Evening star. [volume] (Washington, D.C.) 1854-1972, 1898-09-09
GREAT SAVING FOR THE PEOPLE
stamped Envelopes Can he Sold Very
Cheaply Now.

CheapIy Now.
WITHIN short time it is expected that
the postmaster General will issue an order
reducing the cost to the public of stamped
envelopes and newspaper wrappers This
is made possible by the extremely low bids
received for doing the work The govern
ment does not seek to make money out of
the people in the sale of envelopes but
endeavors to put their price near the cost
There is slight advance in the price over
the actual cost of the envelopes. but this
Is necessary to cover the cost of landing
The act of Congress of July II, 1876, resu-
lates this. 1t provides:
NO stamped enyelope or nevsnsner
wrapper shall be sold by the Post otiica
department at less lin addition to the legal
postage) than the cost. including all sal
aries clerk hire and other expenses con-
nected herewith"
1t is interesting to note the irmansa
sums paid by the government for enyelopes
in the past. Not only has the government
suffered by lack of competition, but the
people have been made to nav more and
until other envelope-making concerns en-
tered the field the monopoly kept I'D the
prices. Thus in 1874 the price of the en-
Velope most used by the public was So 80
a thousand to the government and the
people had to pay $500 a thousand. The
profit to the government under those fig
ureS was 30 cents thousand and as over
5oo,ooO,ee0 are used, it will be seen an i'm
mense sum of money is paid out for this
item alone
-Four years ago (and the department is
now operating under this contracD the de-
partment awarded contract upon bid
OF Sl.3o a thousand for the same epyelone
and figured on selling them to the neonle
at SloO thousand. estimating its expense
Of handling at so cents thousand
1ne government will be enabled to fur
nish envelopes under the new contract at
a much lower pripe iS
the reduction will be in the neighborhoo6
OF Do cents a thousand. And when it is
recalled that the people win be able to pur-
chase bundle at the same proportionate
cost. it will be readily understood W-fat a
saving will be made
Under the new bid a man can go to any
post Office and purchase envelopes at S2I 30
thousand already stamped with tvo-cent
stamps. This Is approximately but IL cents
hundred for ts.e envelopes or to get it
, down much finer, only four cents for
package OF twenty-five envelopes of the
best government grade. 1t must not be for
gotten. of course. that the cost of the
stamps must be added. but there is no naer-
chant who can afford to compete with
Uncle Sam at these prices.
prominent post Office official in die
cussing the tangle which the department
got into by accepting a bid and making an
award which the courts have since held
amounted to a contract, and then rejecting
and regulating its action said:
Whatever the merits of the case are
one thing is certain Postmaster General
Smith took the only safe course in ddspos-
ing of the matter. There was a serious
question as to the legality of the award
in view of the specifications. which permit
ted two bids upon practically the same
thing. Understand. am not cfiticising the
specifications. for I think they opened the
gates and brought about legitimate com
petition. which had been impossible hereto
fore. because of the combination which
controlled the paper. There is another con-
siderafion, and to my mind an important
enc. The Reimbursement Of these pro-
posals has further reduced the cost to the
government. saving 1t thousands of dol
lars. and will be directly felt by the people
who buy stamped envelopes"
The schedule of the bids has been com
pleted- Under the new bids the govern
ment will save during the life of the con-
tract 81 ,283 .84S-64. Under the current con:
tract the government is paying $7s9 S3l ~
per annum for Its stamped envelopes and
newspaper wrappers. The new bid knocks
this down to $41s. 1868. 90 per annum.
And 1t must not be overlooked In con-
sidering these figures that the cost to the
people has been materially reduced, and
saves for them several hundred thousand
dollars