As States implement the new welfare reform legislation and are required to move larger percentages of their caseloads into work-related activities, greater numbers of welfare recipients are likely to need child care. This report measures the extent to which the current supply of child care will be sufficient to meet the anticipated demand under the new welfare reform law and identifies other challenges that face low-income families in assessing child care. Analyzes child care supply data and estimated child care demand at four sites -- two urban and two nonurban -- in three states. Charts and tables.