HOUSE PASSES POSTAL REFORM BILL THAT ENDS RETIREE PREFUNDING AND MANDATES 6-DAY SERVICE; SENATE EXPECTED TO FOLLOW

WASHINGTON, DC — The USPS’ long nightmare of prefunding retiree health care expenses appears at its end, as the House of Representatives passed a sweeping postal bill that eliminates prefunding, requires employees to use Medicare, and mandates 6-day mail service.

Passing 342-92, the Postal Reform Act of 2022 heads to the Senate where quick action is expected.

“I am hopeful that the Senate votes on it in a timely manner,” U.S. Postmaster General Louis DeJoy said prior to House approval. “I would like thank Chairman Peters and Ranking Member Portman for their co-sponsorship of parallel legislation in the Senate and look forward to their continued leadership in passing this legislation that is vital to the United States Postal Service and the American People.”

The Postal Reform Act of 2022 will end the requirement in the 2006 reform law that made the USPS prefund its retiree health care expenses. That provision imposed on the USPS mandates no other federal agency is subject to. It has accounted for over $50 billion in balance sheet loses.

The act will require Medicare-eligible postal retirees enroll in Medicare. And it mandates 6-days of mail service be provided to the American public. It also requires the Post release local weekly service data on the Postal Service website.

Click for Postal Reform Act of 2022 full text

“We just did something no one thought we could — we passed postal reform in the House with an overwhelming bipartisan majority!” tweeted Rep. Carolyn B. Maloney (D-NY), chairman of the House Committee on Oversight and Reform.

U.S. Senator Gary Peters (D-MI), Chairman of the Homeland Security and Governmental Affairs Committee, applauded House passage of the bipartisan legislation. He is leading the effort in the Senate and has secured significant bipartisan support for a companion bill with a total of fourteen Democratic and fourteen Republican cosponsors currently backing the legislation.

“Since introducing this legislation last May, I have worked hand in hand with the bipartisan leaders of my committee and the House Oversight and Reform Committee to craft this bipartisan bill that will help the Postal Service overcome unfair and burdensome financial requirements, provide more transparency and accountability to the American people, and continue its nearly 250-year tradition of service to every community in our nation,” said Senator Peters.

“I appreciate the hard work of Representatives Maloney and Comer as they led this important legislation through the House with strong bipartisan support. Given the significant, bipartisan support for the same bill in the Senate, I expect to move quickly to vote on these critical reforms that will help ensure the Postal Service’s long-term success.”