Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Postal Service Is Nearing Default as Losses Mount (USPS wants a taxpayer bailout for their union)
ny times ^ | 9/4/2011 | steven greenhouse

Posted on 09/05/2011 3:39:39 AM PDT by tobyhill

click here to read article


Navigation: use the links below to view more comments.
first previous 1-20 ... 41-6061-8081-100101-113 next last
To: Big Giant Head
The USPS is supposed to be supporting itself like a private business, but not post a profit. It's supposed to break even. It's also supposed to support the Federal employees retirement and health systems. I believe that is what the "default" payment statement is referencing. The USPS is supposed to be prepaying healht and retirement for years and years out into the future, if I'm understanding it correctly.

Yes, and the only reason they're having to prepay retiree health benefits, unlike any other federally-governed organization, is because the Democrat-controlled 110th Congress mandated it.

These union-toady Democrats DELIBERATELY orchestrated this outcome, sucking the lifeblood out of the USPS in order to enrich the unions, and insuring that any bailout by a future Congress would be a bailout of the UNIONS, not mail delivery.

If it weren't for that mandate, if it weren't for the 110th Congress' boot on their neck, the USPS would have a $600 million-plus SURPLUS by now.

The American Postal Workers Union president said:

The underlying cause of its financial crisis is the unreasonable, congressional mandate that requires the USPS to pre-fund future retiree healthcare costs. The Postal Service should be let off the hook when it comes to these payments because no other government agency or private business bears this burden.

So apparently even the parasites are beginning to understand that their hosts will die if they suck too much blood and pile on too many chains.

81 posted on 09/05/2011 9:34:30 AM PDT by mvpel (Michael Pelletier)
[ Post Reply | Private Reply | To 18 | View Replies]

To: OnlyTurkeysHaveLeftWings
It’d cost me less in taxes just to fund the damn post office.

Of course it would, because everyone else would be paying for your mail delivery too.

82 posted on 09/05/2011 9:37:30 AM PDT by mvpel (Michael Pelletier)
[ Post Reply | Private Reply | To 60 | View Replies]

To: mvpel
WouldI not, then, be paying some infinitesimally small amount for your mail?
83 posted on 09/05/2011 9:55:10 AM PDT by OnlyTurkeysHaveLeftWings
[ Post Reply | Private Reply | To 82 | View Replies]

To: OnlyTurkeysHaveLeftWings

It’s all kind of beside the point anyway since the only reason the Postal Service is on track to need a tax subsidy in the first place is because of the 110th Congress and their big fat sloppy gift to Postal labor unions.


84 posted on 09/05/2011 10:00:56 AM PDT by mvpel (Michael Pelletier)
[ Post Reply | Private Reply | To 83 | View Replies]

To: Rearden

And she is a “close friend”?...


85 posted on 09/05/2011 10:21:59 AM PDT by notatard?
[ Post Reply | Private Reply | To 20 | View Replies]

To: Big Giant Head
I have not seen a carrier in GA walk in about 10 years, and when we get more than a few inches of snow they do not even deliver. Granted, when we get more than a couple of inches of snow everything shuts down, but they do not walk.
I am originally from MN and the carriers used to walk in rain, sleet and snow, but they no longer do. During the last couple of years my dad was very sick and I spent much time up there. They do not walk, even in the summer.
86 posted on 09/05/2011 11:38:15 AM PDT by John D
[ Post Reply | Private Reply | To 59 | View Replies]

To: notatard?

Yes, she is. I do not agree with her politics nor her principles but she is still a friend.

I have other friends with their own personal failings. Should I abandon them, or keep praying for their enlightenment?


87 posted on 09/05/2011 12:17:08 PM PDT by Rearden (Deo Vindice)
[ Post Reply | Private Reply | To 85 | View Replies]

To: RipSawyer

OOPS!!


88 posted on 09/05/2011 1:37:38 PM PDT by mdmathis6 (Christ came not to make mankind into God but to put God into men!)
[ Post Reply | Private Reply | To 62 | View Replies]

To: John D

It depends....folks in many suburbs, country roads and even some city neighborhoods have mounted mail boxes at the end of their driveways out on the road. Many other older city neighborhoods have mail boxes on their porches or slots in their front doors so walking postal workers are necessary. I’ve lived in differing communities and I have seen both types of deliveries....the walkers and the drivers.


89 posted on 09/05/2011 1:46:11 PM PDT by mdmathis6 (Christ came not to make mankind into God but to put God into men!)
[ Post Reply | Private Reply | To 86 | View Replies]

To: mdmathis6
My mailbox is at the end of my driveway. I run all through my neighborhood. Every house has their mailbox in the same place. There is no reason the carriers need to drive, other than that the union says they need to.
I am not blaming the carriers. I am sure they want their jobs as easy as possible, but they should not be complaining about hardships that they have not gone through in decades.
90 posted on 09/05/2011 2:04:40 PM PDT by John D
[ Post Reply | Private Reply | To 89 | View Replies]

To: OnlyTurkeysHaveLeftWings; mdmathis6; gogogodzilla; Gen.Blather; muawiyah

First, I didn’t know that postal service was specifically in the constitution... So that was my ignorance/error...

