GEARHART — The contractor for the postal unit on Pacific Way has announced she will be giving up her contract in January, though the city is hopeful the U.S. Postal Service will choose a successor.

Earlier this year, Kim Morgan agreed to take on the postal unit after the previous contractor chose not to renew. The unit, which has over 700 P.O. boxes, had faced closure at the end of April.

Morgan posted on social media about her decision to step away, explaining that the busy postal unit was too difficult to manage from her residence in Lincoln City and that a local person would be a better fit.

“But I want to make it clear that we have a number of qualified candidates interested in assuming the position and I expect service to continue without interruption, despite the notices stating that service may end,” she wrote.

Morgan added that she was posting about her decision in order to avoid the “worrisome” situation that residents were faced with last spring, when customers were told their P.O. boxes would be moved to Seaside.

The city sent out a statement on Tuesday informing residents of the change.

Though the city must defer to the Postal Service when it comes to running the postal unit and selecting contractors, city leaders said they had received reliable information indicating that the Postal Service would pursue a new contractor to continue operations in Gearhart.

“Given the amount of time USPS has to identify a new service provider, and reliable information there are applicants interested in taking over the contract, the City hopes the Gearhart Post Office will transition in January without a lapse in service,” the city said.

Some residents and city leaders favor creating a Gearhart ZIP code in order to improve access to home mail delivery and avoid confusion and potential disruption.

Gearhart shares a ZIP code with Seaside, and many residents who live on the east side depend on the Seaside Post Office for delivery rather than the P.O. boxes downtown.