USPS got billions in financial aid, and now says it needs more
USPS got billions in financial aid, and now says it needs more The Washington Post
sdgtalks
Financial Crisis Threatens U.S. Postal Service’s Delivery and Sustainability
Introduction
Two years after Congress wiped more than $100 billion in obligations off the U.S. Postal Service’s books, the mail service and its allies are pressing for help again, warning the agency could face a financial crisis that affects home delivery without billions more.
Meeting with Top Biden Administration Officials
Top Biden administration officials, including senior adviser Steve Ricchetti, have met with representatives of the mail service’s largest union, as well as its largest customer — Amazon — and other industry groups in recent months about the agency’s persistent delivery struggles, leadership, and balance-sheet woes, according to five people familiar with the meetings, who spoke on the condition of anonymity to share details of private conversations. (Amazon founder Jeff Bezos owns The Washington Post.)
Concerns for Mail-In Balloting and Key Functions
The difficulties with delivery and financial troubles, some lawmakers and advocates worry, could disrupt mail-in balloting in November’s elections, along with other key functions the Postal Service performs every day.
Senate Hearing on Postal Service Issues
Postmaster General Louis DeJoy and other top agency officials are set to appear before a Senate hearing on Tuesday about the chronic issues.
Financial Struggles and Delivery Performance
In 2022, Congress relieved the Postal Service of $107 billion of past-due and future obligations for retiree health care benefits, an amount lawmakers hoped would enable the agency to invest in long-overdue maintenance and mail delivery improvements. However, the Postal Service posted a $6.5 billion loss in the 2023 fiscal year, and it’s on track to lose more than $8 billion in fiscal 2024, which ends Sept. 30. The agency, according to DeJoy’s 10-year “Delivering for America” restructuring plan, was supposed to break even in 2023 and post a $1.7 billion surplus in 2024.
Request for Financial Relief
DeJoy — and officials from the mailing industry and labor movement — have turned up pressure on the Biden administration for more financial relief. They’ve asked the White House to send the Postal Service $14 billion, which would come from what the agency says is decades of overpayments into the Civil Service Retirement System, according to five people involved in those conversations, also speaking on the condition of anonymity to share details of private talks.
Impact on Delivery Performance and Modernization
The struggles threaten to weaken the $1.6 trillion mailing and package industries that underpin the Postal Service and its reach to more than 160 million addresses each day. The service’s powerful public-sector unions have also expressed growing concern about the agency’s financial health and ability to sustain its nearly 650,000 employees. If the Postal Service doesn’t receive financial relief, it could run out of cash within three years, potentially forcing it to cut back on delivery service or turn to Congress for a bailout. The liquidity crunch could also forestall the agency’s desperately needed modernization.
Conclusion
The financial crisis facing the U.S. Postal Service threatens its ability to provide reliable mail delivery and sustain its operations. The agency is seeking financial relief from the Biden administration to address its persistent delivery struggles and balance-sheet woes. Without sufficient funding, the Postal Service’s performance and ability to modernize will be severely impacted, potentially disrupting mail-in balloting and key functions. It is crucial for the government to support the Postal Service’s sustainability and ensure it continues to serve the American people for decades to come.
SDGs, Targets, and Indicators Analysis
1. Which SDGs are addressed or connected to the issues highlighted in the article?
- SDG 9: Industry, Innovation, and Infrastructure
- SDG 11: Sustainable Cities and Communities
- SDG 16: Peace, Justice, and Strong Institutions
The article discusses the financial struggles and delivery issues faced by the U.S. Postal Service. These issues are connected to SDG 9 as they relate to the need for sustainable infrastructure and innovation in the postal service industry. The article also mentions the potential disruption of mail-in balloting in elections, which is relevant to SDG 11’s goal of ensuring sustainable cities and communities. Additionally, the article highlights concerns about the agency’s financial health and its impact on public-sector unions, which aligns with SDG 16’s focus on strong institutions.
2. What specific targets under those SDGs can be identified based on the article’s content?
- Target 9.1: Develop quality, reliable, sustainable, and resilient infrastructure
- Target 11.7: Provide universal access to safe, inclusive, and accessible green and public spaces
- Target 16.6: Develop effective, accountable, and transparent institutions at all levels
Based on the article’s content, the specific targets that can be identified are related to the need for quality infrastructure in the postal service industry (Target 9.1), ensuring access to reliable mail delivery services for all communities (Target 11.7), and promoting transparency and accountability within the Postal Service (Target 16.6).
3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?
- Indicator: On-time delivery rate
- Indicator: Financial performance (e.g., revenue, losses)
- Indicator: Service standard compliance rate
The article mentions several indicators that can be used to measure progress towards the identified targets. The on-time delivery rate is mentioned as an indicator of the Postal Service’s performance in meeting its service standard (Target 11.7). The financial performance of the agency, including revenue and losses, can be used as an indicator of progress towards financial stability (Target 9.1). Additionally, the article highlights the need for transparency and accountability within the Postal Service, which can be measured through indicators such as compliance with service standards and reporting on financial conditions (Target 16.6).
SDGs, Targets, and Indicators Table
| SDGs | Targets | Indicators |
|---|---|---|
| SDG 9: Industry, Innovation, and Infrastructure | Target 9.1: Develop quality, reliable, sustainable, and resilient infrastructure | – Financial performance (e.g., revenue, losses) – Compliance with service standards |
| SDG 11: Sustainable Cities and Communities | Target 11.7: Provide universal access to safe, inclusive, and accessible green and public spaces | – On-time delivery rate – Compliance with service standards |
| SDG 16: Peace, Justice, and Strong Institutions | Target 16.6: Develop effective, accountable, and transparent institutions at all levels | – Compliance with service standards – Reporting on financial conditions |
Behold! This splendid article springs forth from the wellspring of knowledge, shaped by a wondrous proprietary AI technology that delved into a vast ocean of data, illuminating the path towards the Sustainable Development Goals. Remember that all rights are reserved by SDG Investors LLC, empowering us to champion progress together.
Source: washingtonpost.com
Join us, as fellow seekers of change, on a transformative journey at https://sdgtalks.ai/welcome, where you can become a member and actively contribute to shaping a brighter future.
