A bill to amend the Social Security Act with respect to payments under medicare and medicaid to hospital providers of long-term care services (swing beds).

Amends title XVIII (Medicare) of the Social Security Act to authorize hospitals which have been granted a certificate of need for the provision of long-term care services to enter into agreements under which their inpatient hospital facilities may be used to furnish services which if furnished by a skilled nursing facility would constitute post-hospital extended care services. Provides that, where a hospital has not entered into such an agreement and long- term care services are necessary, payment may be made for such services as if such an agreement were in effect, if the hospital: (1) has an occupancy rate below 80 percent; and (2) could obtain a certificate of need.

Provides, under title XIX (Medicaid) of the Act, coverage for skilled nursing facility services and intermediate care facility services furnished by a hospital which has in effect an agreement under title XVIII.