Understanding the Early Years (UEY) is a national research initiative. It provides communities with information to enable them to make informed decisions about the best policies and most appropriate programs for Canadian families with young children. This report is based on one of seven communities studied in 2001-2002. Children's outcomes were assessed in physical health and well-being, cognitive skills, and behavioural measures. The evaluation comprised measures for: (1) Family background (including information on parental income, level of education, and occupational status); (2) Family processes (such as positive parenting practices, engagement in learning activities, family functioning, and maternal mental health); and (3) Community factors (including social support and social capital, neighbourhood quality and safety, use of recreational, cultural, and educational resources, and residential stability.) Data for the report were derived from the National Longitudinal Survey of Children and Youth (NLSCY) Community Study, the Early Development Instrument (EDI), and NLSCY and EDI data collected from across the UEY communities. Hampton/Sussex findings include: (1) Higher than average provincial or national level of parental education and employment; (2) Children in Hampton/Sussex fare well in communication skills, general knowledge and social competence; (3) Areas for improvement include language and cognitive development, and emotional health and maturity; and (4) Strong scores across family processes and community factors. (Contains 15 figures, 4 tables, 18 footnotes.)