OMB Asked to Deny HHS Request to Survey Head Start Grantees

OMB Watch has asked the Office of Management and Budget (OMB) to deny a request from the Department of Health Human Services (HHS) to conduct a national survey of Head Start program executive salaries and travel costs because it duplicates information HHS already has and places an unnecessary burden on Head Start programs. The survey was HHS’s response to a request from two members of the House Education and Workforce Committee, which asked for a “review of the financial management of Head Start grantees nationwide.” See the full text of the OMB Watch Comments. The Congressional request came in a letter from Rep. John Boehner, (R- Chair of the House Committee on Education and the Workforce, and Rep. Michael Castle, Chair of the Subcommittee on Education Reform. The Boehner/Castle letter states their concern about possible misuse of Head Start funds, and asks for a national review of Head Start financial management. The letter says, “We anticipate that the information needed for such a review will be readily accessible,” andasks for a detailed categorical analysis on how Head Start funds are spent, including: á the percentage of Head Start funds spent on administrative costs á the average program administrative expense, and á how administrative expenses are used. The letter goes on to request a list of the 25 highest paid Head Start executives, as well as the amount paid by the program towards their salaries and benefits “if the data are available.” (emphasis added) The letter also seeks available information on the 25 grantees that spend the most on travel for meetings and conferences. HHS has not limited itself to the information requested by the Reps. Boehner and Castle. Instead, they have asked for three years of detailed information, including sixteen categories of benefits. The HHS request to OMB for clearance to conduct the survey erroneously says the information is already available in Head Start grantees’ IRS Form 990, the Program Information Report (PIR) and application budget (SF-424). HHS estimates it will take each agency 9 hours to complete the survey. Head Start programs have said it will take much longer and require senior level employees to retrieve the information. That will add t the time and expense of conducting the survey, diverting resources from the primary mission of the program—helping young children. HHS has asked the Office of Management and Budget (OMB) to approve the survey under emergency powers, within 30 days. No justification is offered to explain why this is an emergency. The real “emergency” may be that the The Head Start program is in the midst of a highly contentious and controversial reauthorization process. The administration is proposing a major overhaul of the program that has been vigorously opposed by Head Start advocates, including many local programs. The letter to HHS from Reps. Boehner and Castle cited an example of what they considered to be abuse of Head Start funds. They asserted the salary paid the executive director of the agency in San Antonio that runs the Head Start program is excessive. However, HHS did not demonstrate that it conducted a basic assessment of the issues presented by the Boehner/Castle letter. A quick online search of the Internal Revenue Service’s Form 990 returns from Parent/Child Inc. in San Antonio indicates the salary is in line with nonprofits of comparable size. United Way of San Antonio, for example, though 24% smaller that Parent/Child Inc., pays its president 8.5% more. The National Head Start Association has filed comments at OMB that say HHS has not met the criteria required for an emergency information collection under the Paperwork Reduction Act, and ask that HHS’s request be denied. They have also written to HHS Secretary Tommy Thompson asking him to withdraw the request. A decision from OMB is expected soon.
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