James Cochrane, chief information officer of the U.S. Postal Service, has asked a House subcommittee for help bring the mailing agency back to financial stability, FierceGovernment reported Tuesday.
Ryan McDermott writes the Postal Service incurred $5 billion in losses during fiscal year 2013 and $2.2 billion in the first half of fiscal 2014.
“No discussion about the Postal Service is complete without acknowledging our dire financial condition and the urgent need for legislative reform,” Cochrane told the House Oversight and Government Reform Committee’s federal workforce, Postal Service and Census subcommittee during a May 22 hearing.
The Postal Service saved billions of dollars from career staff reduction and delivery route consolidation initiatives but ran into financial trouble as a result of declining First-Class Mail volume and retiree health benefit pre-payments, according to the report.
“Initiatives undertaken by postal management will not, by themselves, be sufficient to ensure both immediate and long-term financial stability,” Cochrane told the hearing.
McDermott writes the House Oversight and Government Reform Committee has approved a bill that would centralize some drop-off points for mail delivery.