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PA Department of the Auditor General

Published November 20, 2025

About This Audit

The Tobacco Settlement Program mandates the Department of Human Services (DHS) to compensate hospitals for uncompensated care through two methods: the uncompensated care approach or the extraordinary expense approach. An assessment at Allegheny General Hospital identified four claims eligible as extraordinary expense claims for the 2026 Tobacco Settlement Payment Year. Data verification showed minor discrepancies in total inpatient days but no differences in Medicare Advantage Days submitted for the fiscal year ending June 30, 2023. Facilities can choose between eligible methods for calculating subsidy entitlement. Allegheny must submit adjustments on claims to stay eligible. DHS will distribute payments based on verified datasets. DHS conducted thorough reviews but deemed detailed system reliability checks unnecessary. This is an automated summary. Please rely on the contents included in the released audit report.

Audit Type:

Audit County:

Pennsylvania Department
of the Auditor General