Congressman Connolly Requests PRC Release USPS Revenue Impact Info From Service Changes

Rep. Gerry Connolly (D-Va.) has filed a motion with the Postal Regulatory Commission to make public “all documents and communications related to the United States Postal Service’s market research information file as Library Reference, USPS-LR-N2012-1/NP14 and NP1, filed on March 6, 2012 and December 5th , 2011 with an application for non-public status.” (Mail Processing Network Rationalization Service Changes, 2011 and 2012)

Below are excerpts of the request filed yesterday with the PRC:

Motion for Termination of Non-Public Status of Library Reference

By this motion I am requesting that the Commission make public all documents and communications related to the United States Postal Service’s market research information file as Library Reference, USPS-LR-N2012-1/NP14 and NP1, filed on March 6, 2012 and December 5th , 2011 with an application for non-public status.

Public Interest in Financial Transparency Supports Publicizing USPS-LR-N2012-1INP14 andNPl

This Library Reference information (NP 14) includes data on total and contribution revenue losses from the aggregate impact of Post Office closures, reduction in mail service to fewer than six days per week, processing facility closures, degradation of mail service, and possibly other factors such as rate increases. Library Reference information (NP l) also contains information about the impact of processing facility closures in isolation of other variables. Making this information public also would indicate whether the Postal Service abandoned this study before completion because it would have shown revenue losses despite Postal Service management’s assertions to the contrary. As you know, a proposal from Postal Service management and some legislation introduced by Members of Congress would result in the closure of Post Offices and mail processing facilities, the elimination of next-day mail service, and other changes in current service standards. Legislation (H.R. 2309) to restructure the Postal Service, including provisions to close many processing facilities, reduce service standards and close thousands of rural Post Offices, has been reported from the House Oversight and Government Reform Committee and may come before the House for consideration. A separate bill (S. 1789) has been reported from the Senate Homeland Security and Governmental Affairs Committee and may come before the Senate for consideration. Simultaneously, the Postal Service is moving forward with its own plans to close hundreds of mail processing facilities and thousands of Post Offices.

These changes in Postal Service infrastructure and service standards will have a considerable affect on Postal Service revenue. Both customers and policy makers should have the opportunity to review information on the likely revenue impact from these proposed reductions in service and facilities. Unfortunately, the Postal Service has not presented such market data either to Congress or to the public. This data is relevant because it has a direct impact on the long-term viability of the Postal Service. As a Member of Congress, I have a responsibility to make decisions about pending legislation based on the best available information, but right now there is insufficient information about the impact on revenue of these proposals to reduce services and facilities. Making information in the Library Reference public would allow Members of Congress to better understand the ramifications of these proposals.

Rep. Connolly Request to PRC For USPS Documents

10 thoughts on “Congressman Connolly Requests PRC Release USPS Revenue Impact Info From Service Changes

  1. The Post Office is not broke. It is not running in the red. It’s current net earnings are about 1.5 billion a year. It’s the imposed requirement that the USPS fund retirement and medical payments for the next 75 years within the next 5 years that is breaking the bank. That’s benefits for future employees whose parents are not even born yet. The additional five and a half billion dollar payment needed this year will cause the system to go bankrupt. Of course this presents a golden oportunity for all the ill informed, misguided, fact free know- it- alls to start fingerpointing and blathering on about unions and government. The USPS is an integral part of both society and commerce in America. The people who want to dismantle this country are taking every opportunity to attack the national foundation, including a major cornerstone that is our Postal Service.

  2. Postmaser salaries are outrageous. Too many positions Maybe in past history was a need but salaries were not comparable to managers that have to operate cost effective in the private sector but postmasters exist in one room buildings in a textile village that the mill went out of business 40 years ago but the fact there is no need for the mill village post office to exist is totally unjustified as deliery in the area is provided by a nearby larger office . A nearby pharmacy has more justification to operate for a profit than the post office to operate to operate as it is not needed for any service as it is a waste of postal money.PM $63,000. clerk 23.00 hr.. Nation wide situations such as this is a major reason USPS is a looser.

  3. The unions, NLRB, MSPB and congress protect the “teet” sucker malingerers at the PO. Time to shut it down and go private!

  4. Postal service salary data base reveals the salaries of USPS employees. How can one expect the postal service to remain in business with the salaries paid. Postmasters in a small town make a larger salary than a teacher or a principal. Unions have priced themseles out of business. Postal service needs to reduce employees and eliminate the no longer needed services provided such as 6 day mal delivery. UPS pays comparable salaries but create revenue and maintain cost effective operations to make a profit.

