Final answer:
The Utilization Review Act of 1977 required hospitals to conduct continued-stay reviews for Medicare and Medicaid patients to manage healthcare costs and efficiency.
Step-by-step explanation:
The Utilization Review Act of 1977 required that hospitals conduct continued-stay reviews for Medicare and Medicaid patients (Option A). This legislation was part of a broader effort to manage the costs associated with these government-sponsored healthcare programs. In this context, continued-stay reviews were designed to assess the necessity and appropriateness of hospital stays for patients covered by Medicare and Medicaid, to ensure that care was provided efficiently and to prevent unnecessary healthcare spending.
It is important to note that this act was distinct from the individual mandate provision of the 2010 healthcare reform, commonly known as the Patient Protection and Affordable Care Act (ACA or Obamacare), which required individuals to maintain minimum essential health coverage or face a tax penalty (Option C). Moreover, the Medicaid program, established earlier, provided health-care coverage for low-income individuals, and this act did not provide additional funds to the states for expanding coverage, unlike other healthcare legislation (Option D).