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GGD-79-95 1 (1979-09-12)

handle is hein.gao/gaobaazro0001 and id is 1 raw text is: UNITED STATES GENERAL ACCOUNTING OFFICE WASHINGTON, D.C. Ge b a s s e s ~ c~ f c p p r o v a l QUI4RAL GOVONM a - 2 Qsional Realations. DIVIION bY IC'Off of frD sn - r r SEPTEM BER B-114874 The Honorable Robert C. Byrd Dear 12 1979 q Senator Byrd: Subject: LProposed Transfer of Mail Processing (\ Functibns from St. Albans to Charleston, West Virginia7 (GGD-79-95) As you requested on April 18, 1979, we reviewed the U.S. Postal Service's proposed transfer of the incoming mail proc- essing function from St. Albans to Charleston, West Virginia. We evaluated the economic justification for the transfer and its impact on mail service. Although the exact benefits cannot be determined until sometime after the consolidation is completed, the Service could conservatively expect to save about $29,800 a year by processing all of St. Albans' incoming mail at Charleston. First year savings ($29,800) would be offset by one-time training costs of about $1,000 and potential employee reloca- tion expenses estimated to average about $2,900 for any of the four eligible employees who choose to move their residence closer to Charleston. The Service expects to achieve even greater savings by reducing direct labor costs as a result of the consolidation. We believe the proposed consolidation will provide an oppor- tunity to reduce labor costs. Because reliable data was unavailable at this time, we did not quantify these potential labor savings and did not include them in the $29,800. It appears that the consolidation will have little or no impact on St. Albans' mail services. Charleston's multi- position letter sorting machines have adequate capacity to process Charleston's and St. Albans' mail; transportation schedules provide for pickup and return of St. Albans' mail for delivery the next day; and the St. Albans Post Office will continue to provide window service and a local postmark for those desiring it. 1il 1rl 1rl 1 110396 4(224920) 4 o

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