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Observers Say Progress Made on Postal Service Rescue

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Observers of the Postal Service and Congress believe Democrats and Republicans are treating the agency’s financial crisis with a sense of urgency and are headed toward a compromise, according to a report by The Hill.

A Republican bill is advancing through the House while the Senate has a bipartisan group of lawmakers working on a compromise bill.

The Senate Homeland Security and Governmental Affairs Committee will possibly review the compromise bill either this month or in early November.

The House Oversight and Government Reform Committee cleared its legislation Thursday. If passed, the proposal would install an oversight board to recommend post office closures as part of efforts to reduce labor costs.

The Postal Service faces a mid-November deadline to make a $5.5 billion annual prepayment for retiree health care, which was postponed from September.

“We have some much needed breathing room to develop a robust reform package that will address the Postal Service’s short and long-term financial challenges,” Sen. Tom Carper (D-Del.) said in a statement obtained by The Hill. Carper chairs the Homeland Security subcommittee that oversees the Postal Service.

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