October 23, Certified Mail Tracking Number:

Transcription

1 October 23, 2014 Mr. Mark Dimondstein President American Postal Workers Union, AFL-CIO 1300 L Street, NW Washington, DC Certified Mail Tracking Number: Dear Mark: As information, enclosed is a copy of the second and final Post Implementation Review (PIR) for the Wolf Point, Montana Customer Service Mail Processing Center (CSMPC) Area Mail Processing (AMP). In accordance with the Non-Disclosure Agreement dated February 11, 2013, the Postal Service is providing both redacted and un-redacted copies of the PIR. If there are any questions, please contact Rickey Dean at extension Patrick. Devine l Manag r,contract Administration (APWU) Enclosures (CA )

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3 REDACTED Type of Distribution Consolidated: Orig & Dest Facility Name & Type: Wolf Point MT CSMPC Street Address: 131 Front St City: Wolf Point State: MT 50 Facility ZIP Code: District: Dakotas Area: Western Finance Number: Current 30 ZIP Code(s): 592 Miles to Gaining Facility: 315 EXFC office: Yes Plant Manager: Bill Parry Senior Plant Manager: Rickie Kunzweiler District Manager: John DiPeri Facility Name & Type: Billings MT P&DF Street Address: 841 S 26th St City: Billings State: MT 50 Facility ZIP Code: District: Dakotas Area: Western Finance Number: Current 30 ZIP Code(s): 590, 591, 821 EXFC office: Yes Plant Manager: Todd Snyder Senior Plant Manager: Rickie Kunzweiler District Manager: John DiPeri Approval Date: Implementation Date: Oct PIR Type: Final PIR Date Range of Data: Processing Days per Year: 310 Bargaining Unit Hours per Year: 1,745 EAS Hours per Year: 1,822 Date of DAR Factors/Cost of Borrowing/ New Facility Start-up Costs Update June 16, 2011 Jul : Jun Date & Time this workbook was last saved: I :21 Area Vice President: Vice President, Network Operations: Area AMP Coordinator: NAI Contact: Sylvester Black David E. Williams Allan Cunningham Cindy Venable/Daniel Mahnke PIR Data Entry Page

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5 Executive Summary Last Saved: September 23, 2014 Date Range of Data: PIR Type: Final PIR Jul Jun Losing Facility Name and Type: Street Address: City: State: Current SCF ZIP Code(s): Type of Distribution Consolidated: Gaining Facility Name and Type: Street Address: City: State: Savings/Costs Final PIR vs Pre AMP Final PIR vs Approved Function 1 Workhour Savings Non-Processing Craft Workhour Savings (less Maint'Trans) PCES/EAS Workhour Savings Transportation Savings Maintenance Savings Space Savings from Workhour Costs - Combined from Other Curr vs Prop from Other Curr vs Prop from Transportation HCR and Transportation PVS from Maintenance from Space Evaluation and Other Costs Total Annual Savings Total One-Time Costs $0 $194,124 from Space Evaluation and Other Costs Total First Year Savings Staffing Craft Position Loss from Staffing-Craft Service Losing Current Qtr Gaining Current Qtr FCM Service Performance (EXFC & PFCM 0/N) 93.20% 97.89% from Service Performance & CSM FCM Service Performance (EXFC & PFCM 2 Day) 91.93% 97.17% from Service Petformance & CSM FCM Service Performance (EXFC & PFCM 3 Day) Customer Experience Measurement Overall Satisfaction Residential at PFC level Customer Experience Measurement Overall Satisfaction Small Business at PFC level 90.69% 90.23% 0.00% from Service Petformance & CSM from Service Petformance & CSM from SeNice Performance & CSM PIR Executive Summary

