Evening star. [volume] (Washington, D.C.) 1854-1972, 1956-04-12
to Break Even

In your March "a edition,
a letter headed Postage and
Deficits" from A. P. Mills,
contains several statements
and differences that deserve
comment.
This administration has
continuously advocated the
policy that the Post Office De-
partment be operated in
"busineSslike" manner. This
means that the department is
making every effort TO increase
efficiency. eliminate unneces-
Sary costs, and charge rates
which are fair and equitable
based on the conditions that
exist today. 1t also means that
attempts are being made to
reduce the large postal deficits
that are imposing a heavy
burden on the American tax
payer
All Federal agencies are en-
couraged by law to establish
fees and charges for measur-
able services when performed
for identifiable individuals or
organization. Public Law 1877
Is use. 140l, 82d Congress.
established the policy that
such services be self sustain-
ing TO the full extent possible"
The fact that other agencies
do not attempt to break even
over all does not indicate that
they or the Post Office are in
conflict with expressed con-
greSSional intent. Generally
speaking, only a relatively
small portion OF the functions
OF other Federal agencies are
OF measurable value as they
apply to identif1able individ-
uals or businesses. When other
departments do perform such
services they charge accord
ingly. The Post Office is
unique only in that practically
all of its services are OF
measurable value and are per-
formed for identifiable pa
irons.
The present management of
the Post ONCE is fully aware
Of the public-service aspects
Of postal operations. In fact,
one of the main reasons for
advocating postal rate adjust
mentS is to provide revenues
to inaugurate a much-needed
modernization program.
New post Offices are needed
in many communities. Many
of our present structures are
in need of modernization. New
equipment, better lighting and
improved facilities are essen
tial to handle the growing
volume of mail. We believe an
investment in undermining the
Post Office will accrue to the
benefit of the American people
through lower costs, better
service and faster mail de-
livery
Letter rates are the same
today as they were in 1882.
Second and third class rates
have been increased only 3
per cent and 80 per cent, re-
spectively, from the 1882 level.
But since l945 six wage ad-
justments and other cost in
creases for supplies and trans
portation have added SIS
billion annually to department
tai expenditures. Recently en-
acted postal pay and fringe
benefit legislation alone has
increased annual costs by
approximately 5000 million.
In the final analysis some
body must pay the cost OF
operating the Post Office De-
partment. Mr. Mills suggests
that taxpayers should continue
to bear a large portion OF
postal expenditures. 1t is our
view that 1t would be more fair
and equitable to have those
who directly benefit from
postal services pay a larger
share OF postal costs.
We have an obligation to
the American people to exer-
else fiscal responsibility. If the
proposed rate increases are
granted, we can go far toward
providing better service, lower
ing costs. reducing the postal
deficit and operating on a
more nearly break-even basis.
Albert J. Robertson,
Assistant Postmaster Cen