US Postal Service processing network too big - GAO report - Reuters The U.S. Postal Service has more mail-processing facilities, staff and equipment than it needs as mail volumes drop, a government watchdog said in a report calling on Congress to pass legislation that helps the agency address its dire financial situation. "It is now abundantly clear that the postal business model must be fixed given the dramatic and estimated decline in volume, particularly for First-Class Mail," the Government Accountability Office said in the report published on Thursday. Mail volumes are projected to continue falling, while automation improvements have made mail sorting more efficient. In addition, many businesses now drop off mail in the area where it will be delivered, bypassing most USPS processing, the report said.