“…In urban areas, capitation revenue usage, in most cases, is lacking to finance operational PHCs (Kurniawan et al, 2016;Pasaribu et al, 2019;Yulianto and Nadjib, 2017). Puskesmas used capitation revenue to pay top-up income to incentivize employees to improve quality care, but it is not synonymous with an increase in quality improvement (Kurniawan et al, 2016;Shofiyah and Bastian, 2020;Sumardjoko and Akhmadi, 2020;Yulianto and Nadjib, 2017).…”