By Ed O’Keefe Washington Post Staff Writer
Wednesday, September 29, 2010; 10:16 PM
Americans can still send and receive mail, but the U.S. Postal Service may not have much left in the bank after this week, as it’s set to announce billions of dollars in losses as early as Thursday.
It’s also waiting for postal regulators to announce Thursday whether they approve of a proposed 5.6 percent postage-rate increase, to start in January. The proposed increase faces stiff resistance from business groups and lawmakers, who say that the USPS should instead make deeper spending cuts to meet its financial obligations.
GOP opposition kept Congress from permitting the Postal Service to postpone paying $5.5 billion required by law to pre-fund retiree health benefits. A temporary spending measure to fund most federal programs through early December didn’t mention the Postal Service; it passed the Senate on Wednesday and is expected to clear the House on Thursday.
“The Postal Service does not want to make the tough decisions, which include cuts in personnel, pay and benefits. Instead, they are relying on a generous taxpayer bailout that will not solve any of their mid- or long-term problems,” said Rep. Darrell Issa (R-Calif.), who opposes the rate increase and congressional relief.
“Taxpayers should not be made to bail out a business-as-usual Postal Service,” Issa said.
