Election Junk Mail Keeps Post Office Treading Water
Oct 15, 2012 Political
The United States Post Office is on the brink of insolvency and has been several times. The PO is losing money hand over fist and every few months there are dire predictions about insolvency and cuts in service.
The PO states that this is because it is required to pay billions each year into its pension fund to pay for its retirees. Perhaps that is so but the PO had generous retirement plans and it must pay for them. I guess the PO, like all other government and union entities expects the taxpayer to pick up the tab for these retirees.
I have discussed the PO in detail before so I won’t rehash it here. Suffice it to say that I think it would be better off if it were, at least party, privatized.
In any event, the PO has gotten a slight reprieve this year because this is an election year and it is an important election year. Couple the increased political activity among the electorate with the increased spending PACs are allowed to engage in and there are a lot of items being mailed to people.
The Post Office is getting a boost from increased political mailings so I know that entity is praying that the race remains close and more organizations get involved in the process.
Regardless, when November rolls around and the election is behind us the PO will need to face reality and work to make things more efficient and cost effective.
When the PO was the only means of sending written communication it did well and money was no object. Now there are other companies that deliver and email as a means of communication. Not to mention that many companies have their catalogs on their websites for viewing or download. No need to spend a few dollars per catalog to mail them out.
One way or another the PO will have to reduce costs. It will probably have to reduce delivery to five days a week (is Saturday deliver really necessary) and it will probably have to reduce the workforce and number of branches.
If not it will certainly go belly up.
At least until Congress takes OUR money and uses it to bolster the PO.
Cave canem!
Never surrender, never submit.
Tags: election, insolvency, junk mail, post office, restructure, unions
Obama Proves Why Government Run Anything Is Bad
Aug 12, 2009 Political
Barack Obama had a town hall meeting and he was discussing the opponents who say that the government will not force insurance companies out of business. He said that UPS and Fedex compete with the Post Office and that they are doing fine. He went on to say that it was the post office that was always having problems.
On its face, this seems to make sense but the analogy is a poor one. UPS and Fedex, by and large, deliver packages. The Post Office delivers packages but its mainstay is delivering letters. Also, the government does not set the rates that UPS and Fedex can carge. If it interfered with them as it intends to do in health care then they would be in trouble. Even if they are somewhat similar, why is it that the Post Office is still in business? More on that later.
Later on Obama said that people needed to know that they were not going to get a system that kept losing money but was continually funded with taxpayer dollars. He said that the government plan would not do that.
But the government continues to fund the Post Office and it loses billions of dollars a year. Taxpayers are always on the hook for the poor showing by the postal service. Additionally, Medicare is a government run plan and it spends more than it takes in even though the government said that this would not happen and that it would cost a lot less than it eventually has. Medicare is a government run plan that has high administrative costs (that are hidden) and is basically out of money. Government is using our tax dollars to pay for this health plan even though it is full of waste and fraud. His claim that government will not continue to fund a poor performing plan by using taxpayer dollars is hollow because government is doing that right now.
Social Security will spend more than it takes in in the next few years. Taxpayers will foot the bill for this through increased taxes and seniors will pay through reduced benefits. This is another government plan that is rapidly reaching the point where it will not meet the standard Obama claims he wants. Good luck trying to get the money that has been paid in because the government has issued bonds for the money and then spent it on other things. There is no money to pay back the money owed on the bonds. They are nothing more than worthless pieces of paper. They are backed by the full faith and credit of the US government but there is not a lot of faith in that entity and we are way over our credit limit.
Obama also mentions the VA. It is not a free health care plan. All veterans paid for the care with their service to our country. Ask any of them about the VA and you will hear the horror stories. The government runs it poorly and the waste of money costs taxpayers. More importantly, it does a disservice to our veterans. Hell, veterans who also have private insurance are screwed in the deal because the VA bills the insurance for something that is supposed to be provided as part of their service (if the medical issue is service connected). This is how they are getting some of the money back and it is wrong.
Obama unwittingly demonstrated why a government run plan is a recipe for disaster. Government is rife with fraud, waste, and abuse. The TARP money has not had proper oversight and there are plenty of stories of stimulus money being wasted. Additionally, the government does not have to worry about running in the red. It can continue to do so and drive private insurance companies out of business. Government will just tax us more and decrease benefits.
Obama can say that his plan will not run private insurance out of business but his own words from the past are a chilling reminder of what he wants. He wants a single payer system and he has stated that it will take time but it will put insurance companies out of business.
I know the left has been defending him and claiming that the words are taken out of context but this is a lie. They are his words and they were presented in context. One item was presented in its entirety and Obama is clear about his intentions.
Once the camel gets its nose under the tent it will be impossible to keep him out. Obama’s plan is the first attack and if it is passed he and his Democrats will work toward a single payer system and by then it will be too late. Government plans do not go away no matter how badly they perform.
Witness Medicare, Medicaid, and Social Security and throw in the Post Office for good measure. Of course, Congress has the Constitutional authority to establish Post Offices but does this mean that they have to continue on a path that is fiscally irresponsible?
Obama picked a poor comparison and his reminder should give us all pause. We do not need, nor do we want, the government to run our health care.
Government has a track record and it is not a good one.
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Tags: health care, Obama, poor performance, post office