United States Postal Service

United States Postal Service

File:Hdr uspsLogo.png
Company type	Agency of United States government (enforced monopoly)
Industry	Trucking
Founded	1775
Headquarters	Washington, DC
Key people	John E. Potter, Postmaster General
Products	First Class Mail, Domestic Mail, Logistics
Revenue	$69.0 billion USD (2004)
Number of employees	700,000
Website	www.usps.com

This article describes the United States Postal Service. For the band named The Postal Service see The Postal Service.

The United States Postal Service (USPS) is an agency of the United States government responsible for providing postal service in the United States; it is generally referred to within the United States as "the post office."

The postal service was created under Benjamin Franklin on July 26, 1775 by decree of the Second Continental Congress. Based on a clause in the United States Constitution empowering Congress "To establish Post Offices and post Roads," it became the Post Office Department in 1792. In 1971, the department was reorganized as a quasi-independent agency of the federal government and acquired its present name.

The USPS is the third-largest employer in the United States (after the United States Department of Defense and Walmart), and operates the largest civilian vehicle fleet in the world, with an estimated 170,000 vehicles, the majority of which are the easily identified "mail trucks," as shown in the pictures to the right. Some rural mail carriers use personal vehicles.

Competition from e-mail and private operations such as United Parcel Service, FedEx, and DHL has forced USPS to adjust its business strategy and to modernize its products and services. The Department of Defense and the USPS jointly operate a postal system to deliver mail for the military known as the Army/Air Force Post Office and the Fleet Post Office.

The USPS is headed by a Board of Governors appointed by the President and confirmed by the US Senate. The Board has a similar role to a corporate board of directors, setting policy and procedure and postal rates for services rendered. The United States Postmaster General, formerly appointed by the president and confirmed by the Senate, but now appointed by the board of governors, serves as Chief Operating Officer and oversees the day to day activities of the service.

The USPS is often mistaken for a government-owned corporation (e.g. Amtrak), but is legally defined as an "independent establishment of the executive branch of the Government of the United States," as it is wholly owned by the government and controlled indirectly by the President. As a government agency, it has many special privileges, including sovereign immunity, eminent domain powers, powers to negotiate postal treaties with foreign nations, and an exclusive legal right to deliver first-class and third-class mail. The USPS has both a commercial (.com) and governmental (.gov) top level domain, but chooses to use the .com domain as its primary address, which causes its Internet presence to resemble that of a corporation more than that of a government agency.

The USPS enjoys a government monopoly with respect to first-class and third-class letter delivery under the authority of the Private Express Statutes. The USPS says that these statutes were enacted by Congress "to provide for an economically sound postal system that could afford to deliver letters between any two locations, however remote." In effect, those who mail letters to a near location are subsidizing those who are mailing letters to distant locations.

The USPS enjoys monopoly status in that it possesses the exclusive permission under federal law to deliver first and third class mail. However, an exception to private carriers is made with regard to "extremely urgent letters" as long as the private carrier charges at least $3 or twice the U.S. postage, whichever is greater (other stipulations, such as maximum delivery time, apply as well); or, alternatively, it may be delivered for free. The USPS also enjoys a monopoly privilege in placing mail into standardized mailboxes marked "U.S. Mail." Hence, private carriers must deliver packages directly to the recipient, leave them in the open near the recipient's front door, or place them in a special box dedicated solely to that carrier (a technique commonly used by small courier and messenger services).

In the 1840s Lysander Spooner started the commercially successful American Letter Mail Company which competed with the United States Post Office by providing lower rates. He was successfully challenged with legal measures by the U.S. government and exhausted his resources trying to defend what he believed to be his right to compete.

The 37 cents (USD) required by the USPS to deliver a letter in the U.S. compares favorably with other industrialized countries, such as those of the European Union, where the postage for an ordinary domestic first-class letter is nearly twice that much.

