National Change-of-Address Linkage System - NCOA Link

1. National Change-of-Address Linkage System-NCOALink USPS Confidential. Restricted Distribution

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

3. SECURE DATA STORES BREAKTHROUGH “TECHNOLOGY” • NCOALink 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

4. NATIONAL CHANGE-OF-ADDRESS (NCOA) 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)

5. OLD SIDE JIM WILSON 5891 PLUM VALLEY DR MEMPHIS TN 38141-6826 (91) NEW SIDE 512 KING RIDGE DR COLLIERVILLE TN 38017-1705 (12) SAMPLE NCOA CHANGE-OF-ADDRESS DATA This example represents a typical customer change-of-address. This is also typical of the “text’ representation shown in NCOA.

6. OLD SIDE Not present within NCOALink data format NEW SIDE a7 52 f2 22 0a SAMPLE NCOALINK CHANGE-OF-ADDRESS DATA This example represents what a typical customer change-of-address will look like within the NCOALink System.

7. 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 NCOALink database, we combine the customer name and pertinent address data: JIMWILSON38141682605892000

8. STANDARD HASH ALGORITHM We then generate a SHA of the information, producing our “NCOALink Search Key” Hexadecimal Representation: (20 Bytes) 80 e8 10 8d c4 ea 0d 2a 41 8c 8e 99 56 86 8b c3 9c 1a c8 63

9. “HIDING THE NEW SIDE ADDRESS DATA” This is the NCOALink 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

10. “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 NCOALink database

11. 38017-1705-12 512 King Ridge Dr Collierville TN 38017-1705 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:

12. 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

13. EXTERNAL SECURITY EVALUATION (EXCERPT) • “Using only the NCOALink 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).”

14. EXTERNAL SECURITY EVALUATION (EXCERPT) • “This is an improvement (in terms of security) and a 1000 times better than the current system.” • “Using only the NCOALink files it is considered infeasible to unambiguously reconstruct even one output record.”

15. SUPPORTS KEY USPS/MAILING INDUSTRY INITIATIVES USPS Transformation Plan • Growth through Added Value to Customers • Work with customers … to improve the overall accuracy of address information

16. SUPPORTS KEY USPS/MAILING INDUSTRY INITIATIVES 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

17. SUPPORTS PMG “KEEPING OUR FOCUS” MANAGING COSTS 3. Must show we are doing everything possible to hold down our costs and theirs KEEPING OUR FOCUS GROWING REVENUE 5. Develop new products and services IMPROVING SERVICE 4. Develop new systems

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

19. 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 NCOALink does not “break” any existing systems • Submit recommendations for improvement to development or developer guide documentation

20. 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

21. PILOT TEST DELIVERABLES • Determine processing times per platform • Compare results from NCOA to NCOALink • Modify product based on results of pilot • Provide feedback for performance requirements and reports

22. STEPS IN PROCESS • Determining pricing • Working with vendors • Developing license agreements

23. NEXT STEP • Release product July 1, 2003