Election Mail Thursday January 10 2013 Steve Monteith

Election Mail Thursday, January 10, 2013 Steve Monteith Manager, Transactions and Correspondence Mail United States Postal Service

Agenda § 2012 Election Mail Review § Accomplishments § Network Rationalization § 2012 Challenges § Issues/Mediation Plans § Upcoming Changes § Election Mail Postage § Move Update § NCOA code 19 - Inclusion of temporarily away § Task Force 16 publication - PO box proposal § IMb required § Election Mail Recommendations 2

2012 Election Mail Review § Deputy Postmaster General convened an Election Mail Task Force to ensure the smooth processing of Election and Political Mail § Established Election Mail teams in each Area, District − Coordinators are local points of contact for mailers § Communicated to all employees − Conducted national webinars for each applicable functional area of USPS − Issued standardized employee talks 3

2012 Election Mail Review cont’d. § Implemented standard operating procedures (SOPs) − Utilized past best practices − Refined processes where needed § We monitored inventories − Tracked entered volumes to ensure on-time delivery − Ensured volumes met required delivery dates in accordance with service standards 4

2012 Accomplishments Summary § Trained USPS Sales Organization § Facilitated several Election Mail Webinars § Political Mailer Outreach – Over 400 people have attended our various webinars and meetings. § National Election Official Organization Outreach § Sales : Measurement Period - October FY 12 through November 8 th, FY 13 Revenue $507, 548, 429. 92 Volume 2, 804, 162, 469* * Volume and Revenue numbers include both political and election mail 5

2012 Accomplishments Training § Created and posted step-by-step training program for election officials “Election Mail: Tips, Tools and Tactics for Successful Mailing” on blue pages, usps. com and Sales Force Resource Communications § Developed and published the Postal Bulletin Cover Story (Kit) on Election Mail and related Operations § Developed the 2012 Election Mail™ Program Kit § Updated all election and political marketing collateral 6

Network Rationalization Update Today’s Changing Postal Service Network Rationalization plan announced May 17 § Phase 1 began July 2012 § Phase 2 begins February 2014 Phase 1 includes consolidating 140 processing centers § 46 processing center consolidations took place July – August 2012 § 82 processing center consolidations scheduled for January-July 2013 Self-imposed moratorium on consolidations § September through December of 2012 7

Network Rationalization Update Implementation Plan Full Consolidation To be completed by July 1 st Originating Only Destinating Only Total 27 8 47 82 https: //ribbs. usps. gov/importantupdates/NRWinter 2013. xls *Count based on plant and not ZIP Codes. 8

2012 Challenges Issues Mediation Plan New York and New Jersey absentee ballot processing (delayed due to Hurricane Sandy) USPS recovered and/or rerouted ballots from storm damaged facilities Local USPS staff worked closely with Election Officials regarding alternate PO locations State legislation not aligned with Federal Postal Regulation or USPS Policy regarding insufficient postage/ shortpaid ballots Require Registrar of Voters to notify voters regarding proper postage due within ballot preparation materials Expectation of service level (for example, paying non-profit standard price and expecting FCM service) Communicate earlier with more frequency regarding service level relative to Mail Class Paid for by mailer 9

2012 Challenges Issues Mediation Plan Clear communication of final drop dates Obtain Military and State Department final drop dates Communicate earlier and more frequently Clarification of required signature of Current Business Mail Acceptance mailers dropping after final dates (BMA) SOP which notes that Official Election Ballot Mailings accepted after October 15 must be documented using the Late Submitted Official Election Ballot Mail Log. Mailer signature is not required. 10

2012 Challenges Issues Mediation Plan Are Postmasters or Postal employees authorized to witness and sign absentee ballots Postal employees are not required by Postal regulations to witness or sign absentee ballots. Performing this function is not within the scope of a postal employee’s duties. Low Scan Rates Noted issues; bad addresses, tabbed mailpieces, non-compliant mailpiece designs, and inaccurate mailer expectations regarding Standard Mail service level Frequent promotion of Mail. Piece Design Analyst and Local Election Mail Resources to ensure compliance Communicate earlier with more frequency regarding service level relative to Mail Class Paid for by mailer 11

