The Omnibus Reconciliation Act was passed by Congress in December, 1980. Contained in the Act are a number of changes in the sections relating to home health care in Title XVIII of the Social Security Act. These are scheduled to go into effect on July 1, 1981. In this article, the legislative history of the five key provisions is presented. The potential impact of each measure on the organization and delivery of home health services is evaluated. The available evidence indicates that the impact of these five provisions will be minimal. The article concludes with a number of policy recommendations.