Published May 28, 2026
About This Audit
The Tobacco Settlement Act of 2001 requires the Department of Human Services (DHS) to provide payments to hospitals for uncompensated care, utilizing either uncompensated or extraordinary expense approaches. Forbes Hospital’s claims for the fiscal year ending June 30, 2025, were analyzed for eligibility under the extraordinary expense method, with three of five claims qualifying. The analysis verified inpatient and Medical Assistance (MA) days data for the fiscal year 2024, noting a reporting error for inpatient days. Forbes Hospital must adjust its claims database to maintain eligibility for the 2027 Tobacco Settlement Payment. DHS will use verified claims and days data to determine subsidy entitlements, allowing eligible hospitals to choose between the two methods for calculation. Adjustments are required by October 31, 2026, especially if additional claims exceeding a specified threshold are submitted. This is an automated summary. Please rely on the contents included in the released audit report.