Latest News from. Congress also should direct the USPS to further increase prices on parcels, which USPS is free but sometimes hesitant to do. The next bailout needs to match money with some long-overdue reforms. All told, these reforms would cost American taxpayers around $16 billion — far less than the massive bailouts proposed to date. April 16, 2018. Legislation already exists to make this happen, and it can be cut and pasted into the rescue package. Third, the USPS should be authorized to raise its prices a little more — after the Covid-19 economic downturn ends. POST OFFICE DEFICIT ABOUT $10,000,000; Burleson Says Exact Figures Are Not Ready, but for Nine Months It Was $8,000,000. The USPS should remain free to continue delivering parcels on weekends so long as it actually makes money on them. Studies done some years back indicate cutting a day of mail delivery could trim $1 billion or more in USPS costs annually. At the same time, the crisis is threatening to wipe out the Postal Service financially. On the whole, it did not go well. All of the spending increases he has authorized since taking office have been financed by U.S. government funds. Presently, the law limits price increases for most paper mail to the consumer price index. Last week, USPS leadership tried again, telling the House Oversight and Government Reform Committee that the agency needed an eye-popping $75 billion to avoid going belly up. Here’s a straightforward plan for how it could work, which would require only modest changes to law and would share the burden between the biggest stakeholders: the public, USPS workers, and the mailers and shippers who pay the USPS’ operating costs. Seventh, and finally, postal operating costs tend to go up because collective bargaining always produces agreements that raise compensation costs. Congress could appropriate $5 billion to the agency to use to give 100,000 of the most senior employees $50,000 buyouts tax free. | Mario Tama/Getty Images. -- Postmaster General Burleson issued a statement today, in which he said: View Full Article in Timesmachine », See the article in its original context from. This is in part the fault of USPS leadership, which played its cards badly in the run-up to the recent $2 trillion Coronavirus Aid, Relief, and Economic Security Act (CARES Act). This change is way overdue — USPS cannot be expected to survive if most of its overhead cost is uncontrollable, especially in an era of lower demand for mail. The Position of the Post Office Savings Bank and How to Deal With Its Deficit of £11, 000, 000 (Classic Reprint): Marks, Alfred: Amazon.com.au: Books Postal Service is too big to fail. UPDATE: Some text in the final paragraph has been revised. Us Post Office Budget Deficit. Any reform effort may have to come via the next Covid-19 legislation, which means the reforms need to be straightforward and packaged to draw support from the right and the left. Sixth, the Treasury should forgive the USPS’ present debt, which is around $10 billion. 13 From facilitating the nation’s largest one day food drive, to working with customers to prevent dog bites, to educating customers on consumer protection, to delivering holiday cheer to those in need, the Postal Service supports communities nationwide.. 12 Veterans. Which has not happened in the post office’s two-century ... of the more than $40 billion in its retiree health benefits fund in index funds. When the agency’s regulator gave it a 4.3 percent “exigent rate increase” in 2015 and 2016, the post office reaped an additional $4.6 billion in revenue. Again, demand for paper mail has plunged, and it is financially irresponsible to force mail carriers to haul mostly low-margin advertising mail more than five days per week. Most federal pension dollars are invested much more broadly, and the USPS should be authorized to invest some of the more than $40 billion in its retiree health benefits fund in index funds. Postal Service. Deficit Trends . ; Scottish Gaelic: Oifis a' Phuist) is a retail post office company in the United Kingdom that provides a wide range of products including postage stamps and banking to the public through its nationwide network of post office branches. It's time for the public to demand that Congress act to end the crisis. The Postal Service Lost $3.9 Billion Last Year Despite a $1 billion increase in revenue, unsustainable personnel costs pushed USPS' losses to such great heights. How George Bush broke the Post Office. Key Takeaways The current U.S. federal budget deficit is projected to be $3.3 trillion, according to the CBO. Postmaster General Megan Brennan should get on Zoom and give a public presentation that shares the data on where mail volume, revenue and operating costs are and where they are headed. By Dave Johnson. A crisis is being engineered to get people complaining about the "slow, inefficient" Post Office. Private delivery companies move a lot of packages, but don’t go to every household in the country; often they pay the USPS to carry small packages for the final stretch. With the economy already in a free fall, a shutdown of the USPS might just tip the country into a depression. Just wipe the books clean, because paying these debts is draining the Post Office’s cash, which should be invested in new delivery vehicles and overdue capital upgrades. , relief, and less expensive, replacement employees military veterans and one. 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