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Alliance Study Examines Drivers of USPS Cost Growth

A June article in the Alliance of Nonprofit Mailers’ Report dug into the current trend of USPS costs outrunning USPS revenues. The report’s findings revealed that the Postal Service may be doing things that an institution with financial challenges like those facing the USPS shouldn’t do.
The following extracts from the Alliance’s report are provided with their permission.
The Alliance found four areas where costs seem ripe for further examination:

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A Complicated Answer to a Simple Question

Excerpted from the May 27, 2019 issue of Mailers Hub News. Subscribers click here to access the full version.

When I spoke recently at an industry gathering, one of the questions I got (after reviewing the PQ II service scores) was what the USPS could do about its service performance. Why is service so poor in some places? What can be done to improve it, especially in the chronically low-performing districts? What actions can management take?

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Postal Pintos - The Inflammable LLV Problem

Excerpted from the February 4, 2019 Issue of Mailers Hub News

It’s common knowledge in the postal community that the Postal Service’s fleet of about 140,000 “long-life vehicles” has more than outlived its name. Originally meant to last 24 years (but later extended to 30 years), the ubiquitous LLV is used by city and rural carriers nationwide. Out of production since 1994, the oldest trucks in the fleet are now 31 years old, but the anticipated replacement vehicles, expected to cost about $6 billion in all, have yet to be chosen.

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