Second, I didn’t “read past what I didn’t like in the constitution”, see “First”.

Third, from what was posted the United States Government was given the power to to establish Post Offices but that does not provide a mandate that it must nor is it an individual right that the government is required to provide. It simply gives them the authority to do so. Continue to correct me if I’m wrong.

So please explain how that passage in the constitution either establishes postal service as a right or mandated service.


91 posted on 09/05/2011 2:51:28 PM PDT by DB
[ Post Reply | Private Reply | To 13 | View Replies]

To: DB

“So please explain how that passage in the constitution either establishes postal service as a right or mandated service.”

Hey, no anger here! The Constitution says the government shall establish a post office and postal roads; this from a time when very few communities were connected by roads. The Founders where trying to connect the colonies together.

Later, much later, the post office became a rent-seeking welfare project. I think it has roughly 600,000 employees now, but probably has twice that number retired. The benefits are spectacular compared with the private sector. Come this winter, unless the taxpayers swoop in and bail out the mandated retirement system, the PO stops making full retirement payments. That means that if Congress doesn’t act, then Congress is throwing away somewhere in the neighborhood of 2 million votes, plus annoying all those who still use the antiquated service.

As far as the postal service being a right or mandated service; it’s just one line in The Constitution. It could be a ceremonial office, like the Surgeon General.

Is the Post Office still needed? No. It is as obsolete as sailing ships. Will Congress swoop in and rescue it? Almost certainly. Although, I’d point out, that Bernie Schwartz of Loral, bought up dozens of companies using their retirement funds as leveraged buyout capital. He got the firms and wrote out checks for the total amounts of their retirement funds to his creditors to pay back the money he borrowed. Thousands upon thousands of retired and soon to retire workers lost an entire career’s worth of savings. I think if Bill Clinton allowed that (Bernie spent more time in the Lincoln bedroom than Mr. Lincoln did.) then we the taxpayers don’t owe the current and former postal workers any more respect than the former Loral employees got.


92 posted on 09/05/2011 3:17:47 PM PDT by Gen.Blather
[ Post Reply | Private Reply | To 91 | View Replies]

To: DB
Another clause in the Constitution gives Congress the authority to legislate regarding the powers given to the federal government in the Constitution.

Section 8, after it talks about "establish post offices" goes on to say:

To make all Laws which shall be necessary and proper for carrying into Execution the foregoing Powers, and all other Powers vested by this Constitution in the Government of the United States, or in any Department or Officer thereof.

Which means Congress can establish the United States Postal Service, the Private Express Statutes, and a number of other laws ~ all of which "shall be necessary and proper " to "establish post offices".

They make it an "exclusive" legislative prerogative if they wish ~ if it's in Section 8, or they can "share".

The Tenth Amendment then says:

Amendment X ~ The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people.

So, if a power is enumerated and delegated to the United States ~ that is, the federal government ~ then it may be construed to be prohibited by it to the States.

And so it is. Besides, you do not now nor did you ever find "the states" clamoring after the prerogative of setting up their own postal systems.

You'll find many of the arguments made by folks who want a private postal service rely on a construction of the "commerce clause" ~ yet, since this "post office" business is an enumerated power, the Tenth Amendment clearly exempts it from any arguments regarding the commerce clause ~ but interestingly enough, not to the amendment ending Prohibition. That amendment takes liquor right out of the equation when it comes to USPS. It would violate the universal edicts of the Postal Reorganization Act to make any attempt to keep up with the various state laws.

Remember, when it comes to the USPS you must always evaluate it as an agency of the federal government and not as a corporation established under a state law.

I think that should satisfy any questions you have about why Congress legislates the rules regarding "the mail".

93 posted on 09/05/2011 3:52:08 PM PDT by muawiyah
[ Post Reply | Private Reply | To 91 | View Replies]

To: Gen.Blather
No, this does not affect postal retirement benefits ~ it affects ONLY the health insurance premium payments for FUTURE Postal retirees (those who retired AFTER the enactment of that piece of legislation).

Those who retired earlier are still fully covered under the system established by the federal government.

If you wanted to know why Olympia Snowe is considered a total idiot by virtually all Democrats and Republicans in the US Senate, this is it. She came up with this idea of having USPS pay this indemnity. The reasons are too convoluted to be believed, but this is to punish USPS for paying $78 billion too much in retirement to OPM.

It seems that if USPS gets "refunds" those funds have to be considered in rate making for postage rates. That would effectively return the overpayments to the mailers who pay postage ~ in short, it would be a windfall.

