The news media seem to have blindly accepted Darrell Issa’s bizarre suggestion that ending Saturday mail delivery will allow the federal government to restore cuts in military retiree’s COLAs.
As we’ve pointed out more times than I can count, the USPS doesn’t get its money from Congress- it pays for its operations out of its own revenue. So if the USPS spends less, it benefits the USPS budget, not the Treasury. That means any increase in federal spending, for COLAs or anything else, is going to be paid for by taxpayers, regardless of what the USPS does.
Beyond that, Darrell’s press release points out that the USPS has “defaulted” on $16.5 billion in trust fund payments- $17 billion in savings will barely cover that, much less provide billions to finance military pensions or make the USPS solvent.
Yet the news media unquestioningly accepts Issa’s magic math:
Issa claims ending Saturday letter delivery will save $17 billion–more than enough to restore the $6 billion cut to veterans while allowing the USPS to keep the rest.
This from a “reporter” who has written about the USPS in the past, and should have at least a basic understanding of USPS finances. Americans are justifiably disgusted with a Congress that can’t seem to do anything but go on vacation, but they should be equally upset with reporters who simply regurgitate press releases and call it “analysis”.