The Department of Health’s eMedNY computer system processes Medicaid claims submitted by providers for services rendered.  We examined selected Medicaid claims processed during the six months ended March 31, 2009 to determine whether the claims were processed in accordance with procedures. We found that the claims were processed in accordance with procedures. However, we identified certain conditions that resulted in overpayments of approximately $1.2 million. We made eight recommendations to the Department to recover Medicaid payments and improve contracts over payments.