In accordance with the Non-disclosure Agreement February 11, 2013 the Postal Service is providing both redacted and un-redacted copies of the PIR.

Transcription

1 April4, 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 First 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 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 Sincerely, /A JJ-A Patrick M. Devine Manager Contract Administration (APWU) Enclosures (CA )

2 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: Jul PIR Type: 1st 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 : Dec Date & Time this workbook was last saved: I :16 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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4 Executive Summary Last Saved: March 6, 2014 Date Range of Data PIR Type: 1st PIR Jul Dec 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: Savings/Costs 1st PIR vs Pre AMP 1st 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 Total First Year Savings $0 $194,124 from Space Evaluation and Other Costs Staffing Craft Position Loss from Staffing-Crafl from Staffing-PCES!EAS Service Losing Current Qtr Gaining Current Qtr FCM Service Performance (EXFC & PFCM 0/N) 97.84% from Service Performance & CSM FCM Service Performance (EXFC & PFCM 2 Day) 75.00% 92.79% from Service Performance & 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 78.48% 86.74% from Service Performance & CSM from Service Performance & CSM from Service Performance & CSM PIR Executive Summal)'

5 Combined Losing and Gaining Facility Data: Pre AMP Proposed 1st PIR Function 1 Workhour Costs $11,465,547 $11,417,268 $11,282,559 Non-Processing Craft Workhour Costs (less Maintenance & Transportation) $4,714,561 $4,711,253 $5,019,534 PCES/EAS Workhour Costs $2,487,718 $2,411,623 $2,265,401 Transportation Costs $0 $0 $0 Maintenance Costs $5,137,074 $5,060,678 $4,382,521 Space Savings $0 $0 $0 Total Annual Cost $23,804,901 $23,600,823 $22,950,015 Total One-Time Costs 124 $0 Total First Year Costs $23,804,901 $23,794,947 $22,950,015 Staffing Craft Position Total On-Rolls PCES/EAS Position Total On-Rolls st PIR vs Proposed 1st PIR vs Pre-AMP ja~~roved) AMP Approved AMP Function 1 Workhour Savings $182,989 $134,709 $48,280 ($304,973) ($308,281) $3,308 Non-Processing Craft Workhour Savings (less MainVTrans) PCES/EAS Workhour Savings $222,317 $146,222 $76,095 Transportation Savings $0 $0 $0 Maintenance Savings $754,553 $678,157 $76,396 Space Savings $0 $0 Total Annual Savings $854,885 $650,807 Total One-Time Costs $0 $194,124 ($1 124) Total First Year $854,885 $844,931 $9,954 Staffing Craft Position Loss PCES/EAS Position Loss 4 7 (3) PIR Executive Summary

6 Losing Facility Name and Type: Current SCF ZIP Code(s): Type of Distribution Consolidated: Summary Narrative Last Saved: March 6, 2014 Wolf Point MT CSMPC 592 Orig & Dest Gaining Facility Name and Type: Current SCF ZIP Code(s): Billings MT P&DF 590,591,821 BACKGROUND The Dakotas Performance Cluster, with the assistance from the Western Area Office, has completed the 6-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 projected financial impacts identified with this first 6-month PIR study for this consolidation of processing operations are: Total First Year Savings $901,312 Combined Losing and Gaining Facility Data: PreAMP Proposed 1st PIR Function 1 Workhour Costs $11,465,547 $11,417,268 $11,282,559 Non-Processing Craft Work hour costs (less Maintenance & Transportation) $4,714,561 $4,711,253 $5,019,534 PCES/EAS Worl<hour Costs $2,487,718 $2,411,623 $2,265,401 Transportation Costs $0 $0 ($46,427) Maintenance Costs $5,137,074 $5,060,678 $4,382,521 Space Savings $0 $0 $0 Total Annual Cost $23,804,901 $23,600,823 $22,903,588 Total One-Time Costs $0 $194,124 $0 Total First Year Costs $23,804,901 $23,794,947 $22,903,588 The annualized projected cost (1 51 PIR vs. Pre-AMP) identified with the 6-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