  5. The printed letter is the only secure manner to communate without threat of business, criminals, and goverment tracking your personal information.I have witnessed a large increase in services beyond personal mail.The parcels are much more labor intense as are the scanning of products{delivery comp}.The carrier side is working far harder and making much less delivering these items. The management is making more with less oversight. I am disappointed and disapprove of the new selling title of Postmaster General / CEO – detestable! The Postal Service is a money making machine with the governing policy of taking the profit and spending that money thur the general fund.Taxation without represention just like pre-fund Social Security.

  6. Common Sense tells one that communication technology is rapidly increasing. The baby-boomers are turning 65 and will soon be gone. Children are computer grurus by age 3 starting with viedo games and syfy.
    Prinit a unique technology is not going away but will be transmitted at rapid rates with new apps being introduced daily such as Apple I POD IV.
    Time is rapidlychanging the ways and means thing were once done. The Jetsons will have a new space plantary zip code.

  7. Benjamin, the Postal Service is infrastructure which makes your post basically pointless. We don’t tear up parts of the highway system that receive low use and we spent lots of money to ensure electrical and telephone infrastructure went to all parts of the country. We do this because infrastructure provides opportunity for businesses and entrepreneurs.
    The direct mail and marketing industries didn’t exist at one point but the availability of postal infrastructure allowed those businesses to invent themselves and thrive. Currently there are increasing opportunities to utilize the postal network for last mile delivery and the provision of other services, some that probably haven’t been in vented.
    The postal network provides important redundancy that underlies our other communication systems. It has value as a back up in addition to its other characteristics; the ability to go to every address in the United States six days a week is not a capability that should be dismissed.
    Finally, the internet and on-line meme, while certainly important is often over emphasized. Print is a unique technology that isn’t going away anytime soon. There is still a significant percentage of people who are not part of the online universe or fully integrated into that model and it will be at least another generation before technology is fully adopted.
    In the meantime the potential uses for the network are myriad, held back by imagination and a lack of political will.
    The current “crisis” isn’t even that. Yes volumes have dropped but the fiscal problems are self-created and can be resolved quite easily. What has driven this issue is the desire of of a powerful minority, including free-market ideologues and senior postal management, to realize a dream of postal privatization.
    The emergency and the attendant wounds are pretty much self-inflicted which is sad given that these issues impact hundreds of thousands of workers and the American public in general.

  8. Why come Texas citizens do not have the same support as other states appear to have in reference to keeping the Postal Service solvent as it presently is? But thank God we have other Democrats fighting for workers jobs and for their communities as a whole! The report from the PRC shuld definitely be reported and public information! The Postal Service proposed changes will certainly destroy the United States universal mail service as we now know it! Another thing why when there are over one million signatures supporting the H.R. 1351 Bill still have not been brought to the floor or sub-committee in the house! Why do Issa have the authority to prevent this! President Obama where are you in all of this!

  9. Another uninformed opinion,the carriers cant get done in eight hours now so we eliminate a day of service,how about changing the funding issue so we can make money again.Also slowing down service and cutting processing plants will just cause us to lose more money.As for bulk mailers if they paid a reasonable price to the post office we would not lose money on them,5 cents a letter get real people.I am sure ebay sellers would love us to be gone so they can pay fed ex and ups two or three times as much to ship stuff,but dont worry they will pass the cost on to the buyer as would every other postal customer,wake up people the usps is still a great deal.

  10. Economics of supply and demand determine the fiscal outcome of the USPS. The supply of USPS services exceed the demand resulting in cost exceeding revenue which is created debt which cannot meet a breakeven bottomline. The USPS was the communicator for personal and business communication in the 20th century. Electronic mail diversion has created a decline in the use of First Class mail which results in massive monatary non recoverable loss. The 21st century conducts business and personal communication instantly via the Internets, I Pods, Smart phones and new APPS constantly made communicating via a written message purchasing a postage stamp for a 1-3 day delivery to a physical address is obsolete. The trend is conducting business online via direct deposit and bill pay.The USPS cannot create new products or services to replace loss revenue.
    In order to avoid the dinasour affect it must downsize by eliminating 6 day street delivery for low revenue bulk business advertising mail which is high distribution cost and low revenue, Marketing efforts should be directed to time sensitive expedited parcel. priority and express mail. Create competition with UPS, FED X to gain market share in profitable markets. Street deliery 6 days a weeek is a wasted cost as fuel-vehicle cost increases along with delivery operation workhours.
    Small community post offices that are within close proximity due to changing demographics should be closed. Americans are connected via electronics and do not depend on the USPS and its costly existence to communicate. The USPS must restructure and eliminate services and offices that have no justification to exist at it present operation cost which is billions of dollars annual monatary loss.
    Who is going to pay for this jack on the bean stalk?

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