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<classification authority="sudocs">GA 1.13:GGD-98-11</classification>
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 <subject>Postal service</subject>
 <subject>Mail delivery problems</subject>
 <subject>Postal facilities</subject>
 <subject>Government facility construction</subject>
 <subject>Customer service</subject>
 <subject>Work measurement standards</subject>
 <subject>Construction costs</subject>
 <subject>Cost overruns</subject>
 <subject>Comparative analysis</subject>
 <identifier>Chicago (IL)</identifier>
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<titleInfo>
 <title>U.S. Postal Service: Chicago Main Post Office Cost Overruns and Graceland Station Mail Service</title>
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<abstract>Pursuant to a congressional request, GAO reviewed: (1) the reasons for
the $133 million in cost overruns incurred at the new Chicago Main Post
Office; (2) the list of procedures the United States Postal Service
(USPS) has established to prevent a recurrence of cost overruns
experienced with the new Chicago Main Post Office in similar, future
capital investment projects; (3) why the USPS Board of Governors
approved some of the budget increases for the new Chicago Main Post
Office in closed, rather than open, meetings; (4) the performance
indicators for the Graceland postal station in Chicago, as compared to
those at a similar station in another city with a higher first-class,
overnight delivery (EXFC) score; and (5) the results of a 1997 USPS
survey of the physical condition of postal facilities in the ninth
congressional district of Illinois.&lt;p/&gt;GAO noted that: (1) the cost overruns that were incurred in the
construction of the new Chicago Main Post Office appeared to be due
primarily to inadequate planning; (2) USPS has implemented procedures
aimed at reducing the likelihood of cost overruns occurring in similar,
future capital investment projects, including earlier notification of
problems to the Board of Governors and more Inspection Service
involvement with review of facilities construction; (3) USPS officials
indicated that budget increases for the new Chicago Main Post Office
were approved in closed meetings because it would not have been in USPS&apos;
best interest to disclose the amounts requested while negotiating change
orders with contractors and because the Postal Inspection Service was
investigating the project; (4) comparison of performance data between
the Graceland station in Chicago and the Brookline station in Boston,
Massachusetts, confirmed that differences existed in terms of
performance indicator results, and also showed that the data provided
were not informative about the causes of problems with mail service at
Graceland or in Chicago; (5) analysis of this performance data did not
suggest that Brookline&apos;s performance would be informative for Graceland;
(6) this was compounded by the high number of variables affecting the
performance indicators, such as the differences in the types of
deliveries made by both stations and uncertainty about whether the total
number of complaints was accurately reported; and (7) the 1997 USPS
review of postal facilities in the ninth congressional district of
Illinois indicated that the facilities were meeting operational needs.</abstract>
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<identifier type="preferred citation">GAO/GGD-98-11</identifier>
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<note>Letter Report</note>
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<subject>
 <topic>Postal service</topic>
 <topic>Mail delivery problems</topic>
 <topic>Postal facilities</topic>
 <topic>Government facility construction</topic>
 <topic>Customer service</topic>
 <topic>Work measurement standards</topic>
 <topic>Construction costs</topic>
 <topic>Cost overruns</topic>
 <topic>Comparative analysis</topic>
 <topic>Chicago (IL)</topic>
 <topic>Boston (MA)</topic>
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