Characteristics of a good institutional child care environment are briefly described. Discussion contrasts institutional and home environments. Topics addressed include safety, cleanliness, order, size and age appropriateness of equipment, and softness of surfaces. Also included are suggestions for using color schemes that create a sense of unity, uniformity, and calmness, and for facilitating communication with parents, children, and staff. Concluding remarks center on reducing classroom clutter and providing adequate storage. The discussion emphasizes the importance of the use of objective evaluation to obtain a clear idea of the environment's condition. (RH)