1、Congressional Research Service? ?The Library of CongressCRS Report for CongressReceived through the CRS WebOrder Code RS21025Updated March 11, 2005The Postal Revenue Forgone Appropriation:Overview and Current IssuesNye StevensSpecialist in American National GovernmentGovernment and Finance DivisionS
2、ummaryWhen Congress put the U.S. Postal Service (USPS) on a self-sustaining basis in1971, it continued to subsidize the mailing costs of such groups as the blind, non-profitorganizations, local newspapers, and publishers of educational material, by providingan appropriation to USPS to cover the reve
3、nues that were given up, or “forgone,” incharging below-cost rates to these groups. Appropriations for these subsidies mountedas postage rates and the number of non-profits grew, approaching $1 billion annually inthe mid-1980s. Successive administrations sought to cut these costs by reducingeligibil
4、ity and having other mailers bear more of the burden. Congress failed toappropriate enough to cover costs in the early 1990s, and refused as well to allow USPSto invoke its statutory right to raise rates to cover the shortfall. USPS pleaded thatproviding social subsidies was not part of its mission,