A Centre County, Pa., agency that refused to let a couple become foster parents because one of their children has AIDS has settled a lawsuit brought by the family and has agreed to change its policies. The settlement, which also includes a $100,000 payment to the couple, was approved by a federal judge Thursday.

The couple, identified in court papers as John and Mary Doe, sued Centre County and the Children and Youth Services agency in 1999 after their foster parent application was rejected because one of their adopted sons, then 10, had AIDS. The agency had adopted a policy in 1998 that couples with HIV-infected children could only care for foster children with HIV/AIDS.

Mary Doe had been named Foster Parent of the Year by the New York State Foster Parents Association before moving to Centre County. She adopted seven of the eight children in her care. She received a settlement that specifies that $55,000 goes to a special needs fund for Mary Doe, $15,000 goes to the couples and $30,000 covers lawyer expenses.

Under the agreement, the county will have to outline a new policy in published materials saying it won't discriminate against applicants, and it must train employees about HIV/AIDS and other infectious diseases. In addition, it must provide training to prospective foster parents about AIDS prevention and allow the Does to complete the application process.

A three-judge panel of the 3rd US Circuit Court of Appeals unanimously ruled in March that the chance of a foster child contracting AIDS from a sibling was "virtually nonexistent." US Circuit Judge Julio M. Fuentes wrote that out of 21,000 AIDS cases in Pennsylvania, there are no reported cases of virus transmission through normal family contact. That ruling overturned an earlier one in the county's favor.

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