proposed regulation, this requirement will 
still apply. While the proposed removal of current Sec.  1302.82 
removes some specific Federal requirements around this process for 
pregnant women, the overarching requirements from the Act will remain.
    For example, while newborn visits will continue to be required, the 
NPRM proposes to no longer require programs to schedule the newborn 
visit within two weeks of birth. This proposed change provides much 
needed flexibility to programs to determine when to schedule the 
newborn visit with families.
    The NPRM proposes to remove requirements to reduce administrative 
burden, including the requirement that programs conduct health care 
determinations and facilitate access to health insurance for pregnant 
women, to provide services that help reduce barriers to healthy 
maternal and birthing outcomes, and to track all services provided to 
enrolled pregnant women. Several of these requirements were introduced 
in a 2024 final rule in an effort to address maternal health-related 
challenges and infant health needs during the early postpartum period. 
Upon further consideration, ACF no longer believes that Federally 
prescribed requirements regarding services to enrolled pregnant women 
are necessary to achieve the goals of the Early Head Start program and 
impose administrative burdens on grant recipients. While these 
requirements are proposed to be removed, if finalized, programs would 
not be prevented from providing currently specified services to 
pregnant women, but would no longer be required to do so by Federal 
regulations.
    This proposed rule also removes a requirement in current Sec.  
1302.80(f) that programs provide services that help reduce barriers to 
healthy maternal and birthing outcomes for each family, including 
services that address disparities across racial and ethnic group in 
alignment with E.O. 14151 Ending Radical And Wasteful

[[Page 51273]]

Government DEI Programs And Preferencing. The proposed removal of this 
requirement is responsive to feedback from programs after the release 
of the 2024 final rule that addressing disparities in birth outcomes is 
beyond the scope of what programs can reasonably be expected to do.

Management Systems and Administrative Costs

    The proposed regulatory changes on Management Systems and 
Administrative Costs reflect ACF's commitment to fiscal stewardship, 
federalism, and regulatory streamlining. Consistent with the principles 
of restoring authority to state and local programs and reducing 
unnecessary regulatory burden, these proposed regulations address 
Personnel and Records Policies (proposed Sec.  1301.12), Program Goals, 
Continuous Improvement and Reporting (proposed Sec.  1301.13), and 
Limitations on Administrative Costs (proposed Sec.  1301.14).
Personnel and Records Policies
    The proposed regulation at Sec.  1302.12(a) on personnel policies 
would continue to require programs to comply with all Federal and state 
statutes and regulations regarding staff, contractor, and volunteer 
background checks, including work authorization, staff standards of 
conduct, and other affiliated human resource requirements. In proposed 
Sec.  1302.12(b) programs would be required to establish policies, 
protections, and rights equivalent to those in FERPA, 20 U.S.C. 1232g, 
for the confidentiality of any personally identifiable information 
(PII) in child records.
    Finally the proposed regulation also introduces a new requirement 
in Sec.  1301.12(c) related to staff hiring considerations. Under this 
provision, programs may not require or incentivize the attainment of 
postsecondary education credits, hours, or credentials unless they can 
demonstrate that such educational attainment is necessary for the 
position based on specified skills that can only be acquired through a 
particular postsecondary education pathway. Programs must also provide 
explicit alternatives for demonstrating required skills, including 
assessments, industry-recognized credentials, or relevant work 
experience, rather than relying solely on postsecondary educational 
attainment. This requirement is intended to promote skills-based hiring 
practices, expand access to employment opportunities for individuals 
without traditional postsecondary credentials, and help ensure that 
education requirements are directly tied to the competencies needed to 
perform the job.
    The proposed changes streamline requirements currently found in 
1302 Subpart I--Human Resources Management by eliminating prescriptive 
regulations not mandated by statute (e.g., staffing requirements for 
dual language learners and volunteer requirements) and removing 
duplicative requirements found in the Act and other regulations (e.g., 
establishing personnel policies and standards of conduct). Programs 
will still be required to comply with the Act and all other applicable 
Federal and state statutes. In addition to retaining these statutory 
protections, the proposed revisions remove certain regulatory 
provisions that exceed or duplicate those requirements, as described 
below. This NPRM does not address the removal from the Performance 
Standards of all the wages and benefits requirements in current Sec.  
1302.90(e) and (f) because they have been proposed for removal by ACF 
in a separate NPRM, Restoring Flexibility to Support Head Start Program 
Access, which was published in the Federal Register for a 30-day public 
comment period on May 12, 2026. ACF is considering public comments on 
the proposed rescission of the wages and benefits requirements from 
that NPRM and will address them in a final rule.
Child Safety and Background Checks
    The proposed regulations remove restrictive Federal process 
mandates and provide programs greater flexibility in developing 
personnel policies and standards of conduct that reflect local 
community needs. However, statutory requirements related to staff 
accountability and background checks will remain in effect. As 
described in the Act, programs must adopt rules that ensure full staff 
accountability in matters governed by law, regulation, or agency policy 
(Sec. 644(a)(1)). Programs must also continue to conduct interviews, 
verify references, and obtain required State, tribal, or Federal 
criminal record checks before hiring staff (Sec. 648A(g)). In addition, 
programs remain subject to applicable state requirements aligned with 
the Child Care and Development Block Grant Act of 2014, including 
criminal background check requirements for all child care staff 
members.
    The proposed revisions would eliminate existing prescriptive 
regulatory requirements, including those related to performing 
background checks. Many of these regulatory requirements related to 
background checks, such as requiring programs to conduct subsequent 
background checks every five years following the initial background 
check, were introduced in a 2016 final rule to highlight the importance 
of protecting child safety and to complement the background check 
requirements in the Child Care and Development Block Grant Act of 2014. 
Although ACF continues to regard child safety as a paramount 
responsibility, upon further consideration, these highly prescriptive 
Federal requirements impose unnecessary administrative burden on grant 
recipients, create duplicative screening requirements, and reduce local 
flexibility in personnel practices. However, programs would continue to 
be required to comply with all other applicable Federal, State, Tribal, 
and local laws governing criminal background screening.
Staff Qualifications and Professional Development
    Under the proposed regulations, the Performance Standards would no 
longer contain any specific requirements for staff qualifications and 
professional development beyond those expressly required by statute. 
The Act requires programs to meet qualification requirements for 
specified staff positions, including those for education managers, 
education coordinators, mentor teachers, curriculum specialists, Head 
Start Preschool center-based teachers and assistant teachers, and Early 
Head Start center-based teachers (see Sec. 648A(a) and 645A(h)). All 
other staff qualification requirements that expand beyond statutory 
language currently found at Sec.  1302.91 (e.g., Head Start director, 
Family Child Care provider, coaches, family service staff, and health 
professional qualification requirements) would be removed under the 
proposed regulations.
    In a 2016 final rule, ACF introduced several additional staff 
qualification requirements beyond those expressly required by statute, 
in an effort to increase staff quality. However, at the time, ACF 
acknowledged that the available research did not support the need for 
specific degree requirements for certain positions. In general, 
education requirements of classroom staff are not strongly related to 
quality or child outcomes; research finds that increased qualifications 
do not consistently correlate to better child outcomes.\9\ There is not 
significant or

[[Page 51274]]

meaningful research on educational requirements of other staff roles 
and their relationship to quality or child outcomes. Upon further 
consideration, ACF believes that these non-statutory qualification 
requirements unnecessarily restrict grant recipients' ability to 
recruit and retain qualified staff and may limit programs' ability to 
respond to local workforce conditions and community needs. ACF now 
believes that, for positions not subject to qualification requirements 
in statute, grant recipients are better positioned to determine the 
combination of education, training, experience, competencies, and other 
qualifications necessary for effective service delivery. Removing these 
requirements will reduce barriers to hiring, expand the pool of 
qualified candidates, and provide important flexibilities for programs 
to determine the needed qualifications for staff positions and return 
qualifications to what Congress authorized in the Act.
---------------------------------------------------------------------------

    \9\ Yang, X., Abdul Rahman, M.N., & Sun, Y. (2025). The impact 
of teachers' qualifications on development outcomes in early 
childhood: a systematic literature review. International Journal of 
Early Years Education, 33(2), 426-445. https://doi.org/10.1080/09669760.2025.2451301.
---------------------------------------------------------------------------

    Programs must continue to meet statutory requirements related to 
professional development for staff. This includes creating and 
regularly evaluating professional development plans for all full-time 
Head Start employees who provide direct services to children (Sec. 
648A(f)). Programs must also continue to ensure each classroom teacher 
completes at least 15 clock hours of professional development annually 
(Sec. 648A(a)(5)). The Act continues to require Mentor Teachers 
(648A(b)) which align to coaching requirements. Programs also remain 
required under statute to establish plans to assist limited English 
proficient children in making progress toward English language 
acquisition and toward attaining the knowledge, skills, abilities, and 
development described in section 641A(a)(1)(B) (Sec. 641(d)(K)).
    In alignment with E.O. 14151 Ending Radical And Wasteful Government 
DEI Programs And Preferencing, the proposed revisions also eliminate 
prescriptive regulatory requirements that require staff, consultants, 
or contractors demonstrate familiarity with the ethnic backgrounds and 
heritages of families served; and require at least one classroom staff 
member or home visitor to speak the non-English language spoken by a 
majority of children in a class or program.
Confidentiality and Records Protections
    Under the proposed regulation, current 1303 Subpart C--Protections 
for the Privacy of Child Records would be replaced with proposed Sec.  
1301.12(b), which would require that a program establish policies, 
protections, and rights equivalent to those in FERPA, 20 U.S.C. 1232g, 
for the confidentiality of any personally identifiable information 
(PII) in child records. This will give programs the flexibility to 
establish their own policies and procedures provided that they are 
equivalent to FERPA.
    Furthermore, the Act requires programs to protect personally 
identifiable information in child records through policies, 
protections, and rights equivalent to those provided to parents under 
the Family Educational Rights and Privacy Act (FERPA) (Sec. 
641A(b)(4)(A)). Accordingly, under the proposed regulation, programs 
would be afforded flexibility to establish their own confidentiality 
policies and procedures, provided those policies are equivalent to 
FERPA. Programs must also continue to comply with confidentiality 
provisions under Part B or Part C of IDEA to protect personally 
identifiable information in records of children who are referred to, or 
found eligible for, services under IDEA.
Staff Health and Wellness
    The proposed revisions remove prescriptive regulatory requirements 
concerning staff health and wellness that are not expressly required by 
statute. Requirements proposed for removal include staff breaks, staff 
health exams, and provision of mental health information to staff; 
programs will now have increased flexibility in these areas. In 
addition to the Act requirements, programs remain required to comply 
with the Americans with Disabilities Act, section 504 of the 
Rehabilitation Act, and all other applicable Federal, state, and local 
laws and regulations related to staff health and wellness.
Program Goals, Continuous Improvement, and Reporting
    The proposed regulations on program goals, continuous improvement, 
and reporting (Sec.  1301.13) promote child safety and the delivery of 
effective, high-quality program services. The proposed regulations 
would continue to require programs to establish goals and measurable 
outcomes, including provision of evidence-based education, health, 
nutritional, and family engagement services to further promote the 
school readiness of enrolled children. The proposed regulations specify 
that educational services must be evidence-based, reflecting the 
importance of using proven practices to improve child outcomes. 
Programs will continue to be required to conduct a self-assessment of 
their progress towards meeting such goals and submit the findings to 
ACF (as required by current Sec.  1302.102). In addition, the proposed 
regulation would continue requiring programs to report any incident 
regarding circumstances affecting the financial viability of the 
program, breaches of personally identifiable information, or program 
involvement in legal proceedings, or any matter for which notification 
or a report to State, Tribal, or local authorities is required by 
applicable law. The proposed regulations maintain the requirement to 
submit to HHS any significant incident that affects the health and 
safety of a child that occurs in the setting where head start services 
are provided immediately, but no later than, seven calendar days 
following the incident.
    The proposed changes would streamline requirements currently found 
in 1302 Subpart J--Program Management and Quality Improvement by 
removing duplicative requirements found in the Act and other 
regulations. Although these requirements are not explicitly restated in 
the proposed regulation, programs are required to comply with the Act 
and all other applicable Federal and state statutes. The statutory and 
other legal requirements summarized below will continue to apply.
    Consistent with the Act, programs are required to establish school 
readiness goals that are aligned with the Head Start Child Outcomes 
Framework: Ages Birth to Five, state and tribal early learning 
standards, as appropriate, and the requirements and expectations of the 
schools Head Start children will attend (Sec. 641A(g)(2)(A)). Programs 
will also still be required to establish and implement a system of 
ongoing oversight to ensure the effective implementation of the 
Performance Standards, including child safety, and compliance with 
other applicable Federal regulations (Sec. 641A(g)(3)).
    In addition, programs will still be required to annually publish 
and disseminate a report in accordance with section 644(a)(2) of the 
Act. If applicable, programs must submit a quality improvement plan as 
required under section 641A(e)(2) of the Act.
    Programs will remain subject to statutory requirements governing 
services for children with disabilities and must provide services 
through collaboration with IDEA, as described in sections 640(d) and 
642(b)(14)-(15) of the Act, consistent with section 504 of the 
Rehabilitation Act and the

[[Page 51275]]

Americans with Disabilities Act (Sec. 640(d)(2)).
    In addition, programs will still comply with applicable provisions 
of the OMB Uniform Guidance (2 CFR part 200), including requirements 
related to financial management (2 CFR 200.302) and internal controls 
(2 CFR 200.303).
    Finally, programs will still be required to comply with applicable 
State, Tribal, and local mandatory reporting laws concerning reasonably 
suspected or known incidents of child abuse and neglect, consistent 
with the Child Abuse Prevention and Treatment Act (CAPTA) and any other 
applicable Federal laws.
    In addition to streamlining requirements, the proposed changes 
remove prescriptive requirements not mandated by statute and restore 
flexibility to local programs. Under the proposed regulations programs 
would no longer be required to adhere to prescribed data aggregation 
and analysis processes for child-level assessment data, including the 
requirement to conduct subgroup analysis. Instead, programs would 
continue to conduct annual self-assessments and use data for continuous 
improvement as required by statute, while gaining flexibility to 
analyze child-level data when and how it best informs local decision-
making and program improvement. The proposed changes also eliminate 
requirements that programs implement prescriptive coordinated 
approaches and procedures at the beginning of each program year. 
Programs will continue to collaborate with schools, child care 
providers, disability services, and other community partners as 
required by statute, while eliminating prescriptive coordination 
procedures and timelines that do not account for local partnership 
contexts. These proposed eliminations provide programs with flexibility 
to develop management and reporting systems that best meet local 
community needs while maintaining compliance with all statutory 
accountability and quality standards, including continued reporting to 
state and local authorities under Federal child protection laws.
Limitations on Administrative Costs
    The proposed regulation on administrative costs (Sec.  1301.14) 
would reduce the allowable costs to develop and administer a Head Start 
program from 15 percent to 5 percent of the total approved program 
cost, which includes both Federal costs and non-Federal match. ACF 
considered administrative cost limitations in other Federal grant 
programs and found that 5 percent caps are used in several HHS programs 
with many Head Start programs already operating within this range. At a 
time when needs exceed available resources, this proposed regulation 
prioritizes direct service delivery and ensures that more Federal 
dollars reach children and families in communities throughout America. 
Programs would retain the flexibility to allocate costs within the 5 
percent limit to best support their operational and administrative 
needs.
    The proposed changes streamline requirements currently found in 
1303 Subpart A--Financial Requirements by removing duplicative 
requirements found in the Act and other regulations. Although these 
requirements are not explicitly restated in the proposed regulation, 
programs will still be required to contribute 20 percent of the total 
approved program cost as non-Federal match, as described in section 
640(b) of the Act, which provides that Federal financial assistance 
will not exceed 80 percent of the total approved program cost. While 
the proposed regulations do not restate the specific cost 
categorization and delineation procedures currently found at Sec.  
1303.5(a)(2), programs remain subject to all applicable provisions of 
the OMB Uniform Guidance (2 CFR part 200) regarding financial 
management and administration, including applicable cost categorization 
and reporting requirements.
    This NPRM proposes a broader waiver provision at Sec.  1301.18. 
Under that proposed regulation, programs may request a waiver of any 
regulatory requirement, including the administrative cost cap and non-
Federal match, provided (1) the request is submitted in writing to HHS; 
(2) does not relate to nutrition, physical activity, or eligibility 
requirements; (3) does not violate any Federal statutes; and (4) 
demonstrates that the waiver will not negatively impact the health or 
safety of children in care. These proposed regulatory changes would 
streamline financial requirements for grant recipients, reduce 
duplication across the Act and other Federal regulations, maximize 
resources for direct service delivery, and safeguard efficient use of 
taxpayer dollars. The proposed waiver language would still allow for 
HHS to determine which waivers to grant, but allows for programs to 
submit waivers on a variety of components of operation.
    Separately, this NPRM proposes to eliminate current 1303 Subpart 
B--Administrative Requirements that are duplicative of requirements 
already established in the Act and other Federal regulations, while 
making clear that programs remain fully subject to all applicable 
provisions of the Act and other Federal and state statutes. Although 
these regulatory sections are proposed for elimination, grant 
recipients will still be required to adhere to sections 644(e), 
644(g)(3), 653, 654, 655, 656, and 657A of the Act. These sections 
pertain to union organizing, the Davis-Bacon Act, limitations on 
compensation, nondiscrimination, unlawful activities, political 
activities, and obtaining parental consent. In addition, recipients 
must continue to observe standards of organization, management, and 
administration that will ensure that all program activities are 
conducted in a manner consistent with the purposes of the Act and the 
objective of providing assistance effectively, efficiently, and free of 
any taint of partisan political bias or personal or family favoritism 
(Sec. 644(a)(1)). Finally, recipients will still be required to carry 
sufficient insurance coverage and maintain adequate fidelity bond 
coverage consistent with applicable provisions of the OMB Uniform 
Guidance (2 CFR part 200). Together, these eliminations reduce 
regulatory redundancy and administrative burden without diminishing any 
program accountability or financial integrity obligation.\10\
---------------------------------------------------------------------------

    \10\ OECD (2025), OECD Regulatory Policy Outlook 2025, OECD 
Publishing, Paris, https://doi.org/10.1787/56b60e39-en.
---------------------------------------------------------------------------

Facilities

    Proposed Sec.  1301.15 specifies the requirements related to the 
application and eligibility to purchase, construct, and renovate 
facilities. Proposed Sec.  1301.15(a) would continue to require 
programs to submit an application for funds to purchase, construct, or 
renovate a facility. Proposed Sec.  1301.15(b) aligns with current 
Sec.  1303.42(d), which states that prior to applying for such funds, 
grant recipients must establish that the proposed construction of a 
facility is more cost-effective than the purchase of available 
facilities or renovation of an existing facility. These proposed 
regulatory changes advance ACF's priorities of promoting quality early 
learning environments and practicing fiscal stewardship. They also 
further the goals of streamlining regulations and reducing 
administrative burden.
    The proposed regulations would continue to require programs to 
submit an application for funds to purchase, construct, or renovate a 
facility. Prior to applying for such funds, grant recipients would 
continue to be required to establish that the proposed construction of 
a facility is more cost-effective than the purchase of available 
facilities or renovation of an existing facility.

[[Page 51276]]

    This NPRM would simplify and significantly streamline the 
facilities application process by removing from regulation requirements 
not mandated by statute. For example, the proposed changes would remove 
from regulation the requirement that programs complete 20-year useful 
life cost comparisons, agree to minimum lease terms (30 years for 
purchase/construction and 15 years for renovation), and adhere to 
strict filing deadlines for legal documents, among others outlined in 
Sec.  1303.44 of the current performance standards. HHS acknowledges 
that the requirements in Sec.  1303.44 were adopted to support review 
of facilities applications, ensure cost-effective use of Federal funds, 
and protect the Federal interest in facilities funded under the Head 
Start program. HHS continues to believe these are important objectives. 
However, HHS has determined that the specific procedural requirements 
currently prescribed in regulation are not necessary to achieve those 
objectives. HHS can evaluate facilities proposals, protect the Federal 
interest, and ensure responsible stewardship of Federal funds through 
case-by-case review and application requirements established by the 
Secretary. Accordingly, HHS proposes to remove these prescriptive 
requirements from regulation to provide greater flexibility and reduce 
administrative burden while maintaining appropriate oversight of 
facilities investments.
    The application would outline the uniform procedures for requesting 
facilities related approvals. HHS would specify requirements for 
facilities applications at the Secretary's discretion.
    The proposed regulatory changes also remove duplicative provisions 
that restate requirements in the Act and other Federal regulations. 
Although such requirements are not explicitly stated in the proposed 
regulation, programs will still be required to adhere to the Act, OMB 
Uniform Guidance, and all other applicable Federal and State statutes 
and regulations. These include but are not limited to: meeting 
eligibility criteria requiring that facilities be available to Indian 
Tribes, rural, or low-income communities; being located within the 
designated service area; and demonstrating necessity due to lack of 
suitable facilities (Sec. 644(g)(1)); describing efforts to coordinate 
or collaborate with other providers in the community to seek 
assistance, including financial assistance, prior to using funds as 
described in Section 644(f)(2); at a minimum, meeting or exceeding 
State and local licensing requirements and ensuring continued 
compliance (Sec. 641A(a)(1)(D)); retaining records which fully disclose 
financial assistance and other records of cost required for an 
effective audit (Sec. 647(a)); adhering to the access requirements of 
the Americans with Disabilities Act, section 504 of the Rehabilitation 
Act, and the Flood Disaster Protection Act of 1973; and complying with 
National Historic Preservation Act of 1966. Programs will also still be 
required to follow all applicable parts of the Uniform Guidance such as 
insurance coverage (2 CFR 200.310), real property (2 CFR 200.311), 
property trust relationship (2 CFR 200.316), and retention requirements 
for records (2 CFR 200.334) regardless of whether these proposed 
changes are finalized.
    This NPRM removes duplicative procedural detail, while preserving 
all statutory safeguards and Federal property protections. In total, 
these proposed changes condense 17 regulatory sections (currently found 
at Sec.  1303.40-1303.56) into a single streamlined provision (Sec.  
1301.15), meaningfully reducing administrative burden on programs and 
allowing them to focus their time and resources on serving children and 
families.

Designation Renewal

    The proposed regulatory changes in Sec.  1301.16 on Designation 
Renewal reflect ACF's commitment to improved outcomes for children and 
families, regulatory streamlining, and fiscal stewardship. The proposed 
changes in this NPRM are consistent with the values of prioritizing 
high-impact investments based on evidence and results.
Basis for Determining if an Agency Is Subject to Open Competition
    Consistent with the current Head Start Designation Renewal System 
(DRS) implemented by ACF, the proposed regulation in Sec.  1301.16 
would continue to require a Head Start agency to compete for its next 
five years of funding if ACF determines that such agency is not 
delivering a high-quality and comprehensive Head Start program that 
meets the educational, health, nutritional, and social needs of the 
children and families it serves, or is not meeting program and 
financial management requirements and standards described in section 
641A(a)(1) of the Act. Mostly consistent with current regulations at 
Sec.  1304.11, this NPRM proposes for a Head Start agency to be 
required to compete for its next five years of funding if one or more 
of the following conditions existed during the award period of the 
current grant:
     Two or more deficiencies identified across Federal 
monitoring reviews conducted under section 641A(c)(1)(A), (B), (C), or 
(D) of the Act;
     Failure to produce suitable results towards achieving 
program goals for improving the school readiness of children, as 
required by section 641A(g)(2) of the Act, based on a review conducted 
under section 641A(c)(1)(A), (C), or (D) of the Act;
     Determination that the agency is not delivering classroom 
quality as measured under section 641A(c)(2)(F) of the Act;
     Revocation of the agency's license to operate a Head Start 
center or program by state or local licensing authorities;
     Suspension from the Head Start program, after an initial 
opportunity to show cause, that has not been overturned or withdrawn;
     Debarment from receiving Federal or state funds from any 
Federal or state department or agency or has been disqualified from the 
Child and Adult Care Food Program;
     Risk of failing to continue functioning as a going concern 
within the current project period;
     Two or more audit findings of material weakness or 
questioned costs associated with Head Start funds in audit reports 
submitted to the Federal Audit Clearinghouse; or
     Any other measure as specified in the Head Start Act.
    The proposed changes would reduce administrative burden by 
simplifying and streamlining the designation renewal process to focus 
on outcomes rather than prescriptive compliance procedures not mandated 
by statute. Under the current regulations, agencies can be required to 
compete based on whether they established school readiness goals that 
meet detailed specifications (current Sec.  1304.11(b)(1)), and took 
prescribed steps to achieve those goals, including aggregating and 
analyzing child assessment data at least three times per year and 
documenting specific analysis procedures (current Sec.  1304.11(b)(2)). 
Under the proposed regulation, the relevant condition on school 
readiness goals would instead focus on whether the agency produced 
suitable results towards achieving its program goals for improving the 
school readiness of children, as required by the Act. This proposed 
approach would focus on evidence and results and would provide programs 
with flexibility to determine the best methods for achieving goals and 
assessing outcomes, while still maintaining accountability for 
delivering measurable improvements in school readiness.

