UPMC Mercy – Allegheny County – Tobacco Settlement Payment Data for Year 2026

The letter from the Office of the Auditor General to UPMC Mercy’s CFO details the procedures and findings relating to the 2026 Tobacco Settlement Payments. Under the Tobacco Settlement Act, hospitals may receive payments for uncompensated care via two methods: the uncompensated care or extraordinary expense approaches. The auditor examined UPMC Mercy’s claims to determine eligibility for extraordinary expense payments for the fiscal year ending June 30, 2024. Of the 15 claims evaluated, 10 were deemed to meet the criteria for extraordinary expense claims. The audit confirmed the accuracy of UPMC Mercy’s inpatient and Medicaid days data for June 30, 2023. UPMC Mercy must update its claims database and cost reports for accuracy in future payment calculations. The report’s findings help determine UPMC Mercy’s eligibility for Tobacco Settlement subsidies, providing detailed guidance on data submission and verification processes. This is an automated summary. Please rely on the contents included in the released audit report.