Medicare-Medicaid Administrative and Reimbursement Reform Act

[AI summary unavailable — showing source text] Medicare - Medicaid Administrative and Reimbursement Reform Act - Establishes a new method of reimbursement for routine operating costs for hospitals under the Medicare and Medicaid programs. Requires the establishment of uniform accounting and cost allocation system for determining operating and capital costs of hospitals providing services. Requires the establishment of a system by which hospitals will be classified by such criteria as (1) size; (2) type of hospital (general, teaching, or specialized care); and (3) other criteria. Stipulates that the term "routine operating costs" does not include: (1) capital costs; (2) direct personnel and supply costs of hospital education and training programs; (3) costs of interns, residents, and non-administrative physicians; (4) energy costs associated with heating and cooling the hospital plant; and (5) malpractice insurance expense; or (6) ancillary service costs. Directs the Secretary of Health, Education and Welfare to determine annually for the hospitals classified in each category of the hospital classification system established by this Act, an average per diem routine operating cost amount for use in determining the reasonable cost…