| About the U.S. Postal Service | |
|
Early History of the U.S.
Postal Service
The United States Postal Service first began moving the mail on July 26, 1775,
when the Second Continental Congress named Benjamin Franklin as the nation's
first Postmaster General. In accepting the position, Franklin dedicated his
efforts to fulfilling George Washington's vision. Washington, who championed a
free flow of information between citizens and their government as a cornerstone
of freedom, often spoke of a nation bound together by a system of postal roads
and post offices.
Publisher William Goddard (1740-1817) first suggested the idea of an organized U.S. postal service in 1774, as a way to pass the latest news past the prying eyes of colonial British postal inspectors.
Goddard formally proposed a postal service to Congress nearly two years before adoption of the Declaration of Independence. Congress took no action on Goddard's plan until after the battles of Lexington and Concord in the Spring of 1775. On July 16, 1775, with revolution brewing, Congress enacted the "Constitutional Post" as a way to ensure communication between the general populace and the patriots preparing to fight for America's independence. Goddard was reported to have been deeply disappointed when Congress chose Franklin as Postmaster General.
The Postal Act of 1792 further defined the role of the Postal Service. Under the act, newspapers were allowed in the mails at low rates to promote the spread of information across the states. To ensure the sanctity and privacy of the mails, postal officials were forbidden to open any letters in their charge unless they were undeliverable.
For
a complete history of the early Postal Service, visit the History
of the United States Postal Service Web site at: http://www.usps.com/history/his1.htm
The Modern Postal Service: Agency or Business?
Until adoption of the Postal Reorganization Act of
1970, the U.S. Postal Service functioned as a regular, tax-supported, agency of
the federal government.
According to the laws under which it now operates, the U.S. Postal Service is a semi-independent federal agency, mandated to be revenue-neutral. That is, it is supposed to break even, not make a profit.
In 1982, U.S. postage stamps became "postal products," rather than a form of taxation. Since then, The bulk of the cost of operating the postal system has been paid for by customers through the sale of "postal products" and services rather than taxes.
Each class of mail is also expected to cover its share of the costs, a requirement that causes the percentage rate adjustments to vary in different classes of mail, according the costs associated with the processing and delivery characteristics of each class.
According
to the costs of operations, U.S. Postal Service rates are set by the Postal Rate Commission according to the
recommendations of the Postal Board of
Governors. [See: Postal Service Says
It Needs Even More]
Look, it's an agency! No, it's a business! All of which are typical functions and powers of a private
business. However, unlike
other private businesses, the Postal Service is exempt from paying federal taxes. USPS can borrow money at discounted rates,
and can condemn and acquire private property under governmental rights of eminent domain. The USPS does get some taxpayer support. Around $96 million is budgeted
annually by Congress for the "Postal Service Fund." These funds are
used to compensate USPS for postage-free mailing for all legally blind
persons and for mail-in election ballots sent from US citizens living overseas.
A portion of the funds also pays USPS for providing address information to state
and local child support enforcement agencies, and for keeping some rural posts
offices in operation. Under federal law, only the Postal Service can handle or charge postage for handling letters.
Despite this virtual monopoly worth some $45 billion a year, the law does not
require that the Postal Service make a profit -- only break even. Still, the US
Postal Service has averaged a profit of over $1 billion per year in
each of the last five years. Yet, Postal Service officials argue that they
must continue to raise postage at regular intervals in order make up for the
increased use of email. [See: Postal
Service Says It Needs Even More] In it's private business persona, the Postal Service ventures into E-commerce
with "USPS eBillPay,"
a popular online bill paying service and "Postmark
America," an online store for postal oriented gifts, clothing and
collectibles. For email senders, USPS offers an email
certification system which enables customers to create and send messages via
the Internet through a secured postal account. Customers don’t need an Internet service provider to send electronic
messages. USPS -- One Big and Busy Outfit The Postal Service currently handles more than 200 billion pieces of mail a
year, or five pieces per address per day. Nothing Beats a Real Letter
The USPS is created as a government agency under Title
39, Section 101.1 of the United States Code which states, in part:
Under paragraph (d) of Title
39, Section 101.1, "Postal rates shall be established to apportion the costs of all postal
operations to all users of the mail on a fair and equitable basis."
the Postal Service takes on some several very non-governmental
attributes via the powers granted to it under Title
39, Section 401, which include:
Today, the U.S. Postal Service:
For getting your point across to your elected representatives, that is. See: Letters
to Congress -- for tips on writing strong, effective
letters to elected officials.
Written by: Robert C. Longley
Date: 12/19/00
URL: http://usgovinfo.about.com/blpostalservice.htm