It is debatable whether any meaningful competition for ordinary letter delivery would develop in the absence of a legal monopoly. In countries that have recently undergone postal service privatization, no meaningful competition for first-class letter delivery has materialized and the overall cost of services to consumers has risen (this does not take into account tax burden relief by diminished subsidies). As it continues to lose package services market share to private competitors, the USPS and its organizational structure face an uncertain future.

As an affiliate of the federal government, the USPS is not required to pay any of the federal or state income taxes that regular businesses pay. Since the USPS is also directed by law to break even in the long run, there is currently not much tax revenue lost due to this tax exemption. However there is a possibility that a private alternatives to the USPS monopoly on normal letter delivery could provide better service at a lower cost, as well as be profitable and net tax contributors (Private competitors in package delivery have become profitable even with the tax burden placed on them and now dominate the market). [1] Therefore, some critics view the current tax exemption as a subsidy provided by the government to the USPS.

The USPS claims to have operated "in a businesslike manner without taxpayer support" since its spinoff from the cabinet on July 1, 1971 following the passage of the Postal Reorganization Act of 1970. It does, however, receive compensation from taxpayer funds for certain services that it is mandated to provide for free or at a discount, including free mail for the blind, military mail, nonprofit mail and overseas ballots. $36 million in such compensation was paid for fiscal 2004. In addition, Congress appropriated the USPS a total of $762 million for biohazard decontamination and detection equipment in response to the 2001 anthrax attacks.

Although its customer service centers are called post offices in regular speech, the USPS recognizes several types of postal facilities, including the following:

• A main post office, formerly known as a general post office, is the primary postal facility in a community.
• A station or post office station is a postal facility that is not the main post office, but that is within the corporate limits of the community.
• A branch or post office branch is a postal facility that is not the main post office and that is outside the corporate limits of the community.
• A classified unit is a station or branch operated by USPS employees in a facility owned or leased by the USPS.
• A contract postal unit is a station or branch operated by a contractor, typically in a store or other place of business.
• A community post office (CPO) is a contract postal unit providing services in a small community in which other types of post office facilites have been discontinued.
• A finance unit is a station or branch that provides window services and accepts mail, but does not provide delivery.
• A processing and distribution center (P&DC) or processing and distribution facility (formerly known as a General Mail Facility) is a central mail facility that processes and dispatches incoming and outgoing mail to and from a designated service area.
• A sectional center facility is a P&DC for a desgnated geographical area defined by one or more three-digit ZIP code prefixes.

While common usage refers to all types of postal facilities as "substations," the USPS Glossary of Postal Terms does not define or even list that word.

Temporary stations are often set up for applying pictorial cancellations.

For any letter addressed within the United States, the USPS requires two things on the envelope.

The first is the address of the recipient, to be placed in the center of the envelope. It is sometimes required to put the name of the addressee above the address. Another optional addition to the address is a ZIP+4 code.

The second is some means of indicating that postage has been paid, usually a stamp, but perhaps a meter label, or in certain cases such as members of Congress a signature or other writing indicating that the sender has franking privileges. First-class mail costs 37¢ upwards, depending on the weight of the letter and the class, and the indicia is supposed to be placed in the upper-right corner. A third, and optional (but strongly suggested) addition is a return address. This is the address you wish the recipient to respond to, and, if necessary, the letter to be returned to if delivery fails. It is usually placed in the upper-left corner or occasionally in the back (though the latter is standard in some countries). Undeliverable mails that cannot be readily returned, including those without return addresses, are treated as dead mails at a Mail Recovery Center in Atlanta, Georgia or Saint Paul, Minnesota.

The formatting of the address is as follows

Line 1: Name of recipient

Line 2: Street address or P.O. Box

Line 3: City (ISO 3166-2:US code or APO/FPO code) and ZIP+4 code

Example

Mr. John Doe

1111 JOHNSON ST

NEW YORK NY 10036-4658

The USPS maintains a list of proper abbreviations.

