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<classification authority="sudocs">GA 1.13:GGD-99-147</classification>
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 <subject>Postal facilities</subject>
 <subject>Cost effectiveness analysis</subject>
 <subject>Federal facility relocation</subject>
 <subject>Federal procurement policy</subject>
 <subject>Government facility construction</subject>
 <subject>Real estate purchases</subject>
 <subject>Mail delivery problems</subject>
 <identifier>USPS Five-Year Major Facilities Priority List</identifier>
 <identifier>Antelope Valley (CA)</identifier>
 <identifier>Lancaster County (CA)</identifier>
 <identifier>Mojave (CA)</identifier>
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<titleInfo>
 <title>U.S. Postal Service: Deficiencies Continue While Antelope</title>
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<abstract>Pursuant to a congressional request, GAO reviewed the project approval
process the Postal Service used in proposing to relocate postal
operations for the Antelope Valley, California, area from the Main Post
Office in Mojave, California, to a new facility in Lancaster,
California.&lt;p/&gt;GAO noted that: (1) the Service followed most of its key requirements
for acquiring a site in Lancaster in 1991 prior to obtaining approval
for the proposed Antelope Valley project, although some requirements
were vague; (2) one major exception was that review and approval of the
proposed project justification and alternatives by the Headquarters
Capital Investment Committee did not take place prior to the advance
site acquisition in Lancaster, as required by Service policies; (3)
Service guidance was unclear because it required that alternatives be
identified and analyzed before a project could qualify for advance site
acquisition, but it did not clearly state the type or depth of analysis
required; (4) at the time of the Lancaster site acquisition, the
analysis to support the decision was incomplete; (5) more detailed
analyses were still under development; (6) GAO could not determine from
available documentation why the alternative to construct a new facility
in Lancaster was preferred over other alternatives that had been
proposed or why various alternatives were not considered viable; (7) the
Lancaster site purchased for $6.5 million in 1991 has remained unused
since that time due to the Service&apos;s failure to decide how and when it
will resolve the long-standing problems that the proposed Antelope
Valley project was to address; (8) continuing negative effects have
resulted from the incomplete status of the project for almost 10 years;
(9) project approval and funding of the project remain uncertain due to
delays resulting from two suspensions, limits on capital spending, and
changes in project classification; (10) it is unclear how the Service
intends to address the space deficiencies that have contributed to
operational processing and delivery deficiencies in the Antelope Valley
area; (11) because of continued space deficiencies, automated equipment
was sitting unused in warehouses, some mail delivery was being delayed,
and the projected operating efficiencies and savings have not been
realized; (12) the Service has invested $6.5 million in land that has
been unused for nearly 8 years; such an investment has a substantial
annual interest cost estimated at over $300,000; (13) it has also
incurred additional costs to update documents required for project
approval and may incur more costs if some of these documents again have
to be updated when the project is reviewed for approval; and (14) the
Lancaster and Mojave communities have faced uncertainty over business
development opportunities as a result of the project delays.</abstract>
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<note>Letter Report</note>
<extension>
 <searchTitle>GAO/GGD-99-147; U.S. Postal Service: Deficiencies Continue While Antelope;
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<subject>
 <topic>Postal facilities</topic>
 <topic>Cost effectiveness analysis</topic>
 <topic>Federal facility relocation</topic>
 <topic>Federal procurement policy</topic>
 <topic>Government facility construction</topic>
 <topic>Real estate purchases</topic>
 <topic>Mail delivery problems</topic>
 <topic>USPS Five-Year Major Facilities Priority List</topic>
 <topic>Antelope Valley (CA)</topic>
 <topic>Lancaster County (CA)</topic>
 <topic>Mojave (CA)</topic>
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  <partNumber>Title 42 Section 4321</partNumber>
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