Transcript Northrop Grumman Template - FTA Home Page

State of New Jersey
Division of Revenue
State of New Jersey
Experiences in Tax Processing
Steve Csogi
August 17, 1999
Making Technology Work
Statewide
State of New Jersey Document Processing System
Outline
 Background
 DPS Project Scope
 System Architecture
 Forms
 Inscript Processing
 Results
 Next Steps
State of New Jersey
Division of Revenue
08/12/99 -Page 2
State of New Jersey
Division of Revenue
Background
State of New Jersey Document Processing System
New Jersey Division of Revenue
 Formed in January 1997
 Tax and revenue functions transferred from





Division of Taxation
Division of Motor Vehicles
Division of Commercial Recording
Department of Environmental Protection
Department of Labor
 State’s ‘Lock Box’ for revenue collections
 State’s Imaging Center
 1998 Inscript Customer of the Year - Capture ‘98
State of New Jersey
Division of Revenue
08/12/99 -Page 4
State of New Jersey Document Processing System
Tax Processing in New Jersey
 New Jersey Division of Revenue processes all tax




returns and payments from New Jersey taxpayers
8.6 million total returns filed each year
3.5 million personal income tax returns filed
1.6 million personal income tax returns filed in April
Annual processing requires:
 115 Permanent Staff
 400 Seasonal Staff
 Outside Contractor to extract and ‘prep’ tax returns
State of New Jersey
Division of Revenue
08/12/99 -Page 5
State of New Jersey Document Processing System
Where we were
 Processes were manual with traditional data entry
 Aging data entry equipment with excessive





maintenance costs
“Heads Down” data entry resulting in Repetitive Strain
Injuries and lawsuits
Data entry operators were being paid incentive
Shrinking labor market of trained data operators
Increased demand to “do more with less”
Paper returns were kept in files and stored
State of New Jersey
Division of Revenue
08/12/99 -Page 6
State of New Jersey Document Processing System
Front End Modernization Project
 Four Major Project Phases
 Automated Mail Extraction (OPEX Corporation)
 MPE 5.0 / System 150 / MPS 30
 6,000/hour vs. 150/hour
 Replacement of Data Entry System to open
architecture (Unisys/DCR)
 Integration of Image Enabled Remittance Processing
(Unisys/DP500)
 Full Page Image Processing - Document Processing
System (Logicon/Northrop Grumman)
State of New Jersey
Division of Revenue
08/12/99 -Page 7
State of New Jersey Document Processing System
Goals & Projected Return on Investment
 Reduce seasonal employee






hiring and salary expense
Less traditional data entry
Faster deposit of tax revenue
Faster refunds to taxpayers
Leveraging existing
technology investment
DPS throughput of 38,000
income tax returns per day
Expand functionality to add
new forms
State of New Jersey
Division of Revenue
08/12/99 -Page 8
State of New Jersey
Division of Revenue
DPS Project Scope
State of New Jersey Document Processing System
Project Scope - Size & Processing
 Process 4 million returns annually
 NJ1040s received in April must be processed through




DPS by May 31
DPS will operate over 2 shifts / 14 hrs per day
12 person hours are available for manned operations
such as scanning and verify
DPS is available 24 hours per day for unmanned
operations such as deskew, OCR/ICR, system backup
Net peak DPS requirement is to process 38,000
NJ1040s per day to achieve a maximum 6-week refund
turnaround
State of New Jersey
Division of Revenue
08/12/99 -Page 10
State of New Jersey
Division of Revenue
System Architecture
State of New Jersey Document Processing System
Functional Architecture
 Image Capture
 Data Capture
 Data Export
 System Services
State of New Jersey
Division of Revenue
08/12/99 -Page 12
State of New Jersey Document Processing System
Functional Architecture
 Image Capture Subsystem
 Scan Tax Documents and
Attachments
 Assign a Document Locator
Number and Form Codes
 Handle Input Errors and
Exceptions
 Maintain Batch Integrity
State of New Jersey
Division of Revenue
08/12/99 -Page 13
State of New Jersey Document Processing System
Functional Architecture
 Data Capture Subsystem
 Perform OCR on Machine
Print Text
 Perform ICR on Hand Print
Text
 Perform Review and Repair
for Low Confidence
Recognition, and Math/Edit
Errors
 Convert Image Fields to
ASCII Data
State of New Jersey
Division of Revenue
08/12/99 -Page 14
State of New Jersey Document Processing System
Functional Architecture
 Data Export Subsystem
 Accepts Tax Form Data from the Data Capture Function
 Reformats Data into Mainframe Output File Spec
 Transfers Image Data to Backend Imaging System
 System Services




