WASHINGTON – House Oversight and Government Reform Committee Chairman Darrell Issa (R-Calif.) today released the following statement on the Postal Service’s rate increase and the delay in a key cost saving strategy — shutting down select mail processing facilities:
“This week, the Postal Service’s unprecedented above-inflation rate hike goes into effect,” said Chairman Issa. “At the same time, the Postal Service just recently disclosed that it once again has decided to delay necessary cost-cutting reforms already in motion to appease the avowed opponents of postal reform. Relying solely on rate increases will not save the Postal Service from insolvency.”
In 2011, USPS flagged some redundant mail processing facilities for closure and consolidation. Recently, USPS indicated that they were reversing their position. Many reformers believe the postal service needs to accelerate cost cutting efforts, not suspend them.
For more information on the House Oversight and Government Reform Committee’s comprehensive postal reform legislation, the Postal Reform Act visit http://oversight.house.gov/PostalReformAct.