[2] Prior to 1845, transportation of inland mail, other than by railroad, was given to bidders who offered stage or coach service.
This was abolished by act of Congress on March 3, 1845, which provided that the postmaster-general should lease all such contracts to the lowest bidder who tendered sufficient guarantee of faithful performance, without any conditions, except to provide for due celerity, certainty and security of transportation.
"[3] The Star Route Frauds scandal involved a lucrative 19th century scheme whereby postal officials received bribes in exchange for awarding postal delivery contracts in southern and western areas.
Two previous congressional investigations into the Star Route frauds had occurred in 1872 and 1876 during the Grant administration.
Among the major players involved were some of the large contractors, Bradley Barlow, a former US Representative of Vermont, the Second Assistant Postmaster-General, some of the subordinates in the department, and Arkansas Senator Stephen W. Dorsey, who became Secretary of the Republican National Committee during James A. Garfield's 1880 presidential campaign.
There is some debate as to how much control the Postal Service can exercise over these contract routes and have them remain contractors.