A bill to eliminate the benefit reduction which is provided for supplemental security income recipients in certain long-term care institutions when such institutions do not meet the standards established by States under section 1616(e) of the Social Security Act, to authorize payments to States to cover the cost of training and compensating personnel to inspect such institutions, and for other purposes.

Amends the program of optional State supplemental payment under title XVI of the Social Security Act (Supplemental Security Income for the Aged, Blind, and Disabled) (SSI) to direct the Secretary of Health, Education, and Welfare to furnish States with such information about residential institutions, foster homes, and group living arrangements in which a significant number of recipients of SSI benefits are residing as is necessary for the States to establish and enforce standards for such institutions. Sets forth specific matters which such State standards must cover.

Deletes the requirement of a reduction of the payment of an SSI beneficiary who lives in such an institution, home, or group living arrangement when such residence does not meet State standards.

Directs the Secretary, upon findings that the standards established by a State under this Act will assure a reasonable standard of well-being for residents of such institutions, to reimburse the State for the costs attributable to the compensation or training of personnel responsible for inspecting such institutions to determine whether they comply with the standards established by the States.