As Congress considers legislation to reform the business model of the Postal Service, it must confront a basic choice: to permit the Postal Service to function more as a business does, or constrain it from doing so.
With greater business model flexibility, the Postal Service can return to profitability and financial stability. A flexible business model would speed product and pricing decisions, enable a five-day per week delivery schedule, and permit the realignment of mail processing, delivery and retail networks to meet lower mail volumes. It would also allow the Postal Service to more effectively manage its healthcare and retirement systems, and better leverage its workforce.
For an organization that generates all of its revenue from the sale of its postage, products and services – and is contending with declining use of First Class Mail for bill payment – having the flexibility to quickly adapt and react to the marketplace is vital. Our immediate goal is to reduce our annual costs by $20 billion by 2013, which would put the Postal Service in the black and ahead of the long-term cost curve.
The alternative is a business model that prohibits or delays cost reduction, perpetuates an inflexible structure, and constrains the Postal Service from being more responsive to the marketplace. Under this scenario, and in the absence of meaningful and immediate business model reform, the Postal Service could soon incur long-term deficits in the range of $10 to 15 billion annually.
Within the limits of our current legal framework, we have responded aggressively to a changing marketplace – reducing the size of our workforce by 128,000 career employees and reducing annual operating costs by $12.5 billion dollars in just the past four years. However, to return to profitability we must move at an even faster pace. And to do so requires changes in the law.
If provided with the flexibility and speed to act, the Postal Service can avoid being a financial burden to the taxpayer. More importantly, a financially stable Postal Service that can operate more like a business can more readily adapt to America’s changing mailing and shipping needs.
For example, we are expanding our network of 70,000 retail partner locations and on-line offerings so that our customers will be able to purchase stamps and conduct other mailing and shipping transactions outside of the traditional Post Office. Customers will increasingly be able to visit gas stations, grocery stores and pharmacies – which are part of regular shopping patterns, open longer hours and weekends, and more conveniently located – to conduct their postal business. The traditional Post Office will always exist, but a changing world demands rethinking the status-quo and adapting to the needs of our customers.
In a digital world, businesses and individuals have choices in the way they communicate. Although the Postal Service facilitates trillions in commerce annually, and supports a $900 billion mailing industry that employs almost 8 million people, it must have the tools and the motivations to effectively compete for customers.
In the current debate about its future, some have argued the Postal Service should not operate like a business and be allowed to regress into an unchanging, taxpayer-subsidized agency, and some have urged that it be privatized and completely separated from the government. The former is undesirable and the latter is unrealistic.
The answer resides in the middle – an organization that performs a vital national function, and operates with the discipline and motivations of a business that competes for customers. If it is to endure as a great American institution, provide the nation with a secure, reliable and affordable delivery platform, and serve as an engine of commerce, Congress should provide it with the speed and flexibility it needs to compete in an evolving marketplace.
The Postal Service is far too integral to the economic health of the nation to be handcuffed to the past and to an inflexible business model. To best serve taxpayers and postal customers, it’s time to remove the constraints.
John Budzynski
USPS District Manager/A
Northern Virginia
Editor’s note: Submit your open Letter to the Editor by emailing it [email protected].
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The Stafford County Board of Supervisors began its first meeting of 2025 with a significant leadership transition. Supervisor Deuntay Diggs was elected chairman in a 4-3 vote, succeeding outgoing Chairwoman Meg Bohmke. Diggs addressed his new role during the meeting and outlined his expectations for the year ahead, emphasizing transparency and teamwork.
Supervisor Diggs took a moment to reflect on the responsibilities of his new position and the values he brings to the role. “The citizens in the George Washington District knew that I was a law enforcement officer in this community. I love my job. And part of being a law enforcement officer is conducting ourselves with integrity. And so I will continue to do so, and I can serve in this role and do that as well,” Diggs said.
He further expressed a strong desire to foster collaboration among the board members. “The goal is that we’re gonna work together as a team. I’m not asking, I’m demanding that. That’s the expectation,” he stated. Diggs’ remarks came as a call to unity, encouraging board members to prioritize cooperation and accountability.
The board also elected Supervisor Tinesha Allen as vice chair in a 5-2 vote.
On January 7, the U.S. House of Representatives convened for the first session of the 119th Congress and passed H.R. 29, the “Riley Laken Act,” with bipartisan support.
Prince William County government offices and facilities will be open on Wednesday, January 8, 2025. Still, employees can take unscheduled leave or engage in unscheduled telework due to current weather conditions.
While the county remains open for business, residents are encouraged to check for the latest updates on facility-specific operations by visiting pwcva.gov/emergency.
Some county services may be impacted by the weather. Before visiting a county facility, call ahead or check the county’s website.
Several schools in our region have announced closures and delays for Wednesday, January 8, 2025, due to inclement weather and hazardous road conditions.
Start 2024 on the right foot by prioritizing your mental health and well-being. At Peaceful Mind Solutions, we understand how challenging life can be—whether it’s managing stress from work, family dynamics, or navigating the complexities of the world around us. Our team is here to help you create balance and find the peace you deserve.
We’re offering a free 15-minute consultation to help you explore how therapy can work for you. Whether you’re feeling overwhelmed, looking for support, or just want to talk things through, this is the perfect opportunity to take that first step toward a healthier, happier you.
Scheduling is simple and convenient. Choose the option that works best for you:
Experience the passion and drama of Puccini’s “The Girl from the Golden West”.
Featuring special guest musicians from The Chesapeake Youth Orchestra, this performance brings Puccini’s masterpiece to life with an extraordinary cast.
Featuring:
