This report documents the activities undertaken to evaluate the federally sponsored prekindergarten program for educationally disadvantaged preschoolers conducted by the Saginaw, Michigan school district. This program, funded by Chapter 1 of the Education Consolidation and Improvement Act, was serving 502 children at the beginning of the 1993 school year. The process evaluation activities consisted of observations in all 15 prekindergarten classrooms, focusing on cognitive, psychomotor, and language development, as well as parent participation and education, and scheduling activities in the classroom. The observations revealed that: (1) required activities were taking place on a daily basis in 14 of the 15 classrooms; (2) a record of parent participation was maintained in all classrooms; (3) labels were posted on objects throughout the classrooms to assist in word recognition, although more work was needed to maintain the use of the common set of 25 objects; and (4) teachers were employing language production and enhancement techniques, but frequency varied widely by site. Three appendixes list the number of prekindergarten students by building, provide copies of the observation checklists, and record the number of times teachers employed language production and enhancement techniques. (MDM)