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B-183734 1 (1975-09-17)

handle is hein.gao/gaobadcor0001 and id is 1 raw text is: I F. R THE COMPTROLLEM GENERAL DEE S1D)|Nd K $7 L . OF THE UNITED STATE- WASHINGTON, D.C. 2054 FILE: BDATE: SEP 1 -7S0 B-183734SE MATTER OF: Postal Service claim against General ServicsAdmin- istration for penalty nmail usage during Fiscal Year 1972. DIGEST: 1. General Services Administration (GSA) remains indebted to Postal Service for additionial $2,037,464, representing fiscal year 1972 package railings bccause reducced rate package mailing reimbursement agreement which had been made prior to fiscal year 1972 appears inconsistent with equivalent value concept under Postal Reorganiza- tion Act and record fails to clearly indicate that prior year's agreement was in fact renewed for fiscal year 1972. 2. Postal Service method of computing claim against CSA for fiscal year 1972 package plailings by applying -perdentages of different package sizes obtained fromz GSA general package mailing sar.mpliig to all 1972 package mailings is acceptable as most accurate and reauoniable leto villespecieally becaus-e CA provided no more accurate method of conputation. This decision responds to the request of Richard F. Gould, Assistant Postmaster General, United States Postal Service, for assistance in the collection of $2,037,464, which the Postal Service claims the General Services Akdinistration (GSA) owes for penalty mail usage during Fiscal Year (17Y) 1972. The claim was submitted to us pursuant to 39 U.S.C. 5 2601(a)(1970 ed.), which provides in part that the Postal Service ray refer any matter uncollectable through administrative action to the General Accounting Office for collection. This dispute arises under 39 U.S.C. § 3206(a)(1970 ed.), which requires Governncnt agencies to transfer to the Postal Service out of any appropriations or funds available to them the equivalent amount of postage due, as determined by the Postal Service, for matter sent in the rails by or to them as penalty mail * * *. Penalty mail is defined at 39 U.S.C. § 3201(1970 ed.) as official mail, other than franked nail, which is authorized by law to be transmaitted in the mail without prepayment of posta-ge. The determination under 39 U.S.C. § 3206(a) of the equivalent amount of .postage due is based on periodic samplings and estimates of agency mailings, a procedure which was followed by the former

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