NALC: USPS Rejected Our Proposal That Would Of Saved Several Hundred Million Dollars Annually
TESTIMONY OF WILLIAM H. YOUNG ON BEHALF OF THE NATIONAL ASSOCIATION OF LETTER CARRIERS, AFL-CIO submitted to the Postal Regulatory Commission regarding USPS Five-Day Delivery Request:
My name is William H. Young. I submit this testimony on behalf of Intervenor National Association of Letter Carriers, AFL-CIO (“NALC”), which serves as the collective bargaining representative of a nationwide bargaining unit of city letter carriers employed by the United States Postal Service (“USPS”). I served as NALC’s President from 2002 to 2009.
In November 2006, during the last round of bargaining between NALC and USPS for a new collective bargaining agreement (“CBA”), NALC made an offer to USPS that included a package of proposed savings. In its offer, NALC proposed a separate workforce of letter carriers to delivery mail on Saturday, with all other letter carriers working only on weekdays.
Under NALC’s proposal, the Saturday letter carrier workforce would have been composed in part of letter carriers who had retired from delivering mail full-time but who wanted to continue to work for USPS one day per week. NALC believed that there was a substantial number of retirees who might be interested in such a Saturday-only position.
Under NALC’s proposal, to the extent Saturday positions remained available after retirees were hired, the Saturday workforce would have consisted of new hires hired from the USPS hiring register who agreed to take a position delivering mail one day per week until fulltime positions with USPS became available.
Under NALC’s proposal, the retirees in the Saturday workforce would have been paid at Step O pay under the CBA. However, USPS would have saved a substantial amount employing them since they were already retired; USPS would not have needed to make pension or retiree health contributions on their behalf. USPS would also have saved a substantial amount employing new hires who worked on Saturdays only. These new hires would have earned entry-level Step A pay under the CBA so long as they were part of the Saturday workforce. Moreover, under NALC’s proposal, these new employees would not have been entitled to pension, health, annual leave and other benefits.
NALC estimated that its proposal would have saved USPS several hundred million dollars annually, assuming that the new Saturday workforce were composed half of retired letter carriers and half of new hires. During negotiations, NALC shared this savings estimate with USPS and USPS did not dispute it.
Although NALC’s proposal would have substantially reduced the cost of Saturday deliveries, USPS did not accept it.
Senator Says Panel will block USPS Proposal to drop Saturday Mail delivery
(WASHINGTON, D.C.) - The Senate panel that oversees the budget of the U.S. Postal Service will not consider cutting mail delivery to five days per week, Senator Jon Tester announced today.
Tester used his position as a member of the Senate Financial Services Appropriations Subcommittee to push for continued Saturday service, because people who live in rural areas rely on Saturday delivery for essential deliveries like medications, newspapers, and checks.
The USPS was considering a proposal to stop Saturday delivery service to homes and businesses in an attempt to cut costs. But Tester said the move would amount to relatively small savings and cost hundreds of jobs in Montana alone.
“Folks in rural and frontier communities often rely on their Saturday mail to bring them the things they need to live,” Tester said. “Unlike in urban areas where folks can walk down the block to the local drug store, many Montanans live long distances from the nearest pharmacy or newsstand. Getting mail six-days per week is part of what keeps rural America strong and thriving.”
Testers said the decision to keep Saturday service is part of the Senate’s Fiscal Year 2011 Financial Services Appropriations Act, which the full Appropriations Committee will vote on Thursday.
Tester said as a child, he remembered hearing from a 93-year old woman about her life experiences and how important rural mail service was to her. The woman told Tester that she had lived through two world wars and the invention of the automobile, airplane and spaceflight. She said that after all of those experiences, the thing she was most thankful for was reliable rural postal delivery service.
Tester is a powerful advocate for rural postal services. In recent years he pushed the USPS to keep open post offices in Kinsey and Black Eagle, and to maintain postal delivery service in Martin City.
source: Senator Jon Tester press release
PRC:Pre-Hearing Conference April 27th On USPS Request To Eliminate Saturday Delivery
From Postal Regulatory Commission
April 27, 2010 -
Notice: Live audio broadcast of a public Prehearing Conference in Docket No. N2010-1 will air at 10:00 a.m. on Tuesday, April 27. Links to the audio will be posted here approximately 10 minutes prior to the broadcast
This conference will provide the Postal Service and formal intervenors the opportunity to discuss procedures and scheduling concerns related to Commission consideration of the Postal Service request to eliminate Saturday delivery of mail.
