WASHINGTON, D.C. – As the United States Postal Service (USPS) struggles to maintain its nearly 32,000 retail offices nationwide, about 3,700 of those – 61 in the state of Mississippi – may be forced to close their doors. Postal News said part of the decline of the neighborhood post office comes as more and more customers choose to conduct their postal business online, on their smart phones and at their favorite shopping destinations.
The US Postal Service recently released a rather sparse financial report showing that its fiscal year 2011 loss now stands at more than $5.6 billion with only a few months to go.
Postal operations account for $1 billion of the total loss.
The remaining $4.6 billion is reportedly due to trust fund and accounting mandates imposed by the 2006 PAEA law. Since 2006 Congress has demanded $5.5 billion from the USPS annually for a so-called trust fund to finance health benefits for future postal retirees. As mail volume declines, the Congressional mandate forces the USPS to borrow money from the Treasury that it then loans back to the Treasury.
Before those offices slated for closure are shut down, however, the matter will go before an advisory committee, and the Postal Regulatory Commission (PRC) has immediately began a review of the postal service’s plan to close those 3,653 post offices.
Opinions from the public are welcomed by the PRC.
“The Postal Service must seek an Advisory Opinion whenever it contemplates a change in the nature of postal service,” said PRC Chariman Ruth Goldway. “The Advisory Opinion process is the opportunity for the public’s concerns over the process to be heard, and for the Postal Service to be given the direction it needs to continue to provide good service to the nation. The Commission supports the Postal Service’s efforts to become more efficient, but with regard to post offices, significant changes must be done within the framework of the legal requirement to provide universal service.”
The Commission will hold public, on-the-record hearings to analyze and cross-examine the Postal Service’s proposal and supporting evidence. During the process, mail users and interested members of the public may offer supporting or opposing views, both informally and as part of more formal, technical presentations. The Commission will also solicit public comments through its website.
The Service cannot implement the changes until 90 days after filing the request.
“I encourage everyone to review the information posted in Docket N2011-1, to follow the proceedings, and to contact us with their thoughts and comments,” said Goldway. ” While Commission Advisory Opinions are not binding, to the extent that the potential changes are debated in public, the recommendations we make are often incorporated into the Postal Service’s final plans. Please let us hear from you.”
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