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What amount of revenues have been generated from this service?


Revenue of $113,145 has been generated since the start of the experimental INTELPOST service. Almost half of that amount has been generated in Fiscal Year 1984.

The Committee on Government Operations issued a report on INTELPOST which recommended that the Board of Governors terminate INTELPOST. Will you please respond to this recommendation?

Governor Peter Voss of the Postal Service's Board of Governors has made a detailed study of INTELPOST operations, with the benefit of additional information not available to the Committee on Government Operations when it issued its report. The reduced operating costs resulting from the change to dial-up service and the results of the experimental New York City marketing campaign, as well as the results of a marketing study performed by Arthur D. Little, Inc. for the Postal Service, led Governor Voss to recommend that INTELPOST continue for one or two more years to determine whether it could break even. The Board accepted his



What factors could you envision that would require that the Postal Service discontinue offering INTELPOST?

In the unlikely event that INTELPOST is unable to reach

the break even point in a reasonable period of time, the Postal Service would consider discontinuing it. Because of the multilateral nature of the service, such consideration would also involve negotiations with other participating countries.



What is the status and progress of the Postal Service's nationwide survey of its buildings to determine their eligibility for listing in the National Register for Historic Places?


The Postal Service has surveyed almost 2,000 of its buildings for eligibility. By the end of Fiscal Year 1985, it will have surveyed all buildings over 50 years of age, buildings planned for renovation, and buildings identified for disposal.

What expertise does the postal personnel who are
conducting your survey have in the area of historic

The Postal Service has a number of individuals on its staff who are familiar with the requirements of federal programs concerning historic preservation. In addition, certain Postal Service design professionals are skilled in the historic preservation area. However, work in

connection with the majority of the surveys and
nominations of postal facilities is performed by
professionals experienced in the field of historic
preservation working under contract to the Postal




Has the Postal Service sought any outside advice from experts in the field of historic preservation either prior to or while conducting the survey?

In the majority of cases, the Postal Service uses
outside help to conduct such surveys.

I understand that many of the reports prepared in
conjunction with your survey have been returned by the
National Register because of inadequate information. In
light of this, are you confident that your survey will
be able to accomplish its task?

As of the close of Fiscal Year 1984, 168 surveys had
been returned by the National Register for more
information. This usually happens when the Postal
Service's survey report recommends that a building not
be considered eligible for inclusion and the State
Historic Preservation Officer disagrees. In such a
case, federal regulations require that the survey report
and the Officer's opinion be submitted to the Keeper of
the National Register for a final determination of
eligibility. The Postal Service is now working with the
Keeper to resolve requests for additional information.


Representatives from historic societies and from the
National Trust for Historic Preservation have expressed
concern about the quality and accuracy of your survey.
In light of this, do you think the Postal Service should
consider conducting an independent survey, by experts in
this field, to insure that the type of information
required by the National Register is developed?

To my

The Postal Service uses independent firms in the
majority of cases to perform these surveys.
knowledge, Postal Service surveys have been adequate.
However, I would be glad to respond to specific concerns
if they are brought to my attention.


In April of this year the Board approved plans to lease lines to set up a private internal voice communications network for the Postal Service. Why did the Board feel this action was necessary?

Obviously you do not believe that FTS adequately meets your needs, can you tell us why not?

In 1990 GSA is establishing a new nationwide digital network (GTS) which, I understand, would meet all of the Postal Service's communications needs. What makes it imperative that you set up your own system now and not wait for the establishment of GTS?

I understand your network will have video and data communications capability. What does the Postal Service need those capabilities for?

Are there any other communications services you feel you may need in the future?

The Postal Service's decision to establish an exclusive use voice communications network was made only after a lengthy study of the alternatives to the use of the Federal Telecommunications Service (FTS). The study was

commissioned because of Postal Service concerns over the continuing escalation of FTS costs, the lack of

management data, and the failure of the FTS to keep pace with current telecommunications technology.

The Postal Service has seen its cost for use of FTS rise from $8.8 million to $20.0 million between 1979 and 1983, an average increase in excess of 22 percent per year. The lack of control over these increases was clearly the primary force in the decision to leave the FTS, although the fact that the FTS operates today using the same technology employed when it was installed in 1963 was certainly influential in the decision. During the twenty years the FTS has been in operation, there have been significant advances in the telecommunication networking field. The FTS has failed to incorporate these changes into its operation. In addition, the lack of meaningful management data from FTS operations prevents the Postal Service from making intelligent judgments concerning reductions in communications costs and improvements in service.

The Postal Service Voice Telecommunications Network will be operational in late 1985, at least five full years before the General Services Administration's GTS can be expected, and will yield more than a 50 percent return

on investment.

The Postal Service must act now to take

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