U S UMMARY  

QUARTEERLY REPO
ORT – JULLY 2013
UIA INTEG
U
GRATED SSYSTEM P
PROJECTSS SUMMARY
Th
he State of Michigan’s Department of Lice
ensing and Reggulatory Affairss (LARA), Unem
mployment Inssurance Agenccy (UIA) has em
mbarked on a a multi‐year Syystem Integrattion Project to
o complete a comprehensivve and compllex rewrite of Michigan’s cu
urrent Unemplloyment Insuraance (UI) syste
ems. A moderrnized, integratted system wiill provide real‐time data shaaring across fu
unctions, increaase productivitty, enhance cu
ustomer service
e and ease of uuse, and provid
de flexibility in
n complying with changing feederal mandate
es and other rrequirements. The UIA provid
des critical, bi‐‐weekly, econo
omic support ffor Michigan w
workers and th
heir families, m
many of whom rely exclusivelyy on their unem
mployment coompensation fo
or daily living eexpenses. Th
he UIA–Integrated System (UIA‐IS) (
projecct will replace
e the 25+ yea r old legacy m
mainframe sysstem and all the various an
ncillary applicaations used byy UIA to delive
er customer se
ervice to Michiigan businessees and citizenss. Through a ccompetitive Reequest for Pro
oposal (RFP) procurement p
process, p
the State selected FAST Enterprises to configure and impleement their GenTax comme
ercial‐off‐the‐sshelf (COTS) application. a
This T
COTS soolution – referred to as M
Michigan Integgrated Data utomated Systtem (MiDAS) ‐ ‐ will replace the t current taax and benefit s mainframe ssystem. The d
design, develo
opment and Au
im
mplementation
n project startted on Augustt 29, 2011 and will run forr three (3) years. The Tax System comp
ponent was su
uccessfully imp
plemented into
o Production on o August 13,, 2012. The B
Benefits compo
onent is on‐scchedule to be installed in Seeptember 2013
3. The fully inttegrated Unem
mployment System (UI) will thhen enter a on
ne‐year warran
nty period, followed by up to
o seven (7) years of maintenaance and suppo
ort. To
o achieve thesse objectives, UIA and its state s
partner agency, a
the D
Department off Technology, Management and Budget (D
DTMB) contraccted with CSG Government Solutions S
(CSG
G) to provide ffull‐time, on‐siite Project Maanagement to oversee this co
omprehensive and complex p
project, and to function as th
he overall Projeect Control Offfice (PCO) overr the following projects: ƒ UIA
A MiDAS Projecct ƒ HB4
4408 ‐ compliaance with Housse Bill 4408, Be
enefit Paymentt Control (BPC)) Detection and
d Collection Prrocess Imp
provements ƒ Inte
egrity Initiative
e – Enterprise FFraud Detectio
on System (EFD
DS) ƒ Inte
eractive Voice Response (IVR
R) Systems Replacement and Software Upgrrades ƒ UIA
A Call Center Sttudy STTATUS UIA Michigan Integrated Data Automatted System (M
MiDAS) Th
he UIA MiDAS met its sched
dule and imple
emented the Phase P
I ‐ Tax aapplication on
n August 13th, 2012. This phase of the prroject was com
mpleted on‐sco
ope, on‐schedu
ule and on‐budget. Th
he MiDAS appllication has be
een operating ssuccessfully in Production foor over ten (10) months, with
h minor issues.. Some 987 UIA requiremen
nts and 3,658 rules were inccorporated intto the MiDAS Tax applicatio
on. The Emplo
oyer facing co
omponent – M
Michigan Web Account Manaager (MiWAM) – now has over o
62,023 Em
mployers utilizzing the on‐lin
ne application. This is an in
ncrease of 8,77
75 Employers sine the last rep
port. Th
he Benefits application (Phasse II of the pro
oject) complete
ed planning annd overview seessions late lasst year, and is completing th
he Design/Defiinition stage. An additionall 571 Requirem
ments and 3,3321 Rules havee been review
wed and discussed as the prroject moves through t
the Benefit function
nality. The prroject entered into the System Testing staage in mid‐Jun
ne, and will co
ontinue extenssive testing thrrough mid‐Auggust. The proje
ect is also devveloping and teesting the various internal and external in
nterfaces, as we
ell as developing all dashboard and reportss. Benefit convversion and daata purification
n activities conttinue. In
n January 2013
3, the project ssuccessfully up
pgraded the Tax production environment from client/seerver to web‐b
based. This m
maintenance an
nd support upggrade from the COTS vendor is providing ennhanced functiionality and a rrobust user intterface. July 11, 2013 ©2013 CSG
Page
e 1 QUARTEERLY REPO
ORT – JULLY 2013
UIA INTEG
U
GRATED SSYSTEM P
PROJECTSS House Bill 440
08 ‐ Benefit Pa