Rationale for Five-Day Delivery Shattered at House Hearing
APWU News
A USPS myth was demolished at House hearing April 15 — a myth that serves as the Postal Service’s rationale for eliminating Saturday mail delivery.
In response to questions by Rep. Gerry Connolly (D-VA), Postmaster General John E. Potter admitted that predictions that the Postal Service would amass losses of $238 billion by the year 2020 were “theoretical.” The exchange confirms allegations made by the APWU that the USPS forecast is wildly exaggerated, outlandish and unsupported. [See Phony Deficit Projections Mask Management’s Real Goal]
The projections, which were widely reported in the mainstream press, have been cited by the Postal Service repeatedly as justification for ending six-day delivery
But Potter and Phillip Herr, of the Government Accountability Office (GAO), admitted in response to Connolly’s questioning that the figure is based on the premise that management would “do nothing” over the next 10 years to reduce costs, and that revenue, mail volume and the number of employees would remain unchanged.
“I’m a little concerned that in bandying about this $238 billion number, we’re ignoring some obvious things that are going to happen,” Connolly said. “It looks, frankly, a little bit like a scare tactic to get us to make some decisions.”
The figure would only be valid if nothing changes, Herr admitted. “The number was by far a worst-case scenario,” he said, “a number the Postal Service came up with.”
The exchange ended with Connolly addressing Potter about the validity of the $238 billion projection:
Connolly: “You’d have to assume for $238 billion to be real, we do nothing, including you. You’ve already said you’re going to use the authority you have to make reductions totaling $123 billion. Is that correct?”
Potter: “That’s correct.”
Connolly: “So the $238 billion number is already not real.”
Potter: “It’s a theoretical number.”
The Committee on Oversight and Government Reform also heard testimony from Ruth Goldway, chairman of the Postal Regulatory Commission; David Williams, Inspector General, USPS Office of Inspector General; John O’Brien, senior advisor to the director, Office of Personnel Management; and Kevin Kosar, analyst, Congressional Research Service.
National Newspaper Association Continues Support For Six-Day Mail Delivery
Press Release
WASHINGTON, DC — National Newspaper Association (NNA), a community newspaper organization of over 2,000 members, today filed its formal opposition to the United States Postal Service’s proposal to end Saturday mail delivery. NNA has intervened on behalf of its newspapers in a proceeding before the Postal Regulatory Commission, which will issue an advisory opinion later this year on ending Saturday mail.
The final decision on six-day mail delivery will be made by Congress, which has reaffirmed Saturday mail requirements annually for nearly 30 years.
The Postal Service has requested the PRC’s support for five-day mail service. In a petition to the Commission, it said the end of Saturday mail would mean:
•No street delivery of mail will occur on Saturdays;
•No mail pickups, including blue collection boxes, will occur on Saturdays;
•No weekend processing of mail in plants, except for Express Mail and some advertising mail will occur over the weekend;
•Post Offices will remain open; and
•Measurements of service performance will be reset to reflect the changes.
USPS said it expects to save $3.1 billion a year from the cutbacks. It is projected to lose over $7 billion in the current fiscal year.
“NNA is a long-time supporter of the Postal Service and it encourages its members to use the mail for delivery. We firmly believe that the solution to its financial woes will not be found in such an extreme cutback in service. We know that many small newspapers publishing Saturday issues will be deeply affected. We also believe the slowing of bill payments to small businesses will affect Main Street America at a critical time in our economy,” Kaechele said.
The Postal Service has underestimated the public’s concern about the change, Heath said.
“I know that USPS has persuaded itself that a lot of Americans believe Saturday delivery is dispensable,” Heath said. “To the extent that is true, it is not a good sign for the future of our nation’s universal service if people do not care whether the mail arrives. Fortunately, I believe the polls are misreading the public’s mood on this topic. As the old song said, ‘You don’t know what you got ‘til it’s gone.’ This change will affect the delivery of medicines, home movies and timely bill payments. People who already are cutting into grace periods for credit card payments are going to see an impact on their credit scores. Moreover, the small businesses like our newspapers and their advertisers will see a new sluggishness in bills going out and checks coming in. That cannot possibly be good news in this economy.