[[Page 51277]]

    Similarly, current regulations (Sec. Sec.  1304.11(c) and 1304.16) 
specify the CLASS: Pre-K instrument as the instrument ACF uses to 
measure classroom quality within the context of the DRS. Under current 
regulations (Sec.  1304.11(c)), agencies can be required to compete 
based on classroom quality scores using the CLASS: Pre-K instrument 
with specific numerical thresholds. The proposed regulation retains 
classroom quality as a condition under the DRS, consistent with 
sections 641(c)(1)(D) and 641A(c)(2)(F) of the Act, which require that 
Head Start classroom quality be assessed using a valid and reliable 
research-based observational instrument and that the results of such 
observations be considered as part of the DRS. However, this NPRM 
proposes to remove from regulation both the requirement to use CLASS: 
Pre-K as the sole measure of classroom quality and the associated 
CLASS: Pre-K thresholds that trigger competition. Although ACF 
anticipates continuing to use CLASS: Pre-K as the observational tool to 
assess classroom quality for the foreseeable future, this proposed 
change to regulations provides ACF with flexibility to possibly use 
other methods to measure and assess classroom quality in the future. 
Safeguarding effective instruction in Head Start classrooms remains a 
key component of quality assessment under the proposed regulation.
    The proposed changes also strengthen fiscal stewardship by 
restructuring fiscal-related conditions for greater clarity and 
appropriate accountability. Current regulations at Sec.  1304.11(g) 
combine two distinct fiscal criteria, (1) risk of failing to continue 
functioning as a going concern and (2) two or more audit findings of 
material weakness or questioned costs associated with Head Start funds, 
into a single condition. Under current regulations, an agency meeting 
either or both fiscal criteria would be considered to have met one 
condition. The proposed regulation will separate these into two 
independent fiscal conditions: agencies at risk of failing to continue 
functioning as a going concern (proposed Sec.  1301.16(e)), and 
agencies with two or more material audit findings or questioned costs 
associated with their Head Start funds (proposed Sec.  1301.16(f)). 
This proposed change would ensure that each fiscal concern is 
independently evaluated and appropriately assessed. Under the proposed 
regulation, an agency with both fiscal concerns would now meet two 
separate conditions rather than one combined condition, reflecting the 
cumulative seriousness of multiple fiscal management concerns. In 
addition, the proposed regulation retains deficiencies and revocation 
of license as conditions without change and includes a provision 
allowing for competition based on any other measure specified in the 
Head Start Act, preserving the Secretary's statutory authority to 
evaluate program quality comprehensively.
    Separately, the proposed regulation would retain deficiencies, 
suspensions, and revocation of license as conditions without change and 
includes a provision allowing for competition based on any other 
measure specified in the Head Start Act, preserving the Secretary's 
statutory authority to evaluate program quality comprehensively.
    Finally, this NPRM proposes to simplify the designation renewal 
section to include only the conditions that would require a recipient 
to compete for their next five years of funding. Under this proposed 
regulatory change, purely procedural and administrative requirements 
would be removed or relocated. The proposed changes will eliminate and/
or relocate multiple sections, as described in the paragraphs that 
follow.
    Reporting requirements concerning certain conditions (current Sec.  
1304.12) would be addressed in the proposed Program goals, continuous 
improvement, and reporting (proposed Sec.  1301.13).
    Tribal government consultation (current Sec.  1304.14) would be 
addressed in the proposed ``Tribes'' section (proposed Sec.  1301.17). 
Consistent with the government-to-government relationship and unique 
considerations for tribal grant recipients, the proposed regulation 
would maintain the existing consultation process if a Tribe meets one 
or more DRS criteria (Sec. 641(c)(7)(B)) and reiterates that non-Indian 
Head Start agencies are ineligible to carry out an Indian Head Start 
program unless there is no other option, and then only until an Indian 
Head Start agency becomes available (Sec. 641(e)).
    Requirements to compete for designation for a five-year grant 
(current Sec.  1304.13): will be eliminated under the proposed 
regulatory changes. While not restated in the proposed regulation, 
agencies remain required to submit an application that demonstrates 
that it is the most qualified entity to deliver a high-quality and 
comprehensive Head Start program. The application must address the 
criteria for selection listed in section 641(d)(2) of the Act.
    Designation request, review and notification process (current Sec.  
1304.15) would be eliminated under the proposed regulatory changes. 
While these procedural requirements are not restated in the proposed 
regulation, a grant recipient must continue to submit applications as 
required by the Secretary (see Sec. 641(b)). ACF will continue to 
provide timely notice and adequate opportunities for agencies to 
respond to designation renewal determinations, consistent with all 
application and notification requirements under section 641 of the Act.
    Selection among applicants (current Sec.  1304.20) would be 
eliminated under the proposed regulatory changes. While not restated in 
the proposed regulation, ACF will continue to consider the applicable 
criteria under Section 641(d) of the Head Start Act when selecting an 
agency to provide Head Start Preschool, Early Head Start, Migrant or 
Seasonal Head Start, or Tribal Head Start Preschool or Early Head Start 
services.

Tribes

    Proposed section 1301.17 would align with provisions in the Act for 
Tribal programs but would streamline and reorganize the requirements 
specific to Tribal programs in one section. These proposed requirements 
reiterate the existing requirement that Tribal programs have a 
reevaluation process if they meet one or more DRS criteria (Sec. 
641(c)(7)(B)) and that non-Indian Head Start agencies are ineligible to 
carry out an Indian Head Start program unless there is no other option, 
and then only until an Indian Head Start agency becomes available (Sec. 
641(e)). The requirements proposed in Sec.  1301.17 outline the process 
by which a Tribal program may designate an alternate agency to provide 
Head Start services to Tribal members if there is a relinquishment, 
termination, or denial of refunding (Sec. 646(e)(1)(A-B)) and specifies 
that the alternative agency must meet all requirements established in 
the Head Start Act and cannot be prohibited from designation as 
detailed in Sec. 646(e)(2). These proposed regulations are more 
streamlined and concise than what is in current Sec.  1304.30 of the 
Performance Standards. Proposed Sec.  1301.17(d) is new language that 
proposes to exempt Tribal programs from the English-only provision in 
proposed Sec.  1301.04(a) if the language being spoken relates to the 
furtherance of tribal heritage.
    The Act includes provisions specific to Tribal programs that will 
remain in effect, even though they are not included in the proposed 
regulations. The Act requires the Secretary to conduct annual 
consultations with tribal governments operating Head Start

[[Page 51278]]

programs to address issues that affect service delivery, to publish a 
Federal Register notice before consultations, and to issue a detailed 
report to all Tribal governments within 90 days (Sec. 640(l)(4)). The 
Act also requires training and technical assistance be provided by 
staff with knowledge of and experience in working with Indian 
populations (Sec. 640(l)(3)(A)), appointment of a national Indian Head 
Start Collaboration Director (Sec. 640(l)(3)(B)), and studies and 
reporting specific to Indian and Alaska Native populations (Sec. 
649(k)).
    Tribal programs would also continue to have flexibilities provided 
in the Act even though they are not included in the proposed Sec.  
1301.17. Tribal programs operating both Early Head Start and Head Start 
programs may reallocate funds between programs at their discretion to 
address population fluctuations (Sec. 645(d)(3)). Additionally, section 
238 of the Further Consolidated Appropriations Act, 2024 amended the 
Head Start Act to allow Tribal programs to consider eligibility for 
Head Start services regardless of income and establish selection 
criteria to prioritize Tribal children, and those statutory 
flexibilities will remain in place under the proposed regulations.
    There are multiple provisions in the current Performance Standards 
that address flexibilities for Tribal programs that would no longer be 
relevant because the NPRM proposes to remove those restrictive sections 
and grant that flexibility to all Head Start programs. For example, 
current Sec.  1302.11(a)(1)(i)-(ii) allows Tribal programs the 
flexibility to define service areas based on where members of the 
Indian tribes reside. This flexibility would no longer be needed under 
the NPRM, because the NPRM proposes to remove the requirements in 
current Sec.  1302.11. Additionally, current Sec.  1302.53(b)(4) allows 
Tribal programs to determine whether to participate in Quality Rating 
and Improvement Systems and state education data systems; this 
flexibility would no longer be needed, as the NPRM proposes to remove 
requirements related to coordination with other programs and systems. 
Lastly, current Sec.  1302.36 allows Tribal Head Start programs to 
integrate efforts to preserve, revitalize, restore, or maintain the 
Tribal language for enrolled children into program services. This 
flexibility would no longer be relevant because the proposed Sec.  
1301.17(d) exempts Tribal programs from the English-only requirement in 
proposed Sec.  1301.04(a).

Program Flexibility

    Proposed Sec.  1301.18 would significantly expand the flexibilities 
available to Head Start programs, if finalized. Proposed Sec.  
1301.18(a) would allow programs to request a waiver for almost any 
requirement in the entirety of proposed Sec.  1301, as long as a waiver 
would not negatively impact the health or safety of children and would 
not violate any Federal or State laws. The exception, as noted in 
proposed Sec.  1301.18(b), is that requirements in the proposed 
regulations relating to nutrition, physical activity, or eligibility 
would not be eligible for a waiver. All waiver requests are subject to 
approval by HHS. Proposed Sec.  1301.18(c) would align with the 
flexibility provided in current Sec.  1302.24 in the Performance 
Standards that programs can request to operate locally-designed options 
(LDO) to better meet the unique needs of their communities. Note that 
while the proposed LDO flexibility aligns with the concepts outlined in 
current Sec.  1302.24(a) and (b), the more specific requirements in the 
current Sec.  1302.24(c)(1)-(5) regarding ratios, group size, and 
duration are proposed for removal to give local programs further 
flexibility in operationalizing an LDO.
    While the Act provides the Secretary of HHS with waiver authority 
for a small subset of requirements, including operating locally-
designed options (Sec. 640(f)(1)), waiving non-Federal share (Sec. 
640(b)), exceeding the current 15 percent cap for administrative costs 
(Sec. 644(b)(2)), filling at least 10 percent of actual enrollment 
slots with children eligible for IDEA (Sec. 640(d)(4)), and meeting 
teacher qualification requirements (Sec. 648A(a)(4)), proposed Sec.  
1301.18 would broaden waiver flexibility beyond those explicitly stated 
in the Act. The rationale for this proposed change is to increase 
flexibility for state and localities to deliver Head Start services in 
a manner that is responsive to their local context, while still 
maintaining the emphasis on health, nutrition, physical exercise, and 
eligibility requirements, which are the requirements in the proposed 
Sec.  1301.18 programs would not be able to waive. HHS would not grant 
waiver requests for requirements that are mandated by the statute where 
the statute does not allow for a waiver.
    The current Performance Standards that reiterate and expand upon 
the flexibilities provided in the Act are no longer relevant because 
the flexibility proposed in Sec.  1301.18 provides a more blanket 
waiver authority. For this reason, ACF proposes removal of these 
provisions in the current Performance Standards that address more 
specific flexibilities. For example, Sec.  1304.17 in the current 
Performance Standards, which provides flexibility for DRS 
determinations in cases of certain emergencies when data may not be 
available, is proposed for removal in the NPRM. Additionally, the 
current Performance Standards mentioned in the prior paragraph that 
mirror the flexibilities included in the Act, are proposed for removal 
because they are duplicative of the Act. For example, Sec.  1302.14(b) 
requires programs to fill 10 percent of their actual enrollment with 
children eligible for services under IDEA. This provision is proposed 
for removal because the flexibility is provided in the Act, and 
proposed Sec.  1301.18 allows for more expansive flexibilities than 
both the Act and the current Performance Standards.

Appeals and Other Federal Procedures

    The proposed changes on Appeals and Other Federal Procedures are 
consistent with ACF's commitment to faithfully administer programs 
consistent with statute and congressional intent. By reducing 
duplication and unnecessary administrative burden, the proposed 
regulation consolidates appeals provisions under Sec.  1301.19.
    The proposed regulation on appeals would continue to honor an 
agency's right to appeal a final decision by ACF to terminate financial 
assistance or deny refunding of an application. The Departmental 
Appeals Board procedures in 45 CFR part 16, govern notice and appeal 
rights and establish a fair and impartial process for review of final 
agency decisions in cases properly before the Departmental Appeals 
Board. Similarly, if a Head Start Agency denies, or fails to act on a 
prospective agency's funding application, prospective delegate agencies 
will retain the right to appeal within 30 days of the agency's decision 
or 120 days after the agency's inaction on the prospective delegate's 
application. Head Start agencies will continue to be required to 
respond to both ACF and the prospective delegate agency within 30 days 
of the filed appeal. As with current practice, the decision rendered by 
ACF would be final and not subject to additional appeals.
    The proposed changes remove redundant regulatory text that restates 
statutory requirements and procedures already contained in section 646 
of the Act and 45 CFR part 16. Rather than repeating these 
requirements, the proposed regulation explicitly cross-references the 
governing statutory and regulatory authorities. Additionally, the 
proposed regulation eliminates non-statutory procedural requirements 
and timelines.

[[Page 51279]]

Monitoring
    While the discussion of monitoring (current Sec.  1304.2) is 
proposed for removal from the NPRM, ACF remains statutorily required to 
conduct monitoring reviews at least once during each three-year period, 
as described in section 641A(c) of the Act. Additionally, if a grant 
recipient meets one or more of the criteria for a deficiency as defined 
in section 637(2) of the Act, ACF must continue to inform the grant 
recipient of the deficiency and require correction in accordance with 
section 641A(e) of the Act. The proposed removal of Sec.  1304.2 would 
not alter ACF's statutory monitoring authority, its obligation to 
address deficiencies, or the process by which ACF would notify and 
consult with agencies to address deficiencies.
Suspension
    This NPRM proposes to remove current Sec.  1304.3 and Sec.  1304.4 
related to suspension with notice and suspension without notice. 
However, ACF remains authorized under Section 646(a)(5) of the Act to 
suspend financial assistance for up to 30 days, or longer in limited 
circumstances involving multiple and recurring deficiencies, provided 
that ACF gives notice and an opportunity to show cause why financial 
assistance should not be suspended.
    In emergency situations, such as those involving risk to property, 
misuse of funds, criminal violations, or threats to health and safety, 
ACF remains authorized, under Section 646(a)(2) of the Act, to suspend 
financial assistance without prior notice and opportunity to show 
cause.
    In all cases grant recipients must continue to adhere to the 
Uniform Administrative Requirements, Cost Principles, and Audit 
Requirements for Federal Awards at 2 CFR part 200. Restrictions on 
incurring new obligations during suspension and the allowability of 
necessary and otherwise allowable costs continue to be governed by 2 
CFR 200.375, and cost sharing or matching requirements, including 
third-party in-kind contributions, remain governed by 2 CFR 200.306.
    Under these proposed changes related to suspension in Sec.  1301.19 
there would be significantly fewer bureaucratic processes, because many 
of the requirements are not in the Act and they are proposed for 
removal in this NPRM. Under the proposed rule, ACF would no longer be 
required to follow specific requirements for suspension notices beyond 
those required by statute.
Termination, Denial of Refunding, and Legal Fees
    Similarly, this NPRM proposes to remove Sec. Sec.  1304.5, 1304.6 
and 1304.7 from the Performance Standards. ACF remains authorized under 
section 646(a)(3) of the Act to terminate financial assistance or deny 
refunding to a grant recipient after providing reasonable notice and an 
opportunity for a full and fair hearing. Grant recipients retain the 
right to file an appeal within 30 days of receiving notice and to 
receive a hearing within 120 days of filing such appeal.
    While these statutory authorities and protections remain unchanged, 
the proposed rule removes regulations that exceed or duplicate 
statutory requirements. Specifically, this NPRM eliminates prescriptive 
procedural provisions not explicitly required by statute, such as 
specific procedures for termination and denial of funding (Sec.  
1304.5), procedures for appeal for prospective delegate agencies (Sec.  
1304.6) and policies regarding the allowability of legal fees (Sec.  
1304.7). The proposed removal of these overly prescriptive procedural 
provisions aligns with an overall goal of this NPRM to ensure that the 
only requirements that exist in regulation are those that are required 
by the Act. ACF will provide additional information for recipients on 
procedures for termination and denial of funding, appeals for 
prospective delegate agencies, and legal fees in forthcoming sub-
regulatory guidance. ACF does not intend to change existing policies or 
procedures on these topics.
    With respect to legal fees, the proposed regulation does not create 
new authority or modify existing practice. Although current 1304.7 is 
proposed for removal from this NPRM, consistent with section 
646(a)(4)(C) of the Act, grant recipients may not charge to their grant 
legal fees or other costs incurred in appealing termination, reduction, 
or denial decisions. However, ACF retains existing authority under 
section 646(a)(6) to reimburse reasonable and customary legal fees if 
the grant recipient prevails.
Head Start Fellows Program
    The proposed regulations remove discussion of the Head Start 
Fellows Program (current Sec.  1304.40 and Sec.  1304.41) since these 
requirements are largely duplicative of those outlined in the Act. 
However, the Secretary retains authority to establish a program of 
fellowships in accordance with Section 648A(d) of the Act.
Delegate Agencies
    This NPRM proposes to rescind 1303 Subpart D- Delegation of Program 
Operations because these regulations are, in large part, duplicative of 
the requirements in the Act. Under the Act, a Head Start agency is 
empowered to transfer Federal funds and delegate powers to other 
agencies when doing so will improve efficiency, effectiveness, or 
otherwise further program goals (Sec. 642(a)). The statute makes clear 
that the authority to transfer funds and delegate powers includes the 
ability to transfer and delegate for component projects when 
appropriate to support program objectives.
    The Act further outlines specific procedures that each Head Start 
agency must establish concerning its delegate agencies (Sec. 641A(d)). 
These procedures must include mechanisms for evaluating delegate 
agencies, procedures for defunding a delegate agency, and procedures 
that allow a delegate agency to appeal a defunding decision. Once these 
procedures are in place, the agency must evaluate each delegate agency 
in accordance with those procedures and inform the delegate agency of 
deficiencies identified through that evaluation that must be corrected. 
If a delegate agency's performance is found to be deficient, the Head 
Start agency is required to take action, which can include initiating 
steps to terminate the delegate agency's designation or conducting 
monthly monitoring visits to the delegate agency until all identified 
deficiencies are corrected or until the Head Start agency decides to 
defund the delegate agency. The statute also places constraints on when 
a Head Start agency may terminate a delegate agency or reduce its 
service area by requiring the agency to show cause or demonstrate the 
cost-effectiveness of the decision before doing so.
    While the proposed regulations do not include current Sec.  
1303.30, under the proposed regulation the grant recipient retains 
legal responsibility and authority and bears financial accountability 
for the program when services are provided by delegate agencies.
    While this proposed rule would remove regulations regarding 
delegate agencies in an effort to eliminate duplication between the 
regulation and the Act, most requirements regarding delegate agencies 
would remain in place through the Act. The proposed rule would also 
remove reporting and procedural requirements to increase program 
flexibility and reduce administrative burden.

[[Page 51280]]

    In summary, these proposed revisions to regulations on appeals and 
other Federal procedures remove duplicative and non-statutory 
procedural details, while preserving all statutory authorities, notice 
requirements, appeal rights, and due process protections mandated by 
the Head Start Act and 45 CFR part 16. The changes are intended to 
reduce unnecessary administrative burden and procedural rigidity 
without altering substantive rights or enforcement authority and 
faithfully administer programs consistent with statute and 
congressional intent.

Definitions

    Replacing the current Sec.  1305.2 definitions with the proposed 
Sec.  1301.20 definitions would remove any unused or commonly 
understood defined terms in the Head Start regulations. For ease of 
viewing the proposed regulations in relation to the current regulations 
on Definitions, please view the comprehensive comparison table below:
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BILLING CODE 4814-87-C
    In summary, the proposed changes would preserve core statutory 
program and fiscal definitions while eliminating definitions that are 
either commonly accepted or are tied to terms that are no longer found 
in the proposed regulations.

VI. Regulatory Process Matters

    ACF has examined the impacts of the proposed rule under Executive 
Order 12866, Executive Order 13563, Executive Order 13132, the 
Regulatory Flexibility Act (5 U.S.C. 601-612), and the Unfunded 
Mandates Reform Act of 1995 (Pub. L. 104-4). Executive Orders 12866 and 
13563 direct us to assess all benefits, costs, and transfers of 
available regulatory alternatives and, when regulation is necessary, to 
select regulatory approaches that maximize net benefits.
    Section 3(f) of Executive Order 12866 defines a ``significant 
regulatory action'' as an action that is likely to result in a rule: 
(1) Having an annual effect on the economy of $100 million or more, or 
adversely affecting in a material way the economy, a sector of the 
economy, productivity, competition, jobs, the environment, public 
health or safety, or State, local, or Tribal governments or 
communities; (2) creating a serious inconsistency or otherwise 
interfering with an action taken or planned by another agency; (3) 
materially altering the budgetary impacts of entitlements, grants, user 
fees, or loan programs or the rights and obligations of recipients 
thereof; or (4) raising novel legal or policy issues arising out of 
legal mandates, the President's priorities, or the principles set forth 
in Executive Order 12866. The Office of Information and Regulatory 
Affairs has determined that this proposed rule is a significant 
regulatory action under section 3(f)(1) of Executive Order 12866 and we 
have prepared a Regulatory Impact Analysis (RIA). This proposed rule, 
if finalized, is anticipated to be a deregulatory action under 
Executive Order 14192.

Regulatory Flexibility Act

    The Regulatory Flexibility Act (RFA), see 5 U.S.C. 605(b), as 
amended by the Small Business Regulatory Enforcement Fairness Act, 
requires Federal agencies to determine, to the extent feasible, a 
rule's impact on small entities, consider regulatory options for 
reducing any significant impact on a substantial number of such 
entities, and explain their regulatory approach. The term ``small 
entities,'' as defined in the RFA, includes small businesses, not-for-
profit organizations that are independently owned and operated and are 
not dominant in their fields, and governmental jurisdictions with 
populations of less than 50,000. Under this definition, many Head Start 
grant recipients, particularly nonprofit organizations and certain 
local governmental entities, may be considered small entities. A rule 
is generally considered to have a significant economic impact on a 
substantial number of small entities if it has at least a three percent 
impact on revenue for at least five percent of such entities.
    To provide context for the potential number of entities that may 
meet or exceed Small Business Administration size standards, we 
conducted a screening analysis using Head Start funding levels and 
organizational type. The applicable SBA size standard for Child Day 
Care Services (NAICS 624410) is based on average annual receipts and is 
currently $9.5 million. Because data on total organizational receipts 
are not available, we compared Head Start grant funding levels to this 
threshold as a conservative proxy. Separately, we identified agencies 
that are nonprofit organizations, which may qualify as small entities 
under the RFA definition.
    We then combined these two screens to identify agencies that meet 
at least one of these criteria. Based on this combined screening, 
approximately 1,450 (95 percent) of agencies either have Head Start 
funding levels below the $9.5 million threshold, are nonprofit 
organizations, or meet both conditions. Taken together, these counts 
provide an upper-bound estimate of the number of entities that may be 
considered small entities for purposes of this analysis. However, for 
entities with Head Start funding below the threshold, this method does 
not determine whether the entity qualifies as small, because such 
entities may have additional revenue from other funding sources. As a 
result, this analysis does not represent a definitive classification of 
small entities under the RFA.
    The proposed rule primarily reduces and streamlines existing 
regulatory requirements and is expected to reduce

[[Page 51285]]

administrative burden and provide greater operational flexibility for 
Head Start grant recipients. One provision of the proposed rule reduces 
the allowable administrative cost cap from fifteen percent to five 
percent of total approved program costs. This change may require some 
entities to adjust how administrative and programmatic costs are 
allocated within existing funding levels, and it may have a 
particularly significant impact on Head Start programs classified as 
small entities. This change is intended to direct a greater share of 
Head Start resources toward services for children and families. 
Approximately 3.7 percent of Head Start grants currently operate at or 
below a five percent administrative cost threshold. In addition, as 
discussed in the RIA, an additional 27.7 percent of grants currently 
operate above 5 percent but below 10 percent administrative costs. The 
proposed rule's broader reductions and streamlining of regulatory 
requirements are expected to reduce administrative workload and may 
support programs in transitioning toward the proposed cap while 
maintaining service delivery. If needed, programs may request a waiver 
of the administrative cost cap pursuant to proposed Sec.  1301.18, 
subject to HHS review and approval. However, given the possible impact 
on small businesses, below we provide an initial regulatory flexibility 
analysis.
    The proposed requirement for English-only instruction may affect a 
subset of programs, particularly those serving high proportions of dual 
language learners. Based on available data, ACF estimates that 
approximately 33.4 percent of non-tribal Head Start classrooms may be 
impacted by this requirement. While ACF does not expect this 
requirement to result in a significant economic impact for most 
entities, impacts may be more concentrated in certain programs, 
including those serving predominantly non-English-speaking communities 
(e.g., Migrant and Seasonal Head Start programs). ACF recognizes that 
this requirement may result in additional costs or operational 
challenges for programs serving dual language learners or operating in 
predominantly non-English-speaking communities. At the same time, this 
requirement reflects Administration priorities and broader Federal 
policy emphasizing the importance of English language acquisition for 
early learners, including supporting children's ability to participate 
in English-language educational settings and engage with community 
institutions.

Initial Regulatory Flexibility Analysis

    Consistent with the Regulatory Flexibility Act (5 U.S.C. 603), ACF 
has prepared this Initial Regulatory Flexibility Analysis to assess the 
potential economic impact of the proposed rule on small entities and to 
consider significant alternatives that would minimize such impacts. The 
proposed reduction of the allowable administrative cost cap from 15 
percent to 5 percent of total approved program costs may require some 
entities to adjust administrative and programmatic cost allocations. 
Based on program budget data, this change corresponds to an estimated 
reduction in allowable administrative expenditures of approximately 
$754,343,701 annually. The extent of impact will vary depending on 
existing cost structures and may be more pronounced for smaller 
programs. About half of Head Start grants (about 50 percent) serve 200 
or fewer children, representing smaller-scale operations that may have 
more limited ability to distribute fixed administrative costs. These 
smaller grants span a range of organizational types, including 
nonprofit organizations, school systems, governmental entities, and 
Tribal programs, many of which may meet the RFA definition of small 
entities.
    ACF considered regulatory alternatives to minimize potential 
impacts on small entities, including setting the administrative cost 
cap at 10 percent rather than 5 percent and applying an exemption for 
programs funded to serve 200 or fewer Head Start slots. Under a 10 
percent cap, estimated reductions in allowable administrative 
expenditures would be approximately $146,002,007 annually, reflecting a 
smaller change from current administrative spending levels. This 
smaller reduction is driven in part by the fact that many programs 
currently operate below the 15 percent cap and closer to the 10 percent 
level; as a result, the adjustment required on the part of programs 
under a 10 percent cap is more limited than under a 5 percent cap. Such 
a change may also prove less burdensome for small entities. ACF also 
considered exempting smaller programs (those with 200 or fewer Head 
Start funded slots) from the proposed cap.
    ACF expects that reductions in administrative burden associated 
with other provisions of the proposed rule may partially offset the 
impact of the administrative cost cap. While some entities, 
particularly smaller programs, may experience adjustment needs, ACF has 
also provided for the availability of waivers (proposed Sec.  1301.18), 
which may allow programs to address specific circumstances where 
compliance with the administrative cap of 5 percent would present undue 
operational challenges. ACF determined that the proposed approach 
appropriately balances regulatory burden, program efficiency, and the 
objective of maximizing resources available for services to children 
and families. These considerations inform ACF's broader assessment of 
the overall economic effects of the proposed rule on small entities. 
Like all components of this NPRM, ACF will accept public comment on 
these alternatives under consideration for the policy change on the 
administrative cap for small entities.
    Overall, ACF expects that the proposed rule will reduce regulatory 
burden and associated costs for Head Start grant recipients, allowing 
recipients the flexibility to reinvest funds into other areas, 
including the potential to serve more eligible children within existing 
operational budgets. While certain provisions, such as the reduction in 
the administrative cost cap, may require adjustments for some entities, 
the combined effects of the proposed rule are expected to reduce 
overall compliance burden. To the extent that impacts vary across 
entities, including smaller entities, such variation is expected to 
reflect differences in organizational structure, existing cost 
allocations, and local implementation decisions rather than the 
imposition of new regulatory compliance requirements.

