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<classification authority="sudocs">GA 1.13:GGD-96-126</classification>
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 <subject>Human resources utilization</subject>
 <subject>Postal rates</subject>
 <subject>Government sponsored enterprises</subject>
 <subject>Losses</subject>
 <subject>Internal controls</subject>
 <subject>Risk management</subject>
 <identifier>USPS Coding Accuracy Support System</identifier>
 <identifier>USPS National Bulk-Rate Mail Verification Program</identifier>
 <identifier>USPS National Bulk Mail System</identifier>
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<titleInfo>
 <title>U.S. Postal Service: Stronger Mail Acceptance Controls Could Help Prevent Revenue Losses</title>
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<abstract>Pursuant to a congressional request, GAO reviewed the Postal Service&apos;s
(USPS) controls over postage paid on presorted and barcoded mail,
focusing on whether USPS controls ensure that mailer-claimed discounts
are earned.&lt;p/&gt;GAO found that during fiscal year 1994: (1) 40 percent of required bulk
mail verifications were not performed and postal supervisors did less
than 50 percent of required follow-up verifications; (2) rejected
mailings were resubmitted and accepted into the mailstream without
proper corrections or postage; (3) mail acceptance clerks were not given
adequate tools to determine whether increasing volumes of mailer-applied
barcodes met USPS standards; and (4) postal management was unable to
make informed decisions concerning the adequacy of bulk mail acceptance
controls or determine the amount of revenue lost through improperly
prepared mailings. GAO also found that: (1) USPS needs to determine the
management strategy and financial investment necessary to minimize
revenue loss; (2) the random method of selecting bulk business mailings
for in-depth verification may not result in the best use of available
staff; (3) USPS could better target its verification efforts based on
risk by considering such factors as mailer histories and the postage
value of mailings; (4) postal managers are developing a bulk business
mail acceptance system, updating acceptance handbooks, acquiring
barcoding verification equipment, and requesting field units to submit
verification reports; and (5) USPS is also exploring a new risk-based
approach for in-depth verification, improving revenue controls, and
planning to install its new bulk mail system by 1997.</abstract>
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<subject>
 <topic>Human resources utilization</topic>
 <topic>Postal rates</topic>
 <topic>Government sponsored enterprises</topic>
 <topic>Losses</topic>
 <topic>Internal controls</topic>
 <topic>Risk management</topic>
 <topic>USPS Coding Accuracy Support System</topic>
 <topic>USPS National Bulk-Rate Mail Verification Program</topic>
 <topic>USPS National Bulk Mail System</topic>
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