When the price of first-class postage recently increased to 42 cents per ounce, many worried about the impact on state government’s already tight budget.
The increase could be considerable, given the high volume of state mail handled daily. But the Mail Service Center (MSC) actually processes mail for state agencies and eligible entities at a rate much lower than the U.S. Postal Service – and handles potentially hazardous contents, such as lab tests, that they and others will not – resulting in a significant cost savings for taxpayers. For example:
• In the 2008-2009 fiscal year, MSC processed 25.9 million pieces of mail on the auto sorter, saving the state more than $1.9 million in postage.
• MSC offers Courier service to every county in the state and to all state and county agencies, universities, community colleges and local governments. This service is provided at a 35 percent discount compared to U.S. Postal rates.
• The Courier service offers transport of hazardous materials that other carriers either will not transport or will transport at rate around 60 percent higher (on average) than MSC.
• MSC processed 1.5 million pieces of mail through the Courier Service in 2008-2009 fiscal year with an average savings of more than $1 million, not including the savings realized on hazardous materials deliveries.
MSC is proud of its role in reducing mail service costs during a difficult budget period and is working to develop more ways to both lower costs and increase efficiency.