• Directorate:
• Financial
• Program Area:
• Policy Formulation & Financial Controls
• Responsible Postal Official:
• Start Date:
• 04-10-2012
• Estimated Report Date:
• 01-31-2013

AUDIT OVERVIEW

Origin Destination Information System-Revenue, Pieces, Weight (ODIS-RPW) is the primary probability sampling system that estimates revenue, volume, and weight. The Postal Service uses data from tests to develop new rates, assist in budget preparation, conduct management studies, and support management decisions concerning mailflow. In addition, information collected from ODIS-RPW tests is used in the calculation of PIHOP. The ODIS-RPW test requires data collectors to select systematically mailpieces using a random start for all mail available on the randomly selected day. Data collectors record various mailpiece characteristics, such as revenue, weight, shape, indicia, barcode, postmark time, origin, and mail class.

• Directorate:
• Transportation
• Program Area:
• Transportation
• Responsible Postal Official:
• Start Date:
• 04-27-2012
• Estimated Report Date:

AUDIT OVERVIEW

In the 1970s, the Postal Service developed a bulk mail network of 21 bulk mail centers (BMC) to support mail distribution and transportation for surface Parcel Post, Standard Mail, and Periodicals. With mailers entering more mail near final destinations, mail volume declining, and a changing mail mix, much of the mail the BMCs previously processed has gone away. In an effort to reduce costs and excess capacities, management reorganized the 21 facilities into network distribution centers (NDCs) with a 3-Tiered structure. NDCs would consolidate the processing and dispatching of mail to achieve economies of scale and greater operational efficiency to reduce workhours and transportation costs. According to the NDC realignment plans, Tier 1 facilities would only send and receive mail to or from their parent NDC(s).

We plan to review realignment of transportation service in selected Tier 1 NDCs and their respective Tier 2 NDC(s).

• Directorate:
• Planning, Innovation, and Optimization
• Program Area:
• Planning, Innovation, and Optimization
• Responsible Postal Official:
• Start Date:
• 04-26-2012
• Estimated Report Date:

AUDIT OVERVIEW

This audit will evaluate the effectiveness of the Post-implementation Review (PIR) process, as outlined in Handbook PO-408, Area Mail Processing (AMP) Guidelines, and the related savings calculations.

The final step in the AMP process is the completion of PIRs to assess whether planned savings, workhours, and levels of service were achieved for the consolidation of mail processing operations. PIRs evaluate the effectiveness of the consolidations by comparing the proposed savings and costs to the actual savings and costs after the implementation. PIRs completed on 103 AMPS implemented between FY 2004 through 2011 will be reviewed.

• Directorate:
• Facilities, Environmental & Sustainability
• Program Area:
• Facilities, Environmental & Sustainability
• Responsible Postal Official:
• VP, Facilities
• Start Date:
• 04-10-2012
• Estimated Report Date:
• 11-08-2012

AUDIT OVERVIEW

The Postal Service is one of the largest real estate owners in the United States. It owns over 8,600 facilities with over 950 million square feet of land and leases over 24,600 facilities. The Postal Service may potentially own 357 land parcels nationwide that do not have structures on them. These properties are valued at approximately $128 million.

Does the Postal Service have the opportunity to generate revenue by selling land parcels that it no longer needs? Our survey objective is to assess if the Postal Service can generate additional revenue by selling unused land parcels. The Postal Service has contracted with C.B. Richard Ellis to sell off surplus real estate.

• Directorate:
• Data Analysis and Performance
• Program Area:
• Data Analysis and Performance
• Responsible Postal Official:
• VP, Delivery and Retail
• Start Date:
• 04-12-2012
• Estimated Report Date:
• 09-27-2012

AUDIT OVERVIEW

Post Office (P.O.) box service is an optional service that consists of delivery to uniquely addressable P.O. boxes of various sizes, rented to customers for a fee. These boxes are located at Postal Service facilities, subject to customer demand and the Postal Service’s ability to provide them. The P.O. box fees are to be paid semi-annually or annually by the customer. Customers can register for P.O. Box services at a post office lobby or online.

When a renewal fee comes due for a P.O. Box:
oThe Postal Service provides a notice to the customer 20 days in advance of the due date.
oIf the customer doesn’t pay the fee by the due date the Postal Service plugs the P.O. Box to prevent the customer from accessing the Box.
oAfter 10 days, if the customer still hasn’t paid the fee the Postal Service closes the box and treats any mail as undeliverable.
oThe Postal Service should always change the lock as soon as a box is closed. The box can be reissued to a new customer 15 days after it is closed.

There have been allegations that some customers receive P.O. Box services even though they haven’t paid the required fee in several years. This could occur if the Postal Service does not block access or change locks to P.O. Boxes once they closed.

Questions:
1. Are you aware of any instance where a customer is receiving P.O. Box services without paying the required fee?

2. Do you think the Postal Service should look into new electronic access technologies that would automatically block access to the P.O. Box if a customer didn’t pay the required fee? Although there would be an increased cost, the Postal Service could reduce work hour and expenses associated with changing locks and keys.

3. Have any customers had issues with the online rental process for P.O. Boxes? For example, paying for the box but never receiving the service.