DIRECTIVE	:	UNEMPLOYMENT INSURANCE PROGRAM LETTER NO. 30-92
TO	:	ALL STATE EMPLOYMENT SECURITY AGENCIES
FROM	:	DONALD J. KULICK Administrator for Regional Management
SUBJECT	:	Status of Unemployment Insurance (UI) Program Performance Measurement Review (PMR) Project

1. Purpose. 

   1. To convey decisions reached by the UI system based on UI National Office, Regional and State participation on the PMR project, including performance measures to be field tested.

   2. To obtain comments on the feasibility of obtaining data for the proposed measures and their potential use for encouraging program improvement.

   3. To obtain from States expressions of interest in serving as a field test site.

2. References. Federal Register Notice No. 54 FR 2238; Unemployment Insurance Program Letter (UIPL) No. 10-89; UIPL No. 13-91.

3. Project Status. The PMR project began in the latter part of 1988. Its purpose is to examine, evaluate and improve the mechanisms for performance measurement in the UIS oversight of State Employment Security Agency (SESA) UI Programs.

   From 1988-1991, work was directed to oversight system design. This phase involved (1) identifying legal responsibilities that could require performance measurement: (2) identifying alternative performance measures for basic UI service areas, including benefit payments, adjudications; appeals and benefit payment control: (3) selecting measures to be tested based on criticality, potential State agency management and Federal oversight use and cost, among other factors: (4) determining how data will be obtained and stored; and (5) preparing a preliminary field test design for revised measures. The next phase of the project is the field test of selected measures which is described below.

4. Field Test. The field test to be conducted in up to six States, will provide information about the operational feasibility of data collection as well as the need for and use of collected data. In preparation for the test, measures will be refined and a final field test design prepared.

   The measures selected for field testing build on and strengthen the Quality Appraisal process. The attachment to this UIPL provides further background on the project, the current status, and the performance measures selected for the field test.

   Information on the field test and the application process for serving as a field test State will be provided to each Regional Office which will in turn share this information with States. Selection criteria will be applied by a National Office panel to SESA applications received through the Regional offices. The selection criteria are as follows:

   1. Geographic representation;

   2. Claims workload (we expect to select States with various workload levels);

   3. States selected should have a level of automation adequate to support the additional requirements of the field test including the availability of staff to program and retrieve needed information; and

   4. Commitment by SESA management.

5. Action Recruired. SESA Administrators are invited to:

   1. provide copies of this UIPL and Attachments to appropriate staff for comment on: 1) the feasibility of obtaining data for the proposed measures, and 2) the potential use of the measures for program improvement purposes;

   2. forward comments to the appropriate Regional Office by August 15, 1992. Comments will be taken into consideration in field test planning; and

   3. inform, the appropriate Regional Office of potential interest in serving as a field test State. Additional information on the field test will be available shortly, including information on funding, ADP assumptions for the field test and field test processes and time schedules.

6. Inquiries. Direct any questions to the appropriate Regional Office.

7. Attachment. Performance Measurement Review Phase I, Project Design.