The Michigan School Readiness Program (MSRP) is the state's early childhood education program for 4-year-olds at risk of school failure. This report details previous findings from the longitudinal study of two cohorts of MSRP children from kindergarten through the primary grades, current findings from the 1998-99 school year, program quality and risk factor data, and the grantee evaluation support project. The program includes a child development component providing age-appropriate activities to promote intellectual and social growth, and a family support and guidance component. Year 3 of the evaluation focused on testing for Cohort 1 MSRP program effects over and above effects of key background variables. Findings indicated that after controlling for site differences, participants' characteristics, and socioeconomic status, MSRP students remained significantly higher in overall development in kindergarten and received higher ratings on some aspects of school readiness, compared to non-MSRP students. The Cohort 1 MSRP students had a lower grade retention rate than the comparison group by the end of Grade 2. Site variability in program effects suggested a need for further development in curriculum, instructional staff, and philosophy. Also, MSRP program quality was generally high, although lower quality was found related to organizational and instructional issues and lack of outdoor play space. The rate and prevalence of child risk factors have been quite stable. A Grantee Evaluation Support Project (GESP) provides training workshops, custom support activities, and print materials to improve local programs. Findings regarding the GESP revealed the need for quantitative data to substantiate progress. (Data tables are appended.) (KB)