SSA EVVE Fair Price Accounting Project

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SSA EVVE Fair Price Accounting Project
Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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Background

• Both SSA and NAPHSIS recognized the need to
  improve current exchange of birth and death data
  between agencies.
• As a result, SSA and NAPHSIS is piloting a
  message-based system (Electronic Verification of
  Vital Events or EVVE) in various states.
• OVRs EVVE pilots currently collect a fee from
  individuals requesting a vital record.

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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• With EVVE, providing a certification for SSA
  related activities will no longer be necessary,
  as SSA will access OVRs database electronically.
• SSA recognizes that this could have a negative
  impact on OVRs revenues and agreed to work with
  NAPHSIS by contracting with KPMG to determine
  what national price SSA should pay for access to
  each states vital records.

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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Project Objectives Scope

• KPMG conducted a study with the following state
  agencies
• Alaska Kansas
• Colorado Missouri
• Florida Washington
• Iowa
• Years study impacted were 1999, 2000 and 2001
• KPMG is to determine the cost incurred by each
  state agency related to processing online SSA
  certification and verification requests

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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• KPMGs goal is to develop a cost formula which
  factors in direct cost, indirect cost fixed
  cost.
• KPMG was to determine the fair price based on the
  cost structure, that each state agency should
  charge SSA.
• KPMG began the project by doing several surveys
  to enhance their knowledge of each states vital
  records processes.
• KPMG did preliminary research through NCHS,
  NAPHSIS individual states internet sites
  reviewed the model V.S. act.

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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• KPMG started by asking states for copies of their
  organization charts, annual reports, strategic
  plans, audit reports other documents regarding
  the certification verification processes.
• KPMG developed process maps from the information
  gathered developed a series of questions
  (interview questionnaire) for telephone
  interviews that allowed them to complete the
  process flowcharts.

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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State of Florida KPMG Meetings

• November 8, 2002
• Two conference calls between Florida Office of
  Vital Statistics KPMG to answer general
  questions concerning the Birth Death Record
  Management Processes.
• Original study Involved 63 birth questions 64
  death questions. Revised to include 29 birth 30
  death questions.

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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• November 13, 2002
• Three hour conference call between Florida Vital
  Statistics KPMG to review items needed during
  the site visit that were presented in the
  Document Data Request List.

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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December 16-20, 2002

• KPMG site visit to Florida Vital Statistics in
  Jacksonville, FL. Upon arrival, KPMG was provided
  with the list of items in the Document Data
  Request List during a kickoff meeting. During the
  visit, KPMG interviewed vitals staff to determine
  how employees spent their time between the
  different types of vital records (i.e., birth,
  death, other).

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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Travel Week-State, KPMG Employee(s)
Due to short timeframe vast geographical
distance of pilot states, KPMG organized three
teams to complete analysis travel according to
above table.
Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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Document/Data Request List

• Purpose of the document list is to enhance KPMGs
  knowledge of the raw data that each state agency
  may be able to provide on volume, cost, pricing
  general information associated with the Vital
  Statistics Records Management operation.

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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General Documents Provided to KPMG

• Strategic plan
• List of all the organizations budget/object
  class of expense categories/items
• Annual financial statements for past 3 years
• Annual budget reports for 3 years

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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General Documents

• Annual management /or cost reports
• Number and cost of contractors engaged for VS
  records management
• Number of FTE s (incl. partial FTEs) per
  department
• Number of FTEs (incl. partial FTEs) by
  function/process
• Number of FTEs (incl. partial FTEs) by type of VS
  record/document produced
• Time-tracking, payroll or other reports
  FTEs/individuals included in item 4, (annual
  budget) showing number of hours spent doing or
  supporting VS records management.

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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General Documents

• Salary information (including benefit costs)
  FTEs/individuals included in item 4 (annual
  budget) showing number of hours spent doing or
  supporting VS records management
• Reports information on the Local Registrars
• Reimbursement arrangement
• Number of offices
• Memorandum of Understanding (if any)
• Number of FTEs

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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General Documents

• Other annual reports
• Office equipment acquisitions/transfers usage
  rate by department
• Software acquisitions usage rate by department
• Other expenditures made usage rate related to
  VS records management
• Square footage of space utilized, by department,
  for VS records management
• Office materials and supplies and usage rate

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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Volume/Data Documents

• Entire records population set, by type
• Number of birth records maintained for each year
  in database.
• Number of death records maintained for each year
  in database.
• Number type of other records maintained for
  each year in database.

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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Volume/Data Documents

• Birth records population set
• Number of newly established records for each year
• Number of amendment request to existing records
  per year
• Death records populations setSame data as
  above.

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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Volume/Data Documents

• Online Certification Query Logs (SASRO)
• Online Verification Query Logs (SASRO)
• Manual issuance logs certification
  requests/searches Total number of birth /death
  request issuances
• Manual issuance logs verification
  requests/searches Same as above.
• Manual issuance logs other requests

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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Price Information

• Documents explaining the basis for setting /or
  increasing prices
• Copies of statutes and rules
• Price/fee schedule for birth related requests
• Fee schedule for births, amendments,
  certifications, verifications, other abstracts,
  indexes, etc.

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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Price Information

• Price/fee schedule for death related requests
• Fee schedule for deaths, amendments,
  certifications, verifications, other abstracts,
  indexes, etc.
• Price/fee schedule for other types of record
  related requests
• Marriage and divorce records.

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• NAPHSIS seven states had weekly conference
  calls regarding SSA/KPMG cost study.
• Non-disclosure agreement was signed between seven
  states SSA/KPMG.
• States developed list of V.S. services relating
  to issuance of records addressing common
  certification issues

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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• Discussed issues KPMG did not understand upon
  visit, cost states charge for searches, not found
  statements, adoptions, amendments, sealed records
  and difference between verification
  certification.
• Local Registrars were not included in study even
  though extensive information was provided to
  KPMG/SSA on telephone and on-site visit.

Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003
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Outcome of study will be a final report on
prices, volumes revenue impact.
Vital Information Re-engineering to Meet the
Nationwide Challenge New York, NY June 8th
12th, 2003