Unfunded Mandates Reform Act of 1995

    The Unfunded Mandates Reform Act of 1995 (Pub. L. 104-4, section 
202(a)) requires us to prepare a written statement, which includes 
estimates of anticipated impacts, before publishing ``any rule that 
includes any Federal mandate that may result in the expenditure by 
State, local, and Tribal governments, in the aggregate, or by the 
private sector, of $100,000,000 or more (adjusted annually for 
inflation) in any one year.'' The current threshold after adjustment 
for inflation is $193 million, using the most current (2025) Implicit 
Price Deflator for the Gross Domestic Product. This proposed rule, if 
finalized, will not result in unfunded mandates that meet or exceed 
this amount. Head Start grant recipients receive over $12 billion 
annually in Federal funding to implement the requirements of the 
program, including policy changes as a result of this proposed rule.

[[Page 51286]]

Federalism Assessment Executive Order 13132

    Executive Order 13132 requires Federal agencies to consult with 
State and local government officials if they develop regulatory 
policies with Federalism implications. Federalism is rooted in the 
belief that issues that are not national in scope or significance are 
most appropriately addressed by the level of government close to the 
people. This proposed rule, if finalized, would not have substantial 
direct impact on the states, on the relationship between the Federal 
government and the states, or on the distribution of power and 
responsibilities among the various levels of government. Therefore, in 
accordance with section 6 of Executive Order 13132, it is determined 
that this action does not have sufficient Federalism implications to 
warrant the preparation of a Federalism summary impact statement.

Treasury and General Government Appropriations Act of 1999

    Section 654 of the Treasury and General Government Appropriations 
Act of 1999 requires Federal agencies to determine whether a policy or 
regulation may negatively affect family well-being. If the agency 
determines a policy or regulation negatively affects family well-being, 
then the agency must prepare an impact assessment addressing seven 
criteria specified in the law. ACF believes it is not necessary to 
prepare a family policymaking assessment (see Pub. L. 105-277) because 
the action it takes in this proposed rule does not have any impact on 
the autonomy or integrity of the family as an institution.

Paperwork Reduction Act of 1995

    The Paperwork Reduction Act (PRA) of 1995, 44 U.S.C. 3501 et seq., 
minimizes government-imposed burden on the public. In keeping with the 
notion that government information is a valuable asset, it also is 
intended to improve the practical utility, quality, and clarity of 
information collected, maintained, and disclosed.
    The PRA requires that agencies obtain OMB approval, which includes 
issuing an OMB number and expiration date, before requesting most types 
of information from the public. Regulations at 5 CFR part 1320 
implemented the provisions of the PRA and Sec.  1320.3 defines a 
``collection of information,'' ``information,'' and ``burden.'' PRA 
defines ``information'' as any statement or estimate of fact or 
opinion, regardless of form or format, whether numerical, graphic, or 
narrative form, and whether oral or maintained on paper, electronic, or 
other media (5 CFR 1320.3(h)). This includes requests for information 
to be sent to the Government, such as forms, written reports and 
surveys, recordkeeping requirements, and third-party or public 
disclosures (5 CFR 1320.3(c)). ``Burden'' means the total time, effort, 
or financial resources expended by persons to collect, maintain, or 
disclose information.
    The proposed rule will affect the information collection approved 
under OMB control number 0970-0148. ACF will revise the associated PRA 
package for the Head Start Performance Standards (Performance 
Standards) to align with the regulatory changes.

VII. Regulatory Impact Analysis

Summary

    The changes to the Performance Standards in this proposed rule 
would produce substantial net reductions in regulatory compliance costs 
across Head Start programs, primarily by eliminating or streamlining 
prescriptive Federal requirements related to eligibility, recruitment, 
selection, enrollment, and attendance (ERSEA); education; staffing; 
service duration; health services; and administrative requirements. 
Major quantified cost reductions stem from increased flexibility in 
staffing models (e.g., removal of Federal ratio requirements, 
requirements for a coaching system, and certain staff roles), reduced 
administrative and reporting requirements (including for community 
assessments and data aggregation), and a decrease in allowable 
administrative spending (from 15 percent to 5 percent), alongside 
smaller savings in facilities, transportation, and safety requirements. 
Consistent with the Head Start program structure, where Federal funds 
must be used to deliver services, these cost reductions in certain 
areas are expected to function largely as resource reallocations 
(transfers) that may support expanded enrollment, enhanced service 
delivery, or other program priorities.
    Because the proposed rule would increase local program discretion, 
this RIA applies behavioral adjustment thresholds (low, primary, high 
scenarios) to estimate impacts of the proposed policy changes, which 
are intended to reflect varying degrees of possible program response: 
lower adjustment assumptions are used where external constraints (e.g., 
state licensing requirements, physical infrastructure, operational 
limitations) may limit operational changes by programs, while higher 
adjustment assumptions are applied where historical stakeholder 
feedback indicates that existing requirements have been particularly 
burdensome and programs are more likely to scale back activities in 
response to policy changes. ACF assumes that the proposed policy 
changes are implemented over a five-year time horizon and the total 
cost reductions would be realized upon full implementation in year 
five. Unless otherwise noted, wage and compensation inputs based on 
2025 BLS or PIR data are adjusted by 2 percent to express estimates in 
constant 2026 dollars before applying fringe benefit adjustments. 
Fringe benefits are assumed to represent 24 percent of total 
compensation.
    For purposes of this analysis, ACF assumes that the wage and non-
wage benefit requirements established in the 2024 final rule will not 
take effect, but that other provisions of the 2024 final rule will take 
effect. This reflects the proposed rescission of the wage and non-wage 
benefit requirements through the proposed rule ``Restoring Flexibility 
to Support Head Start Program Access'' (91 FR 25842). Accordingly, the 
estimated cost reductions presented in this analysis are measured 
relative to a baseline in which those requirements are not implemented. 
However, we also present a sensitivity analysis to consider the impacts 
of this proposed rule if all requirements of the 2024 final rule are 
fully implemented or if this proposal is finalized before the 
rescission proposal.
    Overall, this analysis shows that the proposed changes would reduce 
compliance costs and give programs more flexibility, allowing resources 
to shift toward direct services, though implementation may vary by 
program. As with all other sections of this NPRM, we invite public 
comments on the assumptions made in this RIA that underline the 
quantitative and qualitative discussions of costs and benefits of the 
proposed policy changes.

Education and the Learning Environment

Overview
    Part 1302 Subpart C of the current Performance Standards requires 
programs to support both English acquisition and home language 
development for dual language learners. The proposed rule would require 
that all education for Head Start children be conducted in English, 
except for American Indian and Alaska Native (AIAN) Head Start programs 
that are using their tribal language in the program to further tribal 
heritage.

[[Page 51287]]

    This proposed change introduces one-time implementation costs for 
certain non-tribal programs that currently provide primary instruction 
in languages other than English or primarily serve dual language 
learners. AIAN programs are excluded from this estimate consistent with 
the proposed exemption.
    Additionally, Part 1302 Subpart B of the current Performance 
Standards establishes detailed requirements for program structure, 
including center-based ratios and group sizes, center-based service 
duration requirements, home-based service duration and caseload limits, 
and requirements for child development specialists in family child care 
settings.
    The proposed rule would remove certain Federal ratio, duration, and 
caseload requirements and defer to applicable state requirements or 
local program design, thereby increasing flexibility and reducing 
prescriptive Federal standards.
A. One-Time Costs With Requirement for English-Only Instruction
    We estimate that 33.4 percent of non-tribal Head Start service 
locations (including classrooms, family child care homes, and group 
socialization sites) with available language-related data are operated 
by programs that primarily serve dual language learners (i.e., at least 
50 percent of children in the program speak or are learning a language 
other than English at home) or where the reported primary language of 
instruction is not English. This reflects 18,767 \11\ classrooms that 
will be potentially impacted with one-time costs to implement the 
changes necessary to comply with this requirement. To implement 
English-only instruction, affected classrooms may need to replace 
curriculum and instructional materials and books that contain non-
English content. Per proposed Sec.  1301.18, programs may request a 
waiver of these requirements, subject to HHS review and approval. ACF 
invites comment on the proposed waiver process, including circumstances 
under which programs may seek waivers from the proposed English-
language instruction requirements.
---------------------------------------------------------------------------

    \11\ This figure is based on the PIR to identify programs where 
at least 50 percent of children in the program speak or are learning 
a language other than English at home, and based on administrative 
data on service locations and their class level data provided to 
identify classrooms or groups of children served where the primary 
language of instruction is not English.
---------------------------------------------------------------------------

    The cost methodology assumes the estimated cost of replacing 
classroom materials at $2,500 per classroom. This is based on the costs 
of replacing frequently used curricula and related teaching materials, 
estimated at $2,000, and an estimated additional cost of $500 for 
classroom materials that have words, such as educational toys and 
books. We multiply this estimate of $2,500 by the estimated number of 
affected classrooms (18,767) for an estimated one-time cost total of 
$46,917,500.
[GRAPHIC] [TIFF OMITTED] TP07AU26.018

    We also estimate potential one-time costs associated with teacher 
retraining, recruitment, or administrative adjustments for the same 
classrooms discussed previously. Using PIR data, there are 103,186 
preschool classroom teachers, preschool assistant teachers, and infant/
toddler classroom teachers across Head Start Preschool and Early Head 
Start, of which an estimated 34,464 teachers and assistant teachers are 
in potentially affected classrooms.
    We assume a per-teacher retraining or recruitment cost of $3,000 
reflecting moderate targeted professional development (e.g., English-
language instruction training and support), or recruitment process 
expenditures (e.g., job board posting, screenings and interviews, 
onboarding, overhead). This estimate reflects a blended assumption that 
some affected teachers would require retraining while others may need 
to be replaced. For recruitment-related costs, ACF considered estimates 
used by the Centers for Medicare & Medicaid Services (CMS),\12\ which 
assumed recruitment and hiring costs of approximately $5,000 per worker 
based on inflation-adjusted estimates of direct hiring costs and 
recruitment expenditures. ACF does not adopt the full CMS estimate 
because the proposed rule anticipates that some affected teachers would 
be retained and retrained rather than replaced. For retraining costs, 
ACF assumes approximately $1,000 per teacher, reflecting moderate 
professional development activities and training materials associated 
with implementing English-language instruction requirements. This 
assumption reflects targeted training intended to support existing 
staff in adapting instructional practices. Accordingly, ACF adopts a 
blended estimate of $3,000 per teacher, representing a midpoint between 
lower-cost retraining activities and higher-cost recruitment and 
onboarding activities associated with staff replacement. Under the 
primary scenario, we assume 50 percent of teaching positions in 
affected classrooms incur retraining or recruitment costs, representing 
moderate behavioral adjustment. The low scenario assumes 25 percent, 
and the high scenario assumes 75 percent. We apply higher adjustment 
assumptions to this policy change relative to other policy changes in 
this proposed rule, as we expect some programs may need to make 
significant changes to classroom staffing to comply with this proposed 
requirement.
---------------------------------------------------------------------------

    \12\ Centers for Medicare & Medicaid Services (CMS), Medicare 
and Medicaid Programs; Omnibus COVID-19 Health Care Staff 
Vaccination, 86 FR 61555, 61668 (Nov. 5, 2021). CMS assumed 
recruitment and hiring costs of approximately $5,000 per worker, 
based on inflation-adjusted hiring cost estimates of $4,000 for 
lower-skilled workers and $6,000 for higher-skilled workers. 
Available at: https://www.federalregister.gov/d/2021-23831/p-642.

---------------------------------------------------------------------------

[[Page 51288]]

    We multiply this estimate of $3,000 per teacher times the share of 
teaching staff for the given scenario (n= 34,464 teachers). Under these 
assumptions, estimated one-time staffing-related costs are 
approximately $25,848,093 under the low scenario, $51,696,186 under the 
primary scenario, and $77,544,279 under the high scenario.
    Inputs for estimating another key portion of transition costs once 
again include 34,464 baseline Head Start staff, as well as ratios of 
25-percent, 50-percent, and 75-percent. Also used here is an estimate 
of $8,000 in per-employee welfare harm of employment disruption 
(updated to 2026 dollars from estimates reflecting normal economic 
conditions, as reported in Table 1 of Kuminoff et al., 2015 \13\). If 
roughly one-third of affected teachers experience employment 
disruption, rather than retraining, the resulting upfront cost they 
experience is approximately $139 million, with a range from $69 million 
to $208 million.
---------------------------------------------------------------------------

    \13\ Kuminoff, N.V., Schoellman, T., & Timmins, C. (2015), 
Environmental regulations and the welfare effects of job layoffs in 
the United States: A spatial approach, Review of Environmental 
Economics and Policy, 9(2): 198-218.
---------------------------------------------------------------------------

    ACF recognizes that English-only instruction may result in 
additional costs or burden not described here for programs serving dual 
language learners or operating in predominantly non-English-speaking 
communities.
[GRAPHIC] [TIFF OMITTED] TP07AU26.019

B. Removal of Head Start Group Size and Ratios
    Under the current regulation, the maximum group sizes and staff-
child ratios for center-based settings are specified by age group. 
These findings indicate that replacing the current prescriptive Federal 
standards with deference to state licensing requirements will not 
impede children's development or leave children unsafe, while enabling 
programs to allocate resources more efficiently toward direct services 
and expanded enrollment. The proposed rule would remove these specific 
Federal ratio requirements and defer to applicable state licensing and 
Child Care and Development Fund (CCDF) requirements.
    To estimate potential reductions in personnel costs, we compare the 
reported number of teachers under current Head Start ratio requirements 
and compare it to the number required under applicable state maximum 
ratios. By using the maximum ratio of children to adults under state 
ratios, this analysis represents a maximum adjustment in behavior, 
which we later use as the upper bound on the potential impacts of this 
rule change. This analysis is conducted at the state level, using PIR 
data on number of teachers and enrollment by single-year age groups, 
and state licensing ratios identified through a comprehensive research 
of ratios required by licensing for each state.
    For each state and age group, we calculate the number of teachers 
required under state ratios by dividing the number of enrolled children 
in each single-year age group by the maximum number of children 
permitted per adult. Because state ratios do not align to single-year 
age groups, we converted state age ranges into one-year groups and 
averaged ratios across the months covered within each group. When 
multiple ratios applied to the same month, we used the least strict 
ratio to avoid double-counting. For limited data gaps (e.g., ages 5 or 
older and select U.S. territories), we applied averages from available 
data to ensure those slots were included. Once state ratios were 
standardized to calculate the number of teachers required in each 
single-year age group, we then used the number of children served in 
each one-year age group by state and territory (as reported in the PIR) 
to estimate the total number of teachers required under state and 
territory ratios for the specific one-year age ranges. After taking a 
sum of the number of teachers required in each age range for each state 
and territory, we applied a reduction of approximately 13 percent to 
account for the fact that the reported data on the number of children 
served in each age range by state and territory reflects cumulative 
enrollment.
    By reducing the estimated number of teachers by 13 percent, we 
adjust for the difference between cumulative enrollment reported in the 
PIR and funded enrollment. Because cumulative enrollment includes 
children who enter and exit programs during the year, it exceeds the 
number of children enrolled at any given point in time. The 13 percent 
adjustment reflects the difference between cumulative enrollment and 
funded enrollment and is intended to align the teacher estimate with 
the number of children occupying funded slots during the program year.
    The following example illustrates the methodology used to estimate 
the number of teachers required under state licensing ratios. Using 
Texas as an example, the analysis applies the state's maximum child-to-
staff ratio for each age group to the number of children served in that 
age group, as reported in the PIR. The resulting estimates are summed 
across age groups to determine the total number of teachers required 
under state ratios. Because PIR enrollment data reflect cumulative 
enrollment over the course of the program year, including children who 
enter and exit programs during the year, the total is then reduced by 
13 percent to align the estimate with funded enrollment levels, which 
more closely reflect the number of children served at a given point in 
time.

[[Page 51289]]

[GRAPHIC] [TIFF OMITTED] TP07AU26.020

    We compare this figure to the number of teaching staff currently 
reported in the PIR, broken out by teaching staff type (e.g., preschool 
classroom teachers, preschool assistant teachers), and multiply the 
number of staff by their respective average annual salaries as reported 
in the PIR, adjusted by 2 percent to express the estimates in constant 
2026 dollars, and then apply a 24 percent fringe adjustment to estimate 
the teaching personnel expenditures at current levels. We calculate the 
difference between the number of teaching staff reported in the PIR and 
the total estimate of the number of teachers required by state ratios 
to identify the estimated maximum potential reduction in the teaching 
workforce. We calculate the proportional reduction in the teacher 
workforce by dividing the difference in teaching staff by the current 
reported teaching staff, and we apply this ratio to the estimated 
teaching personnel expenditures to arrive at the maximum potential 
reduction in personnel expenditures.
    Recognizing that not all programs may immediately or fully adjust 
to state maximum ratios, we apply behavioral multipliers to reflect 
different levels of response. ACF recognizes that any steps towards 
lower ratios will lead to lower cost per child costs, which will 
improve program efficiency. The table below illustrates the low 
estimate assumes 25 percent of the maximum potential reduction is 
realized in year five, representing minimal behavior change. The 
primary estimate assumes 50 percent realization in year five. The high 
estimate assumes 75 percent realization, representing significant 
behavior change in year five. These estimates are calculated by 
multiplying the respective percent realizations by the maximum 
potential reduction in personnel expenditures. ACF assumes that the 
proposed policy changes are phased in over the five-year time horizon 
and fully implemented in year five.
    Results from this analysis are presented in the following table. 
Under the primary scenario, the annual reduction in personnel 
expenditures associated with ratio flexibility is estimated at 
$668,299,826, with corresponding low and high estimates of $334,149,913 
and $1,002,449,739, respectively.
[GRAPHIC] [TIFF OMITTED] TP07AU26.021

    The estimated reduction in teaching staff can be used to estimate 
the potential change in the average number of children per teacher. 
Under the maximum adjustment scenario, the estimated number of teachers 
required

[[Page 51290]]

under state licensing ratios is approximately 24 percent lower than the 
number of teaching staff currently reported in the PIR (80,078 compared 
to 105,423). Holding enrollment constant, this implies an increase of 
approximately 32 percent in the average number of children per teacher. 
Under the primary scenario, which assumes programs realize 50 percent 
of the maximum adjustment, the increase in the average number of 
children per teacher would be approximately 16 percent. Actual changes 
would vary across programs and states depending on staffing decisions 
and the extent to which programs adjust toward state licensing ratios.
    No adjustments were made to these estimates for the proposed 
removal of the Head Start per-child facility square footage 
requirements. Although related, any effects from the removal of these 
requirements are expected to be marginal because state licensing 
standards already align closely with, or in some cases exceed, current 
Head Start center-based requirements of 35 square feet of usable indoor 
activity space per child and 75 square feet of outdoor play space per 
child. While a small number of states permit lower space standards in 
limited circumstances, many states impose more stringent requirements 
that would already apply to Head Start programs operating in those 
states. For example, Texas requires 80 square feet of outdoor space per 
child, the District of Columbia and Rhode Island require 45 square feet 
of indoor space for infants and toddlers, and Illinois increases 
required square footage depending on whether sleep and play areas are 
combined and whether cribs are used. As a result, in many states, about 
30 to 40 states depending on the measure, licensing standards already 
meet or exceed Head Start space benchmarks, making the proposed removal 
of the Federal per-child facility requirement negligible for this 
estimate.
C. Removal of Center-Based Head Start Preschool Duration and Program 
Schedule Requirements
    The current regulation requires that at least 45 percent of Head 
Start Preschool center-based funded enrollment receive 1,020 annual 
hours of planned class operations and establishes minimum days and 
hours for remaining slots. The proposed rule removes this Federal 
duration requirement for Head Start Preschool. Early Head Start is 
excluded from this analysis because, as discussed in the preamble of 
this NPRM, the Act specifies that EHS programs must provide 
``continuous'' comprehensive child development and family support 
services, which ACF has long interpreted to mean a full day and full 
year of services for infants and toddlers in EHS center-based programs.
    To estimate potential reductions in personnel costs associated with 
reduced duration, we compare median annual hours of operation using 
administrative data reported on program schedules of operation, 
weighted by funded enrollment, prior to the 2016 final rule that 
introduced these requirements on program duration (fiscal year 2015 
used to characterize the analytic baseline) to median annual hours, 
weighted by funded enrollment, from fiscal year 2025. In fiscal year 
2015, estimated median annual hours of operation were 960 hours, and 
estimated median annual days of operation were 162 days; both of these 
figures are weighted by funded enrollment. After computing the weighted 
median hours of operation per child per year, we calculated the 
difference between the fiscal year 2025 median and the fiscal year 2015 
median, which is 132 hours per child per year. This difference of 132 
hours represents the maximum potential reduction in annual hours of 
operation, from which the subsequent calculations are computed.
    While some programs will reduce their duration, Head Start programs 
primarily serve working families who rely on consistent care, and 
programs must continue meeting these needs to sustain enrollment--
particularly as early childhood options expand. Accordingly, we assume 
a range of behavioral adjustments in response to this proposed policy 
change. The low estimate assumes a 25 percent reduction of the 132-hour 
gap (33 hours), the primary estimate assumes a 50 percent reduction (66 
hours), and the high estimate assumes a 75 percent reduction (99 
hours). These represent low, primary, and high behavioral adjustments, 
respectively.
    Using 2025 PIR data, the average annual salary for Head Start 
Preschool classroom teachers is $62,746 and for assistant teachers is 
$42,272, after adjusting the PIR salary data by 2 percent to express 
the estimates in constant 2026 dollars and applying a 24 percent fringe 
adjustment. Multiplying by the number of teachers reported in the PIR 
(32,262 classroom teachers and 35,881 assistant teachers) yields total 
annual teacher compensation of approximately $3,541,086,867.
    Applying the percentage reduction in annual hours to total 
compensation yields estimated reductions of approximately $107,010,867 
under the low estimate, $214,021,734 under the primary estimate, and 
$321,032,601 under the high estimate. ACF assumes that the proposed 
policy changes are implemented over a five-year time horizon and these 
cost reductions would be fully realized upon implementation in year 
five.
    These reductions reflect reduced required instructional hours and 
associated staffing time. Resources made available through reduced 
duration requirements may be redirected toward other program priorities 
or expanded enrollment.
[GRAPHIC] [TIFF OMITTED] TP07AU26.022


[[Page 51291]]


    In addition to these estimated reductions in program expenditures, 
the proposed changes may also affect how families arrange child care, 
although these impacts are not quantified in this analysis. The 
proposed removal of Head Start Preschool duration requirements may 
result in changes to the number of hours of care provided to enrolled 
children, depending on program-level implementation decisions. To the 
extent that program hours change, families may adjust their 
arrangements by using a mix of formal child care, informal supports, or 
parental care, based on their individual preferences and local 
availability of options.
    The extent of these adjustments is uncertain and likely to vary 
across communities and households. Key factors include the availability 
and affordability of alternative child care, local labor market 
conditions, program implementation decisions, and access to informal 
care networks. Due to this variability, ACF has not quantified these 
impacts but recognizes that families may respond in different ways, 
consistent with their needs, resources, and local conditions. These 
factors are also discussed further below in the section on Non-
Quantified Impacts (Costs and Benefits).
D. Removal of Home-Based Service Duration and Caseload Requirements
    The current regulation prescribes minimum numbers of home visits 
and group socializations and limits home visitor caseloads. The 
proposed rule would remove these Federal duration and caseload 
requirements.
    For purposes of this estimate, we assume that states do not impose 
significant independent requirements on home-based service duration or 
home visitor caseloads.
    We assume that, in response to removal of Federal duration and 
caseload requirements, programs may adjust the number of home visits 
per year as well as the number of families assigned per home visitor 
(caseloads), resulting in a reduced overall need for home visiting 
staff. Using PIR data, there are 5,556 home visitors reported. The 
average annual salary for home visitors is $62,373, after adjusting the 
PIR salary data by 2 percent to express the estimates in constant 2026 
dollars and applying a 24 percent fringe adjustment.
    We estimate potential reductions in the home visitor workforce 
under three scenarios as outlined in the following table. Current 
standards establish minimum expectations for visit frequency and 
duration (e.g., weekly visits of defined length), which shape staffing 
and service delivery. Absent these requirements, we anticipate programs 
will likely shorten home visits, increase caseloads, and adjust 
staffing. Accordingly, the scenarios reflect significant changes to 
staffing costs.
    The low estimate assumes a 25 percent reduction in the home visitor 
workforce, the primary estimate assumes a 50 percent reduction, and the 
high estimate assumes a 75 percent reduction. The low estimate 
represents minimal behavioral adjustment, while the high estimate 
reflects significant restructuring of home-based service delivery.
[GRAPHIC] [TIFF OMITTED] TP07AU26.023

    Under these assumptions, estimated annual reductions in personnel 
expenditures are approximately $86,636,097 under the low estimate, 
$173,272,194 under the primary estimate, and $259,908,291 under the 
high estimate.
E. Removal of Requirement for Child Development Specialist Role
    The current regulation mandates that family child care providers 
partner with child development specialists. The proposed rule would 
remove this requirement.
    Using PIR data, there are 570 child development specialists 
reported. Because salary data for this role are not separately reported 
in the PIR, we use the average annual salary for family child care 
providers as a proxy adjusted by 2 percent to express the estimate in 
constant 2026 dollars and then adjusted for fringe benefits, resulting 
in an estimated annual compensation of $67,123.
    We assume the proposed policy change in this NPRM will result in 
many programs reducing or eliminating staffing for this role. 
Therefore, the low estimate assumes a 25 percent reduction in this 
workforce, the primary estimate assumes a 50 percent reduction, and the 
high estimate assumes a 75 percent reduction.
    Under these assumptions, estimated annual reductions in personnel 
expenditures are approximately $9,564,986 under the low estimate, 
$19,129,973 under the primary estimate, and $28,694,959 under the high 
estimate.