6 ;;:,:;5,'';/',,,,",, ( ', ),:,;,',;'~:):v'::;;';':\~:';~:;,t>,<,,,j<<>tjj;yt Calculation References Combined Losing and Gaining Facility Data: PreAMP Proposed Final PIR Function 1 Workhour Costs $11,465,547 $11,417,268 $10,773,032 Non-Processing Craft Workhour Costs (less Maintenance & Transportation) $4,714,561 $4,711,253 $4,960,226 PCES/EAS Workhour Costs $2,487,718 $2,411,623 $2,187,097 Transportation Costs $3,304,682 $3,304,682 $3,256,371 Maintenance Costs $5,137,074 $5,060,678 $4,372,871 Space Savings $0 $0 $0 Total Annual Cost $27,109,583 $26,905,505 $25,549,597 Total One-Time Costs $0 $194,124 $0 Total First Year Costs $27,109,583 $27,099,629 $25,549,597 Staffing Craft Position Total On-Rolls PCES/EAS Position Total On-Rolls Final PIR vs Pre-AMP Final PIR vs Proposed (Approved) AMP Approved AMP Function 1 Workhour Savings $692,515 $644,236 $48,280 ($245,665) ($248,973) $3,308 Non-Processing Craft Worl<hour Savings (less Maint!Trans) PCES/EAS Workhour Savings $300,622 $224,527 $76,095 Transportation Savings $48,311 $48,311 $0 Maintenance Savings $764,203 $687,808 $76,396 Space Savings $0 $0 $0 Total Annual Savings $1,559,986 $1,355,908 $204,078 Total One-Time Costs $0 $194,124 ($194,124) Total First Year $1,559,986 $1,550,032 $9,954 Staffing Craft Position Loss PCES/EAS Position Loss 6 9 (3) PIR Executive Summary

7 Losing Facility Name and Type: Current SCF ZIP Code(s): Type of Distribution Consolidated: Summary Narrative Last Saved: September 23, 2014 Wolf Point MT CSMPC 592 Orig & Dest Gaining Facility Name and Type: Current SCF ZIP Code(s): Billings MT P&DF 590, BACKGROUND The Dakotas Performance Cluster, with the assistance from the Western Area Office, has completed the 12-month Post Implementation Review (PIR) for the Wolf Point CSMPC Area Mail Processing (AMP) project. The AMP Study called for the consolidation of both originating and destinating mail from Wolf Point CSMPC to the Billings MT P&DC. The transfer of the Wolf Point 592 processing was completed on April 20, The Wolf Point CSMPC is a USPS leased facility located approximately 315 miles northeast from the USPS-owned Billings P&DC. There have been no changes to local mail collection box pick-up times due to AMP. Additionally, there been no changes to retail or BMEU operations as a result of the AMP implementation and Mailers are able to deposit their mail through the Wolf Point Main Office BMEU as done before the AMP was implemented. A local Wolf Point MT postmark is still available from the office. FINANCIAL SUMMARY The financial impacts identified with this Final12-month PIR study for this consolidation of processing operations are: Total First Year Savings $ 1,559,985 Combined Losing and Gaining Facility Data: PreAMP Proposed Final PIR Function 1 Workhour Costs $11,465,547 $11,417,268 $10,773,032 Non-Processing Craft. Workhour Costs {less Maintenance & Transportation) $4,714,561 $4,711,253 $4,960,226 PCESIEAS WorkhourCosts $2,487,718 $2,411,623 $2,187,097 Transportation Costs $0 $0 ($48.310) Maintenance Costs $5,137,074 $5,060,678 $4,372,871 Space Savings $0 $0 $0 Total Annual Cost $23,804,901 $23,600,823 $22,244,916 Total One-Time Costs $0 $194,124 $0 Total First Year Costs $23,804,901 $23,794,947 $22,244,916 The annualized identified savings (1 51 PIR vs. Pre-AMP) identified with the 12-month PIR is that the AMP is meeting the projected savings of $204,078 in the approved AMP. Other concurrent initiatives at the Billings P&DC occurring since the development of the approved AMP package include the AMP of originating and destinating volumes from Miles City MT on June 3, 2011, and Butte MT on June 15, CUSTOMER & SERVICE IMPACTS National Distribution and Labeling List changes were submitted as appropriate for lists L002 & L005 and published in PB on June 13, There have been no changes to local mail collection box pick-up times due to AMP. Additionally, there been no changes to retail or BMEU operations as a result of the AMP implementation and Mailers are able to deposit their mail through the Wolf Point Main Office BMEU as done before the AMP was implemented. A local Wolf Point MT postmark is still available from the office. PIR Summary Narrative

