Postmaster Louis DeJoy says he’s an “optimist” about breaking even on Postal Service operating expenses and improving its financial problems.
Mr. DeJoy debated Sen. Rand Paul during a Senate hearing on policy changes at the USPS, where the Kentucky Republican put forth a few ideas of his own to curb the agency’s deficit.
“Even with legislative reform I see it as an almost impossibility how we’d actually balance the annual operating losses,” Mr. Paul said. “We shouldn’t give you any more money unless it’s attached to reform.”
He suggested that there could be curbed-in hiring, less personal delivery service in certain locations or cutting back on delivery days from six to five.
Mr. DeJoy pushed back on that, saying the six days are important because of the trust and relationship it generates between the Postal Service and the public.
“I think that is our biggest strength to capitalize on,” he said.
Instead, Mr. DeJoy wants to be able to make scheduling changes without much “fanfare,” as well as integrate Medicaid benefits and reform pension packages.
“I would like to be liberated on pricing. It is a very competitive market out there now,” he added.
The financial problems the postal service has been having for years is prompting new talk on Capitol Hill of overall reforms for the agency, but also drawing attention to its immediate needs during the coronavirus pandemic.
Mr. DeJoy said the Postal Service deserved some more help from the government because of its performance in the pandemic.
“We do need the freedom from the change in the [Postal Regulatory Commission] regulation, and we do need to be — we do need to be reimbursed for our costs. When you look at during the COVID —during the pandemic, we still delivered to 99% of the American homes and —with no revenue, no revenue,” he said. “We continued to do what we’re supposed to do and at a significant cost impact, you know, and I’m one to try to get to a sustainable model, but in this case we — I believe we deserve some compensation for it.”
Officials have warned that the agency could run out of money by the end of September and requested $75 billion in emergency funding.
The $2 trillion relief bill Congress passed in March authorized $10 billion in loans for the Postal Service if it finds that it can’t fund operating expenses because of the pandemic.
Democrats want $25 billion in the next COVID relief deal, something the White House has signaled it could be open to.
• Gabriella Muñoz can be reached at gmunoz@washingtontimes.com.
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