7 TRANSPORTATION All transportation supporting Wolf Point CSMPC is exclusively HCR. The approved Wolf Point AMP projected no change in annual transportation costs with the 6-month PIR data projecting a savings of $46,427. 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 591 AD 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. 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 6-month PIR reflects a net decrease 30 craft positions from the pre-amp with Wolf Point decreasing by six and Billings decreasing by 22 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 five due to the Plant restructuring initiative. The staffing impacts on Management to Craft ratios as a result of this AMP are: 1 Craft= Career+ Non-career PIR Summary Narrative

8 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. 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 six-month PIR is projecting an annual savings of $754,553 with Wolf Point Labor decreasing by $76,304 as projected and Stockroom & Supplies decreasing by $10,291 from the Pre-AMP. Billings Maintenance Labor has been reduced by $506,045 and Stockroom & Supplies of $161,913 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

9 Service Performance and Customer Satisfaction Measurement Last Saved: March 6, 2014 Losing Facility: Wolf Point MT CSMPC District: Dakotas PIR Type: Implementation Date: 1st PIR 07/01/13 Gaining Facility: Billings MT P&DF District: Dakotas (15) Notes: Customer Satisfaction Measurement (CSM) became Customer Experience Measurem' Data reflects most recently completed quarter available in GEM. I Satisfaction (Overall Experience) PIR Service Performance and Customer Satisfaction Measurement

10 I ----Cc;;;iliined Facilities I Workhour Costs Combined Facilities last Saved: March 6> 2014 PIR Type : Type of Distribution Consolidated: Orig & Dest 12 Date Range of Data: Jui-01--2Q13 to Oec-.31~2013 PIR Work:hour Costs ~ Combined Facilities

11 P!R Work hour Casts ~ Combined F acifities

12 (27)NOTES' '0{'~:::~:;~_,,'--V PlR Work hour Costs - Combined F acflities

13 losing Facility: Wolf Point MT CSMPC Workhour Costs -Losing Facility Wt Sailed: March 6., 2014 PIR Type : ~;o;;:',:..,c"{'-~k~pip~. """"""==,,~~~o~-.o,-~t~~firs! Type of Distribution Consolidated: Orig & Dest Date Range of Data: ""'""'."'",., to ~~~- PtR Wofkhour Costs- Losmg

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15 Gaining Facility: Billings MT P&DF Workhour Costs - Gaining Facility last Saved: March 6, 2014 PIR Type : -,;.~'!-s;.;.:p.,c~rc;p"'ircc,e<olu--..m-n--..,.~,-nu--..w"' --ed~fo-,~fi-<st PIR. Type of Distribution Consolidated: Orig & Dest Date Range of Data: ~ to Oec--31~21>13 I. A~II<NUAU?ED. 1 PIR Workhour Costs - Gaining

16 PlR Workhour Costs- Gaining

17 (2nNOTES' PIR Workhour Costs- Gaining

18 I Other Workhour Move Analysis I PIR Other Workhour Costs

19 PIR Other Workhour Costs

20 PIR Other Worl<hour Costs

21 PIR Other Worl<hour Costs

22 I Distribution to Other PIR Worksheet Tabs I PIR Other Worl<hour Costs

23 6, % $278,421 0 #OIV/0! $0 19,131 ~1Ri4 /. -$505,953 ~1,518 ~3.40% ~$146,222 1, % $29,860 12, % ~$343,8941 PIR Other Workhour Costs

24 Staffing -Craft Last Saved: March 6, 2014 PIR Type: 1st PIR Data Extraction Date: 09/24/13 Losing Facility: Wolf Point MT CSMPC Craft Positions Gaining Facility: Billings MT P&DF Craft Positions 1, ~ ~ (23) 1 (24) f f 1st PIR vs Pre AMP f 1st PIR vs Proposed i Total Craft Position Loss:L ~ j ~ j (Above numbers are carried forward to the Executive Summary) PIR Staffing - Craft

