DIRECTIVE	:	UNEMPLOYMENT INSURANCE PROGRAM LETTER NO. 42-94
TO	:	ALL STATE EMPLOYMENT SECURITY AGENCIES
FROM	:	MARY ANN WYRSCH Director Unemployment Insurance Service
SUBJECT	:	Revenue Quality Control (RQC) - Rationale for Computed Measures and Changes to Form ETA 581, Contribution Operations Which Impact Measures

1. Purpose. To provide State Employment Security Agency (SESA) staff with information to assist in reviewing and analyzing RQC Computed Measures and to indicate where revisions were made to the ETA 581 Report to accommodate these measures.

2. References. UIPL 42-93 (August 31, 1993), UIPL 32-94 (June 24, 1994)

3. Background. During the summer of 1993 comprehensive training was offered on the RQC design and methodology. This training was attended by both RQC reviewers and Data Processing (DP) staff from fifty-two (52) SESAs (all but the Virgin Islands). At training, information was provided on the twenty-one (21) measures used to assess timeliness and completion in four of the functions under review (Status Determination, Report Delinquency, Collections and Field Audit). It was explained that data elements used to calculate the measures came, for the most part, from the ETA 581 report. Following training, all SESAs began voluntary implementation of the program.

   The ETA 581 report has been revised to accommodate planned changes in data elements for accounts receivable and to include the proper elements for the RQC measures. SESA staff raised additional questions concerning these changes to the ETA 581 report. With the release of UI Program Letter 32-94, which announced the implementation of a revised ETA 581 and institution of RQC Computed Measures effective with the first calendar quarter of 1995, it is essential that all SESAs understand the measures and report data correctly.

4. Clarification of Measures and Data Element Changes. Three attachments are provided with this directive. The first, Attachment #1, lists each of the RQC measures and provides rationale and information regarding their use. The second, Attachment #2, lists the changes made to the ETA 581 Report which were made to provide the data for RQC measures. The third, Attachment #3, lists tips and hints in finding and verifying data for Computed Measures. State staff in RQC, DP and preparation of required Federal reports may find this information helpful.

5. Action Required. SESA Administrators are requested to provide the attachments to the RQC reviewers, tax staff, DP staff and staff responsible for Federally Required Reports.

6. Inquiries. Direct inquiries to your Regional Office.

7. Attachments.