Sen. Smith Praises Passage of Bipartisan Bill to Improve U.S. Postal Service

WASHINGTON [3.8.22] – Today, Senator Tina Smith (D-MN) said that the passage of  the bipartisan Postal Service Reform Act–which she cosponsored–will ensure postal delivery standards are not cut and will help stabilize the long-troubled USPS budget, which in turn will mean reliable service for customers nationwide. The new law will ensure that six day delivery remains the nationwide standard.

“The U.S. Postal Service is a vital public service, connecting Americans across the country no matter where they live,” said Sen. Smith. “People don’t just rely on the postal service for letters and catalogues; it’s how people get their medications, ballots, newspapers, and so much more. This new law will make sure people in Minnesota and around the country will not see cuts to their delivery standard of six day service, and will stabilize the postal service budget—something that has long jeopardized the reliability of USPS delivery standards. And it will lift onerous budget requirements that have pushed the USPS deeply into debt.”

Without congressional action, the USPS officials warned it would run out of money by 2024. To that end, the Postal Service Reform Act eliminates the unusual requirement that the USPS pre-fund retiree health benefits 75 years into the future—the only federal agency required to do so. The change will save $27 billion over the next 10 years. Additionally, the bill requires all future USPS retirees to enroll in Medicare, which is estimated to save $22.5 billion over 10 years. Currently, a quarter of retirees do not enroll in Medicare despite paying into it and being eligible.

There is also a six day delivery requirement, which permanently requires delivery six days per week, expect for certain locations that cannot feasibly receive this service. The bill will also improve transparency and performance by requiring a public-facing, online dashboard showing service performance data.