A bill to amend part B of title XI of the Social Security Act to make certain reforms in the program of review of professional medical services provided under the Social Security Act, and to protect the confidentiality of medical records.

[AI summary unavailable — showing source text] Requires the Secretary of Health, Education, and Welfare to assist the National Standards Review Council in proposing guidelines for selection of professional standards review areas, under the Medicare and Medicaid provisions of the Social Security Act. Directs, after selection of such areas, that an agreement be entered into between the Secretary and a qualified organization which shall be the Professional Standards Review Organization (PSRO) for such area for five years. Defines qualified organizations to include specified private nonprofit organizations and associations and public agencies. Allows the Secretary to waive review and control activities under this Act where he finds effective review and control by PSRO's. Allows a majority of the doctors in an area to negate selection of a PSRO. Establishes a trial period for a PSRO before it becomes fully responsible for review and control of medical services within its area. Sets forth duties of PSRO's, including review of medical services to determine: (1) if they were necessary; (2) if they meet professional standards; and (3) what impatent services could be changed to outpatient services. Limits physicians' reviews of patient s…