Before The POSTAL RATE COMMISSION WASHINGTON, D.C. 20268-0001 Postal Rate and Fee Changes, 2001 Docket No. R2001-1 ) OFFICE OF THE CONSUMER ADVOCATE INTERROGATORIES TO WILLIAM P. TAYMAN, JR. (OCA/USPS-T6-38-42) November 13,200l Pursuant Commission, requests to Rules 25 through 28 of the Rules of Practice the Office of the Consumer for production OCAIUSPS-1-21 of documents. dated September Advocate Instructions hereby submits interrogatories submitted, Acting Director Office of the Consumer KENNETH Attorney 1333 H Street, N.W. Washington, D.C. 20268-0001 (202) 789-6830; Fax (202) 789-6819 and included with OCA interrogatories 28, 2001, are hereby incorporated Respectfully of the Postal Rate Advocate E. RICHARDSON by reference. Docket No. R2001-1 OCANSPS-TG-38. Information provision -2- Please turn to your response to interrogatory was requested on the additions to annual revenues based on the additional of mail service to approximately Some of the questions in that interrogatory given that the answers to the interrogatory information OCANSPS-TG-22(a). we had expected to obtain. 1.7 million new delivery are being restated points per year. for additional do not appear to be consistent clarity, with the One would expect that the 1.7 additional delivery points would generate some deliveries. new For example, if each new delivery point received one piece of mail on 300 days of the year, one could project that there would be over 500 million additional pieces of mail per year. In fact, the additional mail from the additional delivery points may be much larger. (a) What is the projected amount of mail that will be delivered to the additional 1.7 million new delivery points per year? 0.‘) Please state the projected revenue for the Postal Service resulting from the mail delivered to the approximately (4 Associated 1.7 million new delivery points. with the expenditure of $400 million of capital costs for the additional 1.7 million new delivery points, there would be additions to costs related to the cost of the capital, e.g. depreciation, etc. Is it correct that the Postal Service does not know how much the expenditure impact costs, as apparently of the additional $400 million will inferred from your answers to OCANSPS-TG-22(b) and (c)? If your answer is other than affirmative, please provide the numbers. (4 Associated with the expenditure 1.7 million new delivery points, of $400 million of capital costs for the additional there would be additions to operating costs related to the cost of labor and supplies, e.g., payments to letter carriers, fuel for Docket No. R2001-1 -3- delivery trucks, etc. Is it correct that the Postal Service does not know how much the addition of 1.7 million additional delivery points will impact operating related to the delivery of the mail, as one might conclude OCANSPS-TG(b) and (c). If your answer costs from your answers is other than affirmative, to please provide the numbers. OCANSPS-TG-39. wherein Please turn to your reply to interrogatory you state in reference projects associated to the Postal Service freeze on capital spending Without facility investment, (4 cash oufflow is less.” by what dollar amount higher and what is the percentage (b) for with the addition of 1.7 new delivery points, that “Annual operating costs are higher without facility investment but the short-term (a) OCANSPS-TG-23(c), are annual operating costs increase in annual operating costs? Without facility investment, by what dollar amount is short-term cash outflow less and what is the percentage reduction in short-term Why is short-term OCANSPS-TG-40. calculated example, information, retirement, cash oufflow less? Please refer to USPS-LR-J-50, attrition rate, equal to the retirement may be reasons cash oufflow? for separation an individual e.g., number of separations for the total bargaining Service on page 394. Please provide rate for reasons of 693,878 by employee A There other than retirement; employment. and separation employees in your testimony. rate, is presented from the Postal may seek alternative referenced for similar other than group, as delineated. OCANSPS-TG-41. again at page 394. Please refer to USPS-LR-J-50, The total of 693,878 employees referenced in your testimony, as shown on that page is not the Docket No. R2001-1 -4- total Postal Service employment. There are other classifications provide similar data for the other classifications of responding meaningful (a) to this interrogatory, classification. An attrition rate related A separation OCAAJSPS-T6-42. casual workers to retirements financial exigencies. participants leaving for purposes similar to that other than retirement, in OCA/USPS-T6-40. be temporarily furloughed career conditional, or permanently temporary, terminated and due to If you do not confirm for each case, please explain. OF SERVICE certify that I have this date served the foregoing of record and at 394. CERTIFICATE I hereby by type of employee Please verify that, if necessary, could To minimize the burden the data may be provided in any appropriate rate for employees similar to that requested Please To be specific, please provide the following: provided in USPS-LR-J-50 (b) of employees. of employees. in this proceeding practice. Washington, D.C. 20268-0001 November 13.2001 in accordance document upon all with Rule 12 of the rules of
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