The formatting of a return address is identical. A common myth is that a comma is required after the city name, but this is not true. The Post Office recommends use of all upper case block letters using the appropriate formats and abbreviations and leaving out all punctuation except for the hyphen in the ZIP+4 code to ease automated address reading and speed processing, particularly for handwritten addresses; if the address is unusually formatted or illegible enough, it will require hand-processing, delaying that particular item. The USPS publishes the entirety of their postal addressing standards.

Currently, processing of standard sized envelopes and cards is highly automated, including reading of handwritten addresses. Mail from individual customers and from public postboxes are collected by the mail carriers into plastic tubs. The plastic tubs are taken to a Processing and Distribution Center, and emptied into large carts which are then automatically dumped into the Advanced Facer-Canceler System.

In contrast to the previous system which merely canceled and postmarked the upper right corner of the envelope, thereby missing any stamps which were inappropriately placed, the Advanced Facer-Canceler is sophisticated enough to locate the stamp anywhere on the envelope and cancel it and apply a postmark. Using the location of the stamp as one clue among others, it identifies the orientation of each item, and rotates them when necessary so that all the items are similarly oriented. The mail is then output by the machine into three categories; mail already having bar-coded addresses (such as many preaddressed reply envelopes and cards), mail with typed addresses, and mail with handwritten addresses. Additionally, some new AFCS machines have capability to read the mail piece enough to determine whether the address is local or outgoing.

Mail with typed addresses goes to a Multiline Optical Character Reader (MLOCR) which reads the ZIP Code and address information and prints the appropriate bar code onto the envelope. Mail (actually the scanned image of the mail) with handwritten addresses (and machine-printed ones that aren't easily recognized) goes to the Remote Bar Coding System, a highly advanced scanning system with a state of the art neural net processor which is highly effective at correctly reading almost all addresses, no matter how badly written. It also corrects spelling errors and, where there is an error, omission, or conflict in the written address, identifies the most likely correct address. When it has decided on a correct address, it prints the appropriate bar code onto the envelopes, similarly to the MLOCR system. RBCS also has facilities in place, called Remote Encoding Centers that have humans look at images of mail pieces and enter the address data. The address data is associated with the image via an ID Tag, a fluorescent code printed by mail processing equipment on the back of mail pieces.

Mail with addresses which cannot be resolved by the automated system are separated for human intervention. If a local postal worker can read the address, the appropriate bar code is printed onto the item. If not, the item is sent to one of three Mail Recovery Centers in the United States (formerly known as Dead Letter Offices, originated by Benjamin Franklin in the 1770s) where it receives more intense scrutiny, including being opened to determine if any of the contents are a clue. If no valid address can be determined, the items are held for 90 days in case of inquiry by the customer; and if they are not claimed then they are destroyed.

Once the mail is bar coded, it is automatically sorted into destination postal stations. Items for local delivery are retained in the postal station while other items are trucked to either the appropriate station if it is within approximately 200 miles, or the airport for transport to more distant destinations. Mail is flown, usually as baggage on commercial airlines, to the airport nearest the destination station, then at a nearby processing center the mail is once again read by a Delivery Bar Code System which sorts the items into their local destinations, including grouping them by individual mail carrier. After the September 11, 2001 attacks, only letter-sized mail has been flown on passenger airlines. Packages are solely transported via cargo carriers, most notably FedEx.

The normal mail service used by individuals and business sending a small amount of mail. One rate regardless of distance.

• Letters: The cost to send a letter weighing up to 1 ounce (28 g) is currently 37 cents, increasing to 39 cents on January 8, 2006.
• Each additional ounce is an additional 23 cents, up to 13 ounces.
• Sending a postcard costs 23 cents.
• Packages weighing up to 13 ounces (369 g) can be sent.
• Best effort delivery including return service for undeliverable mail.
• Forwarding service: With a valid change of address on file, mail coming to the old address will be sent to the new address for up to 12 months.
• Available to anyone.
• Recommendations (but no enforced rules) about mailpiece quality and addressing.
• Mail is picked up at customer's house or place of business, or can be dropped in any public mail collection box.
• Delivery to every address in the United States, except some small towns with no delivery to addresses within a quarter mile (400 m) of the post office. Post offices in some rural small towns without street deliveries require post office box numbers and addressees in these towns are eligible for fee-free post office boxes.

