‘‘(A)(i) at the time of the adoptive place-
ment, the child was in foster care under the re-
sponsibility of the State; or 
‘‘(ii) an adoption assistance agreement for 
the child is in effect under section 473 with re-
spect to the child; and 
‘‘(B) during the fiscal year, the period for 
which the adoption has lasted has become 12 
months. 
‘‘(4) GUARDIANSHIP
PLACEMENT.—The term 
‘guardianship placement’ means, with respect to a 
State and a fiscal year, the placement of a child with 
a caretaker pursuant to a legal guardianship if— 
‘‘(A) immediately before the placement, the 
child had been in foster care under the respon-
sibility of the State for no less than 12 months; 
‘‘(B) the State has determined that neither 
being returned home nor being adopted is an 
appropriate permanency option for the child; 
and 
‘‘(C) during the fiscal year, the period for 
which the placement has lasted has become 12 
months. 
‘‘(5) SPECIAL
NEEDS
GUARDIANSHIP
PLACE-
MENT.—The term ‘special needs guardianship place-
ment’ means, with respect to a fiscal year, a guard-
ianship placement, with respect to the fiscal year, of 
a child with special needs. 
‘‘(6) OLDER
CHILD
GUARDIANSHIP
PLACE-
MENT.—The term ‘older child guardianship place-
ment’ means, with respect to a State and a fiscal 
year, a guardianship placement of a child who has 
attained 9 years of age if, at the time of the guard-
ianship placement, the child was in foster care under 
the supervision of the State. 
‘‘(7) REUNIFICATION.—The term ‘reunification’ 
means, with respect to a State and a fiscal year, the 
reuniting of a child who is in foster care under the 
responsibility of the State with the family from 
whom the child was removed if— 
‘‘(A) immediately before the reuniting, the 
child had been in such care for not less than 1 
month; and 
‘‘(B) during the fiscal year, the period for 
which the child has remained reunited with the 
family has become 12 months 
‘‘(8) FOSTER
CHILD
ADOPTION
RATE.—The 
term ‘foster child adoption rate’ means, with respect 
to a State and a fiscal year, of the children in foster 
care under the responsibility of the State, the per-
centage who became subject to a foster child adop-
tion during the fiscal year. 
‘‘(9) BASE FOSTER CHILD ADOPTION RATE.— 
The term ‘base foster child adoption rate’ means, 
with respect to a State and— 
‘‘(A) fiscal year 2006, the foster child 
adoption rate for the State for fiscal year 2005; 
or 
‘‘(B) any subsequent fiscal year, the foster 
child adoption rate for the State for the fiscal 
year for which the rate is the greatest in the 
period that begins with fiscal year 2005 and 
ends with the fiscal year preceding that subse-
quent fiscal year. 
‘‘(10) OLDER
CHILD
ADOPTION
RATE.—The 
term ‘older child adoption rate’ means, with respect 
to a State and a fiscal year, of the children in foster 
care under the responsibility of the State, the per-
centage who— 
‘‘(A) have attained 9 years of age; and 
‘‘(B) became subject to an older child 
adoption during the fiscal year. 
‘‘(11) BASE OLDER CHILD ADOPTION RATE.— 
The term ‘base older child adoption rate’ means, 
with respect to a State and—
‘‘(A) fiscal year 2006, the older child adop-
tion rate for the State for fiscal year 2005; and 
‘‘(B) any subsequent fiscal year, the older 
child adoption rate for the State for the fiscal 
year for which the rate is the greatest in the 
period that begins with fiscal year 2005 and 
ends with the fiscal year preceding that subse-
quent fiscal year. 
‘‘(12) GUARDIANSHIP PLACEMENT RATE.—The 
term ‘guardianship placement rate’ means, with re-
spect to a State and a fiscal year, of the children in 
foster care under the responsibility of the State, the 
percentage who became subject to a guardianship 
placement during the fiscal year. 
‘‘(13) 
BASE
GUARDIANSHIP
PLACEMENT 
RATE.—The term ‘base guardianship placement 
rate’ means, with respect to a State and— 
‘‘(A) fiscal year 2006, the guardianship 
placement rate for the State for fiscal year 
2005; or 
‘‘(B) any subsequent fiscal year, the 
guardianship placement rate for the State for 
the fiscal year for which the rate is the greatest 
in the period that begins with fiscal year 2005