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People who can't say no...
...can't be helped. Around here, full time childcare from 7am - 6pm cost about $500/month per child. If you have two kids in the same day care, you usually get a 10% discount for the second child. That's $950 per month for two kids. SIL is worried that something bad might happen with a caretaker?! The only bad thing that would certainly happen is an almost $1000/month hit to her pocket book (and our area is CHEAP as far as child care goes!). SIL is taking advantage of your MIL and MIL doesn't dare say 'no' to your SIL, most likely because she doesn't want to ruin the good relationship.
Where does leave you and your worries about the little nephew? Do you want to take care of him (and the new baby) for those 60 hours? Probably not. Will SIL start shelling out +$950/month for day care because you tell her that her children are not adequately cared for? I doubt it.
My advice: Move on. It’s a lost cause…