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HR 2309 IH

112th CONGRESS

1stRHCommentsClose CommentsPermalink

2d SessionCommentsClose CommentsPermalink

H. R. 2309CommentsClose CommentsPermalink

To restore the financial solvency of the United States Postal Service and to ensure the efficient and affordable nationwide delivery of mail.CommentsClose CommentsPermalink

IN THE HOUSE OF REPRESENTATIVESCommentsClose CommentsPermalink

June 23, 2011CommentsClose CommentsPermalink

Mr. ISSA (for himself and Mr. ROSS of Florida) introduced the following bill; which was referred to the Committee on Oversight and Government Reform, and in addition to the Committee on Rules, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concernedCommentsClose CommentsPermalink

A BILLCommentsClose CommentsPermalink

To restore the financial solvency of the United States Postal Service and to ensure the efficient and affordable nationwide delivery of mail.CommentsClose CommentsPermalink

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS; REFERENCES.

(a) Short Title- This Act may be cited as the ‘Postal Reform Act of 2011’. CommentsClose CommentsPermalink





(b) Table of Contents- The table of contents of this Act is as follows: CommentsClose CommentsPermalink





Sec. 1. Short title; table of contents; references. CommentsClose CommentsPermalink

TITLE I--POSTAL SERVICE MODERNIZATION

Subtitle A--Commission on Postal Reorganization

Sec. 101. Short title. CommentsClose CommentsPermalink





Sec. 102. Definitions. CommentsClose CommentsPermalink





Sec. 103. Commission on Postal Reorganization. CommentsClose CommentsPermalink





Sec. 104. Recommendations for closures and consolidations. CommentsClose CommentsPermalink





Sec. 105. Implementation of closures and consolidations. CommentsClose CommentsPermalink





Sec. 106. Congressional consideration of final CPR reports. CommentsClose CommentsPermalink





Sec. 107. Nonappealability of decisions. CommentsClose CommentsPermalink





Sec. 108. Rules of construction. CommentsClose CommentsPermalink





Sec. 109. GAO study and report. CommentsClose CommentsPermalink

Subtitle B--Other Provisions

Sec. 111. Frequency of mail deliveryImplementation of discretionary non-mail delivery days. CommentsClose CommentsPermalink





Sec. 112. Efficient and flexible universal postal service. CommentsClose CommentsPermalink





Sec. 113. More cost-efficient Postal Service contracting.Sec. 114. Enhanced reporting on Postal Service efficiency. CommentsClose CommentsPermalink





Sec. 114. Applicability of procedures relating to closures and consolidations. CommentsClose CommentsPermalink

TITLE II--POSTAL SERVICE FINANCIAL RESPONSIBILITY AND MANAGEMENT ASSISTANCE AUTHORITY

Subtitle A--Establishment and Organization

Sec. 201. Purposes. CommentsClose CommentsPermalink





Sec. 202. Establishment of the Authority. CommentsClose CommentsPermalink





Sec. 203. Membership and qualification requirements. CommentsClose CommentsPermalink





Sec. 204. Organization. CommentsClose CommentsPermalink





Sec. 205. Executive Director and staff. CommentsClose CommentsPermalink





Sec. 206. Funding. CommentsClose CommentsPermalink

Subtitle B--Powers of the Authority

Sec. 211. Powers. CommentsClose CommentsPermalink





Sec. 212. Exemption from liability for claims. CommentsClose CommentsPermalink





Sec. 213. Treatment of actions arising under this title. CommentsClose CommentsPermalink





Sec. 214. Delivery point modernization. CommentsClose CommentsPermalink

Subtitle C--Establishment and Enforcement of Financial Plan and Budget for the Postal Service

Sec. 221. Development of financial plan and budget for the Postal Service. CommentsClose CommentsPermalink





Sec. 222. Supplementary borrowing authority during a control period. CommentsClose CommentsPermalink





Sec. 223. Process for submission and approval of financial plan and budget. CommentsClose CommentsPermalink





Sec. 224. Responsibilities of the Authority. CommentsClose CommentsPermalink





Sec. 225. Effect of finding noncompliance with financial plan and budget. CommentsClose CommentsPermalink





Sec. 226. Recommendations regarding financial stability, etc. CommentsClose CommentsPermalink





Sec. 227. Special rules for fiscal year in which control period commences. CommentsClose CommentsPermalink





