Amends title XVIII (Medicare) of the Social Security Act (SSA) with respect to the computation formula for the interim system of limited…

Official title: To amend title XVIII of the Social Security Act to delay the 15% reduction and to make revisions in the per beneficiary and per visit payment limits on payment for health services under the Medicare Program, and for other purposes.

Amends title XVIII (Medicare) of the Social Security Act (SSA) with respect to the computation formula for the interim system of limited payments for services provided by home health agencies, as amended by the Balanced Budget Act of 1997 (BBA '97). Creates a new formula for calculation of the agency-specific per beneficiary annual limitation for cost reporting periods beginning on or after October 1, 1998. Revises the rules for new providers for such cost reporting periods. Increases reasonable per visit costs for reporting periods beginning on or after October 1, 1998, from 105 percent to 110 percent of the median of the labor-related and nonlabor per visit costs for free standing home health agencies. Amends BBA '97 to postpone from October 1, 1999, to October 1, 2000, implementation of the mandatory 15 percent reduction in cost and per beneficiary limits under such interim system. Amends part C (Medicare+Choice) of SSA title XVIII to: (1) change the number of individuals eligible to enroll for coverage in a demonstration Medical Savings Account plan from 390,000 to 100,000 (for any date before January 1, 2004) or 500,000 (for any date thereafter); and (2) provide for a three-year extension of such type of coverage.