Democratic lawmakers wary of Treasury’s conditions for USPS $10B emergency loan

In an interview April 2, Connolly said that before the COVID-19 pandemic, USPS and Treasury had negotiated lifting the Postal Service’s borrowing cap. But in return, he said Treasury asked for greater oversight of USPS.

“Essentially, the Treasury Department insisted that management responsibilities be transferred from the Postal Service itself, which is a quasi-independent agency, to the Treasury Department. That was an unacceptable condition, and it’s a step we fear toward trying to privatize the Postal Service,” Connolly said.

The letter reminds Treasury that the USPS Board of Governors has the exclusive authority to appoint or remove the postmaster general or “direct and control the expenditures and review the practices and policies of the Postal Service.”

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