Program Management and Fiscal Operations

Learn about the important leadership role of Head Start directors and managers. Explore organizational change models and systems thinking.

This Head Start A to Z session offers leaders the opportunity to become familiar with the underlying tenets of Head Start. It affirms the solid foundation on which Head Start was built. During this session, leaders are asked to reflect on the programs for which they provide leadership. Consider the extent to which the core values of Head Start are evidenced in the daily operations.

Cost allocation was created to ensure that federal funds are used solely for programs and that no other federal funds may be used for any other purpose. Grantees who have more than one funding source will find this information useful for making sure that each program bears its appropriate share of the costs.

Prior to fiscal year (FY) 2016, all Head Start grantees were required to submit financial reports made for its federal award(s) using standard form (SF) Federal Financial Report 425 (lines 10a, b, and c), detailing the cash transactions in the Payment Management System (PMS), and separate reports to the Administration for Children and Families (ACF) detailing the expenditures (lines 10d-o) made for the same award(s).

The Office of Management and Budget provides instructions for completing the SF-425A Financial Reporting Form. The SF-425A Financial Reporting Form is a consolidation of financial reporting forms SF-269, SF-269A, SF-272, and SGF-272A. Grantees will find these instructions useful when completing their financial reporting forms.

The Hatch Act restricts political activity of federal, state, and local government employees. The Act also restricts the political activity of employees whose employment is financed in whole or in part by a grant award. Grantees and delegates should be mindful of this policy and avoid any violations of the law with regard to their staff members’ political activities.

Nonprofits often get by with versatile staff members willing to tackle new challenges and a lot of help from reliable volunteers. But sometimes you need a level of expertise or experience only a consultant can offer. This is especially true when dealing with technology and data systems. 

Overdue reports within the time allowed may result in suspension or termination of an active grant, withholding a non-competing continuation award, or other enforcement actions, including withholding of payments or converting to the reimbursement method of payment. Grantees will find this information useful to avoid penalties associated with overdue reports.

Head Start leaders who implement strong governance systems often face important questions. When such questions arise, leaders should refer first to key Head Start policy and regulation.