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FMA Washington Report: February 14, 2022
The Postal Reform Act Passes a Major Milestone

The House of Representatives passed the Postal Service Reform Act of 2022 (H.R. 3076) by a vote of 342-92 on Tuesday, February 8. FMA supports the bill and urged a “yes” vote in a Federal-Postal Coalition letter to Congress.

H.R. 3076 is a bipartisan, consensus bill that makes long-overdue reforms to provide financial relief for the U.S. Postal Service (USPS). It repeals the mandate to fully prefund retiree healthcare benefits, and allows the USPS to realize cost savings for the provision of those health benefits through increased Medicare integration. The bill also codifies six-day delivery, “safeguarding the service American households and businesses have come to expect.”

The Congressional Budget Office estimates this postal reform bill would reduce FEHB premiums for federal employees and annuitants, including savings for the government’s share of contributions for non-postal annuitants and $827 million for federal employees. Further, analysis from the Office of Personnel Management shows an expected 1 percent decrease in FEHB premiums, once H.R. 3076’s reforms would take effect (in Fiscal Year 2025).

H.R. 3076 has been received in the Senate and needs passage there before it could be signed into law. To track the bill’s progress, please click here.

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