After 14 straight years of losses, the United States Postal Service is receiving a $107 billion overhaul. Lawmakers passed a bipartisan bill to modernize the government-funded agency and prevent it from shutting its doors.
Postal Service Reform Act passes with bipartisan support
“Today, after much hard work, the Senate is providing the Postal Service a much-needed reset,” Senate Majority Leader Chuck Schumer (D-NY) proclaimed on the Senate floor.
Lawmakers said the funding will put the shipping carrier on a path to financial stability.
“What this does is it saves the post office, which is incredibly important to all of our constituents,” Sen. Rob Portman (R-OH).
USPS remains an American staple
Millions of Americans still use the postal service to receive medication, pay bills, and vote. In addition, private shipping companies like UPS and Amazon use the provider to deliver packages to homes in rural communities.
Reforms to Postal Service
To revive the agency, the government is implementing the following reforms:
- USPS is no longer scaling back; it will continue delivering the mail six days a week.
- The postal service is no longer mandated to finance employees’ health insurance costs years in advance.
- Current and future retirees are now required to enroll in Medicare, and any costs not covered under the employee’s government health insurance plan USPS will cover it.
- The Postal Service must provide more transparency by creating an online dashboard that will calculate delivery times based on a customer’s zip code.
According to the House Committee on Oversight and Reform, these changes will save the agency $26.7 billion over 10 years.