“The needs of those who pay the bills, mailers, need more consideration. If mail volume declines more than projected, there is no way back.””
Heath said NNA firmly supported the Postal Service’s request for restructuring of some retirement fund expenses and believes a refund for overpayment into pension trust funds should be seriously examined.
“This change is more of a high stakes gamble, with a lower payoff, than experts can see so far,” he said. “It is impossible to accurately predict the unintended consequences that will flow from this move. Ending Saturday mail should not be considered until better alternatives have been exhausted.”
Video: PRC Chairman Goldway Says Decision to Cut Mail Deliveries Not Final
Ruth Goldway, chairman of the U.S. Postal Regulatory Commission, talks with Bloomberg’s Lori Rothman about the Postal Service’s decision to reduce U.S. mail deliveries to five days from six. Goldway says the decision is “not final by any means” and that the commission will give the proposal a “very thorough review.” (Source: Bloomberg)
PRC Notice:Nationwide Change in Frequency of Postal Delivery
“The Postal Service emphasizes that the proposed changes do not affect retail operations.” The change will not take place before October 1, 2010. Interventions are due April 26, 2010.
The Postal Regulatory Commission notice published in the Federal Register :
SUMMARY: The Postal Service has requested an advisory opinion from the Commission on a proposed nationwide change in its longstanding 6-day street delivery operating plan. Under the plan, Saturday street delivery day would be eliminated, except for Express Mail deliveries. Some corresponding changes would be made in related aspects of service and processing. This notice addresses related preliminary procedural steps and announces the Commission’s intention to hold some hearings outside of the Washington, DC area.
DATES: Interventions are due: April 26, 2010; prehearing conference: April 27, 2010.
ADDRESSES: Submit notices of intervention and other documents eletronically via the Commission’s Filing Online system. Commenters who cannot submit documents electronically should contact the person identified in the FOR FURTHER INFORMATION CONTACT section for advice on alternatives to electronic filing.
FOR FURTHER INFORMATION CONTACT: Stephen L. Sharfman, General Counsel, 202-789-6820 or stephen.sharfman@prc.gov.
SUPPLEMENTARY INFORMATION: On March 30, 2010, the United States Postal Service (Postal Service) filed a request with the Postal Regulatory Commission (Commission) for the Commission to issue an advisory opinion under 39 U.S.C. 3661(c) for the elimination of Saturday delivery.\1\ Section 3661(c) requires that such service changes conform to the policies reflected in title 39 of the United States Code.
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\1\ Request of the United States Postal Service for an Advisory Opinion on Changes in the Nature of Postal Services, March 30, 2010 (Request).
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The Postal Service proposes to eliminate Saturday delivery nationally, except for delivery of Express Mail and delivery to those post office boxes currently providing Saturday delivery. The change will not take place before October 1, 2010. Request at 1, 10. The Postal Service also proposes to eliminate Saturday initial processing of all mail but Express Mail and qualifying destination entry bulk mail. Id. at 1.
The Postal Service bases the Request on its deteriorating financial condition, precipitated by drastic volume decline. Id. at 3-4. If the Postal Service is authorized to make its proposed changes, it claims that its financial condition would be improved by a net of $3.1 billion annually. Id. at 4. The Postal Service summarizes all of its statutory service and financial obligations, and the need for operational flexibility to reduce delivery days to respond to the changing needs of the postal customer. Id. at 9-11.
The Postal Service’s Request is accompanied by 11 pieces of testimony and 12 library references.\2\ The Postal Service states that the service changes in the Request, and the basis thereof, are examined in detail in the Direct Testimony of Samuel Pulcrano on Behalf of the United States Postal Service, March 30, 2010 (USPS-T-1). That testimony indicates that collecting mail from blue street collection boxes will also be eliminated on Saturday, except to collect overflow on an as needed basis. USPS-T-1 at 4, 14. The Postal Service states it has taken stakeholder views into account in planning the Saturday elimination. Id. at 5-6. The Postal Service also claims that it may, on an as needed basis, resume the delivery of packages/parcels during the pre-Christmas rush on Saturdays in December. Id. at 13. The Postal Service emphasizes that the proposed changes do not affect retail operations, some bulk mail processing, and service standards (except for adding a non-delivery day). Id. at 15-16.
