on Mar 22nd, 2010 in Post Offices & Retail Network | 16 comments
 
As the Postal Service examines its business model and contemplates changes meant to increase its efficiency, Congress’s role in postal operations has captured public attention. A prime example is the Postal Service’s recent efforts to trim its retail operations. As a cost cutting initiative, on July 2, 2009, the Postal Service filed with the Postal Regulatory Commission a list of Post Office stations and branches it was considering closing. After the filing, many entities questioned the Postal Service’s authority to close these facilities. An article published on the U.S. News & World Report website states, “Call your local congressman if you don’t want your local Post Office retail station or branch to be closed.” In addition, the American Postal Workers Union (APWU) announced on its website “the APWU continues to lead community-based drives to keep retail units open.” Clearly, identifying the exact number and location of closings supercharges emotions. Add very real issues like social customs and potential job losses and relocations to the mix, and there are even more negative feelings associated with Post Office closures. It is not clear yet the number of retail stations and branches that will be closed, but what started out as list of 3,200 candidates has now declined to fewer than 170. In the action plan the Postmaster General announced in March, he cited a number of issues that will require legislative approval, including the retail network. The question is whether Congress, given constituent and political pressure, can provide the Postal Service the level of autonomy necessary to address this issue. How do you think Congressional oversight affects Postal Service operations? This topic is hosted by the OIG’s Office of Audit Network Optimization team.

16 Comments


the post office should look at upper management and the OIG for positions to cut to save money and this will keep open much needed post offices. you do NOT see successful retailers closing offices, IE walmart and target. if you close offices you will only drive customers away!!!!

None should be closed. US Postal Service should be NATIONALIZED. No more appriations for muli million or billion dollar 'studies'. All revenue for stamps and art works should go back to the USPS to fund station upgrades, improve worker conditions, fund worker wages and retirement.

NO MORE POST OFFICE CLOSURES. PERIOD.

One more comment:

What is up with annual first class U.S.A. stamp increases? $.44 per stamp is ludicrous. Lower prices of stamps.

Also, what is up with a person who wants to mail a small present (favorite cookies for instance, small box) and paying more than the gift is worth to get it from town a to town x? Get real. The high cost of in country parcel rates is very discouraging and disheartening. Something is radically wrong in the way the USPS big whigs are managing this agency and it has nothing to do with the actual workers who are excellent!

You know, I've been waiting for a discussion like this!!!! Thanks for the opportunity.

However, in the integrity of this blog, I will refrain
from uttering.... Let's just say words can often cause
the innocent to suffer....

And, I still retain the moral integrity ingrained from a' "casual" member of a Tour 43-44 WWII Eighth Army Air Corp Bomb Group, and a veteran Tour 71-72 Ft. Gordon Captain in Dong Ha. Thank you both.

I will simply identify Mr. Durbin, and Ms. Collins
comments during the appropriations hearing held last
week. Let's dissect the CEO's ten point strategic initiative.....

* The reputed $75 Billion dollar lottery ticket OIG
claims to have found, combined with the disagreement
by the GAO (accountants) and the affirmation of GAO's findings by OMB (actuaries).

* The (no-teeth) guidance by the experts at PRC and
their intent to hire another independent consultant to
do some investigative actuairial golden egg hunting.

* The estimated $50 Billion Funding gap for future
500K retirees.

* The 2020 Club of future pensioners (300K)????

* The so called April resurrection business model
utilizing the negative $(7B) annual revenue shortfall which really is a negative $(10B) one combined with the additional debt load!!!!!!! So according to my
arithmetic, that is reverse of the health care proposal initiative. (smoke if you have em)

* The gentle lady from Maine's "high risk list" comment.

* The 7% rate of growth verses the 5.9% rate and the delta betwixt these easter eggs which are supposed have reserves for margins? Beyond my community college
business education (When I put the closed sign on my business, a buck was a buck. (If you didn't have it, the unions didn't negotiate for .80) Try and mail a fcl with a Yoda or an 1861 Confederate Mt. Lebanon.

*Right Sizing and intelligent bar codes???

