Postmaster General Warns USPS Could Run Out of Cash Within a Year and Floats Raising First‑Class Stamp to 90–95 Cents
Postmaster General Steiner warned lawmakers the U.S. Postal Service could run out of cash within a year if conditions don’t change—sharpening an earlier warning that it may be insolvent by 2027 after reporting a $9 billion loss in 2025. Testifying before a House hearing March 17, 2026 at 2 p.m. EDT, he said USPS may need to raise the first‑class stamp from 78¢ to 90–95¢ and urged Congress to lift the $15 billion borrowing cap and allow pension funds to invest beyond Treasury bills to buy time for broader fixes.
📌 Key Facts
- Postmaster General Louis DeJoy (Steiner) is scheduled to testify before Congress on USPS finances Tuesday, March 17, 2026, at 2 p.m. EDT; his appearance follows and ties to his March 4 Associated Press interview warning about USPS cash shortfalls.
- Steiner warned the USPS could run out of cash within a year if the status quo continues, sharpening an earlier projection that had pointed to insolvency in 2027.
- He cited a $9 billion loss in 2025 as part of the agency's current fiscal shortfall.
- Steiner urged Congress to lift the long‑standing $15 billion borrowing cap as the 'easiest' immediate step to buy time and also proposed allowing USPS pension funds to invest in securities beyond Treasury bills.
- He told the House Oversight Committee the USPS may need to raise the price of a first‑class stamp from 78 cents to between 90 and 95 cents to address controllable losses.
- Steiner argued U.S. first‑class pricing is now the lowest among industrialized countries, comparing the 78‑cent stamp to roughly $3 in France and $2.50 in the U.K.
📊 Relevant Data
From 2018 to 2022, net migration accounted for an average of 62% of U.S. population growth, with shares ranging from 41% in 2019 to 94% in 2020.
Examining U.S. Population Growth: Migration and Natural Increase — Federal Reserve Bank of St. Louis
The 1990 Immigration Act raised legal admissions to 50% above the pre-IRCA level, primarily in the employment-based immigrant category, contributing to increased population growth and USPS service demands.
MAJOR US IMMIGRATION LAWS, 1790 - PRESENT — Migration Policy Institute
From 2016 to 2020, ZIP codes with more Hispanic residents had lower USPS service performance scores on average, while those with more White residents had better scores.
Demographic Trends in Mail Access Changes and Service, 2016-2020 — U.S. Postal Service Office of Inspector General
Repeated USPS stamp price increases disproportionately burden low-income households, small businesses, and rural communities.
USPS stamp prices rise to 78 cents as postal service battles financial challenges — The Corry Journal
📰 Source Timeline (3)
Follow how coverage of this story developed over time
- Steiner told the House Oversight Committee that USPS may need to raise the price of a first‑class stamp from 78 cents to between 90 and 95 cents to address its controllable losses.
- He warned that if USPS maintains the status quo, it could be unable to deliver the mail in less than a year due to running out of cash, sharpening his earlier 2027 insolvency warning.
- Steiner cited a $9 billion loss in 2025 and argued for lifting the long‑standing $15 billion borrowing cap and allowing USPS pension funds to invest in securities beyond Treasury bills.
- He compared the current 78‑cent U.S. stamp to roughly $3 in France and $2.50 in the U.K., arguing U.S. first‑class pricing is now the lowest in the industrialized world.
- Confirms the House hearing date and time: Steiner is scheduled to testify before Congress Tuesday, March 17, 2026, at 2 p.m. EDT about USPS finances.
- Reiterates Steiner’s March 4 Associated Press interview as the basis for his cash‑out warning, tying it directly to this public hearing.
- Restates Steiner’s argument that lifting the $15 billion borrowing cap is the 'easiest' immediate step Congress can take to buy time for broader fixes.