To amend title XVIII of the Social Security Act to revitalize the Medicare+Choice Program, establish a Medicare+Choice competition program, and to improve payments to hospitals and other providers under part A of the Medicare Program.

[AI summary unavailable — showing source text] Amends part C (Medicare+Choice) of title XVIII (Medicare) of the Social Security Act (SSA) to revise the Medicare+Choice program, among other changes: (1) revising Medicare+Choice payment rates; (2) providing for specialized Medicare+Choice plans for special needs beneficiaries; (3) making coverage under Medicare+Choice medical savings account (MSA) plans permanent and eliminating the cap; (4) extending reasonable cost contracts; (5) creating a competitive bidding program for Medicare+Choice organizations; and (6) providing for establishment of competitive demonstration program. Makes a number of changes with regard to Medicare part A concerning inpatient hospital services, skilled nursing facility services, and hospices. Directs the Secretary of Health and Human Services to conduct a demonstration project for the: (1) delivery of hospice care to Medicare beneficiaries in rural areas; and (2) use of recovery audit contractors under the Medicare Integrity Program.…