For years, the USPS has operated under an unsustainable business model. Mismanagement has repeatedly pushed the US Postal Service to the verge of insolvency. Congress continues to “fix” the problem by pouring more money into the Postal Service without addressing the underlying cause.
Moreover, taxpayers are being asked to fund an organization that has billions of dollars in cash but is not compelled to pay any taxes to the government. The new Postal Reform Act does little to address these flaws or make life simpler for taxpayers. It offers extra unneeded subsidies to USPS’s competitive package industry and letter delivery.
The United States Postal Service (USPS) has been unable to keep up with our fast-rising population. Last year, during the hectic holiday season, the USPS lost more than $1.5 billion. The financial situation has deteriorated to the point that the USPS has been classified as a high-risk corporation since 2009.
For the past 13 years, the USPS has been rated as “high risk,” yet Congress continues to demand American taxpayers to bail it out. The Postal Reform Act cannot be passed in its current form by Congress. People need their MPs to incorporate reasonable, common-sense language that ensures their hard-earned money isn’t poured into the failing economic model of the US Postal Service. Subsidies for the sake of subsidies are not what reform entails.
Furthermore, postal reform entails identifying and addressing structural flaws inside the USPS and bringing the agency to speed with consumer expectations. For years, American consumer patterns have shifted, and decades-old company models are no longer applicable. Private package carriers have evolved with the times and their success is evident. Nothing prevents the Postal Service from doing the same. At present, politicians are the only thing standing in the way.
Instead of putting more public resources into a system people know doesn’t work, legislators in Washington have the opportunity to reform USPS truly. Common sense alternatives would improve and modernize the Postal Service, but they have not been included in the Postal Reform Act. Right now, their elected officials must vote “no” on this law.