on Nov 7th, 2011 in Mail Processing & Transportation | 18 comments
U.S. Postal Service Mail Transport Equipment (MTE) consists of specialized containers such as sacks, pouches, trays, hampers, over-the-road containers and pallets. Although the Postal Service does not maintain a perpetual inventory of its MTE, a 2010 audit indicated approximately 359 million pieces in the system of 400 processing facilities, over 30,000 post offices and thousands of mailers nationwide. Proper MTE management and availability ensure the safe, secure, and timely movement of mail between Postal Service facilities and its customers or contractors MTE may be used only to transport mail, and borrowers of MTE (such as private mailers) are responsible for its proper use and return. Unfortunately, this is not always the case. Over the past few years Postal Service has experienced a significant loss of plastic and wooden pallets. Since fiscal year 2005 the Postal Service has spent over $240 million on close to 19 million plastic and wooden pallets, many of which can no longer be accounted for internally or externally. Realizing the significant cost of leakage of MTE from its inventory, the Postal Service has studied both the movement of MTE as well as ways to reduce leakage. As a result of its precarious financial condition and a freeze on all information technology initiatives, two technological initiatives to better track MTE have been shelved. The Postal Inspection Service has been proactive in both reaching out to the public on this issue, and investigating MTE theft and misuse. The Inspection Service has an ongoing national MTE recovery initiative to locate misappropriated and misused MTE, especially pallets. What do you think about the MTE situation? Is there a cost-efficient way to track MTE? What else should the Postal Service do to reduce leakage? What are your experiences using plastic or wooden pallets? Give your comments below. And if you know of any pallets or other MTE being misused or taken from the system, contact the OIG Hotline, which accepts confidential and anonymous complaints. This topic is hosted by the OIG’s Transportation Directorate.