ICYMI: Thank You Congress…

for Reaffirming the Importance of the Postal Service’s Integrated Delivery Network for All Americans Morning Consult Opinion: Thank You Congress for Reaffirming the Importance of the Postal Service’s Integrated Delivery Network for All Americans   Morning Consult published an op-ed from John McHugh, chairman of the Package Coalition, commending House and Senate postal reform legislation that would help ensure the long-term viability of the U.S. Postal Service and further maintain competitive, affordable package delivery services for all Americans. See below for key quotes:   Packages are more important than ever to Americans and U.S. businesses          “Public attention and support for the Postal Service is at an all-time high, given the reliance on the service for voting by mail and its role as a ‘lifeline’ delivering medicines and essential goods throughout the pandemic…In another sense, however, the language is an important confirmation of the core strength of the Postal Service and is essential to its future viability. The pandemic accelerated mailing and shipping trends in ways that will require policymakers to think differently about the role of the Postal Service as a critical part of the nation’s economic infrastructure.   Postal reform must maintain an integrated delivery network for mail and packages at least 6 days a week “For example, the bills recognize the importance of the Postal Service’s maintaining an integrated delivery network for mail and packages at least six days a week. In one sense, this language merely codifies longstanding postal policy. The Postal Service provided integrated delivery services of mail and packages for over 100 years, ever since Congress mandated that the Postal Service provide a competitive package delivery service to protect Americans in rural and remote areas of the country who were being exploited by private delivery companies…   “By codifying the integrated delivery language, Congress is reaffirming its prior policy direction that the Postal Service should leverage the network efficiencies it generates by delivering mail and packages together. As Congress intended, the Postal Service passes on these cost efficiencies in the form of lower prices to American businesses and consumers, thus, ensuring fair competition and affordable delivery services for all Americans.”    This postal legislation maintains the status quo, which is competitive and profitable “An integrated delivery network is essential to the continued vitality of the Postal Service’s letter mail and package businesses and to the ideal of a self-sustaining Postal Service. The network efficiencies of an integrated delivery network have enabled the growth and profitability of USPS’ competitive package business. And the Postal Service uses the profits from its packaging business ($11 billion above costs in FY2020), to help defray the costs of maintaining a nationwide mail delivery network. Without the positive financial contribution from its package business, the Postal Service would have to look to letter mailers or Congress to fund its operations…”    “The bipartisan language codifies the status quo and reflects the Postal Service’s strategic vision of the future. Abandoning the notion of an integrated delivery network would be a radical departure from the way the Postal Service has always operated. Forcing the Postal Service to operate parallel, duplicative delivery networks would harm, not help, the Postal Service and the businesses and consumers that rely upon it for affordable delivery services. Such a change would only benefit private competitors by making the Postal Service less competitive.”   ***   Keep up with the Package Coalition by following us on Twitter (@PkgCoalition) or visiting our website.