The U.S. Postal Service’s plan to revamp its network received pushback from the Postal Regulatory Commission on Friday, adding further criticism to the agency’s overhaul under Postmaster General Louis DeJoy.
The Postal Service is shifting its mail and processing operations into modernized facilities across the country. It is also moving to consolidate dropoff and pickup activities at select post offices, a plan that aims to expedite transportation for mail near major facilities at the expense of some volume from rural locations.
The agency believes the initiatives could save up to $3.7 billion annually once fully implemented, according to an announcement from the Postal Regulatory Commission. But the Postal Service’s proposal hinges on unsubstantiated financial projections and risks “significant adverse effects” on certain mail products and rural communities, the regulator said.