Subcommittee on Government Operations Chairman Pete Sessions opened a hearing on Mar. 17 to discuss the financial outlook of the U.S. Postal Service under Postmaster General Steiner. Sessions said that the Postal Service continues to lose billions of dollars each year and is projected to run out of money within 12 months, following efforts by former Postmaster General Louis DeJoy that did not meet expectations.
The topic is significant as Congress considers whether to grant USPS an increase in borrowing authority from the Department of the Treasury. Sessions said lawmakers need assurance that any additional funds will be repaid and that USPS has already explored all available options for financial stability.
In his prepared remarks, Sessions stated, "The Postal Service is charged with delivering mail to every address in the nation six days a week." He added, "That mandate is one that brings with it large costs that no private company is required to deal with." Sessions also noted, "Each year, the Postal Service loses billions, and in 12 months they will run out of cash, the time for major change is now."
Sessions referenced DeJoy's Delivering for America plan, which aimed to revive USPS but fell short of its goals. He said, "Unfortunately, the results did not reach expectations." With Steiner now leading USPS, Sessions highlighted a focus on leveraging last mile delivery capabilities to grow revenue and emphasized raising revenue, cutting costs, and working with private industry as key strategies moving forward.
He stressed the importance of transparency regarding which parts of previous plans would continue or be discontinued: "Understanding which aspects of the Delivering for America plan will remain and which have been stopped is key to that path forward." Sessions concluded by saying he looks forward to finding a path toward self-sufficiency for USPS.
