Issa on $2 Billion Postal Service Loss: Bailout Not the Answer

August 11, 2014

House Oversight and Government Reform Committee Chairman Darrell Issa, R-Calif., today released the following statement on news that the U.S. Postal Service posted a $2.1 Billion loss in the most recent quarter:

“The Postal Service’s latest reported loss illustrates the urgent need for postal reform to prevent a taxpayer funded bailout of the Postal Service,” said Chairman Issa.  “Unfortunately, some in Congress still have not come around to the need to allow the struggling institution to right size itself.  In fact, just last week, 22 Senators asked for a renewed moratorium on mail processing facility consolidations, consolidations that would enable the Postal Service to save hundreds of millions of dollars each year.  In the House, Oversight Committee Democrats even refuse to support the President’s own postal reform plan.  Additionally, next month the Postal Service will default on a $5.7 billion payment to the U.S. Treasury to fund retiree health care costs.  This will be the fourth straight year in which the Postal Service has defaulted; together these defaults will cost taxpayers $22.4 billion.”

On July 24th 2013, Chairman Issa’s Postal Reform Act passed through Committee.

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