IT’S BEEN FASCINATING TO WATCH the Board of Governors and the Postal Rate Commission trade barbs over what they believe is good or bad about postal reform. It’s like watching two kids arguing in a playground over what constitutes a fair share of the marbles.
Determining who should do what under a reformed U.S. Postal Service isn’t rocket science. The roles of a board of directors and a third-party regulator should be straightforward: Directors direct; regulators regulate.
No one wants an agency like the United Kingdom’s postal regulator, but no one wants a postal monopoly with unfettered powers either.
So, for reform to work:
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Incentives must be structured to provide a risk/reward system akin to a competitive private sector enterprise rather than a governmental-bureaucratic model.
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The USPS must be given as much discretion as possible over its products and systems to keep the postal system in step with the country’s changing needs.
Reform will fail if the postal service is granted only limited control of the design and operation of its network
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