A study evaluated the effectiveness of a parent education program in increasing school readiness in poor and high-needs children. Participants in the Parents and Children Together program (PACT) of Binghamton, New York, receive home visits from trained and certified parent educators, beginning when a child is born and continuing until he or she is 3 years old. The parent educators provide information about child development and parenting, and refer parents to other agencies when needed. The program also provides developmental screening tests, parent group meetings, and a lending library of child development sources and age-appropriate toys. Subjects for this program evaluation were twenty 4- and 5-year-old graduates of the PACT program and a matched control group of 20 children whose families had not participated in the program. The cognitive, language, and physical development of the PACT graduates was compared with that of the control subjects. Results indicated that the experimental group had significantly higher scores on all measures than did the control group. The following year, kindergarten screening and readiness test scores, as well as kindergarten attendance, grades, and special education referrals from all program participants were compared to those of all other children entering first grade. Again, program participants showed superior performance. Regression analyses of performance models showed higher coefficients for program participation than for other preschool experiences such as Head Start or private preschool attendance. A cost-benefit analysis showed evidence of substantial financial savings in implementation of the PACT program. (HTH)