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Staff Report 3.C 10/06/2014
DATE: TO: FROM: SUBJECT: Agenda Item #3.0 October 6, 2014 Honorable Mayor and Members of the City Council John C. Brown, City Manager Resolution Supporting the Retention of the United States Postal Service's North Bay Processing and Distribution Center in Petaluma [`7o1K1]►Ti�Tt�o i,LIZ:]�11��]iJ It is recommended that the City Council adopt the attached Resolution Supporting the Retention of the United States Postal Service's North Bay Processing and Distribution Center in Petaluma. ,I��eISZ�Ii1►i 17 In September of 2009, the U.S. Postal Service notified the City of its intention to conduct an Area Mail Processing (AMP) study of mail processing at the North Bay Processing and Distribution Center in Petaluma for the possible consolidation of some of its operations into the Oakland or San Francisco Processing and Distribution Centers. The U.S. Postal Service was facing a continuing decline in mail volume, and coupled with the economic downturn, indicated it needed to realign its processing and delivery network to match its resources in mail volume. It had an excess of equipment, staff and facilities and consolidating postal operations was an option it wanted to study given the economic realities. DISCUSSION Public meetings were held by the U.S. Postal Service on January 20, 2011 and July 12, 2011. On August 27, 2014, the City was notified that the AMP study was completed for the North Bay Facility and it determined that efficiencies and savings could be achieved by consolidating its mail processing operations with the Oakland facility, one of 82 sites nationwide. This decision was based on the best interest of the U.S. Postal Service if it was to remain viable to provide mail service to the nation, and would result in significant savings. From 2009 to 2011, mail volume had dropped from over 20 billion pieces to 43 billion pieces, forcing the Postal Service to propose an overhaul of its retail, processing and transportation networks. Consolidation will be completed by the fall of 2015, and every effort will be made to reassign impacted employees. The Bull: Mail Entry and Retail units located at the Petaluma facility will not be impacted. The City has written five letters of support to the U.S. Postal Service, to retain the Petaluma facility, from 2009 to the present (attached). The Council is asked at this time to approve a resolution of support to retain the Petaluma facility in order to keep jobs local, and to provide efficient postal service to Petaluma and the North Bay. ATTACHMENTS 1. Resolution 2. Letters of Support 2 ATTACHMENT 1 RESOLUTION SUPPORTING THE RETENTION OF THE NORTH BAY PROCESSING AND DISTRIBUTION CENTER IN PETALUMA WHEREAS, since 2006, the U.S. Postal Service (USPS) has closed 350 mail processing facilities. Faced with a drastic decline in mail volume and coupled with the economic downturn, the USPS needed to realign its processing and delivery network and eliminate excess equipment and facilities, and reassign or layoff staff, and WHEREAS, in September of 2009, the USPS notified the City of its intention to conduct an Area Mail Processing (AMP) study of mail processing at the North Bay Processing and Distribution Center in Petaluma for the possible consolidation of some of its operations into the Oakland or San Francisco Processing and Distribution Centers; and WHEREAS, after public meetings and the completion of the AMP study, the decision of the USPS was to consolidate the mail processing operations of the Petaluma facility with the Oakland facility to achieve efficiencies and savings, while retaining the Bulk Mail Entry and Retail units; and WHEREAS, the mail processing consolidations are expected to eliminate up to 15,000 Postal Service jobs nationally, and more than 220 jobs in Petaluma; and WHEREAS, loss of the mail processing operations in Petaluma will result in the delay of mail delivery to residents and businesses, including those who rely on the timely delivery of prescriptions and benefit payments; and WHEREAS, the decision by the USPS to take action on these consolidations is against the expressed intent of members of Congress representing Petaluma along with many Petaluma residents. NOW, THEREFORE, BE IT RESOLVED THAT the Petaluma City Council reaffirms its request to the USPS to not close the North Bay Processing and Distribution Center in Petaluma in order to retain local jobs and maintain the timely delivery of mail to residents and businesses. Pamela