Background

To meet its customers’ demands and needs, the U.S. Postal Service addressed its financial and operational challenges by developing its Ten-Year Plan — Delivering for America: Our Vision and Ten-Year Plan to Achieve Financial Sustainability and Service Excellence (the Plan). The Plan establishes strategies for achieving financial sustainability and service excellence and outlines the development of a new operating model to help improve service through strategies aligned to the changing needs of its customers.

What We Did

Our objective was to evaluate the Postal Service’s plan to change modes of transportation for First-Class Mail.

What We Found

We found that the Postal Service has an opportunity to improve the management of one of the Plan’s major initiatives to restructure the Postal Service transportation network by shifting First-Class Mail from air to surface transportation. Specifically, the Postal Service did not always execute its decision-making process for the proposed mode changes to shift First-Class Mail from air to surface transportation in a timely manner. For example, during peak season, the Postal Service implemented mode changes approximately 131 and 62 days after it contractually finalized air volume needs with [redacted] and [redacted], respectively. As a result, the OIG determined that the Postal Service paid $258,420 in minimum penalties associated with the air to surface mode changes during the month of December 2021.

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Comments (2)

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  • anon

    Sigh. While I understand the requirement to make the US postal service less of a financial burden, I am dismayed to hear that one goal of the US postal system is to slow down delivery of first-class mail. On the face if it this appears to be step backward. Looking deeper one discovers that, in fact, it is exactly that- a step backward. If this plan is carried to fruition first class mail volume will drop. I understand this is another goal of the 10 year plan- in the end to do away entirely with a federal institution that connects all of its citizens. And perhaps, with the advent of the Internet, the time for a national postal delivery system has passed. If that is indeed the case- then let's make it an explicit goal- to transition away from mail delivery altogether. Instead of this whitewash- this tiptoeing around the obvious planned demise of the US postal system- I would very much prefer a straightforward plan that clearly outlines the steps to decrease and finally phase out the US postal service.

    Jun 23, 2022
  • anon

    Good Work

    Jun 23, 2022