GAO Report Finds Allegations of Fraud in Enrollment at Selected Head Start Centers
WASHINGTON, D.C. – A government report released today found some Head Start employees were engaging in fraudulent behavior to allow ineligible children into programs in eight cases in six states and the District of Columbia. The U.S. Government Accountability Office (GAO), which conducted the undercover investigation, testified about its findings today before the House Education and Labor Committee, at the request of U.S. Rep. George Miller (D-CA), chair of the committee.
“Head Start is a critical, successful program that provides vital services and a high-quality early education to a million children and their families, many of whom are vulnerable and at-risk,” said Miller. “It is unacceptable that some Head Start employees are betraying the integrity of the program. This fraudulent behavior is unacceptable and I am confident Secretary Sebelius will take the right steps to ensure this type of criminal activity never happens again.”
After learning about the GAO investigation, Chairman Miller wrote a letter to Secretary Sebelius asking her to review the claims of fraud.
More than one million low-income children are served by Head Start each year. One in five children under the age of five live in poverty in America, and less than 50 percent of the children who are eligible for Head Start are able to attend this the program.
In 2008 and 2009, GAO received two separate hotline tips from current and prior employees at Head Start programs in the Midwest and the state of Texas alleging fraudulent activities including misappropriation of furniture, qualification of ineligible families and enrollment of too many over-income families, among other allegations.
After the initial investigation into the two hotline tips, GAO conducted an undercover investigation into Head Start enrollment processes. Choosing only from centers with no waiting lists, GAO employees posed as fictitious families in 15 undercover tests at 13 different Head Start programs in California, Maryland, New Jersey, Pennsylvania, Texas, Wisconsin, and Washington D.C. In 13 tests, the fictitious families were over income, in one test they lived outside the service area and in another test they were enrolled in another Head Start center.
In seven of the 11 over-income tests, Head Start employees disregarded a portion of the “applicant’s” income, thereby making over-income families appear to be under-income. In the test where the “applicant” was not in the service area, the Head Start employee told the “applicant” to lie and provide false documentation.
Upon learning of the investigation, U.S. Secretary of Health and Human Services Kathleen Sebelius immediately referred the matter to the Department’s Inspector General.
In a letter to Chairman Miller, Secretary Sebelius acknowledged the Department’s “steadfast commitment to upholding the integrity of [Head Start]” and outlined the “Department’s concrete plans for reducing errors and fraud” in the future.
At the hearing, Carmen Nazario, Assistant Secretary for Children and Families at the U.S. Department of Health and Human Services (HHS), testified that the findings of the report were “deeply disturbing.” She discussed the steps HHS is taking in response to the investigation.
“The Head Start program is designed to move our nation’s low-income children along the road of school success. Diverting funds to children who are less needy is quite literally stealing away that opportunity from children who need it most,” said Nazario.
HHS’ plans include: conducting unannounced monitoring visits to Head Start centers, creating a web-based hotline to allow tips or information about impropriety to be reported, developing new regulations that promote integrity in Head Start, increasing oversight, particularly in programs with higher risk factors and requiring grantees to re-compete for grants when they do not meet program expectations.
Read the full GAO report
Read HHS testimony
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