An Act to amend title XVIII of the Social Security Act, and for other purposes.

(House agreed to certain Senate amendments with an amendment)

=Title I: Provisions Relating to Health Services= - Requires that the prevailing fees recognized under title XVIII (Medicare) of the Social Security Act for fiscal year 1976 are not less than those for fiscal year 1975. Extends for three years the existing authority of the Secretary of Health, Education, and Welfare to grant temporary waivers of nursing staff requirements for small hospitals in rural areas. Maintains the present system of coordination of the medicare and Federal Employees' Health Benefit programs. Provides for the correction of a technical error in the law that prevents increases in the medicare part B premiums.

Requires the Secretary to poll physicians in States that have been divided into more than one Professional Standards Review Organization (PSRO) area on such physicians' desire for a statewide PSRO; such organization to be established if so desired.

Requires skilled nursing facilities to meet the provisions of the updated 1973 Life Safety Code. Provides that such facilities already in compliance with the 1967 Code remain qualified under that Code.

Permits the Secretary to approve a grant designed to enable the Sacramento Medical Care Foundation- or an organization with similar characteristics-to participate in a demonstration project to obtain data on health maintenance organization reimbursement mechanisms. Permits reimbursement of the foundation for health services performed prior to the beginning of the project.

Extends the limitation on the Secretary's authority to recognize any organization other than a physicians' association as a PSRO from January 1, 1976 to January 1, 1978.

Requires the Secretary to study the appropriateness of reimbursement of costs under part B of Medicare incurred in connection with providing prosthetic lenses for patients with aphakia.

Requires that substantial numbers but not necessarily all hospitalization cases under medicaid must be subjected to a utilization review.

Requires a State plan for medical assistance to include the State's consent to suit by a provider of services under such a plan.

Requires hospitals to pay PSRO's for utilization reviews conducted by such PSRO's.

=Title II: Provisions Relating to Food Stamps Provided to AFDC Families= - Extends until October 1, 1976, the States' option to withhold the food stamp purchase price from an Aid to Families with Dependent Children grant for those recipients under the Social Security Act who wish to purchase food stamps.

=Title III: Internal Revenue Code Amendment= - Provides that, pursuant to the Internal Revenue Code, obligations, the proceeds of which are to be used to reconstruct the American Falls Dam in Idaho are income tax-exempt.