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USPS to test grocery delivery service

The United States Postal Service Regulatory Commission approved a project that would allow postal service trucks to deliver groceries on a part time basis.

A two year trial run will be tested the San Francisco area and will partnered up with local participating stores to make drop offs between 3 a.m. and 7 a.m. The regulatory commission also approved an exemption that would let the Postal Service to exceed its $10 million capped annual revenue with hopes to expand the project.

With the well-known struggles the USPS has experienced the commission is hoping that offering customized delivery service will enable an extra revenue stream. The commission pointed to the popularity of car services like Uber and Lyft and expressed the need to adapt to a changing economy.

Due to the Postal Service’s large operational reach, some groups have opposed the measure. The Taxpayers Protection Alliance have vocalized their disapproval by stating that this will provide USPS with an unfair advantage. U.S. Federal Codes currently prohibit the Postal Service from creating any program that gives itself a competitive edge.

In 2013 the Postal Service had an agreement with Amazon that would allow online retailers to send packages on Sundays without a fee. If successful in San Francisco, the Postal Service hopes to expand their delivery service nationwide.

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