This handbook was developed to provide Chapter 1 Migrant Directors in local educational agencies with guidance in operating their Chapter 1 Migrant programs. It is based on the Chapter 1 Migrant Regulations issued on October 2, 1989 and the Migrant Education Program Policy Manual issued by the U.S. Department of Education in 1990. Information is provided in the following areas: (1) the role and responsibilities of the Migrant Education Program Director; (2) the Chapter 1 Migrant Education Program application; (3) subgrants; (4) service comparability; (5) supplementing nonfederal funds with federal funds, not supplanting (replacing them with federal funds); (6) maintenance of effort; (7) record keeping; (8) early childhood education services; (9) services to private school children; (10) support services (administration, technical assistance, and logistical support); (11) summer school programs; (12) coordination of services; (13) needs assessment; (14) testing and appropriate educationally related objective criteria; (15) service priorities; (16) parent involvement; (17) Migrant Student Record Transfer System (MSRTS); (18) identification and recruitment of migrant children; (19) student eligibility for the program; (20) state administration of the migrant education program; (21) allowable costs; (22) direct costs; (23) complaint procedures; 24) reallocation of excess funds; (25) onsite program review; (26) program staffing; and (27) evaluation of programs. (KS)