We, The Postal Service
Transcription
We, The Postal Service
We, The Postal Service... Who We Are, What We Do, How We Operate Publication 99 April 2014 USPS Trademarks The following are among the many trademarks owned by the United States Postal Service®: 1-800-ASK-USPS®, ACS™, APC®, Approved by the Postmaster General®, Approved Postal Provider™, Automated Postal Center®, Carrier Pickup™, Certified Mail®, Click-N-Ship®, Commercial Base®, Commercial Plus®, Confirm®, Critical Mail®, Customized MarketMail®, Delivery Confirmation™, DineroSeguro®, DMM®, EDDM Commercial™, EDDM Retail®, EDDM®, ePacket®, EPM®, Every Door Direct Mail®, Every Door Sampling™, Express Mail®, FAST®, FASTforward®, First-Class™, First-Class Mail®, First-Class Mail International®, Forever®, Full- Service ACS™, Global Direct Entry™, Global Express Guaranteed®, gopost™, IMb®, IM™, Intelligent Mail®, International Priority Airmail®, International Surface Air Lift®, LACSLink™, Media Mail®, MERLIN®, MetroPost®, Mover’s Guide®, NCOALink®, Netpost®, OneCode ACS®, OneCode Confirm®, Our Priority Is You™, Parcel Post®, Parcel Select®, PC Postage®, PCC®, PLANET Code®, Post Office Box™, Post Office™, Postal Service™, PostalOne!®, POSTNET™, Premium Forwarding Service®, Pay, Print & Ship™, Priority Mail®, Priority Mail Express™, Priority Mail Express International®, Priority Mail Flat Rate®, Priority Mail International®, Priority Mail Regional Rate®, PRIORITY:YOU™, Quick, Easy, Convenient®, RDI™, ReadyPost®, Real Mail Notification™, REDRESS®, Registered Mail™, RIBBS®, Self-Service Ship and Mail Center® and Design, Signature Confirmation™, Stamps by Mail®, Stamps to Go®, Standard Mail®, Standard Post™, The Postal Service®, The Postal Store®, U.S. Mail®, U.S. Mail™, U.S. Postal Service®, United States Postal Inspection Service®, United States Postal Service Office of Inspector General® and Design, United States Postal Service®, USPS Blue Earth™, USPS Change of Address™, USPS Delivery Confirmation®, USPS Digital Services™, USPS Electronic Postmark®, USPS ePacket®, USPS Package Intercept®, USPS Tracking™, USPS.com®, USPS®, VPO®, www.usps.com®, ZIP Code™, and ZIP+4®. 02 | Publication 99 ■ April 2014 Contents Mission: Universal Service. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 Myths About the Postal Service . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 History of the Postal Service . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 Oversight and Governance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 The Workforce . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 Workforce Statistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Organizational Structure . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Usage of Facilities. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Vehicles . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Field Employees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .11 Communication With Employees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 Industry Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 Competition. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 Growing Stronger. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 Putting Customers First . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 Products and Services. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 Standard Mail Pieces . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18 International Package Products and Services. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 Other Products and Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20 Online Products and Services. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 Employee Engagement Programs. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22 Publication 99 ■ April 2014 | i Overview of Operations. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22 Global Business. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 Financial Highlights. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 Operating Expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 Going Green. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31 Future of the Postal Service . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31 Acronyms. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32 Postal Facts 2013. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34 A Day in the U.S. Postal Service — by the Numbers. . . . . . . . . . . . . . . . . . . . . . . . 36 Area and District Maps. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37 ii | Publication 99 ■ April 2014 Mission: Universal Service Our mission is to provide trusted, affordable, and universal service to the people of the United States. Not sure what universal service is? Keep reading to find out more. By law, our basic function is to provide universal service at a fair price by offering postal services without undue discrimination among our many customers. This means that the Postal Service touches every household and business nearly every day. It has the visibility and physical presence in almost every community to allow customers to build and maintain relationships and help businesses grow. Everyone living in the United States and its territories has access to postal products and services and pays the same postage regardless of location. That kind of value to our nation is priceless. Curious about how we became the universal provider that we are today? For more information about the history of the Postal Service, visit http://about.usps.com/who-we-are/postal-history/welcome.htm. Myths About the Postal Service We know that you know better, but just in case, here are the four most common myths about the Postal Service. Myth 1: The Postal Service receives taxpayer dollars. The Postal Service does not receive taxpayer dollars. The Postal Reorganization Act of 1970, which became law in 1971, transformed the Post Office Department into the United States Postal Service (USPS), an independent agency of the executive branch. We rely on the sale of postage and mail products and services for revenue, and we are required by law to cover our costs. A small annual appropriation from Congress reimburses the Postal Service for free mail for the blind and absentee-ballot mailing for overseas military personnel. Otherwise, we have not received taxpayer funds to support postal operations since 1982. Myth 2: Mail delivery is not reliable. The Postal Service is not only punctual; it’s trusted and secure. When it comes to safeguarding personal information, Americans continue to trust the U.S. Postal Service above all other government agencies. According to the surveys and studies of the Ponemon Institute (the author of the premier privacy-trust study in America, including its 2012 Most Trusted Companies for Privacy, released January 28, 2013), the Postal Service ranked fifth in the nation in the Most Trusted Companies for Privacy. The Postal Service strives to protect the mail and has a tradition of high performance in on-time delivery and customer satisfaction, cutting-edge automated equipment, and information technology. On-time overnight delivery of single-piece First-Class Mail was at 96.1% for Fiscal Year (FY) 2013. Now that’s what we call reliable! Myth 3: The Postal Service is not environmentally friendly. Some say that the Postal Service is not environmentally friendly, but think of the alternative: If the Postal Service did not take responsibility for delivering the mail to residences across the nation, then residents would have to drive to a central location to pick up their mail. It is more environmentally friendly to have one delivery truck deliver to 300 addresses than it is to have 300 residents drive to a central location daily in their vehicles to pick up their mail. Publication 99 ■ April 2014 | 1 Even though having the Postal Service deliver the mail is the better alternative, there’s no way around it: Delivering mail uses fossil fuels, and mail often produces paper waste. Still, the Postal Service is greener than most people think. Our fleet of alternative-fuel-capable vehicles includes electric, three-wheeled electric, hybrid electric, ethanol, fuel-cell, biodiesel, and propane technology. We provide more than a half billion recyclable packages and envelopes made of environmentally friendly materials. As long as consumers and businesses use physical mail, we are committed to finding ways to process it responsibly. Myth 4: The Postal Service can’t compete with the private sector. The Postal Service’s competitive edge is its delivery network, convenience of access, and the service it provides. FedEx Corporation (FedEx) and United Parcel Service (UPS) are not only our competitors but also major customers. Every year, FedEx and UPS pay the Postal Service to deliver the first mile/last mile for more than 400 million of their ground packages in residential areas. In turn, the Postal Service contracts with UPS and FedEx for air transportation to take advantage of their comprehensive air networks. 2 | Publication 99 ■ April 2014 History of the Postal Service Three weeks after the battles of Lexington and Concord, the Second Continental Congress met in Philadelphia in May 1775 to plan for the defense of the colonies against British aggression. The conveyance of letters and intelligence was essential to the cause of liberty. Timeline 1775 The Continential Congress appointed Benjamin Franklin as the first Postmaster General. This marked the birth of the Post Office Department, the predecessor of the United States Postal Service and the second oldest federal department or agency of the United States of America. 1838 Railroads were designated post routes by Congress. 1847 U.S. Postage stamps issued. 1860 Pony Express began. Plans for the Pony Express were spurred by the threat of the Civil War and the need for faster communication with the West. The Pony Express consisted of relays of men riding horses carrying saddlebags of mail across a 2000-mile trail. 1855 Prepayment of postage required. 1925 The Kelly Act, which no longer allowed the Postal Service to operate its own aircraft to transport mail, was passed. 1970 Postal Reorganization Act signed. The act transformed the U.S. Post Office into the U.S. Postal Service (USPS), a self-supporting, independent agency of the executive branch. The Postal Regulatory Commission was also created at this time. 1963 ZIP Code inaugurated. 1982 Last year Postal Service accepted public service subsidy. 1971 USPS began operations. 1994 Postal Service launched Internet site. 2008 Competitive pricing for expedited mail began. 