The United States Postal Service has secured a significant $10 billion deal to handle “last-mile” package deliveries for DHL eCommerce, a division of the German logistics company DHL. This agreement represents a strategic expansion for the USPS, which aims to leverage its extensive delivery network to serve a wider range of shippers, including those beyond current partnerships with Amazon and UPS. By utilizing the postal service’s established infrastructure for the crucial, labor-intensive final leg of delivery, DHL eCommerce anticipates enhanced efficiency and a reduced environmental impact. This initiative aligns with the USPS’s broader strategy to diversify revenue streams and strengthen its financial position.
Read More
It appears there are some significant plans brewing within the U.S. Postal Service regarding mail-in voting, and the sentiment around these potential changes is quite charged. At the heart of the matter is a proposed rule change that could fundamentally alter how mail-in ballots are handled. The core of this proposal, as understood, involves the Postal Service establishing a process where states would need to notify them about who is being sent mail-in or absentee ballots. This notification would include unique barcodes associated with each voter’s ballot envelope, allowing for the creation of a “Mail-In and Absentee Participation List.” This list, maintained by the federal government, would then dictate who receives ballots, rather than the existing state-run systems.… Continue reading
To alleviate a severe financial crisis and maintain operations, the U.S. Postal Service will temporarily suspend employer contributions to Federal Employees Retirement System annuities. This measure, alongside a proposed increase in postage rates, aims to preserve cash and prevent the service from running out of funds by February 2027. While current and future retirees will not be immediately impacted by the annuity payment suspension, officials stress the urgency of addressing legislative restraints that contribute to the ongoing financial challenges. The Postal Service also seeks to raise its borrowing limit and gain greater flexibility in pricing and investment strategies.
Read More
The head of the U.S. Postal Service will inform Congress that the agency requires an increased borrowing capacity to avoid ceasing operations. Reaching its $15 billion borrowing limit and facing substantial losses, the USPS is reportedly running out of cash by early 2027. To address this crisis, potential cost-saving measures include discontinuing six-day delivery, closing post offices, and raising first-class stamp prices significantly, alongside other necessary reforms.
Read More
The U.S. Postal Service faces a severe cash shortage and could be unable to meet payroll and vendor obligations by February 2027 without congressional intervention. Postmaster General David Steiner is urging Congress to lift a decades-old borrowing cap and allow for increased revenue generation through measures such as postage price adjustments. These financial pressures are compounded by declining mail volume and the burden of universal service mandates without direct federal appropriations.
Read More
The Supreme Court, in a 5-4 decision, has ruled that Americans cannot sue the U.S. Postal Service for intentionally withholding mail, even in cases of alleged racial discrimination. Justice Clarence Thomas, writing for the majority, stated that the federal law shielding the Postal Service from lawsuits over undelivered mail also encompasses intentional nondelivery. The dissent, led by Justice Sonia Sotomayor, argued that this protection should not apply when the refusal to deliver is driven by malicious intent. The Trump administration had previously cautioned that a ruling in favor of the plaintiff could lead to numerous lawsuits against the Postal Service.
Read More
The Department of Justice and the United States Postal Service awarded its first-ever whistleblower reward, totaling $1 million, for information that helped dismantle a $16 million fraud scheme involving EBlock Corporation, an online vehicle auction company. The whistleblower’s tip led to criminal and antitrust charges against the company, which allegedly engaged in placing fake bids to inflate used vehicle prices. Consequently, EBlock Corporation will pay a $3.28 million fine and implement remedial measures, including a compliance program. The DOJ’s new Whistleblower Rewards Program, which offers rewards for reporting postal-related antitrust crimes, aims to combat corporate collusion and protect consumers.
Read More
The United States Postal Service has finalized a rule defining postmarks and clarifying their significance in relation to mail acceptance dates. The rule emphasizes that the postmark date often reflects the initial automated processing, not necessarily the date of USPS possession, and potential delays are likely due to operational changes. To guarantee a same-day postmark, customers must utilize specific retail services like manual postmarks, postage validation imprints, or certified mailing. This clarification is particularly important for tax filings, as the postmark date is crucial in determining timely submission under IRS regulations.
Read More
A case before the Supreme Court challenges the U.S. Postal Service’s exemption from lawsuits regarding lost or mishandled mail, stemming from a Texas landlord’s claim of deliberate mail withholding. The Postal Service argues a ruling against them could trigger a flood of litigation, particularly impacting the already busy holiday season. The central question is whether the postal exemption to the Federal Tort Claims Act applies when postal employees intentionally fail to deliver mail, with the lower court previously disagreeing with the exemption. A decision in the case is expected to be issued next year.
Read More
US Postal Service chief Louis DeJoy’s resignation has sparked a wave of mixed reactions, ranging from outright celebration to deep-seated apprehension. Many see his departure as long overdue, citing years of perceived mismanagement and deliberate efforts to undermine the Postal Service’s efficiency and reliability. The sentiment is strong that his tenure has been marked by a consistent pattern of actions detrimental to the organization, leaving a legacy of damage and distrust.
The timing of his resignation, however, is fueling suspicion. Some believe it’s suspiciously convenient, suggesting a strategic maneuver to pave the way for the privatization of postal services, potentially benefiting DeJoy’s own business interests.… Continue reading
John Q. Hosedrinker 
Matt Underwood