Trump’s Unseen USPS Proposals Won’t Matter

Predictably, several companies opposed to President Donald Trump’s forthcoming recommendations about what to do about the U.S. Postal Service have led to the formation of a lobbying group to fight them just days before they become public.

Predictably, several companies opposed to President Donald Trump’s forthcoming recommendations about cahnging the U.S. Postal Service have led to the formation of a lobbying group to fight them just days before they become public.

These recommendations at deadline were still a closely guarded secret but they are expected to call for the privatization of the USPS “when it returns to profitability,” according to Government Executive https://www.govexec.com/management/2018/08/trumps-postal-task-force-has-recommendations-ready-president/150374/

The group known as the Package Coalition (https://www.packagecoalition.org/,) seeks to hold onto “an affordable, reliable and profitable postal package delivery system as an essential part of America’s infrastructure and economic growth,” according to Supply Demand Chain magazine https://www.sdcexec.com/risk-compliance/news/21016154/us-postal-service-lobby-group-forms-days-before-task-force-recommendations.

Members include organizations as diverse as Columbia Sportswear, pharmacy benefits manager Express Scripts, the National Retail Federation, package shipping firm OSM Worldwide, postal technology giant Pitney Bowes, Publishers Clearing House and television shopping channel QVC.

The group calls for a profitable USPS, which it often was before the postal reform law of 2006, which mandated that the postal service pay more than $5.8 billion a year to fund healthcare benefits for future retirees. At least for now the coalition does not officially addressed this issue.\

Overall, it doesn’t matter whether Trump’s postal recommendations are public or not. How much chance do they stand in Congress which must pass all new legislation?

Given those circumstances there’s little prospect that the USPS will ever be profitable again and no industry lobbying group has the power to change this-especially a new ad-hoc one.

It’s worth noting that package delivery has long been the sole area now where the USPS actually makes money. In its latest quarter, the USPS reported revenue growth in package deliveries of 10.2 percent while mail losses continued their precipitous declinehttp://about.usps.com/news/national-releases/2018/pr18_062.htm.

Poor Trump. He still refers to the institution as the U.S. Post Office, a designation that died in 1970 when the current U.S. Postal Service was created. That’s almost half a century out of date.

But that’s hardly the only misunderstanding Trump has of the USPS and how its
arrangements with many companies have benefited American business-and ultimately consumers over the years.

In 2013, the postal service formed a joint venture with Amazon.com to deliver packages on Sunday, something neither FedEx nor United Parcel Service does.

While nobody expected this arrangement to solve the postal service’s financial woes the deal did show that the USPS is aware of its financial condition. Amazon is close-mouthed about this arrangement but it hasn’t broken apart and doesn’t seem likely to either.

These forthcoming recommendations all stem from a dispute our President has with Amazon CEO Jeff Bezos, whose company owns the Washington Post, a frequent critic of Trump.

Once again Trump shows off his misunderstanding of Amazon’s longstanding relationship with the postal service and how it benefits the overall. Also, while many commercial mailers constantly complain about the USPS they realize they need it to stay in business.

But what does it matter if Trump has a less-than-perfect grasp on the issues? This started in 2017 when he called judges in the 9th Circuit Court of Appeals “so-called judges” for staking down his Muslim travel ban. So far, Trump has been able to skate by with little public opposition and a more-than-compliant Congress.

Question is: how many of these yet-to-be-seen postal-related changes could Trump make through executive action? Probably not too many since the USPS operates as an independent agency answerable only to Congress and not to the executive.

With big battles looming over a confirming a new U.S. Supreme Court justice and uncertainty over whether Special Counsel Robert Mueller will take any action against Trump makes it unlikely Congress will take on postal reform this session

But this won’t stop Trump from his constant bellowing.

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This entry was posted in Amazon.com, Donald Trump, Postal Accountabillity and Enhancement Act, postal finances, President Trump, Uncategorized and tagged , , , . Bookmark the permalink.

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