Published June 6, 2025
About This Audit
The letter from Timothy L. DeFoor, the Auditor General, details the procedures performed to assess the eligibility of Guthrie Troy Community Hospital for the 2026 Tobacco Settlement Payment. Under the Tobacco Settlement Act, hospitals may receive compensation for uncompensated care through either an uncompensated care approach, calculated by a set of data elements, or an extraordinary expense approach based on claim costs exceeding twice the average for uninsured inpatient services. The analysis showed no potentially eligible extraordinary expense claims for the fiscal year 2024, rendering the facility ineligible for that payment method. The inpatient and MA days data submitted for 2023 were mostly substantiated, though some discrepancies were noted. The final eligibility for subsidy payments will be determined by DHS using verified data, and hospitals may choose their preferred calculation method if qualifying under both. The facility can still submit claims as self-pay if they exceed a certain charge threshold before October 31, 2025.