Sec. 228. Assistance in achieving financial stability, etc. CommentsClose CommentsPermalink





Sec. 229. Obtaining reports. CommentsClose CommentsPermalink





Sec. 230. Reports and comments. CommentsClose CommentsPermalink

Subtitle D--Termination of a Control Period

Sec. 231. Termination of control period, etc. CommentsClose CommentsPermalink





Sec. 232. Congressional consideration of recommendation. CommentsClose CommentsPermalink

TITLE III--POSTAL SERVICE WORKFORCE

Subtitle A--General Provisions

Sec. 301. Modifications relating to determination of pay comparability. CommentsClose CommentsPermalink





Sec. 302. Limitation on postal contributions under FEGLI and FEHBP. CommentsClose CommentsPermalink





Sec. 303. Repeal of provision relating to overall value of fringe benefits. CommentsClose CommentsPermalink





Sec. 304. Applicability of reduction-in-force procedures. CommentsClose CommentsPermalink





Sec. 305. Modifications relating to collective bargaining. CommentsClose CommentsPermalink





Sec. 306. One-time transfer of net surplus postal retirement contributions. CommentsClose CommentsPermalink

Subtitle B--Postal Service Workers’ Compensation Reform

Sec. 311. Sense of CongressPostal Service workers’ compensation reform. CommentsClose CommentsPermalink

TITLE IV--POSTAL SERVICE REVENUE

Sec. 401. Adequacy, efficiency, and fairness of postal rates. CommentsClose CommentsPermalink





Sec. 402. Repeal of rate preferences for qualified political committees. CommentsClose CommentsPermalink





Sec. 403. Rate preferences for nonprofit advertising. CommentsClose CommentsPermalink





Sec. 404. Streamlined review of qualifying service agreements for competitive products. CommentsClose CommentsPermalink





Sec. 405. Submission of service agreements for streamlined review. CommentsClose CommentsPermalink





Sec. 406. Transparency and accountability for service agreements. CommentsClose CommentsPermalink





Sec. 407. Nonpostal services. CommentsClose CommentsPermalink





Sec. 408. Reimbursement of Alaska bypass mail costs. CommentsClose CommentsPermalink





Sec. 409. Appropriations modernization. CommentsClose CommentsPermalink





Sec. 410. Retiree health care benefit payment deferral. CommentsClose CommentsPermalink

TITLE V--POSTAL CONTRACTING REFORM

Sec. 501. Contracting provisions. CommentsClose CommentsPermalink





Sec. 502. Technical amendment to definition. CommentsClose CommentsPermalink





(c) References- Except as otherwise expressly provided, whenever in this Act an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of title 39, United States Code. CommentsClose CommentsPermalink

TITLE I--POSTAL SERVICE MODERNIZATION CommentsClose CommentsPermalink

Subtitle A--Commission on Postal Reorganization CommentsClose CommentsPermalink

SEC. 101. SHORT TITLE.

This subtitle may be cited as the ‘Commission on Postal Reorganization Act’ or the ‘CPR Act’. CommentsClose CommentsPermalink

SEC. 102. DEFINITIONS.

For purposes of this title-- CommentsClose CommentsPermalink





(1) the term ‘Postal Service’ means the United States Postal Service; CommentsClose CommentsPermalink





(2) the term ‘postal retail facility’ means a post office, post office branch, post office classified station, or other facility which is operated by the Postal Service, and the primary function of which is to provide retail postal services; CommentsClose CommentsPermalink





(3) the term ‘mail processing facility’ means a processing and distribution center, processing and distribution facility, network distribution center, or other facility which is operated by the Postal Service, and the primary function of which is to sort and process mail; CommentsClose CommentsPermalink





(4) the term ‘district office’ means the central office of an administrative field unit with responsibility for postal operations in a designated geographic area (as defined under regulations, directives, or other guidance of the Postal Service, as in effect on June 23, 2011); CommentsClose CommentsPermalink





(5) the term ‘area office’ means the central office of an administrative field unit with responsibility for postal operations in a designated geographic area which is comprised of designated geographic areas as referred to in paragraph (4); CommentsClose CommentsPermalink





(6) the term ‘baseline year’ means the fiscal year last ending before the date of the enactment of this Act; and CommentsClose CommentsPermalink





(7) the term ‘Member of Congress’ has the meaning given such term bysection 2106 of title 5, United States Code. CommentsClose CommentsPermalink

SEC. 103. COMMISSION ON POSTAL REORGANIZATION.