Overall System Control and Process Flow
Manages Workflow and Data Structures
Handles Batch Creation and Processing
Monitors Local Network Communications
State of New Jersey
Division of Revenue
08/12/99 -Page 15
State of New Jersey Document Processing System
DPS Architecture
State of New Jersey
Division of Revenue
08/12/99 -Page 16
State of New Jersey
Division of Revenue
Forms
State of New Jersey Document Processing System
Forms Building Process - NJ1040
 Joint Project between State and Logicon/Northrop
Grumman
 Three Personal Tax Forms to Process
 NJ1040 Hand Print
 NJ1040 Machine Print
 HR1040 Hand Print (Homestead Rebate Only)
 State Establishes Policy and Form Rules
 Joint Team Designs Forms
 Northrop Grumman Implements Form and System
Changes
 Post-implementation Changes for Production
State of New Jersey
Division of Revenue
08/12/99 -Page 18
State of New Jersey Document Processing System
Forms Building Process
 Hand Print NJ1040 Forms
 Two pages/Four form-sides
 Barcodes (2-of-5 Encoding)
on each form side
 Multiple Registration Points
on each Form-side
 Constrained Boxes
 Number of Fields: 101
 Page 1 - 33
 Page 2 - 23
 Page 3 - 19
 Page 4 - 26
 Name and Address Block
Processing for both Label
and Non-label Returns
State of New Jersey
Division of Revenue
08/12/99 -Page 19
State of New Jersey Document Processing System
Inscript Forms Definition
 Hand Print NJ1040








2 Physical Pages - 4 Recognized form-sides
One FDF/form-side - 101 Total Fields
Implements 16 Math and 110 Edit Rules
Registers forms using pre-printed registration marks
Contains ICR and MarkSense fields
Recognition rate thresholds typically set at 85%
Page End Rule Block enforces cross-field validation
Output file passes through specific Unix processes then on
to the Verify function
State of New Jersey
Division of Revenue
08/12/99 -Page 20
State of New Jersey Document Processing System
State of New Jersey
Division of Revenue
08/12/99 -Page 21
State of New Jersey Document Processing System
Forms Building Process
 Machine Print NJ1040 Forms
 Supports 35 Tax Software
Versions
 One page/One side
 Large Scan Band
Recognition Area
 Barcode on Page 1
 Scan Band Registration
Corners
 Number of Fields: 101
 Name and Address Block
Processing of Machine
Printed Address Data
State of New Jersey
Division of Revenue
08/12/99 -Page 22
State of New Jersey Document Processing System
Inscript Forms Definition
 Machine Print NJ1040





One Physical Single-sided Page - One recognized form-side
One FDF - 101 Fields
Implements 15 Math and 96 Edit Rules
Registers form using corner of scan band
“Two-step” Processing
 Column-mode
 Field-mode
 Page End Rule Block enforces cross-field validation and
syntax checking
 Output file passes through specific Unix processes then on
to the Verify function
State of New Jersey
Division of Revenue
08/12/99 -Page 23
State of New Jersey Document Processing System
State of New Jersey
Division of Revenue
08/12/99 -Page 24
State of New Jersey Document Processing System
Forms Building Process - WR30
 NJ1040 Success Builds Foundation for New Forms
 DPS Now Processes Wage Reporting Forms (WR30)
 WR30 Dropout Form
 WR30 Plain Paper Spec (PPS)
 Form Processed Quarterly




