AREA MAIL PROCESSING (AMP) FEASIBILITY STUDY
Lexington KY P&DC to Louisville KY P&DC and/or Knoxville P&DC

November 10, 2011

An Area Mail Processing (AMP) study was initiated to evaluate the mail processing operations from the Lexington, KY Processing and Distribution Center (P&DC) to the Louisville, KY P&DC and/or the Knoxville, TN P&DC.  The initial results of the study support the business case for consolidation.  This study, currently in review at United States Postal Service Headquarters and its Area Office is subject to change.

A public meeting will be held to share the initial results of the study and allow members of the community to ask questions and provide feedback.  The public’s input will be considered prior to a final decision.  The meeting will be held on Monday, November 28, 2011, from 7 p.m. to 9 p.m. at Fayette County Schools Central Office, Norsworthy Auditorium, 701 E. Main St., Lexington, KY.  Below are preliminary highlights from the study:

Business Case:
Proposed annual savings in the draft AMP feasibility study are approximately $9,037,028.  Below is a breakdown of this savings estimate:

Annual Mail Processing Employee Savings	 $6,256,345
Annual Maintenance Savings	 $2,673,664
Annual Transportation Savings  	 $107,018

Postal Employees:
Due to the consolidation, a net decrease of approximately 103 positions is projected.  All bargaining employee reassignments will be made in accordance with the respective collective bargaining agreements.

Net Craft Employee Impact	-97
Net Supervisory/Management Employee Impact	  -6

Local Customer Considerations:

Services that are currently available will continue to be available to customers.

•	Local collection box pick-up times will not change as a result of the AMP.
•	A local postmark will be available for stamped First-Class Mail.
•	Business mail will be accepted at the Lexington Post Office.
•	Delivery times of mail to residences and businesses will not change as a result of the AMP.
•	The proposed consolidation would support a 2 to 3 day service standard for First-Class Mail.

Commercial Mailers:
•	Mailers who presort mail will continue to receive appropriate postage discounts. 
•	Mailers who drop ship to Destination Sectional Center Facility (DSCF) 403 – 406 can expect changes if the AMP is approved.

Written comments may be sent to:

Manager, Consumer and Industry 
Kentuckiana District
P.O. Box 31631
Louisville, KY  40231-9631

All comments must be postmarked by December 13, 2011.