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University Medical Center and University of Louisville Announce Partnership with KentuckyOne Health

LOUISVILLE, Ky.  — The University Medical Center and the University of Louisville 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 Gov. 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.

“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 CEO 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 healthcare 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 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. All women’s health services will continue to take place at CWI, at the same location and provided by the same people. This includes the full range of reproductive services.

Highlights of the partnership include $543.5 million of investment during the first five years, expanding to $1.394 billion over 20 years; including,

  • $70 million for critically needed IT infrastructure upgrades at UMC;
  • $15 million for discretionary spending by UofL for each of the first three years, targeted on statewide health efforts; and
  • $3 million will be dedicated for research annually and $7.5 million per year in capital investment for technology.

“Above all, this collaboration will continue to improve healthcare outcomes for the Louisville community and Kentucky through a shared mission focused on teaching and academics, charity care and research and innovation,” said Ruth Brinkley, KentuckyOne Health CEO. “This partnership will create an integrated, comprehensive health system that will change healthcare for generations to come.”

Work on the partnership will begin immediately with an implementation on or before March 1, 2013.


Posted November 14, 2012

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