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USPS award contracts worth $37 million to update PARS, FSS and AFSM Systems
Posted On: Oct 14, 2014

As reported on PostalReporter.com

The United States Postal Service awarded Siemens Dematic a $240 million contract for the Postal Automated Redirection System (PARS) in 2006 to optimize its letter forwarding process. The order also included the national deployment of a new change-of-address forms processing system.

In 2010, USPS awarded Siemens Industry Inc. of  Arlington, Texas, a  contract valued at $79,986,000 for Postal Automated Redirection System (PARS) software and computer hardware enhancements.

Recently, USPS awarded SIEMENS POSTAL PARCEL AND AIRPORT LOGISTICS LLC a contract to update the Postal Automated Redirection System (PARS).  According to USPS it has  a “requirement for continuation of the Postal Automated Redirection System (PARS) to provide additional performance improvements to the system and address end of life issues with the software operating system which runs the application.” PARS Phase 5 is for software performance improvements. The contract is worth $34,779,250.00. Siemens up until last year was one of USPS’s top ten suppliers. But last year Siemens’s fell from #5 to #32 in rankings.

USPS award contracts worth $37 million to update PARS, FSS and AFSM Systems

Also, 21st Century Software Inc. was awarded a non-competitive contract modification for hardware engineering support services through September 30, 2015. The value of this award is $2,330,874.00. 21st Century Software Inc. is the incumbent supplier for research and development activities and support primarily related to flats sorting machines. Most of the contract value is for engineering labor support services for development of system enhancements to the Flats Sequencing System (FSS) and to the Automated Flat Sorting Machine (AFSM100); however, there are some limited opportunities for hardware subcontracts for the prototype kits that 21st Century develops.

Intralox LLC- $2,351,119.00 – High Speed Universal Sorter

The Washington Post reported that USPS  awarded Northrop Grumman a contract valued at $30 million. However, Northrop Grumman was awarded a contract with 5 other companies which totals $30 million.

As a side note, some readers were surprised USPS is still awarding Northrop Grumman contracts after they filed a lawsuit in 2012.
Northrop Grumman claims in the lawsuit that USPS owes it about $180 million. The Postal Service claims the company owes it $341 million. The lawsuit is still ongoing with exchanging documents and getting ready for witness depositions.  After the lawsuit was filed in 2012, USPS awarded Northrop Grumman a 3-year,$30 million  contract  to operate its central repair facility in Topeka, Kan. Northrop Grumman has operated the facility continuously since 1978. Northrop Grumman is ranked seventh in the annual list of USPS top suppliers for FY 2013.


 
 
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