ASSEMBLY OVERSIGHT, REFORM AND FEDERAL RELATIONS COMMITTEE

STATEMENT TO

ASSEMBLY RESOLUTION No. 181

STATE OF NEW JERSEY

DATED:  OCTOBER 8, 2020

The Assembly Oversight, Reform and Federal Relations Committee reports favorably Assembly Resolution No. 181.

     This resolution respectfully urges Congress to provide immediate financial assistance to the United States Postal Service.

     Unfortunately, the Postal Service is in need of urgent financial relief because of the public health and economic crisis caused by COVID-19.  The Coronavirus Aid, Relief, and Economic Security (CARES) Act that was passed in March included a provision allowing the Postal Service to borrow up to $10 billion from the U.S. Treasury Department; however, the Treasury Secretary has sought to impose stringent terms and conditions on the loan.  Additionally, in May, the U.S. House of Representatives passed the Heath and Economic Recovery Omnibus Emergency Solutions (HEROES) Act that included a provision to direct $25 billion to the Postal Service; however, the U.S. Senate has not voted on the bill.  According to the Postal Service, the agency will run out of cash by the end of September if Congress does not act now and provide immediate financial assistance.

     A halt in postal service operations would have grave consequences across the country and threaten the delivery of essential goods and services and democracy itself.  The Postal Service delivers more than a billion shipments of prescription medications and other critical supplies each year, and that number is expected to grow rapidly because of COVID-19.  Along with local e-commerce, critical communications by federal, State, and local government, such as vote-by-mail and absentee ballots and U.S. Census forms, are delivered by the Postal Service throughout the country.  The agency is also the only delivery service that goes everywhere in the United States, not just places with denser populations.  Without the Postal Service, rural communities, where millions of Americans are sheltering in place, could be cut off from crucial provisions and government communications.

     In order to prevent a critical infrastructure of the United States from collapsing, this House respectfully urges Congress to provide immediate financial assistance to the Postal Service and to support the millions of residents who depend on the Postal Service, including over 600,000 agency employees.