Agenda 01/10/2012 Item # 9C1/10/2012 Item 9.C.
EXECUTIVE SUMMARY
Recommendation to oppose the U.S. Postal Service plan to consolidate or close the
Fort Myers Processing and Distribution Center which would have a $40 million
economic impact on the five counties served, including Collier County.
OBJECTIVE: For the Collier County Board of County Commissioners (BCC) to
compose a letter under the Chair's signature that expresses the Board's opposition to any
consolidation or closing of the Fort Myers facility which serves Collier, Lee, Charlotte,
Hendry, and Glades counties. That letter needs to be transmitted immediately to the
Congressional Delegation in Washington, D.C., to advocate Collier's position to
Congress as they continue to develop a plan to restore the financially challenged Postal
Service.
CONSIDERATION: The U.S. Postal Service has agreed to hold off closing mail facilities
and post offices until May 15, 2012. The moratorium came shortly after a plan to close
down 250 mail processing centers nationwide — including the Fort Myers Processing and
Distribution Center near the Southwest Florida International Airport — and eliminate
28,000 jobs across the country. A series of discussions between Postal Service officials
and some U.S. Senators has given legislators time to craft a legislative solution during the
moratorium.
The closing of the Fort Myers facility — which sorts mail and packages from as far away
as the communities of Marco Island, Immokalee and Port Charlotte — results in a total
loss of wages (direct and indirect) of $40 million according to Florida Gulf Coast
University. (Letter Attached)
About 300 -350 persons turned out for a public meeting December 15 at Edison State
College, reported Daniel Gray, Vice President of Southwest Florida Area
Local /American Postal Workers Union (APWU). Among a myriad of reasons to contest
the downsizing of the Postal Service listed on meeting materials, their primary contention
is the loss of more than 400 jobs to the area. The Postal Service will transfer employees
and they may be forced to go where the jobs move — families in tow — whether it be
Tampa or Sarasota in the event of the closing of Fort Myers operations. This is of
particular significance when Collier County is working to create jobs growth in this area.
(Meeting Flyer Attached)
In an email dated December 7, Sam Wood, President of the Southwest Florida Area
Local /APWU, notified area elected officials about the upcoming Postal Service
consolidation/closing plan and also included impacts if the plan goes forward. He also
provided his explanation for the Postal Service's troubles. (Email Attached)
FISCAL IMPACT: There is no fiscal impact associated with this executive summary.
Packet Page -529-
1/10/2012 Item 9.C.
LEGAL CONSIDERATIONS: This item is legally sufficient for Board action, and
requires a simple majority vote (supporting or opposing the bill).
GROWTH MANAGEMENT IMPACT: There is no growth management impact
associated with this executive summary.
RECOMMENDATION: That the Chair of the Board of County Commissioners
composes and transmits a letter to the federal Congressional Delegation expressing the
Board's opposition to the U.S. Postal Service plan to close the Fort Myers Processing and
Distribution Center.
PREPARED BY: Commissioner Tom Henning
AGENDA DATE: January 10, 2012
2
Packet Page -530-
1/10/2012 Item 9.C.
COLLIER COUNTY
Board of County Commissioners
Item Number: 9.C.
Item Summary: Recommendation to oppose the U.S. Postal Service plan to consolidate or
close the Ft. Myers Processing and Distribution Center which would have a $40 million
economic impact on the five counties served, including Collier County. (Commissioner Henning)
Meeting Date: 1/10/2012
Prepared By
Name: Evelyn Prieto
Title: Executive Aide to the BCC,
1/3/2012 2:54:41 PM
Submitted by
Title: Executive Aide to the BCC,
Name: Evelyn Prieto
1/3/2012 2:54:42 PM
Approved By
Name: MitchellIan
Title: Executive Manager, BCC
Date: 1/4/2012 11:55:31 AM
Name: OchsLeo
Title: County Manager
Date: 1/4/2012 12:11:12 PM
Packet Page -531-
1/10/2012 Item 9.C.
Sam Wood, President
Southwest Florida Are Local / APWU
Subiect: Ft Myers Processing & Distribution USPS Information
As you know, the USPS is looking at the possibility of closing the Fort Myers Processing and
Distribution Center that services all of Southwest Florida and move it's operations and employees to the
Sarasota or Tampa Area. The Fort Myers P &DC employees over 400 employees that live in Charlotte,
Lee and Collier Counties. The letter below lists problems facing our community if this proposed move
happens.
Below is the address for the public to send their comments to about the potential Fort Myers
P &DC closing.
