Medicare-Medicaid Administrative and Reimbursement Reform Act

[AI summary unavailable — showing source text] Medicare-Medicaid Administrative and Reimbursement Reform Act - Establishes additional requirements applicable to the determination of the reasonable costs of services provided by hospitals under titles XVIII (Medicare) and XIX (Medicaid) of the Social Security Act. Directs the Secretary of Health, Education, and Welfare to establish a system by which hospitals will be classified by: (1) size; (2) type of hospital; (3) location (rural or urban); and (4) other criteria determined by the Secretary to be appropriate. Defines the term "routine operating cost" as used in this Act. Stipulates that such term 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 expenses; or (6) ancillary service costs. Directs the Secretary to determine for the hospitals in each category an average per diem routine operating cost amount, based upon the amount of the hospitals' routine operating costs, to be used in making payments to such hospitals. Establishes a Health Fa…