H.R. 22 Passes Subcommittee
H.R. 22 moves forward with a timeline amendment.
H.R. 22 is a House bill that would redirect a portion of the Postal Service’s prior payments to the Postal Service Retiree Health Benefits Trust Fund to pay its share of contributions for current retiree health benefits through 2016. If enacted, H.R. 22 would allow the USPS to pay for health care benefits for current retirees out of its Retiree Health Benefit Fund – which currently hovers around $32 billion — instead of its operating budget.
Last week the bill passed the Subcommittee on Federal Workforce and Postal Service, And the District of Columbia, Committee on Oversight and Government Reform. But it was amended. U.S. Rep. Stephen Lynch (D-MA), who chairs the subcommittee, recommended a three-year timetable for the bill, instead of the proposed eight. The bill, which was introduced by Rep. John McHugh (R-NY) and co-sponsored by Rep. Danny Davis (D-IL), is expected to receive full committee markup shortly after the July 4 holiday.
The USPS has not received an operational subsidy from Congress since 1982, and current estimates forecast the federal agency will lose a record $6.4 billion in fiscal 2009. That would be on top of losses of $2.8 billion in fiscal 2008 and $5.1 billion in fiscal 2007. The USPS last turned a profit of $900 million in fiscal 2006.
