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USPS OIG – Fleet Modernization – Charging Station Construction Design and Deployment Timelines

Background

As part of its Delivering for America plan, the U.S. Postal Service is purchasing and deploying approximately 66,000 electric vehicles and charging stations to support its delivery fleet modernization. The Postal Service generally combined this rollout with its efforts to convert plants into consolidated sorting and delivery centers. It planned to use excess power from converted plants to reduce power upgrades and scheduling risks. The Postal Service expects to complete construction at 130 sites by the end of 2024 and to deploy electric vehicles at an estimated 800 sites by 2028. As of March 26th, 2024, the Postal Service confirmed it completed construction and commissioning at six sites.

What We Did

Our objective was to assess charging station infrastructure deployment timelines. We evaluated construction schedules for the first 29 activated sorting and delivery centers and interviewed facility staff. We also reviewed the Postal Service’s process for construction schedule estimation and tracking changes to its project schedule.

What We Found

The Postal Service experienced nationwide charging infrastructure delays. The 29 sites were delayed by an average 219 days compared to its June 2023 baseline schedule. Postal Service staff noted challenges that contributed to these delays, such as weather, utility-specific equipment standards, and utility coordination. However, they did not factor in these foreseeable issues when scheduling, follow schedule management best practices to establish an informed baseline, or use an overarching project management system. Such a system would provide the Postal Service automated tools to collect, analyze, and use information to meet its objectives. To expedite adopting these best practices, the Postal Service should explore obtaining consulting support to evaluate lessons learned, as early delays jeopardize its ability to use electric vehicles, achieve aggressive business objectives, and drive fleet-related sustainability goals.

Recommendations and Management’s Comments

We made three recommendations to improve charging station construction deployment processes. Postal Service management’s comments and our evaluation are at the end of the finding and recommendations. The U.S. Postal Service Office of Inspector General views management’s disagreement with recommendation 1 as unresolved and will work with management through the formal audit resolution process. We consider management’s comments responsive to recommendations 2 and 3 and corrective actions should resolve the issues in the report.

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