Latest News and Highlights
USPS Releases 1st Quarter Financial Results. On Thursday, February 9, the Postal Service released its financial results for the first quarter of FY 2017. Net income from operations was $1.438 Billion, compared with $307 million in the first quarter of FY 2016. Controllable income for the quarter was $522 million compared to $1.3 billion for the same period last year, a decrease of $735 million. If the exigent surcharge had remained in place, the Postal Service would have generated approximately $570 million in additional revenue during the quarter.
GAO Issues Report- U.S. Postal Service: Key Considerations for Restoring Fiscal Sustainability. On Tuesday February 7, the Government Accountability Office (GAO) issued the report to coincide with testimony presented before the House Oversight Committee. The GAO found that the U.S. Postal Service’s deteriorating financial condition is unsustainable as a result of trends including declining mail volume and growing expenses.
Committee Leaders Introduce Bipartisan Postal Reform Legislation On January 31, 2017, House Oversight and Government Reform Committee leaders introduced H.R. 756, the Postal Service Reform Act of 2017. The bill addresses unfunded liabilities of the US Postal Service (USPS), makes reforms to keep mailing costs affordable for consumers, and encourages innovation, all without additional borrowing capacity from the U.S. taxpayer.
PRC Issues Annual Report to the President and Congress On January 12, 2017, the Postal Regulatory Commission (Commission) released its Annual Report to the President and Congress providing an account of the activities undertaken by the Commission during 2016. Under the Postal Accountability and Enhancement Act of 2006 (PAEA), the Commission is required to address in its report information concerning the operations of the Commission, including the extent to which regulations are achieving the rate setting objectives of the PAEA. The law also requires the Commission to include an estimate of the costs incurred by the Postal Service to provide certain services that the Postal Service would not otherwise have provided except for the requirements of the law.