By flowing current Postal funds into this make-believe retiree medical insurance fund the mailers do not need to be given any benefit from any repayment of retirement overcharges.

It makes sense until you realize CONGRESS did not direct OPM to change the computation causing the overcharges, nor did it return the $78 billion to USPS. They simply kept it in OPM funds to use to pay off Congressional retirees and other far more highly paid top level government bureaucrats.

What needs to be done is pass a piece of legislation that relieves USPS of the retiree health plan payment AND returns the retirement overcharges to THE RETIREES for whom those overcharges were made.

94 posted on 09/05/2011 4:02:12 PM PDT by muawiyah
[ Post Reply | Private Reply | To 92 | View Replies]

To: DB

‘the United States Government was given the power to to establish Post Offices but that does not provide a mandate that it must’

Precisely.

It can abandon providing postal service just as it abandoned providing post roads.


95 posted on 09/05/2011 4:08:56 PM PDT by mrsmith
[ Post Reply | Private Reply | To 91 | View Replies]

To: Gen.Blather
You made a great case for assassination for Bernie Schwartz. However, he was already rich as Croeses by the time he bought Loral.

His big problem was when he gave away MIRV secrets to the Chicoms.

By all that's right and holy he should be in prison for life ~ or even worse. However, he was the single largest donor to Billzo and the Hildabeast and spent more nights in the White House than Obama's wife.

He did engage in some retirement fund shenanigans, but the specific tale you're spinning sounds more like LTV ~ where they screwed everybody including the taxpayers.

96 posted on 09/05/2011 4:11:03 PM PDT by muawiyah
[ Post Reply | Private Reply | To 92 | View Replies]

To: mrsmith
The US government STILL does the postal road trick and never stopped doing it.

Today's manifestation is mostly financial ~ Interstate Highway system comes to mind as does AMTRAK!

Earlier we had US Highways (US 50 is an example) and CONRAIL.

Before that we had Abe Lincoln and his cronies giving away alternate sections in the Great Plains to the railroad construction and operating companies to "please build a Transcontinental Railroad for us".

TheNational Road and other "post roads" were built at federal government expense in the early days, and even CANALS received substantial federal largess (although the private and state component of the financial intrigue associated with canal building left many Midwestern states BANKRUPT).

Here's another manifestation of "post road" ~ see those postal trucks parked on the street any time of day wherever they wish? They can do that provided that is a "postal road". You don't want a "postal road"? Then you don't get mail delivery or transport on your street. That can be done as a private road or just an exclusive municipal or state road.

So, what would those be? Well, they have them at many airports ~ for example, USPS trucks do not have access to the main runways! UPS and FedEx do, but not USPS.

Those particular "roads" are reserved for specific types of vehicles (USPS doesn't own any planes) under certain conditions, but, as it turns out the whole scheme for collecting taxes and paying for construction of airport runways is done under the "post roads" clause.

The same clause probably serves to authorize subsidies for port facilities as well.

97 posted on 09/05/2011 4:18:05 PM PDT by muawiyah
[ Post Reply | Private Reply | To 95 | View Replies]

To: muawiyah

Well I can tell you that the VA is trying to rescue the post office union thugs....with one appointment the last time I got 4 different notices in the mail. Prescriptions are often mailed individually...it’s a joke. No business would ever think about conducting their business in this fashion. I have inquired about notifications via email and get blank stares...and we wonder why our country is brok?


98 posted on 09/05/2011 4:22:39 PM PDT by RVN Airplane Driver
[ Post Reply | Private Reply | To 97 | View Replies]

To: John D
The union doesn't say postal carriers need to drive. There are things called "park and loop" routes.

What's going on is that the old system of using walking carriers with relay boxes simply did not meet the needs of modern mail volumes. Used to be a route might have 500 stops with each one getting 3 or 4 pieces. Then we started having routes where those 500 stops were getting several times that volume in mail.

You could build relay boxes every block or two and send guys in trucks out to fill them, or you could simply give the carriers a vehicle big enough to hold all the mail at the start of the route, and let them drive.

It's strictly economics with a bow to carrier safety. These guys are on the streets and there are crazy drivers out there.

99 posted on 09/05/2011 4:23:00 PM PDT by muawiyah
[ Post Reply | Private Reply | To 90 | View Replies]

To: exPBRrat
The political appointees don't run the Postal Service.

The only political appointees are the members of the Board of Governors, the members of the Postal Rate Commission ~ no more than that.

The US Congress has legislated the conditions that make it impossible for USPS to adapt to reduced volumes of mail.

The US Congress can fix the problem.

100 posted on 09/05/2011 4:25:47 PM PDT by muawiyah
[ Post Reply | Private Reply | To 14 | View Replies]


Navigation: use the links below to view more comments.
first previous 1-20 ... 41-6061-8081-100101-113 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson