This report identifies the components of a seamless child care system for low income families, with attention to consolidating funding streams, simplifying administration, and improving direct services to families. The result of a 1995 study directed by the Minnesota legislature involving meetings of parents, advocates, child care providers, county agency staff, and human services staff, this report describes the study's purpose and methodology, defines seamless child care systems and the current systems as authorized by state statutes, and discusses recommended changes. Five principles guide the development of a seamless child care system: (1) treat families equitably by providing equal access to child care assistance; (2) one simple, efficient system should administer financial assistance for child care; (3) as family income increases or circumstances change, movement to self-sufficiency should not be interrupted; (4) promote healthy, safe, and developmentally appropriate experiences for children; and (5) quality child care means quality providers and informed parents. An executive summary is included. Seven appendices present (1) the law requiring this study; (2) the study's participants; (3) a flow chart of the Child Care Assistance Program; (4) a map of Resource and Referral Agencies; (5) major child care assistance and supports available under the current system; (6) descriptions of activities of the Federal Child Care and Development Block Grants in Minnesota; and (7) a chart of the proposed Child Care Seamless System Model, comparing it to the current system and relating each policy of the proposed model to state legislation and federal requirements. (KDFB)