[[Page 51292]]

[GRAPHIC] [TIFF OMITTED] TP07AU26.024

Safety and Transportation Practices

A. Removal of Requirement for Bus Monitors on Board at All Times
    The proposed rule would remove the regulatory requirement that at 
least one bus monitor be present on vehicles transporting Head Start 
children at all times. Current regulations governing vehicle operation 
require programs that provide transportation services to ensure that a 
bus monitor is on board during transportation services.
    The proposed change would provide programs with greater flexibility 
to determine how to structure transportation staffing based on local 
operational considerations, safety practices, and state or local 
transportation regulations.
    This proposed regulatory change would reduce costs for programs 
that currently employ personnel to fulfill the Federal bus monitor 
requirement. Programs that determine a bus monitor is not necessary 
under their transportation model may reduce staffing costs associated 
with these positions. ACF acknowledges that programs may choose to 
continue employing bus monitors to comply with applicable state or 
local requirements.
    To estimate potential reductions in personnel expenditures, the 
analysis first estimates the number of bus monitors currently 
associated with Head Start transportation services. According to the 
PIR, a total of 94,230 children received transportation to and from 
classes. This analysis estimates the number of bus monitors at the 
grant level by dividing the number of transported children for each 
grant, by an assumed ratio of 20 children per bus monitor and rounding 
the result upward to account for whole staff positions. This ratio is 
based on the capacity ranges of Type A buses. Based on this approach, 
the estimated number of bus monitors associated with Head Start 
transportation services is 5,130.
    Compensation for bus monitors is estimated using the Bureau of 
Labor Statistics Occupational Employment and Wage Statistics for School 
Bus Monitors (SOC 33-9094), May 2025 mean annual wage of $35,150. 
Adjusting for a 2 percent inflation rate to achieve 2026 dollars 
results in a mean annual wage of $35,853. This analysis then applies a 
24 percent adjustment to account for fringe benefits, resulting in an 
estimated annual compensation of $47,175 per bus monitor which reflects 
a fully loaded hourly compensation rate of $22.68.
    Because bus monitoring responsibilities are frequently performed by 
staff who hold multiple roles within Head Start programs (e.g., 
teachers, aides, etc.) or part-time staff, the analysis assumes that 
removal of the requirement would affect an average of one-third of a 
full-time equivalent position per monitor rather than eliminating a 
full staff position in every case. To account for uncertainty regarding 
program responses to this policy change, the analysis models three 
behavioral scenarios reflecting different levels of reduction in bus 
monitoring hours. The low scenario assumes programs reduce bus monitor 
staffing hours by 25 percent, representing minimal behavioral change. 
The primary scenario assumes a 50 percent reduction in hours. The high 
scenario assumes a 75 percent reduction, representing more substantial 
adjustment in transportation staffing practices.
    These scenario assumptions are set based on evidence that Head 
Start programs have historically reduced transportation services in 
response to cost pressures and regulatory burden. The added flexibility 
is expected to enable programs to continue offering transportation in a 
more cost-efficient manner, which many are likely to adopt. Under the 
primary scenario, assuming a 50 percent reduction in hours devoted to 
bus monitoring, the estimated annual reduction in personnel 
expenditures is approximately $39,931,279. Under the low scenario, 
assuming a 25 percent reduction in hours devoted to bus monitoring, the 
estimated reduction is approximately $19,965,639. Under the high 
scenario, assuming a 75 percent reduction in hours, the estimated 
reduction is approximately $59,896,918.
[GRAPHIC] [TIFF OMITTED] TP07AU26.025


[[Page 51293]]


    These estimates reflect potential reductions in staff time 
associated with the proposed removal of the Federal bus monitor 
requirement. Actual cost reductions may be smaller if programs retain 
bus monitors to comply with state or local transportation regulations 
or to maintain existing safety practices. As with other personnel-
related adjustments discussed in this RIA, any reductions in staffing 
time may allow programs to reallocate resources to other program 
activities.

Health and Mental Health Services

    The current standards require programs to conduct health 
determinations, assist families in navigating health systems, 
facilitate access to health care and insurance for pregnant women 
within specified timeframes, conduct tooth brushing activities, and 
provide mental health supports for children and families, including 
ongoing mental health consultation at least monthly. The proposed rule 
would remove specific Federal requirements across these areas.
    To estimate the annual reduction in costs associated with these 
removals, we use FY 2025 budget line-item reports for health 
contractual services ($40,966,609 total reported across all Head Start 
grant applications) and personnel costs for health and mental health 
services ($177,357,309 total reported across all Head Start grant 
applications). These FY 2025 amounts are adjusted by 2 percent to 
express the estimates in constant 2026 dollars before applying the 
scenario multipliers, resulting in $41,785,941 for health contractual 
services and $180,904,455 in personnel costs for health and mental 
health services. These categories include expenditures associated with 
health, mental health, and nutrition-related personnel and consultants 
to the extent such costs are reported by grant recipients and therefore 
reflect the primary budget categories through which nutrition 
consultation and related services are funded. Because these 
expenditures are reported in aggregate, ACF is unable to separately 
identify or estimate the costs associated solely with nutrition and 
health consultants. See the Non-Quantified Impacts discussion of 
nutrition-related provisions for additional discussion regarding 
anticipated impacts and costs associated with those requirements. We 
sum these amounts and apply multipliers of 25 percent (low), 50 percent 
(primary), and 75 percent (high). Head Start programs remain 
responsible for ensuring the provision of health, mental health, and 
related services per the Act and must also continue to comply with 
applicable state and local requirements. In addition, staff will still 
need ongoing support to address children's challenging behaviors; 
therefore, programs are likely to retain staff for these supports. If 
they choose, programs may maintain health and mental health services as 
currently implemented in their programs, if this best fits the needs of 
their families and communities. Accordingly, we apply scenarios that 
anticipate more moderate behavioral adjustments in this area.
    This analysis also reflects the removal of requirements introduced 
in the 2024 final rule related to monthly mental health consultation, 
which were previously estimated to result in approximately $64 million 
in annual costs and reflected the cost of providing regular mental 
health consultation and related supports.\14\ The current NPRM proposes 
to modify those requirements, along with removal of additional 
prescriptive provisions, so the estimates presented here reflect a 
broader set of changes to health and mental health service delivery 
rather than a direct one-to-one reversal of the prior estimate from the 
2024 final rule.
---------------------------------------------------------------------------

    \14\ This dollar estimate is what was published in the 2024 
final rule analysis and is not adjusted to 2026 dollars.
[GRAPHIC] [TIFF OMITTED] TP07AU26.026

    Under the primary scenario, the estimated annual reduction is 
approximately $111.3 million. Under the low and high scenarios, the 
estimated annual reductions are approximately $55.7 million and $167.0 
million, respectively.
    These reductions reflect flexibility for programs to redesign 
service delivery in alignment with the Act, state licensing 
requirements, and local health systems, while maintaining focus on core 
health and nutrition outcomes. Overall, ACF continues to anticipate a 
net reduction in costs as previously estimated due to the removal of 
prescriptive health and mental health requirements.

Family Service Worker Caseloads

    The current family engagement standards require that the planned 
number of families assigned to staff conducting the family partnership 
process be no greater than 40 families per staff member, subject to 
limited waivers. The proposed rule would remove the 40:1 caseload limit 
that was introduced in a final rule published in 2024, restoring 
discretion to local programs to determine family services staffing 
patterns that are better aligned with family needs and available 
resources.
    Based on the same methodological framework used in the 2024 final 
rule but incorporating updated data and baseline assumptions, we 
estimate that 2,170 additional family services staff would be required 
to meet the 40:1 ratio under current requirements.
    The 2024 final rule estimated approximately $125 million in annual 
costs associated with implementing the 40:1 family service worker 
caseload requirement using similar

[[Page 51294]]

methodological assumptions. The estimates presented here build on that 
approach but incorporate updated 2025 PIR data on family service worker 
staffing levels and do not apply the same assumptions regarding 
associated benefits, as the baseline for this analysis assumes 
rescission of those requirements. These adjustments result in 
differences between the estimates, which is why the 100 percent 
scenario presented here does not directly align with the $125 million 
estimate from the 2024 final rule.
    We employ the assumption of a $40,000 average annual salary used in 
the 2024 final rule, this analysis applies a 2 percent annual inflation 
adjustment for two years to express the salary in 2026 dollars, 
resulting in an average annual salary of $41,616. Fringe benefits are 
assumed to represent 24 percent of total compensation; therefore, this 
analysis divides wages by 0.76 to estimate fully loaded compensation, 
resulting in a fully loaded average annual salary of $54,758. Because 
this requirement has not yet taken effect, we estimate future cost 
reductions associated with eliminating the anticipated need for these 
additional staff.
    This model applies scenarios with high behavioral adjustments 
because programs have yet to implement this requirement and ACF 
recognizes there are challenges with hiring and retaining family 
services staff based on program feedback. Accordingly, the added 
flexibility through the removal of the 40:1 ratio requirement is 
expected to enable programs to continue offering family support 
services in a more cost-efficient manner, which many programs are 
likely to maintain. We apply reduction scenarios of 50 percent, 75 
percent, and 100 percent of the projected 2,170 positions, while 
adjusting for 24 percent fringe.
[GRAPHIC] [TIFF OMITTED] TP07AU26.027

    Under the primary scenario, the estimated annual reduction is 
approximately $89.1 million. Under the low and high scenarios, 
estimated reductions are approximately $59.4 million and $118.8 
million, respectively. ACF assumes that the proposed policy changes are 
implemented over a five-year time horizon and these cost reductions 
would be fully realized upon implementation in year five.
    These reductions reflect that programs will likely determine 
alternative staffing configurations to meet family needs without a 
Federally prescribed caseload ratio. Without a Federally specified 
caseload limit, family service workers may structure services 
differently, which may affect the intensity or frequency of 
individualized support provided to families.

Management Systems and Administrative Cost

Overview
    This proposed rule would rescind requirements in Part 1302 Subpart 
I related to staff qualifications and certain human resources policies. 
It would remove specific Federal qualification requirements for several 
non-education staff positions, remove prescriptive requirements to 
implement a coordinated coaching strategy for education staff, and 
remove requirements related to staff breaks that were introduced in a 
2024 final rule. These changes are intended to restore discretion to 
local programs, reduce Federally prescribed staffing constraints, and 
allow programs to align staffing models with local labor market 
conditions and state requirements, while continuing to comply with 
statutory requirements under the Act. Certain education staff 
qualification requirements remain in the Act, including those 
applicable to Head Start Preschool teachers, preschool assistant 
teachers, Early Head Start teachers, and education managers or 
coordinators, while the proposed revisions would remove regulatory 
qualification requirements for other specified roles.
    The proposed rule includes requirements related to program-level 
aggregation and analysis of child assessment data that align to current 
regulation in that they would continue to require programs to establish 
program goals, conduct self-assessments, and submit findings to HHS but 
the proposed regulations do not include the specified minimum frequency 
in current Sec.  1302.102(c)(2)(ii).
    In addition, the proposed rule would reduce the cap on allowable 
costs to develop and administer a Head Start program under Sec.  1303.5 
from 15 percent to 5 percent of total approved program costs.
A. Removal of Staff Qualification Requirements for Non-Education Staff
    Under the current Performance Standards at Sec.  1302.91, specific 
minimum qualifications apply to certain management and service delivery 
positions. These include requirements related to education and 
credentials for roles such as Head Start directors; fiscal officers; 
management staff overseeing family, health, and disability services; 
home visitors; family child care providers; and family services staff.
    The proposed rule would remove these Federal qualification 
requirements for these roles, allowing programs to determine 
appropriate qualifications, consistent with state, tribal, and local 
laws and their own operational needs.
    The economic effect of removing these qualification requirements is 
expected to reduce average personnel expenditures as vacancies are 
filled and compensation aligns more closely with the qualifications of 
newly hired staff, who may hold lower credentials than currently 
required. The estimated reduction in compensation is presented below; 
however, reductions related to health staff and coaches are not 
included in this estimate, as they are addressed in other sections of 
this RIA.
    To estimate the potential reduction in compensation, the analysis 
first determines a potential ``floor salary'' for each position by 
applying a percentage

[[Page 51295]]

reduction to the current average salary for that position. Under the 
baseline scenario, we assume that management staff hold at minimum 
bachelor's degrees, which aligns with requirements under the current 
performance standards. For management staff positions that previously 
required a baccalaureate degree, the analysis uses data from the 
National Center for Education Statistics' National Teacher and 
Principal Survey of Public School Principals (2020-21) to estimate 
differences in compensation by education level. Based on that 
distribution, the analysis estimates that the reduction in salary from 
a bachelor's degree to no degree for a management position in education 
is approximately six percent. Accordingly, a six percent reduction is 
applied to current average salaries for Head Start management positions 
to estimate the potential floor salary, which assumes no degree 
requirements for these roles. For positions that previously required a 
Child Development Associate credential, the analysis uses PIR data on 
EHS classroom teacher salary differentials by credential level and 
estimates a nine percent reduction from CDA to no credential. That nine 
percent reduction is applied to the relevant staff categories to 
estimate the potential salary floor, which assumes no credential 
requirements for these roles.
    For each position, the salary difference is calculated by 
subtracting the estimated floor salary from the current average salary. 
This difference represents the maximum potential per-position reduction 
if all staff in that role were replaced with individuals holding no 
credential. Recognizing that programs are unlikely to terminate 
existing staff or replace all staff with individuals holding no 
credentials to realize these savings but may instead adjust hiring 
practices by filling vacancies at lower salary rates, three adjustment 
scenarios are modeled. The narrow range for the scenarios (10 to 50 
percent) reflects that changes to staffing patterns are expected to be 
limited through attrition and hiring decisions. In the low scenario, 10 
percent of positions move toward the estimated floor; in the primary 
scenario, 30 percent; and in the high scenario, 50 percent. The total 
reduction for each scenario is calculated by multiplying the per-
position salary difference by the number of staff in that role and then 
by the applicable scenario adjustment percentage and summing across all 
affected positions.
    Average salary inputs are derived from the PIR, except for family 
services staff, which are based on salary assumptions used in the 2024 
final rule analysis. Where PIR salary data are used, ACF applies a 2 
percent inflation adjustment to express estimates in constant 2026 
dollars before applying fringe benefits. Counts of staff are also 
derived from the PIR. This analysis applies a 24 percent fringe 
adjustment to all salary estimates. These inputs are shown in the 
following table.
[GRAPHIC] [TIFF OMITTED] TP07AU26.028

    The estimated annual reduction in personnel expenditures associated 
with removal of non-education staff qualification requirements is 
presented in the following table.

[[Page 51296]]

[GRAPHIC] [TIFF OMITTED] TP07AU26.029

    In the low estimate, which reflects minimal behavioral change in 
how programs currently operate in relation to these roles, annual 
reductions in staff salaries due to lowered qualifications are 
estimated at approximately $18.8 million. In the primary estimate, 
reflecting moderate adjustment in staffing patterns, annual reductions 
are estimated at approximately $56.6 million. This primary estimate is 
considered most representative, as programs are likely to still hire 
candidates that have comparable educational attainment for their role 
as their predecessor, rather than intentionally seeking and hiring 
candidates with no degrees for these positions. In the high estimate, 
reflecting more substantial adjustment in hiring practices, annual 
reductions are estimated at approximately $94.3 million.
B. Removal of Coaching Requirement for Education Staff
    Current Sec.  1302.92(c) requires programs to implement a research-
based coordinated coaching strategy for education staff, including 
intensive coaching for identified staff. The proposed rule would remove 
these requirements, thereby reducing the level of prescriptive Federal 
expectations regarding coaching structures and allowing programs 
greater flexibility in how instructional support is delivered, 
including associated staffing or contractual arrangements. ACF notes 
that programs must continue to meet statutory requirements related to 
mentor teachers under section 648A(b), which may overlap with certain 
coaching functions, though these statutory requirements allow much more 
flexibility for programs in implementation of coaching supports.
    Although programs may continue to provide coaching at their 
discretion or to align with the Act, the proposed removal of the 
regulatory requirements is expected to reduce the intensity and 
frequency of coaching activities in some programs. In this analysis, 
these changes are operationalized as a reduction in the number of staff 
or contracted personnel dedicated to coaching-type services, which may 
result in lower expenditures associated with coach salaries and related 
fringe benefits. The analysis assumes an average annual compensation of 
$50,000 per coach, expressed in constant 2026 dollars, and applies a 24 
percent adjustment for fringe benefits, resulting in an average total 
compensation of $65,789. Based on PIR data, 5,432 individuals currently 
provide coaching services.
    The total baseline annual compensation associated with coaching 
staff is calculated by multiplying 5,432 coaches by $65,789, resulting 
in approximately $357.4 million. Because some programs may continue 
coaching activities and maintain instructional support functions 
through mentor teachers as required by the Act, three adjustment 
scenarios are modeled. The wider adjustment range (25 percent to 75 
percent) reflects that, unlike staffing changes tied to education 
qualifications, coaching is a program activity that may be integrated 
into broader instructional support roles and can generally be scaled 
back in intensity more quickly following the removal of regulatory 
requirements, including through reductions in dedicated staff or 
contracted services. In the primary scenario, 50 percent of coaching 
expenditures are reduced. In the low scenario, 25 percent of 
expenditures are reduced, reflecting less significant behavioral 
change. In the high scenario, 75 percent of expenditures are reduced, 
reflecting more substantial reduction of coaching activities.
[GRAPHIC] [TIFF OMITTED] TP07AU26.030


[[Page 51297]]


    Under the primary scenario, annual reductions are estimated at 
approximately $178.7 million. Under the low scenario, annual reductions 
are approximately $89.3 million. Under the high scenario, annual 
reductions are approximately $268.0 million.
    Variations in the extent to which programs continue to use 
coaching, including through mentor teacher roles or other instructional 
supports, may influence instructional support structures and how 
programs monitor and support teaching practices.
C. Removal of Staff Break Requirement
    A Head Start final rule in 2024 introduced a requirement that 
programs provide regular breaks of adequate length and frequency to 
staff, including classroom staff, during hours worked. This requirement 
would go into effect for programs in August 2027. The proposed rule 
would remove this and related requirements, so programs would not be 
required to comply with this policy by August of 2027.
    The cost estimate for the staff break requirement in the 2024 final 
rule was based on assumptions regarding the number of affected staff, 
the duration and frequency of breaks, and how programs would provide 
coverage. The analysis assumed approximately 108,869 education staff, 
with an average of 28 minutes of break time per shift and 180 shifts 
per year, resulting in approximately 5,049 minutes of break time per 
staff annually, or about 9.2 million total hours of break time across 
all education staff.
    Because detailed data on existing break policies were not 
available, the analysis assumed that 20 percent of programs already 
provided breaks under baseline conditions. Of the remaining programs, 
it was assumed that 50 percent would accommodate break requirements by 
shifting workloads among existing staff, while the remainder would 
provide coverage by hiring additional staff, referred to as 
``floaters,'' compensated at rates comparable to assistant teachers 
without credentials.
    Applying these assumptions, the analysis estimated that 
approximately 2.7 million hours of additional break coverage would be 
required annually. Valuing this time using assistant teacher wages, 
including fringe benefits, resulted in an estimated annual cost of 
approximately $64 million in the 2024 final rule. This analysis adjusts 
that estimate by 2 percent annually for two years to express the 
estimate in constant 2026 dollars, resulting in an estimated future 
annual reduction of approximately $66.6 million.
    Using the same cost assumptions from the prior rule, adjusted by 2 
percent annually for two years to express the estimate in constant 2026 
dollars, the removal of the requirement is estimated to reduce future 
annual expenditures by approximately $66.6 million. This estimate does 
not model alternative adjustment ranges, as it reflects the removal of 
a previously estimated compliance cost using the same underlying 
assumptions from the 2024 final rule, adjusted to constant 2026 
dollars, rather than new behavioral responses.
[GRAPHIC] [TIFF OMITTED] TP07AU26.031

D. Removal of Requirements Related to Data Use in Program Management

    Under the current regulations, programs must establish a 
comprehensive and structured approach to program goals, monitoring 
program performance, and continuous improvement, while using data to 
assess progress and inform decision-making. This includes, as part of 
these approaches, aggregating and analyzing child-level assessment data 
multiple times per year, as well as reviewing data related to 
professional development, family engagement, and service delivery. In 
addition, programs must conduct a comprehensive community assessment at 
least once during the five-year grant period and review and update it 
annually to reflect significant changes in the community. Programs are 
required to use community assessment data to inform key program 
decisions, to identify community resources to support partnerships and 
coordinate services, and to guide strategic planning and continuous 
improvement efforts.
    This proposed rule would streamline program goals, improvement, and 
reporting requirements. Programs must still set measurable goals for 
education, health, nutrition, and family engagement, assess their 
progress, and report findings to HHS, but would remove detailed and 
prescriptive requirements related to data collection, analysis, and 
use. Specifically, it would eliminate requirements for programs to 
aggregate and analyze child-level assessment data at specified 
intervals, as well as requirements to systematically analyze data 
related to professional development, family engagement, and other 
program services for continuous improvement. It would also remove 
prescriptive continuous improvement processes tied to specific data 
inputs and timelines. In addition, the proposed rule would include 
requirements related to community assessment that align to current 
regulations but do not include the specified frequency for conducting a 
comprehensive assessment and the requirement to annually review and 
update it. These changes are intended to reduce administrative burden, 
provide greater flexibility to programs in how they use data and 
community information to inform improvement, and would reduce ongoing 
compliance burden associated with use of data in program management.
    The economic effects of these changes are expected to reduce total 
staff time associated with data use in program management for the 1,526 
Head Start agencies. Based on the Supporting Statement for the 
Paperwork Reduction Act (OMB Control Number 0970-0148), programs spend 
an average of 79 hours per year in the collection and use of data for 
monitoring program performance, continuous improvement efforts, and 
conducting their self-assessment, as well as conducting a comprehensive 
community assessment at least once during the five-year grant period 
including an annual review and update to identify significant changes 
in community demographics, needs, and resources.

[[Page 51298]]

    To estimate the reduction in expenditures associated with reduced 
staff time for these activities, we examined salary data on education 
and child care administrators from the BLS. The hourly compensation 
rate applied in this analysis is based on the BLS Occupational 
Employment and Wage Statistics for Education and Childcare 
Administrators, Preschool and Daycare (SOC 11-9031), May 2025 mean 
hourly wage of $31.15, from which this analysis applies a 2 percent 
inflation adjustment to express the estimate in constant 2026 dollars, 
resulting in a mean hourly wage of $31.77. This analysis then applies a 
24 percent adjustment to account for fringe benefits, resulting in 
$41.81 per hour.
    We calculated the baseline annual cost of data use in program 
management by multiplying 1,526 Head Start agencies by 79 hours per 
year of administrator staff time and by $41.81 per hour. To estimate 
reductions, three adjustment scenarios are modeled. The adjustment 
range (25 percent to 75 percent) reflects that programs have 
flexibility in the frequency and intensity of data collection and use 
as part of their approach to program management and decision-making. In 
the primary scenario, programs reduce staff time spent on these 
activities by 50 percent. In the low scenario, programs reduce staff 
time by 25 percent, reflecting minimal behavioral change. In the high 
scenario, programs reduce staff time by 75 percent, reflecting more 
substantial adjustment in these approaches.
[GRAPHIC] [TIFF OMITTED] TP07AU26.032

    Under the primary scenario, annual reductions are estimated at 
approximately $2.5 million. Under the low scenario, annual reductions 
are approximately $1.3 million. Under the high scenario, annual 
reductions are approximately $3.8 million. The extent to which programs 
make changes in the frequency and intensity of using data as part of 
program management may influence how programs identify trends and the 
extent to which this informs continuous improvement strategies.
E. Reduction of Allowable Administrative Costs From 15 Percent to 5 
Percent
    Current Sec.  1303.5 limits allowable costs to develop and 
administer a Head Start program to 15 percent of total approved program 
costs, inclusive of both Federal and non-Federal match. The proposed 
rule would reduce this cap from 15 percent to 5 percent of total 
approved program costs. Using program budget line-item data reflecting 
2025 administrative cost allocations at 2026 funding levels, adjusted 
by 2 percent to express the estimates in constant 2026 dollars, this 
analysis first calculates the current share of total budgets allocated 
to administrative costs. These data indicate that administrative costs 
represent approximately 11.2 percent of total program budgets under the 
baseline scenario.\15\
---------------------------------------------------------------------------

    \15\ Many of the other provisions proposed in this document 
would have the potential to reduce spending on direct services, so a 
ratio estimate (of administrative costs to total program budgets) 
that accounts for the other provisions might be higher than 11.2 
percent. As this percentage increases, so do the effects of the 
proposed administrative cost cap, including shifts of program 
funds--estimated to be $754 million if the baseline ratio is 11.2 
percent--and transition costs.
---------------------------------------------------------------------------

    In addition to program-specific data, ACF also considered 
administrative cost limitations applied in other Federal grant programs 
to assess the reasonableness of the proposed 5 percent cap. Across a 
range of human services and workforce programs, administrative cost 
limits commonly fall between 5 and 15 percent. Within Head Start 
specifically, approximately 3.7 percent of grants currently operate at 
or below a 5 percent administrative cost threshold, indicating that a 
small subset of programs are already functioning within this range.
    ACF also examined the distribution of grants with administrative 
cost allocations above 5 percent but below 10 percent to assess how 
close additional programs are to the proposed threshold. Approximately 
7.9 percent of grants currently operate between 5 percent and 7.5 
percent administrative costs, and approximately 19.8 percent operate 
between 7.5 percent and 10 percent. ACF recognizes that relatively few 
grants currently operate at or below the proposed 5 percent cap. 
However, these data indicate that additional grants operate above 5 
percent but below 10 percent administrative costs, suggesting that some 
programs may be closer to the proposed threshold than others. The 
extent to which programs can transition to the proposed cap will depend 
on current cost structures, program size, service area, administrative 
arrangements, and the availability of waiver relief where appropriate.
    ACF also considered whether grants operating in more urban, 
metropolitan, or rural areas may face different opportunities to 
consolidate administrative functions. For this analysis, ACF used 2020 
ZIP Code Rural-Urban Commuting Area (RUCA) classifications developed by 
the U.S. Department of Agriculture's Economic Research Service. ZIP 
Code RUCA codes are derived from census tract RUCA codes and classify 
ZIP codes based on urbanization and commuting patterns. ACF used the 
ZIP Code of the Head

[[Page 51299]]

Start agency location for this analysis; however, ACF recognizes that 
the agency location may differ from the locations where services are 
actually provided, particularly for grants that operate multiple sites 
or serve broad geographic areas. ACF classified grants with ZIP Code 
RUCA codes 1 through 3 as metropolitan or urban commuting areas, 
reflecting metropolitan core areas and areas with high or low commuting 
flows to a metropolitan urban area. Grants with ZIP Code RUCA codes 4 
through 10 were classified as rural or nonmetropolitan areas, including 
micropolitan, small town, and rural areas.
    Based on this analysis, among grants with matched ZIP Code RUCA 
classifications, approximately 63 percent of Head Start grants are 
located in metropolitan or urban commuting areas, and approximately 37 
percent are located in rural or nonmetropolitan areas. Approximately 
3.7 percent of grants in metropolitan or urban commuting areas operate 
at or below 5 percent administrative costs, compared to approximately 
3.6 percent of grants in rural or nonmetropolitan areas. ACF recognizes 
that programs in areas where Head Start services are geographically 
clustered may have more opportunities to consolidate administrative 
functions, while programs serving more remote or dispersed communities 
may face different implementation considerations.
    ACF also examined whether current administrative cost percentages 
varied by grant funding size or program type. This analysis did not 
show a meaningful relationship between total grant funding and 
administrative cost percentage; average and median administrative 
percentages were generally similar across grant-size categories. 
Smaller grants were somewhat more likely to report administrative costs 
at or below 5 percent; however, grant size did not appear to explain 
differences in administrative cost percentages. Administrative cost 
percentages also appeared broadly similar across HS Preschool-only, 
EHS-only, and combined HS Preschool/EHS grants, with only modest 
differences across program types.
    Several HHS programs operate with a 5 percent administrative cost 
limit, including the Child Care and Development Fund (CCDF), the 
Substance Use Prevention and Treatment Block Grant (SAPT), the 
Community Mental Health Services Block Grant (MHBG), and the Community 
Services Block Grant (CSBG). These programs support decentralized 
service delivery systems that rely on State, local, and subrecipient 
entities to administer benefits and oversee program operations.
    To quantify the potential fiscal impact of this proposed change on 
Federal Head Start funding, total Head Start funding is defined as the 
sum of Head Start Preschool base, Early Head Start base, and Training 
and Technical Assistance funds in FY 2025 funds planning data, adjusted 
by 2 percent to express the estimates in constant 2026 dollars, is 
$12,166,833,883. Applying the baseline 11.2 percent administrative 
allocation results in approximately $1,362,685,395 in administrative 
costs across all Head Start programs. If administrative costs are 
capped at 5 percent, allowable administrative expenditures would be 
approximately $608,341,694. The difference between these amounts 
represents the estimated annual change in the distribution of Federal 
Head Start expenditures under the proposed cap.
[GRAPHIC] [TIFF OMITTED] TP07AU26.033

    The estimated annual change in administrative expenditures is 
approximately $754.3 million. Programs may need to adjust 
administrative and programmatic cost allocations to comply with the 
proposed cap, and the extent of these adjustments will vary depending 
on existing cost structures, program size, and local requirements. 
Rather than representing a direct reduction in overall program costs, 
this policy is expected to shift how funds are allocated within 
programs, including toward direct services that promote the health, 
safety, and well-being of children and families. Because this policy 
establishes a fixed cap, no separate low or high behavioral scenarios 
are modeled as it reflects a regulatory constraint rather than 
behavioral adjustment.
    If programs anticipate undue challenges with complying with this 
proposed change in the administrative cost cap, they have the option 
under proposed Sec.  1301.18 to request a waiver of this requirement. 
It is at ACF's discretion to review and approve such requests, which 
may provide flexibility for programs facing implementation constraints. 
ACF invites comment on the proposed waiver process, including 
circumstances under which programs may seek waivers from the 
administrative cost limitation and the extent to which such flexibility 
would support implementation of the proposed cap.
F. Additional Considerations Affecting Administrative Costs
    In addition to the quantified changes associated with lowering the 
administrative cost cap from 15 percent to 5 percent, several other 
provisions of the final rule may affect administrative expenditures. 
Many of these provisions were assessed individually as having marginal 
fiscal impact relative to the larger cost drivers discussed in this RIA 
and therefore were not separately quantified as administrative cost 
adjustments. However, when considered collectively, these changes are 
expected to influence administrative spending patterns and may affect 
how programs allocate administrative resources and structure operations 
while continuing to support effective service delivery for children and 
families.
    Several proposed regulatory revisions are expected to affect 
administrative processes and workload requirements; many are not 
separately quantified in this analysis because their impacts are 
considered individually modest.
    Proposed changes to recruitment and attendance requirements may 
also change administrative practices.

