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Policy & Law

Hawley Expands USPS Investigation, Accuses Postmaster General of Ignoring Congressional Oversight

The Missouri Republican demands records on Alvarez & Marsal consulting contract while USPS projects $8.1 billion loss for fiscal year 2026.

Josh Hawley — Josh Hawley, official portrait, 116th congress (cropped)
Photo: U.S. Senate Photographic Studio (Public domain) via Wikimedia Commons
⚡ The Bottom Line

Hawley has given USPS until July 24 to respond to his expanded document requests, which now include records on the Alvarez & Marsal consulting engagement. Whether the agency complies with congressional oversight demands in full will likely determine whether this inquiry escalates to formal subpoenas or additional legislative action. The investigation highlights ongoing tensions between Congress...

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Sen. Josh Hawley, R-Mo., is expanding his investigation into the U.S. Postal Service, accusing Postmaster General David Steiner of ignoring congressional oversight while demanding records on the agency's use of outside restructuring consultants as USPS projects billions more in financial losses.

In a letter obtained by Fox News Digital, the Missouri Republican said his office has received no documents in response to a June 30 oversight request and informed Steiner that the investigation will now examine USPS' hiring of consulting firm Alvarez & Marsal. Hawley set a July 24 deadline for responses to his expanded questions.

"To date, my office has received no documents in compliance with my June 30 letter," Hawley wrote. "Is it your intention simply to ignore statutory oversight? I expect full compliance with my oversight requests immediately."

The senator's expanded probe follows weeks after he launched an initial inquiry into dumped mail discovered in St. Louis and delayed deliveries, possible criminal misconduct and executive bonuses.

What the Right Is Saying

Hawley argues that taxpayers deserve transparency into how their money is being spent, particularly when consulting fees are involved alongside billions in projected losses.

"It is surprising to me that as you complain about this monetary crisis, you and other USPS executives continue to rake in annual bonus packages and have found plenty of cash to hire these outside consultants like A&M — all while service declines and far too many Americans are not receiving their mail," Hawley wrote.

Republican lawmakers have broadly supported increased congressional oversight of federal agencies following years of pandemic-era operational disruptions at USPS. Some conservative commentators argue that the postal service's financial trajectory demands accountability, particularly regarding executive compensation during periods of projected loss.

Hawley's office is requesting records detailing who hired Alvarez & Marsal, how much the firm has been paid and whether it was asked to recommend closing rural post offices, limiting rural delivery or reviewing executive compensation. The senator also inquired about whether USPS plans to release the firm's recommendations publicly.

What the Left Is Saying

Democratic defenders of USPS and some postal reform advocates argue that the Postal Service has faced structural financial challenges for decades that predate current leadership, and that hiring outside consultants is a standard practice for large organizations facing complex operational transitions.

Some progressive commentators have noted that Hawley's focus on executive bonuses comes as Congress itself continues to award congressional pensions and benefits, and have questioned whether the senator's scrutiny represents consistent oversight or targeted political pressure on a presidentially appointed postmaster general.

Postal worker unions have pointed to years of underfunding mandated by the Postal Accountability and Enhancement Act of 2006 as the root cause of USPS financial difficulties, arguing that recent service challenges reflect staffing constraints rather than management failures.

USPS did not immediately respond to requests for comment on Hawley's expanded investigation.

What the Numbers Show

USPS has lost an estimated $25 billion over the past three fiscal years combined, according to figures cited in Hawley's letter.

The agency is projecting at least an $8.1 billion loss in fiscal year 2026 despite reforms Congress approved in the Postal Service Reform Act of 2022 aimed at improving the agency's financial position.

Hawley noted that Steiner disclosed earlier this year that USPS had hired Alvarez & Marsal to help plan for its financial future, though specific contract amounts have not been publicly released.

The senator's June 30 oversight request sought documents related to dumped mail in St. Louis, delayed deliveries and executive bonus structures. Those requests remain outstanding, according to Hawley's office.

The Bottom Line

Hawley has given USPS until July 24 to respond to his expanded document requests, which now include records on the Alvarez & Marsal consulting engagement. Whether the agency complies with congressional oversight demands in full will likely determine whether this inquiry escalates to formal subpoenas or additional legislative action.

The investigation highlights ongoing tensions between Congress and postal leadership over financial transparency and service reliability. USPS is required by law to maintain universal service obligations, including rural delivery, regardless of its financial condition — a mandate that becomes more difficult if losses continue at projected levels.

What happens next: Watch for USPS response by the July 24 deadline and whether Hawley's committee takes additional steps to compel document production. The senator has publicly called for Steiner's resignation previously if he refused to return his performance bonus over service failures.

Sources