8 STAFFING IMPACTS The approved Wolf Point AMP proposed a net decrease of five craft position with Wolf Point reducing by six positions and an increase of one position in Billing's craft staffing. EAS staffing at Wolf Point was projected to increase by one position due to the vacant Postmaster position at the time of the study and Billings increasing by two due to authorized but vacant positions also. The 12-month PIR reflects a net decrease 33 craft positions from the pre-amp period with Wolf Point decreasing by seven and Billings decreasing by 26 that were the result of increased efficiencies, attrition due to the 2012 VERA, and the Field Maintenance Restructuring EAS positions at Wolf Point increased by the one projected with the filling of the vacant Postmaster position; Billings EAS staffing has reduced by seven due to the Plant restructuring initiative. The staffing impacts on Management to Craft ratios as a result of this AMP are: As a matter of policy, the Postal Service follows the Worker Adjustment and Retraining Notification Act's ("WARN") notification requirements when the number of employees experiencing an employment loss within the meaning of WARN would trigger WARN's requirements. Some or all of the impacted employees described above may not experience an employment loss within the meaning of WARN due to transfers or reassignments. TRANSPORTATION All transportation supporting Wolf Point CSMPC is exclusively HCR. The approved Wolf Point AMP projected no change in annual transportation costs with the 12-month PIR data identifying a savings of $48,310. Existing HCR routes were realigned and modified as necessary to accommodate transportation of originating and destinating volumes mail to the Billings P&DC that were not foreseen include: was reduced by eliminating the contingency trips receiving the mail from the AMOT; PIR Summary Narrative

9 591AD required an additional trip to carry the incoming collection mail from the Billings Airport to the Plant; 591 L5 required a change in dispatch times. Wolf Point serves as a transportation hub and spoke to support consolidation of collections and distribution point for SCF 592. MAINTENANCE IMPACTS The approved AMP package did not project any equipment or one-time costs associated with the AMP of Wolf Point volumes to the Billings P&DC and none were incurred. The additional AFCS and DBCS shown in the PIR are to support the Butte MT AMP and those costs are reflected in that PIR. The approved AMP proposed a reduction in the annual maintenance costs of $76,396 at Wolf Point, with no change in Billing's costs as a result of the AMP implementation. The 12-month PIR is identifying an annual savings of $764,203 with Wolf Point Labor decreasing by $75,835 as projected and Stockroom & Supplies decreasing by $8,785 from the Pre-AMP period. Billings Maintenance Labor has reduced by $579,393 and Stockroom & Supplies by $100,190 from the pre-amp period Billings reductions can be primarily attributed to the Field Maintenance restructuring and attrition due to the 2012 VERA. SPACE IMPACTS The Wolf Point CSMPC also serves as the Main Post Office (MPO) for Wolf Point MT. The operational layout was reconfigured to optimize mail flow and support remaining hub operations. Remaining residual space has been classified as inactive storage and unused. The AMP projected no one-time costs associated with this facility and none were incurred. PIR Summary Narrative

10 Service Performance and Customer Satisfaction Measurement Last Saved: September 23, 2014 Losing Facility: Wolf Point MT CSMPC District: Dakotas PIR Type: Implementation Date: Final PIR 10/01/13 Gaining Facility: Billings MT P&DF District: Dakotas (15) Notes: PIR Service Performance and Customer Satisfaction Measurement

11 I Combined Facilities j Workhour Costs Combined Facilities Last Saved September 23, 2014 PIR Type : -i~;i;;~;;;:c;i::.!;:;,~;-;c:;:oluccmn=,-;;"-:;:an:;:o;cu;;;;;:g;::ed;;-;f;;;o,-.,f;;;;-m PfR Type of Distribution Consolidated: Orig & Dest Date Range of Data: Jui to Jun-30~2014 PlR Workhour Costs - Combined Facilities

12 PIR Workhour Costs - Combined Facilities

13 (V)NOTES: PJR Workhour Costs- Combined Facilities

14 Losing Facility: Wolf Pomt MT CSMPC Workhour Costs - Losing Facility Last$awid:Saptembef13,2014 PIR Type"':.;;;~i:"'i':'~'::,,~i;i~Qi;c~= :::.:-:.:-:.:::: ::::,~:o:.:::,,;;:,,:;-,""''"'+ PfQ Type of Distribution Consolidated: Ong & Dest Date Range of Data: ~ to ~--- PlR Workhour Costs LoSJng

15 PIR WOJio:hour Costs~ Los;ng

16 Gaining Facility: Billings MT P&DF Workhour Costs Gaining Facility last Saved- September PIR Type : Type of Distribution Consolidated: Orig & Dest Date Range of Data: ~ to Jun..J0--2:014 PIR Workhour Costs ~ Gaining

17 PIR Workhour COsts- Gaining

18 (V}NOTES: PIR Workhour Costs- Gaining

19 I Other Workhour Move Analysis I PIR Other Workhour Costs

20 PIR Other Worl<hour Costs

21 PIR Other Workhour Costs

22 PIR Other Workhour Costs

23 I Distribution to Other PIR Worksheet Tabs I PIR Other Workhour Costs

24 PIR Other Workhour Costs

25 Staffing -Craft Last Saved: September 23, 2014 PIR Type: Final PIR Data Extraction Date: 04/04/14 Losing Facility: Wolf Point MT CSMPC Finance #: Craft Positions Gaining Facility: Billings MT P&DF Finance #: Craft Positions r ~ ~ ' (23) ' (24) ' ~ Final PIR vs Pre AMP ~ Final PIR vs Proposed ~ Total Craft Position Loss:L ~ j 2B j (Above numbers are carried forward to the Executive Summary) PIR Staffing - Craft