2006 Postal Accountability and Enhancement Act (PAEA) strengthened the Postal Regulatory Commission’s authority to serve as a counterbalance to new flexibility granted to the Postal Service in setting postal rates. Also, the PAEA requires the Postal Service to make uprecendented payments of more than $5 billion annually through 2016 to prefund retiree health benefits (RHB). More History There’s a lot more to learn about the history of the Postal Service. To read more about important events, such as the Postal Reorganization Act and the Postal Accountability and Enhancement Act, check out Publication 100, The United States Postal Service: An American History 1775 – 2006, at http://about.usps.com/publications/pub100.pdf. Publication 99 ■ April 2014 | 3 Oversight and Governance The Postal Service is a unique and independent agency of the federal government. Since it is not funded by appropriations, it is not directly subject to many of the Office of Management and Budget’s (OMB’s) requirements for budgetary submissions. The Postal Service does, however, follow OMB’s guidelines for federal agencies. The Postal Regulatory Commission and the Office of Inspector General oversee everything from our pricing and products to postal networks. The General Accountability Office oversees the accountability of all federal agencies, including the Postal Service. Postal Regulatory Commission (PRC) The U.S. Postal Regulatory Commission is an independent agency that has exercised regulatory oversight over the Postal Service since its creation by the Postal Reorganization Act of 1970. The Postal Accountability and Enhancement Act, enacted on December 20, 2006, significantly strengthened the PRC’s authority. The Act requires the PRC to: ■■ Develop and maintain regulations for a modern system of rate regulation. ■■ Consult with the Postal Service on delivery-service standards and performance measures. ■■ Consult with the Department of State on international postal policies. ■■ Prevent cross-subsidization or other anticompetitive postal practices. ■■ Promote transparency and accountability and adjudicate complaints. Postal filings, public comments, and PRC actions can be accessed at www.prc.gov/prc-pages/ default.aspx. Office of Inspector General (OIG) The Office of Inspector General plays a key role in maintaining the Postal Service’s integrity and accountability, its revenue and assets, and its employees. The OIG’s mission is to conduct and supervise objective and independent audits and reviews of Postal Service programs and operations to: ■■ Prevent and detect fraud, waste, and misconduct. ■■ Promote economy, efficiency, and effectiveness. ■■ Promote program integrity. ■■ Keep the Board of Governors, Congress, and Postal Service management informed of problems and corresponding corrective actions. Recent audits, reviews, and research reports can be accessed at www.uspsoig.gov. Did You Know? Whereas the PRC and the OIG are postal-specific entities, the U.S. Government Accountability Office (GAO) oversees the accountability of all federal agencies, including the Postal Service. The GAO is an independent, nonpartisan agency that works for Congress. Often called the “congressional watchdog,” the GAO investigates and provides Congress with timely information that is objective, fact-based, nonpartisan, nonideological, fair, and balanced. Its purpose is to improve the federal government’s performance and ensure its accountability for the benefit of the American people. To learn more, visit www.gao.gov. 4 | Publication 99 ■ April 2014 The Workforce The Postal Service requires a large workforce to deliver the mail and provide universal service to the people of the United States. Maintaining efficient levels and an optimal mix of career and noncareer employees is essential to achieving reliable service and financial stability. Career Employees All career employees are appointed without time limitation and receive full benefits, including retirement, health insurance, life insurance, and more. Bargaining Career bargaining employees are represented by unions. The Postal Service has nine collectivebargaining agreements with seven different unions and management associations. Union employees, commonly referred to as craft employees, hold positions such as clerk, motor vehicle operator, maintenance mechanic, city carrier, mail handler, and rural carrier. Most of these employees are represented by the following four unions, each of which enjoys collectivebargaining rights: ■■ American Postal Workers Union (APWU). ■■ National Association of Letter Carriers (NALC). ■■ National Postal Mail Handlers Union (NPMHU). ■■ National Rural Letter Carriers’ Association (NRLCA). Nonbargaining Career nonbargaining positions are typically administrative, managerial, and technical. Career nonbargaining employees serve in the field and in headquarters and headquarters-related offices. They are represented by management associations, which do not have collective-bargaining rights. Noncareer Employees Noncareer employees typically hold limited-term appointments, although some appointments are indefinite. They may be hired to provide flexibility to supplement the regular workforce. Noncareer employees serve in several categories, including the following: ■■ Casuals. ■■ Postal support employees (PSEs). ■■ Nonbargaining temporary. ■■ Rural part-time: subs/RCA/RCR/AUX. ■■ Postmaster relief and leave replacements. ■■ City carrier assistant (CCA). ■■ Mail handler assistant (MHA). Publication 99 ■ April 2014 | 5 Workforce Statistics Through the course of 2013, we reduced our career complement by approximately 37,000, or 7%, down to approximately 491,000 employees. These are significant changes, and they follow an approximately 29,000 decrease in career employees in 2012. The decrease in compensation expense is also driven by our staffing composition between career and noncareer employees. In 2013, the increased use of noncareer labor allowed us to replace more expensive career workhours with less expensive noncareer workhours. Workforce Breakdown Workforce Breakdown 2013 2012 2011 Employees % of Total Employees % of Total % Change Employees % of Total 2013/2012 2012/2011 2013/2011 Career 491,000 79% 528,000 84% 557,000 86% (7.0%) (5.2%) (11.8%) Non-Career 127,000 21% 101,000 16% 89,000 14% 25.7% 13.5% 42.7% Total 618,000 – 629,000 – 646,000 – (1.7%) (2.6%) (4.3%) Between 2011 and 2013, the number of career employees fell approximately 66,000 or 11.8% while the noncareer employees rose by approximately 38,000 or 42.7%. Since the end of 2008, the number of career employees has been reduced by approximately 172,000 or 26%. These reductions have been accomplished primarily through attrition and incentives to retire. The number of noncareer employees increased by approximately 26,000 in 2013 to 127,000 employees as a result of the increased workforce flexibility available under the new collective bargaining agreements. This increased flexibility allowed us to more efficiently manage the workforce and reduce the average cost per work hour in 2013 below the 2012 level. Career Employees and Total Work Hours The benefits to the Postal Service of the change in staffing composition are not limited to only wage rate savings. Since the overall wage base is lower, as is evidenced by the decrease in compensation expense of approximately $640 million or 1.8%, additional savings are also achieved in reductions in both retirement and health benefits, which fell 2.0% and 4.5% respectively. The net result of these changes in work hour mix was a 1.0% decrease in the average hourly compensation and benefit wage rate. The graph to the left details the decline in the number of our career employees and the decline in total work hours (career and noncareer) since 2000. 6 | Publication 99 ■ April 2014 Organizational Structure The Postal Service is structured like a large corporation. We are governed by a body similar to that of a board of directors in a private firm. The Executive Leadership Team acts on behalf of the Board and oversees the four main levels within the Postal Service: headquarters, areas, districts, and plants. Board of Governors The 11-member Board of Governors (BOG) serves as the governing body of the Postal Service and directs and controls the Postal Service’s expenditures, reviews its practices, conducts longrange planning, and sets policies on all postal matters. The BOG includes nine governors appointed by the President of the United States with the advice and consent of the Senate. The other two board members are the Postmaster General (PMG) and the Deputy Postmaster General (DPMG). The governors appoint the PMG, who serves at their pleasure without a specific term. The governors, together with the PMG, appoint the DPMG. No more than five of the presidentially appointed governors can be members of the same political party. The chairman and vice chairman are elected each calendar year. Headquarters Postal Service Headquarters is located in Washington, DC. Employees at headquarters and headquarters-related facilities work to support the field and carry out the overall mission of the Postal Service. The headquarters structure is separate from the rest of the organization; however, certain positions in the field report to headquarters functions. The headquarters organization chart, with descriptions of the executive’s roles, is shown below. POSTMASTER GENERAL & CHIEF EXECUTIVE OFFICER Patrick R. Donahoe Deputy Postmaster General Ronald Stroman Chief Operating Officer & Exec. VP Megan Brennan Chief Information Officer & Exec. VP Jim Cochrane Chief Financial Officer & Exec. VP Joseph Corbett General Counsel & Exec. VP Thomas Marshall Chief Human Resources Officer & Exec. VP Jeffrey Williamson Chief Marketing and Sales Officer, Exec. VP Nagisa Manabe VP Consumer & Industry Affairs James Nemec VP Delivery & Post Office Operations Edward Phelan VP Engineering Systems Michael Amato VP Controller A/Scott Davis VP Global Business Giselle Valera VP Employee Resource Management Rosemarie Fernandez VP Corporate Communications William Whitman, Jr. VP Facilities Tom Samra VP Information Technology John Edgar VP Finance & Planning Shaun Mossman VP New Products and Innovation Gary Reblin VP Labor Relations Douglas Tulino VP Government Relations & Public Policy A/Sheila Meyers VP Network Operations David Williams VP Mail Entry & Payment Technology Pritha Mehra VP Supply Management Susan Brownell VP Pricing Cynthia Sanchez-Hernandez Judicial Officer William Campbell VP Retail Channel Operations Kelly Sigmon VP Product Information Robert Cintron Chief Postal Inspector Guy Cottrell VP Sales Cliff Rucker VP Secure Digital Solutions Randy Miskanic AVP Capital Metro Area Kristin Seaver AVP Eastern Area Joshua Colin AVP Great Lakes Area Jacqueline Krage Strako AVP Northeast Area Richard Uluski AVP Pacific Area Dean Granholm AVP Southern Area Jo Ann Feindt AVP Western Area Drew Aliperto Official Organizational Chart Shading = Executive Leadership Team (8 Members) USPS 03/15/14 Publication 99 ■ April 2014 | 7 Executives: Roles and Responsibilities Postmaster General and Chief Executive Officer (PMG) The PMG is responsible for managing the Postal Service and setting the direction for the entire organization. The PMG reports to the BOG and also serves as a board member. Deputy Postmaster General (DPMG) The DPMG works closely with the mailing industry to help strengthen relationships and identify opportunities to improve interactions with customers. The DPMG also serves as a member of the BOG. Chief Operating Officer and Executive Vice President (COO) The COO is responsible for the day-to-day activities of employees working in facilities across the nation to carry out our mission. The COO is responsible for mail processing, transportation, field operations, delivery, retail, facilities, and network operations. Chief Information Officer and Executive Vice President (CIO) The CIO oversees the integration of technology and innovation in all aspects of our operations. Additionally, the CIO will direct the advancement of new mail intelligence, engineering systems, information technology systems, payment technology, and corporate