[[Page 51300]]

Programs may align attendance accountability practices more closely 
with state licensing standards, resulting in potential changes in 
administrative time devoted to follow-up procedures. The proposed 
removal of certain prescriptive supervision requirements, to the extent 
those requirements differ from state licensing standards, may likewise 
change associated administrative oversight and documentation 
requirements.
    Certain requirements related to waitlists and enrollment procedures 
are proposed for removal from the Performance Standards; programs must 
continue maintaining waitlists, both as a practical necessity for 
managing enrollment and because it is required by the Act. Similarly, 
certain Federal training requirements are proposed for removal; 
programs will likely continue to provide trainings, either because they 
remain required by the Act or state licensing frameworks, or because 
programs determine that such training is necessary to support safe and 
effective operations. In some states, child abuse and neglect reporting 
training is embedded within broader professional development hour 
requirements or required at hire or periodically rather than annually; 
even in these circumstances, ACF assumes that overall changes in 
administrative costs associated with training will be modest.
    Taken together, ACF anticipates that programs may adjust 
administrative structures and processes by streamlining and 
consolidating processes, aligning more closely with state licensing and 
statutory requirements, and exercising increased local discretion. 
Although many of these individual changes were assessed as marginal 
relative to the larger quantified fiscal impacts in this RIA, their 
combined effect may influence administrative expenditures and resource 
allocation decisions within programs.
    Furthermore, the combination of the quantified changes discussed 
throughout this RIA and the additional proposed streamlining effects 
described above are expected to provide programs with multiple avenues 
to restructure administrative functions and move toward compliance with 
the proposed cap in a manner consistent with ACF's commitment to 
effective service delivery and responsible stewardship of Federal 
resources.

Facilities

    The proposed rule would remove several regulatory provisions 
governing applications for the purchase, construction, or renovation of 
facilities using Head Start grant funds. Under the current regulations, 
programs seeking such funding must submit extensive documentation as 
part of the facilities application process.
    The proposed regulatory changes would remove certain prescriptive 
documentation requirements and are expected to reduce administrative 
burden in the application process for programs that pursue facilities 
funding by reducing the effort associated with preparing and submitting 
supporting materials. The extent to which existing facilities 
applications would be revised to align with the policy changes proposed 
in this NPRM is yet to be determined and removal of these requirements 
does not necessarily mean they will be fully removed from the facility 
application process.
    The estimated reduction in administrative burden is calculated by 
applying existing burden estimates associated with preparation of 
facilities funding applications and adjusting those estimates to 
reflect a reduction in effort due to simplified application 
requirements.
    Using PRA estimates associated with the Performance Standards (OMB 
Control Number 0970-0148, August 2024), the calculation assumes that 
the number of Head Start programs potentially affected by the 
regulatory change is 250 grants on an annual basis. Based on burden 
estimates from the Supporting Statement for the Performance Standards, 
programs spend an average of 40 hours preparing facilities-related 
grant application materials annually. The hourly cost of staff time is 
estimated using the BLS Occupational Employment and Wage Statistics for 
Education and Childcare Administrators, Preschool and Daycare (SOC 11-
9031), which reports a May 2025 mean hourly wage of $31.15, from which 
this analysis applies a 2 percent inflation adjustment to express the 
estimate in constant 2026 dollars, resulting in a mean hourly wage of 
$31.77. When this analysis applies a 24 percent fringe adjustment, the 
estimated fully loaded hourly cost for staff time is $41.81.
    The analysis assumes that simplification of the application process 
would reduce the number of staff hours required by 20 percent. This 
assumption reflects a moderate reduction in effort, recognizing that 
facilities funding applications remain complex and that some 
documentation will likely continue to be required in practice.
    The total reduction in administrative burden is therefore 
calculated by multiplying the number of programs by the average hours 
spent preparing application materials, by the hourly wage rate 
including fringe benefits, and by the expected 20 percent reduction in 
hours required to complete the application.
[GRAPHIC] [TIFF OMITTED] TP07AU26.034

    The reduction in administrative burden associated with the 
facilities application process results in an estimated cost reduction 
of approximately $83,613 annually.

Summary of Overall Estimated Cost Reductions, Costs, and Program 
Reinvestments

    The proposed rule would remove or streamline a number of regulatory 
requirements governing program operations, staffing structures, service 
delivery models, and administrative procedures. This RIA estimates the 
resulting reductions in regulatory burden and personnel expenditures 
across several categories, including reductions in staffing, service 
duration requirements, program oversight activities, and administrative 
processes. Unless otherwise noted, all cost estimates are presented in 
constant 2026 dollars; estimates related to funded slots

[[Page 51301]]

discussed in the ``Increase in Funded Slots Capacity'' section are 
presented in nominal dollars to reflect inflation-adjusted program 
costs.
    Across all quantified categories where behavioral scenarios were 
modeled (excluding behavioral scenarios that are one-time costs), the 
estimated annual net reduction in program expenditures is approximately 
$1.5 billion under the primary scenario, with a range of $722 million 
under the low scenario and $2.2 billion under the high scenario. These 
estimates reflect the combined effects of reductions in personnel 
expenditures associated with staffing flexibility, reductions in 
administrative burden associated with documentation and reporting 
requirements, and reductions in other operational costs across multiple 
areas of program operations.
    In addition to the scenario-based estimates, certain provisions 
generate quantified impacts that are estimated as relatively fixed 
amounts rather than behavioral scenarios. This includes reductions 
associated with the simplification of facilities application 
documentation, resulting in a fixed annual reduction of $83,613. 
Additionally, the estimated annual change associated with the 
administrative cost cap is $754,343,701. Rather than representing a 
reduction in overall Head Start spending, this estimate reflects a 
reallocation of expenditures within the program. Under the proposed 
cap, these funds would no longer be available for administrative costs 
and could instead be directed toward direct services, expanded 
enrollment capacity, or other allowable uses. Accordingly, ACF 
characterizes this impact as a program reinvestment within Head Start 
rather than a reduction in overall program funding.
    When these fixed reductions, program reinvestments, and scenario-
based estimates are considered together, the total estimated annual 
quantified impact associated with the proposed rule is approximately 
$2.2 billion under the primary scenario, with a range of approximately 
$1.5 billion under the low scenario and approximately $3.0 billion 
under the high scenario.
    As a sensitivity analysis, ACF considered an alternative baseline 
in which the wage and non-wage benefit requirements from the 2024 final 
rule are fully implemented. Under that rule, compensation levels would 
increase, affecting both the cost of remaining staff and the value of 
any reductions in staffing or hours.
    Holding behavioral responses constant, higher compensation levels 
would increase the dollar value of estimated cost reductions, as 
reductions in staffing or hours would occur at higher wage levels. 
Based on estimates from the 2024 final rule, this corresponds to an 
increase of approximately 19 percent. Applying this relationship as a 
simplifying assumption, the quantified impacts presented in this RIA 
would be approximately 19 percent higher under this alternative 
baseline. For example, total estimated cost reductions of $2.2 billion 
would increase to approximately $2.64 billion under the primary 
scenario.
    This sensitivity analysis is illustrative and does not incorporate 
the phased implementation schedule of the 2024 rule or potential 
changes in program behavior, including staffing changes, under a 
higher-cost baseline. It also does not account for the corresponding 
increase in costs for remaining staff. Accordingly, the net effect on 
total program costs could differ from this percentage-based estimate. 
ACF uses the primary baseline, which excludes the 2024 wage and benefit 
requirements, for all central estimates to maintain consistency with 
the proposed regulatory framework.
    These estimates represent potential changes in regulatory burden, 
program expenditures, and resource allocation associated with the 
proposed removal or modification of Federal regulatory requirements. 
Actual realized cost reductions may differ depending on program 
implementation decisions, state licensing requirements, local labor 
market conditions, and the extent to which programs choose to maintain 
existing practices even when they are no longer required by Federal 
regulation.
    In addition to the recurring annual net cost reductions described 
above, the proposed rule is also expected to result in future cost 
savings associated with provisions of the 2024 final rule that have not 
yet taken effect and certain one-time implementation costs. These costs 
are primarily associated with transitioning to English-only instruction 
in affected classrooms and include both fixed costs, such as the 
replacement of curriculum and instructional materials, estimated at 
approximately $46.9 million, and scenario-based costs related to 
staffing adjustments, including retraining or recruitment. The 
estimated scenario-based one-time staffing costs are approximately 
$25.8 million under the low scenario, $51.7 million under the primary 
scenario, and $77.5 million under the high scenario. These costs occur 
during the initial implementation period rather than on an ongoing 
basis. As such, they are presented separately from the recurring cost 
reductions and do not offset the annualized savings estimates described 
in this section.
    Future cost savings associated with the removal of the staff break 
requirement and family service worker caseload requirement reflect 
avoided costs that would otherwise be incurred beginning in 2027 under 
the 2024 final rule. These savings are presented separately from 
ongoing annual reductions for clarity. Some quantified impacts 
presented in this analysis reflect reductions in regulatory compliance 
costs, while others reflect reallocations of Head Start expenditures. 
In particular, the estimated impact associated with the proposed 
administrative cost limitation represents a program reinvestment effect 
in which expenditures previously allocated to administrative activities 
may be redirected toward direct services and other programmatic uses. 
These impacts are presented separately to distinguish changes in 
expenditure allocation from reductions in regulatory costs.

[[Page 51302]]

[GRAPHIC] [TIFF OMITTED] TP07AU26.035

    Additional one-time administrative costs associated with transition 
and implementation are presented separately in the table above and are 
estimated at approximately $1.5 million to $3.6 million (primary 
estimate: $2.6 million). Further detail on these costs is provided in 
the transition and implementation section that follows.

[[Page 51303]]

Time Horizon of Estimated Cost Reductions, Costs, and Program 
Reinvestments

    Consistent with OMB Circular A-4, regulatory impacts are evaluated 
over a multi-year period to reflect how costs and benefits accrue over 
time. This requires assumptions regarding the timing of implementation 
and the pattern of realized effects.
    For this analysis, ACF assumes that economic impacts begin in 2027 
and that the proposed policy changes are implemented gradually over a 
five-year period, reaching full implementation in Year 5. This phased 
approach is consistent with Head Start grant cycles and reflects that 
programs may require time to adjust staffing models, service delivery 
structures, and administrative processes in response to the proposed 
regulatory changes.
    Under this assumption, the savings estimates in Table 19 increase 
incrementally over time, with approximately 20 percent of recurring 
cost reductions realized in 2027, increasing by 20 percentage points 
annually until full implementation is reached in 2031.
    Table 19 presents the quantified impacts using Circular A-4 
accounting categories by distinguishing savings, costs, and transfers 
over the five-year time horizon. Savings reflect recurring cost 
reductions expected to accrue over the five-year implementation period. 
Costs reflect one-time implementation costs associated with the 
proposed rule. Transfers reflect the estimated administrative cost cap 
effect, which represents a program reinvestment within Head Start from 
administrative costs to direct services or other allowable programmatic 
uses, rather than a reduction in overall program spending.
    Table 19 excludes avoided future costs associated with the staff 
break and family service worker caseload requirements because those 
requirements have not yet taken effect and would be rescinded before 
implementation. These avoided costs are presented separately in Table 
18 and are not included in the Circular A-4 savings totals below.

[[Page 51304]]

[GRAPHIC] [TIFF OMITTED] TP07AU26.036

Regulatory Alternatives

    Consistent with OMB Circular A-4, ACF considered alternative 
regulatory approaches that correspond to subsets of the policies 
included in this NPRM. These alternatives are intended to illustrate 
how different combinations of policy changes could affect overall costs 
and cost reductions.
    One alternative considered is a regulatory-only approach, under 
which only provisions that introduce new or expanded requirements would 
be adopted. These include requirements related to English-only 
instruction. Under this approach, programs would incur costs associated 
with implementation of these requirements, including one-time costs for 
curriculum and materials replacement and staff retraining or 
recruitment, as well as any ongoing administrative costs associated 
with compliance.
    A second alternative considered is a deregulatory-only approach, 
under which only provisions that reduce or eliminate existing 
regulatory requirements would be adopted. These include changes related 
to staffing flexibility, removal of prescriptive service requirements, 
and reductions in administrative burden. Under this approach, programs 
would realize reductions in personnel expenditures and administrative 
costs similar to those estimated in the primary analysis, without 
incurring the additional costs associated with new regulatory 
requirements.
    A third alternative considered was a delayed compliance approach 
for provisions that may prompt substantial transition costs, including 
the proposed 5 percent administrative cost cap and the English-language 
instruction requirement. Under this alternative, compliance with these 
provisions would be delayed for five years

[[Page 51305]]

following publication of the final rule. This alternative is intended 
to illustrate how a longer implementation period could affect the 
timing of transition costs and program adjustments while preserving the 
substantive policy changes reflected in the proposed rule. Under this 
alternative, affected programs would have additional time to adjust 
staffing, curriculum, and administrative structures prior to 
compliance. As a result, both the associated compliance costs and the 
estimated program reinvestment effects would be deferred until the 
delayed compliance date. ACF does not quantify this alternative 
separately because the effect of a delayed compliance date on the 
magnitude of costs would depend on program-specific implementation 
decisions and the extent to which programs adjust operations before the 
compliance date. Accordingly, this alternative is discussed 
qualitatively as a timing alternative rather than presented as a 
separate quantified estimate. ACF requests public comment and data on 
quantification of these costs.
    These alternatives are presented for illustrative purposes to 
demonstrate the relative contributions of regulatory and deregulatory 
components of the proposed rule. The primary analysis reflects the 
combined effects of both sets of policy changes.
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Increase in Funded Slots Capacity

    ACF expects that the proposed rule, if finalized, would increase 
the number of funded slots that Head Start programs are able to support 
by reducing ongoing program expenditures and avoiding certain future 
costs. Specifically, reductions in ongoing program expenditures will 
allow programs to reallocate resources to support additional funded 
slots. In addition, certain future costs will be avoided through 
rescission of specific policies that have not yet been implemented 
(i.e. staff breaks, family service worker caseloads), thereby allowing 
programs to maintain funded slot levels that would have otherwise been 
reduced in order to implement those policy changes. Because Head Start 
is a grant-funded program, these cost reductions can be reallocated 
within the program to support additional funded slots.
    Certain provisions of the 2024 final rule, including requirements 
related to staff breaks and family service worker caseloads, would have 
increased program costs beginning in 2027 when those policies would 
have gone into effect. This proposed rule would remove those 
requirements, resulting in avoided costs that may support retention of 
existing funded slots as shown in the following table, grouped by 
scenario.

[[Page 51306]]

[GRAPHIC] [TIFF OMITTED] TP07AU26.040

    In addition, the proposed rule would generate ongoing reductions in 
program expenditures. To estimate the number of funded slots that may 
be supported by these reductions, ACF applies a methodology consistent 
with prior analyses that translate changes in program expenditures into 
changes in funded slots, using average cost per slot. This approach is 
conceptually consistent with prior analyses by the HHS Office of the 
Assistant Secretary for Planning and Evaluation (ASPE) \16\ that 
examined variation in spending per slot and its implications for funded 
slots, although the estimates presented in the current analysis reflect 
more recent FY 2025 funding data. The FY 2025 cost-per-slot input 
amounts are first adjusted by 2 percent to express them in constant 
2026 dollars. The resulting funded slot estimates are then calculated 
using nominal values over the implementation period.
---------------------------------------------------------------------------

    \16\ Schreier, Rendon, and Benton, (2026)
---------------------------------------------------------------------------

    Under this approach, total cost reductions are allocated between 
Head Start Preschool and Early Head Start based on their respective 
shares of funded enrollment and divided by the average cost per slot 
for each program type. Using this framework, estimated impacts 
correspond to approximately $1,445,152,798 in reductions attributed to 
Head Start Preschool and $817,399,893 attributed to Early Head Start 
(in nominal dollars to reflect inflation), which translate to 
approximately 116,516 Head Start Preschool funded slots and 45,578 
Early Head Start funded slots under the primary scenario at full 
implementation in 2031.
    Because implementation is phased in over time, the potential for 
increasing funded slots grows gradually as cost reductions are 
realized. The estimates presented below reflect the number of funded 
slots that could be supported in each individual year under the phased 
implementation assumptions and should not be summed across years. Under 
this framework, net new funded slots reflect ongoing and scalable cost 
reductions and program reinvestments, including transfers associated 
with the administrative cost cap, and exclude one-time costs and 
avoided costs associated with future requirements. The estimates of 
funded slots presented in this section are based on nominal cost 
reductions and program reinvestment effects.
[GRAPHIC] [TIFF OMITTED] TP07AU26.041

    The estimates are annual point-in-time estimates and should not be 
interpreted as cumulative additions to funded slots across years. 
Actual changes in funded slots will depend on program-level decisions, 
state and local

[[Page 51307]]

requirements, workforce availability, and the extent to which programs 
choose to reallocate resources toward increasing funded slots.

Non-Quantified Impacts (Costs and Benefits)

    In addition to the quantified impacts discussed in this RIA, the 
proposed rule may produce other non-quantified costs and benefits 
associated with variation in how local programs implement increased 
flexibility under the proposed regulatory framework. These effects are 
inherently uncertain because they depend on program behavioral 
responses, the continued applicability of other Federal, state, Tribal, 
and local requirements, and the extent to which programs maintain 
practices that were previously required by regulation. Some programs 
may continue existing approaches because they view them as effective or 
because other statutory or regulatory frameworks apply, while others 
may modify service delivery to better reflect local needs and resource 
constraints. The discussion below highlights selected non-quantified 
impacts, but there may be additional effects on program implementation 
and service delivery that are not captured in the quantified estimates 
presented in this RIA.
    Many of the proposed changes would replace current regulatory 
provisions with streamlined requirements, remove regulatory text that 
duplicates requirements in the Act or other applicable Federal, state, 
Tribal, or local requirements, or provide additional flexibility for 
programs to determine how to meet program goals and statutory 
responsibilities. Where a replaced provision is not separately 
quantified or discussed in detail in this RIA, ACF assumes the economic 
impact is negligible because the provision is not expected to require 
material changes in program operations or expenditures, or because any 
resulting changes are expected to be limited and dependent on program-
specific decisions, local conditions, and the continued applicability 
of other requirements.
    ACF requests public comment on the estimated cost and benefits of 
non-quantified impacts, including any additional costs or challenges 
that commenters may identify.
A. Estimated Impact of Program Governance Provisions
    The proposed rule streamlines regulatory provisions related to 
program governance by proposing to remove multiple provisions from 
current Part 1301 because most of these requirements are detailed in 
the Act. ACF proposes requirements related to parent committees, 
including establishment of committee bylaws, that would provide much 
greater flexibility to programs in the implementation and structure of 
parent committees. ACF does not anticipate that these policy changes 
would result in significant cost reductions for programs. Current 
regulations require programs to establish parent committees with 
defined advisory roles, and changes to program governance provisions in 
the proposed rule may affect how parents participate in program 
decision-making. Approaches to parent input into program design through 
governing bodies would likely vary across programs and therefore are 
not quantified.
    Non-quantified benefits of this proposed rule include the 
prioritization of parents' role as essential partners in their 
children's education and greater flexibility for parent involvement in 
program governance. Increased flexibility in how parent committees 
operate allows programs the opportunity to adopt alternative approaches 
to parent involvement and may impact how parents participate in program 
decision-making based on the program and community's needs. These 
proposed changes would also grant parents the flexibility to determine 
which wrap-around and comprehensive services are best suited for a 
program to provide to children in care.
B. Estimated Impact of Eligibility, Enrollment, and Attendance 
Provisions
    Collectively, this proposed rule would remove current Part 1302 
Subpart A in its entirety and replace it with a streamlined set of 
requirements for programs related to child and family eligibility, 
enrollment, and attendance in Head Start. These changes in proposed 
Sec.  1301.02 and Sec.  1301.03 reflect multiple ACF priorities, 
including restoring flexibility to local Head Start programs; 
recognizing the importance of parents as primary decision-makers for 
their children; reducing burden for programs and families; and reducing 
duplication with relevant statutory requirements.
Impacts of Changes to Eligibility Provisions
    The streamlined set of eligibility requirements proposed in Sec.  
1301.02 would remove and replace many requirements from current Sec.  
1302.12 that are already detailed in statute, including but not limited 
to: eligibility requirements related to family income, child age, 
receipt of public assistance, homelessness, and children eligible for 
IDEA; duration of eligibility; attendance procedures; active waitlists; 
enrollment reporting; procedures for recruitment, selection, and 
enrollment; and prohibition on charging fees. While the removal of 
these requirements reduces duplication across regulation and statute, 
ACF did not assume significant costs or savings from these changes 
because programs must still comply with these eligibility requirements 
in the Act.
    The proposed rule would no longer allow family self-attestation to 
satisfy eligibility requirements. FY 2024 OHS monitoring data indicates 
that approximately 7.6 percent of child files reviewed through the 
monitoring process documented ``self-declared income or declaration of 
zero income, signed by family'' as the type of documentation for 
eligibility verification purposes. This was out of 23,819 total child 
files reviewed, a random sample of files from all programs that 
received a monitoring review in FY 24. However, monitoring data does 
not indicate what portion of these files are false attestations in 
which a family or staff member intentionally violated Head Start 
eligibility requirements. Therefore, under the proposed policy changes, 
we can extrapolate that approximately eight percent of children may 
currently be enrolled in Head Start that would otherwise no longer be 
eligible for enrollment under this proposed policy change, unless their 
family can submit alternative acceptable documentation to demonstrate 
they meet an allowable eligibility criterion.
    The rule also proposes to require that programs report staff who 
violate eligibility determination regulations to the appropriate Office 
of Head Start regional office contact within HHS. ACF does not have 
readily available data to quantify impact of this change in terms of 
the number of staff who violate these requirements. FY 2024 OHS 
monitoring reviews found that 139 of 23,819 (.58%) child files reviewed 
were considered in error, not reflecting appropriate eligibility for 
Head Start services. Although some instances may involve staff or 
family fraud, others may stem from mistakes, such as eligibility 
miscalculations; for example, unknowingly enrolling children whose 
family income exceeded allowable thresholds. This data provides a 
reference point when considering the impacts of this policy change to 
safeguard against fraud, waste, and abuse.
    The rule further proposes to remove a provision that currently 
allows programs to enroll a child without

