We have conducted a fiscal compliance audit of the Division of Early Childhood (DEC) of the Maryland State Department of Education (MSDE) for the period beginning July 1, 2014 and ending December 31, 2017. The audit was conducted in accordance with generally accepted government auditing standards. Those standards require that we plan and perform the audit to obtain sufficient, appropriate evidence to provide a reasonable basis for our findings and conclusions based on our audit objectives. We believe that the evidence obtained provides a reasonable basis for our findings and conclusions based on our audit objectives. As prescribed by the State Government Article, Section 2-1221 of the Annotated Code of Maryland, the objectives of this audit were to examine DEC's financial transactions, records, and internal control, and to evaluate its compliance with applicable State laws, rules, and regulations. (author abstract)