Greg,
This is also a good post for the National SmartInits Config project (https://collaborate.nws.noaa.gov/trac/nwsscp/wiki/Gfe/Smartinits/NwsInitsConfig), and probably a good check with the National Blend of Models.
On PoP, we realize the PoP from QPF is not the greatest scientific approach. There is some literature on the topic, and realistically when it comes an ensembling approach a true neighborhood probability idea would be preferred - especially in the short term when there are a lot of high resolution models present. Unfortunately what we are doing in the current framework can already max out our PX servers, and those neighborhood probabilities techniques can be very computationally intensive. Now I have looked at some PoP reliability diagrams for September and October @ ARX, which encompass both wet and dry months, and it's surprising how reliable the PoPs are both from our official forecast and SuperBlend. These diagrams will be shown on the FB webinar today. Note: individual data sources can produce 100% PoP when QPF >= 0.5" I have also been working with the SmartInit group to incorporate stratiform precipitation from models when it's available as past winters we have found the PoP/QPF relationship to be underdone, i.e. we need to have higher PoPs for lower QPF, and correlates that models can do better at prediciting stratiform events than convective.
On Sky, this is just a tough grid in general. We need to have like cloud fraction or something like that from the models, rather than trying to derive a Sky grid from RH. There are checks in place vs PoP, but still, there's room for improvement and we need to get the cloud output from the models. Even Obs Sky from RTMA and that can be lacking.