Why the Stimulus Package Includes $10 Billion for the U.S. Postal Service

[crickets]

Why the Stimulus Package Includes $10 Billion for the U.S. Postal Service

The Cares Act, the $2 trillion stimulus package signed into law on Friday, is a massive shot in the arm for a moribund economy, with payments and loan guarantees to workers, small businesses, and industries hard hit by the Covid-19 pandemic. The U.S. Postal Service is included in the act too—it allows USPS to borrow up to $10 billion from the Treasury.

The government wants to ensure mail and packages keep flowing during this unprecedented period of economic pause. It’s a necessary step given that logistics providers are the lifeblood of any economy.

Pelosi seeks more funding for U.S. Postal Service as Democrats warn of ‘crisis’ for agency

House Speaker Nancy Pelosi is seeking more funding for the U.S. Postal Service as lawmakers work on a new round of aid amid the coronavirus pandemic, and Democrats warn the independent agency is in crisis.

The stimulus package signed by President Donald Trump on Friday allows the postal service to borrow up to $10 billion from the U.S. Treasury. On Tuesday, Pelosi, a California Democrat, told MSNBC’s “Morning Joe” she wants more funding so the USPS could put in place a wider-ranging vote-by-mail system and deliver equipment to those fighting the outbreak.

So, here's the deal: the USPS was included in the stimulus package. Congress is well aware that the USPS has to stay open to deliver everyone's prescriptions and ballots and whatnot, so they are working on asking for even more money to make sure there won't be any problems in future.

The horror headline BS coming from some of the media right now, including the marketwatch.com link above, is really pissing me off. It just gets already jittery people riled and nervous for no good reason. It's clickbait, it's irresponsible, it's infuriating. You want to pop off a letter or email to express your concern about the USPS 'news' that's going around this morning? Let media outlets fanning worries like this know just how little you think of them for doing it.

Granted, this is an issue to keep an eye on, but so far Congress has got it handled.

Now, everybody can take a deep breath... and get back to verbally pummeling the bejeebers out of Jared Kushner. The little shit deserves it.

[hangaleft]

1. Recced for referring to Kushner as a "little shit"

[TheBlackAdder]

15. Here's one reason it won't: Bain Capital won't be able to buy it and sap the pension billions out.

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The other is that FedEx and UPS won't have someone do their Final Segment Delivery for $0.01 over USPS cost.

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[bobbieinok]

2. Thanks for reassurance about US Post Office staying in business

Last edited Mon Apr 6, 2020, 12:14 AM - Edit history (1)

Was worried!

[customerserviceguy]

3. Get the price

of sending junk mail raised, and the problem takes care of itself. 75% of the USPS's efforts simply go to scattering dead-tree garbage around the country.

[crickets]

4. Brilliant idea! nt

[TexasBushwhacker]

7. I agree BUT

If the price of postage is raised and junk mail goes down, will they still have enough money to operate?

[customerserviceguy]

9. The costs of running the USPS

should be borne by the people who use it. And ever since prepaid postage came about, that has been from the senders. When I buy a product from someone who will ship it to me, they build the cost of postage into the price I pay.

When someone decides to send me something unsolicited, then its up to them to figure out how to make a profit doing this, it's not my problem or the USPS's problem. Nobody uses UPS or FedEx to send junk mail, perhaps the pricing structure that those two firms have is what works best.

Even if junk mail went away, how many forests would that save? How many fewer barrels of oil would that use? Isn't that worth something? Or, we can continue to subsidize mailing trash around the country.

[A HERETIC I AM]

8. The way I understand it though, is that they get a big break on rates...

"They" being the mailers of what you mention - primarily because it isn't addressed and requires no sorting. Just put one of each for every address on the truck and deliver them.

If you think about it, it is a very inexpensive way for your local grocery store or whoever, to communicate with you, as an example.

I toss most of that stuff away as well, just like most people I assume, but non-addressed "junk mail" does serve a purpose, even if it is annoying.

[customerserviceguy]

10. My grocery store

communicates with me by putting an ad up on their website, or a flyer as I walk into the store.

Whatever purpose junk mail serves, the costs of running the USPS to handle it should be borne by those who think it's worthwhile. They may very well make more intelligent decisions when it's not subsidized any more.

[Progressive Jones]

12. For large volume mailers, the USPS has special pricing. No different than any other business.

The USPS isn't a governmental agency like the EPA, et al.
It's actually a business operated by the US government.

It doesn't receive on tax dollars, until now with this stimulus money.


The GOP has been trying to destroy the USPS.
The GOP pushed through a law some years back requiring the USPS
to fund their pension program 75 years into the future. "Starve The Beast", as rightie likes to say.
They are funding pensions for future employees who aren't even born yet!
The USPS adheres to that law. This takes away a lot of operating capital.
This is nuts. No business in the World does this.

[TheBlackAdder]

11. 50% of USPS is now the socialized final segment delivery services for FedEx and UPS shipments.

.

This way, the most expensive part of package delivery is socialized.

UPS and FedEx lobby to weaken the USPS just enough to perform this function and not be competitive.


It's Privatizing Profits and Socializing Costs.

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[crickets]

5. Shameless kick for late afternoon crowd.

[A HERETIC I AM]

6. Just saw this, and thanks for putting it up.

I appreciate it.

[crickets]

13. I see in another thread that you haul mail.

Thank you so much for all that you and other postal employees are doing to keep the mail service going. It is greatly appreciated. Stay safe and well!

[A HERETIC I AM]

14. I appreciate that

Thanks