AREA MAIL PROCESSING (AMP) FEASIBILITY STUDY
Kokomo P&DF to Indianapolis IN P&DC

November 16, 2011

An Area Mail Processing (AMP) study was initiated to evaluate the transfer of mail processing operations from the Kokomo IN Processing and Distribution Facility (P&DF) to the Indianapolis IN 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 Thursday, December 1 at 7:00 p.m. at the Kokomo Event & Conference Center, 1500 N. Reed Rd, Kokomo IN 46901.

Business Case:
Proposed annual savings in the draft AMP feasibility study are approximately $2,969,562. Below is a breakdown of this savings estimate:

Annual Mail Processing Employee Savings	  $ 1,157,949
Annual Management Savings	  $    260,599
Annual Maintenance Savings	  $ 1,291,641
Annual Transportation Savings  	  $    259,373

Postal Employees:
Due to the consolidation, a net decrease of approximately 21 positions is projected.  All bargaining employee reassignments will be made in accordance with the respective collective bargaining agreements.

Net Employee Impact	-21

Local Customer Considerations:

•	Retail and other services currently available at the Kokomo facility will not change at this time
•	Business mail acceptance will remain at the Kokomo facility with no change in hours.
•	A local postmark will be available for stamped First-Class Mail.
•	Local collection box pick-up times may change as a result of the AMP.
•	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) 469 can expect changes if the AMP is approved.

Written comments may be sent to:

Manager, Consumer and Industry Contact
Greater Indiana District
PO Box 9661
Indianapolis IN 46298-9661

All comments must be postmarked by December 16, 2011.