Senate passes Gary Peters' proposal to reform Postal Service finances

The Senate on Tuesday evening overwhelmingly approved a measure spearheaded by U.S. Sen. Gary Peters, D-Mich., to put the Postal Service on firmer financial footing.

Peters, as chairman of the Homeland Security and Governmental Affairs Committee that oversees the Postal Service, had introduced the Senate version of a reform bill that gets rid of a requirement that the Postal Service  pre-fund health benefits for employees.

The legislation — which also requires postal workers to enroll in Medicare when eligible and to maintain its standard of six-day delivery services — is expected to save the cash-strapped Postal Service nearly $50 billion over a decade.

Last month, the U.S. House passed the companion piece to the legislation introduced by Peters in the Senate, and it was that bill that was given final approval in the Senate on Tuesday by a vote of 79-19, sending it to President Joe Biden for his signature into law.

“By passing this historic legislation, the Senate has shown the American people that we can come together, build consensus, and pass meaningful reforms that will improve lives," Peters said. "This bill, which has been 15 years in the making, will finally help the Postal Service overcome burdensome requirements that threaten their ability to provide reliable service to the American people."