Manager, Consumer and Industry Contact
Suncoast District
2203 N. Lois Ave, Ste 1163
Tampa, F133607 -7163
The Postal Service plan to move mail from Southwest Florida to Tampa and Sarasota and eliminate our
local overnight delivery for the following reasons:
*It goes against the purpose of the Post Office and is in violation of the law.
*It is at the request of large mailers who stand to benefit.
*The proposal is a rate increase since local overnight delivery will now be at express rates.
*Workers, their families and communities will be devastated by the loss /transfer of jobs.
*Veterans returning from wars will have fewer opportunities for jobs as the USPS hires many veterans.
*Checks, other income, and critical time - sensitive documents could be delayed.
*Local collection box pick -up times will be changed as a result of the AMP.
*Individuals might not receive their medications timely.
*Mortgage and other bill payments would be delayed causing late charges or worse.
*Election results could be negatively affected by the delay in mail.
*Local businesses and non - profits could see further delay in their local mailings.
*Local businesses will be charged higher rates unless mail is dropped off in Tampa or Sarasota.
*The delay in service problems will be even greater for those in rural areas.
*The Postal Service willfully failed to notify all the affected communities of the proposed changes.
*The public will lose the Southwest Florida Postmark on their letters unless they personally have it hand
stamped.
*The Postal Service has not made a convincing case that money will be saved.
On November 3, 2011 management issued a press release stating that they were changing the
consideration of consolidating the Fort Myers P &DC into the West Palm Beach P &DC. The new AMP
study would "instead consider moving the mail processing operations to the Manasota, Fl P &DC." On
November 30, 2011, management issued a press release announcing for the first time that the Tampa
P &DC was added to the Ft. Myers P &DC AMP Study.
The AMP study for West Palm Beach was said to be a $21,972,197. savings, affecting 204 employees,
while the new AMP study for the Tampa - Manasota move is stated to be a $15,858,078. savings, affecting
Packet Page -532-
1/10/2012 Item 9.C.
246 employees. The true number of employees at the Fort Myers P &DC is over 400 employees. In
addition, there would be many more job losses from those who provide services to the Fort Myers P &DC
that was not considered in the Fort Myers P &DC AMP Study. Local charities stand to lose thousands of
dollars due to the loss of Postal employees in Southwest Florida who contribute to the Combined Federal
Campaign (CFC).
The annual cost savings submitted by the U.S.P.S. are not realistic, nor are they backed up by factual data.
The numbers have simply been made up to attempt to justify a move when in reality, the citizens of
Southwest Florida will be adversely affected by such a move of operations.
The financial situation at the USPS is not permanent and the "crisis" is largely created by:
1. Excessive discounts to large mailers like Time Warner, Bank of America, etc.
2. The 2006 PAEA legislation, which set unrealistic price caps and;
3. Mandated prefunding of retiree health benefits for employees who have not even been born.
4. Overpayments to CSRS (over 50 billion) and FERS (6.9 billion) retirement funds.
5. The change by large mailers to use standard mail instead of first class mail.
6. The recession.
Rather than reduce service and eliminating jobs, the Postal Service and Congress should address the
causes of the problem. Mail service for the American people should be improved, not reduced. The
Postal Service is not a business, but is a service to the people of the United States. The law states,
"The United States Postal Service shall be operated as a basic and fundamental service provided
to the people by the Government of the United States, authorized by the Constitution, created by
Act of Congress, and supported by the people. The Postal Service shall have as its basic function
the obligation to provide postal services to bind the Nation together through the personal,
educational, literary, and business correspondence of the people. It shall provide prompt, reliable,
and efficient services to patrons in all areas and shall render postal services to all communities.
The costs of establishing and maintaining the Postal Service shall not be apportioned to impair
the overall value of such service to the people."
Packet Page -533-
1/10/2012 Item 9.C.
-FORT MYERS
REGIONAL PARTNERSHIP
CERTIFIED MAiL
December 14, 2011
Paul Bemicchl
Manager, Consumer and industry Contact
Suncoast District
2203 N. Lois Ave., Ste. 1163
Tampa, FL 33607 -7163
Dear Mr. Bernicchl:
I am writing on behalf of the Lee County Board of County Commissioners, Horizon Council
(public private economic development advisory board to BOCC), Lee County Industrial
Development Authority and the Lee County Economic Development Office. We are strongly
opposed to the relocation of the Fort Myers Postal Service Processing and Distribution Center
to Sarasota and Tampa. Our County represents a population of 618,754 and approximately
16,000 businesses. However, the five county area of Charlotte, Collier, Hendry, Glades and
Lee represents a population over 1.1 million and more than 30,000 businesses. Below are
some reasons we oppose this relocation:
• Will adversely impact our already struggling local economy and tax base;
• The closing of the distribution facility is estimated to result in a minimum total wage loss
(direct and indirect wages) of $40M to Lee County and the surrounding counties
(calculated by Florida Gulf Coast University);
• The closing of the facility is estimated to result in a minimum job loss of 550 in Lee
County and the surrounding counties;
• Additional reductions in area workforce and wage losses may be realized due to the
outmigration of entire families as a result of layoffs and forced relocations;
• Less sales tax revenue will be realized as a result of outmigration leading to decreased
spending;
• Loss of Fort Myers Postmark unless requested; and
• Local businesses would not receive current mailing discounts and will see further delays
in local mailings in addition to those already planned nationwide,
Together, we mean business Lee County's Economic Development Office - Horizon Council - industrial Development Authority
2201 Second Street, Suite 500 - Fort Myers, Florida 33901
Toll -Free 800.330.3161 - Office 239.338.3161 - FaY 9�o iqa aY1.7
Packet Page -534-
1/10/2012 Item 9.C.