(a) Establishment- There shall be established, not later than 90 days after the date of the enactment of this Act, an independent commission to be known as the ‘Commission on Postal Reorganization’ (hereinafter in this section referred to as the ‘Commission’). CommentsClose CommentsPermalink





(b) Duties- The Commission shall carry out the duties specified for it in this subtitle. CommentsClose CommentsPermalink





(c) Members- CommentsClose CommentsPermalink





(1) IN GENERAL- The Commission shall be composed of 5 members who shall be appointed by the President, and of whom-- CommentsClose CommentsPermalink





(A) 1 shall be appointed from among individuals recommended by the Speaker of the House of Representatives; CommentsClose CommentsPermalink





(B) 1 shall be appointed from among individuals recommended by the majority leader of the Senate; CommentsClose CommentsPermalink





(C) 1 shall be appointed from among individuals recommended by the minority leader of the House of Representatives; CommentsClose CommentsPermalink





(D) 1 shall be appointed from among individuals recommended by the minority leader of the Senate; and CommentsClose CommentsPermalink





(E) 1 shall be appointed from among individuals recommended by the Comptroller General. CommentsClose CommentsPermalink





(2) QUALIFICATIONS- CommentsClose CommentsPermalink





(A) IN GENERAL- Members of the Commission shall be chosen to represent the public interest generally, and shall not be representatives of specific interests using the Postal Service. CommentsClose CommentsPermalink





(B) INELIGIBILITY- An individual may not be appointed to serve as a member of the Commission if such individual is a Member of Congress or served as an employee of the Postal Service or the Postal Regulatory Commission, or of a labor organization representing employees of the Postal Service or the Postal Regulatory Commission, during the 3-year period ending on the date of such appointment. CommentsClose CommentsPermalink





(3) POLITICAL AFFILIATION- Not more than 3 members of the Commission may be of the same political party. CommentsClose CommentsPermalink





(d) Terms- Each member of the Commission shall be appointed for the life of the Commission and may be removed only for cause. CommentsClose CommentsPermalink





(e) Vacancies- A vacancy in the Commission shall be filled in the same manner as the original appointment. CommentsClose CommentsPermalink





(f) Chairman- The President shall, at the time of making appointments under subsection (c), designate one of the members to serve as chairman of the Commission. CommentsClose CommentsPermalink





(g) Compensation and Travel Expenses- CommentsClose CommentsPermalink





(1) COMPENSATION- CommentsClose CommentsPermalink





(A) IN GENERAL- Except as provided in subparagraph (B), each member of the Commission shall be paid at a rate equal to the daily equivalent of $40,000 per year for each day (including travel time) during which the member is engaged in the actual performance of duties vested in the Commission. CommentsClose CommentsPermalink





(B) EXCEPTION- Any member of the Commission who is a full-time officer or employee of the United States or a Member of Congress may notmay not receive additional pay, allowances, or benefits by reason of such member’s service on the Commission. CommentsClose CommentsPermalink





(2) TRAVEL EXPENSES- Each member shall receive travel expenses, including per diem in lieu of subsistence, in accordance with applicable provisions of subchapter I of chapter 57 of title 5, United States Code. CommentsClose CommentsPermalink





(h) Director- The Commission shall have a Director who shall be appointed by the Commission. The Director shall be paid at the rate of basic pay for level IV of the Executive Schedule undersection 5315 of title 5, United States Code. An appointment under this subsection shall be subject to the requirements of subsection (c)(2). CommentsClose CommentsPermalink





(i) Additional Personnel- With the approval of the Commission, the Director may appoint and fix the pay of such additional personnel as the Director considers appropriate. Such additional personnel may be appointed without regard to the provisions of title 5, United States Code, governing appointments in the competitive service, and may be paid without regard to the provisions of chapter 51 and subchapter III of chapter 53 of such title relating to classification and General Schedule pay rates, except that an individual so appointed may not receive pay at a rate of basic pay in excess of the rate of basic pay payable to the Director. An individual appointed under this subsection shall serve at the pleasure of the Director. CommentsClose CommentsPermalink





