08/05/2005
The House passed a bill last week that would spare small businesses higher postage bills next year.
The Postal Accountability and Enhancement Act (H.R. 22), which overwhelmingly passed the House 410-20, would overhaul the U.S. Postal Service to increase operational efficiency and accountability. The bill would save the U.S. Postal Service from having to increase postal rates, including a 2-cent increase in stamp prices that is slated for January 2006.
Postal rate increases invariably hurt a small business’ bottom line, exacting additional costs that could impose modest job cuts. A June 2002 NFIB Research Foundation study found that pricing stamps at 40 cents would impose costs of $2.34 billion on small businesses, with businesses of fewer than nine employees being hit the hardest.
The Senate companion bill, S. 662 was approved by the Senate Homeland Security and Governmental Affairs Committee in June. The Senate is expected to take up the bill later this year.