information security to meet the changing needs of today’s marketplace. Chief Financial Officer and Executive Vice President (CFO) The CFO is responsible for managing the financial risks of the Postal Service as well as financial planning, record keeping, financial analysis, and financial reporting. The CFO is the head of the organization’s finance and planning, controller, treasury, accounting, and supply management functions. General Counsel and Executive Vice President The General Counsel is charged with helping the Postal Service in all aspects of its business, including its Network Optimization plans, price setting, and other major business initiatives. Chief Marketing/Sales Officer and Executive Vice President (CMSO) The President and Chief Marketing/Sales Officer is responsible for all domestic and international products marketing, development, and management. The CMSO is also responsible for the Postal Service Pricing, Global Business, Sales, Secure Digital Solutions, and Stamp Services organizations. Chief Human Resources Officer and Executive Vice President (CHRO) Managing the largest civilian human resources operation in the United States, the CHRO oversees all aspects of human resources for the Postal Service’s employees, including labor relations, leadership development and talent management, compensation, complement staffing and field policy, and employee resource management. Chief Postal Inspector The Chief Postal Inspector oversees all operations of the Postal Inspection Service, which includes the national headquarters, 18 divisions, 2 service centers, and a national forensic laboratory. The Chief Postal Inspector is also the chairman of the Universal Postal Union’s Postal Security Group and reports to the PMG. For the most up-to-date information on the Postal Service’s organizational structure, click on Inside USPS at the top of the Blue page at http://blue.usps.gov/wps/portal. 8 | Publication 99 ■ April 2014 Executive Leadership Team Patrick R. Donahoe Postmaster General and Chief Executive Officer Ronald A.Stroman Deputy Postmaster General Megan J. Brennan Chief Operating Officer and Executive Vice President James Cochrane Chief Information Officer and Executive Vice President Joseph Corbett Chief Financial Officer and Executive Vice President Nagisa Manabe Chief Marketing and Sales Officer, Executive Vice President Thomas Marshall General Counsel and Executive Vice President Jeffrey Williamson Chief Human Resources Officer and Executive Vice President Publication 99 ■ April 2014 | 9 Usage of Facilities Facilities that support postal retail and delivery operations are located in virtually every community throughout the country. In addition to the 31,702 retail and delivery facilities that we operate, postal retail services are available in thousands of commercial locations owned and operated by private businesses. These include almost 4,000 Contract Postal Units, Community Post Offices, and Village Post Offices, more than 5,700 approved shipper locations, and over 64,000 supermarkets, pharmacies, and other stores that sell postage stamps as a convenience to our customers. See the first table for details about facilities for our postal retail and delivery operations, and see the second table for details Postal-Managed Retail and Delivery Facilities 2013 2012 about facilities for our postal (actual numbers) processing operations. Post Offices 26,670 26,755 Our larger facilities primarily Classified Stations 3,084 3,110 support mail processing Classified Branches 1,396 1,407 operations. These facilities Carrier Annexes 552 585 process millions of pieces Total Postal-Managed Retail and Delivery Facilities 31,702 31,857 of mail on a daily basis and prepare them for dispatch and transportation. They may also house some of the retail and delivery operations identified under retail Processing Facilities 2013 2012* (actual numbers) and delivery functions. Plants 197 224 As part of the ongoing efforts to improve efficiency, Mail Processing Facilities 37 88 adjust the network as a result of lower volumes Network Distribution Centers 21 21 of mail, and reduce excess capacity, we have begun consolidation of operations, which has Annexes 51 68 led to a reduction in the number of facilities that Surface Transfer Centers 7 8 support mail processing. We are currently pursuing Airmail Processing Centers – 1 further consolidation of mail processing facilities. 2 2 Consolidations allow for reductions in headcounts Remote Encoding Centers and transportation costs due to efficiencies of International Service Centers 5 5 scale in mail processing and transportation but do Total Processing Facilities 320 417 not always result in a reduction in the number of *Amounts for 2012 have been restated to be consistent facilities. Consolidation also results in more efficient with category reclassification made in 2013. use of our mail processing facilities and equipment as well as our transportation network. Vehicle Inventory 10 | Publication 99 ■ 2013 2012 Vehicles (actual numbers) Mail Transport (Tractors and Trailers) 5,850 5,985 The Postal Service operates one of the largest vehicle fleets in the United States, including a fleet of alternative-fuel vehicles. There were no significant vehicle purchases in 2013. We utilize our vehicles for the types of activities shown in the table to the right. Administrative 6,449 6,451 Service (Maintenance) 4,613 4,604 Inspection and Law Enforcement 2,529 2,448 Mail Transport (3–9 ton) 2,139 2,145 April 2014 Delivery and Collection (½ – 2½ ton) Total Vehicles 190,104 190,897 211,684 212,530 Field Employees Moving the mail requires a large workforce. Postal Service field employees are responsible for a wide range of tasks. From carriers to clerks, every employee plays an important role in delivering the mail. Postmasters Postmasters direct and coordinate the activities of workers who provide operational, administrative, management, and support services in a Post Office, station, or branch. Supervisors Supervisors oversee the work of a wide range of employees and ensure that the mail is collected, processed, dispatched, and delivered as required. These professionals work to maintain Postal Service rules and regulations. City Carriers City carriers deliver the mail by vehicle or on foot. They provide reliable and efficient service, while protecting the mail entrusted to them. Rural Carriers Rural carriers deliver mainly in rural areas and in designated suburban areas. They provide quality service as they help customers and deliver mail in a timely fashion. They also perform basic transactions, such as selling stamps, and are known as “Post Offices on Wheels.” Mail Handlers Mail handlers load and unload vehicles and separate all mail received from trucks and conveyors for dispatch to other conveying units. They also move mail transport equipment (MTE) and move mail for delivery to distribution areas. Clerks The clerk craft includes positions such as retail associate, mail processing clerk, and markup clerk. Members of the clerk craft perform duties such as selling stamps and other products, processing mail on automated equipment, and distributing and forwarding mail. Maintenance Craft Maintenance personnel maintain buildings and equipment. The maintenance craft includes positions such as laborer-custodian, building mechanic, and electronics technician. Their responsibilities range from cleaning postal facilities to repairing and maintaining buildings, equipment, and automated systems. Transportation Craft Transportation personnel include motor-vehicle and tractor-trailer operators. They are responsible for moving mail among facilities. Publication 99 ■ April 2014 | 11 Communication With Employees Two-Way Communication The Postal Service communicates with employees about business conditions, decisions, and changes through Link, a daily newsletter, and through announcements and video presentations on its intranet, Blue. The Postal Service also provides LiteBlue, a website for employees only. LiteBlue keeps employees connected to policies that affect their jobs. Managers in the field regularly receive materials for employee talks, postings, and direct distribution. In addition, the Postal Service encourages constant feedback from employees for continuous improvement. Whether you are a Postal Service employee working in the field or at headquarters, you have many opportunities to provide comments to your managers. Voice of the Employee This is another opportunity for employees to express their thoughts and opinions. To learn more about the VOE program, visit the human resources website on the Blue page at http://blue.usps.gov/humanresources/home.shtml. Industry Overview The U.S. economy benefits greatly from the Postal Service and the many businesses that provide the printing and mailing services that support it. This section will give you some insight into the size and scope of the mailing industry, the current state of the industry, and how the Postal Service falls within that mix. Size and Scope The mailing industry is an important part of the U.S. economy. According to the 2012 EMA Mailing Industry Job Study, industry participants generate $1.3 trillion in sales revenue and employ more than 8.4 million Americans. The mailing industry is an economic engine that generates hundreds of billions of dollars in sales, salaries, and supplies that contribute to local, state, and national economies. State of the Industry The mailing industry is in a state of transition due to changes and advances in technology. E-mail has replaced First-Class Mail as the primary means of written communication, and e-commerce allows customers to pay and receive bills online and make purchases that way, rather than in traditional brick-and-mortar stores. As a result, First-Class Mail volume is steadily declining, and parcel-delivery volume is increasing rapidly. Another emerging trend is an increase in merchandise returns. In recent years, it has become the norm for online shoppers to order several items of apparel to try on, expecting to return all but one item. The returns dynamic will likely continue to drive the increase in package volume for years to come. Luckily, due to its pricing, product mix, and expansive network, the Postal Service is well positioned to become the predominant provider of return services. Read on to find out more about the Postal Service’s role in the industry and how it plans to address the changing dynamics in the marketplace. 