The Head Start Family and Child Experiences Survey (FACES) is an ongoing, national, longitudinal study of the cognitive, social, emotional, and physical development of Head Start children; the characteristics, well-being, and accomplishments of families; the observed quality of Head Start classrooms; and the characteristics and opinions of Head Start teachers and other staff. The FACES study involves a nationally stratified random sample of 3,200 children and families in 40 Head Start programs, who were studied at program entry in Fall 1997, assessed at the completion of 1 or 2 years in Head Start, and followed up in kindergarten and first grade. This report is the third to detail findings of the study in progress. Findings are presented in four areas related to program performance objectives: (1) enhancement of children's development and school readiness; (2) strengthening of families as their children's primary nurturers; (3) provision of high quality educational, health, and nutritional services; and (4) relation of classroom quality to child outcomes. Findings indicate that children completing Head Start showed significant gains in vocabulary and writing skills relative to national norms established for children of all income levels. Although children who initially scored in the bottom quartile in vocabulary, writing, and math skills had higher gains than other children, they still scored substantially below national norms at the end of Head Start. Parents cited Head Start as an important source of support in rearing their children. Quality in classrooms continues to be good across three points of measurement. Most teachers had good teaching qualifications. Quality of classrooms has been linked with child outcomes. Appended is information on data collection instruments, including child assessment, parent interviews, classroom observation, and staff questionnaires, and instruments used in the validation sub-study. (Contains 45 references.) (Author/KB)