Chapter 2 Postal Operations

A. PREMIUM FORWARDING SERVICE

Premium Forwarding Service (PFS) forwards all First-Class Mail, Standard Mail, and Periodicals from a household customer’s primary address to a temporary address. Mail is forwarded using Priority Mail once a week for a minimum of 2 weeks and up to 1 year. PFS is especially beneficial for Standard Mail advertisers because their mail will now be forwarded at no additional cost to them. All Express Mail, Priority Mail, Package Services mail, and accountable mail items that require a scan or signature are forwarded immediately upon arrival at the home Post Office. Customers pay a $10 enrollment fee and $10.40 for each weekly Priority Mail shipment. More than 90,000 customers have enrolled in PFS to date.

B. INSURANCE

Customers may purchase up to $5,000 of domestic insurance for packages at all Post Offices and up to $500 at Automated Postal Centers. Customers can purchase shipping labels on usps.com with the option to add domestic insurance to Click-N-Ship purchases. Click-N-Ship customers can add insurance to Priority Mail and Express Mail; eBay customers can add insurance to Priority Mail, Express Mail, First-Class Mail, Media Mail, and Parcel Post. Fees are the same as those at the retail counter. Online insurance coverage increased from $200 to $500.

C. REGISTERED MAIL

Registered Mail is the most secure method for shipping valuable items. The sender is provided with a mailing receipt and upon request, electronic verification that an article was delivered. Registered Mail is handled separately from other mail in specially locked pouches or containers and requires signature accountability at all transfer points in transit. A study conducted to determine the cause of declining Registered Mail volume recommended using technology to improve performance and decrease errors. The intelligent mail device, a new scanner being deployed to all Post Offices in 2007, will simplify signature accountability of hand-to-hand transfers.

D. CONFIRM

CONFIRM service uses barcode technology to provide First-Class Mail, Standard Mail, and Periodicals mailers with visibility for outgoing mail and incoming reply letters and flats with near real-time information. The barcodes uniquely identify each mailpiece so equipment can report the location of a particular piece as it is processed. A new barcode technology enhances the mailing industry’s ability to identify mailpieces and utilize CONFIRM data. This new service option with CONFIRM — called OneCode CONFIRM — allows use of the Intelligent Mail barcode and was implemented in September 2006 for letter mail.

E. DELIVERY/SIGNATURE CONFIRMATION SERVICES

Delivery Confirmation uses barcode technology to provide shipment information such as date, time, and ZIP Code of the delivery status, including whether delivery was attempted or completed, or if it was forwarded or returned. Signature Confirmation adds information on exactly who accepted and signed for the shipment at delivery. Confirmation services can be added to Priority Mail, First-Class Mail parcels, Standard Mail parcels, Parcel Select, Parcel Post, Bound Printed Matter, Library and Media Mail.

F. POSTAL MONEY ORDERS

Postal money orders are a safe, convenient economical alternative to sending money through the mail. They can be purchased from any Post Office or rural carrier. Specimen postal money orders were distributed to help financial institutions and law enforcement communities prevent negotiation of fraudulent postal money orders. These specimens highlight the embedded security features of the existing postal money order document and assist financial institutions in determining whether money orders presented for cashing are authentic.

G. POST OFFICE BOXES

Post Office box service is offered for a fee to any customer requiring an alternative to free carrier delivery or general delivery. The fee varies depending on the location and the size of a box. Customers can obtain their mail during the hours the box lobby is open. New promotional signs for retail lobbies and an improved Web page were designed to increase box use and revenue. Publication 431, Post Office Box Fee Groups, was updated and published online for postal employees to assist customers with this service. Caller Service is available for a fee when the largest box does not accommodate customer needs.

H. MAIL RECOVERY CENTERS

The Postal Service operates two mail recovery centers (MRCs), which are located in St. Paul, Minnesota, and Atlanta, Georgia. These facilities are responsible for the final disposition of undeliverable-as-addressed (UAA) and nonreturnable First-Class Mail letters and Package Services mail. The MRCs processed approximately 4.7 million parcels and 93.1 million letters. The Postal Service works closely with mailer organizations to identify ways to provide better service and reduce operating costs. A direct result of this process is the Expanded Return Program, in which undeliverable items found in company-identifiable packaging are returned in bulk, as postage due, to 37 participating companies. Mail received at the MRCs that is determined to be of no obvious value is destroyed to protect customer privacy. The Postal Service continues to improve processes to identify rightful owners of UAA. Almost 7.6 million pieces were returned to owners.

4. Alternative Mail Solutions

NetPost Services offers a suite of Web based print-and-mail services available at usps.com/netpost. These services leverage the Internet to provide consumers and small businesses with access to alternative mail solutions. In 2006 the following were made available: 1) NetPost Mailing Online was expanded by providing the option to mail internationally from home and office desk computers; 2) customers now access Internet change-of-address request to notify their chosen business or personal recipients of their new address by using NetPost Movers Postcards; 3) the NetPost Premium Postcards Web site was improved to allow greater capacity to personalize and customize postcards; and 4) the ability for NetPost CardStore customers to choose and enclose a gift card from nationally known and respected retailers inside personalized greeting cards was added. Premium Postcards is a template-driven service that gives consumers and small businesses access to a simple and straightforward interface for sending high-quality glossy postcards. Premium Postcards were the featured product of the Grow Your Business Days events.