Russ mentions the PCV system. Positive Crankcase Ventilation. If the PVC valve or any part of the system is clogged, or the oil has been sitting stagnant for quite some time, condensation will build up in the areas that contains the oil. From my experience, this is what is happening to your oil. The PCV system allows the condensates to escape by letting them circulate and move into the intake manifold. They are slowly burned off in the combustion chambers and removed through the exhaust system. You may have a crack. You might not. I would drain the oil, pull the pan, clean it thoroughly before putting it back on, then replace the oil and filter if so equipped. Run the engine for quite a while (30-40 minutes) Get it good and hot. Run it around the neighborhood. Have some fun. Now drain the oil again and put in fresh. Run the engine until hot again. Now check the oil. If not milky after both oil changes, you're probably in good shape.
I know this seems like a waste of good oil, but tearing the engine down could be far more of a waste (of time) just to find you just needed to change out the old nasty oil.