Published October 5, 2026
About This Audit
The Tobacco Settlement Act requires the Department of Human Services (DHS) to compensate hospitals for uncompensated care via two methods: uncompensated care score and extraordinary expense approach. Lehigh Valley Hospital underwent procedures to validate claims for the fiscal year ending June 30, 2025, per DHS’s request. Among 126 claims reported, 66 met the eligibility criteria for extraordinary expense claims, suggesting potential eligibility for the 2027 Tobacco Settlement Payment Year. Claims qualifying under extraordinary expenses should ensure patients were uninsured and not compensated by third parties such as Medicare or Medicaid. The evaluation found some claims were ineligible due to being paid by patients or insurers. Adjustments were needed for several other claims to correct total charges reported. These adjustments are necessary for accurate inclusion in the PHC4 Database, impacting potential settlement payments. This is an automated summary. Please rely on the contents included in the released audit report.
