Evening star., 1925-07-09
A Possible Postal Deficit.

Postmaster General New foreseeS a
0,00O. 900 deficit in the operation of
the postal service at the close of the
new fiscal year. Let that shudder its
way home in these days of persistent
economy and tax reduction talk. The
Postmaster General qualified his esti-
mate by saying that it was a mere
guess" based on figures for the postal
service in June. and since the new
law increasing wages and rearranging
the rates on mail service went into eff
feet.
deficit in the postal service is
nothing new. But an increase in the
deficit to $4O,O0O,OO0, from a point
where 1t was expected to shrink to
$5,0o0,00 at the close of the fiscal
year 1925, is something to think about
Wisely, the policy of the Government
has been to build up the postal service
for the benefit Of the people, making
quick communication with all parts of
the country possible and aiding in the
dissemination of knowledge. The feel.
ing has been that the people are will
ing to pay for such benefits.
The mail service, however, Is far
beyond the experimental stage. It is
a service that almost staggers the
imagination in its vast size an-~ ex-
tent. 1t is wonderfully efficient kerv-
ice, used frequently as an argument
that the Government, after all, is capa-
BILE of handling a business satisfac-
torily. The hope of many heads of
the Post Office Department has been
that the deficit would be curtailed to
the limit and even wiped out. And, as
the business of the post Offices has
increased in volume the country over,
there has been reason to hope for such
results. The time has come, indeed,
when the question arises properly:
why should not the people pay for
the service which they receiver"
For years there had been a demand
employees. Many of them ware under
paid, and 1t was just they should have
an increase. The new law grants a
total increase of about $6S 900, 900.
President Coolidge, in his efforts to
bring about economy in the govern
mental expenditures, was unwilling to
saddle this additional sum on the tax
payers He vetoed the pay bill, and
made it clear that unless steps were
taken to increase the postal revenues
to offset the proposed wage increases
he would continue to oppose the
measure.
So joint bill, providing the same
pay increases, and increasing some of
the postal rates, was put through Con-
gress. 1t has, it seems, worked all
right so far as the pay increases are
concerned, but has fallen short of pro-
viding the needed revenue to offset
those increases.
The entire question: is to be studied
by joint congressional commission
during the recess Of Congress. This
commission, headed by Senator Moses
of New Hampshire, is to hold it's first
meeting here July 20. An itinerary
has been arranged under which the
committee will visit many parts of
the country, taking testimony. It's re-
port and recommendations must be
submitted to Congress next December.
1t is no secret that the bill finally
passed by Congress differed very
greatly from that originally put for
ward by the joint Senate and House
committee. Increases in rates pro-
posed by the committee were cut
down. Increases in rates naturally
are not popular. But the question is:
Shall not the people directly benefit
ing from the service rendered bear the
COST"