[[Page 51308]]

documentation on child age if such documentation is unavailable from 
the family (Sec.  1302.12(h)). ACF does not have readily available data 
on children currently enrolled without documentation of child age, so 
we cannot easily quantify this proposed policy change. However, ACF 
expects important benefits from this proposed change, namely, to 
strengthen program integrity and ensure children enrolled in Head Start 
are of the statutorily required age to receive these services. ACF 
acknowledges that some families, such as those experiencing 
homelessness, may have a more challenging time providing such 
documentation, and programs may have to support such families more 
closely through the enrollment process.
    Under the proposed rule, programs would be required to share 
eligibility data with HHS upon request. This change is expected to have 
minimal impact on program operations since programs already share data 
with HHS upon request through monitoring reviews.
    The proposed rule also would remove the option to adjust families' 
income for housing costs for purposes of eligibility determination, 
which exceeded statutory authority. Non-quantifiable benefits to 
programs include less administrative burden associated with verifying 
housing costs, as well as ensuring limited Head Start services are 
reserved for those children most in need.
Impacts of Changes to Determining Community Strengths, Needs, and 
Resources
    The rule proposes to remove the requirements in Sec.  1302.11 of 
the current Performance Standards related to determining community 
strengths, needs, and resources to avoid duplication with the Act and 
to reduce burden on programs. Programs would not be required to propose 
a service area or to meet prescriptive requirements related to 
frequency of community assessment, what data elements must be included, 
and the timelines for review and updates. In considering potential 
impacts, ACF did not assume significant cost reductions associated with 
these changes because programs still have requirements in the Act 
related to the community assessment.
    In a separate section of the RIA, Removal of Requirements Related 
to Data Use in Program Management, ACF quantifies savings associated 
with removing the requirement that programs conduct a community 
assessment at least once over a five-year grant period, but there are 
other non-quantifiable benefits to the proposed removal of the 
requirements in Sec.  1302.11. For instance, programs would have fewer 
Federal requirements to meet and increased flexibility with how they 
conduct their community assessment and what data they consider. While 
this change may result in more variation in the scope and breadth of 
community assessments, ACF expects programs will continue to use their 
community assessment in a way that meets statutory requirements and 
supports service delivery that is responsive to the needs of the 
community.
Impact of Changes to Recruitment of Children
    The NPRM proposes to remove current Sec.  1302.13 related to 
recruitment to avoid duplication with the Act and to give programs 
greater flexibility in how they operationalize their recruitment 
practices. Programs would no longer be required to develop and 
implement a recruitment process designed to actively inform all 
families with eligible children within the recruitment area of the 
availability of program services, use modern technologies, and include 
efforts to recruit specific populations. While there may be costs to 
children and families from the removal of the requirement that programs 
use modern technology to assist families in applying for the program or 
recruit specific populations, ACF assumes programs will incorporate 
recruitment strategies tailored to the needs of their communities.
    Although the proposed rule would remove duplicative requirements, 
many of these core requirements are in the Act. ACF does not assume 
costs or cost savings since programs will continue to comply with the 
Act.
    Non-quantifiable benefits of the removal of the requirements in 
Sec.  1302.13 include fewer Federal requirements and more discretion 
for programs in how they meet the recruitment requirements in the Act, 
including more innovation and tailored approaches to meet the needs of 
the community.
Impact of Changes to Selection Process
    This proposed rule would rescind the requirements in current Sec.  
1302.14 associated with the selection process because they are overly 
prescriptive or duplicative of the Act. Programs would not be required 
to annually establish selection criteria or abide by prescriptive 
requirements related to understanding barriers to enrollment. Programs 
could continue to consider the enrollment of children of staff members 
as part of their selection criteria, even though this standard is 
proposed for removal in this NPRM.
    Although the proposed rule would remove duplicative requirements, 
many of these requirements are in the Act, therefore ACF does not 
assume costs or savings. ACF also does not quantify the benefits 
associated with greater flexibility for programs in designing and 
implementing their selection process. Fewer requirements related to the 
selection process would reduce administrative burden for programs.
Impact of Changes to Enrollment and Attendance
    This proposed rule would streamline the ERSEA-related requirements 
into one newly proposed section, Sec.  1301.03, that would focus 
specifically on attendance and enrollment. This new section would 
require programs to track attendance for each child, consistent with 
Sec.  1302.16(a) of the current Performance Standards, to comply with 
all applicable Federal and state statutes and state regulations 
pertaining to attendance procedures when there are child safety 
concerns due to absence(s), and maintain its funded enrollment level 
and fill any vacancy as soon as possible, but not to exceed 30 days, 
aligned with Sec.  1302.15(a) of the current Performance Standards.
    One result of streamlining ERSEA-related requirements into Sec.  
1301.03 is fewer Federal requirements. With respect to enrollment 
(current Sec.  1302.14(d) and Sec.  1302.15), programs would no longer 
be required to pursue continuity in a child's enrollment for the 
following year, make efforts to maintain enrollment in a different 
service area for children in specific populations, and regularly 
examine enrollment processes to streamline the experience for families.
    With respect to attendance (current Sec.  1302.16), programs would 
no longer be required to contact a family within one hour of program 
start time for unexpected absences, use specific strategies to promote 
attendance, analyze causes of absenteeism if average monthly attendance 
falls below 85 percent, or reengage a family when a child ceases to 
attend.
    ACF does not quantify the costs or savings from these changes for 
several reasons. First, ACF expects variation in the extent to which 
programs implement these flexibilities. Second, the changes are 
duplicative of requirements in the Act, therefore ACF assumes they 
would not generate costs or savings. Third, programs must abide by all 
applicable Federal and state statutes and state regulations that apply 
to attendance procedures regarding

[[Page 51309]]

child safety concerns due to absence(s). While there may be additional 
administrative effort initially to ensure alignment with these other 
policies, ACF anticipates this would be minimal and transitional, as 
well as offset by less burden in the long term because there are fewer 
Federal requirements and less duplication.
    Non-quantified benefits of these changes include increased program 
innovation with enrollment and attendance practices and reduced 
administrative burden associated with prescriptive process-oriented 
requirements that detract from staff capacity to direct to children and 
families.
Impact of Changes to Suspension and Expulsion
    This NPRM proposes to remove current Sec.  1302.17 regarding 
suspension and expulsion to restore state and local authority. Programs 
would no longer be required to follow the process outlined in Sec.  
1302.17(a) or (b) regarding suspension and expulsion. The removal of 
these requirements at the Federal level is not an endorsement of 
suspension and expulsion as approaches to address persistent and 
serious behavioral concerns; rather, it is allowing programs to 
determine their own discipline policies, within the context of state 
and local licensing requirements, and tailored to each individual child 
and situation.
    ACF does not quantify the costs or savings of this policy change 
given expected variation across programs in their implementation and 
whether programs maintain some processes from current regulation. 
Additionally, many state licensing standards do address suspension and 
expulsion in varying ways. ACF assumes programs will resort to 
suspension or expulsion sparingly, in line with current practice, and 
given requirements to maintain full enrollment and to comply with 
applicable state licensing requirements.
    Non-quantifiable benefits include reduced administrative burden for 
programs from decreased documentation and fewer Federal requirements; 
more local control and decision-making; greater program discretion to 
establish discipline policies that balance support to individual 
children with the safety of the learning environment; reduced burnout 
for staff; and more staff capacity for classroom management and 
instruction.
Impact of Changes to Fees
    The NPRM proposes to remove Sec.  1302.18 of the current 
Performance Standards, which outlines the policy on fees. ACF does not 
quantify any costs associated with removing this requirement because it 
remains in the Act. The benefit of its removal from the standards is 
reduced duplication with the Act.
C. Estimated Impact of Education and the Learning Environment 
Provisions
    The rule includes several proposed policy changes in the design and 
implementation of education services, intended to reduce prescriptive 
Federal requirements, increase flexibility for Head Start programs, and 
improve child and family outcomes. This NPRM proposes to remove 
policies in current Subpart B--Program Structure and Subpart C--
Education and Child Development Program services, including eliminating 
Federal requirements for center-based and family child care group size 
and service duration; removing detailed requirements related to home-
based program design and implementation (e.g., maximum caseloads, 
number of home visits, number of group socializations); and removing 
per-child facility square footage requirements, and removing overly 
prescriptive requirements related to education services (e.g., teaching 
practices, organization of the learning environment, and requirements 
for naptime and daily routines). Additionally, the rule proposes to 
remove regulatory provisions that are duplicative of statutory 
requirements in the Head Start Act, including provisions related to 
program conversion, curriculum, and child screenings and assessments.
    The proposed regulations include establishing a minimum duration 
requirement for physical activity during the program day; adding a new 
requirement for English-only instruction for children's education 
services; and requiring programs to provide educational materials and 
instruction to parents demonstrating the value of healthy marriage.
    ACF does not quantify the costs or cost savings associated with 
many of these changes due to significant variation in how programs may 
choose to implement flexibilities and the absence of consistent data on 
current practices at the level of detail required for quantitative 
analysis. Programs may experience modest administrative cost savings 
from reduced recordkeeping, reporting, and compliance activities 
associated with the removal of detailed regulatory requirements. 
However, the magnitude of these savings is uncertain and likely varies 
across grant recipients depending on program structure, state 
requirements, and existing practices.
    For center-based program structure in current Sec.  1302.21, while 
ACF quantifies above the estimated cost savings associated with the 
removal of ratio requirements, we do not quantify all of the costs or 
savings associated with other proposed changes under current Sec.  
1302.21, including the removal of requirements for group size, square 
footage, and licensing. Group size and square footage requirements for 
center-based settings are interconnected with ratios; therefore, to 
avoid double-counting possible cost savings in this RIA, we do not 
quantify savings associated with the proposed removal of these 
policies. Further, many states have requirements in place for square 
footage and group size as part of licensing. Regarding licensing, the 
proposed rule would require programs to be licensed (see proposed Sec.  
1301.09(a)), whereas the current standards require center-based 
programs to meet licensing requirements. We do not anticipate a 
difference in cost associated with this policy change that we can 
quantify in this RIA. However, ACF acknowledges that there may be a 
larger role for states to play in monitoring programs per their own 
licensing standards, as previously some states may have relied on OHS 
to ensure programs met licensing requirements as part of Federal 
monitoring. More detail on licensing requirements is discussed in 
Estimated Impact of Safety and Transportation Provisions.
    The proposed changes to current Sec.  1302.21 reflected in proposed 
Sec.  1301.05 are expected to provide non-quantifiable benefits such as 
increased flexibility and local control. For example, eliminating 
Federal group size and ratio requirements will allow programs to align 
with applicable state and local licensing standards, which will reduce 
duplication and give programs more autonomy to design classroom 
structures that better reflect community needs and available resources. 
It can allow programs to increase ratios and group sizes to serve more 
eligible children in classrooms, as long as they remain compliant with 
state and local requirements and ensure children's safety. Similarly, 
reducing service duration requirements may provide programs with 
greater discretion to determine schedules that align with families' 
preferences and workforce availability. Removing per-child facility 
square footage requirements may further increase flexibility in 
facility design and space utilization and facilitate the ability to 
serve more children in a classroom, so

[[Page 51310]]

long as programs are compliant with state requirements for square 
footage.
    The proposed changes to center-based program structure requirements 
may also result in non-quantifiable costs for some families. To the 
extent that programs choose to reduce duration--annual hours or days of 
service--families may need to secure alternative child care 
arrangements, which could impose additional financial costs or lost 
work time for families. However, programs remain responsible for 
understanding the needs of their community and fully enrolling their 
programs; ACF encourages programs to consider decisions on duration 
within the context of family and community need to minimize the impact 
on families.
    Additionally, the removal of prescribed group size and ratio 
requirements could result in children receiving less individualized 
attention from teaching staff. Ultimately, the impact of these changes 
will vary and depend on program-level decisions, and local regulatory 
contexts and are therefore not separately quantified.
    Next, cost reductions associated with the removal of prescriptive 
requirements for home-based program structure in current Sec.  1302.22, 
including home visitor caseloads, service duration, and group 
socializations, are quantified earlier in the RIA. The proposed rule 
may result in changes to how programs structure and deliver home 
visiting services. The estimated reductions in personnel expenditures 
associated with these changes may reflect, in part, adjustments in the 
frequency, duration, or intensity of home visiting services. In light 
of these changes, programs may achieve efficiencies by adjusting 
service delivery models without proportionate reductions in service 
quality or effectiveness. However, to the extent that these services 
provide value to participating families, such changes may represent a 
reduction in program benefits to families. As a result, ACF considers 
the potential for a cost associated with reduced service intensity, 
which may partially offset estimated cost savings described above. 
Because these effects depend on program-level implementation decisions 
and family responses, the net impact on benefits is uncertain and is 
not separately quantified in this analysis.
    Next, ACF does not quantify all of the costs or cost savings 
associated with eliminating or revising requirements for family child 
care (FCC) program structure in current Sec.  1302.23, including group 
size, ratios, and service duration. In particular, we do not quantify 
the removal of service duration requirements, as the FCC program option 
represents a very small share of all Head Start programs (approximately 
1.3% of enrollment). Regarding group size and ratios, FCC programs will 
be required to comply with relevant state and local laws. It is 
feasible that an FCC program could yield reductions in annual operating 
costs if they choose to increase ratios or group sizes to meet state 
allowed thresholds, or if a program chooses to reduce operating hours 
(service duration) per the flexibility allowed under this proposed 
rule. However, a reduction in operating hours could have costs for 
families who may need to find alternative care or miss out on work to 
care for children. Under both the current and proposed regulations, FCC 
providers are required to be licensed. Given the continued 
applicability of state and local licensing requirements, and the 
limited scale of FCC slots, ACF expects any costs associated with this 
change to be minimal.
    Additionally, ACF expects that removing certain FCC program 
structure requirements would also result in non-quantifiable benefits 
such as increased flexibility in program design and expanded service 
capacity in some communities. For instance, if Head Start-funded FCC 
homes in a given state are allowed to have higher group sizes or ratios 
per state licensing requirements than current Head Start regulations 
allow, these FCC homes could choose to enroll more children. At the 
same time, FCC homes also have the option to maintain their current 
group size and ratios. Programs will continue to be subject to 
applicable state and local licensing requirements for group size and 
ratio in FCC homes, which provide ongoing safeguards for health and 
safety. ACF acknowledges that the proposed removal of the child 
development specialist role as quantified in analyses above may result 
in added burden on some FCC homes that depend on the support of those 
staff.
    Choices that programs make regarding structural program features 
may also influence service delivery. Current standards establish 
requirements related to staff-child ratios, group size, home visitor 
caseload limits, minimum home visit frequency, and periodic oversight 
of family child care providers. The proposed rule would defer more of 
these operational decisions to local programs or state licensing 
frameworks. This flexibility may allow programs to adjust staffing 
patterns, service duration and intensity, or delivery models in ways 
that better reflect individual family needs, local conditions, or 
resource constraints.
    ACF also does not quantify the costs associated with the 
requirement to provide a minimum duration of daily physical activity. 
Based on available information and program expectations, ACF 
anticipates that most Head Start programs already incorporate 
substantial opportunities for physical activity into daily schedules 
consistent with current best practices and the long-standing emphasis 
of Head Start on children's physical health and development. As a 
result, this proposed provision is not expected to represent a 
significant change for most programs and is therefore anticipated to be 
cost neutral or involve negligible costs. Instead, the proposed 
requirement establishes a clear and consistent minimum baseline across 
programs, ensuring greater uniformity in implementation and aligning 
with broader Federal priorities related to child health and wellness, 
including the MAHA agenda. The requirement to provide a minimum 
duration of daily physical activity may result in non-quantifiable 
benefits for enrolled children, as it would promote improved health and 
development outcomes for children, including enhanced physical fitness, 
motor skill development, and overall well-being. While many programs 
may already meet or exceed this threshold, establishing a consistent 
baseline ensures that all children have access to regular movement as 
part of their daily Head Start experience.
    ACF does not quantify a cost for proposed Sec.  1301.04(b) which 
requires snack and meal times to be structured and used as learning 
opportunities that support teaching staff-child interactions and foster 
communication and conversations that contribute to a child's learning, 
development, and socialization. While the inclusion of this regulation 
in the streamlined proposed regulations reflects the administration's 
commitment to Make America Healthy Again and ensure healthy eating is a 
core component of Head Start classrooms, the proposed requirements 
align closely enough to previous Head Start requirements that ACF 
expects they would have negligible costs or savings for programs.
    The proposed removal of prescriptive requirements in current Sec.  
1302.31 related to teaching practices, including the organization of 
the learning environment, and the structure of daily routines, 
including naptime, may result in non-quantifiable benefits. These 
changes may provide programs with greater flexibility to tailor 
instructional approaches, classroom environments,

[[Page 51311]]

and daily schedules to local needs, and the developmental needs of 
enrolled children. Programs may adopt varied approaches to implement 
teaching practices, structuring learning environments, and organizing 
routines, including naptime, which may better reflect community 
preferences and program models. This flexibility may also reduce 
administrative burden and allow staff to focus more on direct 
interactions with children. A potential non-quantifiable cost is that 
removing these requirements may lead to increased variability in 
teaching practices, learning environments, and daily routines, 
including naptime, across programs. As the standards proposed for 
removal are more about how a program structures and organizes the 
educational day and teaching practices, ACF anticipates negligible 
changes in program costs. And over half of states require a rest 
opportunity or have other requirements related to naptime in licensed 
child care settings.\17\ Further, the Act still clearly requires 
programs to support educational development of children and implement 
research-based curricula so we anticipate programs will continue many 
of these practices, but with more flexibility in implementation.
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    \17\ National Association for Regulatory Administration. (2013). 
2011-2013 Child Care Licensing Study. https://www.naralicensing.org/assets/docs/ChildCareLicensingStudies/2011-2013_child%20care%20licensing%20study.pdf.
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    Notably, this rule also proposes a new requirement to conduct all 
education to children in English. Proposed provision 1301.04(a)(1) 
specifies that if a child's native language is not English, and the 
child does not speak English, a program must prioritize teaching 
English to the child. Under the proposed regulations in Sec.  
1301.17(d), an Indian Head Start agency would not be subject to Sec.  
1301.04(a) so long as the language being spoken in the tribal program 
relates to the furtherance of tribal heritage. This proposed policy 
change aligns with E.O. 14224 and reflects Secretarial and ACF 
priorities.
    Non-quantifiable benefits of this proposed policy may include 
increases in children's English language acquisition, particularly for 
children who are non-native speakers of English, which may facilitate 
enhanced participation in English-language classrooms in kindergarten 
and beyond. Earlier English proficiency may also support communication 
with broader community systems and may contribute to longer-term 
educational and economic opportunities. In addition, a uniform English-
language approach may simplify curriculum implementation, staff 
training, and classroom practices, and may reduce the need for 
additional instructional materials or specialized language supports in 
some settings.
    ACF quantifies costs associated with this proposed requirement 
above. ACF recognizes that English-only instruction may result in 
additional costs or burden for programs serving a greater share of dual 
language learners or operating in predominantly non-English-speaking 
communities, such as Puerto Rico and certain communities in Migrant and 
Seasonal Head Start programs. While the proposed change may promote 
English language acquisition and consistency in service delivery, it 
may also involve tradeoffs related to access to services.
    As referenced in the preamble, the proposed regulations for Sec.  
1301.06(a) would require center-based and family child care programs to 
structure education and child development services to recognize 
parents' roles as children's primary teachers and nurturers. This 
change aligns with current regulations (Sec.  1302.34(a)) so there are 
no anticipated changes in impact. The proposed regulations for Sec.  
1301.06(b) require programs to implement strategies to engage parents 
and family members in their children's learning and development and 
support parent-child relationships, including specific strategies for 
father engagement, and provide educational material and instruction 
that demonstrates healthy marriage as a positive good. While the 
proposed regulations add a specific emphasis on engaging fathers and on 
providing educational material and instruction that demonstrates the 
value of healthy marriage, overall, the proposed regulations would 
greatly reduce the specificity in requirements for parent and family 
engagement, which may allow programs to adopt more individualized and 
locally responsive approaches to engaging families. ACF does not 
anticipate that the specific requirement to develop strategies to 
engage fathers or to provide educational material and instruction on 
healthy marriage will result in significant additional costs for 
programs, given the strong emphasis programs already have on engaging 
with and supporting parents and families, including through the use of 
parenting curricula.
    Non-quantified benefits of the proposed changes to family 
engagement standards might also include increased local autonomy and 
the ability for programs to tailor services to the specific needs of 
their communities and families. Reduced administrative burden may allow 
staff to dedicate more time to direct services for children and 
families, including more flexible and responsive approaches to 
partnering with families in their child's education. ACF anticipates 
that the proposed requirement to provide educational materials and 
instruction demonstrating the value of healthy marriage would be well 
received by many programs and families, offering another source of 
information and support for families. This proposed requirement may 
introduce implementation challenges for some programs if certain 
families are less receptive to the content.
    Finally, the proposed removal of regulatory provisions that 
duplicate statutory requirements is intended to clarify expectations 
and reduce redundancy for programs without altering underlying 
obligations. For example, the rule proposes to remove regulatory 
provisions related to the conversion of Head Start Preschool slots to 
Early Head Start slots because these requirements are duplicative of 
those already specified in the Act (Sec. 645(a)(5)(A)). As such, ACF 
does not anticipate any substantive changes to program operations or 
decision-making processes related to conversion of slots.
    The rule also proposes to remove detailed regulatory requirements 
related to child screenings and assessments, while retaining the core 
statutory requirements in the Act, including requirements related to 
the referral and support of children who may be or are eligible for 
services under IDEA (see sections in this rule on Services for Children 
with Disabilities for more details). Reducing prescriptive Federal 
requirements would provide programs with greater flexibility to conduct 
screening and assessment on the timeline that accounts for families' 
readiness. This may also reduce administrative burden on staff and 
allow staff to focus more on instruction, as well as using assessment 
data to support children's development. At the same time, removing 
detailed requirements may lead to increased variability in how and when 
children are screened and assessed. Notably, programs still have the 
flexibility to conduct screenings early in the program year if desired, 
as well as to determine the frequency with which to conduct assessments 
of children's developmental progress. Overall, while these changes may 
introduce variability in implementation, ACF anticipates that the 
flexibility for programs in the proposed regulations would yield 
important benefits for programs, staff, children, and families.
    Overall, ACF expects the proposed changes related to the teaching 
and

[[Page 51312]]

learning environment to reduce administrative burden, enhance program 
flexibility, and support more locally responsive service delivery. 
Program enrollees would benefit from programs having much more 
flexibility to design their services in a way that best meets 
individual needs and supports strong outcomes for children and 
families. Finally, ACF expects that programs may be able to serve 
additional enrollees in Head Start with cost savings garnered in other 
areas (e.g., higher ratios or group sizes; reduced duration).
D. Estimated Impact of Health and Nutrition Provisions
    This NPRM proposes several policy changes related to health and 
nutrition services. The impact of removing Federal requirements to 
conduct health determinations, assist families in navigating health 
systems, facilitate access to health care and insurance, conduct tooth 
brushing activities, and provide monthly mental health consultation 
have been quantified earlier in this RIA. However, several other 
requirements in current 1302 Subpart D, including the requirement to 
maintain a Health and Mental Health Services Advisory Committee, obtain 
advance authorization for health, mental health, and developmental 
procedures, and requirements related to family support services for 
health and mental health are proposed for removal because they are 
overly prescriptive. These changes have not been quantified in this RIA 
because ACF assumes many programs may continue aligning with current 
practice and therefore the rescission of these policies would not bear 
a significant cost to programs.
    Many of the nutrition service requirements in existing Sec.  
1302.44 are proposed for removal because they are overly prescriptive 
or duplicative with requirements in the Act and therefore assumed to be 
cost negligible. The proposed rule introduces a new requirement for 
programs to serve children nutrient dense, whole foods that are 
compatible with a healthy and nutritious diet or, where applicable, 
provide an opportunity for infants to be served breastmilk during the 
day. This proposed change aligns with the administration's MAHA agenda 
by emphasizing the critical role of health and nutrition in early 
childhood development. Given Head Start's longstanding emphasis on 
supporting children's health and nutrition as a core component of 
program services, ACF expects that many programs already align with 
this proposed requirement and therefore we do not anticipate this 
policy change would result in significant additional costs for 
programs.
    Lastly, the proposed rule clarifies that programs must collaborate 
with parents to promote children's health and well-being by addressing 
discussion topics, including the importance of physical activity and 
healthy eating and the negative health consequences of sugar-sweetened 
beverages and grain-based desserts--a clarification on parent 
collaboration that we assume to be cost negligible for programs.
    Collectively, these changes would reduce administrative burden and 
provide programs greater flexibility in designing and implementing 
health and nutrition services that best meet their communities' needs, 
while still underscoring these services as a core component of Head 
Start programs. Although the proposed rule would remove several 
prescriptive regulatory requirements related to health, oral health, 
and mental health service delivery, programs would retain discretion 
regarding how these services are structured, subject to statutory 
requirements and other applicable Federal or state laws. In communities 
where Head Start has historically played a substantial role in 
facilitating health care access, reductions in program-facilitated 
services could have implications for families, depending on the 
availability of alternative health services. Importantly, non-
quantified benefits of requiring programs to serve nutrient dense, 
whole foods include improved nutrition for children, which can enhance 
dietary quality, support healthy growth, and reduce the risk of obesity 
and diet-related conditions.\18\ Improved nutrition is also associated 
with better attention, behavior, and school readiness.\19\ 
Additionally, early exposure to whole foods may promote healthier long-
term eating patterns.\20\
---------------------------------------------------------------------------

    \18\ Larruy-Garc[iacute]a, A., Mahmood, L., Miguel-Berges, M.L., 
Masip, G., Seral-Cort[eacute]s, M., De Miguel-Etayo, P., & Moreno, 
L.A. (2024). Diet quality scores, obesity and metabolic syndrome in 
children and adolescents: A systematic review and meta-analysis. 
Current Obesity Reports, 13(4), 755-788. https://doi.org/10.1007/s13679-024-00589-6.
    \19\ Brki[cacute], D., Concetti, C., R[eacute]mond-Derbez, N., & 
Hauser, J. (2026). Relationship between nutrition, brain, cognition, 
learning, and behavior in school-age children: Systematic evidence 
and future opportunities. Nutrition Reviews. Advance online 
publication. https://doi.org/10.1093/nutrit/nuaf280.
    \20\ Nansel, T.R., Channell-Doig, A., Lipsky, L.M., Burger, K., 
Shearrer, G., Siega-Riz, A.M., & Ma, Y. (2024). Prospective 
associations of infant food exposures and appetitive traits with 
early childhood diet quality. The International Journal of 
Behavioral Nutrition and Physical Activity, 21(1), 143. https://doi.org/10.1186/s12966-024-01686-4.
---------------------------------------------------------------------------

