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Officials blast Postal Service's cost analysis

The average daily volume to be transferred to Sioux Falls is 539,706 pieces of mail.

The Postal Service also accepted bulk business mailings with $4.8 million in revenue in the past year. No change in hours of operation would be needed. About 97 percent of the mailers take advantage of the discounted postage rate, with savings ranging from 18 to 34 percent. There will be no change to collection box pickup times.

Other impacts:

Transportation: Numerous changes would be required, including service to Nebraska and Fort Dodge, Iowa, would be eliminated. Transportation between Omaha and Sioux City would be eliminated. Additional transportation would be added between Sioux City and Sioux Falls. Annual savings: $157,180.

Staffing: Projected changes show a net reduction of 22 "craft" employees, with Sioux City losing 75 workers in that category and Sioux Falls gaining 53 craft positions. Another six jobs in Sioux City would be cut and one of those positions would be transferred to Sioux Falls. One-time costs to cover potential employee relocation: $150,000.

Sioux City building: The 87,396-square foot building the postal service owns on Murphy Drive would be sold.

Sioux Falls center: Would require extensive modifications to accommodate additional equipment. Cost: $1,281,565 to pay for conversion of office area into a workroom floor, additional inspection service cameras, heating/air conditioning modifications and other building changes to accommodate mail processing equipment and transport system. Another $196,565 for one-time costs to cover the mail processing equipment relocation.

SOURCE: United States Postal Service final study

 SIOUX CITY - Sioux City leaders, finally in possession of a heavily redacted study justifying the closure of the city's mail processing and distribution center, are disputing the U.S. Postal Service's contention it will save $2.5 million a year by processing mail in Sioux Falls, S.D.