Reps. Gerry Connolly (D-VA) and Jake LaTurner (R-KS) sent a letter to the Board of Governors of the United States Postal Service asking for them to pause rampant postage rate increases—noting that loss in mail volume outpaces projections forecast by the USPS Delivering for America Plan, while the Plan's predicted parcel volume increases have yet to materialize.
“The [Delivering for America] Plan assumes losses in mail volume of more than 40 percent over a 10-year period, but data presented in the hearing record suggests that recent volume loss trends are much greater than projected in the Plan,” wrote Connolly and LaTurner. “These results suggest that the forecasting models on which the USPS relied do not account for large, successive increases at intervals greater than once per year. The twice-a-year increase schedule imposes additional compliance costs and instability in the market that may not be factored into USPS models … Most importantly, we urge the Board to consider whether a plan that intentionally sacrifices large amounts of mail volume and drives many customers out of the system for short-term revenue gain is in the best long-term interest of the system and consistent with the public service mission of the USPS.”
Reps. Connolly and LaTurner ask that the USPS Board of Governors provide them, as members of the Committee on Oversight and Accountability, with the following information:
1) Any variance from the Plan projections regarding the amount of mail volume the USPS will lose as a result of its current rate approach;
2) Any alternatives that would preserve mail volume; and
3) Whether the USPS will seek two additional rate increases in 2024.
To access the full letter, click below.