The PERFORM Act prohibits the Postmaster General from receiving performance-based bonuses if the Postal Service fails to meet specific financial and service benchmarks while mandating increased transparency regarding executive compensation.
Dale Strong
Representative
AL-5
The PERFORM Act increases accountability for the U.S. Postal Service by prohibiting performance-based bonuses for the Postmaster General if the agency fails to meet specific financial, service, or reporting benchmarks. Additionally, the bill mandates increased transparency through annual reporting on executive compensation and requires the Inspector General to audit compliance with these new standards.
The PERFORM Act introduces a strict 'no results, no bonus' policy for the leadership of the United States Postal Service. Under this bill, the Postmaster General is prohibited from receiving any performance-based compensation—including incentive awards or retention payments—if the agency fails to meet basic operational standards. Specifically, if the Postal Service spends more than it earns, misses its nationwide service targets, or fails an audit due to material weaknesses, the Postmaster General’s bonus is officially off the table for the following year.
This legislation addresses a common frustration for anyone who has dealt with delayed mail or rising stamp prices while hearing about executive paydays. By amending federal postal law, the bill creates a direct link between the Postmaster General’s paycheck and the actual quality of service you receive at your mailbox. For a small business owner relying on timely invoices or a veteran waiting on a prescription, this means the head of the USPS now has a personal financial stake in ensuring the mail arrives on time. If the agency’s financial audit receives a 'disclaimer' or 'adverse opinion'—essentially a red flag from accountants that the books aren't in order—the bonus is automatically canceled under Section 2.
Beyond the Postmaster General, the bill forces the USPS to be much more transparent about how it rewards its top brass. Within 30 days of the fiscal year ending, the agency must hand over a detailed report to Congress listing every bonus paid to senior executives. This isn't just a list of names and numbers; the bill requires the USPS to disclose the specific performance metrics used to justify each payment. This level of detail allows for a 'receipts-based' approach to government spending, ensuring that senior staff aren't being rewarded for metrics that don't actually improve service for the average citizen.
To ensure the agency isn't grading its own homework, the bill tasks the Postal Service Inspector General with a mandatory review of these annual reports. The Inspector General must verify whether the USPS actually followed the new bonus restrictions and met the reporting requirements. By adding this layer of independent oversight, the bill aims to prevent the kind of bureaucratic workarounds that often allow executive compensation to climb even when service quality dips. It’s a straightforward attempt to run the Postal Service more like a transparent business where the person at the top is held accountable for the bottom line.