A bill to temporarily increase the Federal medicare assistance percentage for the medicaid program.

Declares that, if the Federal medical assistance percentage (FMAP) under title XIX (Medicaid) of the Social Security Act (SSA) for a State for FY 2002 is less than the FMAP for FY 2001, the FY 2001 FMAP shall be substituted for the State's FMAP for the last three calendar quarters of FY 2002. Declares similarly that, if a State's FY 2003 FMAP is less than the FY 2002 FMAP, the FY 2002 FMAP shall be substituted for each calendar quarter of FY 2003.

Requires each eligible State for each calendar quarter for the last three calendar quarters of FY 2002 through FY 2003 to be increased by 1.5 percentage points. Prohibits application of the FMAP increases for a State under this Act with respect to: (1) disproportionate share hospital payments under Medicaid; and (2) payments under SSA titles IV and XXI (State Children's Health Insurance) (SCHIP).