This report, covering the program year 1987-1988, is designed to inform the Congress of the status of children with disabilities in Head Start programs. The report states that the program's mandate of having 10 percent or more of the total number of enrollment opportunities in Head Start programs available for handicapped children was met in each state or jurisdiction except Alaska, the Virgin Islands, and the Pacific Territories. Head Start nationally achieved a 13.3 percent level of enrollment of children with professionally diagnosed disabilities. Head Start is the largest program that integrates preschool children with disabilities in group experiences with nondisabled children on a systematic basis. The number of children with disabilities served by Head Start programs increased from 65,276 in 1987 to 65,740 in 1988. Head Start programs were unable to enroll 4,096 potentially eligible children with disabilities because of age requirements or lack of vacancies. Special education or related services provided by Head Start staff include individualized teaching, speech therapy and language stimulation, and transportation. Special services provided by other agencies include medical and psychological diagnosis, evaluation or testing, special therapy and language stimulation, and medical treatment. Appendixes contain guidelines on diagnostic criteria, a list of participants in the Resource Access Project Network, and tables showing numbers of children with disabilities in Head Start by state. (JDD)