Committee to Hold Hearing on Financial Woes Facing USPS

Share this article:
Rep. Dan Burton (R-IN), chairman of the House Government Reform Committee, will hold an oversight hearing tomorrow that will focus on the U.S. Postal Services' projected financial shortfalls.


In September 2000, the USPS projected a surplus of $150 million for Fiscal Year 2001. That projection was based in part on the increase in postal rates that went into effect in January. More recent estimates, however, project a deficit of between $2 billion and $3 billion, prompting the USPS on March 8 to order a freeze on 800 construction projects around the country.


The committee will seek an explanation for the dramatic shift in the USPS' financial outlook. The panel will also address strategies to improve service in the f ace of increasing economic challenges.


"We need to know what happened here," Burton said in a statement. "The postal service cannot continue to run this way without serious harm to the affordable mail service the American people deserve. Something has to be done."


The Committee has invited Postmaster General William J. Henderson to explain the challenges the USPS is facing.


Share this article:
You must be a registered member of Direct Marketing News to post a comment.

Sign up to our newsletters

Follow us on Twitter @dmnews

Latest Jobs:

More in Direct Mail

Delivered: Birthday Deals Mailers

Delivered: Birthday Deals Mailers

What's in our mailbox this month: Birthday Deals. See which ones are good deals—and which ones you shouldn't deal with.

USPS Commissions Brain Research on Direct Mail

USPS Commissions Brain Research on Direct Mail

The Office of the Inspector General seeks neuroscientists to investigate human responses to digital and physical media.

Direct Mail Remains Impactful

Direct Mail Remains Impactful

Even in this prolific digital age, direct mail proves to be a strong tool for marketers. Standard mail volume is growing at 3% and marketers will spend $45 billion on ...