Paoli Hospital – Chester County – Tobacco Settlement Payment Data for Year 2026

The Tobacco Settlement Act mandates payments to hospitals for uncompensated care services, with two approaches for qualification: the uncompensated care approach, based on a hospital’s care score, and the extraordinary expense approach, based on claim costs. An audit was conducted to evaluate Paoli Hospital’s eligibility for payments from the 2026 Tobacco Settlement. The audit assessed fourteen extraordinary expense claims and determined that eight qualified. Additionally, the hospital’s inpatient and Medical Assistance days for the fiscal year ending 2023 were verified as accurate. Recommendations were made to adjust non-qualifying claims within the PHC4 Database. The Pennsylvania Health Care Cost Containment Council will guide the facility on making the necessary adjustments. The audit will inform a report for the Department of Human Services to determine the hospital’s entitlement under the settlement. If eligible under both payment methods, the hospital can choose which method to use for the subsidy. This is an automated summary. Please rely on the contents included in the released audit report.