**GAO-07-244**                      Published: Feb 16, 2007. Publicly Released: Feb 16, 2007.                  

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## Highlights

The U.S. Postal Service (the Service) is dependent on fuel to support its mail delivery and transportation networks, as well as to heat and operate the over 34,000 postal facilities it occupies. The Service has been challenged by recent fuel price fluctuations, and the Postmaster General stated that gas prices were a primary reason for the proposed 2007 postal rate adjustment. Based on this challenge, Congress asked GAO to review (1) how the Service's fuel costs changed recently and the impact of these cost changes on the Service's financial and operating conditions, and (2) how the Service's actions to control fuel costs and mitigate risk compare to leading practices and federal requirements. GAO collected fuel cost and price information; interviewed Service fuel officials; and compared the Service's actions against leading practices and federal requirements.

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## Topics

Government Operations

Cost analysisCost controlData collectionData integrityEnergy costsFinancial analysisFuel consumptionFuel pricesMail transportation operationsManagement and operating contractsPolicy evaluationPostal facilitiesPostal ratesPostal service