Navigation of an Autonomous Underwater Vehicle (AUV) is a problem that has not been adequately solved. Although the inclusion of the Global Positioning System (GPS) into AUV navigation has been briefly examined before, this possibility is explored further in this report. GPS and Inertial Measurement System (INS) based navigation package offers many advantages for AUV navigation especially for transit and precise object location in shallow water. This report provides background information on GPS and INS as they pertain to small AUV employment. Other required components are also examined as they pertain to small AUV employment. The use of the GPS/INS navigation package for AUV transits and precise object location work is presented. Two preliminary Small AUV Navigation System (SANS) designs with specified components are developed. GPS, INS, IMV, Navigation, AUV missions Computer System Hardware, Real-Time Software.