Published June 23, 2025
About This Audit
Barnes Kasson Hospital underwent a review by the Department of Human Services (DHS) to determine their eligibility for payments under the Tobacco Settlement Act. The Act provides compensation for hospitals offering uncompensated care services through either an uncompensated care or an extraordinary expense approach. Barnes Kasson Hospital reported one claim that qualified under the extraordinary expense method, potentially allowing them to receive subsidies for 2026. The hospital’s inpatient and Medical Assistance (MA) days for the fiscal year ending June 30, 2023, were substantiated. DHS will use the hospital’s verified data to calculate potential subsidy entitlements. Barnes Kasson Hospital has until October 31, 2025, to submit additional qualifying claims. The report was distributed to various DHS officials and hospital executives, emphasizing the importance of accurate data submission to maintain eligibility for settlement payments. The cooperation of Barnes Kasson Hospital during the audit process was acknowledged.