Hawley Expands Postal Service Investigation, Questions Retention of New York Consultants

WASHINGTON — Today, U.S. Senator Josh Hawley (R-Mo.) expanded his investigation into the United States Postal Service (USPS) after Postmaster General David Steiner refused to provide answers for the terrible postal service in Missouri. Senator Hawley questioned USPS’ apparent retention of a New York consulting firm while Missourians’ mail delivery lags, despite Congress passing the Postal Service Reform Act in 2022 to equip the agency to rectify service issues. Senator Hawley wrote, “To date, my office has received no documents in compliance with my June 30 letter. Is it your intention simply to ignore statutory oversight? I expect full compliance with my oversight requests immediately. This letter is to inform you that my office is formally expanding its investigation to include the retention of outside consultants by the United States Postal Service (USPS) so Congress can evaluate whether postal service leadership is appropriately prioritizing service improvements.” He questioned the Postal Service’s use of outside consultants, stating , “In a March 4, 2026 interview, you revealed that USPS had consulted with Alvarez & Marsal (A&M) for a ‘brief engagement to help with planning for all scenarios.’ I was surprised to learn that you have hired a New York-based management consulting company, which is known for corporate restructuring. You also emphasized that service and staffing cuts were a consideration in USPS’ efforts to mitigate its financial losses, arguing that ‘we must be prepared to do what we have to do because we cannot rely on outside forces.'” Senator Hawley also inquired about why postal service for Missourians has not been fixed since Congress passed the Postal Service Reform Act of 2022 , which was requested by postal service leadership at the time to improve operations. He concluded , “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. If the Postal Service plans to address its losses through hiring A&M, then Congress must be apprised of the nature of the engagement and A&M’s recommendations to ensure that USPS service standards—such as universal service and rural delivery—do not continue to decline in any agency restructuring plan. ” Read Senator Hawley’s full letter here or below. Senator Hawley’s investigation looks into the ongoing mail service failures plaguing Missouri, alongside potential criminal activity in abandoned mail and the alarming distribution of lavish bonuses to U.S. Postal Service (USPS) executives. Read more about Senator Hawley’s investigation here . July 16, 2026 Postmaster General Steiner United States Postal Service 475 L’Enfant Plaza SW Washington, D.C. 20260 Dear Postmaster General Steiner, To date, my office has received no documents in compliance with my June 30 letter. Is it your intention simply to ignore statutory oversight? I expect full compliance with my oversight requests immediately. This letter is to inform you that my office is formally expanding its investigation to include the retention of outside consultants by the United States Postal Service (USPS) so Congress can evaluate whether postal service leadership is appropriately prioritizing service improvements. In a March 4, 2026 interview, you revealed that USPS had consulted with Alvarez & Marsal (A&M) for a “brief engagement to help with planning for all scenarios.” I was surprised to learn that you have hired a New York-based management consulting company, which is known for corporate restructuring. You also emphasized that service and staffing cuts were a consideration in USPS’ efforts to mitigate its financial losses, arguing that “we must be prepared to do what we have to do because we cannot rely on outside forces.” As you know, USPS’s financial situation has become increasingly dire in recent years. The Postal Service has lost an estimated $25 billion over the last three fiscal years—an embarrassing achievement on top of internal projections that USPS would run a $17 billion deficit over that period. And this fiscal year alone, under your leadership, USPS projects a loss of at least $8.1 billion. This all comes after Congress passed the Postal Service Reform Act of 2022, which was requested by postal service leadership to help stem these losses and guarantee universal service. Despite that legislation, nothing appears to have changed. 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. If the Postal Service plans to address its losses through hiring A&M, then Congress must be apprised of the nature of the engagement and A&M’s recommendations to ensure that USPS service standards—such as universal service and rural delivery—do not continue to decline in any agency restructuring plan. Therefore, I reiterate my request for you to provide the documents, communications, and written responses enumerated in my June 30 letter. I also request a response to the additional questions on the engagement of outside consultants by Friday, July 24, 2026. 1.     In addition to my questions and documents in my June 30 letter on the same subject, please also describe the process by which Alvarez & Marsal was retained by USPS, and who at USPS hired these consultants. 2.     Please describe, in the last 10 years, every contract or instance in which USPS has hired management consultants for the same purpose and how much they were paid over the term of the contract. 3.     How much has USPS budgeted for the retention of Alvarez and Marsal, how much have these consultants been paid already, and how much will they be paid over the terms of their contract? 4.     What precisely was Alvarez & Marsal instructed to produce as a deliverable per the terms of their engagement? 5.     Was Alvarez & Marsal instructed to find ways to cut costs at USPS? If so, were they instructed to investigate the closure of rural post offices or the restriction of rural delivery? 6.     Was Alvarez & Marsal instructed to investigate executive compensation? Have they identified executive compensation as a cost that can be cut? 7.     Are you planning to release any deliverables by Alvarez & Marsal to Congress and the public? Sincerely, Josh Hawley United States Senator