School of Medicine Faculty,

The School of Medicine (SOM) and UCSF Health value our partnership, which allows us to be one of the most outstanding academic health systems in the country. Effective today, we launch an updated financial framework (referred to as funds flow), which provides funding for critical investments in all mission areas and supports operational efficiency, advances medical education, and fosters clinical productivity. Importantly, the restructured funds flow acknowledges the pivotal role that teaching and research missions play in contributing to the overall success of our academic health system.

Highlights of Changes
The new funds flow framework was developed after months of active partnership and engagement by leaders across the SOM and UCSF Health. Two key changes in our clinical funds flow include:
  • An immediate contribution of approximately $7M from UCSF Health to the SOM.
  • Increased funding for Accreditation Council for Graduate Medical Education (ACGME) residents and fellows, and ACGME program administration.

The objectives of these modifications are to:
  • Serve as a catalyst for changing the way we work together, reinforcing our mutual dedication to continually improving the care we provide our patients.
  • Strengthen funding to secure and augment departmental finances.
  • Incentivize growth by aligning departmental funding with productivity.
  • Optimize operations by focusing on removing barriers to care and improving provider experience.

It is crucial to note that while productivity expectations are in place, most of our faculty are already meeting these benchmarks. We acknowledge the diligence and commitment of our clinical faculty—especially during the stress of the pandemic—and we deeply value the outstanding care that you deliver to our patients.

Implementation Process
Going forward, UCSF Health and the SOM will work more closely together on issues including clinical faculty recruitment, GME program expansion, and improving utilization of our clinical facilities. As next steps:
  • Individual department practices will be revised to support these changes.
  • Clinical Chairs, in collaboration with departmental leaders and stakeholders, will make critical decisions on how funds flow dollars are spent, including salaries and investments across all mission areas.

Additional Resources
As with any new process or policy roll-out, we realize that there will be a period of transition, and your departments are developing resources to answer any questions you may have regarding the direct impact of funds flow on your department/unit.

In the interim, please visit the Clinical Funds Flow website and check back soon for a comprehensive set of FAQs and models. Please reach out to your Department Chair/Director or Chief Administrative Officer (CAO) with any questions.

This revamped financial arrangement represents our collective commitment to improving systems and operations, thereby enriching the lives of the communities we serve. It is a pivotal move towards transforming our organization into a more agile and effective healthcare provider. We are proud of the many systems and procedures that have been put in place to help improve physician experience, increase volume, efficiency, productivity and patient access, and are dedicated to continuous improvement in these areas.

Thank you for all that you have done and continue to do for UCSF.


Talmadge E. King, Jr., MD 
Dean, UCSF School of Medicine

Suresh Gunasekaran
President and CEO
UCSF Health

Josh Adler, MD
Chief Clinical Officer
UCSF Health

Maye Chrisman 
Vice Dean for Administration and Finance
UCSF School of Medicine