E. Estimated Impact of Safety and Transportation Provisions
    The proposed rule streamlines safety and transportation 
requirements by removing duplicative Federal requirements found in 
current Sec.  1302.47 (safety practices) and Sec. Sec.  1303.70-1303.75 
(transportation). This includes the proposed removal of safety 
requirements related to facilities, equipment and materials, background 
checks, safety training, hygiene practices, administrative safety 
procedures, and disaster preparedness. Similarly, transportation 
requirements related to vehicles, vehicle operation, trip routing, 
safety procedures, and transportation of children with disabilities are 
proposed for removal. Instead, the proposed rule would require that 
programs be licensed by their state, tribal, or local entity and comply 
with all relevant Federal and State statutes. If exempt from licensing, 
programs must meet CCDF basic health and safety requirements. Based on 
available data on licensing status, ACF estimates that approximately 26 
percent of Head Start service locations are not licensed under state 
child care licensing requirements. These locations commonly include 
programs that are license-exempt, operating under public school or 
local education agency authority; home-based, home visiting, or other 
non-center-based service models; and sites licensed, permitted, or 
overseen through another authority or partner rather than through the 
standard state child care licensing process. Smaller shares reflect 
Tribal programs, alternative oversight structures, sites that are 
closed or not yet operational, and locations in the process of 
obtaining or renewing licensure. ACF assumes that state licensing 
requirements and CCDF basic health and safety requirements are largely 
duplicative of existing safety and transportation requirements and 
therefore we do not quantify a cost associated with this policy change. 
Further, these proposed changes do not represent a reduced emphasis on 
ensuring the safety of children in Head Start programs; rather, these 
changes would reduce burden on programs that are currently required to 
meet multiple sets of overlapping statutory and regulatory requirements 
related to child safety. By requiring programs to be licensed and to 
comply with all applicable Federal, state, and local laws and 
regulations, the proposed regulatory framework would still ensure the 
safety of children.
    Although the proposed rule would remove duplicative Federal 
requirements related to safety and

[[Page 51313]]

transportation, many of these requirements will continue to be required 
by state or local regulation and programs will retain discretion to 
implement safety practices that exceed these requirements. Non-
quantifiable benefits of streamlining the current safety and 
transportation requirements include making requirements less burdensome 
and complicated for programs to implement and ensuring programs can 
easily identify the set of safety and transportation requirements they 
should adhere to. Although the proposed provisions reduce the level of 
specificity currently required, programs would continue to bear the 
responsibility and obligation to ensure children's health and safety.
F. Estimated Impact of Services for Children With Disabilities 
Provisions
    The proposed rule maintains protections for services for children 
with disabilities by requiring programs to comply with all applicable 
Federal and state statutes and regulations regarding providing services 
for children with disabilities. Although the requirements in current 
1302 Subpart F, including requirements related to additional services 
for children with disabilities and their parents, are proposed for 
removal, ACF assumes this change would not generate significant cost or 
cost savings for programs because the core requirements that pertain to 
services for children with disabilities remain in the Act and will 
still apply to programs.
    The proposal to replace current 1302 Subpart F with a requirement 
to comply with all applicable Federal and state statutes and 
regulations regarding providing services for children with disabilities 
is intended to reduce duplication of regulations while still 
maintaining the protections required for children with disabilities. 
The proposed changes would provide programs with additional flexibility 
to carry out these requirements in a way that best meets the needs of 
enrolled families as long as they are compliant with all other state 
and Federal laws and regulations. This flexibility may also enable 
programs to allocate resources more efficiently while maintaining 
compliance with applicable laws and regulations.
G. Estimated Impact of Services for Pregnant Women Provisions
    This NPRM proposes to streamline requirements for providing 
services to pregnant women, while still ensuring programs provide 
important support to pregnant and postpartum women. Many of the 
requirements in current Sec. Sec.  1302.80-82 are proposed for removal, 
including the requirement to conduct health care determinations and 
facilitate access to health insurance for pregnant women, which have 
already been quantified earlier in this RIA (see Health and Mental 
Health Services). Other regulations proposed for removal include the 
requirement to provide services that help reduce barriers to healthy 
maternal and birthing outcomes; ACF assumes this has nominal cost 
savings and would decrease administrative burden for programs. In 
addition, the proposed rule removes detailed requirements on family 
partnership services for enrolled pregnant women because these 
requirements are duplicative of the Act and therefore do not represent 
a substantive change that would result in associated costs.
    The NPRM also proposes to remove the requirement for programs to 
track all services provided to enrolled pregnant women. Removal of this 
requirement would result in nominal cost savings to programs as 
overarching requirements to track services are retained through the 
Act. Programs would benefit from reduced administrative burden and 
prescriptive regulations. While this change may result in less formal 
documentation, ACF expects programs would continue to provide 
responsive and comprehensive services to enrolled pregnant and 
postpartum women.
    Newborn visits will remain required, however, the NPRM proposes to 
remove the requirement that visits occur within two weeks of birth. ACF 
assumes the additional flexibility in scheduling the newborn visit 
would be cost neutral for programs and therefore we do not quantify its 
impacts in this RIA. Non-quantifiable benefits associated with removing 
the specified timeframe for newborn visits include increased 
flexibility for programs and families to schedule visits at a time 
convenient for them. ACF acknowledges that this flexibility may result 
in increased variability in when programs schedule newborn visits. ACF 
encourages programs to schedule visits as early as possible while 
leveraging the additional flexibility provided by this policy change to 
meet the needs of the families served.
H. Estimated Impact of Family Engagement and Program Transition 
Provisions
    The proposed rule includes requirements related to family 
engagement in education and child development services and family 
support services for health and nutrition, which are discussed in 
further detail in the education and health and nutrition sections. 
Additionally, this proposed rule rescinds provisions under current 1302 
Subpart E--Family and Community Engagement Program Services and 1302 
Subpart G--Transition Services to reduce duplication with the Act. 
Because requirements for family and community engagement and transition 
services remain under the Act, this change is not quantified as ACF 
does not anticipate behavior change that would result in substantial 
costs or cost reductions.
    Non-quantified benefits of rescinding provisions under current 1302 
Subpart E--Family and Community Engagement Program Services include 
increased flexibility for programs in conducting family needs 
assessments. Since specific requirements under the current regulations 
would no longer apply, this proposed rule provides programs with the 
flexibility to implement services such as family needs assessments 
based on the needs of the community the program serves and 
differentiate based on the strengths and needs of individual families. 
Without the caseload requirements, programs will have the flexibility 
to distribute caseloads to family service workers in ways that align to 
the needs of families being served and the program's capacity. For 
example, a family service worker could take on a higher caseload of 
families with fewer identified needs, and another family service worker 
could take on a lower caseload of families with more identified needs. 
This proposed revision may also benefit programs that have workforce 
challenges such as recruiting and training family service workers.
    Additionally, programs would have flexibility in how they 
operationalize their community engagement efforts, such as coordination 
with public and private entities as long as they meet the requirements 
outlined in the Act. Programs would continue to have flexibility in 
participating in state or local QRIS and data sharing agreements, these 
optional regulations have been removed to reduce regulatory burden. 
Non-quantified benefits of rescinding provisions under current 1302 
Subpart G--Transition Services include increased flexibility for 
programs in supporting children and families in their educational 
transitions. Programs would be able to identify ways to structure their 
transition practices that best suit the needs of the children, 
families, and community. Additionally, fewer requirements around 
transition services would reduce administrative burden for programs.

[[Page 51314]]

I. Estimated Impact of Management Systems and Administrative Cost 
Provisions
    The proposed changes in this NPRM related to management systems 
would rescind current requirements in 1302 Subpart I-Human Resources 
Management, 1302 Subpart J-Program Management and Quality Improvement, 
and 1303 Subpart A-Financial Requirements. These would be replaced with 
proposed Sec.  1301.12 (Personnel and records policies), proposed Sec.  
1301.13 (Program goals, continuous improvement, and reporting), and 
proposed Sec.  1301.14 (Limitations on administrative costs).
    With the exception of the proposed administrative cost cap, the 
proposed regulations largely align with existing requirements and 
represent a continuation of current practice. As such, they are not 
expected to result in significant new costs or benefits.
    In addition to previously identified cost reductions- such as those 
associated with the proposed removal of staff qualification 
requirements, coaching requirements, staff break requirements, and 
certain data use requirements in program management, as well as 
reducing allowable administrative costs--the policies proposed for 
removal are expected to provide overall benefits by increasing 
flexibility for programs. Many core requirements are retained either in 
the proposed regulations or in statute.
    The proposed removal of requirements related to written personnel 
policies, background checks, and standards of conduct is expected to 
reduce administrative burden and improve efficiency. These requirements 
often overlap with existing Federal, state, local, and Tribal 
requirements. For instance, under state licensing requirements and the 
Act, programs would still be required to have background checks for 
staff. Eliminating duplicative Federal requirements allows programs to 
align more directly with applicable local and state policies. While 
this increased flexibility provides clear, though unquantifiable, 
benefits, ACF recognizes that it may also create some uncertainty about 
applicable requirements. ACF intends to issue additional guidance in 
the future to maintain clarity for grant recipients.
    Eliminating dual language learner communication requirements has 
staffing cost implications that intersect with the costs described in 
the section on One-Time Costs with Requirement for English-Only 
Instruction. At the same time, this change introduces additional 
staffing flexibility that is not easily quantifiable. Given ongoing 
workforce shortages, programs may benefit from being able to hire staff 
who do not speak specific languages, increasing their ability to fully 
staff classrooms and serve more children and families. However, ACF 
acknowledges that reduced language capacity may negatively affect 
communication with non-English speaking families and weaken family 
engagement. Technology-based translation tools may help mitigate some 
of these impacts.
    The removal of staff health, mental wellness, and break 
requirements is expected to reduce scheduling complexity and short-term 
staffing costs by allowing programs greater flexibility in staffing 
patterns. ACF recognizes that these provisions can support staff 
retention and improve workplace conditions, and programs may choose to 
continue such practices where feasible. At the same time, such 
requirements are overly prescriptive and unnecessary at the Federal 
level. Removing the Federal requirements would allow programs to 
prioritize service delivery with greater flexibility, particularly in 
the context of broader changes to staff qualification requirements.
    Removing Federal requirements related to initial health 
examinations and communicable disease screening reduces administrative 
burden for programs. Though many state and local regulations already 
require staff health screenings and programs retain responsibilities 
for ensuring the health and safety of children enrolled in their 
program, ACF expects that programs are likely to continue some of these 
practices.
    Proposed changes to volunteer requirements provide programs with 
greater flexibility in how volunteers are used. Programs must still 
comply with applicable state, Tribal, and local laws regarding 
communicable disease screening, and in most cases, criminal background 
checks will still be required for individuals involved in the care or 
supervision of children through licensing requirements. These changes 
may allow programs to more effectively use volunteers during high-need 
times, such as transitions or peak supervision periods. ACF recognizes 
that programs not subject to licensing requirements may have greater 
flexibility, which could introduce some risk. However, all programs 
remain responsible for ensuring child safety, and ACF encourages 
programs to maintain appropriate safeguards when utilizing volunteers.
    Current requirements related to management systems, monitoring, 
coordinated approaches, goal-setting, continuous improvement, and 
reporting can be resource-intensive for programs. These often require 
dedicated administrative staff, data systems, and compliance processes, 
and are sometimes experienced by programs as duplicative or 
burdensome--particularly with respect to data collection, monitoring, 
and reporting. Streamlining these requirements, while retaining key 
elements in statute and regulation, is expected to reduce 
administrative burden and allow programs to operate more flexibly and 
responsively to community needs. However, ACF recognizes that reduced 
specificity in Federal requirements may lead to greater variability 
across programs.
    Finally, the proposed removal of 1303 Subpart A-Financial 
Requirements would primarily eliminate provisions that duplicate 
statutory and other Federal requirements. As such, this change is not 
expected to result in meaningful costs or benefits for program 
implementation. Impacts related to administrative cost limitations are 
discussed separately in Sections E (Reduction of Allowable 
Administrative Costs from 15 Percent to 5 Percent) and F (Additional 
Considerations Affecting Administrative Costs).
J. Estimated Impact of Changes to Designation Renewal, Monitoring, 
Suspension, and Appeals
    To provide context for the potential impacts of the proposed 
changes for DRS conditions, ACF reviewed recent DRS cohort data on 
agencies subject to open competition or Tribal consultation. Based on 
available OHS data from the fiscal year 2024 and 2025 DRS cohorts of 
grant recipients, approximately 13 percent of Head Start grants in 
those cohorts (132 of 1,038 grants) were designated for competition or 
Tribal consultation. Of those agencies, approximately 74 percent (97 of 
132 grants) were designated for competition based on two or more 
deficiencies only, approximately 12 percent (16 of 132 grants) based on 
CLASS only, and approximately 5 percent (6 of 132 grants) based on both 
deficiencies and CLASS. The remaining 10 percent (13 of 132 grants) 
were identified for competition based on fiscal findings, including 
nine with two or more audit findings, one with questioned costs, and 
three with a going concern. Of those 13 grants, three also met the 
deficiency condition. No grants were required to compete due to 
debarment from receiving Federal or State funds or disqualification 
from the CACFP. These data provide context on the baseline frequency 
with which agencies meet

[[Page 51315]]

one or more designation renewal conditions under the current regulatory 
framework.
    ACF notes important limitations in the availability and 
comparability of audit-related information used for designation renewal 
purposes. In particular, data on the ``two or more audit findings'' 
condition are limited due to the timing of DRS implementation in 2020, 
audit submission timelines, and temporary extensions related to the 
prior COVID-19 public health emergency. As a result, fiscal year 2025 
represents the first year in which OHS was able to review more than one 
audit for most grants, limiting the ability to fully assess baseline 
conditions related to this DRS criterion.
    To provide additional context on classroom quality measures, 
approximately 93 percent of Head Start grants that received a CLASS 
review during fiscal years 2024 or 2025 met or exceeded applicable 
CLASS: Pre-K thresholds, while approximately 7 percent fell below one 
or more threshold levels and were therefore designated for competition 
due to this criterion. The proposed rule would remove the requirement 
to use CLASS: Pre-K as the sole measure of classroom quality and 
eliminate the associated thresholds, while maintaining the statutory 
requirement to assess classroom quality using a valid and reliable 
observational instrument. Although ACF anticipates continuing to use 
CLASS: Pre-K for the foreseeable future, this change provides 
flexibility to incorporate additional or alternative measures over 
time. ACF does not quantify the possible effect of this change on 
future designation renewal outcomes, as it will depend on future policy 
decisions regarding measurement approaches and thresholds, as well as 
program performance.
    Under the current regulatory framework, fiscal conditions related 
to going concern risk and audit findings are combined into a single 
designation renewal condition. The proposed regulation would separate 
these into two independent conditions, such that an agency meeting both 
criteria would now meet two distinct DRS conditions rather than one. 
This change is structural in nature and is not expected to 
independently affect the number of agencies subject to competition, as 
designation renewal outcomes depend on the interaction of multiple 
conditions and future program performance.
    More broadly, the proposed rule maintains ACF's statutory 
monitoring responsibilities under section 641A(c) of the Act, including 
the requirement to conduct monitoring reviews and identify deficiencies 
where applicable. However, ACF anticipates that implementation of the 
proposed regulatory framework may require updates to monitoring 
protocols, tools, and guidance to align with the proposed structure of 
regulatory requirements. While these updates may influence how 
designation renewal conditions are assessed in practice, ACF cannot 
predict or quantify how competition outcomes may change until 
monitoring protocols are aligned with a final rule. Accordingly, ACF 
does not quantify costs associated with these updates, as they reflect 
internal process adjustments and variation in implementation.
    With respect to enforcement actions, available data indicate that 
program suspensions and terminations (and thus appeals) are a 
relatively rare outcome and reflect a high threshold for intervention. 
For example, ACF understands approximately two agencies over the past 
two years have been subject to suspension actions. The proposed rule 
would not alter ACF's statutory authority to issue suspensions or 
terminations; rather, it would remove duplicative regulatory language 
while preserving all underlying statutory requirements and enforcement 
mechanisms. As a result, ACF does not quantify changes in suspension 
outcomes or appeals procedures in this RIA, as these actions are driven 
by serious or systemic program concerns and are expected to remain 
infrequent under the proposed regulatory framework.
K. Estimated Impact of Tribal Program Provisions
    The proposed rule would reorganize and streamline requirements 
specific to Tribal Head Start programs into Sec.  1301.17, aligning 
regulatory text more closely with statutory provisions in the Head 
Start Act. The proposed section reiterates existing statutory 
requirements related to designation, eligibility, and the DRS, and 
clarifies processes for Tribal program governance, including the 
designation of alternative agencies in cases of relinquishment, 
termination, or denial of refunding. The rule also introduces a new 
provision proposing to exempt Tribal programs from the English-only 
requirement in proposed Sec.  1301.04(a) when language use is in the 
Tribal program is related to the furtherance of Tribal heritage. In 
addition, several regulatory provisions specific to Tribal 
flexibilities are proposed for removal because they are either 
duplicative of statute or no longer necessary due to broader 
flexibilities that would be extended to all programs under this NPRM.
    ACF does not quantify the costs or cost savings associated with 
these changes in this RIA. The proposed rule primarily reorganizes, 
clarifies, or removes duplicative regulatory text rather than 
introducing new substantive requirements. As such, ACF does not 
anticipate significant additional costs for Tribal programs specific to 
the proposed regulations in Sec.  1301.17. To the extent that programs 
experience administrative efficiencies from streamlined regulations or 
reduced duplication, any associated cost savings are expected to vary 
and are not readily quantifiable. Non-quantified benefits of these 
proposed changes may also include improved clarity and accessibility of 
requirements specific to Tribal programs. Consolidating Tribal 
provisions into a single section may reduce administrative complexity 
and support more consistent understanding of applicable requirements 
among Tribal grant recipients. Aligning regulations more closely with 
statutory language may also reduce confusion and support more efficient 
program administration. Additionally, the removal of Tribal-specific 
regulatory flexibilities that are no longer necessary--because similar 
flexibilities are extended to all programs--may promote greater access 
across Head Start grant recipients while maintaining longstanding 
statutory flexibilities unique to Tribal programs. Tribal programs will 
continue to benefit from statutory provisions that support self-
determination, including flexibility in eligibility criteria, service 
delivery, and resource allocation.
    However, Tribal programs may incur minor, short-term administrative 
costs to update policies, procedures, and training materials to reflect 
the reorganized regulatory structure. The removal of certain Tribal-
specific regulatory provisions may reduce regulatory specificity, which 
could create some initial uncertainty or require additional technical 
assistance as programs interpret how flexibilities apply under the 
proposed framework. To the extent that the rule provides less detailed 
procedural guidance, programs may also rely more on statutory language 
or Federal guidance, which could require additional administrative 
effort in certain circumstances. ACF anticipates that these costs are 
expected to be minimal and transitional in nature.
    Overall, while the benefits of these proposed provisions are not 
readily quantifiable, ACF expects the proposed changes to improve 
regulatory clarity, reduce administrative burden, and support Tribal 
sovereignty and

[[Page 51316]]

culturally responsive service delivery, while maintaining all 
applicable statutory protections and flexibilities for Tribal Head 
Start programs.
L. Estimated Impact of Program Flexibility Provisions
    The proposed rule introduces increased program flexibility through 
a broad waiver provision. ACF acknowledges that increased program 
flexibility in the proposed rule may produce unquantified costs or cost 
reductions associated with variation in program implementation across 
local programs. In 2025, ACF issued approximately 1,000 waivers--some 
to the same programs--on a variety of topics where waivers are 
allowable under statute or current regulations. Common waivers include 
Head Start Preschool teacher qualification requirements, the 10% 
disability requirement, transportation, and non-Federal share. Each 
waiver is carefully reviewed by ACF staff to determine if the program 
meets the requirements. Waiver rates vary based on leadership 
priorities and changes in communities served by Head Start. ACF 
anticipates that, in the future, waiver requests and approval rates 
would continue to fluctuate based on these factors under the proposed 
regulations. ACF invites public comment on which proposed regulations 
programs may be most likely to request a waiver for, while 
understanding that waivers are not allowable for the proposed 
requirements related to nutrition, physical activity, and eligibility 
and that ACF would ultimately determine which waivers to approve based 
on the specific circumstances and evidence presented in a program's 
individual request.
    Non-quantified benefits of the proposed waiver provision in Sec.  
1301.18 include reduced burden on programs, if a particular proposed 
regulation presents undue burden for a program to comply with. The 
proposed waiver provision can also allow programs to modify service 
delivery with increased flexibility to meet local community needs or 
maximize resources for direct service delivery. As a result, the 
proposed rule could generate potential benefits such as innovation in 
service delivery, improved alignment with local needs, or reduced 
administrative costs.

Transition and Implementation Considerations

    In addition to the ongoing cost changes described above, programs 
may incur one-time administrative costs associated with adjusting, 
transitioning to, and implementing the proposed regulatory framework. 
These transition activities may include reviewing and understanding the 
final rule and applicable statutory requirements, determining how 
requirements continue to apply under the proposed framework, updating 
written program policies, revising internal guidance documents, 
modifying eligibility verification procedures, and providing staff 
orientation or training on the updated requirements. Programs may also 
review and update governance procedures, service delivery protocols, 
and administrative documentation to align with the proposed regulatory 
changes.
    To account for these impacts, we adopt an assumption that each Head 
Start agency would spend a total of 24 to 56 hours per agency (with a 
primary estimate of 40 hours), spread across directors, education 
managers, disability managers, health managers, and other management 
staff to review and understand the final rule, align requirements 
across statute and regulation, update program policies and procedures, 
and provide staff orientation as needed. The primary estimate of 40 
hours per agency is intended to capture not only policy and procedural 
updates, but also the administrative burden associated with 
interpreting and implementing the proposed framework, including 
understanding requirements that continue to apply through statute. This 
analysis assumes 8 hours of time spent per management staff member, 
with the primary estimate assuming 5 management staff members, the low 
estimate assuming 3 management staff members, and the high estimate 
assuming 7 management staff. To value the time spent on these 
activities, we adopt a fully loaded hourly wage of $41.81 per hour, 
reflecting a mix of wages across several roles. The hourly compensation 
rate applied in this analysis is based on the BLS Occupational 
Employment and Wage Statistics for Education and Childcare 
Administrators, Preschool and Daycare (SOC 11-9031), May 2025 mean 
hourly wage of $31.15, from which this analysis applies a 2 percent 
inflation adjustment to express the estimate in constant 2026 dollars, 
resulting in a mean hourly wage of $31.77. We then apply a 24 percent 
adjustment to account for fringe benefits, resulting in $41.81 per 
hour. We assume that this impact will primarily occur in the first year 
of the time horizon of our analysis, and thus we do not adjust these 
upwards to account for other provisions of the proposed rule. For each 
Head Start agency, this results in an estimated cost of $1,003.36 to 
$2,341.17 (primary estimate: $1,672.26).
    Across nearly 1,526 Head Start agencies, we estimate the total one-
time transition impact to range from $1.5 million to $3.6 million 
(primary estimate: $2.6 million), all occurring in 2027. These 
estimates reflect limited administrative adjustments rather than the 
development of new systems or program structures. In addition, ACF 
intends to issue sub-regulatory guidance to clarify the relationship 
between statutory requirements and the proposed regulatory framework, 
which is expected to reduce uncertainty and minimize the level of 
effort required by grantees to understand and interpret the policy 
changes. After the first year of implementation, ACF estimates there 
may be future cost savings over time as programs have fewer Federal 
requirements to understand, interpret, and implement.
[GRAPHIC] [TIFF OMITTED] TP07AU26.042


[[Page 51317]]



Distributional Effects

    Consistent with Office of Management and Budget Circular A-4, this 
section evaluates how the proposed regulatory changes may 
differentially affect subpopulations of children, families, staff, and 
communities. The proposed rule would primarily modify regulatory 
requirements governing program operations and increase local program 
flexibility while introducing certain new eligibility and instructional 
provisions.

Workforce and Geographic Effects

    Several provisions of the proposed rule may influence workforce 
demand within Head Start programs. First, the proposed removal of 
Federal staffing ratio requirements, family service worker caseload 
limits, the child development specialist role, and certain service 
frequency requirements may reduce demand for specific staff roles 
depending on program implementation decisions.
    Workforce effects are expected to vary by location and program type 
depending on local implementation choices, labor markets, and state 
regulatory requirements. Programs that maintain current staffing 
structures may experience minimal workforce changes, while others may 
adjust staffing models to align with proposed operational flexibility.
    The projected cost savings in prior sections of the RIA reflect 
lower expenditures to serve the same number of children with fewer 
staff. For example, under the removal of the ratio requirement, the 
primary scenario reflects a 50 percent realization of the estimated 
reduction, corresponding to approximately $668 million in reduced 
costs. (This estimate preliminarily omits transition costs to workers 
who experience employment disruption.\21\ ACF invites comment that 
would facilitate estimation of the number of workers experiencing these 
costs.)
---------------------------------------------------------------------------

    \21\ Bartik, T.J. (2015), The social value of job loss and its 
effect on the costs of U.S. environmental regulations, Review of 
Environmental Economics and Policy, 9(2): 179-197. Kuminoff, N.V., 
Schoellman, T., & Timmins, C. (2015), Environmental regulations and 
the welfare effects of job layoffs in the United States: A spatial 
approach, Review of Environmental Economics and Policy, 9(2): 198-
218.
---------------------------------------------------------------------------

    Without a family service worker caseload requirement, we anticipate 
that many programs would revert toward staffing patterns that were in 
place prior to implementation of this requirement. However, the effects 
are expected to vary at the local level because programs currently have 
a wide range of family service worker caseloads relative to funded 
enrollment. Even when looking only at quartile ranges, programs range 
from approximately 25 to 50 funded slots per family service worker, 
which reflects a narrower measure yet still demonstrates substantial 
variation across programs.
    Second, the proposed changes to administrative cost limits may have 
workforce implications depending on programs' organizational structure. 
Smaller or single-site programs may have fewer opportunities to 
distribute fixed administrative costs across multiple sites or funding 
streams, while larger multi-site agencies may have greater capacity to 
centralize administrative functions and realize economies of scale. 
States with the largest number of entities that have fewer than 200 
funded slots include New York, Texas, California, Pennsylvania, and 
North Carolina. Approximately 14 percent of grants report only one 
service location, spanning 42 states, the District of Columbia, and 
Puerto Rico. States with the largest share of single-site grants 
relative to total service locations include Wyoming, New Mexico, 
Alaska, Connecticut, Montana, Nebraska, and Kansas, where single-site 
grants represent approximately 5 to 10 percent of all service 
locations.
    There are also geographic factors that could contribute to 
distributional effects. Because the proposed rule would defer more 
extensively to state licensing and policy frameworks in areas such as 
staff-child ratios, group size, and health and safety requirements, 
distributional effects may vary across states. In states where 
licensing requirements permit higher ratios or larger group sizes than 
current Federal standards (proposed for removal), programs may modify 
staffing patterns consistent with state requirements. In states with 
licensing requirements that are comparable to, or more stringent than, 
current Federal standards, program operations may change little. In 
particular, in states where licensing allows higher ratios there may be 
relatively larger reductions in staff expenses, while in states with 
lower ratios, the effect on staffing levels is expected to be more 
limited.

