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Apr
08
2021
Report Number:
21-117-R21
Report Type:
Audit Reports
Category: Finance

Meter Revenue Refunds – Tipton, IA, Post Office

Background

The Tipton, IA, Post Office is located in the Iowa, Nebraska, South Dakota District of the Central Area. 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 the 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.

OIG data analytics identified the Tipton, IA, Post Office meter refunds totaling about $183,970 from April 1, 2019 to November 30, 2020, the eighth highest in the nation. We noted that there is a major mailer located in Tipton, IA.

Our objective was to determine whether meter refunds were properly issued, supported, and processed.

Report Recommendations

# Recommendation Status Value Initial Management Response USPS Proposed Resolution OIG Response Final Resolution
1

Instruct unit management to provide training to all employees at the Tipton Post Office responsible for verifying, destroying, and processing spoiled or unused postage meter refunds.

Closed $0 Agree
2

Instruct the District Finance Manager to obtain a written agreement with the mailer regarding the refund requirements acceptable to the Postal Service.

Closed $0 Agree