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Rolando’s press statement regarding Senate committee hearing

NALC President Fredric Rolando’s press statement regarding USPS reality:

We are pleased that the Senate Homeland Security and Government Affairs Committee is taking the opportunity to examine the reality of the Postal Service prior to advancing any postal reform package. NALC is proud to be a part of this conversation and is encouraged that the committee has called upon us to address legislative and regulatory burdens, such as the pre-funding of future retiree health benefits.

The truth of the matter is that, since 2006, the pre-funding mandate has distorted USPS’ financial reality, and the public’s understanding of its condition, by masking any and all operational profitability that it has enjoyed. This distortion has given rise to misguided proposals to dismantle the Postal Service by reducing or eliminating core services. In reality, USPS’ finances have improved in recent years and it is again running operating profits—to the tune of $1.2 billion in 2015. The public relies on the Postal Service and its invaluable network six and even seven days a week.

As Congress explores potential solutions to place USPS on solid footing while meeting the needs of the agency’s business and residential customers, it should look to the simple, targeted and achievable solutions put forward by a diverse cross-section of postal stakeholders, including unions, the Postal Service, and a broadly representative sample of mail industry companies that provide financial services, prescription drugs, newspapers, direct-mail products, e-commerce sales, and so on. This unlikely yet impressive coalition has made stabilizing the Postal Service its centerpiece by specifically working to address pre-funding through modernized investment strategies.

NALC thanks the committee for its efforts, and we will work diligently and in good faith to engage committee members on all postal-related issues as they arise, to find a fair and constructive resolution.