PROFESSIONAL Standards Review Organization (PSRO) was primarily the result of Sen Wallace Bennett's (R-Utah) determining that utilization review programs sponsored by some foundations for medical care were successful in minimizing average length of hospital stay without compromising the quality of medical care and that the already high cost of the Medicare, Medicaid, and Maternal and Child Health Programs would continue to escalate at an increasing rate in the future unless an effective control mechanism was established.
Foundations for Medical Care
In 1954, Kaiser-Permanente, one of the nation's largest health maintenance organizations, was asked by a large union to expand its operation into Stockton, Calif. As officials of Kaiser began investigating the possibility of such an action, members of the San Joaquin County (Stockton, Calif) Medical Society organized the Foundation for Medical Care of San Joaquin County, the first foundation for medical care in the country.Under
Dale MG. PSRO: A Primer. JAMA. 1974;229(2):157–158. doi:10.1001/jama.1974.03230400019023