Tag: Louis DeJoy

Critics: Postal Service plans imperil community newspapers

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The U.S. Postal Service’s plan to raise mailing rates could present one more damaging blow to community newspapers already reeling from the coronavirus pandemic and advertising declines, a trade group says. 

Rates on periodicals would increase by more than 8% as of Aug. 29, according to agency filings. The price jump is part of a broad plan pushed by Postmaster General Louis DeJoy to overhaul mail operations. 

The impact of the periodical rate increase is expected to be felt most by small daily and weekly newspapers, as well as rural newspapers, which depend on the Postal Service since they have shifted from using independent contractors for deliveries. Continue reading.

Louis DeJoy’s chaotic first year at USPS: A litany of political controversies, mail delays and FBI investigations

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Postmaster General Louis DeJoy has only been in office one year and, since he was appointed to head the U.S. Postal Service last May, he has been at the center of controversy. Now, for his first-year anniversary, his office has released a statement confirming he is being investigated by the Federal Bureau of Investigation (FBI), according to USA Today.

A spokesperson for DeJoy confirmed, “the Justice Department is investigating campaign funds involving his former North Carolina business New Breed Logistics.” The Washington Post also reported that a number of DeJoy’s current and former employees had been interviewed by the Justice Department and asked about company activities and their political contributions.

The announcement comes months after DeJoy incorporated a number of controversial changes that subsequently impacted the Postal Service’s ability to effectively carry out day-to-day operations. Last June, then-Senate Minority leader Chuck Schumer (D-N.Y.) penned a letter to the board of governors, the Federal Reserve System’s governing body which is responsible for DeJoy’s appointment, to verbalize his concerns about the postmaster. Continue reading.

FBI investigating Postmaster General DeJoy over campaign fundraising activity

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The FBI is investigating Postmaster General Louis DeJoy over campaign fundraising activity involving his former business, a spokesman for DeJoy confirmed to the Washington Post.

Why it matters: DeJoy, a major donor to former President Trump’s campaign and the Republican National Committee, has seen his tenure plagued by controversy since his appointment in May 2020. 

The state of play: Prosecutors have subpoenaed DeJoy for information regarding political contributions and his company’s activities, the Post reports. Continue reading.

Biden Nominees Poised To Take Control Of Postal Service, Oust DeJoy

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A Senate committee voted in favor of President Joe Biden’s three nominees for governing board overseeing the U.S. Postal Service (USPS).

According to the Associated Press, the Senate Homeland Security and Governmental Affairs Committee on Wednesday approved the president’s three nominees: “Ron Stroman, a former deputy postmaster general; Amber McReynolds, who leads the nonprofit National Vote at Home Institute; and Anton Hajjar, the former general counsel of the American Postal Workers Union.”

The vote comes as lawmakers train their focus on restoring public confidence and trust in the U.S. Postal Service. Since last year, the postal service has undergone a number of drastic changes under the leadership of Postmaster General Louis DeJoy, a known supporter of President Donald Trump and a major donor for the Republican Party. Continue reading.

Postal Service to announces plans to consolidate 18 mail facilities

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The U.S. Postal Service announced plans to consolidate 18 mail facilities across the country on Wednesday.

“Consistent with optimization and efficiency efforts paused in 2015, USPS will complete movement of mail processing operations at 18 facilities,” an announcement by the agency states.

The consolidation of these facilities is part of a 10-year infrastructure plan aimed at “financial sustainability and service excellence.” Continue reading.

Democrats introduce ‘DeJoy Act’ in opening salvo against USPS leader’s mail-slowing plan

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Prospects for the legislation are unclear, but the move displays deep divisions between the postmaster general and Congress

Democrats are swarming to block a key piece of Postmaster General Louis DeJoy’s 10-year restructuring plan for the U.S. Postal Service, casting doubt on the feasibility of his proposals for achieving financial stability for the agency.

A group of House Democrats on Friday introduced legislation to prohibit the Postal Service from lengthening mail-delivery windows and require it to adhere to present service expectations. They named the bill the Delivering Envelopes Judiciously On-time Year-round Act, or DEJOY Act.

One House aide involved in postal reform legislation introduced in February said some members of the caucus are leery of proceeding with efforts to address the Postal Service’s financial obligations given that DeJoy’s 10-year plan includes sharp reductions in service, including slower timetables for mail delivery and reduced post office hours. Continue reading.

USPS chief DeJoy cuts post office hours, lengthens delivery times in new 10-year plan

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The postmaster general announces his long-awaited strategic initiative, one that diminishes delivery standards and raises prices

Postmaster General Louis DeJoy on Tuesday unveiled the largest rollback of consumer mail services in a generation, part of a 10-year plan that includes longer first-class delivery windows, reduced post office hours and higher postage prices.

DeJoy presented his long-awaited strategic vision for the U.S. Postal Service during a Tuesday webinar. Portions of the initiative already made public have raised alarms from postal advocates, who say they could further erode agency performance. Mailing industry officials warn that substantial service cuts could drive away business and worsen its already battered finances.

But DeJoy has cited the need for austerity to ensure more consistent delivery and rein in losses. The agency is weighed down by $188.4 billion in liabilities, and DeJoy told a House panel last month that he expects the Postal Service to lose $160 billion over the next 10 years. Without the plan, Postal Service Board of Governors Chairman Ron Bloom said, the agency’s future was “profoundly threatened.” Continue reading.

What you should know about USPS — and how it descended into crisis

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Postmaster General Louis DeJoy is days away from announcing his plan for the Postal Service to restore timely service and solve more than a decade of financial problems

Postmaster General Louis DeJoy is expected to roll out his plan to reshape the nation’s mail service, making a deeper imprint on a government agency that has weathered a pandemic, a historic election and a crushing holiday season during his brief tenure.

The blueprint is sure to cause further delivery slowdowns — DeJoy said as much during a recent hearing on Capitol Hill — at a time when the U.S. Postal Service already is recording some of its worst performance metrics in generations. Cost-cutting measures the postal chief implemented over the summer have been blamed for much of those declines.

But the agency — and DeJoy’s role — is widely misunderstood. Here’s eight common misconceptions: Continue reading.

House Oversight Committee demands release of $6B USPS vehicle contract

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The House Oversight and Reform Committee is demanding that the U.S. Postal Service release a contract with a private company for a new delivery vehicle fleet that is reportedly worth up to $6 billion. 

Committee Chairwoman Carolyn Maloney (D-N.Y.) sent a letter to Postmaster General Louis DeJoy on Friday voicing several concerns about potential interference and asking for documents relating to a contract with Oshkosh Defense. 

The Postal Service is contracted to purchase up to 165,000 new fuel-efficient or electric postal vehicles. Continue reading.

DeJoy asks House panel for more USPS money to support plan that includes slower mail delivery

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The postmaster general testified before lawmakers for the second time in three weeks on struggling delivery rates and postal reform legislation

Postmaster General Louis DeJoy asked congressional appropriators for more money Thursday to support his still-unreleased strategic plan for the nation’s mail agency and tried to reset expectations for slower but more consistent service.

Testifying before the House Appropriations subcommittee on financial service, DeJoy said the U.S. Postal Service needs to “recast that expectation of what it is that we’re able to do” to stem financial losses. Lawmakers had previously questioned DeJoy on a Washington Post report that he would stop flying first-class mail cross-country and planned to eliminate a speedier category of first-class mail to cut costs and help the agency make delivery windows.

DeJoy confirmed those plans Thursday and said they were a necessary evolution for the agency, which is struggling to both right its balance sheet and define its core services in an era of less paper and more packages. Continue reading.