Over 80 Democrats in the U.S. House of Representatives called on President Joe Biden to nominate candidates for vacant seats on the U.S. Postal Board of Governors. Representative Jamie Raskin, leading the effort, emphasized concerns about sluggish deliveries and rising costs. The letter highlighted five stamp price increases since 2020, with the most recent on Jan. 21, pushing prices from 66 to 68 cents.
As per the Reuters report, the letter stressed President Biden to select candidates dedicated to reducing costs for Americans. Highlighting the urgency, two governors’ terms on the board expired in December. USPS disclosed a $6.5 billion net loss for the year ending Sept. 30, citing a persistent decline in first-class mail, hitting its lowest volume since 1968, with projections indicating no break-even in 2024.
“Unfortunately, the Postal Service currently suffers from slow rates of delivery service and increased costs,” said the letter.
The letter’s co-signers feature Representatives Raja Krishnamoorthi, Rosa DeLauro, Alexandria Ocasio-Cortez, Gerald Connolly, and Maxine Waters, among others.
“The actions of current postal leadership are deeply concerning. Rather than exploring new sources of revenue, it has continued price increases to ‘uncomfortable rates’ around the country,” it said, citing earlier comments on price hikes from Postmaster General Louis DeJoy.
In a letter dated Jan. 10, DeJoy referenced USPS losses, emphasizing the need to continue cost-cutting to avoid financial crises. He warned that without sustained efforts, the postal service might exhaust funds, necessitating Congress intervention. USPS, amidst a 10-year restructuring plan targeting a $160 billion reduction in projected losses, has aggressively increased stamp prices. A White House official confirmed plans to collaborate with Congress in appointing candidates for the two vacant seats, following the established protocol for board nominees.
USPS expressed openness to new governors, valuing their diverse insights, perspectives, and experiences to enhance decision-making. In April 2022, President Biden enacted legislation allocating approximately $50 billion in financial relief to USPS over a decade. Despite a 6.1% decline in first-class mail volume in 2023, reaching 46 billion pieces and reflecting a 53% drop since 2006, higher stamp prices contributed to a revenue increase of $515 million.
Stamp prices have surged by 36% since early 2019. First-class mail, commonly utilized for letters and bill payments, constitutes the most lucrative mail class, contributing $24.5 billion, equivalent to 31% of USPS’s 2023 revenue.
