Illicit drug use has been spiraling in United States and this leads to increased environmental and intrauterine exposure of children. We retrospectively identified 190 children born in 1988, 1991 and 1990 with positive maternal drug screen and or maternal drug history. They were 5, 3, and 1 year old respectively at the time of the study. 95 of the drug exposed children were included in the subject group. There was no follow up for the rest. 95 children with no history of drug exposure were randomly matched for age, sex, gender, socioeconomic status and gestational age as control group. Besides hospital admissions and child abuse, diagnosis of developmental delays and seizure disorders were also recorded. Out of 95 drug exposed children 3 were diagnosed with seizure disorder and 5 with developmental delay. The difference from the control group was not statistically significant for both diagnosis; (x=0.29; p=0.59) and (x=0.15; p=0.69) respectively. This was attributed to the small sample size. Even though there was no statistically significant difference in the number of outpatient clinic visits (mean of drug exposed group=0.87, mean of control=1.1; t=0.71, p=0.47), there was a significant difference in hospitalization rate (x=14.6; p<0.0001). Drug exposed children were more likely to have a history of hospitalization (50%) than the control group (22%). Furthermore, drug exposed children were more likely to be hospitalized for accidents, injuries and burns (28%) when compared to control group (5%); (x=3.2; p=0.07). Child abuse and or neglect was reported for 30% of the drug exposed children. These data suggest that children exposed to drugs in utero need to be followed more closely by the pediatrician and interventions in this group may decrease hospital admissions.