(j) Provisions Relating to Details- CommentsClose CommentsPermalink





(1) IN GENERAL- Upon request of the Director, the head of any Federal department or agency may detail any of the personnel of such department or agency to the Commission to assist the Commission in carrying out its duties under this subtitle. Notwithstanding any other provision of law, to provide continuity in the work of the Commission, such details may be extended beyond 1 year at the request of the Director. CommentsClose CommentsPermalink





(2) NUMERICAL LIMITATION- Not more than 1/3 of the personnel of the Commission may consist of the number of individuals on detail from the Postal Service or the Postal Regulatory Commissionand the Postal Regulatory Commission combined. CommentsClose CommentsPermalink





(3) OTHER LIMITATIONS- A person may not be detailed to the Commission from the Postal Service or the Postal Regulatory Commission if such person participated personally and substantially on any matter, within the Postal Service or the Postal Regulatory Commission, concerning the preparation of recommendations for closures or consolidations of postal facilities under this subtitle. No employee of the Postal Service or the Postal Regulatory Commission (including a detailee to the Postal Service or the Postal Regulatory Commission) may-- CommentsClose CommentsPermalink





(A) prepare any report concerning the effectiveness, fitness, or efficiency of the performance, on the staff of the Commission, of any person detailed from the Postal Service or the Postal Regulatory Commission to such staff; CommentsClose CommentsPermalink





(B) review the preparation of such a report; or CommentsClose CommentsPermalink





(C) approve or disapprove such a report. CommentsClose CommentsPermalink





(k) Other Authorities- CommentsClose CommentsPermalink





(1) EXPERTS AND CONSULTANTS- The Commission may procure by contract, to the extent funds are available, temporary or intermittent services undersection 3109 of title 5, United States Code. CommentsClose CommentsPermalink





(2) LEASING, ETC- The Commission may lease space and acquire personal property to the extent funds are available. CommentsClose CommentsPermalink





(l) Authorization of Appropriations- In order to carry out this section, there are authorized to be appropriated out of the Postal Service Fund $20,000,000, which funds shall remain available until expended. CommentsClose CommentsPermalink





(m) Financial Reporting- CommentsClose CommentsPermalink





(1) AUDIT AND EXPENDITURES- The Commission shall be responsible for issuing annual financial statements and for establishing and maintaining adequate controls over its financial reporting. CommentsClose CommentsPermalink





(2) INTERNAL AUDITS- The Commission shall maintain an adequate internal audit of its financial transactions. CommentsClose CommentsPermalink





(3) ANNUAL CERTIFICATION- The Commission shall obtain an annual certification for each fiscal year from an independent, certified public accounting firm of the accuracy of its financial statements. CommentsClose CommentsPermalink





(4) COMPTROLLER GENERAL- The accounts and operations of the Commission shall be audited by the Comptroller General and reports thereon made to the Congress to the extent and at such times as the Comptroller General may determine. CommentsClose CommentsPermalink





(n) Termination- The Commission shall terminate 60 days after submitting its final reports under section 104(d)(3). CommentsClose CommentsPermalink

SEC. 104. RECOMMENDATIONS FOR CLOSURES AND CONSOLIDATIONS.

(a) Plan for the Closure or Consolidation of Postal Retail Facilities- CommentsClose CommentsPermalink





(1) IN GENERAL- Not later than 120 days after the date of the enactment of this Act, the Postal Service, in consultation with the Postal Regulatory Commission, shall develop and submit to the Commission on Postal Reorganization a plan for the closure or consolidation of such postal retail facilities as the Postal Service considers necessary and appropriate so that the total annual costs attributable to the operation of postal retail facilities will be, for each fiscal year beginning at least 2 years after the date on which the Commission transmits to Congress its final report under subsection (d)(3)(A) relating to this subsection, at least $1,000,000,000 less than the corresponding total annual costs for the baseline year. CommentsClose CommentsPermalink





(2) CONTENTS- The plan shall include-- CommentsClose CommentsPermalink





(A) a list of the postal retail facilities proposed for closure or consolidation under this subtitle; CommentsClose CommentsPermalink





(B) a proposed schedule under which-- CommentsClose CommentsPermalink





(i) closures and consolidations of postal retail facilities would be carried out under this subtitle; and CommentsClose CommentsPermalink





(ii) all closures and consolidations of postal retail facilities under this subtitle would be completed by not later than 2 years after the date on which the Commission transmits to Congress its final report under subsection (d)(3)(A) relating to such plan; CommentsClose CommentsPermalink