12 | Publication 99 ■ April 2014 Our Role in the Industry Electronic diversion of First-Class Mail continues to be a primary cause of the Postal Service’s declining volume. Although a somewhat improved economy, combined with our marketing strategies, has led to growth in the areas of packaging and advertising mail, our profit contribution still fails to make up for the volume decline in the highly profitable First-Class Mail market. Even as access to high-speed Internet and mobile data expands, mail remains a critical part of the infrastructure for communication among consumers, businesses, and all levels of government. Businesses, in particular, rely on the mail to communicate with their customers. The business-tocustomer channel includes billing statements and notifications sent using First-Class Mail as well as advertisements and offers sent by Standard Mail. Business-to-customer mailing will continue to generate revenue for the Postal Service in the years to come. Along with continuing to improve its core competencies, the Postal Service is exploring new areas of growth to keep up with changing industry dynamics. For example: ■■ The Postal Service has developed several mobile applications that generate physical pieces of mail, thus connecting the digital world with the tangible world. ■■ The newest version of the Postal Service’s mobile iPhone application allows users to schedule a free next-day package pickup and order shipping supplies at their own convenience. You can expect many more changes and improvements like this during your Postal Service career. Competition The primary competitors of our shipping and package services are FedEx and UPS, as well as other regional and local delivery companies. However, FedEx and UPS are also our partners — not only do they benefit from our first mile/last mile advantage, but we also contract with them for air transportation to capitalize on their comprehensive air networks. Our shipping and package business competes on the basis of the breadth of our service network, convenience, reliability, and economy of the service provided. The package and express delivery businesses are intensely competitive and are likely to remain so. A wide variety of communications media compete for the same types of transactions and communications that historically were conducted using mailing services. These competitors include, but are not limited to, newspapers, telecommunications, television, e-mail, social networking, and electronic funds transfers. Publication 99 ■ April 2014 | 13 Growing Stronger Priority: You The Postal Service’s revenue from shipping and packages has surged 14% during the past 2 years. To capitalize on this growth, we made major changes to our lineup of Priority Mail products and services in 2013. With Priority Mail, customers receive improved tracking and day-specific delivery, so they’ll know whether to expect delivery in 1, 2, or 3 days. Also, insurance and tracking are included at no extra charge for barcoded Priority Mail packages. Express Mail was renamed Priority Mail Express to simplify our product offerings. It remains our fastest domestic product, offering overnight delivery to most locations and includes up to $100 of insurance coverage. Making Mail More Competitive The Postal Service is working with our customers in the business world to make mail more competitive with other marketing channels. We’re encouraging and helping businesses to make direct mail campaigns more personally relevant, actionable, functional, and creative. Our goal is to create: ■■ Mail that allows people to use their smart devices to interact with it. ■■ Mail that engages the recipient when it has been personalized with customer data. ■■ Mail that reduces the number of steps to make a purchase online — like a postcard or catalog that allows the user to quickly make a purchase in one or two clicks. ■■ Mail that’s vibrant, colorful, and attracts attention. Putting Customers First Technology: A Tool to Serve More Post Offices are putting technology to work for their customers. The Postal Service has self-service kiosks in more than 2,300 locations across the nation, and in a pilot program, several locations introduced a new generation of kiosks in 2013. Customers can use the kiosks to buy stamps, ship packages, and send mail. The kiosks are easy-to-use and feature bright and large touch screens, a scanner for pricing greeting cards, and a scale to weigh packages. Post Offices continue employing technology in other ways too. Many busy locations use webcams to monitor wait times; when the lines get too long, supervisors may dispatch more clerks to open additional windows. It Takes a Village In 2013, the Postal Service opened 338 Village Post Offices, which are located inside convenience stores, markets, and other neighborhood businesses. Village Post Offices offer the most 14 | Publication 99 ■ April 2014 ™ Doe Run, MO 63637 ™ popular postal products and services, including PO Boxes, Forever stamps, and prepaid shipping envelopes. Often, the hours are longer than regular Post Offices, making Village Post Offices a convenient option for customers. Forty states now have at least one Village Post Office. The Postal Service plans to open more in 2014. PC Postage PC Postage is a service that allows third parties to provide for the printing of U.S. postage stamps on a user’s own printer. With PC Postage, customers can purchase and print postage 24 hours a day, 7 days a week from the convenience of their homes and offices, using USPS.com or authorized providers. Online and Everywhere Doing business with the Postal Service online has never been easier. In 2013, we improved our retail website — USPS.com — making it easier for anyone to ship packages, send mail, and buy stamps. We also introduced more multilingual features so customers can conduct transactions in the language they prefer. Additionally, we upgraded our mobile application, which allows users to find nearby mailboxes and Post Offices, track packages, and look up ZIP Codes. Products and Services First-Class Mail Features and Benefits ■■ First-Class Mail is a fast and affordable service for envelopes and packages weighing up to 13 ounces. It’s perfect for personal correspondence, bills, and light merchandise. ■■ Our best priced service for mail up to 13 ounces. ■■ Can be combined with extra services to confirm delivery. Delivery Time 2–3 business days in most cases. Prices 1-ounce letters from $0.49. Picture Permit Imprint Indicia Features and Benefits ■■ Picture Permit Imprint Indicia provides commercial mailers the opportunity to creatively add value to their mailpieces. ■■ Can incorporate a logo, brand images, or trademarks along with required permit indicia information — this provides immediate recognition of the company’s logo, products, promotions, and brands, which could improve the effectiveness of the overall mailing. ■■ Available for First-Class Mail and Standard Mail letters and postcards. Delivery Time 2–3 business days in most cases for First-Class Mail. Prices $0.01 per piece for First-Class Mail letters and postcards, and $0.02 per piece for Standard Mail letters and postcards. Publication 99 ■ April 2014 | 15 Priority Mail Features and Benefits ■■ Free Package Pickup from home or business. ■■ Includes USPS Tracking for both online and retail purchases. ■■ Includes up to $50 in insurance coverage for mailpieces with barcodes. ■■ Save even more with online purchases. ■■ Includes free boxes and envelopes. ■■ Provides Saturday delivery and residential delivery at no extra charge. ■■ Available with Flat Rate pricing. Delivery Time 1, 2, or 3 business days based on origin and destination. Price Prices are based on Priority Mail subproduct and destination, starting at $5.60 for a Flat Rate Envelope. Notes ■■ Expected delivery day is printed on receipt or provided at checkout. ■■ Available for mailable items up to 70 pounds. ■■ For details on free Package Pickup, go to usps.com/pickup. ■■ Some restrictions apply. Visit usps.com/makingprioritymailbetter for details. Standard Post Features and Benefits ■■ An economical way to send packages. ■■ Allows packages that are too big for Priority Mail Express and Priority Mail delivery. ■■ Includes USPS Tracking. ■■ Accommodates larger packages, up to 130 inches. Available depending on the zone and only at retail. Delivery Time 2–8 days. Prices The price varies by weight and destination, starting at $5.60. Notes 16 | Publication 99 ■ ■■ Available for Zones 1–4, up to 70 pounds, but only for hazardous materials, live animals, or other items required to be shipped by ground/surface transportation. ■■ Available for Zones 5–9, up to 70 pounds. ■■ The timeliness of service to or from destinations outside the contiguous United States might be affected by the limited availability of transportation. April 2014 Parcel Select Lightweight Features and Benefits ■■ For business customers, especially large and medium-sized shippers looking for an economical ground delivery service. ■■ Our best pricing on ground delivery. ■■ Free USPS Tracking. ■■ Available with Hold For Pickup. ■■ Three entry points: Destination Delivery Unit (DDU), Sectional Center Facility (SCF), and Network Distribution Center (NDC). Save money by mailing sorted parcels closer to their ultimate destination. Delivery Time 2–9 days. Prices The price varies by origin, destination, and machinability, starting at $2.32. Critical Mail Features and Benefits ■■ For Commercial Plus mailers. ■■ A sub-class of Priority Mail — great for important documents, tickets, or high-impact direct mail. ■■ Competitive price, reliability, and security. ■■ Includes USPS Tracking. ■■ Includes $100 in insurance coverage against loss, damage, or missing contents. ■■ Available for automation-compatible letters and flats. Delivery Time 1, 2, or 3 business days based on origin and destination. Prices See a local USPS sales agent for pricing. Note ■■ Payment methods include approved PC Postage and permit imprint. Media Mail Features and Benefits ■■ A cost-effective way to send educational materials. ■■ Includes a restriction on sending video games and digital drives. Delivery Time 2–8 days. Prices $2.53 for a single-piece. Note ■■ The timeliness of service to or from destinations outside the contiguous United States might be affected by the limited availability of transportation. Publication 99 ■ April 2014 | 17 Typical Mail Services Mail with Extra Services (Domestic) The following table lists the classes of mail for which the Postal Service offers services. Key to abbreviations in the header row for the following table: FCM: First-Class Mail SP: Standard Post (retail only) PM: Priority Mail MM: Media Mail PME: Priority Mail Express PSN: Parcel Select Nonpresort (not at retail) Service FCM PM PME Insurance Insures an item for up to $5,000 against loss or damage. The price is based on the declared value. 3 3 3 3 3 Registered Mail Provides maximum security for valuable items. Customers can insure Registered Mail items for up to $25,000 at a Post Office. 3 3 Certified Mail Provides information for an item’s delivery or attempted delivery, including the signature of the recipient. 3 3 Hold For Pickup Allows the customer to pick up valuable and perishable merchandise at a designated Post Office. Return Receipt Provides a delivery record showing the recipient’s signature, received by email or postcard. Return Receipt for Merchandise Provides proof that the customer sent an item (a mailing receipt — PS Form 3804) and proof that the Postal Service delivered it (a postcard — PS Form 3811, showing the recipient’s signature). SP MM PSN 3 3 3 3 3 3 3 3 3 Restricted Delivery Allows the customer to specify the people who can sign for and receive an item. 3 3 3 3 Collect on Delivery (COD) Allows the customer to pay for merchandise and shipping upon receipt of the package. Insurance coverage up to $1,000 is available based on the amount to be collected or the amount of insurance coverage desired, whichever is higher. 3 3 3 3 3 Special Handling Provides preferential handling for unusual shipments, such as live poultry, bees, or other mailable contents that need extra care. 3 3 3 3 Adult Signature Required Ensures that an adult signs for the shipment. This service requires that the person signing for the item at the recipient’s address is 21 years of age or older. Provides delivery information as well as the recipient’s name and signature. 