Congress has a plan to fix the United States Postal Service’s well-known financial crisis. The only catch? The plan Congress has hatched up will do little to reform the Postal Service, but will instead saddle Medicare with new liabilities and exacerbating an already fragile fiscal outlook.
Leave it to Congress to attempt to fix one problem by creating an even bigger, and unrelated, mess.
One of the most glaring problems facing the United States Postal Service, of course, is its balance sheets, which are covered in red ink. The USPS has not come close to breaking even for many years. In fact, according to a report produced by the Government Accountability Office in 2020, the postal system’s total losses over the past 13 years are close to $78 billion. “USPS’s current business model is not financially stable” is the report’s inescapable conclusion.
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