1. Federal regulations require states to use an EQRO to review the care provided by capitated managed care entities. EQROs may be a quality improvement organization (QIO) program, another entity that meets peer review organization requirements, or a private accreditation body. 2. Organization with which a state contracts to evaluate the care provided to Medicaid-managed eligibles. Typically, the EQRO is a peer review organization. It may conduct focused medical record reviews targeted at a specific clinical condition or broader analyses on quality. Although most EQRO contractors rely on medical records as the primary source of information, they may also use eligibility data and claims/encounter data to conduct specific analyses.