3 3 3 Adult Signature Restricted Delivery Ensures that the package is delivered only after the addressee or an authorized agent provides proof of identity, is 21 years of age or older, and signs for it. 3 3 3 18 | Publication 99 ■ April 2014 International Package Products and Services Global Express Guaranteed (GXG) Features ■■ Money-back guarantee to all destinations (limited exceptions apply). ■■ Delivery in 1–3 business days for many major markets (average number of days may vary). ■■ Delivery to more than 180 countries. ■■ Includes USPS Tracking and $100 in insurance coverage. ■■ May qualify for Free Package Pickup (for details, go to usps.com/pickup). Benefits Our fastest international shipping service, with transportation and delivery by FedEx Express®. Note ■■ Some restrictions apply. Priority Mail Express International Features ■■ Money-back guarantee to certain destination. ■■ Delivery in 3–5 business days for many major markets (average number of days may vary based upon origin and destination). ■■ Includes USPS Tracking. ■■ May qualify for Free Package Pickup (for details, go to usps.com/pickup). Benefits Affordable and fast international delivery to more than 180 countries. Note ■■ For details, see the International Mail Manual at http://pe.usps.com/text/imm/welcome.htm. Priority Mail International Features ■■ Delivery in 6–10 business days for many major markets (average number of days may vary based upon origin and destination). ■■ Includes USPS Tracking (limitations may apply for certain destinations). ■■ May qualify for Free Package Pickup (for details, go to usps.com/pickup). Benefits A reliable and affordable way to send mail and packages up to 70 pounds to over 180 countries. Plus, online purchases may receive up to 13% off the Post Office price. Note ■■ Not available for Priority Mail International Flat Rate Envelopes or Small Flat Rate Priced Boxes. Publication 99 ■ April 2014 | 19 First-Class Mail International Features ■■ Can be used for letters, postcards, and large envelopes. ■■ Delivery time varies by destination. ■■ Delivery to more than 180 countries. Benefits Our most affordable international service for letters, postcards, and large envelopes. Notes ■■ Weight Limit: 4 pounds. ■■ Value Limit: $400. ■■ The Global Forever stamp can be used to mail a postcard or 1-ounce letter-size mailpiece anywhere in the world, regardless of when the stamp was purchased and how prices change in the future. To help distinguish the difference between the domestic and international forever stamps, the international version will always be round and will always bear the words “Global Forever.” Other Products and Services Self-Service Kiosks At self-service kiosks, customers can purchase postage, mail letters and packages, or renew a PO Box using a debit or credit card. Most self-service kiosks are located in Post Office lobby areas with 24/7 access. Customers can drop off mail items or purchase shipping and mailing services including Priority Mail Express, Priority Mail, and First-Class Mail, as well as extra services including USPS Tracking, insurance, Certified Mail, and Return Receipt (in electronic or paper format — available only when purchased with insurance over $200 and Certified Mail). To fit in a self-service kiosk drop off box, an item must not exceed 20-3/8" x 15" x 12". Every Door Direct Mail Every Door Direct Mail from the Postal Service is designed to help reach every home, every address, every time. Now it’s even easier using our redesigned tool! Customers can map out target areas, select a delivery route using demographic data (e.g., age, household income, and size), choose a mailing drop off date, and pay online — all from a computer. Also, customers can create mailings up to 30 days before they plan to mail them. Forwarding Services When customers are on the move, the Postal Service offers a range of delivery services designed to fit their lifestyle and budget: 20 | Publication 99 ■ ■■ Premium Forwarding Service Residential (PFS-Residential). ■■ Change of Address. ■■ General Delivery. April 2014 Fees for PFS-Residential: The customer must pay a $16.00 enrollment fee when signing up, and weekly installment fees of $17.00 are processed as recurring payments. The first recurring payment is processed on the start date, and subsequent recurring payments are processed each Wednesday until the requested end date. Did You Know? In addition to providing Premium Forwarding Service Residential for customers who want their mail forwarded to a temporary address, the Postal Service forwards 2 billion pieces of mail each year at no extra cost to customers when they move. Political Mail Any material accepted for mailing at First-Class Mail or Standard Mail postage rates that is mailed for political campaign purposes by a registered political candidate, campaign committee, or committee of a political party is classified as a political campaign mailing. This type of mailing normally uses the address of a candidate’s campaign committee or the committee of a political party as the return address. Do not confuse political campaign mailings with official mailings by members of Congress under congressional franking privileges. An individual or organization recognized as such by the appropriate governmental election control authority is considered to be a registered political candidate or party. The term “qualified political committee” is defined as follows: ■■ A national committee of a political party. ■■ A state committee of a political party. ■■ The Democratic Congressional Campaign Committee. ■■ The Democratic Senatorial Campaign Committee. ■■ The National Republican Congressional Committee. ■■ The National Republican Senatorial Committee. The term “national committee” means the organization that, by virtue of the bylaws of a political party, is responsible for the day-to-day operation of that political party at the national level. The term “state committee” means the organization that, by virtue of the bylaws of a political party, is responsible for the day-to-day operation of that political party at the state level. As of June 26, 2012, and in an effort to improve internal tracking of political message mail, the U.S. Postal Service expanded the use of Tag 57 to include political message mailings from Political Action Committees (PACs), Super-PACs, or other organizations engaged in issue advocacy or voter mobilization. We want to ensure that this volume receives visibility within the U.S. Postal Service mailstream. (The DMM remains unchanged. Eligibility rules remain unchanged. Expanded use of Tag 57 is for operational purposes only.) Online Products and Services Click-N-Ship Click-N-Ship is the perfect online tool for occasional shippers or home businesses that ship several times a week. From a home computer and printer, the customer can pay for postage and print labels. It has everything customers need to make shipping simple and fast. Click-N-Ship For Business Click-N-Ship For Business is an ideal solution for higher-volume shippers. This free downloadable software for the desktop helps customers manage shipments, compare prices and delivery times, print postage-paid labels, and a whole lot more. Publication 99 ■ April 2014 | 21 Promotions and Incentives Businesses can enhance the way they interact and engage with consumers through mail. The Postal Service promotes the best practices for integrating direct mail with mobile technology, and offers promotions and incentives to help businesses continuously invest in their future. Employee Engagement Programs Besides offering a wide range of products and services to our customers, we work to strengthen employee-customer relationships through our Employee Engagement Programs. Listed below are the main programs. Business Connect Business Connect is the Employee Engagement Program for postmasters, station/branch managers, and supervisors designed to prompt discussion with customers about our products and services. The program encourages postmasters to generate revenue and strengthen customer relationships. Customer Connect Customer Connect is a partnership between the National Association of Letter Carriers and the Postal Service. The program encourages letter carriers to leverage their business relationships with customers by identifying new business opportunities and encouraging customers to meet with sales representatives. Rural Reach Rural Reach is an umbrella of opportunities that allow rural carriers to better serve their customers while growing revenue in the small to mid-sized customer base. With Rural Reach, rural carriers can submit leads, initiate discussions with customers, and share product information with customers. Overview of Operations Our facilities are an integral part of the Postal Service’s daily operations. They reside in virtually every community throughout the country. Along with the retail and delivery facilities that we operate, private businesses support us at thousands of commercial locations. Supermarkets, pharmacies, and other stores sell postal products as a convenience to our customers. Our larger facilities are primarily responsible for the support of mail processing operations. These facilities sort millions of pieces of mail every day while preparing them for dispatch and transportation. 24-hour Clock Overview The 24-hour clock is a process that ensures mail is collected, processed, distributed, and delivered. Each process indicator of this clock is an essential ingredient to service performance. By successfully carrying out these processes, the Postal Service standardizes operations 22 | Publication 99 ■ April 2014 and provides improved service to its customers. Managing these processes effectively results in reduced costs and efficient operations. The 24 Hour Clock Indicators and Service Goals The 24-hour clock has eight key indicators, as follows: 1. 80% cancellation by 2000. 2. 100% Outgoing Primary cleared by 2300. 3. 100% Outgoing Secondary cleared by 2400. 4. 100% Managed Mail Program (on-hand) cleared by 2400. 5. 100% Mail Assigned to Commercial Air/FedEx by 0230. 6. 100% DPS 2nd Pass cleared by 0700. 7. 100% Trips on Time (0400–0900). 8. 