To provide for a hardship waiver for recoupment of certain Medicare payments.

Directs the Secretary of Health and Human Services, in the case of a sole acute care critical access hospital serving a rural underserved area that is a Hurricane Katrina disaster area, to: (1) waive any recoupment or recovery of certain alleged Medicare overpayments in order to permit the facility's continued provision of critical services to its Medicare and underserved populations; and (2) impose no sanction against the facility in connection with any related cost report filing.