*Property sales and the lame observation by the PRC that young people like to hang out at the Post Office!!!!!!

One (my number 10) last point in defense of the Executive Offices.
You've got your work cut out for you, good luck!

Simply look at the profiles of other Executive Officers throughout the US, and compare the company
profiles, and number of employees. It's pretty much
public information compliments of the AFLCIO.

Plese add this clarification (previous post)

By the way. The (PRC) Postal Regulatory Commission's lame comment regarded, "Young people like to go the the Post Office on Saturday's. She must have been be talking about people 35-50 age crowd.

Afterall, "young people" is a relative term when defining the age.

Closing Post Offices? Cutting days of Service? No Express on Sundays? Such are the irresponsible actions of an organization pent on it's self-demise. We should GROW our BUSINESS for the middle class, not walk ourselves into extinction.

For over a year now, the Postal "Service" has been publicly disseminating information on their so called financial woes. They've enlisted the help of other federal agencies, the "stakeholders," and the media to affirm and assist in the spreading of their words of woe. The state of this country's economy has effected every American and every private and pubic business without argument. That being said and acknowledged, why would the Postal Service desire to cut service to help maintain it's future existence as their number 1 solution? Instead, shouldn't they be managing ways to grow their business and revenue?
What is the underlying reason behind the Postal Service so loudly and forcibly airing their financial woes when other normal businesses have and are not. Normal businesses don't desire to air their dirty laundry on the front cover of USA Today or to cause panic with their investors.
I believe that the Postal Service should be in control of their own decisions but are they really addressing their financial woes following a best designed business model?
Can the OIG, GAO, PRC, OBM or even the White House tell the public how much annual revenue is lost by the Postal Service through "work share," non profit and Frank mail discounts? Every stone should be turned if a best designed business model is truly going to be the best. Or is it a selective best?

Give me 30 days and I can save the Postal Service $5 Billion Dollars. If you are not a productive employee or you manage a post office at a one horse town, you are fired and closed. Enough said.

As it happens, I work in one of the 170 offices on the SBOC list. We are on the list because logistically we are within 2 miles of 2 other offices in this city. However, both offices are actually on the far east & far west sides, we are very central, very easy access, and very busy! The walk-in revenue of this small retail office is close to one million/yr. We serve a large number of small business owners in the area, and we are also popular with the neighborhood customers, who are a little older and do like to hang out here!

I am in no danger of losing my job if this station closes, would have to go back to shift work at worst, but we actually serve the public here, plus we are making money, so why would it be a good idea to close this office, or any office that is actually revenue positive?

In this central part of town, there is a UPS store and a Fedex store both a few blocks away. If the only option for USPS is 2 miles down a very busy thoughrofare, what do you think businesses might do?

I hope these things are considered before decisions are made. We are the U S Postal SERVICE!

Some airlines are now charging extra for carryon luggage. Now is the time for usps to promote the service to regular travelers to mail thier belongings to the hotel or residence ot the destination. Think about it and compare the cost savings for the flyer and revenue for usps.

A national problem that needs local and area oversight in each consolidation or streamlining of services.

In my office for instance... five miles away another town with a new modern office. Consolidating the two offices would satisfy an entire valley. Adding stations or upgrading cooperative vendors, we can cut a lot of operation expenses and provide better service.

One set of office management staff times 200 to 1000 ... smaller bureaucracy equals big savings.

Good Samaritan P.O. 34746 Kissimmee FL serves many elderly who are essentially homebound and disabled. Closing their P.O. removes their ability to RETURN Recorded Books and Books By mail. This has a huge detrimental impact on their lives. If they cannot return these resources, they will have to stop receiving them. I am sure this is repeated in many P.O.s across the country. How can this be prevented?

A review of local small Post Offices is needed, we live in PA with our daughter liveing 7 miles away. We can stop at '6 ' yes '6 ' Post Offices in that short distance, look at 18901 and 18902, what a waste. Three are within a '1 ' mile section of the same road.

licopa1 - Thanks for your comment. Could you advise the location you referenced with six offices?

My invention could put a Po.box at your curbside Mailbox

well I think US postal services should be Nationalized rather than closing it.

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