Overview
- Postmaster General David Steiner told Congress the Postal Service could be unable to deliver mail within 12 months, with some scenarios pointing to a cash shortfall as early as October.
- He proposed raising the first-class stamp from 78 cents to 90–95 cents, saying the change would largely close the agency’s controllable loss after repeated hikes since 2021.
- USPS reported a $9 billion loss last fiscal year and $1.3 billion in the first quarter of 2026, following a drop in annual mail from 213 billion pieces in 2006 to about 109 billion today.
- The agency is asking Congress for expanded borrowing authority and more pricing and regulatory flexibility, noting that January shipping price increases are insufficient to avert the near-term risk.
- Contract talks with Amazon have stalled, with the company warning of uncertainty about future package volumes and reports that the current deal ends in September unless a new agreement is reached.