High-Risk Areas Needing Significant Attention
In the 2 years since our last High-Risk Report, five areas—the U. S. Postal Service’s (USPS) Financial Viability, Decennial Census, Ensuring the Cybersecurity of the Nation, Strategic Human Capital Management, and Transforming the Environmental Protection Agency’s (EPA) Process for Assessing and Controlling Toxic Chemicals—have regressed in their ratings against our criteria for removal from the High-Risk List.
The USPS Financial Viability high-risk area declined from a partially met rating in 2019 to a not met rating in 2021 for the criterion of capacity. This regression is due to USPS’s business model not being financially sustainable. USPS expenses exceeded revenues by $18 billion in fiscal years 2019 and 2020 as its labor compensation costs continued to increase while the volume of its most profitable mail products continued to decline.