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Postmaster General warns that Postal Service will run out of money by end of fiscal year without aid

Postmaster General warns that Postal Service will run out of money by end of fiscal year without aid
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Postmaster General Megan Brennan told the House Oversight and Reform Committee that the U.S. Postal Service would run out of money by the end of the fiscal year unless it received financial assistance from the federal government.

Brennan noted the Postal Service expects to lose $13 billion from the COVID-19 pandemic and an additional $54.3 billion in additional losses over the next decade.

There are more than 31,600 Post Offices around the country and more than 650,000 employees. The mailing industry generates almost $2 trillion a year.

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During the meeting, Democratic House Oversight panel members also made the case for federal funding for the service. 

“The Postal Service is holding on for dear life, and unless Congress and the White House provide meaningful relief in the next stimulus bill, the Postal Service could cease to exist," Chairwoman Carolyn MaloneyCarolyn MaloneyDemocrats urge tech giants to change algorithms that facilitate spread of extremist content Hillicon Valley: Biden names acting chairs to lead FCC, FTC | Facebook to extend Trump ban pending review | Judge denies request for Amazon to immediately restore Parler Judge denies request for Amazon to immediately restore Parler MORE (D-N.Y.) said in a statement.

“Every day, the dedicated employees of the Postal Service are on the front lines of the COVID-19 pandemic to ensure all Americans receive their mail and packages, as well as critical medical supplies that are being shipped across the country,” committee member Brenda LawrenceBrenda Lulenar LawrenceHillicon Valley: FBI chief says Russia is trying to interfere in election to undermine Biden | Treasury Dept. sanctions Iranian government-backed hackers Lawmakers call for expanded AI role in education, business to remain competitive The Hill's Morning Report - Sponsored by The Air Line Pilots Association - Pence lauds Harris as 'experienced debater'; Trump, Biden diverge over debate prep MORE (D-Mich.) said. 

“During a Census and election year, it is imperative that we have a fully functional Postal Service to ensure Americans across the country can participate in our democracy," she added.

In the meeting, Brennan requested that the Treasury give the Postal Service $25 billion in "unrestricted borrowing authority."

Many industries and businesses have been hit hard by the pandemic, forcing them to seek aid and loans from the federal government. Congress and President TrumpDonald TrumpMore than two-thirds of Americans approve of Biden's coronavirus response: poll Sarah Huckabee Sanders to run for governor Mexico's president tests positive for COVID-19 MORE have already signed three stimulus packages in hopes of jumpstarting the economy.