This study examines the different methods local governments can use to leverage their power of taxation to meet child care needs in their district. There is not a one-size-fits-all approach for generating revenue at the local level. However, this document is designed as a resource to help local leaders consider which approach may be best given a jurisdiction’s tax base, its administrative capacity, how a tax could impact residents, and the different methods for creating and structuring tax districts. (author abstract)