Altimeter settings are corrected for elevation of the station. Imagine an
airport which is at 1000 ft. in elevation. On a standard day the altimeter
setting on ATIS will say 29.92, but the actual air pressure is closer to 28.92
(using 1in/hg per 1000 ft). Yet when set to 29.92 your altimeter will read
field elevation of 1000 ft when you land.