Issa complains to APWU about ads defending USPS

Interesting statement by Darrell Issa regarding the APWU’s commercial defending the USPS. Issa claims that the USPS is taxpayer funded because of tax exemptions it receives. By that logic, of course, the oil companies (and just about every other corporation or individual in the US) would also be considered taxpayer funded…

Darrel Issa press release:

WASHINGTON- Oversight and Government Reform Committee Chairman Darrell Issa in a letter to the American Postal Worker Union (APWU) asks the union to cancel a misleading ad campaign that falsely claims the United States Postal Service (USPS) does not receive taxpayer support when it does, in fact, receive hundreds of millions of dollars of taxpayer money through preferential tax treatment and other benefits.

“A December 2007 report from the Federal Trade Commission includes a long list of implicit subsidies the Postal Service receives that are not available to private companies,” said Issa in the letter to APWU President Cliff Guffey. The letter notes that “the Postal Service is exempt from, among other items, federal, state, and local income tax, all state and local taxes (including property tax), and vehicle registration and titling fees.”

The letter also notes that USPS has access to borrowing directly from the United States Treasury at very low rates. As of the end of Fiscal Year 2010, the Postal Service had $4.1 billion in debt with an interest rate below 0.3% as well as an additional short-term revolving credit line of $3.4 billion at an interest rate of 0.206%.

Noting that these subsidies are worth hundreds of millions of dollars annually, Issa asked the union not to mislead the American people.

“While you and I have significant differences of opinion on how the Postal Service should be reformed, I believe we must be clear about the underlying facts. I ask you not to engage in a campaign to mislead the American people.”

Issa, the author of the only legislation introduced this Congress which would return the Postal Service to solvency, has also called on the Postal Service and their allies to recognize that the decline in revenue is permanent, driven by the transition to electronic, paperless technology and not temporarily by the recession. Issa debunked these myths and others in a “Myth vs. Fact” paper published last week.

via Issa to Postal Union: Stop Misleading Ads on Postal Service.

  • Pete

    duh…. how is it taypayer support not to pay taxes?

  • Dawn

    Well isn’t that the pot calling the kettle black. Who is misleading whom Mr. Issa?

  • Bernie

    We better check Mr Issa family stocks in Fedex & Ups,

  • Ken

    Issa is an idiot

  • Dan

    Issa has repeated his own lies for such a long period of time, he is starting to believe them himself…..what putz…..what a schmekel.

  • Yuri

    It is clearly obvious from the nature, content, style. and
    extreme frequency of this man’s efforts, that he is on a gung-ho, no-holds barred, personal campaign to destroy the US
    Postal Service, not save it. It seems he invests his total time, energy, and resources towards the dismantling and destruction of this venerable institution, from the time he
    rises to the time he retires. Almost like an obsession. This would be an interesting case for psycholgical analysis to
    ascertan what in the world has precipitated this extreme
    and misguided obsession.

  • Jim

    so, the USPS paid the same amount in taxes as GE?

  • Mailer

    How dare anyone oppose Issa’s agenda.

  • mutts

    I guess all religions are funded by taxpayers too, since they pay no taxes
    and property taxes i believe.

  • Dejay

    After reading about this guy on Wikipedia and some other sites, he’s nothing but a liar and a crook. I’d like to have some of his $250 million that he scammed over the years. I don’t doubt that he has money invested in UPS and other delivery service companies. Dirty dog. Hope he gets voted out.

  • wontonsoup

    Issa not right that thisa guy complaina so much. Issa bout time for dissa guy to do the things the people that voted him into office elected him to do. I’ma guessin’ they donna wanna have their Post Office shut down.

  • OG

    One can argue that the amount Issa is questioning is minute in comparison to the Postal Service’s expenses necessary to maintain the universal service obligation. Issa’s claim (straight-out of Cato’s Institute 1980’s rhetoric) is as lame as his refusal to investigate corrupted banking activities. Speaking of taxes, perhaps Rep. Issa should address the preliminary report by the Citizens for Tax Justice which exposes the real tax-fraud: “Analysis: 12 Corporations Pay Effective Tax Rate of Negative 1.5% on $171 Billion in Profits; Reap $62.4 Billion in Tax Subsidies
    Exxon Mobil, Boeing, Verizon, Others Illustrate Why Revenue-Raising Reform is Needed”

    So, Issa (and his pal Ross) attack the PO with false claims like “bailout” and “tax-payer funded” – when, in reality the Top-12 Corporations had not paid their fair share during the recession.

    Fact: Issa is a hypocrite (besides being a proven crook).


  • Marcus

    I understand everyone’s gripes about Issa. However, the commencial is misleading. If you knew nothing else when you watched the commercial, you would think the USPS is self sustaining and it’s not. Through little fault of its own, it is losing more and more money every year. It’s very unfortunate.

  • Lynn

    While Issa is technically correct in what he states, he chooses to ignore the cost of universal service, the cost to the organization when it must cow tow to multiple layers of confessional over site, his denial that the USPS has overpaid for retires benefits or the fact that GE and many other large businesses pay Zero in taxes, but much worse those companies export American Jobs overseas. There tax rate should dollar for dollar for all money’s generated by shipping jobs off shore. He is either a liar and/or incompetent. I think he is both.

  • brian

    What’s misleading about it? USPS revenues since its creation have been sufficient to fund its operations. The fact that Congress slapped on a $5.5 billion annual tax doesn’t change that fact. The point is that Congress created the financial mess, not the USPS, not the economy, and not the decline in mail volume.

  • Judy

    I love Yuri’s post. Well said. And Brian also is spot on.

  • Pingback: Fox News contradicts Issa claims on USPS tax advantages - postalnews blog()

  • PonyExpress

    And don’t forget those taxpayer funding companies that get sweetheart deals on taxes to move their corporations to various states. Seems like us taxpayers fund all kinds of folks. Hey isn’t ISSA tax payer funded also? I think I pay his salary? And I don’t like what I am getting for my money.

  • bob

    excuse me darrel issa but who pays for your political campain mail to be delivered?

  • mike

    guess issa is scared the truth is to come out. Funny the republican party wants to pick on the usps which is not tax payer funded and is required by the constituition yet republicans dont want to look into the tax loop holes and breaks that exxon,mobil and big gas and oil companies want and cry they need even on the same day they post the largest profits in history. Behner seems adimit on not touching their special deals for a spending deal to be done. can the government open investigations on the republican party for TERRORISM. what ever happened to the party of lincoln. his statue gonna be redone with a frown looking at the capital. Maybe the TSA can start arresting the republicans and deport them to mexico seems like a good fit.

  • big mike

    issas the biggest idiot ever he needs to have ass kicked

  • reo

    He is hell bent on eliminating any public sector unions in any fashion while him and Ross continue to push their corporate agenda which includes raping the US POSTAL SERVICE. Isn’t it interesting that the same KOCH HEADS on the Supreme Court ruled in favor of Citizens United?

  • Gregg

    Granted,Mr Issahole is a MORON!! That’s a given!!However,I can’t understand why the APWU feels like they have to justify our service with this glorified PSA.The USPS lost 1.2 BILLION dollars in May,2011.Who paid for this air time??Fact is,the USPS wastes way to much money.This commercial is one of them.Management pay is another example.Clerk and or carrier overtime is another example.However,when your office has 7-15 open routes,what are the options??When your office is 2-4 clerks short,again,what are the options??But don’t you fret none!! They will get it fixed by Sep 30th!!

  • James

    Apparently Mr. Issa still insists there is WMD’s in Iraq also. More republican lies to the public!