The U.S. Postal Service needs to be fixed. Its management and Board of Governors agree. The U.S. Government Accountability Office (GAO), Congress’s independent financial watchdog, has included the Postal Service on its high-risk list of government agencies since 2009.
With chronic annual losses, an outdated business model and significant long-term liabilities, the Postal Service will be out of cash in about a year with its borrowing authority exhausted. It is nearing bankruptcy.
Congress’s only serious attempts at postal legislation since the 2009 GAO designation leave much to be desired.
This spring the House Oversight and Reform Committee received a whopping request for $75 billion from the Postal Service on the claim that it would be out of cash as soon as June. Well, June came and went, and the Postal Service disclosed it will have enough cash to operate well into 2021.