100% Carriers returning by 1800. The latest 24 Hour Clock Indicator data is available from the Service and Field Operations Performance reports at http://blue.usps.gov/ opsplanning/24hourclock/24info.htm — once there, click on Daily Report, as shown in the highlight in the image to the right. How a Letter Travels Collection After customers deposit letters into a collection box, mailbox, or Post Office Box, a Postal Service employee removes them from the box and takes them to the Post Office where he or she works. Those letters, along with the mail collected by other carriers at the same Post Office, are placed on a truck and taken to a mail processing plant. Culling and Postmarking Culling Postal workers send letters, flats, and small parcels that need to be cancelled to the opening unit (Operation Number 010), which rapidly separates letters from large envelopes and packages. Postmarking After the letters are separated, they are sent to an AFCS, which orients letters so that all addresses face the same way and are right side up. Next, it applies a postmark to each letter with the date and the location where sorting was performed. The cancellation lines are there to ensure that stamps are not reused, thereby protecting postal revenue. In an effort to protect Postal customers and employees, the AFCSs are equipped with Biohazard Detection Systems. Please see the following page for more details. Source for photograph: http://www.postalmuseum.si.edu/systemsatwork/2005.html Publication 99 ■ April 2014 | 23 USPS Biohazard Detection System (BDS) The Postal Service is committed to the safety of its employees and customers. To help counter the threat of anthrax in the mail, the Postal Service has developed a Biohazard Detection System (BDS) that will detect anthrax in the mail with high reliability. The system is designed for the highest possible level of detection. The BDS is the first system of its kind and does the following: Source: www.nalc.org/depart/safety/USPSBDS.html. ■■ It performs a rapid, on-site DNA test for anthrax and provides immediate on-site notification. ■■ The DNA test is conducted in a cabinet linked to a “site controller” computer, which provides an alert if anthrax DNA is detected. Scanning and Lifting Images Scanning Every letter gets a unique identification called an ID tag that consists of a series of fluorescent bars imprinted on the back. The address on the front of each letter is scanned by an optical character reader. Lifting Images Images of letters that could not be successfully read are transmitted to a remote encoding center for further analysis. All letters are placed in trays and moved to a Delivery Bar Code Sorter (DBCS) for additional processing or final sortation process. Applying a Barcode and Sorting Applying a Barcode Mailers apply an Intelligent Mail Barcode (IMb) to the front of letters and flats. The IMb combines tracking and routing information into a single barcode. The barcode consists of tall and short bars and enables each unique mail piece to be tracked until delivery. Sorting The IMb identifies the next processing plant; the machine reads the barcode and sends each letter into a bin for a specific range of ZIP Codes. Transportation to Processing Plant The letter is placed in a tray with other mail for the ZIP Code range and taken to the mail processing plant that serves the Post Office, station, or branch that will deliver the letter. The destination of a letter can range from a few blocks to thousands of miles from where it originated. As a result, the Postal Service employs a wide variety of transportation modes. 24 | Publication 99 ■ April 2014 Delivery-Point Sequencing (DPS) At a plant or mail processing facility, letters in the tray are fed through the Delivery Bar Code Sorter (DBCS). The DBCS is a multilevel, high-speed barcode sorter that separates mail in carrier walk sequence, eliminating the need for sorting at the delivery unit. Carriers transport letter trays of sequenced mail directly to a vehicle for delivery to the customer. The DBCS can also sort letter mail to carriers in sector-segment sequence via a two-pass operation. ■■ First Pass: During the first pass, mail is fed through the DBCS and organized according to the order in which it will be delivered, by street address. All of the first stops are put together, all of the second stops are put together, and so forth, regardless of route. ■■ Second Pass: After the first pass is complete, the mail is fed through the DBCS for the second pass. The trays must be fed into the DBCS in the order in which they were placed during the first pass. In the second pass, all mail is placed in its correct carrier route. In other words, the first pass is used to group the mail according to the order of stops. The second pass organizes all of the stops by carrier route. Transportation to Delivery Post Office Next, all the mail for this carrier is taken by truck to the Post Office, station, or branch in which the carrier works. The carrier loads trays of mail into a motor vehicle. Delivery to Addressee The carrier drives to the street where the letter is to be delivered, parks safely, and loads his or her satchel with the mail to be carried to each house or business. The carrier delivers the letter to the specific address. Letter Mail Flow The following diagram displays the mail flow for a letter traveling from San Francisco, CA to Merrifield, VA. San Francisco, CA Transport to San Francisco, CA, processing plant Processing Plant ■ ■ ■ ■ Transport to Merrifield, VA, processing plant Cancellation/culling Scanning Applying barcode Sorting Collection Merrifield, VA ■ Delivery Point Sequencing Processing Plant Delivery Deliver to addressee Post Office Transport to delivery Post Office Publication 99 ■ April 2014 | 25 How a Package Travels Packages are processed on the following kinds of mail processing equipment (MPE): ■■ Automated Package Processing System (APPS): Combines state-of-the-art mail-sorting technology with proven mechanical subsystems to produce an automated package and bundle sorting system. The equipment includes automatic package singulation, package address recognition, and online remote video coding. ■■ Automated Parcel and Bundle Sorter (APBS): Sort bundles and small, single mail pieces into a series of bins from a centralized induction point. It consists of an endless chain moving over two sprockets, one at each end of the machine. A series of carrier cell assemblies is attached to this chain. Mail pieces are placed on the carrier cells in the induction area and “spun off” the carrier cells into containers in the sort area. ■■ Small Parcel and Bundle Sorter (SPBS): Processes bundled flats, irregular parcels, and machinable parcels. The SPBS is equipped with a scanner to read tracking barcodes, but manual keyers are required to sort each item. ■■ Linear Integrated Parcel System (LIPS): Sorts small parcels and flat bundles into Mail Transport Equipment (MTE). LIPS is an operator-paced machine that offers a low-cost alternative to the SPBS — ideal for sites with space constraints. This system can be configured into a two-tier or dual induction system. Parcels that do not fit the dimensions for processing by automated equipment are processed manually. All parcels are processed in accordance with the following mail flows: ■■ Outgoing (originating): These are parcels that originate within a facility’s local service area but are destined for delivery outside of it. They are processed by an outgoing primary-sort program that separates them to the 3-digit ZIP Code prefix. Parcels that are destined outside the local service area are scanned and dispatched via surface or air transportation to the destination mail processing facilities. Local mail, called turn-around mail, is separated and flowed to the incoming operation, where it is processed for delivery. ■■ Incoming (destinating): These are parcels destined for delivery within the service area of a facility, regardless of their point of origin. Parcels are scanned and sorted to 5-digit level and are dispatched to the delivery unit for final distribution and delivery. First Mile/Last Mile During your career at the Postal Service, you’ll hear these phrases frequently: first mile and last mile. That’s because the first-mile and last-mile concepts provide the Postal Service with opportunities to increase its revenue by capitalizing on its greatest strength: its existing delivery network. First Mile The Postal Service has more retail locations than any other shipping company. We call this the first mile, because we can accept packages at more locations than any of our competitors. Last Mile We also have the most door-to-door delivery service points in the industry. We call this the last mile, because we deliver to more homes and businesses than anyone else in the world. Our Competitive Edge Our expansive delivery network, along with the partnerships we’ve developed with competitors such as UPS and FedEx, creates opportunities for nontraditional revenue growth. Our competitors 26 | Publication 99 ■ April 2014 save money by allowing us to pick up and deliver to some of their first- and last-mile delivery points. We make money by collecting and delivering mail with minimal processing. See the example below for further information about the first-mile and last-mile concepts. Scenario: FedEx has to deliver a small package to a home in Chester, Montana. FedEx knows that it would be extremely costly to send a truck to Chester, MT, to deliver a single package. In fact, FedEx would probably lose money on the transaction. Thus, FedEx decides to pay the Postal Service to take the package the last mile, since the Postal Service is required by law to deliver mail to every address in the nation. As a result, the Postal Service collects revenue from FedEx and incurs no additional costs. Pop Quiz Which of the following is not part of the Postal Service fleet for mail delivery? A. Employee vehicles. B. Postal vehicles. C.Boats. D.Bicycles. E.Mules. F.Feet. G. None of the above. The answer is “G. None of the above.” The Postal fleet ranges from employees using their own private vehicles to employees delivering mail on foot or a bicycle, and, in the Grand Canyon, by mule. In addition, our contract partners use air, highway, rail, and water transport to move the mail behind the scenes. Together, the Postal Service and its transportation partners travel nearly 8 billion miles each year to ensure prompt and reliable mail delivery to every mailbox in the nation. Global Business The Postal Service is continuing its long-term strategy of becoming a premier world-class global logistics services provider by enhancing international mailing products, creating new bilateral contracts and strengthening existing bilateral contracts with partner postal administrations worldwide, and aggressively marketing its global services to customers throughout the United States and abroad. First and foremost in these efforts are the goals of increasing net revenue for the organization and providing the highest service standards possible. Due to current international conditions, USPS Global Business is also offering its fullest cooperation in areas ranging from customs compliance to export trade regulation in an effort to promote international security measures which protect American interests while fostering international commerce. Publication 99 ■ April 2014 | 27 Ongoing Bilateral Agreements In the Asia/Pacific region, bilateral contracts with the postal administrations of China, Hong Kong, and Singapore were renewed during 2013, and a new contract with the Republic of Korea (South Korea) is expected to start in 2014. Other bilateral agreements either signed during the year, under review, or in the renewal process pipeline include agreements with Canada, Australia, Germany, Vietnam, Norway, and the Netherlands. First-Class Package International Service Click-n-Ship Efforts to make international mailing easier and more customer-friendly continue unabated within the Postal Service. During this fiscal year, the Postal Service introduced First-Class Package International Service Click-n-Ship, which allows customers to mail lightweight packages (under 2 kilograms) to over 180 countries. Customers can purchase this service online. The new option joins the existing international Click-n-Ship services for Global Express Guaranteed (GXG) mail, Priority Mail Express International, and Priority Mail International. Priority Mail International Regional Rate Box The Postal Service introduced