180,000 Employers file each period
144,000 single-page forms
36,000 multi-page forms result in 130,000 imaged pages
1.3 million employee records processed/quarter
 Over 32 million fields recognized per year
 State’s data base used to validate employer and employee data
each quarter and reduce manual data verification
State of New Jersey
Division of Revenue
08/12/99 -Page 25
State of New Jersey Document Processing System
Forms Building Process
 WR30 Dropout Form
 Variable Number of Pages
 Minimum One page/Two
form-sides
 Front-sides Pre-printed
 Add Employees on Back
 Barcodes (2-of-5 Encoding)
on each form side
 Multiple Registration Points
and Constrained Boxes
 Max Fields/page:
 Front side: 68 and 100
 Back side: 28
 Pre-print 99 employees Max
State of New Jersey
Division of Revenue
08/12/99 -Page 26
State of New Jersey Document Processing System
State of New Jersey
Division of Revenue
08/12/99 -Page 27
State of New Jersey Document Processing System
Forms Building Process
 WR30 Plain Paper Spec (PPS)
 Multiple Tax Software
Supplier Versions
 State-specified Printed
Page Layout
 Multiple, single-sided Pages
 Maximum 99 employees
 Text-line Registration
 Max Fields/page: 108
State of New Jersey
Division of Revenue
08/12/99 -Page 28
State of New Jersey
Division of Revenue
Inscript Processing
State of New Jersey Document Processing System
Inscript Environment
 Inscript 7.0
 Fourteen (14) Pentium 333 MHz
 128 MB RAM
 Windows NT Server Platform
 Operates 24 hrs/day
State of New Jersey
Division of Revenue
08/12/99 -Page 30
State of New Jersey Document Processing System
Inscript Performance Metrics
 NJ1040 Page Processing Rates
 1997 Rates - Inscript 5
 Hand Print: 5-8 sec/page (4 pages)
 Machine Print: 14-20 sec/page
 1998 Rates - Inscript 7
 Hand Print: 2-5 sec/page (4 pages)
 Machine Print: 5-7 sec/page
 Average Rate Increase Range: 120-180 %
State of New Jersey
Division of Revenue
08/12/99 -Page 31
State of New Jersey Document Processing System
Inscript Performance Metrics
 NJ1040 Field Recognition Rates
 1998 Hand Print
Average
92.8 %
 Page 1 93.7
 Page 2 85.3
 Page 3 96.5
 Page 4 95.1
 1998 Machine Print
 Page 1 98.1 %
State of New Jersey
Division of Revenue
08/12/99 -Page 32
State of New Jersey
Division of Revenue
DPS Results
State of New Jersey Document Processing System
1998 Volumes & Throughput
 Scanning
 Exceeds 38,000 returns/day
 10 images/return equates to 400,000 pieces of paper and
images/day
 Inscript Processing
 90,000 Pages processed/day
 26,000 Machine Print
 64,000 Hand Print
 Verify
 38,000 returns/day
 1/2 hour/batch vs. 2 hours/batch in conventional data entry
State of New Jersey
Division of Revenue
08/12/99 -Page 34
State of New Jersey Document Processing System
Projected 1999 Volumes & Throughput
 Scanning
 58,000 returns/day
 Nearly 500,000 images/day
 Inscript Processing
 NJ1040
 90,000 Form-sides processed/day
 3.8 M fields/day
 WR30
 64,000 Form-sides processed/day
 800,000 fields/day
 Verify
 58,000 returns/day
State of New Jersey
Division of Revenue
08/12/99 -Page 35
State of New Jersey Document Processing System
Expanding Technology Base
Sub-system
1995
1996
1997
1998
1999
Scanners
3
6
8
8
9
CPU Modules
1
2
6
6
6
Inscript Server
6
9
14
14
14
Verify WS
10
20
33
63
63
State of New Jersey
Division of Revenue
08/12/99 -Page 36
State of New Jersey Document Processing System
Peak Performance
 Scanning
 04/30/1998 50,300 page sized documents / 553,300 pages
 Recognition
 04/27/1998 5.7 million fields
 Verify
 04/27/1998 57,546 page sized returns
 Image Committals
 04/28/1998 895,906 pages
 633,006 page sized / 262,900 coupon sized
State of New Jersey
Division of Revenue
08/12/99 -Page 37
State of New Jersey
Division of Revenue
Next Steps
State of New Jersey Document Processing System
Processing Changes
 Implement the 1999 NJ1040 Income Tax Form
 Continue Processing Wage Reporting Form (WR30)
 Integrate Key-From-Image Functions
 Implement Page-size Remittance/Document
Processing
 Implement Senior Citizens Property Tax Freeze Form
 Provide Imaging-based services to other state
agencies as a result of consolidation efforts
State of New Jersey
Division of Revenue
08/12/99 -Page 39
State of New Jersey Document Processing System
Upgrade DPS Components
 FormWare software
 Add Formware 2.5 Capabilities
 System Software
 Operating System
 Kodak Capture Subsystem
 Expand System Configuration
 Adjust for increased workload and throughput
 Allow for additional levels of redundancy
 Adjust for added functionality
 Year 2000 compliance (complete 8/1999)
State of New Jersey
Division of Revenue
08/12/99 -Page 40