Post office cited by GAO as a troubled agency

The AP reports:

The Government Accountability Office on Tuesday added the Postal Service to its list of high-risk federal agencies in need of change.

The post office has been struggling with a sharp decline in mail volume as people and businesses switch to e-mail both for personal contact and bill paying. The agency is facing a nearly $7 billion potential loss this fiscal year despite a 2-cent increase in the price of stamps in May, and cuts in staff.

"There are serious and significant structural financial challenges currently facing the Postal Service," the GAO said.

"New technology is profoundly affecting services in both the private and public sectors, including traditional mail delivery. Compounded by the current recession, the volume of mail being sent is dropping substantially," Gene L. Dodaro, acting comptroller general, said in a statement.

Great moments in socialized mail delivery. Via Club For Growth.