26 Staffing - PCES/EAS Last Saved: September PIR Type: Final PIR Losing Facility: Wolf Point MT CSMPC Data Extraction Date: 414/2014 Finance# _2_99-'-5'-'0-'4 PCES/EAS Positions (1) Position Title (2) PIR Staffing- PCES/EAS

27 Gaining Facility: Billings MT P&DF Data Extraction Date: 4/4/2014 Finance #.:2::9.::07:...7:...4:... _ r-~-~-~-~-~-~-~-~,~-~-~-~-~-~-~,~-~-~-~-~-~-~, j Total PCES/EAS 1 ( 37 ) 1 ( 3 > 1 1 Position Lossj 6 I 9 I ~ ~ ~ ~ (Above numbers are carried forward to the Executive Summary) PIR Staffing- PCES/EAS

28 Transportation - PVS Last Saved: September 23, 2014 PIRType: ~---- Final PIR.. Date Range of Data: Jul to -- Jun Losing Facility: Wolf Point MT CSMPC Finance Number: ~~ Gaining Facility: Billings MT P&DF Finance Number: ~~~ (11) Total Final PIR vs Pre AMP Transportation-PVS Savings: $0 (This number added to the Executive Summary :12) Total Final PIR vs Proposed Transportation-PVS Savings: $0 (This number added to the Executive Summary) (13)Notes= PIR Transportation- PVS

29 Losing Facility: Wolf Point MT CSMPC Type of Distribution Consolidated: Orig & Oest Transportation - HCR Last Saved: September 23, 2014 PIR Type: Final PIR Data of HCR Data File: 07/01/14 (3)... CT for Outbound Dock: 18:15 (10) Final PIR PIR Transportation HCR - Losing

30 Notes: PIR Transportation HCR- Losing

31 krk03p ############ Gaining Facility: Billings MT P&DF Type of Distribution Consolidated: Orig & Dest Date of HCR Data File: 07/01/14 ~-~... ~ Transportation - HCR Last Saved: September 23, 2014 CET for Inbound Dock: CET for Cancellations: PIR Type: Final PIR CET for OGP: 21:30 21:05 CT for Outbound Dock: 0:15 PIR Transportation HCR - Gaining

32 Change Analysis (11) (12) Final PIR vs Losing Gaining Summary HCR Losing & Gaining (13) 1 (14) Final PIR vs Pre AMP $0 {$48,311 Final PIR vs Proposed (13) Total Final PIR vs Pre AMP Transportation-HeR Savings: (from losing and gaining facilities) (14) Total Final PIR vs Proposed Transportation-HeR Savings: (from losing and gaining facilities) (15) Total Final PIR vs Pre AMP Transportation (PVS & HeR): (This number carried forward to the Executive Summary) Total Transportation (15) Final PIR vs Pre AMP (16) Final PIR vs Proposed HCR i$48.311) ($48,311) PVS $0 $0 Notes: (16) Total Final PIR vs Proposed Transportation (PVS & HeR): (This number carried forward to the Executive Summary) HCR 59237, 591 L5, and 591AD were not included in the original AMP but were impacted. See summary narrative for details PIR Transportation HCR - Gaining

33 MPE Inventory Last Saved: September 23, 2014 Data Extraction Date:----- PIR Type: Final PIR Date Range of Data: Jul to-- Jun Losing Facility: Wolf Point MT CSMPC Gaining Facility: Billings MT P&DF (3) Final PIR (6) Final PIR (8) Proposed I Final PIR Relocation Relocation Costs Costs (9) (10) Notes: Proposed MPE Inventory set based upon full implementation of Network Optimization & SSC AFCS relocation costs associated with Butte AMP Carried to Space Evaluation and Other Costs PIR MPE Inventory

