As the U.S. Postal Service (USPS) prepares for upcoming price increases on most classes of mail, the outgoing Postmaster General has enjoyed two extravagant parties at government expense.

The Washington Post reported the parties for Postmaster General Marvin Runyon (who retired in May) exceeded their budget by at least $40,000. The original estimated cost for the two events was projected to be $82,508.09, while the final tab exceeded $124,000.

Even the first projected cost had raised flags in Congress. Representative John McHugh (R-NY), who chairs the House postal service subcommittee, has publicly taken the federal agency to task for not having sensible guidelines for spending on special events like this. He regards it as “poor management.”

In the 23 years prior to Fiscal Year 1997, other mismanagement at USPS had left it almost $9 billion in debt. Despite recent reports of a profit for the agency, the debt at the end of Fiscal '97 was reported to be $4.4 billion.

That debt was recently cited as the primary reason for the upcoming rate increases. Among a host of rate changes, those increases will raise a first-class stamp's cost to 33 cents in January.

Taxpayers for Common Sense agrees with Congressman McHugh. Now is the time for the USPS, indeed all federal agencies, to end the extravagance and mismanagement. There should be standards and guidelines for honoring retiring officials and hosting promotional events. Those standards should be adhered to; thus ensuring sound fiscal planning.

While Postmaster General Runyon should be commended for service that started moving USPS out of debt, a party going over budget as Americans prepare to pay more at their local post office just seems wrong.

SNIP-IT: US Postal Service Factoids

  • Fiscal Year 1997 Profit – $1.3 Billion
  • On January 10, 1999 there will be a 1cent rate increase for first each first-class letter
  • USPS moves 630 million pieces per day
  • USPS has more than $4 billion in outstanding debt

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