Evening star., 1931-12-08
BROWN URGES CENT.
MAIL RATE BOOST.
Increase on Non-L local Let
ters Asked to Meet $780,
100000 Deficit.

With his department facing deficit
of s15o,ooo,0oo for The current year on
postal operations alone, Postmaster
General Brown today called on Congress
to fix a 3-cent rate on non-local letter
mail to provide increased revenue.
Outlining the financial condition of
the department in his annual report,
the Postmaster General announced the
gross deficit for the fiscal year ended
last June 80 was S146,o66, ,189 6s, as
compared to that of S98,215, ,937.43 for
the previous II months.
Allowing for expenditures for non-
postal objects, chiefly the air and ocean
mail subventions and the free mail
service provided for Congress and the
executive departments, which aggre-
gated s48,o47, ,308,28, the net or actual
postal deficit was $e8,018,8s1 SO. This
was an increase Of $39, ,472, ,612.34 over
the net for the preceding fiscal year.
Deficit Is Shown.
Receipts for the year we're 1855, ,4s3,-
38329 and expenditures, s802, ,52s ,572. .95.
The increase in the deficiency. Mr.
Brown said, Is attributable entirely to
shrinkage in the volume of the mails.
Nui. ioAoWh LCCdl4GQ al llLS AdSl report
he had pointed to the advisability of
making the department self sustaining
SO far as strictly postal operations were
concerned; had held 1t was Impractical
BILE to increase horizontally the rates
ON second, third and fourth class mail
and that he had further urged boost
In the non-local letter mail charges.
Letter Mail Boost Urged.
cit is the careful Judgment Of the
department" he added, that letter
man offers the only field within which
additional revenues can be secured in
an amount which in normal times would
suffice to meet the present scale Of
postal expenditures. A 212-cent rate,
as recommended last year, would pro-
duce additional funds amounting on
the present mail volume to about $780,
100000 yearly. Under ordinary condi-
tions this would probably be sufficient
to balance the budget and keep it bal
anced against the existing scale of sals-
rfes and transportation charges
"A 21a cent rate, would, however,
obviously fall far short of producing
adequate revenues at the present time
The deficit for 1881 attributable to
strictly postal operations was more than
S98, 600 600, and If present trends are
maintained, the net deficit for the cur
rent year will be in the neighborhood
of s150,000,o0o This raises the ques-
ton whether, in view of the already
overtaxed condition of the general
Treasury, 1t would not be advisable,
pending the return cf normal conoi-
tons to fix Scent rate for letter mail
Such rate would have balanced
the budget for 1881 and would have
reduced the probable operating deficit
and the corresponding drain upon the
Treasury from sl50,000, 600 to about
$50, ,oeo, 900 for the fiscal year 1882"
Parcel Post to Help.
Brown reported some help for rev.
enues in parcel post regulation changes
expected to net about $4,000, 900 an
nually, and said additional revenue OF
about $500, 900 annually would be OBJ
tanned If the Interstate Commerce Com
mission granted pending rate adjust
ments.
He also referred to changes urged on
Congress last year in the rates and fees
for registered, insured and c. o. D.
mail and for dor estic money orders,
and said IL these were acted upon
fsvorably, about $l0000,000 more an
nually would be realized.
Mr.. Brown repeated ms recOmmen-
dations also for legislation to permit
the department to acquire ITS own pos
tai quarters in large cities to cut down
the rent BILL and to increase the limit
on individual postal savings from
s2,500 to $4,000.
Alaska Airman Asked.
Legislation for airmail service In
Alaska also was advocated.
The report pointed out that despite
the fall in the volume of mail gen.
orally, there was an increased use of
the airmail, and that the total route
mileage increased from l49G7 miles at
the end OF June, 1880, to 23,488 last
June.
The growth Of passenger traffic also
was no0ed, and 1t was added the de-
partment believes confidently that
within the next few years a stable pas
senger and express business will be de-
veloped to such proportions as to justify
the eventual reduction and the even
tual elimination of the aviation subsidy
as q factor in airmail pay"
The report said also that "satisfac-
tory progress is being made in the de-
velopment of our ocean mail service
under the merchant marine act OF
1928"
E0I 0MIEpc ne uITJ ER