ayment Conttrol (BPC) Dettection and CCollection Pro
ocess Improveements UIA contracted with On Poin
nt Technologie
es to implement their COTSS recover colleections software solution. TThe project mented into Production P
inn September 2011. UIA has also im
mplemented sttarted in May 2011 and was implem
deetection/collecction process improvements
i
s and has show
wn a 33% incrrease in collecctions ($27.3M
M for 2010 vs. $35.3M for 20
012) when com
mpared year‐ovver‐year for the past two yeaars. This projecct is 100% com
mplete and in m
maintenance and support. Ad
dditionally, CSSG Governmen
nt Solutions – which manage
es the Project Control Officee (PCO) provid
ded an evaluation of BPC prrocesses and completed a report r
of reco
ommendationss for improvem
ments based o
on best practices and addittional state reesearch. These
e recommendaations are being incorporated
d into the UIA M
MiDAS and EFD
DS projects as applicable. In
nteractive Voice Response
e (IVR) System
m Replaceme
ent and Upgraades Th
he Interactive Voice Responsse (IVR) projecct is occurring in two phasess. The first ph
hase was an up
pgrade of the existing call ceenter hardware and is now 1
100% complette, with UIA an
nd DTMB havinng replaced th
he MARVIN an
nd Telephone FFiled Claims (TTFC) hardware systems in Julyy 2012. The old hardware an
nd telecomm liines have been
n decommissio
oned. Th
he second phaase is for the call center and IVR softwaare platforms to be upgrad
ded. Working with Genesyss (TFC) and Ceenturion (MAR
RVIN), the upgrade vendorss, the project completed thhe Discovery, Business Requirements and
d Technical Deesign phases in i the May – August 2012 time frame. Due to UIA prrogram changges and MiDASS project implementation deecisions, both the TFC and MARVIN Busin
ness Requirem
ments and Tec hnical Designss were review
wed again and updated in Jaanuary – February 2013. An
n independentt study of the overall existin
ng call center ttelephone Pubblic Branch Excchange (PBX) aand Auto Call Distribution (A
ACD) architectu
ure has conclu
uded, and a re
eport was pro
ovided to the State. Much of the existin
ng PBX/ACD eq
quipment is an
ntiquated and,, as such, shorrt term solutio
ons are being implemented tto allow the in
nterface of thee existing PBX//ACD phone eq
quipment to th
he TFC & MARV
VIN upgraded IVR systems. Th
he project is m
midway through the Build staage, and starting System Tessting. The projject is slightly behind schedu
ule, but has m
mitigation strate
egies develope
ed and buffer ttime in the schedule so as to not affect the MiDAS go–livee. In
ntegrity Initia
ative ‐ Enterprise Fraud De
etection Syste
em (EFDS) Prroject In
n late 2011 through much of o 2012, the UIA U – in coope
eration with aand support frrom DTMB, the Departmentt of Human Seervices DHS) and the Department of Comm
munity Health (DCH) ‐ movedd through a prrocurement prrocess to secure a design, deevelopment an
nd implementaation (DDI) ven
ndor to provide
e the State withh a Fraud Deteection softwaree application. In
n December 2012, the State Administration Board (Ad
d Board) apprroved the reccommendation
n of the Joint Evaluation Co
ommittee (JEC) and awarded
d a contract to SAS. Th
he EFDS project will implem
ment a commercial‐off‐the‐sh
helf (COTS) sofftware solutio
on to provide ffraud detectio
on based on Sttate and Federral guidelines. The goals are to: reduce the
e percentage oof UI and publiic assistance benefits paid du
ue to fraud; id
dentify and rep
port fraud characteristics byy individuals orr groups basedd on informatiion derived fro
om multiple so
ources; and reecognize patterns in data that reveal organized attempts to defraud thee unemploymeent and public aassistance systtems. Th
he project staarted in Janu
uary 2013, an
nd is workingg with the DH
HS Food Assiistance Prograam (FAP) to be the 1st im
mplementation
n, scheduled for f the Augustt‐September 2013 2
time fra me. The pro
oject has completed the Iniitiation and Pllanning stage, and is comp
pleting the installation of the t
hardware//software serrver environments, and begginning the pment stage. The project is on schedule
e at this time.. The implementation of the UIA fraud
d detection Deesign/Develop
co
omponents is sscheduled to sttart in the 4th q
quarter of 2013
3. A
APPROVED
D BUDGET (as of June 30,
(
2013) Total MiDASS Project Budge
et = $ 69,427,5
524 July 11, 2013 ©2013 CSG
Page
e 2 EExpenditures to
o Date = $ 30,7
749,022