There was rampant misunderstanding in connection with legislation and accounting that will govern postal banking. Opponents declare that brand new financial solutions would economically tank USPS and later produce an unsustainable financial burden for the government that is federal.
However these issues donвЂ™t mount up. To start with, the postoffice just isn’t straight funded by income tax revenues. The Postal Reorganization Act of 1970 has lawfully forced USPS to be self-sufficient, to come up with its income from the very own solutions, whatever draconian cuts Congress has since imposed. Additionally, the analysis because of the Inspector General implies USPS it self will probably make money away from brand brand new economic services through modest costs and interest.
Then a stable postal banking system could be our best defense if preventing Main Street from falling into the flames along with Wall Street is indeed a national concern.
However, regardless of post officeвЂ™s own situation that is financial the federal governmentвЂ™s balance sheet doesn’t consist of USPS assets and liabilities. Certainly, the separation is really so complete that thereвЂ™s a law that is uniquely foolish USPS put aside money today for many future retiree wellness benefitsвЂ”without subsidy through the Treasury. Continue reading