This Task Force Report generates 5 general themes for improving the state foster care system (all geared to improving the functioning of the natural family and using foster care as a temporary tool to facilitate that process) and makes specific recommendations which deal with these themes. The 5 themes are: (1) during crisis situations, a child should be placed in a family compatible to the child's own family; (2) the foster care system should recognize, affirm and integrate differing cultural values if it is to provide effective services to its clients; (3) there must be sufficient numbers of staff persons to carry out the responsibilities for providing quality foster care; (4) foster parents are a key component in the foster care system and should be helped to meet their responsibilities; and (5) lines of jurisdiction and responsibility must be drawn among agencies providing foster care to promote clarity and not confusion within the foster care system. Recommendations are made in areas such as treatment planning, foster parent training, community involvement, liability insurance, case recording, recruiting of native foster homes, etc. Appendices include a description of the methodology, an outline of the contents of training manuals for foster parents and natural parents, and a method of calculating foster care rates. (SE)