(C) the estimated total annual cost savings attributable to the proposed closures and consolidations described in the plan; CommentsClose CommentsPermalink





(D) the criteria and process used to develop the information described in subparagraphs (A) and (B); CommentsClose CommentsPermalink





(E) the methodology and assumptions used to derive the estimates described in subparagraph (C); and CommentsClose CommentsPermalink





(F) any changes to the processing, transportation, delivery, or other postal operations anticipated as a result of the proposed closures and consolidations described in the plan. CommentsClose CommentsPermalink





(3) CONSISTENCY- The methodology and assumptions used to derive the cost estimates described in paragraph (2)(C) shall be consistent with the methodology and assumptions which would have been used by the Postal Service if those closures and consolidations had instead taken effect in the baseline year. CommentsClose CommentsPermalink





(b) Plan for the Closure or Consolidation of Mail Processing Facilities- CommentsClose CommentsPermalink





(1) IN GENERAL- Not later than 300 days after the date of the enactment of this Act, the Postal Service, in consultation with the Inspector General of the United States Postal Service, shall develop and submit to the Commission on Postal Reorganization a plan for the closure or consolidation of such mail processing facilities as the Postal Service considers necessary and appropriate so that-- CommentsClose CommentsPermalink





(A) the total annual costs attributable to the operation of mail processing facilities will be, for each fiscal year beginning at least 2 years after the date on which the Commission transmits to Congress its final report under subsection (d)(3)(A) relating to this subsection, at least $12,000,000,000 less than the corresponding total annual costs for the baseline year; and CommentsClose CommentsPermalink





(B) the Postal Service has, for fiscal years beginning at least 2 years after the date on which the Commission transmits to Congress its final report under subsection (d)(3)(A) relating to this subsection, no more than 10 percent excess mail processing capacity. CommentsClose CommentsPermalink





(2) CONTENTS- The plan shall include-- CommentsClose CommentsPermalink





(A) a list of the mail processing facilities proposed for closure or consolidation under this subtitle; CommentsClose CommentsPermalink





(B) a proposed schedule under which-- CommentsClose CommentsPermalink





(i) closures and consolidations of mail processing facilities would be carried out under this subtitle; and CommentsClose CommentsPermalink





(ii) all closures and consolidations of mail processing facilities under this subtitle would be completed by not later than 2 years after the date on which the Commission transmits to Congress its final report under subsection (d)(3)(A) relating to such plan; CommentsClose CommentsPermalink





(C) the estimated total annual cost savings attributable to the proposed closures and consolidations described in the plan; CommentsClose CommentsPermalink





(D) the criteria and process used to develop the information described in subparagraphs (A) and (B); CommentsClose CommentsPermalink





(E) the methodology and assumptions used to derive the estimates described in subparagraph (C); and CommentsClose CommentsPermalink





(F) any changes to the processing, transportation, delivery, or other postal operations anticipated as a result of the proposed closures and consolidations described in the plan. CommentsClose CommentsPermalink





(3) CONSISTENCY- The methodology and assumptions used to derive the cost estimates described in paragraph (2)(C) shall be consistent with the methodology and assumptions which would have been used by the Postal Service if those closures and consolidations had instead taken effect in the baseline year. CommentsClose CommentsPermalink





(4) EXCESS MAIL PROCESSING CAPACITY- The Commission shall cause to be published in the Federal Register notice of a proposed definition of ‘excess mail processing capacity’ for purposes of this section within 120 days after the date of the enactment of this Act, and shall provide a period of 30 days for public comment on the proposed definition. Not later than 180 days after the date of the enactment of this Act, the Commission shall issue and cause to be published in the Federal Register a final definition of ‘excess mail processing capacity’ for purposes of this section. Such definition shall include an estimate of the total amount of excess mail processing capacity in mail processing facilities as of the date of the enactment of this Act. CommentsClose CommentsPermalink





(5) UNDERUTILIZED MAIL PROCESSING FACILITIES- In developing a plan under this subsection, the Postal Service may include the estimated total cost savings that would result from moving mail processing operations to any mail processing facility that, as of the date of introduction of this Act-- CommentsClose CommentsPermalink





(A) is not currently used by the Postal Service; and CommentsClose CommentsPermalink





