This question is with regards to a two body system consisting of two masses that interact via a conservative central force.
In polar coordinates, the Lagrangian can be written as
$$\frac{1}{2}M\dot{\vec{R}}^2+\frac{1}{2}\mu(\dot{r}^2+r^2\dot{\phi}^2)-U(r).\tag{1}$$
The $r$ equation is then
$$\mu \ddot{r}=-\frac{dU_{eff}(r)}{dr},\tag{2}$$
where
$$U_{eff}(r)=\frac{\ell^2}{2\mu r^2}+U(r).\tag{3}$$
($\ell\equiv$ angular momentum)
Simple analysis shows that the first term in $U_{eff}$ is simply $$(1/2) I\omega^2,\tag{4}$$ which is the rotational kinetic energy.
My question is, what is the physical significance / meaning / reason for combining the rotational kinetic energy with the potential energy as opposed to with the translational kinetic energy? That is, why define an effective potential energy instead of an effective kinetic energy?