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\2\ Two of the library references are provided under seal.
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The Postal Service sets forth the financial context of the Request in the Direct Testimony of Joseph Corbett on Behalf of the United States Postal Service, March 30, 2010 (USPS-T-2). The Postal Service outlines its financial obligations in the face of declining volume and concludes that the current service model is unsustainable. USPS-T-2 at 2-4. The Postal Service also describes the significant cost cutting measures it has implemented in the last few years. Id. at 7-9. The Postal Service concludes that the negative trends in volume and revenue, coupled with a volume dependant network, result in a Postal Service network that is unsustainable. Id. at 17-18. The Postal Service outlines operational issues associated with the elimination of Saturday delivery in the Direct Testimony of Dean J. Granholm on Behalf of the United States Postal Service, March 30, 2010 (USPS-T-3). The Postal Service asserts it can reduce expenditures for carriers and clerks and increase efficiency on other delivery days. USPS-T-3 at 4-5. The Postal Service indicates that perhaps the biggest change for retail customers is that mail accepted on Saturday will not be processed until Monday. Id. at 7-8. The Postal Service states that although it will probably have to change rural routes to adjust to the workload, it intends to adhere to all of its negotiated labor agreement requirements. Id. at 9-10. It also indicates that field managers may have to develop plans to effectively deal with Monday holiday overflow.
Id. at 18.
The Postal Service describes the changes to mail processing in the Direct Testimony of Frank Neri on Behalf of the United States Postal Service, March 30, 2010 (USPS-T-4). The Postal Service describes, generally, how outgoing and destinating mail is processed at a facility. USPS-T-4 at 2-3. It identifies the elimination of all Saturday outgoing mail processing activities, with the exception of Express Mail operations, as the most significant mail processing change. Id. at 8. The Postal Service states that mail in transit between processing facilities will still continue to be processed. Id. at 10. The Postal Service also forecasts mail processing operations that may be reduced to cut costs, and operations that may increase costs on other days as a result of heavier volume. Id. at 17-18.
The Postal Service examines the effect of a reduction in delivery days on the transportation of mail in the Direct Testimony of Luke T. Grossmann on Behalf of the United States Postal Service, March 30, 2010 (USPS-T-5). The Postal Service states that it will realign transportation networks to support a 5-day delivery mail processing and operating environment. USPS-T-5 at 5. The Postal Service estimates cost reduction through a decreased need for surface transportation in a 5-day environment. Id. at 6-12.
The Postal Service presents the methodology that it used to calculate cost savings realized from moving to a 5-day delivery model in the Direct Testimony of Michael D. Bradley on Behalf of the United States Postal Service, March 30, 2010 (USPS-T-6). The Postal Service provides an overview of previous estimates employed by the Commission and the Postal Service to calculate savings from a 5-day delivery environment. USPS-T-6 at 2-3. The Postal Service also states that it discards the volume variability analysis, which generally has formed a basis for cost estimates, because the change to 5-day delivery is an operational change, not a volume change. Id. at 3. The Postal Service examines and quantifies the direct and indirect costs identified in previous witness testimonies, and cost savings resulting from moving to a 5-day environment. Id. at 7-53.
The Postal Service estimates the annualized cost savings, expressed in 2009 dollars, in the Direct Testimony of Jeff Colvin on Behalf of the United States Postal Service, March 30, 2010 (USPS-T-7). This testimony builds on the methods described in USPS-T-6 by applying them to the Postal Service’s costs. USPS-T-7 at 2-3. It develops the calculated net annual savings (after reduction of contribution from loss of volume) and reports the figure as $3.103 billion. Id. at Attachment 3. The Postal Service states that the estimate may be affected by future increases in hourly labor costs, input unit costs, delivery points, and reduced mail volumes. Id. at 17.
