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Trump Personally Pushed Postmaster General to Double Rates on Amazon

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posted on May, 19 2018 @ 04:48 PM
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originally posted by: onthedownlow
So Trump wants to chrge Amazon double what other customers are paying? I hope I don't eat crow here, but I will assume that Amazon is currently paying 50% or less than most postal service users. Can you explain where the tyranny is occurring please? Wouldn't tyranny be occurring through sweet heart deals in which the government selectively chooses who succeeds and who fails by charging some excessive penalties for doing business??


The government is forbidden from making exclusive contracts with companies. In the case of the Post Office, what this means is that when billing for something they cannot give companies unique rates. The rate Amazon gets is based on a few factors such as uniform box sizes, volume, weight, packaging, and so on. By law, any company that meets these criteria must be given the rate Amazon gets. Amazon just happens to be the only company in the US that currently qualifies for this rate, but in theory another organization like Walmart could get it if they put in the effort.

What Trump is trying to do, isn't to renegotiate this rate, which is a rate the Post Office is very happy with. What Trump is trying to do, is mandate that Amazon, and only Amazon pays an additional tariff on every package they mail. Doing this would be extremely illegal.

It's an issue not just that the President is asking for illegal actions, but that he doesn't know these actions are illegal, that he doesn't care that they're illegal, and that he's being motivated not by policy but by a personal vendetta.




posted on May, 19 2018 @ 04:53 PM
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originally posted by: JacKatMtn
a reply to: Sookiechacha

If you trust the USPS leadership to know how to keep the USPS solvent, then I can't help you....


The USPS has been doing a fantastic job. They're the only business, anywhere in the entire world, much less just the US, that has to fund retirements 75 years in advance. They're doing this while not cutting pensions, not cutting employment, expanding services, and providing the typical government wages and benefits.

A large part of why they've pulled it off, despite the legislation that was designed to kill the USPS (that was sponsored by their competitors FedEx and UPS... who by the way didn't have to provide this funding), is due to their absolutely fantastic leadership team and partnerships with major corporations such as Amazon and Ebay.

Edit: In case you aren't aware of the scale of the liabilities the USPS is dealing with, they are mandated by law to pay $4 billion annually in pre funding, it's just added operating costs. UPS's entire gross revenue per year? $66 million.
edit on 19-5-2018 by Aazadan because: (no reason given)



posted on May, 19 2018 @ 04:57 PM
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originally posted by: alexpmi
Call me ignorant as hell, but Imho this is the kind of action that will make your country implode. It is the first step to state induced anarchy. Wild wild West



It's very ideological from the right. They're convinced that all government is bad, therefore, because the post office is government, it is also bad. As a result, they're attempting to destroy the best postal service in the world so that they can point at the failure and say "I told you so".



posted on May, 19 2018 @ 05:01 PM
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a reply to: Aazadan




The government is forbidden from making exclusive contracts with companies

That is incorrect.


By law, any company that meets these criteria must be given the rate Amazon gets.
That is also incorrect. The agreements are negotiated on a case by case basis.
pe.usps.com...

The USPS is making a profit from its agreement with Amazon. Double the rates, and Amazon will look elsewhere.

edit on 5/19/2018 by Phage because: (no reason given)



posted on May, 19 2018 @ 05:03 PM
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a reply to: Phage

Two identical companies must be offered the same rate. Though in practice, you'll never find two identical companies.
edit on 19-5-2018 by Aazadan because: (no reason given)



posted on May, 19 2018 @ 05:07 PM
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a reply to: Aazadan

Two identical companies must be offered the same rate.


Define "identical." But the USPS doesn't offer anything. A company makes a proposal.



A mailer seeking to enter into an NSA with the USPS must submit a written proposal, with appropriate supporting documentation, to the USPS manager of Pricing Strategy (see 608.8.0 for address). The proposal must contain the reasons for requesting the NSA along with a summary of the information responding to the applicable candidate features and general requirements described in 1.2. A nondisclosure agreement must be signed before any substantive discussion of the proposal.

pe.usps.com...



posted on May, 19 2018 @ 05:12 PM
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originally posted by: Willtell



President Trump “personally pushed” the U.S. Postmaster General Megan Brennan to “double the rate the Postal Service charges Amazon.com and other firms to ship packages,” sources told The Washington Post. Brennan has reportedly resisted Trump’s requests in various White House meetings and attempted to explain to the president the “bound by contracts and must be reviewed by a regulatory commission” and the “current arrangement with Amazon was beneficial for the Postal Service.” Trump has also met with Treasury Secretary Steve Mnuchin, then-National Economic Council Director Gary Cohn, and Domestic Policy Council Director Andrew Bremberg about “Amazon’s business practices.” This comes after Trump has repeatedly criticized the company, with claims that it is being “subsidized by the Postal Service” and that the Post serves as its “chief lobbyist” and “tax shelter.” Some administration officials told the newspaper that “several of Trump’s attacks aimed at Amazon have come in response to articles in The Post that he didn’t like.” The Washington Post is owned by a holding company privately owned by Jeff Bezos, founder and CEO of Amazon.


I'm not a fan of Bezos, but I think this is the epitome of a tyrannical act.

www.thedailybeast.com...

For a president to take his personal animosity out on a citizen and try to goad a government official to disrupt his business is typical of this mans utter contempt for democratic ways.

How in the world does a president do this? Imagine the howls if Obama or Hillary did this to a conservative.

Bezos owns the post that is hard on Trump so he takes personal revenge

I'm trying to explain this so even a child can understand its problematic nature.


A liberal wouldn't have the balls to stick their neck out like this.

Liberals don't believe in personal accountability.



posted on May, 19 2018 @ 05:13 PM
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originally posted by: Phage
Define "identical." But the USPS doesn't offer anything. A company makes a proposal.


Same volumes, shipping containers, package weights, delivery time requirements, etc...

Amazon has the rate they have because they were able to offer a huge volume of highly standardized work. With those efficiencies come cost savings.

I don't know the details of how Amazon put this deal together, but I would be very surprised if they didn't also reach out to USPS competitors to see if they could get a better rate.
edit on 19-5-2018 by Aazadan because: (no reason given)



posted on May, 19 2018 @ 05:14 PM
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a reply to: MALBOSIA

How exactly did Trump stick his neck out?

"I could stand in the middle of 5th Avenue and shoot somebody and I wouldn't lose voters,"


It's all about that base, bout that base, bout that base.

edit on 5/19/2018 by Phage because: (no reason given)



posted on May, 19 2018 @ 05:15 PM
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a reply to: Aazadan




I don't know the details of how Amazon put this deal together, but I would be very surprised if they didn't also reach out to USPS competitors to see if they could get a better rate.
Indeed. And if their USPS rate is doubled, they will take their business elsewhere.



posted on May, 19 2018 @ 05:15 PM
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The GOP deliberately tried to cripple the USPS a few years ago by passing a crazy bill that would make them liable in a decade

"...to fully fund the retirement health care benefits for future employees that will not even be born until 2057 at the earliest.”
www.huffingtonpost.com...

I would watch out, Trump may himself try to cripple them along with his GOP fellows as a revenge against the USPS head who had the integrity to resist his pressure to hurt Amazon.


Things like this are the reason a free press is a necessity in a democracy, to put a spotlight on actions like this from Trump.


edit on 19-5-2018 by Willtell because: (no reason given)



posted on May, 19 2018 @ 05:18 PM
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originally posted by: Phage
a reply to: MALBOSIA

How exactly did Trump stick his neck out?

"I could stand in the middle of 5th Avenue and shoot somebody and I wouldn't lose voters,"


It's all about that base, bout that base, bout that base.


He does things that's gets himself in snip all the time... compulsively. Liberals don't step out if their collective bubble. Which is ironic and hypocritical.



posted on May, 19 2018 @ 05:19 PM
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a reply to: MALBOSIA




He does things that's gets himself in snip all the time

Nothing seems to bother that base. Not the lies, nothing. Weird.



posted on May, 19 2018 @ 05:31 PM
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originally posted by: Willtell
The GOP deliberately tried to cripple the USPS a few years ago by passing a crazy bill that would make them liable in a decade

"...to fully fund the retirement health care benefits for future employees that will not even be born until 2057 at the earliest.”
www.huffingtonpost.com...

I would watch out, Trump may himself try to cripple them along with his GOP fellows as a revenge against the USPS head who had the integrity to resist his pressure to hurt Amazon.


Things like this are the reason a free press is a necessity in a democracy, to put a spotlight on actions like this from Trump.



The USPS pays $4 billion per year into this fund right now. UPS's total revenue (not profit, just revenue) is $66 million. USPS is kicking ass doing what they do. If not for that fund, they would be profiting $5 billion+ annually right now... not bad for a company that's not even allowed to keep it's profits if it makes any.



posted on May, 19 2018 @ 05:38 PM
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originally posted by: Phage
Nothing seems to bother that base. Not the lies, nothing. Weird.


Pay to play through hotels and resorts? Business as usual.
Nuclear arms race in the Middle East? It's just a pretext to solve the problem "permanently" through war.
Sabotages high level Korean peace talks? Nobel Peace Prize time.
Reverses penalty on foreign spy company (ZTE)? It's making concessions so China can save face in trade talks.
Compromised by Russia? Russia is our friend.
Total destruction of Puerto Rico? Guess they shouldn't have been brown.
Cheats on his wife? Family values no longer matter.
Monetizes the Presidency? He's not taking a paycheck so he's saving our taxes.
Tax reform? I'll save millions a year too once I become a billionaire.

And I could continue. Trump is a man who failed to sell gambling, alcohol, steaks, and football to the American people and he somehow has an image of success.



posted on May, 19 2018 @ 06:04 PM
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Talking about faux outrage.

Why do you guys even care?


Ahh because it's trump! Let a known spy, previously denied entry two times to the u.s because she's indeed a spy. Have a meeting with don jr and than be outraged he has said meeting

Russia! Russia!

Plant an informant into his campaign to report back to you so your favourite candidate can win.

Russia russia!

Well now it seems after 2 years of heavy investigating. That its those meddling arabs! Always sticking their noses where it doesnt belong!

So who are we suppose to be mad at for letting hillary lose?

Im confused.. 😣 what about all those Russian bots!

Ahh they were arab bots!

Now it makes sense. 😀



posted on May, 19 2018 @ 06:12 PM
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originally posted by: Phage
a reply to: MALBOSIA




He does things that's gets himself in snip all the time

Nothing seems to bother that base. Not the lies, nothing. Weird.


If this were any other administration, using the Presidency to personally attack a private business owner and try to harm one company while promoting another would be an impeachment worthy scandal.

But here? It's barely even making the news cycle.



posted on May, 19 2018 @ 06:27 PM
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a reply to: Aazadan

Yeah Didnt you know? They're still busy finding crimes of past administration 👍



posted on May, 19 2018 @ 06:30 PM
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The (largely transparent) plan here is to Kill USPS by any means necessary and then blame Jeff Bezos for the early death and emergency liquidation of the pension fund.

Right now, Amazon gets the same deal every other extra large retailer who streamlines the work (USPS readable bar codes, sizing, boxing, etc). USPS might jack that rate a bit, but Amazon can take its business elsewhere. That would kill USPS parcels, however, as they make up a huge part of the post office's profitability -- especially as the first class business shrinks and tanks.

You can't play 9th-dimensional chess and telegraph your next three moves. That's goofy.



posted on May, 19 2018 @ 07:58 PM
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originally posted by: Phage
a reply to: MALBOSIA




He does things that's gets himself in snip all the time

Nothing seems to bother that base. Not the lies, nothing. Weird.


Lies?

Really Phage?

Ok, nobody lies, it's a Trump phenomenon?




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