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089584 1 (1975-06-19)

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       RL,,SE          WASHINGTON. D.C. 20MW8

                                                     DEC 1 4 1973
B-114874


The Honorable Charles E. Bennett
House of Representatives

Dear Mr. Bennett:

    This report responds to  a letter to you from
Mr. J.A. Marable, dated July  30, 1973, concerning certain
Postal Service expenses for outfitting  its new headquarters
> u iding (commonly called the West Building) at L'Enfant
Plaza and for travel by the Postmaster  General.  Mr. Marable's
letter, which you sent to  the Department of Justice, was re-
ferred to us because we have overall  responsibility for re-
viewing the activities and operations  of the Postal Service.

COST OF FURNISHINGS

    The Postal Service will spend  about $48,500 to furnish
the Postmaster General's office  area and $130,600 to fur-
nish the official reception, press  conference, and Board
of Governors' areas,  The furnishings  are being purchased
primarily on a sole-source or negotiated-contract  basis
because, according to Postal  Service officials, there was
not sufficient time to solicit  competitive bids.

    The Postmaster General's office  area, on the 10th floor,
consists of  (1) the Postmaster General's office, which in-
cludes a lounge, a lavatory,  a conference room, and a pantry,
and (2) four administrative  staff offices, a reception room,
a receptionist's area, and  a lavatory.  The Postmaster Gen-
eral and 10 other Postal Service  employees will occupy these
areas,

    The Postal Service has spent  or will spend about $48,500
to furnish the Postmaster  General's office area.  (See
enc. I.)  These expenses are based  on actual purchase order
prices or contractor estimates.