Kruzan, USPS Reach Agreement on Downtown Postal Service

For Immediate Release

February 1, 2008

For more information:

Maria K. Heslin, Deputy Mayor, City of Bloomington, 349.3569

Bloomington, IN - Mayor Mark Kruzan announced today the City of Bloomington and United States Postal Service (USPS) have reached an agreement that should give the community cause to celebrate.

Kruzan said the City is pleased with a USPS decision that would keep its retail and carrier operations together in the same facility and also would add an additional retail site downtown. Kruzan received news of the decision in a letter from the USPS.

"The USPS listened to our community, and we've reached a very happy medium," Kruzan said. "This issue started with the possibility of the downtown post office moving far southwest - even out of city limits - to locating on the near west side of downtown as well as maintaining a downtown retail presence.

"While there are still questions to be answered, this is good news that shows recognition by the USPS that a downtown retail site with post office boxes must be part of its plan for Bloomington."

Specifically, Bradford Meador, Manager of Real Estate for the USPS, Great Lakes FSO, communicated via letter and conversation with City that the USPS plans to keep the retail and carrier operations together in one facility and will go forward with a site selection, presumably selecting from the six sites that were offered from private property owners. USPS officials will meet Tuesday to make the site selection, after which the City will be able to comment on the selection.

In addition, the USPS is committing to adding a retail presence in Downtown Bloomington. In Meador's letter, he stated the USPS did not know yet if this site would be a retail contract station or a detached, unmanned retail unit.

However, in subsequent discussions with City staff, the USPS committed to seeking a contract station location with at least 500 post office boxes instead of an automated center for downtown.

The post office would advertise the contract station opportunity through media channels as well as direct mail to potential businesses. Interested businesses would then have an opportunity to bid on the contract. Businesses that host a post office contract station earn income based upon the amount of postal service revenue earned.

"A contract station could be a great entrepreneurial opportunity for an existing or future downtown retailer," said Kruzan. "I expect that the USPS will receive strong interest regarding the contract station opportunity."

Kruzan said the City wants specific outcomes regarding the downtown site. It must:

• be located as close to the core of downtown as possible,
• provide as many retail services as possible as are currently provided by the 4th Street office, including post office boxes, and
• be staffed by employees expected to meet the same quality of service as that of US Postal Service employees.

He also wants assurances regarding the site's longevity downtown.

"If this is to be a contract station, the USPS must ensure us that this is a long-term contract," Kruzan said.

"This decision, in the end, should provide greater service to the community and the business sector as customers will have access to two retail centers where previously services were provided by one location," he said.

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