A little-noticed provision of President Donald Trump and Republicans’ massive tax and immigration legislation would force the government to undo billions of dollars in electric vehicle investments made by the U.S. Postal Service (USPS), unwinding much of the Biden administration’s climate push at the mail agency while dealing it a sharp financial setback.
In 2022, the USPS embarked on plans to purchase 66,000 electric mail delivery vehicles, many of them bespoke “Next Generation Delivery Vehicles” from the defense contractor Oshkosh. The agency has also purchased hundreds of e-transit delivery vans from Ford and spent more than $500,000 remodeling its outdated mail and package sorting facilities to accommodate electric and low-emissions vehicles.
The agency expects to spend $9.6 billion on the project in total; $3 billion of that comes from taxpayer dollars to cover the cost difference between gas-powered vehicles and more expensive EVs. The remaining funding comes from the USPS' independent accounts. The agency is largely self-sufficient, financed by the sale of postage products.
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