Legislation has been introduced in the Senate which would provide a $25 billion bailout for the Postal Service, albeit with some strings. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. (What happened after the bailout?) The cost of retiree health care coverage is further inflated by the fact that only 74% of the nearly 500,000 retirees and their family members covered by those policies are fully enrolled in Medicare. About two dozen Republicans voted in favor of the legislation despite both the GOP leadership and President Trump urging party lawmakers to oppose it. White House rejects bailout for Postal Service battered by coronavirus. The U.S. House of Representatives sent a bill to the Senate that included $25 billion for the Postal Service. Even though the USPS hasn't been making those payments, it continues to book the theoretical cost as an expense — $16.8 billion since the start of the 2017 fiscal year. USPS needs major reforms, not a bailout Letting the Postal Service become its own private entity has greatest potential for sustainability and effective operations: Opposing view. The 2008 financial market meltdown was not a solo event, although its magnitude marks it for the history books. That accounts for most of the agency's reported losses. Factset: FactSet Research Systems Inc.2018. “It took over six weeks or thereabouts to get the results, because these mail-in ballots kept coming and coming and coming, thousands of which were thrown out, opening the doors for lawsuits in your own election. Since October 2018, it has booked about $4 billion in costs above what it is actually having to pay to cover the cost of on-the-job injuries or deaths suffered by postal workers. The decline in letter volume has been more than made up by increased package shipments, as consumers make more purchases online. The opinions expressed by … Just days before the default, USPS Board of Governors Chairman Mickey Barnett announced an increase in the price of stamps beginning in 2014, which he said was the result of USPS' "precarious financial condition" and … "Where was the outrage then? The Postal Service Emergency Assistance Act (S. 4174) would provide USPS with up to $25 billion to cover revenue losses or operational expenses resulting from the COVID-19 coronavirus. Republicans argued the USPS has long needed reform, but Congress has been unable to pass legislation to put it on a financially sustainable path. “He admitted on national television he was blocking the $25 billion in order to hobble mail-in voting,” Maloney said. In addition to retiree health care costs, workers' compensation is another hypothetical cost weighing on USPS finances. Maloney’s own primary results were delayed for weeks due to mail-in balloting problems, and her Democratic opponent, Suraj Patel, who was determined to be the loser, is suing to contest the results. Hundreds, if not thousands, of Floridians will be participating in at least four marches planned Wednesday in Washington as part of President Donald Trump’s “big protest” against the certification of President-elect Joe Biden’s Electoral College victory. But the story's more complex than that. Instead they use the USPS health care policies as their primary insurance, rather an as supplemental insurance. "This bill on the floor today is more of a partisan bill than it is a real attempt at solving the problem, but hopefully, it's an attempt to start solving the problem," Meadows said. At the time, it was the latest in a series of financial crises where businesses (or government entities) turned to Uncle Sam to save the … Postal law, and investigations of those contracts, have confirmed that the USPS makes money on the contracts it has with Amazon and other major … ("Utterly absurd," as one lawmaker calls it. Fix the Postal Services—Don't Give It a Coronavirus Bailout by Romina Boccia David Ditch James Gattuso Democrats and U.S. There was none,” Rep. Bob Gibbs, a Republican from Ohio. As of September 30, 2019, the balance of the retiree health benefits fund was $92.2 billion, with interest on the holdings covering most of the actual premium costs it made. Morningstar: Copyright 2018 Morningstar, Inc. All Rights Reserved. Service battered by coronavirus Recession, when the Postal Service was still reporting profits to do with the.... Is generating billions in cash, the USPS to slash employees benefits and restrict mail delivery carried.... 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