This article examines whether the fact that a parent or prospective parent is gay should be considered when the state places children in adoptive and foster care homes, resolves child custody disputes, and establishes policy with respect to access to assisted reproductive technologies (ART). I focus on whether consideration of adults’ sexual orientation is likely to promote the positive development and well-being of children. I examine the value issues, with special focus on the claim that children should be placed only in “optimal” families, the relevant social science research, and a range of policy options. I conclude that it is almost always detrimental to children if decision-makers consider an adult’s sexual orientation when making placement decisions.