Used mainly for businesses.

• Minimum 200 pieces per mailing
• Must weigh less than 16 ounces (454 g)
• No return service unless requested (an additional fee is charged for return service)
• Not for personal correspondence, letters, bills, or statements
• Annual fee

Used for businesses to send large quantities of mail.

• Can be First Class or Standard Mail
• Discounted rates
• Permit required
• Enforced rules about mailpiece quality and addressing.
• May require additional work by the sender, such as pre-sorting by ZIP Code.
• Mail must usually be brought to a postal facility.

Used to send packages weighing up to 70 pounds (31.75 kg)

• Rates based on distance, weight, and shape
• Delivery to every address in the United States

Formerly (and colloquially, still) known as "Book Rate," Media Mail is used to send books, printed materials, sound recordings, videotapes, CD-ROMs, diskettes, and similar, but cannot contain advertising. Maximum weight is 70 pounds (31.75 kg).

• Delivery standards are 5-8 business days
• Rates based on weight
• Much cheaper than Parcel Post, but sometimes slower

Same as Media Mail, but receives an additional discount and may be used only for books or recordings being sent to or from a public library, museum or academic institution.

Priority Mail is an expedited mail service with a few additional features.

• Average delivery time is 2-3 days (but this is NOT guaranteed, may take longer)
• Flat rate envelopes and boxes available (one rate for whatever you put in the envelope, though the envelope must seal on its own)
• Packages up to 70 pounds (31.75 kg).
• Label can be printed online
• Delivery to every address in the United States

Express Mail is the fastest mail service.

• Typically overnight or second-day delivery, including Sundays and holidays
• Flat rate envelope available
• Packages up to 50 pounds (22.7 kg)
• Delivery to most addresses in the United States
• Guaranteed on-time delivery or the postage is refunded subject to conditions

• Provide a safe alternative to sending cash through the mail
• Money orders are cashable only by the recipient, just like a bank check. One of the reasons for the growing popularity of money orders is that, unlike a personal bank check, they are pre-paid and therefore cannot bounce.

Airmail, Global Priority, Global Express, and Global Express Guaranteed Mail are offered to ship mail and packages to almost every country and territory on the globe.

The United States Postal Service does not directly own or operate any aircraft or trains. The mail and packages are flown on airlines with which they have a contractual agreement. The contracts change periodically. Depending on the contract, you may see aircraft painted with the USPS paint scheme. Contract airlines have included: Emery Worldwide, Ryan International, Federal Express, Rhoades Aviation, and Express 1 International. The Postal Service also contracts with the National Railroad Passenger Corporation, or Amtrak to carry some mail between certain cities such as Chicago, Illinois and Minneapolis-St. Paul.

The Postal Service offers additional services for some types of mail.

• Confirms delivery of package
• Detailed package tracking is not included, but information is sometimes available
• Results available online or telephone
• Only available with First Class Mail parcels, Priority Mail, and Package Services (Media Mail, Parcel Post, and Bound Printed Matter)

• Confirms delivery with signature
• Recipient's signature is kept on file
• Only available with First Class Mail parcels, Priority Mail, and Package Services (Media Mail, Parcel Post, and Bound Printed Matter)

• Provides package with insurance from loss or damage while in transit
• Available for amounts up to $5,000
• Covers material losses only minus depreciation

• Provides proof of mailing, and a delivery record
• Available for First Class Mail and Priority Mail

• Provides mailing receipt, delivery record, and protection for valuables
• Available for Priority Mail and First Class Mail
• Availble for sending US Government classified documents, up to the Confidential level.

