National Change-of-Address Linkage System - NCOA Link USPS Confidential. Restricted Distribution

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution PURPOSE OF TODAY’S BRIEFING Advise you of a new, secure change-of-address technology developed by Address Management Demonstrate how NCOA Link supports current USPS ® (United States Postal Service ® ) and Mailing Industry Task Force initiatives

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution SECURE DATA STORES BREAKTHROUGH “TECHNOLOGY” NCOA Link represents a breakthrough technology for securely storing data Massive volumes data can be released in a manner that allows “revelation” to occur only in accordance with presentation of valid “authorizing” request USPS has a patent application being processed for this new technology

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution Value of the National Change-of-Address Program: “Conversely, the rehandling costs avoided by USPS in FY 1998 as a result of not having to forward mail when individuals, families, and businesses move was estimated at $1.194 billion.” 1 1 Grant Thornton LLP Performance Audit of the National Change of Address Program, March 1999, Contract # GS-23F-8196H, Pg. 4 (Performed on Behalf of the Office of Inspector General) NATIONAL CHANGE-OF-ADDRESS (NCOA)

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution SAMPLE NCOA CHANGE-OF-ADDRESS DATA OLD SIDE JIM WILSON 5891 PLUM VALLEY DR MEMPHIS TN (91) NEW SIDE 512 KING RIDGE DR COLLIERVILLE TN (12) This example represents a typical customer change-of- address. This is also typical of the “text’ representation shown in NCOA.

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution SAMPLE NCOA LINK CHANGE-OF-ADDRESS DATA OLD SIDE Not present within NCOA Link data format NEW SIDE a7 52 f2 22 0a This example represents what a typical customer change- of-address will look like within the NCOA Link System.

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution SECURE HASH ALGORITHM (SHA) The Secure Hash Algorithm (SHA) is a FIPS standard, data encoding technique that produces a mathematical value unique to every name/address combination presented To build the NCOA Link database, we combine the customer name and pertinent address data: JIMWILSON

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution STANDARD HASH ALGORITHM We then generate a SHA of the information, producing our “NCOA Link Search Key” Hexadecimal Representation: (20 Bytes) 80 e8 10 8d c4 ea 0d 2a 41 8c 8e b c3 9c 1a c8 63

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution “HIDING THE NEW SIDE ADDRESS DATA” This is the NCOA Link KEY that will be used: By USPS to install data representing customer’s new address into 8 separate hash tables By customer to retrieve the data required to reconstruct the new-address text No physical relationship between the data stored into the 8 tables exists

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution “RETRIEVING THE NEW SIDE ADDRESS” Customer processes their address data according to USPS prescribed method: Generates SHA using name and address data the same way USPS did in creating the NCOA Link database

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution RECREATING THE NEW-ADDRESS INFORMATION After the new-address DPBC is derived, a reverse lookup into the ZIP+4 ® database using the DPBC produces the new-address text: King Ridge Dr Collierville TN

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution SATISFIES OF GAO RECOMMENDATIONS Removes potential that Change-of-Address information can be “data-mined” Complies with Title 39 prohibition and Privacy Act restriction regarding release of name and address data

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution EXTERNAL SECURITY EVALUATION (EXCERPT) “Using only the NCOA Link files it is considered completely infeasible (that is essentially impossible) for anyone to directly reconstruct the COA files (name, old address, new address and associated data).” “The possibility of forwarding mail in error when it should not be forwarded due to the design of the COA/Link system has been assessed as negligible (essentially zero).”

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution EXTERNAL SECURITY EVALUATION (EXCERPT) “This is an improvement (in terms of security) and a 1000 times better than the current system.” “Using only the NCOA Link files it is considered infeasible to unambiguously reconstruct even one output record.”

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution USPS Transformation Plan Growth through Added Value to Customers  Work with customers … to improve the overall accuracy of address information SUPPORTS KEY USPS/MAILING INDUSTRY INITIATIVES

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution Mailing Industry Task Force To make the mail channel increasingly competitive with other communications media  … improving address quality  Encourage mailers to use methods to correct addresses prior to mail entry  Determine if it is feasible to establish a linkage between “intelligent” mail and address quality SUPPORTS KEY USPS/MAILING INDUSTRY INITIATIVES

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution SUPPORTS PMG “KEEPING OUR FOCUS” KEEPINGOURFOCUS IMPROVING SERVICE 4. Develop new systems MANAGING COSTS 3. Must show we are doing everything possible to hold down our costs and theirs GROWING REVENUE 5. Develop new products and services

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution MILESTONES 4 Concept to mitigate risks 4 Provisional Patent 4 Third Party Security Evaluation 4 Alpha Test with NCOA vendor 4 Internal USPS strategy team 4 Beta Test with NCOA vendors Pilot Test (in process) Price Determination Legal Document/license Data Sets Commercially Available

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution ALPHA TEST DELIVERABLES Evaluate the ease of building an interface Confirm the product does work (does produce changes of address and is secure) Validate that the operation of NCOA Link does not “break” any existing systems Submit recommendations for improvement to development or developer guide documentation

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution BETA TEST DELIVERABLES Evaluate the ease of building an interface Parallel test with NCOA processing Evaluate “NIXIE” codes Evaluate throughput and minimum computer requirements Submit recommendations for monthly reporting requirements Submit recommendations for improvement to development or developer guide documentation

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution PILOT TEST DELIVERABLES Determine processing times per platform Compare results from NCOA to NCOA Link Modify product based on results of pilot Provide feedback for performance requirements and reports

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution STEPS IN PROCESS Determining pricing Working with vendors Developing license agreements

NCOA Link PRODUCT OVERVIEW USPS Confidential. Restricted Distribution NEXT STEP Release product July 1, 2003