As government regulations and penalties for non-compliance increase, highly regulated, government funded programs (HRGFPs) are pressed to meet regulat Show moreAs government regulations and penalties for non-compliance increase, highly regulated, government funded programs (HRGFPs) are pressed to meet regulatory compliance demands that are perceived to override agency and consumer needs. This research builds upon classic theoretical studies to reconceptualize how power dependence and resource dependence impact government-agency interactions, relations and program effectiveness. Survey results from a national sample of federally funded Head Start organizations suggest: (1) agency/government co- rather than inter-dependency; (2) compliant rather than innovative agency behavior, and (3) age, auspice and funding levels effects on agency/government relations. Show less