Trending Now - Postal Service Faces Financial Crisis Without Congressional Aid
WHO:
David Steiner, Postmaster General of the U.S. Postal Service (USPS)
James Comer, Chairman of the House Oversight and Government Reform Committee, Republican from Kentucky
Pete Sessions, Subcommittee Chairman, Republican from Texas
Virginia Foxx, Representative, Republican from North Carolina
Kweisi Mfume, Subcommittee Ranking Member, Democrat from Maryland
Amber McReynolds, Chair of the Postal Service's Board of Governors
Trump administration, President Trump
WHAT:
USPS ended fiscal year 2025 with a net loss of $9.5 billion.
USPS lost $1.3 billion in the first quarter of 2026.
David Steiner stated, “I am not sure that the American public is aware that the Postal Service is at a critical juncture.”
Steiner mentioned that raising the price of a first-class stamp from the current 75 cents to about 95 cents “would largely solve our controllable loss.”
A Government Accountability Office report released on March 17th, 2026, stated that the Postal Service’s business model is “unsustainable,” and that “urgent action” is needed to get ahead of a looming cash crisis.
USPS is projected to run out of cash in less than 12 months, potentially halting mail deliveries.
USPS ended fiscal year 2025 with a net loss of $9 billion.
USPS is asking Congress to increase its borrowing limit from $15 billion, which has been unchanged since 1992.
USPS delivered approximately 6.8 billion packages in fiscal year 2025, down from 7.3 billion the previous year.
USPS has shrunk its workforce by about 35,000 employees over the last four years.
More than 10,000 USPS employees accepted early retirement offers last year.
USPS is regulated to raise mail prices only once per year through September 2030, costing the agency up to $1 billion annually.
WHERE:
U.S. Postal Service, a federal agency operating nationwide.
WHEN:
The warning about cash shortage was made on March 17th, 2026, during a House Oversight subcommittee hearing.
The Postal Service Reform Act was passed in April 2022.
USPS's financial troubles have persisted since 2007.
WHY:
USPS faces a long-term financial crisis due to a drastic reduction in mail volume, which has fallen nearly in half over the last 20 years.
The agency relies on stamps and service fees, not tax dollars, for funding.
HOW:
USPS is attempting to boost revenue by starting to take bids from large and small businesses for special shipping rates for its nationwide "last-mile" delivery network.
USPS has been borrowing money from the U.S. Treasury and deferring pension obligations to maintain operations.
USPS is attempting to boost revenue by bidding for special shipping rates for its "last-mile" delivery network.
(UPDATED March 18, 2026 11:17 UTC)
The United States Postal Service wrapped up fiscal year 2025 with a staggering net loss of $9.5 billion and reported an additional loss of $1.3 billion in the first quarter of 2026. David Steiner highlighted the urgency of the situation, suggesting that raising the price of a first-class stamp from 75 cents to about 95 cents could significantly alleviate their financial struggles, as underscored by a recent Government Accountability Office report stating the Postal Service's business model is "unsustainable." In response to these challenges, USPS is now seeking bids from businesses for special shipping rates to enhance revenue through its nationwide "last-mile" delivery network.
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(UPDATED March 18, 2026 05:32 UTC)
During a House Oversight subcommittee hearing on March 17, USPS officials warned that the agency is projected to run out of cash in less than a year, following a staggering net loss of $9 billion in fiscal year 2025. The Postal Service has seen a significant decline in package deliveries, dropping from 7.3 billion to approximately 6.8 billion, and has reduced its workforce by about 35,000 employees over the past four years. To address its financial crisis, USPS is asking Congress to increase its borrowing limit, which has remained unchanged since 1992, while also trying to boost revenue through special shipping rates for its last-mile delivery network.