Torliatt Afapor Teresa Barrett David Glass N4ilce Harris Ni [cc Healy David Rabbitt Tiffany Renee Comrcdmembers Clip Afanager's Office - 17 English Street Petahnm, CA 94952 Phone (707) 778-4345 Fax (707) 778-4419 E -Mail c l}angr©ct perahnna. ca. us 6 Flouring Division Phone (707) 778-4555 Fax (707) 778- 4586 E -Afar( bgaeblerQa ci.petaluma.ca.us Hunan Resources Division Phone (707) 778-7534 Fax (707) 778-4539 E-Afail hmnanrescurcesQa ci.pelahana.caaa formation Technologr D[niRlal Phone (707) 778-4417 Far (707) 776-3623 E -Mail ika)ci. pe tal oma. ca us Risk Afanagement Division Phone (707) 776-3695 Far (707) 776-3697 E -Mail rislaugl&i.petahnna. ca its 0 rnuu �musinc onvanrunrtr CITY OF PETALUMA POST OFF(CE BOX 61 PETALUMA, CA 94953-0061 November 2, 2009 Winifred G. Groux United States Postal Service P.O. Box 885050 San Francisco, CA 94188-5050 RE: North Bay Processing and Distribution Center in Petaluma Dear Ms. Groux, Thank you for your letter of September 17, 2009, regarding the intent of the U.S. Postal Service to conduct an Area Mail Processing study of mail processing at the North Bay Processing and Distribution Center in Petaluma. The City of Petaluma supports retaining the Petaluma facility in order to keep jobs local, and provide efficient service to Petaluma residents. The North Bay has grown considerably in population and service needs, and keeping a facility in Petaluma will facilitate future growth as well. Thank- you for your consideration. Pamela Torliatt Mayor cc: Rep. Lyim Woolsey, U.S. Congress AL CITY OF PETALUMA I ) POST OrFICE Box 61 PETALUMA, CA 94953-0061 j85$ Pamela Torlialt Alavor Teresa Rarrctt October 12, 2010 David Class Mike Harris Mike Healy David Rabbitt Tiffany Rcnee Cmrncilrncmhers Winifred G. Groux United States Postal Service P.O. Box 885050 San Francisco, CA 94188-5050 RB: North Bay Processing and Distribution Center in Petaluma 1150 N. McDowell Boulevard, Petaluma Dear Ms. Groux, Cig, Alanager',s Office Il English street It is our understanding that the USPS is still considering moving some or all of Petahana, CA 94953 Petaluma's mail processing to Oakland as part of a money -saving consolidation. Phone (707) 778-4345 We appreciate that the post office portion of this facility will remain open Fax (707) 774-4419 regardless of an consolidation. However, over 300 workers will be displaced b e-eratt g Y P Y crryvngr&ipetalunutcaus moving operations, and mail service in four counties will be affected. We appreciate the difficult economic challenges facing the USPS. The City of Hna7) Division778-1555 g Y Phone (7007) Petaluma is facing similar difficult circumstances that will be exacerbated b such Far (707) 778-4586 a significant loss of jobs. The City of Petaluma supports retaining the Petaluma E -Arm; facility i bgaeblerQa ci.petalumacaus n order to keep jobs local and provide efficient service to Petaluma residents. The North Bay has grown considerably in population and service Human Resources Division needs, and keeping a facility in Petaluma will facilitate future growth expected Phone (707) 778-4534 not only in Sonoma County, but also in Marin, Mendocino and Lake counties. F= (707) 778-4539 E -Mail humanresources® Thank - u for your consideration. cipetahmm.ca. us �. Sincerely ; 6ejnnrtatinn hone (707) 778-44 Phone (707) 778-441'R �� 7 Fac (707) 776-3623 p E -Mail R a&i.petaluma.ea.us 1 amela Torlialt Risk Aranagernent Division Mayor Phone (707) 776-3695 Fac (707)776-3697 E -Mail cc: Rep. Lynn Woolsey, U.S. Congress riskingt©ci petahuna.ca.us enuuxauvnw orvonrmnrr Sp'z'U� m City of Petaluma i1 English Street e Petaluma, CA 94952 185$ January 27, 2011 Ms. Rosemarie Fernandez District Manager, San Francisco District United States Postal Service P.O. Box 885050 San Francisco, CA 94188-5050 RE: North Bay Processing and Distribution Center 1150 N. McDowell Boulevard, Petaluma Dear Ms. Fernandez, On behalf of the entire City Council, I want to reconfirm that the City of Petaluma supports retaining the Petaluma facility to keep jobs local and provide efficient service to Petaluma residents. I have attached the two letters previously sent to Winifi-ed Groux of the San Francisco office. We are concerned about the loss of local jobs, and the loss of customer service to the North Bay region, and while we appreciate the challenging financial situation the USPS is facing, we are hoping there are other options available to the USPS instead of closure of the facility. Thank you for your consideration. Sincerely, David Glass Mayor