As part of workers’ compensation reform legislation passed in 2011, the Legislature directed JLARC staff to conduct a performance audit of the state’s workers’ compensation claims management system. The study was divided into two phases. In Phase I, an evaluation design was completed in December 2012. JLARC received $664,000 for the evaluation, the second phase of the audit, in the 2013-15 Biennial Operating Budget. JLARC staff used an RFP process to secure a contractor to conduct the Phase II evaluation. JLARC staff, with the help of the contractor and the consultant, will gather both quantitative and qualitative data to assess the overall promptness, fairness, and efficiency of workers’ compensation claims management and will determine whether any changes are necessary to improve efficiency and address system costs, while maintaining quality service. JLARC is scheduled to present the preliminary report in June 2015.