25 Staffing- PCES/EAS Last Saved: March 6, 2014 PIR Type: 1st PIR Losing Facility: Wolf Point MT CSMPC Data Extraction Date: 9/24/2013 PCES/EAS Positions Finance#.:2:::.99:.:5:.:0..:.4 On-Rolls PIR Staffing- PCES/EAS

26 Gaining Facility: Billings MT P&DF Data Extraction Date: 9/ Finance #,;;2;;;9.::.077'-'-4:..- r ; ~ , 1 Total PCES/EAS < < I Position Lossj 4 j 7 I ~ ~ ~~ ~ (Above numbers are carried forward to the Executive Summary) PIR Staffing- PCES/EAS

27 Losing Facility: Wolf Point MT CSMPC Finance Number: ~--~ Transportation - PVS Last Saved: March 6, st PIR PIR Type: Date Range of Data: Jul to- Dec Gaining Facility: Billings MT P&DF Finance Number:..;:;;..;:..;:...;...;...; (11) Total 1st PIR vs Pre AMP Transportation-PVS Savings: $0 (This number added to the Executive Summary (12) Total 1st PIR vs Proposed Transportation-PVS Savings: $0 (This number added to the Executive Summary) (13)Notes= PIR Transportation- PVS

28 - Losing Facility: Wolf Point MT CSMPC Type of Distribution Consolidated: Orig & Dest Data of HCR Data File: 01/01/14 ~-~ ~... Transportation - HCR Last Saved: March 6, 2014 ~. PIR Type: 1st PIR CT for Outbound Dock: 18:15..._.. PIR Transportation HCR - Losing

29 Change Analysis 1st PIR vs Pre AMP 11 st PIR vs Proposed Notes: PIR Transportation HCR - Losing

30 Gaining Facility: Billings MT P&DF Type of Distribution Consolidated: Orig & Dest Date of HCR Data File: 01/01/14 ~-a ~ ~ Transportation - HCR Last Saved: March 6, 2014 CET for Inbound Dock: CET for Cancellations: PIR Type: 1st PIR CETforOGP: 21:30 21:05 CT for Outbound Dock: 0:15 PIR Transportation HCR - Gaining

31 Change Analysis 1st PIR vs Pre AMP I 1st PIR vs Proposed Summary HCR Losing & Gaining (13) 1 (14) 1st PIR vs Pre 1st PIR vs Proposed AMP Losing $0 $0 Gaining $0 $0 (13) Total 1st PIR vs Pre AMP Transportation-HeR Savings: (from losing and gaining facilities) (14) Total 1st PIR vs Proposed Transportation-HeR Savings: $0 (from losing and gaining facilities) Total Transportation {15) (16) 1st PIR vs Pre AMP 1st PIR vs Proposed HCR $0 $0 PVS $0 $0 (15) Total 1st PIR vs Pre AMP Transportation (PVS & HeR): (This number carried forward to the Executive Summary) Notes: (16) Total 1st PIR vs Proposed Transportation (PVS & HeR): $0 (This number carried forward to the Executive Summary) PIR Transportation HCR- Gaining

32 MPE Inventory Last Saved: March 6, 2014 Data Extraction Date: PIR Type: 1st PIR Date Range of Data: Jul to-- Dec Losing Facility: Wolf Point MT CSMPC Gaining Facility: Billings MT P&DF (5) 1st PIR Proposed Relocation Costs (8) 1st PIR (9) (10) Notes: Proposed Equipment set based upon full implementation of Network Optimization and Service Standard Change AFCS relocation costs included in Butte AMP Carried to Space Evaluation and Other Costs PIR MPE Inventory

