RALEIGH, N.C. (AP) — An audit of the North Carolina Department of Health and Human Services released Wednesday says it has failed to fully test a new $484 million computer system scheduled to begin processing Medicaid claims on July 1.

The report issued by the office of State Auditor Beth Wood raises serious questions about the process used to affirm that the complex NCTracks software will be ready to handle the more than $12 billion in Medicaid claims paid by the state each year.