Meter Revenue and Retail Services Refunds – Mesquite, TX, Main Post Office
Background
The Mesquite, TX, Main Post Office (MPO) is in the Texas 1 District of the Southern Area. This audit was designed to provide Postal Service management with timely information on potential financial control risks at Postal Service locations.
Metered mail is any mail class or product with postage printed with a Postal Service approved postage meter or PC Postage product/system. Unused metered indicia are postage amounts (which may include fees) already imprinted onto any mailpiece, shipping label or meter strip (stamp) that was never mailed. Such meter indicia are considered for refund only if complete, legible, and valid. To obtain a refund, the customer must submit the postage meter stamps impressions or other evidence requested for refund along with required Postal Service (PS) Form 3533, Application for Refund of Fees, Products and Withdrawal of Customer Accounts. The Postal Service assesses fees to process the refunds and deducts them from the customer’s refund amount.
Retail transactions, such as stamp sales, returns, and voids, are recorded in the Retail Systems Software (RSS). Other transactions, such as mail and delivery services performed at the retail window, are also recorded in the system. However, these types of transactions are recorded as non-revenue customer visits on PS Form 3533. Retail clerks are responsible for accurately entering all retail transactions in the RSS, which is used to track unit productivity, revenue, and customer service.
OIG data analytics identified the Mesquite, TX, MPO Office had $42,205 in postage affixed refunds recorded to account identification code (AIC) 526, Refund Spoiled/Unused Customer Meter Stamps, for fiscal year (FY) 2020 as compared to $27,567 in FY 2019.
In addition, the unit had $17,429 in retail service fees recorded to AIC 535, Refund of Fees – Retail Services, in FY 2020 compared to $979 in FY 2019. This represents a 57 percent increase, and a 1681 percent increase respectively, for refunds at the unit.
The objective of this audit was to determine whether meter revenue refunds were properly issued, supported, and processed at the Mesquite, TX, MPO.