The Navy currently provides child care for 24,005 children within Navy Regions Mid-Atlantic, Southwest, and Naval District Washington. With ongoing concerns relating to the federal budget, we endeavored to see whether a policy change in regards to Navy child care was needed. The policy changes we analyzed were increasing the current capacity, building new CDC facilities, and subsidizing child care in the civilian market. We took current data, provided by CNIC, and analyzed the current costs and the effects these policies would have if implemented. We found that all of the policies analyzed will have increased costs to the Navy in the short run. We also found that the effects of providing child care are positive for the Navy and the military members who utilize them. When comparing all three options, however, we found that increasing the current capacity of the CDCs will give the best return on investment for the Navy and its members. (author abstract)