(B) is capable of processing mail to the Postal Service’s standards. CommentsClose CommentsPermalink





(c) Plan for the Closure or Consolidation of Area and District Offices- CommentsClose CommentsPermalink





(1) IN GENERAL- Not later than 300 days after the date of the enactment of this Act, the Postal Service, in consultation with the Inspector General of the United States Postal Service, shall develop and submit to the Commission on Postal Reorganization a plan for the closure or consolidation of such area and district offices as the Postal Service considers necessary and appropriate so that the combined total number of area and district offices will be, for each fiscal year beginning at least 2 years after the date on which the Commission transmits to Congress its final report under subsection (d)(3)(A) relating to this subsection, at least 30 percent less than the corresponding combined total for the baseline year. CommentsClose CommentsPermalink





(2) CONTENTS- The plan shall include-- CommentsClose CommentsPermalink





(A) a list of the area and district offices proposed for closure or consolidation under this subtitle; CommentsClose CommentsPermalink





(B) a proposed schedule under which-- CommentsClose CommentsPermalink





(i) closures and consolidations of area and district offices would be carried out under this subtitle; and CommentsClose CommentsPermalink





(ii) all closures and consolidations of area and district offices under this subtitle would be completed by not later than 2 years after the date on which the Commission transmits to Congress its final report under subsection (d)(3)(A) relating to such plan; CommentsClose CommentsPermalink





(C) the estimated total annual cost savings attributable to the proposed closures and consolidations described in the plan; CommentsClose CommentsPermalink





(D) the criteria and process used to develop the information described in subparagraphs (A) and (B); CommentsClose CommentsPermalink





(E) the methodology and assumptions used to derive the estimates described in subparagraph (C); and CommentsClose CommentsPermalink





(F) any changes to the processing, transportation, delivery, or other postal operations anticipated as a result of the proposed closures and consolidations described in the plan. CommentsClose CommentsPermalink





(3) CONSISTENCY- The methodology and assumptions used to derive the cost estimates described in paragraph (2)(C) shall be consistent with the methodology and assumptions which would have been used by the Postal Service if those closures and consolidations had instead taken effect in the baseline year. CommentsClose CommentsPermalink





(d) Review and Recommendations of the Commission- CommentsClose CommentsPermalink





(1) INITIAL REPORTS- CommentsClose CommentsPermalink





(A) IN GENERAL- After receiving the plan of the Postal Service under subsection (a), (b), or (c), the Commission on Postal Reorganization shall transmit to Congress and publish in the Federal Register a report under this paragraph, which shall contain the Commission’s findings based on a review and analysis of such plan, together with the Commission’s initial recommendations for closures and consolidations of postal facilities, mail processing facilities, or area and district offices (as the case may be). CommentsClose CommentsPermalink





(B) EXPLANATION OF CHANGES- The Commission shall explain and justify in its report any recommendations made by the Commission that are different from those contained in the Postal Service plan to which such report pertains. CommentsClose CommentsPermalink





(C) DEADLINES- A report of the Commission under this paragraph shall be transmitted and published, in accordance with subparagraph (A), within-- CommentsClose CommentsPermalink





(i) if the report pertains to the plan under subsection (a), 60 days after the date on which the Commission receives such plan; or CommentsClose CommentsPermalink





(ii) if the report pertains to the plan under subsection (b) or (c), 90 days after the date on which the Commission receives such plan. CommentsClose CommentsPermalink





(2) PUBLIC HEARINGS- CommentsClose CommentsPermalink





(A) IN GENERAL- After receiving the plan of the Postal Service under subsection (a), (b), or (c), the Commission on Postal Reorganization shall conduct at least 5 public hearings on such plan. The hearings shall be conducted in geographic areas chosen so as to reflect a broadly representative range of needs and interests. CommentsClose CommentsPermalink





(B) TESTIMONY- All testimony before the Commission at a public hearing conducted under this paragraph shall be given under oath. CommentsClose CommentsPermalink





(C) DEADLINES- All hearings under this paragraph shall be completed within 60 days after the date as of which the Commission satisfies the requirements of paragraph (1) with respect to such plan. CommentsClose CommentsPermalink