The Postal Service provides an overview of the market research activities it conducted to gauge consumer and business impact from a reduction in delivery in the Direct Testimony of Rebecca Elmore-Yalch on Behalf of United States Postal Service, March 30, 2010 (USPS-T-8). The Postal Service describes the qualitative methods it used to garner consumer and business opinion in the form of focus groups and interviews. USPS-T-8 at 4-11. The Postal Service also describes the quantitative research it employed utilizing surveys. Id. at 12-29. The Postal Service attempts to quantify the affect on use of postal products of moving from a 6-day to a 5-day environment. Id. at 30. The Postal Service provides an assessment of the reactions of customers and commercial organizations to the proposed 5-day change and
estimated volume and revenue impact in the Direct Testimony of Gregory M. Whiteman on Behalf of United States Postal Service, March 30, 2010 (USPS-T-9). The Postal Service states that most consumers and small commercial organizations thought that elimination of Saturday delivery would have little impact on their consumer or commercial requirements. USPS-T-9 at 1. The Postal Service also indicates that most respondents thought they would adapt and the adaptation would not be difficult. Id. Quantitatively, the Postal Service estimates the reduction of volume of 0.7 percent, producing a loss of $428 million in revenue. Id. at 2. The Postal Service describes the changes to “start-the-clock” and “stop-the-clock” events used for service performance measurements that would change as a result of 5-day delivery in the Direct Testimony of Thomas G. Day on Behalf of the United States Postal Service, March 30, 2010 (USPS-T-10). The Postal Serve explains that elimination of outbound mail processing on Saturday affects when the “clock starts to run” for service performance standards. USPS-T-10 at 3. Likewise, the elimination of Saturday delivery delays the “stop-the-clock” event for those mail pieces currently being delivered on Saturday. Id. The testimony presents various “start-the-clock” examples for different products the Postal Service offers, and suggests that each may require realignment as a result of moving to a 5-day environment. Id. at 6-9.
The Postal Service describes how it will inform and prepare customers for the implementation of 5-day delivery and related service changes in the Direct Testimony of Stephen M. Kearney on Behalf of the United States Postal Service, March 30, 2010 (USPS-T-11). The Postal Service recognizes that the ability of customers to adjust will depend on the Postal Service’s actions taken to clearly and effectively inform them. USPS-T-11 at 1. The Postal Service states that it will use multiple channels to reach stakeholders and garner feedback, including Customer Advisory Councils, the National Postal Forum, print and broadcast news media, a dedicated micro-Web site, and customer outreach. Id. at 2-7.
The Request, according to the Postal Service, contains changes that will affect every stakeholder, internal and external, of the Postal Service. See id. at 1, 7. The Request and all supporting public materials are on file in the Commission’s docket room for inspection during regular business hours, and are available on the Commission’s Web site at http://www.prc.gov.
Further procedures. Section 3661(c) of title 39 requires that the Commission afford an opportunity for formal, on-the-record hearing of the Postal Service’s Request under the terms specified in sections 556 and 557 of title 5 of the United States Code before issuing its advisory opinion. All interested persons are hereby notified that notices of intervention in this proceeding shall be due on or before April 26, 2010. See 39 CFR 3001.20 and 3001.20a. It is the Commission’s intent to hold hearings for the receipt of evidence in this proceeding.
At this time, the Commission cannot anticipate the duration, or even the exact form, proceedings on this matter will take. Participants who wish to offer their views on these issues may do so in their interventions. Due to the nature of this Initiative, the Commission also will hold public hearings outside of Washington, D.C. Dates and locations of these public hearings will be announced subsequently. The Commission urges participants to carefully consider, prior to the prehearing conference, the justification for any proposed discovery period.
The Commission will hold a prehearing conference in this docket on April 27, 2010 at which these questions will be discussed.
Public Representative. Section 3661(c) of title 39 requires the participation of an “officer of the Commission who shall be required to represent the interests of the general public” in these proceedings. Patricia A. Gallagher, Kenneth Moeller, and Larry Fenster are designated to serve as Public Representatives to represent the interests of the general public in this proceeding. The foregoing Public Representatives shall direct the activities of Commission personnel assigned to assist them and, at an appropriate time, shall provide the names of these employees for the record. Neither the Public Representatives nor the assigned personnel shall participate in or advise as to any Commission decision in this proceeding, other than in their designated capacity.
It is ordered:
1. The Commission establishes Docket No. N2010-1 to consider the Postal Service Request referred to in the body of this order.
2. The Commission will sit en banc in this proceeding.
3. Notices of intervention are due no later than April 26, 2010.
4. A prehearing conference is scheduled for April 27, 2010, at 10:00 a.m., in the Commission’s hearing room.
5. Pursuant to 39 U.S.C. 505 and 3661(c), the Commission appoints Patricia A. Gallagher, Kenneth Moeller, and Larry Fenster to represent the interests of the general public in this proceeding.
