The federal government's financial commitment to children and youth since the mid-1960's is examined. Data were obtained from U.S. Bureau of Census reports and from relevant government agencies. The report focuses on trends in federal expenditures for youth, public expenditures for youth in Houston and New York City, equity in the distribution of federal funds for youth, and efficiency of delivery systems. Since the mid-1960's, the share of federal spending on youth has risen while their share of the population has fallen. Funding for income, education, nutrition, health, housing, child care, employment, recreation, and justice reaches youth through direct services, services to families, and services to the larger population. An examination of ESEA-Title I, medicaid, Aid to Families with Dependent Children, food stamps, Headstart, vocational education, school lunch, and social security programs reveals inequities in services to poor children, however. Further, findings from an analysis of all public expenditures for youth in Houston and New York City indicate that the role of each level of government and the level of expenditures for youth services vary dramatically between cities, New York spending two times more per youth than Houston. Reasons for the wide variation center on lower expenditures per recipient and lower rates of participation. (KC)