Keep US Posted presses Congress to condition USPS relief on enforceable reforms
What happened and why it matters now
In an April 8, 2026 letter, Keep US Posted urged Pete Sessions and Kweisi Mfume—leaders of the House Committee on Oversight and Government Reform Subcommittee on Government Operations—to tie any near-term financial relief for the U.S. Postal Service to “meaningful, enforceable reforms,” warning that the agency could otherwise burn through another congressional rescue and return to insolvency.
The timing is not theoretical. In March testimony, Postmaster General David Steiner told lawmakers the Postal Service is on track to be “out of cash in less than 12 months” under current payment assumptions—framing this as an operational cliff that could disrupt mail service absent changes.
Steiner’s argument: collapsing mail volume plus structural constraints
Steiner’s written testimony puts the core problem on long-run volume decline: from 213 billion pieces in 2006 to about 109 billion “today,” with the implied revenue loss dwarfing what a normal business could absorb. He also argues that statutory and regulatory constraints prevent USPS from responding like a typical enterprise—specifically pointing to (1) limitations imposed by its regulator, (2) retirement and benefit funding structures, and (3) the hard $15 billion borrowing cap, which he says is outdated relative to today’s USPS scale.
That diagnosis overlaps with independent watchdog framing. The Government Accountability Office notes USPS has lost money almost every year since 2007 and reports cumulative net losses of about $118 billion from FY2007–FY2025, with productivity decline contributing to cost pressure.
Keep US Posted’s counter: “cost control problem,” not revenue, and contested factual claims
Keep US Posted—signed by former Rep. Kevin Yoder—argues the Postal Service’s central failure is cost discipline, not pricing power, and warns Congress against “additional aid” without enforceable guardrails. The letter challenges specific assertions attributed to Steiner during the March hearing, including headcount and transportation cost claims, and disputes the idea that limiting rate hikes is the primary cause of lost revenue.
On headcount, Keep US Posted points to USPS’s own historical staffing series, showing career employees rising from 495,941 (2020) to 533,724 (2024), before dipping slightly to 531,261 (2025)—a net increase of 37,783 from 2020 to 2024, consistent with the letter’s contention that “full-time/career” staffing grew even if other categories shifted.
On transportation insourcing, the USPS Office of Inspector General documented that USPS “did not always” insource highway contract routes to achieve the “lowest total cost,” and provided examples where insourcing increased estimated costs materially (including a cited 40% increase in one location and a “twice as much” estimate in another).
The rate-hike fight: PRC limits, elasticity evidence, and “pricing alone” skepticism
A key policy flashpoint is the frequency and size of Market Dominant price increases. The Postal Regulatory Commission finalized rules restricting USPS from raising Market Dominant rates above a de minimis threshold more than once per fiscal year, effective March 1, 2026 through September 30, 2030, while also tightening workshare discount rules. Steiner criticized this limit in testimony, arguing it would reduce USPS revenue (citing a roughly $700 million impact over five years).
Keep US Posted, by contrast, argues that aggressive, twice-per-year increases above inflation have contributed to volume and revenue erosion—an argument that aligns directionally with PRC-published analytical work indicating that higher post-intervention price-adjustment frequency is associated with increased mailer price sensitivity.
What H.R. 3004 would change if lawmakers adopt its framework
Keep US Posted explicitly urges lawmakers to embed three principles in any relief, pointing to H.R. 3004 (“USPS SERVES US Act”) as the template: accessibility (protect six-day delivery), affordability (limit increases and re-anchor pricing discipline), and accountability (stronger oversight and a customer advocate).
The bill text includes a CPI-linked cap concept in the Market Dominant price-cap formula (CPI-U minus 0.5 percentage points, with limited exceptions), an explicit “once every 12 months” rate-change constraint, and the creation of an “Office of the Customer Advocate” within the PRC. It also strengthens change-in-service review by shifting from a purely advisory posture toward more decision-oriented procedures and adds a sanctions mechanism tied to sustained, uncontrollable service failures.
Notably, Congress already codified six-day mail delivery in the Postal Service Reform Act of 2022, while also ending the retiree health prefunding mandate that had required large advance payments; both GAO and USPS OIG describe these as significant structural changes but insufficient, by themselves, to fix the underlying business model.
Near-term outlook: relief is likely, but the strings are the real battle
With Steiner warning of cash exhaustion on a months-to-early-2027 horizon, Congress is incentivized to act—whether via higher borrowing authority, pricing reforms, payment relief, or a hybrid. But the political center of gravity is shifting from “whether to provide relief” to “what conditions, metrics, and enforcement mechanisms make relief credible.” Keep US Posted’s letter is essentially a warning shot that mailers and consumer-aligned stakeholders will resist an aid-only package, while USPS leadership is signaling that without greater flexibility—especially on liquidity and pricing—the agency’s universal-service mandate becomes operationally fragile.
Key references: Keep US Posted April 8, 2026 letter and post; Steiner March 17, 2026 written testimony; GAO USPS primer (Dec 2025); PRC final rule (Jan 2026 Federal Register); USPS OIG audit on vehicle service/insourcing (Mar 2025); H.R. 3004 bill text.

