; (3) in paragraph (4)(B), by striking 85 percent and inserting 150 percent (100 percent for fiscal year 2018, 115 percent for fiscal year 2019, and 130 percent for fiscal year 2020) ; and (4) by adding at the end the following: (16) Foster care (A) In general The term foster care means 24-hour substitute care for a child placed away from the child’s parents or guardians and for whom the State agency has placement and care responsibility. The term includes care through a placement in a foster family home, a foster home of a relative, a group home, an emergency shelter, a residential facility, a child care institution, or a pre-adoptive home. (B) Rule A child shall be considered to be in foster care in accordance with subparagraph (A) regardless of— (i) whether the foster care facility is licensed and payments are made by the State or local agency for the care of the child; (ii) whether adoption subsidy payments are being made prior to the finalization of an adoption; or (iii) whether there are Federal matching funds for any payments described in clause (i) or (ii) that are made. (17) Gender identity The term gender identity means the gender-related identity, appearance, mannerisms, or other gender-related characteristics of an individual, regardless of the individual’s designated sex at birth. (18) High-quality and inclusive care The term high-quality and inclusive , used with respect to care (including child care), means care provided by an eligible child care provider— (A) that is at the highest tier of the State’s tiered and transparent system for measuring the quality of child care providers, under section 658E(c)(2)(W)(i); (B) for whom the percentage of children served by the provider who are children with disabilities and infants and toddlers with disabilities reflects the prevalence of children with disabilities and infants and toddlers with disabilities among children within the State