The U.S. Postal Service's (USPS) financial condition and outlook deteriorated significantly during FY 2009. USPS was not able to cut costs fast enough to offset declining mail vol. and revenues resulting from the economic downturn and changing mail use. USPS would not be able to make the $5.4 billion payment to prefund postal retiree health benefits that was due by the end of the year. This testimony: (1) updates USPS's financial condition and outlook; (2) describes changes made by the Postal Account. and Enhancement Act of 2006 that provided USPS with greater flexibility to generate revenues; (3) outlines USPS's revenue-generation actions and results using this flexibility; and (4) discusses options to generate increased revenues in the future.
The USPS's financial outlook has deteriorated as customers have shifted to electronic alternatives. Mail volumes have declined over 20% since FY 2006 and are expected to continue declining. To help its financial outlook, in March 2010, USPS presented a detailed proposal to move from a 6-day to a 5-day delivery schedule. USPS projected this would save about $3 billion annually and reduce mail volume by less than l%. This proposal factors in widespread changes to USPS's workforce and networks. This report assessed: (1) USPS's cost and volume estimates and the operational impacts associated with its 5-day delivery proposal; and (2) the trade-offs and other implications associated with this proposal. Illus. A print on demand report.
The foreign postal operators (foreign posts) in industrialized countries have been experiencing declining letter mail volumes and have modernized their delivery and retail networks to address this challenge. This report reviewed the innovations and initiatives that foreign posts are using and the lessons the U.S. Postal Service (USPS) might learn to help it address plummeting mail volumes and record financial losses. The report examines initiatives foreign posts have implemented to improve mail delivery and retail networks and related results, and modernization strategies used by foreign posts that can inform consideration of proposals to improve USPS's financial condition and customer service. Illus. This is a print on demand report.
The U.S. Postal Service's (USPS) financial condition and outlook deteriorated significantly during FY 2009. USPS was not able to cut costs fast enough to offset declining mail volume and revenues resulting from the economic recession and changes in the use of mail, such as electronic bill payment. The USPS needs to restructure to improve its financial viability. Declines in mail volume and revenue, large financial losses, increasing debt, and financial obligations will continue to challenge USPS. This testimony provides: (1) info. on USPS's financial condition and forecast; and (2) the need for USPS restructuring. In addition, questions and issues are included for Congress to consider regarding USPS's proposal to reduce delivery from 6 to 5 days.
The U.S. Postal Service's (USPS) financial condition has worsened this year, with the recession and changing mail use causing declines in mail volume and revenues despite postal rate increases. The USPS expects these declines to lead to a record net loss and an unprecedented cash shortfall even if ambitious cost cutting is achieved. Delivery accounts for nearly half of USPS salary and benefit costs. This testimony: (1) updates USPS's financial condition and outlook; and (2) discusses the need for USPS to restructure its mail processing, retail, and delivery networks and its efforts to improve their efficiency. Charts and tables.
USPS's financial condition has deteriorated. Mail volume declined by a record 9.5 billion pieces (4.5%) in FY 2008, leading to a loss of $2.8 billion -- the second largest since 1971. This was largely due to declines in the economy, esp. in the financial and housing sectors, as well as shifts in transactions, messages, and advertising from mail to electronic alternatives. Declining mail volume flattened revenues despite rate increases, while USPS's cost-cutting efforts were insufficient to offset the impact of declining mail volume and rising costs in fuel and cost-of-living allowances for postal employees. This testimony focuses on: (1) USPS's financial condition and outlook; and (2) options for USPS to remain financially viable in the short and long term. Illus.
The U.S. Postal Service¿s (USPS) financial condition has worsened since Jan. 2009, with the recession and changing mail use causing dramatic declines in mail volume and revenues despite postal rate increases. USPS expects these declines to lead to losses and cash shortfalls even if ambitious cost-cutting is achieved. USPS¿s business model has relied on growth in mail volume to cover costs, but USPS has not been able to cut costs fast enough to offset the accelerated decline in mail volume and revenue. This testimony: (1) updates USPS¿s financial condition and outlook and explains the decision to place USPS¿s financial condition on the High-Risk List; and (2) presents options and actions that the USPS can take. Charts and tables.
The Highway Trust Fund (HTF) was created in 1956 to finance the construction of the Interstate Highway System. The 2005 SAFETEA-LU Act authorized $244.1 billion over 5 years for highways, highway safety, and public transport. In addition to authorizing funds for construction and maint. of highways and bridges, the act specifies other purposes for which funding may be used, including safety; metro. planning; transit; and transport. enhancement activities, such as trails for transport. purposes, pedestrian walkways, bicycle lanes and parking, and related projects. This report provides info. on the amount of HTF monies the DoT agencies obligated for purposes other than construction and maint. of highways and bridges during fiscal years 2004-08.