6. The Secretary shall arrange for publication of this notice in the Federal Register.
By the Commission.
Shoshana M. Grove,
Secretary.
source: Federal Register
Postal Service Files 5-Day Delivery Plan With Postal Regulatory Commission
WASHINGTON, March 30 – The Postal Service today took its case for five-day delivery to the Postal Regulatory Commission (PRC).
The Postal Service is required by law to seek an advisory opinion from the PRC any time a nationwide change in service is proposed. Today’s filing begins the PRC review.
A report accompanying the request notes, “The Postal Service does not take this change lightly and would not propose it if six-day mail service could be supported by current volumes. There is no longer enough mail to sustain six days of delivery.”
The five-day delivery proposal is part of comprehensive plan announced March 2, “Delivering the Future,” a roadmap intended to bring certainty to a viable Postal Service well into the future and to help it recover from dramatic losses in volume resulting from electronic diversion and exacerbated by the economic recession.
The five-day report notes, “Ten years ago, the average household received five pieces of mail every day. Today, it receives four pieces and by 2020, that number will fall to three. Reducing street delivery to five days will help rebalance postal operations with the needs of today’s customers. It also will save more than $3 billion a year, including reductions in energy use and carbon emissions.”
Postmaster General John E. Potter said it was important to stress that the proposal dealt only with Saturday street delivery and that Post Offices will be open on Saturdays, access to P.O. boxes would continue, Express Mail would be delivered seven days a week and incoming mail would still be processed.
“It’s five days of delivery, six days of service and Express Mail seven days a week,” Potter noted adding that postal processing operations would continue on a seven-day schedule.
In addition to a review by the PRC, it’s also necessary for Congress to refrain from enacting legislation that would require the Postal Service to generally deliver mail six days a week after the end of fiscal year 2010.
The Postal Service report can be found at http://www.usps.com/communications/five-daydelivery and the request for the advisory opinion can be accessed at prc.gov.
A self-supporting government enterprise, the U.S. Postal Service is the only delivery service that reaches every address in the nation, 150 million residences, businesses and Post Office Boxes. The Postal Service receives no direct support from taxpayers. With 36,000 retail locations and the most frequently visited website in the federal government, the Postal Service relies on the sale of postage, products and services to pay for operating expenses. Named the Most Trusted Government Agency five consecutive years and the sixth Most Trusted Business in the nation by the Ponemon Institute, the Postal Service has annual revenue of more than $68 billion and delivers nearly half the world’s mail. If it were a private sector company, the U.S. Postal Service would rank 28th in the 2009 Fortune 500.
SOURCE U.S. Postal Service
Postal Service Outlines Five-Day Delivery Proposal
Announces Launch of Website
WASHINGTON – The U.S. Postal Service Board of Governors today approved management’s request to move forward with its five-day delivery proposal and to file a request for an advisory opinion with the Postal Regulatory Commission (PRC) on March 30.
Postal Service Vice President Sam Pulcrano, who has been leading an internal five-day delivery task force, also told the Board at its meeting today that a website will be launched to provide customers with the details of the proposal. The website also will include a special section telling business mailers how to manage a change in delivery. The site can be accessed at http://www.usps.com/communications/five-daydelivery.
The five-day delivery proposal is a critical element of a larger plan, “Delivering the Future,” announced March 2. An action plan for the next decade, it presents a balanced approach needed to ensure a viable Postal Service for decades to come. The plan includes legislative and regulatory changes needed to give the Postal Service the flexibility to make necessary business decisions in a timely manner, including the prefunding of retiree health benefits, pricing and delivery frequency.
Two of the plan’s key proposals require action by the Congress: a restructuring of the payment schedule the Postal Service is required to make to prefund retiree health benefits and the elimination of existing statutory language mandating mail delivery six days a week.
Pulcrano told the Board that the five-day task force has spent the last several months seeking stakeholder input and refining the proposal to address mailer concerns. He also said extensive market research has been conducted and Postal Service findings have been consistent with most national polls that have shown that the American people would approve of a five-day delivery schedule if it would ensure a viable Postal Service well into the future.