a new service called Priority Mail International Regional Rate Box, which is a complimentary service to the USPS Domestic Regional Rate Box. It encourages heavier shipments, and customers appreciate the convenience of flat rate pricing and free packaging supplies. This product is both e-commerce compatible and cost-effective. Improved Customs Border Protection Manifesting System (CBPMAN) As a provision of the Postal Accountability and Enhancement Act (PAEA) of 2006, all Priority Mail Express International, Priority Mail International, and First-Class Mail International parcel shipments that require a customs form must be entered into the U.S. Customs Border Protection Manifesting System (CBPMAN). The two electronic forms relating to this process have been streamlined to reduce customer wait time and to create greater efficiencies at the retail sales level. The United States Postal Service is leading the way to ensure that all existing measures of international security are promoted and maintained in order to protect and promote global growth in shipping. New Commercial Outbound ePacket Service At the beginning of the fiscal year, the Postal Service launched a commercial outbound ePacket service for First-Class Package International Service items weighing up to 4 pounds. This service, available to commercial mailing customers only, targets the rapidly growing lightweight cross-border ecommerce market segment by providing electronic tracking to select destination countries. We will expand the service to additional countries throughout 2014 and beyond. Expansion countries have high growth rates in the ecommerce market, and we expect to see continued volume and revenue growth into 2015. Enhanced First-Class Package International Service Recently, Global Business enhanced our service to Canada by providing tracking on First-Class Package International Service (FCPIS) items mailed with online generated shipping labels. This new feature reaches lightweight cross-border shippers and businesses in the general public, including ecommerce-related businesses. Even more recently, the Postal Service expanded this service to an additional 13 countries, representing approximately 90% of all of our online generated FCPIS volume. We expect to see growth for this product into 2015. 28 | Publication 99 ■ April 2014 USPS International Merchandise Return Service (IMRS) In 2013, International Merchandise Return Service (IMRS) became available to customers for returns from Canada and Australia. IMRS is a trackable inbound return service for merchandise weighing up to 66 pounds. It utilizes the online generation of “no postage necessary” shipping labels and customs declarations. The IMRS solution simplifies the return process for the overseas buyer by eliminating the need to pay postage when tendering the return package to the overseas post. The buyer simply applies the label to the package and tenders it to the post, and the U.S. merchant is charged when the product arrives at the USPS delivery Post Office. We anticipate increasing volumes and additional participating countries throughout 2014. Global Direct Entry (GDE) Wholesaler Program The Postal Service first entered the inbound ecommerce arena by formally launching the Global Direct Entry (GDE) Wholesaler Program in the third quarter of 2012. Similar to the long established Postal Qualified Wholesaler Program, the GDE Wholesaler Program requires commercial wholesalers, who work closely with Global Business and customers, to collect shipments from overseas locations, transport them to the U.S., clear them through U.S. Customs, and enter them into the domestic USPS system for delivery. The wholesaler must ensure that the shipments are prepared in accordance with all applicable requirements and are manifested and labeled in accordance with the service type being used. There are stringent requirements that a wholesaler must satisfy in order to be certified by the Postal Service, approved to enter into the GDE Wholesaler Program, and listed in the International Mail Manual (IMM) as one of the select few participants. FY2013 revenues for GDE Wholesaler Program exceeded $4 million. The Postal Service maintains a list of GDE wholesalers and makes the list available on USPS.com, updates it periodically, and distributes it upon request to any person who indicates a need for an international consolidator for inbound international shipments. (The direct link on USPS.com is https://www.usps.com/ship/approved-postal-providers.htm — scroll down to “Global Direct Entry® (GDE) Wholesalers.”) International Mail: Outbound The diagram to the right summarizes the life of a letter that originates in the United States but is destined for a foreign country. International Mail: Inbound Postal Service International Service Center The ISC prepares your letter so it can be moved to its foreign destination by a contracted commercial airline. You place your letter, which is destined for a foreign country, in your mailbox. The letter is picked up by your letter carrier. ORD, Chicago SFO, San Francisco JFK, New York The foreign postal administration moves your letter to its final destination. LAX, Los Angeles MIA, Miami The process for delivering inbound international mail The commercial airline Postal Service Domestic is the exact reverse of moves your letter to its Operations transports the process for delivering foreign destination, where your international letter to it is accepted by a foreign the nearest International outbound international postal administration. Service Center (ISC). mail. A foreign postal administration picks up a letter bound for the United States and delivers it to an International Service Center via commercial airline. The International Service Center processes the letter so that it can be turned over to Postal Service domestic operations for delivery to its final destination. Publication 99 ■ April 2014 | 29 Financial Highlights In 2013, driven primarily by growth of 8.0% for Shipping and Packages, total revenue including the change in accounting estimate increased $2,095 million or 3.2% compared to 2012. Without the impact of the change in accounting estimate, revenue growth would have been 1.2%. As can be seen from the graphs, First-Class Mail and Standard Mail provide the vast majority of our revenues, despite trends away from hard copy to electronic media. Combined, these two categories totaled $45,067 million in 2013 and represented almost 68% of our total revenues, before the change in accounting estimate. With consideration of the change in accounting estimate, the categories represent almost 67% of revenues for the year. However, by taking advantage of market changes and developing innovative services, we have been able to grow our Shipping and Packages service to $12,515 million for 2013. These services have grown to approximately 19% of our revenues, both before and after consideration of the change in accounting estimate. 2013 Mail Revenue First-Class Mail Standard 42% Mail 26% Other 6% Periodicals 3% International 4% Shipping & Packages 19% 2013 Mail Volume First-Class Mail 42% Standard Mail 51% Periodicals 4% International 1% Shipping & Packages 2% Operating Expenses Operating expenses of $72,128 million in 2013 decreased 10.9% from $80,964 million in 2012 due primarily to reductions in retiree health benefit expenses and workers’ compensation. In 2013, expenses related to a single scheduled payment to the Postal Service Retiree Health Benefits Fund (PSRHBF) of $5,600 million that was due, compared to two payments that were due in 2012. Workers’ compensation decreased in 2013 primarily due to the impact of the fair value adjustments for Workers’ Compensation required by changing interest rates. Compensation and benefits expenses also decreased by almost $1 billion, driven by work hour reductions and a decrease in the average hourly compensation and benefits rate. Compensation and benefits expenses have decreased every year since 2006. In contrast, total operating expenses in 2012 increased by $10,330 million, or 14.6%, from 2011 due to the passage of P.L. 112-74, which changed the due date of the scheduled PSRHBF prefunding payment of $5.5 billion originally due by September 30, 2011, to August 1, 2012, which with the previously scheduled prefunding payment of $5.6 billion due by September 30, 2012, resulted in $11.1 billion of RHB expense in 2012. Excluding the impact of the PSRHBF prefunding expense, operating expenses in 2012 would have been $770 million less than in 2011. Operating Expenses 2012/2011 2012 2011 $46,708 $47,689 $48,310 (2.1%) (1.3%) Retiree Health Benefit Premiums 2,850 2,629 2,441 8.4% 7.7% PSRHBF Prefunding 5,600 11,100 – (49.5%) – Worker’s Compensation 1,061 3,729 3,672 (71.5%) 1.6% Transportation 6,735 6,630 6,389 1.6% 3.8% Other Expenses 9,174 9,187 9,822 (0.1%) (6.5%) $72,128 $80,964 $70,634 (10.9%) 14.6% Compensation and Benefits Total Operating Expenses ■ 2013/2012 2013 (Dollars in millions) 30 | Publication 99 % Change April 2014 Going Green The Postal Service is saving green by going green. We’ve decreased energy use at our facilities by 34% since 2003. We did this through a combination of energy audits, by improvements to facility infrastructure, and by engaging our employees through Lean Green Teams. The same approach has resulted in a 38% reduction in water consumption since 2007. Since 2008, we’ve also cut our greenhouse gas emissions by 9.9%, or 1.3 million tons. This is roughly equivalent to removing 270,000 passenger vehicles from the road each year. We’ve diverted 48% of solid waste to recycling. This generated savings of $25 million in reduced waste hauling and $23.8 million in revenue. The Postal Service works with the communities we serve to reduce our impact upon the environment. In 2013, through a collaborative effort funded by Onondaga County NY, a “green roof” was installed at the Colvin-Elmwood Post Office in Syracuse, NY. The roof will reduce the amount of contaminants in storm water runoff flowing into the city’s municipal water system. The Postal Service also seeks to assist our customers in achieving their own environmental initiatives. We launched USPS Blue Earth Carbon Accounting to allow our commercial customers, who use either PostalOne! or eVS, to get reports as to the carbon emissions resulting from their mailings on a monthly, quarterly, and annual basis. The results achieved by the Postal Service, as well as our effort to assist our customers, allow us to fulfill our goal to provide reliable, affordable mail delivery with minimal impact on the environment. Future of the Postal Service The following text is excerpted from the transcript of the National PCC Keynote Address delivered by Postmaster General/CEO Patrick R. Donahoe on September 18, 2013, in Minneapolis, MN. O ne of the most important things we can do is talk about how mail is changing today — and — how it will be changing in the future. Technology is going to reshape the mailing industry in some very positive ways. We have to build excitement about these new uses of technology and give people fresh reasons to think about the power of using mail. There have been tremendous changes occurring across all marketing channels — especially electronic media and digital forms of communication. We have to talk about how mail is evolving — and — we have to make sure that we are quick to adopt new technologies. Over