MSNBC "The Ed Show" - Transcript: The United States Postal Service Reform
Interview
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CHULTZ: Welcome back to the Ed Show. This is a story for the folks who take a shower after work. And believe me, these folks too, they`re hard working Americans. United States Postal Service continues to suffer financial losses threatening its long term liability just what the Republicans want. The postal service ended 2013 with a $354 million loss. It was the 19th quarter of losses out of the last 21. Now, the financial pinch, the United States Postal Services under is the result of the Postal Accountability and Enhancement Act. Passed of course by Congress in a lame-duck session in 2006 which forces the postal service to prepay retiree healthcare for 75 years into the future in a 10-year window.
In other words, it`s about $6 billion a year on their bottom line that they have to meet for future operations. Who the hell runs our business like that? Republicans have been gunning to nail the post office for a long time. They want it to be forced to the bankruptcy so they can privatize everything they can get their hands on.
On Thursday, the Senate Homeland Security and Government Affairs Committee approved that bipartisan bill which would grant the postal service more operating flexibility and provide relief for some of its workforce related obligations. Meaning, the prepay what I was just talking about. The bill will eventually head to the Senate for, for debate. Committee Chairman Tom Carper of Delaware released a statement reacting to the financial laws in supporting the legislation.
He said, it`s time that the Congress and the administration work together to save the postal service for the long haul.
Here, here, I agree. Postal reform legislation won`t do any good. The agency is still predicting that it will default on another employed benefits payment due at the end of September.
Senator Bernie Sanders of Vermont, he has done everything he can to help enhance and save the postal service. Senator, good to have you with us tonight. You know, I go home to Detroit Lakes, Minnesota, lot of resort (ph) down and up in upstate Minnesota, 6,000 people. Saturday morning, the post office is packed. People love their post office. America loves their mail. Why in the world was this bill ever passed and why ever the Democrats try to reverse this whole thing. I know you have, but collectively it should be right on the front burner.
SEN. BERNIE SANDERS, (D) VERMONT: Actually, it`s an issue that it`s going to be discussed in caucus tomorrow and I`m going to do everything I can to make sure that we have legislation which saves tens and tens of thousands of jobs that would otherwise be lost.
Here is the most important point for the viewers to understand. In the first quarter of this fiscal year, in terms of operating profits, the U.S. Postal Service made earned $765 million dollars. In other words, they enjoyed a very healthy profit margin. The problem is, they are operating under unprecedented burden that no other agency of government, no private company has to do, and that is pre-funding 75 years of retiree health benefits in a 10-year period in about $5 billion a year. That is 100 percent of the reason right now as to why postal service is "losing money." Get rid of that onerous burden, postal service will be in reasonably good shape.
SCHULTZ: How could every Democrat in caucus not recognize this? I mean, this should be lack of a better term, a slam dunk to reverse this.
SANDERS: Well, let me give you the good news, Ed. And my legislation has 29 cosponsors right now. I expect we will get more. And these are people who understand that we got to get rid of this onerous and unfair burden, we`ve got to keep the postal service open on Saturdays that in the midst of a terrible recession, terrible economic downturn, you don`t cut tens of thousands of good paying jobs. Our job is to grow middle class jobs, not to cut them. So I think we`re going to have a lot of support in the Democratic caucus. I hope we can pick up some Republican support, but this is a fight I intend to wage in a very strong way.
SCHULTZ: I want the president checking in on this. More veterans are employed by the postal service than any other employer in the country. It would be horrible to a small business if this were to go away even on just Saturdays.
SANDERS: Here`s what -- you`re right...
SCHULTZ: OK, go ahead sir.
SANDERS: You`re right Ed. And this chairman of the Veterans Committee, I appreciate that and your absolutely right. But here`s essentially what the debate is about. Our Republican colleagues, they want to cut Social Security, they want to cut Medicare, they want to cut every government program including the U.S. Postal Service. Some of us believe very strongly that if you give the postal service some flexibility...
SCHULTZ: Yeah.
SANDERS: ... in terms of e-mail, in terms of banking, in terms of being able to wrap packages, give them some flexibility, they will do very, very well. They`re doing well today, they will do better. I do not want to see tens of thousands of jobs lost through this onerous process.
SCHULTZ: And this is all under the umbrella of the Republican mantra to privatize everything they can get their hands on. That`s it.
SANDERS: I think that is true.
SCHULTZ: And I think the Republicans ought to come out and make a statement that they will never touch this money that has been placed in escrow for people`s healthcare in future generations. They will do that because I think they`re going to try to get their myths on that that money down the road sometime.
SANDERS: Look, as you`ve said, the postal service is an enormously popular institution. People like it, respect it, they know that if you live at the end of the dirt road in Vermont, you`re going to get your mail...
SCHULTZ: Yeah.
SANDERS: ... it`s a good thing.
SCHULTZ: Senator, great to have you with us tonight. I appreciate you sticking up for the working folks in the postal service. It`s vital for the country. Thanks so much.
SANDERS: Thank you.
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