Enclosures David Glass Alavor CITY OF PETALUMA POST OFFICE Box 61 PETALUMA, CA 94953-0061 Chris Albertson Teresa Barrett Mike Harris October 6, 2011 Mike Healy Gabe Kearney Tiffany Renee Cmnrcilmembers Ms. Rosemarie Fernandez District Manager, San Francisco District United States Postal Service P.O. Box 885050 San Francisco, CA 94185-5050 RE: North Bay Processing and Distribution Center 1150 N. McDowell Boulevard, Petaluma City Manager's Office Dear Ms. Fernandez: lI English Street Petaluma, CA 94953 It is our understanding that the USPS is still considering moving some or all of Phone (707) 778-4345 Petaluma's mail processing to Oakland as part of a money -saving consolidation. Far (7/07) nEMI l On behalf of the entire City Council, I want to reconfirm that the City of Petaluma c,gangr©ci patabmm.ca.us supports retaining the Petaluma facility to keep jobs local and provide efficient service to Petaluma residents. Rowing Division Phnna (707) 778-45.55 We are concerned about the loss of local jobs, and the loss of customer service to Fac (707) 778- 4586 the North Bay region, and while we appreciate the challenging financial situation E -Mail bgaebler@ci.pclaI=a.ca.us the USPS is facing, we are hoping there are other options available to the USPS instead of closure of this facility. The City of Petaluma is facing similar difficult Human Resources Division circumstances that will be exacerbated by such a significant loss of jobs. The Phone (707) 778-1534 City of Petaluma supports retaining the Petaluma facility in order to keep jobs Far (70 7) 778-4539 E-Alail local and provide efficient service to Petaluma residents. humanresmacesQa . ci.petaluma.ca.as Thant: you for your consideration. Information Technology Divfaiaa Phone (707) 778-4417 Sincerely, Fa (707) 776-3633 E -A -Tail aoaci.petnhnna.ea.us Risk dfanagemeat Division Phone (707) 776-3695 David Glass Faz (707) 776-3697 E -Arae Mayor ri skrngt(6ki. pe tah ona. ca us Pnunsxauvnc OPPOxt�xltY CITY OF PETALUUMA POST OFFICE Box 61 PETALU+NIA, CA 94953-0061 David Glass It is our understanding that the USPS is still considering moving some or all of Mayar Petaluma's mail processing to Oakland as part of a moncy-saving consolidation. Chris Albertson On behalf of the entire City Council, I want to reconfirm that the City of Petaluma Teresa Barrett August 6, 2014 Mike Harris and provides efficient service to Petaluma residents. Mike Healy Gabe Kearnev Kathy Miller Although, Petaluma is beginning to see the employment benefits of economic Cm+ncilmemhers Ms. Rosemarie Fernandez District Manager, Salt Francisco District United States Postal Service 6:conomicDnctelnneru Phone (707) 778-4549 P.O. Box 885050 Faz(707) 7784686 San Francisco, CA 94188-5050 RE: North Bay Processing and Distribution Center 1 150 N. McDowell Boulevard, Petaluma Dear Ms. Fernandez: It is our understanding that the USPS is still considering moving some or all of Petaluma's mail processing to Oakland as part of a moncy-saving consolidation. 4Yty hfarrager's Office On behalf of the entire City Council, I want to reconfirm that the City of Petaluma 1I DiglisHStmet Petairenm. ca 94952 continues to support retaining the Petaluma facility. Doing so keeps jobs local and provides efficient service to Petaluma residents. Phone (707) 778-4345 Fax (707) 778-4419 L{jl:n! j'l�a''C{IJeIIIILn:Q p/.lIS Although, Petaluma is beginning to see the employment benefits of economic recovery, we are concerned about the fragility of the recovery. The USPS is an important employer in Petaluma and losing more local jobs from that source will be as hurtful to the economy as it will be to customer service to the North Bay 6:conomicDnctelnneru Phone (707) 778-4549 region. While we appreciate the challenging financial situation the USPS is Faz(707) 7784686 facing, we hope that the benefits of economic recovery are extending to the USPS and that there may now be other alternatives to closing this facility. To reiterate, HoasiagDlvistan the City of Petaluma supports retaining the Petaluma facility in order to keep jobs Phone r707) 778.4555 local and provide efficient service to Petaluma residents. Far {707) 778- 4586 hinma++ Resources Dividon Thank you for your consideration. If you have any questions, or we can be of any Phone(707)778-4534 assistance to you, please do not hesitate to contact me, Fax (.707t 778-4539 Information Technology Division Sincerely, (707) 778-4417 Fur (707) 776-3623 Rill: Alanage+nealDivislon- Phone(707)776-3695 David Glass Fav (707) 776-3697 Mayor m