# When Retrieval Metrics Mislead: Measuring Policy Signal in Long-Horizon Tool-Use Agents

arXiv: https://arxiv.org/abs/2606.23937 · HTML: https://mlsanity.com/paper/2606.23937/

## Key facts

- No citing papers in the map yet (data through 14 Oct 2026).
- Builds on 19 of its 26 references that are in the map.
- First posted on arXiv 22 Jun 2026.

## Builds on (most cited first, 19 of 19)

- [Sentence-BERT: Sentence Embeddings using Siamese BERT-Networks](https://mlsanity.com/paper/1908.10084/) (2019)
- [ReAct: Synergizing Reasoning and Acting in Language Models](https://mlsanity.com/paper/2210.03629/) (2022)
- [τ-bench: A Benchmark for Tool-Agent-User Interaction in Real-World Domains](https://mlsanity.com/paper/2406.12045/) (2024)
- [τ2-Bench: Evaluating Conversational Agents in a Dual-Control Environment](https://mlsanity.com/paper/2506.07982/) (2025)
- [ShieldAgent: Shielding Agents via Verifiable Safety Policy Reasoning](https://mlsanity.com/paper/2503.22738/) (2025)
- [Sufficient Context: A New Lens on Retrieval Augmented Generation Systems](https://mlsanity.com/paper/2411.06037/) (2024)
- [Tomayto, Tomahto. Beyond Token-level Answer Equivalence for Question Answering Evaluation](https://mlsanity.com/paper/2202.07654/) (2022)
- [Do LLMs Know When to NOT Answer? Investigating Abstention Abilities of Large Language Models](https://mlsanity.com/paper/2407.16221/) (2024)
- [Retrieval Models Aren't Tool-Savvy: Benchmarking Tool Retrieval for Large Language Models](https://mlsanity.com/paper/2503.01763/) (2025)
- [Towards Enforcing Company Policy Adherence in Agentic Workflows](https://mlsanity.com/paper/2507.16459/) (2025)
- [Solver-Aided Verification of Policy Compliance in Tool-Augmented LLM Agents](https://mlsanity.com/paper/2603.20449/) (2026)
- [The Verifier Tax: Horizon Dependent Safety Success Tradeoffs in Tool Using LLM Agents](https://mlsanity.com/paper/2603.19328/) (2026)
- [Toward Scalable Verifiable Reward: Proxy State-Based Evaluation for Multi-turn Tool-Calling LLM Agents](https://mlsanity.com/paper/2602.16246/) (2026)
- [Knowing What You Know: Calibrating Dialogue Belief State Distributions via Ensembles](https://mlsanity.com/paper/2010.02586/) (2020)
- [Large Language Models Should Ask Clarifying Questions to Increase Confidence in Generated Code](https://mlsanity.com/paper/2308.13507/) (2023)
- [MANTRA: Synthesizing SMT-Validated Compliance Benchmarks for Tool-Using LLM Agents](https://mlsanity.com/paper/2605.06334/) (2026)
- [Looking Is Not Picking: An Attention-Segment Account of Tool-Selection Failures in LLM Agents](https://mlsanity.com/paper/2606.16364/) (2026)
- [How important is Recall for Measuring Retrieval Quality?](https://mlsanity.com/paper/2512.20854/) (2025)
- [Beyond Similarity: Task-Aligned Retrieval for Language Models](https://mlsanity.com/paper/2605.27951/) (2026)

## Abstract (arXiv)

Exact-match retrieval recall is often used as a proxy for whether a retriever supplies useful policy context to a downstream decision model. We test this proxy for pre-action policy classification in τ-bench using Qwen2.5-3B/7B classifiers. Under gold-policy conditioning, a compact structured state improves macro-F1 over raw trajectories by 0.20 after tuning at 3B, with the same ordering at 7B under shared hyperparameters. We then replace the benchmark-designated governing rule with the top-ranked benchmark assertion retrieved from decision-time context. Although the exact governing rule is retrieved at rank 1 for only 7% of airline states, the primary 3B classifier obtains macro-F1 0.58 with retrieved assertions versus 0.60 with the gold rule (Delta=-0.02, task-cluster 95% CI [-0.23,+0.21]); random non-gold and no-assertion controls score 0.32 and 0.21. We do not detect a macro-F1 difference between retrieved assertions and the gold rule in this configuration, although the interval remains too wide to establish non-inferiority. The same qualitative pattern appears with a second retriever and at 7B, while varying across fine-tuning configurations. These results show that exact-match recovery of the benchmark-designated rule can underestimate the downstream utility of retrieved benchmark assertions in this setting. Retrieval should therefore be evaluated inside the classification loop rather than by exact-match recall alone.
