Ron Stroman, a former deputy postmaster general and a member of the USPS Board of Governors, is urging the Postal Service to pump the brakes on its network modernization efforts due to ongoing mail delays in areas undergoing these changes.
Stroman’s call to slow down comes after a letter from 26 senators to Postmaster General Louis DeJoy and the USPS board, urging a halt to network modernization until an independent regulator can assess the plan’s merits.
During a USPS board meeting, Stroman emphasized the need for caution with the significant changes proposed under the 10-year reform plan, particularly the shift to a “hub and spoke system” to consolidate regional mail processing.
While acknowledging the potential benefits of this model, Stroman highlighted the increased risk of delays associated with fewer processing plants and longer delivery routes.
DeJoy acknowledged USPS’s failure to meet service expectations in regions like Atlanta, Houston, and Richmond, Virginia, where large mail processing hubs have been established.
Despite these challenges, DeJoy reaffirmed the importance of the network modernization plan in USPS’s long-term viability, citing a projected reduction in operating losses and the need to adapt to evolving postal demands.
Addressing concerns about USPS’s financial stability, DeJoy pointed to a $1.5 billion net loss for the second quarter of fiscal 2024, compared to a $2.5 billion loss in the same period last year. However, he noted a revenue increase and progress in managing costs.
Amidst the ongoing transformation efforts, USPS is also investing in electric vehicles, with plans to acquire 27,000 new vehicles this year, including 10,000 electric ones, and over 106,000 vehicles over the next six to eight years, the majority of which will be electric.
While USPS faces challenges in meeting service targets and managing financial stability, DeJoy and USPS leadership remain committed to implementing the Delivering for America plan while addressing concerns raised by stakeholders and regulators.