33 Maintenance Last Saved: March 6, 2014 PIR Type*: _:1..::st:_:P:...:I:_:R:... _ Date Range of Data: Jul Dec Losing Facility: Wolf Point MT CSMPC Gaining Facility: MT P&DF -~ Workhour Activity (2) (3) (4) (5) Variance Variance Proposed 1st PIR 1st PIR to 1st PIR to Costs Costs PreAMP Proposed Workhour Activity {7) (8) (9) Variance 1st Proposed 1st PIR PIR to Pre Costs Costs AMP (10) Variance 1st PIR to Pre Proposed LDC 36 $ $ $ $ $ 0 $ 0 0 $ 0 0 $ 0 (14,570) $ () 0 $ 92 (61,7:l3) $ 92 0 $ 0 0 $!) 0 $ 0 0 $ 0 0 $ 92 (76,304) $ 92 E r:-::::::-... Mail Processing [ L<JV ~".. Equipment,--- Building Equipment 1,825,845 $ 1,894,636 68,791 $ ,070 $ 501,865 \487,205) $ --- 1,311,752 $ 1,228,534 $ 235,865 $ 263,986 28,331 $ -- 62,923 $ PH<!$)$ --- 4,425,254 $ 3, { ) $ 68,7$ (487,205) --- (8J,2iB) 28,331 \32,745) (506,045) PartS and Supplies 14,808 (10,291) $ (10,291) 448,412 0 Grand Total 14,900 Grand Total (11) 1st PIR vs Pre AMP- Maintenance Savings: (12) 1st PIR vs Proposed- Maintenance Savings: (These numbers carried forward to the Executive Summary) (These numbers carried forward to the Executive Summary) {13)Notes: ==================================================== "Data in PIR columns is annualized for First PIR PIR Maintenance

34 Distribution Changes Last Saved: March 6, 2014 Losing Facility : Wolf Point MT CSMPC PIR Type: 1st PIR Type of Distribution Consolidated: Orig & Dest Date Range of Data: Jul to- Dec (1) Place a "X" next to the DMM labeling list(s) revised as result of the approved AMP. OMM L001 DMM L011 X OMM L002 DMM L201 Identify the date of the Postal Bulletin that contained DMM labeling list revisions. < 2 l 6/13/2013 PB22365 DMM L003 DMM L004 DMM L601 DMM L602 (3) Was the Service Standard Directory updated for the approved AMP? X OMM L005 DMM L603 DMM L006 OMML007 DMM L008 OMM L009 OMM L 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 0 en Facility Name Month Losing I Gaining Facility Code Schd Count % Count % Count % Nov '13 Losing Facility 592 Wolf Point N/A Closed Unschd Count % Count Dec '13 Losing Facility 592 Wolf Point N/A Nov '13 Gaining Facility 590 Billings % % % Dec '13 ~_Gaining Facility 590 Billings % % % % % 7 (5) Notes: PIR Distribution Changes

35 Customer Service Issues Last Saved: March 6, 2014 Losing Facility: Wolf Point MT CSMPC 5-Digit ZIP Code: Data Extraction Date:-=o'"'"11'"'1'=51:-:1-: 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? I- o- J! - o- J 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? PIR Customer Service Issues

36 Losing Facility: Wolf Point MT CSMPC Space Evaluation and Other Costs Last Saved: March 6, 2014 Date: 1. Affected Facility 2. One-Time Costs 3. Savings Information Enter any one-time costs: _..,;:;.$4,:;;5;,;,0:.::0;::.0 Space Savings ($):..;.$0;;.. $0 ($45,000) (These numbers shown below under One-Time Costs section.) $0 $0 (These numbers earned forward to the Executive Summary) 4. Did you utilize the acquired space as planned? Explain. 5. Notes: Employee Relocation Costs Mail Processing Equipment Relocation Costs (from MPE Inventory) $149,124 Facility Costs (from above) Total One-Time Costs $45,000 $194,124 ($45,000) $0 ($194, 124) PIR costs carried forward to Executive Summary) Losing Facility: Wolf Point MT CSMPC Pre-AMP: FY 2012 Range of Report Gaining Facility: Billings MT P&DF PIR: FY 2013 PIR Space Evaluation and Other Costs

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