Post office: USPS warns closures and stamp hikes without congressional action

The post office faces possible closures and higher postage if Congress does not act, the U.S. Postal Service’s Postmaster General told lawmakers as he warned the agency could run out of cash within a year.

Postmaster General David Steiner said the Postal Service needs new authority from Congress to raise stamp prices and increase borrowing to avoid cutting service, closing post offices or reducing delivery days, Reuters reported from a March 16 hearing.

A quiet rural post office front with an empty walk-up counter and vacant parcel shelves, fluorescent lights on, no staff visible

Lawmakers were told the cash shortfall has become urgent. NPR reported Steiner warned the agency could exhaust its available cash “within 12 months” without legislative changes, and media outlets covering the hearing said the USPS has proposed raising postage and suspending some payments to shore up finances.

The Postal Service has floated increases to First-Class stamp prices and asked for the ability to borrow more, according to reporting by Fox Business and GovExec summarizing Steiner’s testimony; those steps are presented as alternatives to closing facilities or cutting delivery frequency.

An empty lobby area with PO boxes and a closed service window, a single posted notice on the door, no branding visible

Postal officials have pointed to long-term declines in letter mail and rising operating costs as drivers of the shortfall, Reuters said, and the agency has already taken cost-saving actions such as limiting nonessential spending while urging Congress for reforms.

What happens next will depend on congressional action. The Postal Regulatory Commission and other analysts have flagged that without new authority the agency may be forced to seek large price increases or pare back retail operations to remain solvent.

Sources

Reuters — coverage of Postmaster General David Steiner’s testimony to Congress and the agency’s plea for higher postage and borrowing authority (March 16, 2026).
NPR — reporting that the Postal Service could exhaust its cash “within 12 months” without congressional action.
Fox Business — reporting on Steiner’s warning about stamp prices and possible service cuts.
GovExec — analysis of lawmakers’ consideration of higher stamp prices and the timeline for a fiscal cliff.