From press release:
Louisville, Ky – The University Medical Center (UMC) and the University of Louisville (UofL) announced today that they have entered a partnership that brings together University Hospital and the James Graham Brown Cancer Center with KentuckyOne Health. The agreements for the partnership have been signed by the partners along with Governor Steve Beshear.
This new collaboration with KentuckyOne Health is essential for University Hospital | James Graham Brown Cancer Center to continue its core mission as an innovative academic medical center and a vital regional safety net hospital that provides the highest level of care to all patients. This partnership will maintain local control of the hospital. Additionally, it enables the University of Louisville to continue to recruit and retain the best faculty for its health schools, which are critical as the pipeline of future generations of doctors, nurses, dentists and caregivers.
“Our Joint Operating Agreement ensures that we not only maintain our current academic and medical services, but that we have the financial resources and statewide network to continue to expand and innovate those services for the future,” said UMC President and Chief Executive Officer Jim Taylor. “This venture will put us at the forefront in our field to create an aligned organization that has both the breadth and depth to address the coming challenges of health care reform.”
This agreement comes as a result of a thorough, year-long effort to find a partner that fits the needs of UMC, UofL and the Louisville community, using the Commonwealth procurement process, recommended by Gov. Beshear and Attorney General Jack Conway. Their input and support were essential for this partnership to proceed.
All current UMC policies for women’s health, end-of-life care and its pharmacy remain unchanged. UMC will continue to manage and operate University Hospital’s Center for Women and Infants (CWI). All women’s health services will continue to take place at CWI, at the same location and provided by the same people as today. This includes the full range of reproductive services.
“Kentucky’s strength is its people, and the health of our people is a critical element and every aspect of our future, from quality of life to economic competitiveness,” said Kentucky Governor Steve Beshear. “I congratulate the University of Louisville and others who have worked hard to create a partnership that benefits and protects our citizens’ health.”
According to UofL and UMC officials, KentuckyOne emerged as the preferred partner due to key strategic alignments in several key areas, including:
· Mission Alignment
o Shared commitment to meeting patient and community health care needs, furthering the potential of the UofL Health Sciences Center, proven commitment to innovation, and charity care
· Vision of Success
o Shared vision for statewide clinically integrated physician-led network
· Historical Collaborations
o 60-year history of academic and research partnership, including current partnerships in cardiovascular, transplant and physical medicine and rehab
o Non-profit physician-led culture focused on high quality care and employee satisfaction
Highlights of the partnership include:
· $543.5 million of investment during the first five years, expanding to $1.394 billion over 20 years; including,
o $75 million annually for academic and program investments and another $95 million over the first three years for key service lines and departments;
o $70 million for critically needed IT infrastructure upgrades at UMC;
o $15 million for discretionary spending by UofL for each of the first three years, targeted on statewide health efforts; and