H.R. 5530

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5530 Introduced in House (IH)]

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119th CONGRESS
1st Session
H. R. 5530

To amend section 404 of title 39, United States Code, to permit 
contractors to independently continue operating contract postal units 
that would otherwise be closed by the United States Postal Service, and 
for other purposes.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

September 19, 2025

Mr. Schweikert introduced the following bill; which was referred to the 
Committee on Oversight and Government Reform

_______________________________________________________________________

A BILL

To amend section 404 of title 39, United States Code, to permit 
contractors to independently continue operating contract postal units 
that would otherwise be closed by the United States Postal Service, and 
for other purposes.

Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ``Postal Contracting Financial 
Accountability Act''.

SEC. 2. CONTINUED OPERATION OF CONTRACT POSTAL UNITS.

Section 404 of title 39, United States Code, is amended by adding 
at the end the following new subsection:
``(f)(1) If the Postal Service makes a determination to terminate 
or not renew a contract postal unit operation agreement with a covered 
contractor for a contract postal unit, the covered contractor may, in 
the sole discretion of the covered contractor, elect to have such 
contract postal unit operation agreement remain in effect in accordance 
with this subsection if--
``(A) such determination to terminate or not renew the 
contract postal unit operation agreement is not primarily or 
entirely based on the covered contractor breaching such 
contract postal unit operation agreement;
``(B) the Postal Service has not entered into another 
contract postal unit operation agreement with the covered 
contractor for the contract postal unit;
``(C) the covered contractor submits to the Postal Service 
a notice of such election by the covered contractor; and
``(D) the covered contractor agrees to amend the terms and 
conditions of the contract postal unit operation agreement in 
accordance with this subsection.
``(2)(A) Except as provided by subparagraph (B), a contract postal 
unit operation agreement that remains in effect pursuant to an election 
by a covered contractor under paragraph (1) shall have the same terms 
and conditions as the terms and conditions in effect immediately prior 
to the date on which, but for such election, the contract postal unit 
operation agreement would have terminated or ended, and such terms and 
conditions shall apply in the same manner as such terms and conditions 
applied immediately prior to such date, except that, after such date, 
the contract postal unit operation agreement shall--
``(i) not obligate the Postal Service to make any 
payment to the covered contractor; and
``(ii) remain in effect until--
``(I) the Postal Service terminates the 
contract postal unit operation agreement for a 
breach of the contract postal unit operation 
agreement by the covered contractor; or
``(II) the covered contractor--
``(aa) terminates the contract 
postal unit operation agreement; or
``(bb) permanently ceases to 
operate the contract postal unit with 
respect to which the contract postal 
unit operation agreement applies.
``(B)(i) Notwithstanding subparagraph (A), a contract 
postal unit operation agreement that remains in effect pursuant 
to an election by a covered contractor under paragraph (1) 
shall, if determined appropriate by the Postmaster General, 
require the Postal Service to make payments to the covered 
contractor with respect to the operation of the contract postal 
unit with respect to which the contract postal unit operation 
agreement applies after the date on which, but for such 
election, the contract postal unit operation agreement would 
have terminated or ended.
``(ii) The Postmaster General shall determine terms and 
conditions of any payments the Postal Service is required to 
make to a covered contractor under a contract postal unit 
operation agreement pursuant to clause (i).
``(3) If a covered contractor makes the election under paragraph 
(1) with respect to a contract postal unit operation agreement, the 
Postal Service shall agree to amend the terms and conditions of the 
contract postal unit operation agreement in accordance with this 
subsection.
``(4) In this subsection--
``(A) the term `contract postal unit' means a facility 
operated by a covered contractor at which the covered 
contractor provides retail postal services under a contract 
postal unit operation agreement;
``(B) the term `contract postal unit operation agreement' 
means a contract or other agreement between the Postal Service 
and a covered contractor under which the covered contractor 
operates a contract postal unit; and
``(C) the term `covered contractor' means an individual or 
entity operating a contract postal unit under a contract postal 
unit operation agreement.''.
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