Step 4 Settlement When Costing Rural Delivery versus Contract Delivery

This case involved management projecting the costing of rural delivery with a government vehicle so that the cost of CDS would show cheaper even though the Postal Service never intended to assign an LLV to the rural route. The parties agree that if management indicates that an Employer provided vehicle would be assigned when costing rural delivery versus contract delivery, the expectation is a vehicle will be available immediately upon conversion to rural delivery. The parties further agree that if a government vehicle will not be immediately available, the cost will be determined by using Equipment Maintenance Allowance.

You may view the Step 4 settlement letter here