34 Maintenance Last Saved: September 23, 2014 PIR Type*: -'-"-=-:P...:I...:R Date Range of Data: Jul : Jun Losing Facility: Wolf Point MT CSMPC Gaining Facility: Billings MT P&DF (2) Proposed Costs (3) Final PIR Costs (4) Variance Final PIR to Pre AMP (5) Variance Final PIR to Proposed Workhour ActivitY (7) (8) (9) Variance Proposed Final PIR Final PIR to ~ Costs PreAMP (10) Final PIR to Pre Proposed $ $ $ $ $ 0 $ 0 $ 0 $ 0 $ of 0 0 $ 0 0 $ $ (14,570) $ (Si,265) $ 0 $ 0 $ (75,835) $ ,825,845 $ 1,857, ,070 $ 467,528 { ) : -- 1,311,752 $ (72,481) $ ,665 $ 11,555 $ -- 62,923 $ (28.189) $ -- 4,425,254 $ ( ) $ 31,254 {521,542) {71,4111) (28,189) (579,393) Maintenance Parts, Supplies $ & F aality Utilities $ 25,099 $ (8,785) $ (8,785) Maintenance Parts, Supplies $ & F acmty Ublrties 610,325 (100, 190) 0 0 Grand Total $ 25,099 ($4,621) $ (8.225) Grand Total $ 5,035,579 (11) Final PIR vs Pre AMP- Maintenance Savings: (12) Final PIR vs Proposed -Maintenance Savings: (These numbers carried forward to the Executive Summary) (These numbers carried forward to the Executive Summary) (13) oata 1n PIR columns IS annualized for F1rst P!R. PIR Maintenance

35 Distribution Changes Last Saved: September 23, 2014 Losing Facility : Wolf Point MT CSMPC PIR Type: Final PIR Type of Distribution Consolidated: Orig & Dest Date Range of Data: Jul to- Jun Place a "X" next to the DMM labeling list(s) revised as result of the approved AMP. Identify the date of the Postal Bulletin that contained DMM labeling list revisions. (1) DMM L001 DMM L011 < 2 l 6/13/2013 PB22365 X DMM L002 DMM L201 DMM L003 DMM L004 DMM L601 DMM L602 Was the Service Standard Directory updated for the approved AMP? < 3 l Yes X DMM L005 DMM L603 DMM L006 DMM LOO? DMM LOOS DMM L009 DMM L010 DMM L604 DMM L605 DMM L606 DMM L607 DMM L801 (4) Drop Shipments for Destination Entry Discounts FAST Appointment Summary Report NASS Total No-Show Late Arrival O~en Facility Name Month Losing I Gaining Facility Code Schd Count % Count % Count % Feb '14 Losing Facility 592 Wolf Point N/A Mar '14 Losing Facility 592 Wolf Point N/A Feb '14 Gaining Facility 590 Billings % % % Mar '14 Gaining Facility 590 Billings % % % Closed Unschd Count % Count % % 2 (5) Notes: PIR Distribution Changes

36 Customer Service Issues Last Saved: September 23, 2014 Losing Facility: Wolf Point MT CSMPC 5-Digit ZIP Code:_..5_9:::.20'-1' Data Extraction Date: Collection Points Number picked up before 1 p.m. Number picked up between 1-5 p.m. Number picked up after 5 p.m. Total Number of Collection Points 2. How many collection boxes are currently designated for "local delivery"? 3. How many "local delivery" boxes were removed as a result of AMP? [o~ [ 0 ~, 4. Delivery Performance Report % Carriers returning after Retail Unit Inside Losing Facility (Window Service Times) 6. Business (Bulk) Mail Acceptance Hours 7. Can customers obtain a local postmark in accordance with applicable policies in the Postal Operations Manual? Yes 8. Notes: Gaining Facility: Billings MT P&DF 9. What postmark is printed on collection mail? ""'j ~120qit PIR Customer Service Issues

37 Losing Facility: Wolf Point MT CSMPC Space Evaluation and Other Costs Last Saved: September 23, 2014 Date: 1. Affected Facility 2. One-Time Costs 3. Savings Information Enter any one-time costs: --""$4-"5"-,oo=o Space Savings ($):..;$;.:0 $0 ($45,000) (These numbers shown below under One-Time Costs section.) $0 $0 (These numbers carried forward to the Executive Summary) 4. Did you utilize the acquired space as planned? Explain. Space was reconfigured to support remaining CS & hub operations. 5. Notes: Employee Relocation Costs Mail Processing Equipment Relocation Costs (from MPE Inventory) $149,124 ($149, 124) Facility Costs (from above) Total One-Time Costs $45,000 $194,124 ($45,000) $0 ($194,124) PIR costs carried fo!ward to Executive Summary) Losing Facility: Wolf Point MT CSMPC Gaining Facility: Billings MT P&DF Pre-AMP: FY 2012 Range of Report PIR: FY 2013 (1) Product PIR Space Evaluation and Other Costs

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