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This Thesis aims to help establish a complementary §funding mechanism for health services in the context §of the current socioeconomic crisis in the emerging §Palestinian State. It focuses on the design of§an efficient and equitable cost-recovery mechanism §for primary health care services, based on the value §of improving the quality of care from the patients §perspective. The study makes use of the contingent§valuation method to assess the value, for the §patients, of improving the quality of care, by §eliciting patients willingness to pay values for §different quality improvements. A contingent §valuation questionnaire was designed based on a §decomposed valuation scenario and the payment card §elicitation technique, with user-based financial §contributions at the point of consumption being the §payment vehicle. The elicited values were used to §inform decision-makers about the highest§extra user fee patients would be willing to pay to §benefit from specified improvements in the §quality of care.