Earlier this month the Postal Service submitted a proposal to Congress to legally transform itself into a commercial government enterprise. With little understanding of this in the community, I wish to present the two reasons for revising our legal framework.
First, three decades under the outdated Postal Reorganization Act of 1970 indicate that the charter of the Postal Service should be modified to serve customers more efficiently and effectively. Competition is increasing. Many foreign post offices have been privatized and now compete on a global level with us right here in the U.S. Domestic competitors continue to expand and grow while the Postal Service sits on the sidelines.
The second reason is that the Postal Service may soon find itself increasingly ill equipped to provide universal service that guarantees affordable access to postal services no matter where one lives. Economic changes include a decline in both mail volume and revenue, and a major increase in costs due to security, fuel and other factors.