Opportunities To Reduce Administrative Costs of Professional Standards Review Organizations

Professional Standards Review Organizations (PSRO) were established in order to assure that health care services provided under Medicare and Medicaid conform to appropriate professional standards and are delivered in the most effective, efficient, and economical manner possible. On November 14, 1977, the Department of Health, Education, and Welfare (HEW) announced that it was increasing the maximum allowable compensation for PSRO Executive Directors and Medical Directors.