• Allows merchants to offer customers an option to pay upon delivery
• Insurance comes included with fee
• Amount to be collected cannot exceed $1,000
• Available for First-Class Mail, Express Mail, Priority Mail, and Package Services (Parcel Post, Bound Printed Matter, and Media Mail)

All unused US postage stamps issued since 1861 are still valid as postage at their indicated value. Stamps with no value shown or denominated by a letter are also still valid at their purchase price.

All US postage stamps and other postage items that were released before 1978 are in the public domain. After this time they are copyright by the postal service under Title 17 of the United States Code. Written permission is required for use of copyrighted postage stamp images. [2]

In addition to using standard stamps, postage can now be printed from a personal computer using a system called Information Based Indicia. Authorized providers of PC Postage are:

• Stamps.com
• Pitney Bowes
• Endicia Internet Postage

Beginning in 1996, the USPS was head sponsor of a professional cycling team bearing its name. The team featured Lance Armstrong, seven-time winner of the Tour de France. The sponsorship ended in 2004, when the Discovery Channel stepped in as the main sponsor and renamed the team as the Discovery Channel Pro Cycling Team.

The USPS employs more people than any company in the United States except Wal-Mart. It employed 790,000 personnel in 2003, divided into offices, processing centers, and actual post offices. USPS employees are divided into three major categories according to the work they engage in:

• Letter Carriers, also referred to as mailmen or mail-carriers; are the public face of the USPS.
• Mail handlers and processors often work at the evening and night to prepare mail and bulk goods for the carriers to deliver. Work is physically strenuous, especially for mail handlers; many mailbags loaded from and onto trucks weigh as much as 60 pounds (27 kg).
• Clerks work in the post offices, handling customers' needs, receiving express mail, and selling stamps. DCO's (Data Conversion Operators), who type out and forward mail to their destinations.

In the early 1990s, there was a widely publicized wave of workplace shootings by disgruntled employees at USPS facilities. Due to sensationalistic media coverage, postal employees gained a mostly undeserved reputation among the general public as being mentally ill. This stereotype in turn has influenced American culture, as seen in the slang term "going postal" (see Patrick Sherrill for information on his August 20, 1986, rampage) and the computer game Postal. Another example is the movie Men in Black II, where all of Tommy Lee Jones' co-workers at the post office turn out to be aliens. In an episode of Seinfeld, the character Newman, who is a mailman, explained that postal workers "go crazy and kill everyone" because the mail never stops.

The Setting the Record Straight section of USPS.com features letters to newspaper editors, television producers, and other media representatives which USPS has sent in response to criticisms of the Postal Service and to uses of the term "going postal."

Also, the fact that the post office enjoys a governement-enforced monopoly on letter delivery is a source of resentment by some who would rather see competition and lower prices for the service

• U.S. postal abbreviations
• History of USPS rates
• Rural Free Delivery
• USPS creed
• Government monopoly
• Postal Inspection Service

• American Postal Workers Union
• National Association of Letter Carriers
• National Postal Mail Handlers Union
• National Rural Letter Carriers Association

• USPS Official web site
• USPS Glossary of Postal Terms (Publication 32)
• USPS Postal Addressing Standards (Publication 28)
• History of the United States Postal Service
• Understanding the Private Express Statutes USPS Publication 542 (June 1998) pdf file
• US Postal Service cycling team
• "Father of 3-cent Stamp" Spooner fought Post Office Account of Lysander Spooner's fight against USPS monopoly
• The Post Office and Private Mail Service 19th century American individualist anarchist Benjamin Tucker opposes USPS monopoly
• America's Post Office Challenges The Digital Age An argument in support of ending the government monopoly
• Time for the Mail Monopoly to Go
• Postal Service Privatization Dr. Edward L. Hudgins, of the Cato Institute, speaks to Appropriations Subcommittee on Treasury, Postal Service, and General Government