Amends existing law relating to public assistance to remove a supplemental component and to provide for an adjustment to payments under certain conditions; to revise dates for decreasing each skilled care facility's quarterly rate and to remove provisions regarding incentive payments; to revise the reimbursement rate for intermediate care facilities for the mentally retarded and to remove a prospective rate component; to revise a date through which a certain reimbursement rate shall remain constant; to remove a policy statement with regard to reduction of pharmacy reimbursement levels for Medicaid and to provide for a periodic cost survey to establish a pharmacy reimbursement fee schedule.