USPS OIG Report: Scheduled Hours and Payments for Highway Contract Routes

Objective Our objective was to determine the accuracy of Postal Service Highway Contract Route (HCR) scheduled hours and payments from fiscal years (FYs) 2016 through 2020. HCRs are routes serviced by suppliers carrying mail over highways between designated points. These suppliers provide contracted transportation services under specified schedules outlined in the contract terms and conditions….

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USPS OIG Report: Management of HCR Contractor Failures at the NJ International NDC

Background This report presents the results of our self-initiated audit to assess the management of Highway Contract Route (HCR) irregularities due to contractor failure at the New Jersey International (NJI) Network Distribution Center (NDC). Late trips occur when various conditions cause a delay in the arrival or departure of transportation beyond the scheduled times. When…

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USPS OIG: Are Scheduled Times and Hours for HCR Trips Accurate?

Project Title: Scheduled Hours and Payments for Highway Contract Routes Start Date: Monday, October 19, 2020 Estimated Report Release Date: April 2021 Highway Contract Route (HCR) suppliers provide contracted transportation service based on established scheduled hours for the drivers to complete the trip. The times for the trip are manually entered in the system. Incorrect…

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USPS OIG Report: Transportation Network Optimization and Service Performance

Objective Our objective was to assess opportunities to optimize the Postal Service’s transportation network and meet service performance goals. Transportation is a core part of Postal Service operations, combining Postal Service-owned and operated assets with contractor operations. Every day a team of transportation and logistics professionals manage an average flow of over 390 million mailpieces…

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USPS OIG Report: Accuracy of Surface Visibility Scans and Reporting

Objective The objective of our audit was to evaluate the accuracy of Surface Visibility scans and reporting for Highway Contract Route (HCR) and Postal Vehicle Service (PVS) trips. This audit was requested by the Postal Service’s Surface Logistics group. The U.S. Postal Service’s surface transportation network is managed locally and transports mail and equipment to…

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USPS OIG Report: Transportation Cost of Mail Transport Equipment

Objective Our objective was to assess the Postal Service’s efforts to reduce transportation costs of Mail Transport Equipment (MTE) in the Mail Transport Equipment Service Center (MTESC) network. The MTESC network is a nationwide network of 14 contractor-operated facilities. MTESC facilities process, repair, store, and distribute MTE (containers, sacks, trays, flat tubs, sleeves, and pallets)…

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USPS OIG Report: Dynamic Route Optimization and Cost Savings Initiative 

Objective Our objective was to evaluate the cost savings for implementing the Postal Service’s Dynamic Route Optimization (DRO) initiative. The Postal Service began implementing the initiative in fiscal year (FY) 2016. The initiative allows for morning Highway Contract Routes (HCR) to change from a fixed-price contract with set routes (static) to a rate per mile…

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DOL Investigation Finds Mail Hauler Failed to Pay Employees Prevailing Wages and Fringe Benefits

U.S. Department of Labor News Release April 22, 2019 ATLANTA, GA – After an investigation by the U.S. Department of Labor’s Wage and Hour Division (WHD), Postal Fleet Services Inc. – based in Saint Augustine, Florida – will pay $329,057 in back wages and benefits to 53 employees for violating requirements of the Fair Labor…

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