Federal Effects on Children and Families

Eligibility and Enrollment Requirements
    Changes to recruitment procedures, wait list management, and 
reserved slot provisions may also affect enrollment patterns. Programs 
will retain discretion in how they prioritize recruitment and 
enrollment within statutory eligibility requirements. As a result, 
participation patterns may vary across communities depending on local 
implementation decisions.
Suspension and Expulsion Policies
    The removal of Federal regulatory prohibitions on expulsion and 
limitations on suspension increases local program discretion in 
responding to behavioral concerns. Programs may adopt different 
behavioral management approaches under the proposed framework.
Program Duration and Intensity
    The reduction of Federal minimum service duration requirements for 
Head Start Preschool and the removal of prescriptive home-based service 
requirements will allow programs to modify program schedules or service 
delivery intensity if desired. Effects may vary across communities 
depending on local labor market conditions, parental employment 
patterns, and the availability of alternative early childhood programs 
in communities where Head Start programs choose to reduce hours of 
operation. The additional flexibility from these proposed policy 
changes may also allow programs to reallocate staff time or resources 
toward locally prioritized activities, potentially improving service 
alignment with community needs.
Health and Mental Health Services
    The proposed rule would remove several prescriptive regulatory 
requirements related to health, oral health, and mental health service 
delivery. Programs will retain discretion regarding how these services 
are structured, subject to statutory requirements and other applicable 
Federal or state laws.

Overall Distributional Considerations

    Taken together, the proposed regulatory changes would increase 
local flexibility and reduce Federal prescriptiveness. These changes 
are expected to result in shifts in the composition of children and 
families accessing Head Start services across demographic, linguistic, 
and geographic lines. Some subpopulations may experience changes in 
program access or service delivery depending on local implementation 
decisions.
    At the same time, reductions in certain prescriptive requirements 
may allow programs to reallocate resources, strengthen emphasis on core 
health, nutrition, and physical activity priorities, and expand overall 
enrollment capacity. To the extent resources are redirected toward

[[Page 51318]]

additional slots, broader access to services may offset some localized 
shifts in program composition. The net distributional effects would 
depend on program-level decisions made under the proposed regulatory 
framework and the interaction of Federal flexibility with state and 
local policies.

VIII. Tribal Consultation Statement

    Tribal Consultation refers to the government-to-government 
engagement between the Federal government and Federally recognized 
American Indian and Alaska Native Tribes. It is designed to give Tribes 
meaningful, timely input on policies, programs, and actions that may 
affect them. Consultation helps agencies identify unintended impacts on 
Tribes early, improve policy outcomes by incorporating Tribal 
expertise, and reduce the risk of litigation, delays, or policy 
reversals.
    All Federal agencies are required to conduct consultation in 
accordance with executive orders and Federal policy, consistent with 
the Federal trust responsibility and the United States' unique 
government-to-government relationship with Federally recognized Indian 
Tribes. The requirement to conduct Tribal consultation is a core legal 
and policy obligation of the Federal government. Tribes are sovereign 
governments, and consultation is the primary mechanism through which 
Federal agencies seek Tribal input on policies, programs, and actions 
that have Tribal implications.
    Even when consultation is not written in a program's statute, 
agencies are still required to consult under:
     Executive Order 13175 (Consultation and Coordination with 
Indian Tribal Governments), which directs all Federal agencies to 
consult with Tribes on policies that have Tribal implications.
     OMB and departmental policies (including HHS policy) that 
operationalize Consultation expectations across the Federal government.
    These policies make Consultation a government-wide requirement, 
rather than optional or program-specific. Additionally, in some cases, 
such as Head Start, Tribal Consultation is also mandated by program-
specific authorizing statutes, which impose additional legal 
requirements beyond government-wide Consultation obligations. Section 
640(l)(4)(A-D) of the Head Start Act states that the Secretary shall 
conduct an annual Tribal Consultation in each affected Head Start 
region, with Tribal governments operating Head Start including Early 
Head Start programs.
    Consultations are often held in conjunction with other Tribal 
meetings or conferences, to ensure the opportunity for most of the 151 
Tribes that operate Head Start and Early Head Start programs to attend 
and voice their concerns regarding service delivery. In accordance with 
ACF Tribal Consultation Policy, OHS must provide written summaries 
after Tribal Consultation that capture: issues raised by Tribes, 
recommendations offered, and OHS responses and decisions. OHS submit 
the report to the Secretary of Health and Human Services (the 
Secretary) at the end of the year.
    As noted previously, the publication of this NPRM initiates a 
public comment period during which ACF invites comments from all 
interested parties, including Tribal governments. Through this open 
comment process, ACF ensures that a broad range of voices are heard, 
including Tribal Leaders, and consistent with the statute's emphasis on 
consultation.

List of Subjects

45 CFR Part 1301

    Administrative practice and procedure, Education of disadvantaged.

45 CFR Part 1302

    Dental health, Diseases, Education of disadvantaged, Grant 
programs--social programs, Health care, Homeless, Immunization, 
Indians, Individuals with disabilities, Maternal and child health, 
Mental health programs, Migrant labor, Nutrition, Quarantine, Reporting 
and recordkeeping requirements, Safety, Volunteers.

45 CFR Part 1303

    Administrative practice and procedure, Education of disadvantaged, 
Grant programs--social programs, Individuals with disabilities, Motor 
vehicles, Privacy, Real property acquisition, Reporting and 
recordkeeping requirements, Transportation, Reporting and recordkeeping 
requirements.

45 CFR Part 1304

    Diseases, Early learning and development, Education of 
disadvantaged, Grant programs--health, Grant programs--social programs, 
Indians, Scholarships and fellowships.

45 CFR Part 1305

    Administrative practice and procedure.

    For the reasons stated in the preamble, ACF proposes to revise 45 
CFR, chapter XIII, subchapter B to read as follows.

CHAPTER XIII--ADMINISTRATION FOR CHILDREN AND FAMILIES, DEPARTMENT OF 
HEALTH AND HUMAN SERVICES

SUBCHAPTER B--THE ADMINISTRATION FOR CHILDREN AND FAMILIES, HEAD START 
PROGRAM

PART 1301--Head Start Performance Standards

Sec.
1301.01 Committees.
1301.02 Determining eligibility.
1301.03 Attendance and enrollment.
1301.04 Teaching and learning environment.
1301.05 Group size and ratio.
1301.06 Parent and family engagement in education and child 
development services.
1301.07 Child nutrition.
1301.08 Family support services for health and nutrition.
1301.09 Safety and transportation practices.
1301.10 Services for children with disabilities.
1301.11 Enrolled pregnant and postpartum women and families.
1301.12 Personnel and records policies.
1301.13 Program goals, continuous improvement, and reporting.
1301.14 Limitations on administrative costs.
1301.15 Application and eligibility to purchase, construct, and 
renovate facilities.
1301.16 Basis for determining if an agency is subject to open 
competition.
1301.17 Tribes.
1301.18 Program Flexibility.
1301.19 Appeals.
1301.20 Definitions.

    Authority:  42 U.S.C. 9801 et seq.


Sec.  1301.01  Committees.

    (a) Parent committees. A program may establish a parent committee 
comprised exclusively of parents of currently enrolled children. The 
parent committee's role is to advise staff in developing and 
implementing local program policies, activities, and services to ensure 
they meet the needs of children and families.
    (b) Committee guidelines. Programs can determine the bylaws of any 
committee including but not limited to length of a committee member's 
term and election procedures.


Sec.  1301.02  Determining eligibility.

    (a) Eligibility requirements. A pregnant woman or a child is 
eligible if they meet the eligibility requirements detailed in Sec. 
645(a)(1).
    (b) Foster Children. Children in foster care qualify for program 
eligibility.
    (c) Verifying eligibility. The following must be verified to 
determine program eligibility:
    (1) Income. Program staff must use tax forms, pay stubs, or other 
proof of income to determine the family income

[[Page 51319]]

meets statutory requirements for the relevant time period.
    (2) To verify whether a family is eligible for, or in the absence 
of child care, would be eligible for public assistance, the program 
must have documentation from either the state, local, or tribal public 
assistance agency that shows the family either receives public 
assistance, or that shows the family is eligible to receive public 
assistance.
    (3) To verify whether a child is in foster care, program staff must 
accept either a court order or other legal or government-issued 
document, a written statement from a government child welfare official 
that demonstrates the child is in foster care, or proof of a foster 
care payment.
    (4) Self attestation does not satisfy the eligibility requirements.
    (d) Transition from Early Head Start. If a child moves from an 
Early Head Start program to a Head Start Preschool program, program 
staff must verify the family's eligibility again.
    (e) Records. A program must keep eligibility determination records 
for each participant for those currently enrolled, as long as they are 
enrolled, and, for one year after they have either stopped receiving 
services; or are no longer enrolled and must be made available to HHS 
upon request. Records include copies of any documents or official 
statements that are deemed necessary to verify eligibility.
    (f) Program policies and procedures on violating eligibility 
determination regulations. A program must report staff who violate 
eligibility determination regulations to the responsible HHS official.
    (g) Homelessness. Children experiencing homelessness qualify for 
program eligibility and must be treated in accordance with the Head 
Start Act.


Sec.  1301.03  Attendance and enrollment.

    (a) Promoting regular attendance. A program must track attendance 
for each child.
    (b) Applicable regulations and statutes. All applicable Federal and 
state statutes and state regulations apply to attendance procedures 
regarding child safety concerns due to absence(s).
    (c) Funded enrollment. A program must maintain its funded 
enrollment level and fill any vacancy as soon as possible, but not to 
exceed 30 days.


Sec.  1301.04  Teaching and learning environment.

    (a) Language. Except as provided in 1301.17(d), a program must 
conduct all education to children in English.
    (1) If a child's native language is not English, and does not speak 
English, a program must prioritize teaching English to the child.
    (b) Nutrition. Snack and meal times must be structured and used as 
learning opportunities that support teaching staff-child interactions 
and foster communication and conversations that contribute to a child's 
learning, development, and socialization. Programs are encouraged to 
meet this requirement with family style meals when developmentally 
appropriate.
    (c) Physical activity. A program must recognize physical activity 
as important to learning and integrate intentional movement and 
physical activity into curricular activities and daily routines in ways 
that support health and learning. A program must provide a minimum of 
30 minutes of physical activity for every three and a half hours that 
the child participates in the program. Weather permitting, the activity 
should take place outside.


Sec.  1301.05  Group size and ratio.

    A Head Start program must establish and publish both a maximum 
group size and a ratio of children to staff that is consistent with 
applicable state and local laws and Child Care and Development Fund 
regulations. The published group size and ratio must be in a location 
and format visible to parents.


Sec.  1301.06  Parent and family engagement in education and child 
development services.

    (a) Importance of parents. Center-based and family child care 
programs must structure education and child development services to 
recognize parents' roles as children's primary teachers and nurturers.
    (b) Engaging parents and family members. A program must implement 
strategies to engage parents and family members in their children's 
learning and development and support parent-child relationships, 
including specific strategies for father engagement, and provide 
educational material and instruction that demonstrate healthy marriage 
as a positive good.


Sec.  1301.07  Child nutrition.

    (a) Payment sources. A program must use funds from USDA Food, 
Nutrition, and Consumer Services Child Nutrition programs as the 
primary source of payment for meal services. Head Start funds may be 
used to cover those allowable costs not covered by the USDA.
    (b) A program must use staff or consultants to support nutrition 
services in ways that support development and learning. For bottle-fed 
infants, this approach must include holding infants during feeding to 
support socialization. Staff and consultants must serve nutrient dense, 
whole foods that are compatible with a healthy and nutritious diet that 
conforms to USDA requirements in 7 CFR part 226. Or, where applicable, 
properly store breastmilk and provide an opportunity for infants to be 
served breastmilk during the day.


Sec.  1301.08  Family support services for health and nutrition.

    (a) Parent collaboration. Programs must collaborate with parents to 
promote children's health and well-being by providing nutrition and 
physical education support services.
    (b) Opportunities. Collaboration with parents must include 
discussing their child's nutritional status with staff, including the 
importance of physical activity and healthy eating, and the negative 
health consequences of sugar-sweetened beverages and grain-based 
desserts, as well as how to select and prepare nutritious foods that 
meet the family's nutrition and food budget needs.


Sec.  1301.09  Safety and transportation practices.

    (a) Programs must be licensed by their state, tribal, or local 
entity and comply with all Federal and State statutes, and regulations 
regarding safety and transportation practices for children. If exempt 
from licensing, programs must meet CCDF basic health and safety 
requirements.
    (b) Programs must prevent children from being exposed to lead in 
water and paint in Head Start facilities.


Sec.  1301.10  Services for children with disabilities.

    A program must comply with all applicable Federal and state 
statutes and regulations regarding providing services for children with 
disabilities.


Sec.  1301.11  Enrolled pregnant and postpartum women and families.

    (a) Newborn visits. A program must provide a newborn visit with 
each mother and baby and offer support including providing 
comprehensive services through referrals that, at a minimum include 
nutritional counseling and food assistance.
    (b) Educational information. A program must provide enrolled 
pregnant women, mothers, fathers, or other family members the prenatal 
and postpartum information, education, and services that address, as 
appropriate, fetal development, the importance of nutrition in the 
prenatal and postpartum stage including breastfeeding, the risk of 
alcohol, drugs, and smoking, and the

[[Page 51320]]

benefits of substance use treatment, labor and delivery, postpartum 
recovery, and infant care and safe sleep practices.


Sec.  1301.12  Personnel and records policies.

    (a) Personnel. A program must comply with all applicable Federal 
and state statutes and regulations regarding staff, contractor, and 
volunteer background checks, including work authorization verification, 
staff standards of conduct, and other affiliated human resource 
requirements.
    (b) Records. A program must establish policies, protections, and 
rights equivalent to those in FERPA, 20 U.S.C. 1232g, for the 
confidentiality of any personally identifiable information (PII) in 
child records.
    (c) Hiring considerations. Programs shall not require or 
incentivize the attainment of postsecondary education credits, hours, 
or credentials unless the program demonstrates that such educational 
attainment is necessary for the position based on specified skills 
required for the position that can only be attained through a specific 
postsecondary education pathway. Programs shall provide explicit 
alternatives to postsecondary education for demonstrating required 
skills, such as through assessments, industry-recognized credentials, 
or relevant work experience.


Sec.  1301.13  Program goals, continuous improvement, and reporting.

    (a) Establishing program goals. A program must establish goals and 
measurable outcomes including provisions of evidence-based educational 
practices, health, nutritional, and family engagement to further 
promote the school readiness of enrolled children.
    (b) Ongoing assessment of program goals. A program must conduct a 
self-assessment of the program's progress towards meeting goals 
established under paragraph (a) of this section and submit the findings 
to HHS.
    (c) Reporting. A program must submit to HHS:
    (i) any incident regarding circumstances affecting the financial 
viability of the program; breaches of personally identifiable 
information, or program involvement in legal proceedings; any matter 
for which notification or a report to State, Tribal, or local 
authorities is required by applicable law, and
    (ii) any significant incident that affects the health and safety of 
a child that occurs in the setting where Head Start services are 
provided immediately, but no later than, seven calendar days following 
the incident.


Sec.  1301.14  Limitations on administrative costs.

    Allowable costs to develop and administer a Head Start program 
cannot exceed 5 percent of the total approved program costs, which 
includes both Federal costs and non-Federal match.


Sec.  1301.15  Application and eligibility to purchase, construct, and 
renovate facilities.

    (a) Application. An application must be submitted to apply for 
funds to purchase, construct, or renovate a facility.
    (b) Cost-effective. Before a grant recipient can apply for funds to 
purchase, construct, or renovate a facility it must establish that the 
proposed construction of a facility is more cost-effective than the 
purchase of available facilities or renovation.


Sec.  1301.16  Basis for determining if an agency is subject to open 
competition.

    A Head start agency will be required to compete for its next five 
years of funding whenever it is determined that one or more of the 
following conditions existed during the award period of the current 
grant:
    (a) Deficiencies. An agency has had two or more deficiencies across 
reviews conducted under section 641A(c)(1)(A), (B), (C), or (D) of the 
Act.
    (b) Goals. An agency has not, based on a review conducted under 
section 641A(c)(1)(A), (C), or (D) of the Act, produced suitable 
results towards achieving program goals for improving the school 
readiness of children participating in its program in accordance with 
requirements of section 641A(g)(2) of the Act.
    (c) Classroom quality: An agency has been determined not to be 
delivering classroom quality as measured under section 641A(c)(2)(F) of 
the Act. Educational attainment of providers and staff beyond the 
requirements stated in the Act does not constitute a basis for 
determining if an agency is subject to open competition.
    (d) Revocation of license. An agency has had a revocation of its 
license to operate a Head Start center or program by a State or a local 
licensing agency.
    (e) Suspension: An agency has been suspended from the Head Start 
program and the suspension has not been overturned or withdrawn after 
the initial opportunity to show cause.
    (f) Debarred. An agency has been debarred from receiving Federal or 
state funds from any Federal or state department or agency or has been 
disqualified from the CACFP any time during the relevant time period 
covered.
    (g) Failure. An agency is at risk of failing to continue 
functioning as a going concern within the current project period.
    (h) Audit findings. An agency has two or more audit findings of 
material weakness or questioned costs associated with its Head Start 
funds in audit reports submitted to the Federal Audit Clearinghouse.
    (i) Other measures. Any other measure as specified in the Head 
Start Act.


Sec.  1301.17  Tribes.

    (a) Consultation. In the case of an Indian Head Start agency 
determined not to be achieving suitable outcomes, HHS will recognize 
unique government-to-government relationships and engage in 
consultation with the tribe to develop a plan to improve the outcomes 
of the Head Start Program.
    (1) The plan must be implemented within six months of HHS's 
determination, and must be followed by a reevaluation of the plan's 
implementation not more than six months following implementation.
    (2) If the Indian Head Start agency is still not delivering 
suitable outcomes, HHS will conduct an open competition to select a 
grant recipient to provide services for the community currently being 
served by the Indian Head Start agency.
    (b) Non-Indian Head Start eligibility. A non-Indian Head Start 
agency will not be eligible to receive a grant to carry out an Indian 
Head Start program, unless there is no Indian Head Start agency 
available for designation to carry out an Indian Head Start program. If 
an Indian Head Start agency becomes available, then a non-Indian Head 
Start agency is no longer eligible to carry out an Indian Head Start 
program.
    (c) Alternate agency. An Indian tribe whose Head Start grant has 
been terminated, relinquished, designated for competition or which has 
been denied refunding as a Head Start agency, may identify an 
alternative agency, and request HHS to designate such agency as an 
alternative agency to provide Head Start services to members of the 
tribe if:
    (1) The tribe was the only agency that was receiving Federal 
financial assistance to provide Head Start services to members of the 
tribe; and,
    (2) The tribe would be otherwise precluded from providing such 
services to its members because of the termination or denial of 
refunding.
    (3) If the tribe does not identify an agency and request that the 
agency be appointed as the alternative agency, HHS will seek a 
permanent replacement grant recipient.

[[Page 51321]]

    (4) The alternative agency must meet all requirements established 
in the Head Start Act and cannot be prohibited from designation as 
detailed in section 646(e)(2).
    (d) Language. An Indian Head Start agency is not subject to 45 CFR 
part 1301.04(a) so long as the language being spoken relates to the 
furtherance of tribal heritage.


Sec.  1301.18  Program Flexibility.

    (a) Waivers. A program may request to waive any specific 
requirement in this chapter except those detailed in (b) of this 
section, so long as the waiver is submitted in writing to HHS, states 
how a reprieve from the regulation will not negatively impact the 
health or safety of children in care, and does not request to violate 
any Federal or State statutes.
    (b) Unallowable waivers. A program may not receive a waiver from 
HHS from any requirement relating to nutrition, physical activity, or 
eligibility.
    (c) Locally-designed program option variations. Programs may 
request to operate a locally-designed program option, including a 
combination of program options, to better meet the unique needs of 
their communities or to demonstrate or test alternative approaches for 
providing program services.
    (1) A program's request to operate a locally-designed variation may 
be approved by HHS through the end of a program's current grant or, if 
the request is submitted through a grant application for an upcoming 
project period, for the project period of the new award.


Sec.  1301.19  Appeals.

    (a) Agency appeals. An agency has the right to an appeal following 
a final decision by HHS to terminate financial assistance or deny 
refunding of an application and shall follow procedures as outlined in 
45 CFR part 16 as well as Sec. 646 of the Head Start Act.
    (b) Prospective delegate agency appeals. If a Head Start Agency 
denies, or fails to act on, a prospective agency's funding application, 
the prospective delegate agency may appeal within 30 days of the 
agency's decision or 120 days after the agency's inaction on the 
prospective delegate's application. Once the appeal is filed, the Head 
Start agency must respond to HHS and the prospective delegate agency 
within 30 days. The decision that is then rendered is final and not 
subject to additional appeals.


Sec.  1301.20  Definitions.

    For the purposes of this subchapter, the following definitions 
apply:
    Agency means the body that receives the Head Start grant.
    Construction means new buildings, and excludes renovations, 
alterations, additions, or work of any kind to existing buildings.
    Denial of Refunding means the refusal of a funding agency to fund 
an application for a continuation of a Head Start program for a 
subsequent program year when the decision is based on a determination 
that the grant recipient has improperly conducted its program, or is 
incapable of doing so properly in the future, or otherwise is in 
violation of applicable law, regulations, or other policies.
    Development and Administrative Costs means costs incurred in 
accordance with approved Head Start budget which do not directly relate 
to the provision of program component services, including services to 
children with disabilities.
    Early Head Start means a program that serves pregnant women and 
children from birth to age three, pursuant to section 645A(e) of the 
Head Start Act. This includes Tribal and migrant or seasonal programs.
    Enrolled (or any variation of) means a child has been accepted and 
attended at least one class for center-based or family child care 
option or at least one home visit for the home-based option.
    Facility means a structure, appropriate for use in carrying out a 
Head Start program and used primarily to provide Head Start services, 
including services to children and their families, or for 
administrative purposes or other activities necessary to carry out a 
Head Start program.
    Family means all persons living in the same household who are 
supported by the child's parent(s)' or guardian(s)' income; and are 
related to the child's parent(s) or guardian(s) by blood, marriage, or 
adoption; or are the child's authorized caregiver or legally 
responsible party.
    Financial viability means that an organization is able to meet its 
financial obligations, balance funding and expenses and maintain 
sufficient funding to achieve organizational goals and objectives.
    Foster care means the same as defined in 45 CFR part 1355.20(a).
    Funded enrollment means the number of participants which the Head 
Start grant recipient is to serve as indicated on the grant award.
    Going concern means an organization that operates without the 
threat of liquidation for the foreseeable future, a period of at least 
12 months.
    Grant recipient means the local public or private non-profit agency 
or for-profit agency which has been designated as a Head Start agency 
under 42 U.S.C. 9836 and which has been granted financial assistance by 
HHS to operate a Head Start program.
    Head Start means any program authorized under the Head Start Act.
    Head Start agency means a local public or private non-profit or 
for-profit entity designated by HHS to operate a Head Start Preschool 
program, an Early Head Start program, or Migrant or Seasonal Head Start 
program pursuant to the Head Start Act.
    Head Start Preschool means a program that serves children aged 
three to compulsory school age, pursuant to section 641(b) and (d) of 
the Head Start Act. This includes Tribal and migratory or seasonal 
programs.
    Income means gross income and only includes wages, business income, 
unemployment compensation, pension or annuity payments, gifts that 
exceed the threshold for taxable income, and military income (excluding 
special pay for a member subject to hostile fire or imminent danger 
under 37 U.S.C. 310 or any basic allowance for housing under 37 U.S.C. 
403 including housing acquired under the alternative authority under 10 
U.S.C. 169 or any related provision of law). Gross income only includes 
sources of income provided in this definition; it does not include 
refundable tax credits nor any forms of public assistance.
    Indian Head Start agency means a program operated by an Indian 
tribe (as defined by the Act) or designated by an Indian tribe to 
operate on its behalf.
    Parent means a Head Start child's mother or father, other family 
member who is a primary caregiver, foster parent or authorized 
caregiver, guardian, or the person with whom the child has been placed 
for purposed of adoption pending a final adoption decree.
    Participant means a pregnant woman or child who is enrolled in and 
received services from a Head Start Preschool, an Early Head Start, a 
Migrant or Seasonal Head Start, or an American Indian and Alaska Native 
Head Start program.
    Personally identifiable information (PII) means the same as defined 
in 34 CFR part 300.32.
    Program means a Head Start Preschool, Early Head Start, Migrant or 
Seasonal Head Start, Tribal or program authorized under the Act and 
carried out by an agency or delegate agency, to provide ongoing 
comprehensive child development services.
    Program costs mean costs incurred in accordance with an approved 
Head Start budget which directly relate to the provision of program 
component

[[Page 51322]]

services including services to children with disabilities.
    Purchase means to buy an existing facility, including outright 
purchase, down payment or through payments made in satisfaction of a 
mortgage or other loan agreement, whether principal, interest, or an 
allocated portion principal and/or interest. The use of grant funds to 
make a payment under a finance lease agreement, as defined in the cost 
principles, is a purchase subject to these provisions. Purchase also 
refers to an approved use of Head Start funds to continue paying the 
cost of purchasing facilities or refinance an existing loan or mortgage 
beginning after 1986.
    Relevant time period means:
    (1) The 12 months preceding the month in which the application is 
submitted; or
    (2) During the calendar year preceding the calendar year in which 
the application is submitted, whichever more accurately reflects the 
needs of the family at the time of the application.
    School readiness goals means the expectations of children's status 
and progress across domains of language and literacy development, 
cognition and general knowledge, approaches to learning, physical well-
being and motor development, and social and emotional development that 
will improve their readiness for kindergarten.
    Staff means paid adults who have responsibilities related to 
children and their families who are enrolled in programs.
    Total approved costs mean the sum of all costs of the Head Start 
program approved for a given budget period by HHS, as indicated on the 
Financial Assistance Award. Total approved costs consist of the Federal 
share plus any approved non-Federal match, including non-Federal match 
above the statutory minimum.

Robert F. Kennedy, Jr,
Secretary, Department of Health and Human Services.
[FR Doc. 2026-16134 Filed 8-6-26; 8:45 am]
BILLING CODE 4184-87-P