LITTLE ROCK — A Russellville non-profit that had to temporarily close Head Start centers serving 2,300 children this week because of budget problems will operate the program through the end of next week then relinquish the federally funded portion of its operation, officials said Friday.
A management team with the new provider, Denver-based Community Development Institute, is due in Russellville on Monday to meet with the board of Child Development Inc. and a group of parents, said Kenneth J. Wolfe, spokesman for the Administration for Children and Families at the U.S. Department of Health and Human Services.
“Our goal is to minimize disruptions to families and children enrolled in the Head Start program during this time of grantee transition,” Wolfe said.
Child Development Inc., which operates 30 centers across Arkansas, closed its doors Tuesday, the last day of the fiscal year for the federally funded Head Start program. The centers reopened Wednesday.
Last month, the company used its Russellville headquarters as collateral to receive a $400,000 loan to make its employee payroll.
Independent reporting for Pine Bluff & Jefferson County since 1879.
On Thursday, the non-profit’s board voted to relinquish its federal Head Start grant funds. Of the 2,300 children served by Child Development Inc., 1,300 attend through the federal Head Start program, while 388 attend through state funding. Fees for the rest are privately paid.
Lori Kamerling, communications specialist for Child Development Inc., said the non-profit will continue to run the programs for private-pay students and those who attend through the state-funded Arkansas Better Chance pre-school program.
She also that the non-profit has begun paying its 460 employees for wages they have not received in several weeks because of the financial shortfall.
Amy Webb, spokeswoman for the state Department of Human Services, said Friday that Community Development Institute will officially take control of the Head Start program Feb. 10 and that children will continue to attend the same centers.
She said DHS has asked to be a part of the transition process and that the 30 facilities will be monitored by the state to make sure that the children are being properly served.
“Right now there are no indications that state funds have been misspent,” Webb said, adding that “historically, this has been a very high quality program with no history of problems.”
Child Development Inc. operates 30 centers in Arkansas, Conway, Desha, Franklin, Johnson, Lincoln, Logan, Lonoke, Perry, Pope, Polk, Scott and Yell counties.
Bettye Williamson, chairwoman of the non-profit’s board of directors, did not immediately return a phone seeking comment Friday afternoon.