the past year, I’ve been speaking about four key areas of opportunity that capture some of the most critical changes: ■■ The first has to do with making mail more personally relevant. ■■ The second area of opportunity relates to making mail more actionable. ■■ A third area of opportunity is about making mail more functional. ■■ And the fourth idea is this: We need to make mail more creative. There are tremendous opportunities to drive growth if we make decisions as an industry and if we quickly adopt best practices. That’s why the Postal Service is investing in digital solutions and looking at new product platforms like secure digital messaging. It’s all about investing in the future. Publication 99 ■ April 2014 | 31 Acronyms Here is a list of acronyms used in this publication. For an up-to-date list of postal acronyms, refer to Publication 32, Glossary of Postal Terms, at http://about.usps.com/publications/pub32.pdf. A COR Contract Officer Representative Advanced Computing Environment CPO Community Post Office CPU Contract Postal Unit AFCS Advanced Facer Canceller System CR Change Request AHD Accounting Help Desk CSBCS AIC Account Identifier Code Carrier Sequence Bar Code Sorter ANCM Account Number Control Master D APBS Automated Parcel and Bundle Sorter DBCS Delivery Bar Code Sorter APO Associate Post Office DFM District Finance Manager APPS Automated Package Processing System DMU Detached Mail Unit DPMG Deputy Postmaster General APWU American Postal Workers Union ASC Accounting Service Center ATM Automated Teller Machine AVP Area Vice President ACE B ■ EAP Employee Assistance Program EAS Executive and Administrative Schedule EEO Equal Employment Opportunity EIN Employee Identification Number ELM Employee and Labor Relations Manual BBM Bulk Business Mail BCR Bar Code Reader BCS Bar Code Sorter F BDS Biohazard Detection System BMC Bulk Mail Center FEDSTRIP Federal Standard Requisitioning and Issue Procedures BMEU Business Mail Entry Unit FFCS Flats Facer Canceller System BOG Board of Governors FNCM Finance Number Control Master BRM Business Reply Mail FOIA Freedom of Information Act BSN Business Service Network FPR Financial Performance Report FSM Flats Sorting Machine FY Fiscal Year C 32 | Publication 99 E CAG Cost Ascertainment Grouping CEO Chief Executive Officer G CFO Chief Financial Officer GAAP CHRO Chief Human Resources Officer Generally Accepted Accounting Principles CIO Chief Information Officer GAO Government Accountability Office CMSO Chief Marketing/Sales Officer GATS Grievance Arbitration Tracking System CO Contracting Officer GXG Global Express Guaranteed COA Change of Address COD Collect on Delivery H COO Chief Operating Officer April 2014 HCR Highway Contract Route HVAC Heating, Ventilation, and Air Conditioning I P IMb Intelligent Mail Barcode IMD Intelligent Mail Device IMPC Incoming Mail Processing Center IRC Investment Review Committee IS Inspection Service ISC Information Service Center J JEV Journal Entry Voucher L LDC Labor Distribution Code LIPS Linear Integrated Parcel System LMS Learning Management System LSM Letter Sorting Machine M MDC Material Distribution Center MI Management Instruction MMP Managed Mail Program MO Money Order MPO Main Post Office MTE Mail Transport Equipment MTESC Mail Transport Equipment Service Center MTSC Maintenance Technical Support Center N NALC National Association of Letter Carriers NAPUS National Association of Postmasters of the United States NBS National Budget System NPMHU National Postal Mail Handlers Union NRLCA National Rural Letter Carriers’ Association O P&DC Processing and Distribution Center PCES Postal Career Executive Service PCC Performance Cluster Code PIN Postal Identification Number PM Postmaster PMG Postmaster General POE Post Office Express POS Point of Service PRC Postal Regulatory Commission PVDS Plant-Verified Drop Shipment PVI Postage Validation Imprinter R RBCS Remote Bar Code System RPW Revenue, Pieces, and Weight S SbM Stamps by Mail SDO Stamp Distribution Office SIC Scanning and Imaging Center SME Subject Matter Expert SPBS Small Parcel and Bundle Sorter SPLY Same Period Last Year SSPC Self-Service Postal Center T TACS Time and Attendance Collection System TSP Thrift Savings Plan U UFN Unit Finance Number UPS United Parcel Service UPU Universal Postal Union USPIS United States Postal Service Inspection Service USPS United States Postal Service OIC Officer in Charge V OIG Office of Inspector General VMF Vehicle Maintenance Facility OMB Office of Management and Budget VOE Voice of the Employee VPO Village Post Office OWCP Office of Workers’ Compensation Programs W WEI Workplace Environment Improvement Publication 99 ■ April 2014 | 33 Postal Facts 2013 Postal Service superlatives — everything you’ve ever wanted to know — and more! Post Office Fun Facts 34 | Publication 99 ■ ■■ Highest: Alma, CO — 10,578 feet above sea level. ■■ Lowest: Death Valley, CA — 282 feet below sea level. ■■ Coldest: North Slope of Alaska — Barrow (99723) and Wainwright (99782). ■■ Hottest: Death Valley, CA (92328). ■■ Wettest: Mt. Waialeale in Hawaii, near the Kapaa Post Office (96746). ■■ Driest: Death Valley, CA (92328). ■■ Northernmost, 48 contiguous states: Sumas, WA (98295). ■■ Northernmost, 50 states: Barrow, AK (99723). ■■ Southernmost. 48 contiguous states: Key West, FL (33040). ■■ Southernmost, 50 states: Naalehu, HI (96772). ■■ Easternmost, 48 contiguous states: Lubec, ME (04652). ■■ Easternmost, 50 states: also Lubec, ME (04652). ■■ Westernmost, 48 contiguous states: La Push, WA (98350). ■■ Westernmost, 50 states: Adak, AK (99546). ■■ Most Centered, 48 contiguous states: Lebanon, KS. ■■ Most Centered, 50 states: Belle Fourche, SD. ■■ Oldest in the same building: Hinsdale, NH — since 1816. ■■ Largest: James A. Farley Post Office, New York, NY — 93,000 square feet. ■■ Smallest: Ochopee Main Post Office, Ochopee, FL — 61.3 square feet. ■■ Most Extraordinary: Peach Springs, AZ — has walk-in freezers for food destined for delivery to the bottom of the Grand Canyon by mule train. ■■ Most Subterranean: Stamp Fulfillment Services in Kansas City, MO — located in a limestone cave 150 feet underground. It is the Postal Service’s only facility located in an underground environment. The consistent, year-round temperatures and humidity levels in the caves allow the stamps to be maintained in mint-quality condition. The underground facility also keeps the inventory and employees safe from snow, flooding, winds, and tornado activity common in the Midwest. ■■ Most In Need of a Bridge: Point Roberts, WA — can be reached by car only by driving through British Columbia, Canada. Only a boat or float plane can travel directly there. April 2014 Just the Fun Facts ■■ Most Common Post Office Name: Franklin is the most common name with 29 locations. Greenville is second with 28, and Clinton, Springfield, and Washington are tied for third with 27 each. ■■ Most Common City Name: Franklin is the most common city name with 31 locations. Clinton and Washington are second with 29 each. Arlington is third with 28. Chester, Georgetown, Madison, and Salem are tied for fourth place with 27 each. ■■ Most Common Street Names: The five most common street names in the country are Main, 2nd, Maple, Oak, and Park — in that order. ■■ Longest Main Street: The longest Main Street in America is located in Island Park, ID (83429) — it’s 33 miles long. ■■ Most Unusual Delivery Method: Mule trains in the Grand Canyon, AZ. ■■ Another Unusual Delivery Method: Boat in MI. The JW Westcott is a 45-foot contract mail boat out of Detroit, MI, that delivers mail to passing ships in the Detroit River. The JW Westcott has its own ZIP Code — 48222. ■■ Another Unusual Delivery Method: Dock- to-dock delivery on the Magnolia River in AL. A 17-foot contract mail boat delivers to 176 dock-side mailboxes on a 31-mile stretch of the river. ■■ There are nearly 42,000 ZIP Codes in the country. ■■ The lowest-numbered ZIP Code is 00501, a unique ZIP Code for the Internal Revenue Service in Holtsville, NY. ■■ The highest- numbered ZIP Code is 99950 in Ketchikan, AK. ■■ The easiest ZIP Code to remember is 12345, a unique ZIP Code for General Electric in Schenectady, NY. ■■ The longest rural delivery route is Route 081 in Mangum, OK. The carrier travels 187.6 miles daily and delivers to 240 boxes. ■■ The shortest rural delivery route is Route 016 in Santa Clarita, CA. The carrier travels 2 miles daily and delivers to 531 boxes. ■■ The Postal Service moves mail using planes, trains, trucks, cars, boats, ferries, helicopters, subways, float planes, hovercrafts, mules, bicycles, and feet. ■■ The Postal Service receives 89% of its retail revenue from 10,000 of its nearly 32,000 postaloperated retail locations. Publication 99 ■ April 2014 | 35 A Day in the U.S. Postal Service — by the Numbers Each day the Postal Service picks up, processes, and delivers millions of letters and packages. No single operation in the world comes close to this level of connectivity to so many households and businesses. Listed below are some of the numbers for just 1 day in the life of the United States Postal Service (numbers are averages): ■■ 222.2 million ■■ 180 million — dollar amount paid to Postal Service employees in salaries and benefits. ■■ 523 million — mailpieces processed and delivered. ■■ 22 million ■■ 363,300 ■■ 6,050 — mailpieces processed each hour. — mailpieces processed each minute. — mailpieces processed each second. ■■ 217.3 million ■■ 267 million — pieces of Advertising Mail processed and delivered. — packages picked up through Package Pickup. ■■ 4 million — miles driven by letter carriers and truck drivers. — letter carriers who deliver mail entirely on foot: The USPS Fleet of Feet. ■■ 128,000 ■■ 2,554 — address changes processed. — addresses added to our delivery network. ■■ 3.6 million — people who visit USPS.com. ■■ 2.9 million — dollar amount of online stamp and retail sales at USPS.com. ■■ 1.7 million ■■ 157,095 ■■ 17,492 — Click-N-Ship labels printed. — money orders issued. ■■ 1.5 million ■■ 0 April 2014 — dollar amount spent on postage for Click-N-Ship labels. — passport applications accepted. ■■ 313,201 ■ — pieces of First-Class Mail processed and delivered. ■■ 727,167 ■■ 7,559 36 | Publication 99 — dollar amount of revenue received. — dollar amount spent at self-service kiosks in Post Office lobbies. — tax dollars received for operating the Postal Service. Area and District Maps Overview of Areas The Postal Service separates the country into seven geographic areas. AVPs are responsible for maintaining operations and providing customer service, and for processing and distribution in their respective regions. The AVPs link the areas to headquarters as they report to the COO on the Executive Leadership Team. The Postal Service has reduced the number of areas as advances in networks and production efficiencies have allowed for consolidation. Each Area contains multiple districts within its borders. Maps of Areas and Districts The map below shows the Postal Service’s seven geographic areas, and on the following pages are maps showing the districts in each area. Publication 99 ■ April 2014 | 37 Great Lakes Area Northeast Area Capital Metro Area Eastern Area 38 | Publication 99 ■ April 2014 Western Area Pacific Area Southern Area Publication 99 ■ April 2014 | 39 Publication 99 PSN 7690-16-000-8361 © 2014 United States Postal Service 40 | Publication 99 ■ April 2014