2012 Challenges Issues Mediation Plan Military Post Office 11 -Do. D inbound express mail entered into regular mailstream Change 11 -Do. D label to express mail packaging unique for Do. D to ensure EM product stays in EM network Military Post Office 11 -Do. D inbound express mail tracking gap between overseas acceptance scans and stateside EM network scans Create piece-to-bag level tracking at military scan hubs and origins to track EM sacks through GBS network and into stateside EM network Registrar of Voters expectations regarding postage and certificate of mailing fees being waived on overseas and military mailings Communicate earlier with more frequency - The mailer does not pay for postage on the mailing. However, if the mailer requests extra services such as Certificates of Mailing or Certified Mailing, costs for these services are not waived 12

2012 Challenges Issues Mediation Plan Availability of Voter Registration Materials on Postal Premises USPS policy changed to not allow display of Voter Registration Materials After Election Official feedback USPS reverted to previous policy Quality of Cancellation Illegible or missing postmarks are an issue Remedial processes have been implemented Mail piece Design Requirement Challenges Frequent promotion of Mail. Piece Design Analyst and Local Election Mail Resources to ensure compliance Registrar of Voters created a non facsimile version of a mailing certificate – Mailer expectation was for Postal Service employees to sign Communicate earlier with more frequency – The USPS does not recognize or accept non-facsimile Postal Service documents 13

Election Mail Postage Options First-Class Mail Standard Mail Open to Inspection No Yes Service Standard 1 -3 2 -9 36 - 46¢* 7. 2 – 17. 0¢* by the ounce** up to 3. 3 oz No Yes/No Yes Feature Pricing Price Content Restrictions Sortation *2013 Prices effective January 27, **For presorted First-Class Mail letters, the 2 nd ounce is free (as of Jan. 22 nd, 2012) 14

Move Update Proposed Change § Pay As You Go Move Update method § Mailers would incorporate a specific Service Type ID in the IM barcode § Indicates the mailer will pay the price for pieces to be forwarded or returned when they've mailed with known old addresses Status § Federal Register Notice has not been published yet § Pricing is not yet determined § Expect the FRN to be published this month or next 15

Temporary COAs Change § Return code 19 Found COA: – New Address not ZIP + 4 coded, New address primary number not Delivery Point Verification confirmable or Temporary Change of Address 4 Mailer may choose to mail to the old address and allow the mail to be forwarded to the new address (or dispose as waste in the case of unendorsed STD), or suppress that address for a particular mailing Status § Temporary COAs have been added to the NCOAlink data beginning with product release 1065, January 28. Temporary COAs will only be included in the 48 -month NCOAlink product. 16

Task Force Publication Task Team 16’s Recommendations § Pertain to information in the mailing address that indicates that an address is a non-physical address, like a CMRA or the new USPS offering (Move To Competitive) where PO Box holders pay for the use of a street-style address Status § Eight recommendations have been provided to USPS management for consideration § USPS has not yet made any decisions to take action on these recommendations 17

Automation Pricing Eligibility Intelligent Mail barcode (IMb) § Effective 01 -28 -2013, an Intelligent Mail barcode (IMb) is required for automation price eligibility for letters and flats. POSTNET will no longer be eligible for automation prices. § In addition, Permit Reply Mail and Qualified Business Reply Mail (QBRM) will be required to have an Intelligent Mail barcode. § For more information: § See the Intelligent Mail® Services section of RIBBS. 18

Postal Recommendations Work with your Local Election Mail Support Team § Find Postal Election Mail Experts – From Planning to preparing an election mailing. US Postal Service Election Mail Coordinators provide the assistance Election Officials need. www. usps. com/electionmail § Learn where to drop off government and election mail. Find a Business Mail Entry Unit: https: //ribbs. usps. gov/locators/findbme. cfm § For assistance with mailpiece design, contact a Mailpiece Design Analyst (MDA) by calling the MDA Support Center at 855 -593 -6093 (hours of operation are Monday–Friday, 7 a. m. – 5 p. m. CT) or by sending your request by e-mail to mda@usps. gov. Also, mailpiece design information is available online at http: //pe. usps. com/mpdesign/mpdfr_intro_all. asp

Election Mail Objectives U. S. Postal Service § Committed to working with Election Officials to ensure smooth processing – Continue partnership with state and local Election Officials § Ensure the needs of military and overseas voters are met § Support State and Local Election Officials with their Vote-by-Mail programs 20

Questions? 21

Thank you Questions and additional comments, please contact: Election. Mail. Program. Manager@usps. gov 22