Published September 5, 2025
About This Audit
The Tobacco Settlement Act requires the Pennsylvania Department of Human Services (DHS) to disperse funds to hospitals for uncompensated care. Hospitals qualify through uncompensated care scores or extraordinary expense claims. For the fiscal year ended June 30, 2024, Pennsylvania Hospital reported 64 potentially eligible extraordinary expense claims totaling $32,083,168.71. However, since the hospital did not submit documentation, it could not qualify for payment under the extraordinary expense method. The data provided on total inpatient days for fiscal year ending June 30, 2023, were mostly substantiated, with a minor discrepancy in FFS days due to a reporting error. PHC4 will issue instructions for self-verification, with inaccurate records leading to ineligibility for payments. The report’s findings contribute to DHS’s 2026 Tobacco Settlement subsidy payment distribution, indicating that Pennsylvania Hospital waived additional claims submission opportunities by not providing required documentation. This is an automated summary. Please rely on the contents included in the released audit report.