U.S. Postal Service postmaster general Patrick Donahoe weighs in on budget woes.
"Why don't we sell the postal service to Amazon?".
It has been losing money for more than a decade, the task force said, partially because the loss of revenue from letters, bills and other ordinary mail in an increasingly digital economy have not been offset by increased revenue from an explosion in deliveries from online shopping.
He said the task force review ordered by Trump last April had produced recommendations that would "fulfill the president's goal of placing the USPS on a path to sustainability". President Trump has sharply criticized the Postal Service for undercharging companies for package delivery - specifically e-commerce giant Amazon. "The USPS should have the authority to charge market-based prices for both mail and package items that are not deemed 'essential services, '" the task force said in its summary.
"This was not the reason that our founders put the United States Postal Service in the Constitution", he said of the relationship with Amazon - which is owned by routine Trump foil Jeffrey Bezos.
Treasury Secretary Steven Mnuchin said the report "contains achievable recommendations".
Cowen & Co, in a May report, said the Postal Service and Amazon were "co-dependent", but that Amazon went elsewhere for most packages that needed to arrive quickly. In a statement, eBay said it is a "long standing partner of the United States Postal Service" and its "small business sellers rely on USPS to reach their customers".
In regard to charging more for non-essential postal services, officials who briefed reporters said person-to-person mail and person-to-person packages would be considered essential postal services and would be exempt from the higher rates that would be levied on non-essential mail. The Postal Service reported a loss of $3.9 billion for its 2018 fiscal year, which ended September 30 - the 12th straight year the service has reported a financial loss.
The report recommends handing the postal service the ability to redefine the meaning of the so-called "universal service obligation", which is a mission statement laying out the scope of the organization's services.
The administration found that the Postal Service has not accounted for a decline in mail volume and the growth in package volume in its current pricing structure.
"The flawed business model imposed by law continues to be the root cause of our financial instability", Brennan said.