There is great news for the chorus of leading House Democrats and special interests who have been squawking for the past month that the U.S. Postal Service will be broke and chaos will ensue just before the election: It’s not going to happen!
The Postal Service itself just made this clear. In a May 8 legal filing about its finances the Postal Service says it “expects that it will have sufficient liquidity to continue operating through at least May 2021.” Also, during a public webcast about its finances the same day, the Postal Service’s most senior officials gave no indication of a shutdown by October.
A big reason is the CARES Act increased the Postal Service’s borrowing authority by $10 billion. That gave the Postal Service $23 billion in available cash at the start of the pandemic. And while the mail business is hurting, the package business is up sharply.
Far from satisfied, House Democrats called for $25 billion in unrestricted assistance for the Postal Service in legislation introduced this week.