USPS warning raises stakes for mail-order prescriptions, higher postage prices

Postmaster General David Steiner warned Congress this week that the U.S. Postal Service could run out of cash in less than 12 months without legislative action, with the agency potentially unable to deliver critical services including prescription medications. Simultaneously, Amazon is cutting its USPS volume by as much as two-thirds by September after negotiations collapsed, deepening the agency's revenue crisis. USPS is proposing to raise stamp prices to 90-95 cents from the current 78 cents, but government watchdogs say price increases alone cannot solve the structural financial problem that has caused the agency to lose money every year since 2007. About 3.7 million Medicare enrollees live in areas where mail-order pharmacy access is their primary option, making service cuts particularly risky for rural patients with chronic illnesses. Lawmakers agree USPS cannot fail but remain divided on whether the fix should rely on higher prices, reduced service frequency, federal funding, or some combination.