The USPS has not directly received taxpayer-dollars since the early 1980s with the minor exception of subsidies for costs associated with the disabled and overseas voters.
Since the 2006 all-time peak mail volume, after which Congress passed the Postal Accountability and Enhancement Act, (which mandated $5.5 billion per year to be paid into an account to fund earned employee retirement benefits, which is already a requirement that every US business with a pension follows.), revenue dropped sharply due to recession-influenced declining mail volume, prompting the postal service to look to other sources of revenue while cutting costs to reduce its budget deficit. The USPS lost US$ 5 billion in 2013, and its revenue was US$ 66 billion.
What happens when the minimum number of "viable" postal delivery hubs is inevitably raised? Local deliveries in rural areas will stop, you'll have to collect the mail with the groceries in the nearest town, then the nearest city....
I love the smell of face-palm in the morning!
"You ain't no Muslim bruv!"
Here are the facts:
In 2006, Congress passed legislation that required USPS to pre-fund – within 10 years – most retiree healthcare benefits for the next 75 years. It was an accounting gimmick adopted to comply with short-term budget scoring rules that applied to legislation at the time. The resulting annual payments have cost the Postal Service $31 billion, accounting for more than 80 percent of its red ink since 2007.
The Postal Service is the only U.S. institution – private or public – that is required by law to set aside money for future retiree health benefits. Some private sector businesses choose to do so, but at much lower levels than the congressional mandate for USPS. The Postal Service already has set aside $45 billion for future retiree health benefits – more than any other organization in America and enough to pay for decades of future retiree healthcare. In addition, Postal Service pension funds are overfunded by tens of billions of dollars.
As a direct result of the pre-funding mandate, the Postal Service has reached its debt limit. In 2005, before pre-funding, USPS was debt free. Today, it holds $15 billion in debt – all of which is traceable to the congressional accounting gimmick.
- See more at: Debunking the Postal Service
A lot of people do not realize that congress required the USPS to pre fund retirement health care and that is a big part of the reason the USPS is currently in debt.
I bet a lot of people do not know that USPS delivers a lot of Fed Ex packages.
In fact when I expecting a Fed Ex package and wanted to track it I called Fed Ex they told me they delivered it my post office the night before and I should get it the next day.
From this article :
FedEx Uses USPS for 30.4% of Ground Shipments | Courier Express and Postal Observer
FedEx Uses USPS for 30.4% of Ground Shipments
Written by Alan Robinson on December 15, 2011
30.4% of FedEx Ground shipments are delivered by the United States Postal Service.
8.4% of FedEx Ground revenue is generated by shipments delivered by the Postal Service
FedEx SmartPost Shipments delivered by the Postal Service Grew by 17.0%