May 7, 2025

Postal Service Highlights More Than $147 Million Investment in Michigan

  • The Postal Service recently introduced its new vehicles and modernized facility in Jackson to demonstrate how investments are being utilized
  • Local investments nationwide are transforming the Postal Service, ensuring long-term improvements to service speed, reliability and affordability
  • Upgrades are made possible by a $40 billion investment strategy to modernize and transform USPS and its unparalleled delivery network

JACKSON, MI — The U.S. Postal Service today highlighted its investment of more than $147 million in Michigan, as part of the organization’s strategic 10-year transformation and modernization plan. This ambitious strategy includes investments to optimize and upgrade facilities and vehicles to deliver improved service speed and reliability across the nation. USPS demonstrated how these investments are being utilized at the newly transformed Jackson Sorting and Delivery Center (SDC).

The Postal Service also unveiled its new fleet of delivery vehicles, including zero-emission electric models that are already in operation.

As America’s shipper of choice, the ongoing modernization of its integrated mail and package network is a core component of the Postal Service’s journey to success. The $40 billion nationwide strategy aims to revitalize the Postal Service's processing, transportation, and delivery networks, and ensure that USPS continues to provide high-quality, world-class service to the American public for decades to come.

"Through our nationwide investment strategy, we are transforming and modernizing the Postal Service. The introduction of our new facilities and vehicles in Jackson is a clear demonstration of this progress. Our $40 billion investment over a decade represents more than just an upgrade; it's a commitment to our employees, our customers, and the future of the Postal Service," said Acting Postmaster General and CEO Doug Tulino. "These new, state-of-the-art facilities and vehicles will significantly boost our delivery efficiency, helping to ensure financial sustainability and competitiveness in today's rapidly evolving marketplace."

Investments in Michigan

As part of its universal service obligation, the Postal Service serves more than 4.6 million addresses across Michigan six and often seven days a week. USPS also boasts an engaged workforce of more than 21,000 employees in the state. Through its nationwide investment strategy, the Postal Service is taking action to address decades of deferred maintenance in the organization’s local operations in Michigan.

Of the total $40 billion investment, as of the first quarter of fiscal year 2025 (FY25), more than $147 million has been invested to enhance facilities, vehicles and the employee experience in Michigan. Further investments are expected in the coming years as part of this strategic plan.

As of the first quarter of FY25, investments across Michigan include:

  • Nearly $66 million to renovate 179 existing facilities and nearly $1.2 million to construct 12 new ones. These new and renovated facilities help create a more conducive and efficient work environment for USPS employees.
  • More than $8 million to purchase 7 state-of-the-art package sorting machines in Michigan. These new machines increase operational precision and processing efficiency to allow faster, more reliable delivery across the state and the region.
  • More than $65 million in Michigan for the replacement of the Postal Service’s aging fleet with modern, efficient vehicles, including a significant investment in both gas and electric vehicles. To date, USPS has deployed nearly 2,000 new delivery vehicles across the state that feature enhanced safety features and larger cargo capacity.
  • Additionally, USPS has optimized SDC parking structures to ensure enhanced efficiency and ergonomics for letter carriers while loading, parking, and charging their vehicles. This includes an investment of more than $5 million in infrastructure at strategic facilities in Michigan.

New vehicles improve service reliability, reduce emissions and enhance employee experience

The Jackson SDC event showcased the Postal Service's acquisition of several new vehicles, notably featuring the Next Generation Delivery Vehicles (NGDVs). These vehicles are purpose-built, specifically designed to meet the unique needs of the Postal Service. 

Designed with employee safety and comfort in mind, these new vehicles provide an improved working environment for dedicated letter carriers in Michigan. Key features, such as improved visibility, ergonomic seating, and user-friendly interfaces, are intended to enhance safety and the employee experience.

These vehicles not only enhance delivery speed and accuracy in Michigan but also elevate the customer experience. With increased cargo capacity, these vehicles can transport more packages per trip, reducing the number of trips required and improving efficiency. Their improved reliability also minimizes downtime for maintenance and repairs, ensuring consistent and timely delivery service.

The event highlighted Battery Electric Vehicles (BEVs) currently operating out of the Jackson SDC. These zero-emission vehicles, along with the new gas-powered vehicles engineered for higher fuel efficiency, underscore the Postal Service's commitment to sustainability and fiscal responsibility. These investments aim to reduce the organization’s carbon footprint and operational costs.

Deployment of new vehicles based on operational needs

The vehicles showcased at the Jackson SDC event represent the first set of modern vehicles that the Postal Service will deploy in Jackson and the surrounding communities. Over the next five years, the region is set to receive dozens of other new vehicles that will be deployed based on several factors, including delivery volume, infrastructure readiness, and operational needs.

Ongoing commitment to modernizing America’s largest and oldest federal fleet

In December 2022, the Postal Service announced its intent to purchase 106,000 vehicles through 2028, with at least 66,000 of those vehicles being battery electric.

As this announcement has become reality, 2024 represented the largest quantity of new vehicle deliveries in the Postal Service’s history. As of early 2025, the Postal Service has received more than 29,000 of the 106,000 new delivery vehicles. 

State-of-the-art Sorting and Delivery Centers

State-of-the-art SDCs are pivotal to the success of the Postal Service’s transformational 10-year investment plan. These upgraded facilities are designed to optimize operational efficiency through swift and accurate mail sorting and delivery, a critical aspect of the strategy’s effectiveness.

In addition to streamlining operations, SDCs provide improved work environments for Postal Service employees. This focus on employee well-being is intended to not only boost worker morale but also increase productivity.

The strategic role of SDCs also extends to the deployment of the Postal Service's new vehicle fleet. These enhanced centers serve as essential hubs, contributing to improved service reliability in a financially self-sufficient manner.

Beyond their functional roles, SDCs play a significant part in enhancing the customer experience. By streamlining operations in a disciplined and precise manner, these new facilities are part of an integrated processing and transportation network with the capability to support all mail and package products at a significantly lower overall cost.

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