Many very young children attend early care and education programs, but current information about the quality of center-based care for toddlers is scarce. Using 2 observation instruments, the Infant-Toddler Environment Rating Scale-Revised (ITERS-R) and the Classroom Assessment Scoring System, Toddler Version (CLASS-Toddler), 93 child care classrooms for toddlers across the state of North Carolina, representing a range of quality, were assessed to determine overall quality, and associations between observed quality and teachers' ratings of child behavior problems and competence outcomes using the Brief Infant Toddler Social Emotional Assessment. Research Findings: Findings indicated that overall, toddler classrooms were rated as being of moderate quality. Associations between observed quality and teacher-reported child behavior problems and competence outcomes indicated that CLASS-Toddler ratings were positively associated with fewer behavior problems; specifically, children in classrooms with higher levels on the CLASS-Toddler domains of Emotional and Behavioral Support as well as Engaged Support for Learning were reported to have fewer behavior problems. Similarly, the ITERS-R subscales of Interaction and Listening and Talking were positively related to fewer reported behavior problems. Regression models showed that the CLASS-Toddler Emotional and Behavioral Support domain predicted differences in child behavior problems. (author abstract)