Briefs


Postal Service Must be Put on Sustainable Fiscal Path

U.S. Senator Scott Brown (R-MA) released the following statement after a Homeland Security and Governmental Affairs Committee hearing (HSGAC) on proposals to avert a postal shutdown:

“I appreciate the Postmaster General’s efforts to provide Congress with a plan for further reducing costs. We must move the process forward in a responsible way that is sensitive to the needs of communities and small businesses and [one that] recognizes the valuable service of postal employees. I am confident that Congress can find a reasonable set of proposals that will finally put the Postal Service on a sustainable fiscal path while continuing to support employees, communities, and businesses alike.”

The Postal Service is currently set to lose over $9 billion this fiscal year. It is so low on cash that it will default on a $5.5 billion payment due for retiree benefits or risk not making October’s payroll. The Postal Service’s most recent package of cost-cutting proposals aims to reduce agency expenses by $20 billion by 2015. The package includes a combination of legislative changes, workforce reductions, and service changes, including elimination of Saturday delivery service.

Brown, ranking member of the HSGAC Subcommittee on Federal Financial Management, which has oversight over the Postal Service, asked the Postmaster General during the hearing to explain how the new proposals will actually impact service to communities and the $1 trillion mailing industry.