Published June 6, 2025
About This Audit
The letter addresses the results of a review conducted to determine the eligibility of Nazareth Hospital for payments under the Tobacco Settlement Act. The Act enables hospitals to receive payments for uncompensated care, utilizing either an uncompensated care or extraordinary expense approach. Procedures were developed to verify claims and days reported by the hospital, revealing no qualifying extraordinary expense claims for fiscal year ending June 2024. Discrepancies were found in the hospital’s reported inpatient and Medicaid days, with various errors in figures submitted. The hospital must adjust its claims in the PHC4 database to maintain eligibility. DHS will calculate eligibility using verified data, allowing hospitals to select the most beneficial payment method. Additional eligible claims must be submitted by October 31, 2025. The report provides details on report distribution and available resources for further inquiries. The engagement report is publicly accessible.