Kentucky University Directed Payment Program Case Study

This case study outlines the collaboration between Sellers Dorsey and a coalition of healthcare providers, including the University of Louisville School of Medicine and the Norton Children’s Medical Group, to implement a directed payment program (DPP) in Kentucky. The program aims to raise Medicaid funding levels to improve access and patient outcomes for children in the Kentucky Medicaid program. The initiative provides primary and pediatric specialty care to one in five children enrolled in Medicaid. Over three program years, the coalition has worked to preserve supplemental funding, achieve significant improvements in quality measures, and ensure provider participation in performance-based payments. The DPP has led to the prevention of a health system closure, the opening of an urgent care clinic in an underserved area, and increased well-child visits. The collaborative efforts have also focused on enhancing care coordination and preventive care metrics, demonstrating the program's positive impact on healthcare quality in Kentucky.