AB Data

Is the Postal Service Shutting Down?

The Postal Service has been struggling for some time. That’s no secret. Concerns that the Postal Service will shut down by June may have been greatly exaggerated. In fact, the $10 billion in borrowing authority they received as part of the CARES Act should keep them operating into at least April 2021. That being said, don’t look for Congress to take additional action in this next phase of the stimulus package. Still, it is extremely unlikely that the Postal Service will be allowed to perish.

In her April 10th statement, PMG Megan Brennan noted the USPS, “provide[s] an essential public service and bind[s] the nation together as a part of the country’s critical infrastructure. As Congress and the Administration take steps to support businesses and industries around the country, it is imperative that they also take action to shore up the finances of the Postal Service, and enable us to continue to fulfill our indispensable role during the pandemic, and to play an effective role in the nation’s economic recovery.”

To that end, the USPS will continue to work with policymakers to ensure their solvency in the long term.