A USA Today/Gallup poll conducted earlier in the month showed support for five-day delivery across all age groups from 58 percent in the 18-34 bracket to 73 percent among those 55 or older. An earlier Gallup poll showed that 69 percent of all Americans were agreeable to a five-day schedule if it would mean stable stamp prices and a Rasmussen poll showed 66 percent in favor if it would help the Postal Service maintain financial stability.
Pulcrano also highlighted the key elements of the proposal which will be detailed in the filing with the PRC: street delivery and blue box collections will be eliminated on Saturdays, Express Mail service will continue seven days a week, Post Offices currently open on Saturday will remain open, PO Box accessibility will continue and bulk mail and drop shipments will continue to be accepted at facilities that are currently open. If implemented, Pulcrano told the Board the estimated annual savings would be $3.1 billion.
Congresswoman Emerson: Five-Day Postal Delivery Hurts Rural Areas
Press Release from U.S. Rep. Jo Ann Emerson (Eighth Congressional District, Missouri)
March 3, 2010
WASHINGTON – U.S. Rep. Jo Ann Emerson (MO-08) responded to an announcement that the U.S. Postal Service will seek to drop one day of home delivery in an effort to offset budget shortfalls. Emerson, who represents the mostly-rural Eighth Congressional District in Southern Missouri, says the reduction of delivery days would adversely affect residents of her part of the state.
“There are many, many considerations the U.S. Postal Service must take into account before making a decision about removing a day from the weekly mail delivery to American homes and businesses,” Emerson said. “Especially in rural areas, the timeliness of financial information, bills to be paid and even deliveries of medicine by mail is important. Many of our daily rural newspapers rely on six-day delivery to get their news to their customers. And I am also concerned that the postal service is focused on cutting back service and potentially losing millions of customers rather than finding long-term solutions to these budget woes.
“In an urban area where the post office is right around the corner, these issues might not be so severe, but for residents of rural areas like Southern Missouri the nearest post office might be miles away. On top of the challenges of getting to a nearby post office is the fact that many of these rural facilities are threatened with closure every year,” Emerson said.
The content of Emerson’s letter to the U.S. Postal Regulatory Commission is attached:
Nowhere in the nation do Americans appreciate the regular, personal, efficient service of the U.S. Postal Service than in rural areas of the country. I am honored to represent the rural Eighth Congressional District of Missouri, and the intention to limit mail delivery to five days per week would directly and adversely affect thousands of the constituents I serve. I appreciate and understand the severity of the financial difficulties facing the U.S. Postal Service, but I remain opposed to the reduction in postal delivery for reasons I hope to explain in this letter.
First, the opportunity to walk to the corner post office is not a luxury many Americans in rural areas enjoy. The nearest postal facility where people in rural areas can rent a box or go to drop off their outgoing mail may be several miles from home. Elderly and disabled residents in these rural counties rely on the Postal Service to come to them, because they often cannot go to the Post Office.
Newspapers in rural areas, too, rely on six-day delivery to communicate the news of their communities to residents of their circulation areas. Many of these are papers of record, and many more daily papers would lose advertising revenue by being forced to drop one issue per week.
Another issue arises during inclement weather situations, which we in Southern Missouri have experienced more than once in the last year. Ice and snow do sometimes make regular postal delivery impossible. The loss of one more day in the week which would otherwise allow carriers to make up for the delay in service is a further impediment to customers with bills to mail and correspondence to send.
In addition, under certain circumstances, a day’s delay in postal services can mean a two-day delivery becomes a five-day delivery. This is especially concerning when the mail contains a supply of medicine or time-sensitive financial information. I remain very concerned about the unintended consequences of delaying delivery of certain envelopes and parcels to all of the USPS’s customers.
Finally, I am not convinced that the USPS has adequately pursued alternatives to reducing delivery to five days. Other options exist, namely, executive salary reductions, better-negotiated vehicle acquisitions for the USPS fleet, concessions from the groups representing Postal Service employees who also wish to see the USPS return to profitability, and cost-cutting measures that would further streamline postal operations.
For these reasons, the FY2010 Financial Services Appropriations bill contains language requiring the USPS to maintain six-day delivery. I would like to insist that this language be adhered to by the USPS and the Postal Commission and encourage you to reconsider this decision. It is extremely important to your customers in rural areas of the country like Southern Missouri. Thank you for your kind consideration.
Very sincerely,
JO ANN EMERSON
Member of Congress