CERTIFIED MAIL
Page 2
After reviewing the Fort Myers P &DC Area Mailing Processing Public Meeting 2411 PowerPoint
presentation of December 15, we feel the Business Case listed on slide 16 proposed annual
savings are flawed for several reasons, including, but not limited to:
1. Mail Processing Workhour Savings — inaccurate because there would be no
savings due to employees still being retained due to relocations elsewhere in
Florida;
2. Mail Processing Management Savings — same as above;
3. Maintenance Savings — If this refers to machinery and equipment, wouldn't the
expenditure still be incurred when relocated to another location?
4. Transportation Costs — the costs seem too low based on the distances to
Manasota and Tampa and the fact that there would still need to be a central
location in Fort Myers for the loading and unloading of mail which would require
double trucking locally and then onto trucks for transport north.
We are requesting details on how you arrived at the proposed savings for each of the items
listed above. in addition, we are requesting the current AMP study for Fort Myers and the AMP
study of the Manasota P &DC proposed closure in Sarasota County that was cancelled several
years ago. This information will help our county get all of the facts necessary so that we will be
in a better position to mount a stronger opposition to the Fort Myers proposed relocation.
The current Public Meeting notification was not adequate for every county in Southwest Florida
the P &DC serves to have ample time to give their input on the Postal Service AMP study. it
stands to reason that each county affected must have input within its county boundaries. All
postal addresses should have received a mailed notice to attend the public meeting.
After receipt of the all the information, we are requesting 120 days to review all documents and
the public input in all jurisdictions within the five county area. l would be more than happy to
set -up a meeting between the postal service management team and the five county
representatives to discuss the'relocation issues. Please feel free to contact me If you have any
questions concerning our request.
Si c ely,
) /a W04�
James W. Moore
Executive Director
Cc: Mike Figlia, POOM
District Manager
OIG — USPS
Lee County Board of County Commissioners
Packet Page -535-
1/10/2012 Item 9. C.
PUBLIC MEETING
RE: Transferriniz of Mail Processinz Operations from the Fort Myers
P &DC to the Manasota and Tampa P &DC
**.Thursday December 15, 2011 at 6:00 Pin
Edison State College
Walker Hall, Bldg. AA, Room 177
8099 College Parkway
Fort Myers, FL 33907
The United States Postal Service (LISPS) is in the process of making changes that could
possibly cause an adverse effect on local mail service by dismantling the Fort Myers
Processing and Distribution Center (P &DC) and transferring the processing of the mail
Lo both the Manasota and Tampa Processing and Distribution Center. The USPS has
Stated that their initial results support the case for consolidation.
This would create several problems, including, but not limited to:
• Increased distance for mail to travel and increased fuel transportation costs.
• Loss of Southwest Florida Postmark unless requested to be hand cancelled.
• Delays of time sensitive mailings, medications, bills, checks, etc.
• Potential loss of approximately 400+ Southwest Florida Postal jobs.
• Additional local jobs losses that provide services to the U.S.P.S.
• Local businesses would not receive current mailing discounts.
• Local collection box pick -up times would be changed.
• Local business mail acceptance times would be changed.
• Election results could be negatively affected by the delay in mail.
• Will adversely affect our already struggling local economy and tax base.
• Overnight delivery would only be available at Express Mail Rates.
• Local businesses and non - profits would see further delays in local mailings.
The Fort Myers Post Office has long served our community with outstanding service
and this is a tradition that must be continued. Please help fight to keep jobs in
Southwest Florida and avoid delays in mail service in Charlotte, Lee, and Collier
Counties by the proposed consolidation of the Fort Myers P &DC into the Manasota and
Tampa P &DC's.
Please attend the public meeting and let your voice be heard!!
Packet Page -536-