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Amash Issues Statement on Postal Service Default


Location: Washington, DC

Rep. Justin Amash (R-MI), Vice Chairman of the Subcommittee on the Federal Workforce, U.S. Postal Service, and Labor Policy, issued the following statement on the U.S. Postal Service's default:

"Later today, the Postal Service will default on a $5.5 billion payment owed to the federal government. This payment, required by law, would reduce the Postal Service's massive unfunded liability for retiree health care benefits.

"The Postal Service has had multi-billion dollar deficits since 2007, and it is projected to have a $10 billion deficit this year alone. Its business model is unsustainable and has not addressed market changes, such as declining mail volume. Additionally, the Postal Service's $15 billion statutory debt limit with the Treasury has been reached.

"Congress can act now to give the Postal Service the same flexibility its private competitors have. I support equipping the Postal Service to compete, not a taxpayer-funded bailout. I look forward to working with my colleagues on the Committee on Oversight and Government Reform to restore solvency to this historic American institution."

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