This document analyzes Department of Health, Education and Welfare (DHEW) regulations for day care centers and homes. New DHEW day care proposals are paraphrased and the content and history of related regulations are summarized. Topics discussed include definitions, applicability, Office of Education waivers, program activities for children, training, nutrition, health and safety, physical environment, social services, parent involvement, group sizes and staff-to-child ratios, monitoring of compliance, State Agency waivers, future review of day care regulations, the State Agency Advisory Council and effective date of compliance. Since state agencies have complied inconsistently with federal regulations, it is recommended that DHEW specify minimal requirements of quality to be met by any adequate program if it is to provide beneficial services. (Author/RH)