Tags: postal | service | bailout | 58 | billion

Postmaster Gen: Postal Service Bailout Would Cost $58 Billion

Image: Postmaster Gen: Postal Service Bailout Would Cost $58 Billion U.S. Postmaster General Patrick Donahoe.

Friday, 19 Apr 2013 01:24 PM

 

  Comment  |
   Contact  |
  Print   |
    A   A  
  Copy Shortlink

A taxpayer bailout of the U.S. Postal Service would cost about $58 billion through 2017, which Congress could avoid by changing the agency’s business model, Postmaster General Patrick Donahoe said.

The service, which lost $15.9 billion last year, doesn’t want a bailout, and it would be “unnecessary,” Donahoe said today in prepared remarks for a speech at the National Press Club in Washington.

“It may shock you to learn that the Postal Service could be profitable today and for the long-term future; it just needs to operate differently,” he said. “I’m optimistic that Congress will pass a bill this year.”

Leaders of House and Senate committees overseeing the Postal Service had planned to meet this week to begin work on legislation. The two chambers, each controlled by a different political party, last year didn’t agree on what should be in a postal bill.

Donahoe, at a House oversight hearing April 17, called on Congress to ease a requirement that the Postal Service pay in advance for future retirees’ health-care benefits and to let the agency exit the health plan covering U.S. government workers, in favor of setting up its own.

The service also wants more power to raise prices and sell non-postal products.

The postmaster general on April 10 was told by his board to stand down on plans to end Saturday mail delivery in August, a move he said would save $2 billion a year.


© Copyright 2014 Bloomberg News. All rights reserved.

  Comment  |
   Contact  |
  Print   |
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Country
Zip Code:
Privacy: We never share your email.
 
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
Top Stories
You May Also Like

Report: Obama Sets Record for Presidential Memoranda

Wednesday, 17 Dec 2014 23:10 PM

From policy on gun control to immigration and labor regulations, President Barack Obama has issued more presidential mem . . .

American Jailed for 15 Years for Helping Al-Qaeda

Wednesday, 17 Dec 2014 22:13 PM

A naturalized American was jailed for 15 years in Miami on Wednesday for conspiring to provide thousands of dollars to A . . .

Gizzi: Obama Ignores Rep. Sanford on Ending Cuban Travel Ban

Wednesday, 17 Dec 2014 22:12 PM

The White House never briefed nor gave advance notice to the congressman who first introduced legislation that contained . . .

Most Commented

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved