Bending to strong public opposition, the nearly bankrupt U.S. Postal Service on Wednesday backed off a plan to close thousands of rural post offices after May 15 and proposed keeping them open with shorter hours.
The move to halt the shuttering of 3,700 low-revenue post offices followed months of dissent from rural states and their lawmakers, who said the cost-cutting would hurt their communities the most. In recent weeks, rising opposition led Postmaster General Patrick R. Donahoe to visit some rural areas in a bid to ease fears about cuts that could slow delivery of prescription drugs, newspapers and other items.
In an election year, the angst over postal closings also extended to nearly half the senators, who in letters last week urged Mr. Donahoe to postpone closing any mail facility until Congress approves final postal overhaul legislation. The Senate last month passed a bill that would halt many of the closings; the House remains stalled over a separate bill allowing for aggressive cuts.
"I could live with this plan, and I think the majority of people could," said June Nygren, who runs the Jersey Lilly Saloon & Eatery in the tiny Montana town of Ingomar. Mr. Donahoe visited the rural town of about 80 people last month, which welcomed him with a spread of homemade baked goods and a packed school gymnasium as people pleaded for their post office to stay open.
"I felt he really paid attention, and apparently he did," Ms. Nygren said.
At a press briefing, Mr. Donahoe said he hoped the latest plan would help allay much of rural America's concern about postal cutbacks. He prodded Congress to act quickly on legislation that would allow the agency to move ahead with its broader multibillion-dollar cost-cutting effort and return to profitability by 2015.
"We've listened to our customers in rural America, and we've heard them loud and clear — they want to keep their post office open," he said. "We believe today's announcement will serve our customers' needs and allow us to achieve real savings to help the Postal Service return to long-term financial stability."
While no post office would be closed, more than 13,000 rural mail facilities could see reduced operations of between two hours and six hours, but only after a review process that is expected to take several months. An additional 4,000 rural post offices would keep their full-time hours.
The agency also will announce changes next week involving its proposal to close up to 252 mail-processing centers.
After the Postal Service gets regulatory approval and hears public input sometime this fall, the new strategy would go into place over two years and be completed in September 2014, saving $500 million a year by reducing full-time staff.
Under the plan, communities would get the option of keeping their area post offices open, but with reduced hours. Another option would be to close a post office in one area while keeping a nearby one open full time. Communities could opt to create a Village Post Office, one set up in a library, government office or store such as Walmart, Walgreens or Office Depot.
"At the end of the day, we will not close rural post offices until we receive community input," said Megan Brennan, the Postal Service's chief operating officer.
The latest move comes as the Postal Service is pushing Congress to pass cost-saving postal legislation that would include an end to Saturday mail delivery.
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