(3) FINAL REPORTS- CommentsClose CommentsPermalink





(A) IN GENERAL- After satisfying the requirements of paragraph (2) with respect to the plan of the Postal Service under subsection (a), (b), or (c) (as the case may be), the Commission shall transmit to Congress and publish in the Federal Register a report under this paragraph containing a summary of the hearings conducted with respect to such plan, together with the Commission’s final recommendations for closures and consolidations of postal facilities, mail processing facilities, or area and district offices (as the case may be). CommentsClose CommentsPermalink





(B) APPROVAL- Recommendations under subparagraph (A) shall not be considered to be final recommendations unless they are made with-- CommentsClose CommentsPermalink





(i) except as provided in clause (ii), the concurrence of at least 4 members of the Commission; or CommentsClose CommentsPermalink





(ii) to the extent that the requirements of subsection (b)(1)(A) or (c)(1) are not met, with the concurrence of all sitting members, but only if the shortfall (relative to the requirements of subsection (b)(1)(A) or (c)(1), as the case may be) does not exceed 25 percent. CommentsClose CommentsPermalink





(C) CONTENTS- A report under this paragraph shall include-- CommentsClose CommentsPermalink





(i) the information required by paragraph (2) of subsection (a), (b), or (c) (as the case may be); and CommentsClose CommentsPermalink





(ii) a description of the operations that will be affected by the closure or consolidation and the facilities or offices which will be performing or ceasing to perform such operations as a result of such closure or consolidation. CommentsClose CommentsPermalink





(D) DEADLINES- A report of the Commission under this paragraph shall be transmitted and published, in accordance with subparagraph (A), within 60 days after the date as of which the Commission satisfies the requirements of paragraph (2) with respect to the plan involved. CommentsClose CommentsPermalink





(e) Limitation Relating to Postal Retail Facilities Identified for Closure or Consolidation- CommentsClose CommentsPermalink





(1) APPLICABILITY- This subsection applies to any plan of the Postal Service under subsection (a) and any report of the Commission under subsection (d) (whether initial or final) pertaining to such plan. CommentsClose CommentsPermalink





(2) LIMITATION- Of the total number of postal retail facilities recommended for closure or consolidation (combined) under any plan or report to which this subsection applies, the number of such facilities that are within the K or L cost ascertainment grouping (combined) shall account for not more than 10 percent of such total number. CommentsClose CommentsPermalink





(3) REFERENCES- For purposes of this subsection-- CommentsClose CommentsPermalink





(A) any reference to a ‘cost ascertainment grouping’ shall be considered to refer to a cost ascertainment grouping as described in section 123.11 of the Postal Operations Manual (as in effect on June 23, 2011); and CommentsClose CommentsPermalink





(B) any reference to a particular category (designated by a letter) of a cost ascertainment grouping shall be considered to refer to such category, as described in such section 123.11 (as in effect on the date specified in subparagraph (A)). CommentsClose CommentsPermalink





(f) Annual Reports- CommentsClose CommentsPermalink





(1) IN GENERAL- There shall be included in the next 5 annual reports submitted undersection 2402 of title 39, United States Code, beginning with the report covering any period of time occurring after the date of enactment of this Act, the following (shown on a State-by-State basis): CommentsClose CommentsPermalink





(A) In connection with closures and consolidations taking effect in the year covered by the report, the total number of individuals separated from employment with the Postal Service, including, if separation occurs in a year other than the year in which the closing or consolidation occurs, the year in which separation occurs. CommentsClose CommentsPermalink





(B) Of the total numbers under subparagraph (A)-- CommentsClose CommentsPermalink





(i) the number and percentage comprising preference eligibles or veterans; and CommentsClose CommentsPermalink





(ii) the number and percentage comprising individuals other than preference eligibles or veterans. CommentsClose CommentsPermalink





(C) Of the total numbers under subparagraph (A), the number and percentage reemployed in a position within the general commuting area of the facility or office involved (including, if reemployment occurs in a year other than the year in which the closing or consolidation occurs, the year in which reemployment occurs)-- CommentsClose CommentsPermalink





(i) with the Postal Service; or CommentsClose CommentsPermalink





(ii) with an employer other than the Postal Service. CommentsClose CommentsPermalink





(D) The methodology and assumptions used to derive the estimates described in subparagraph (B). CommentsClose CommentsPermalink





(E) The criteria and process used to develop the information described in subparagraph (C). CommentsClose CommentsPermalink





(2) DEFINITIONS- For purposes of this subsection-- CommentsClose CommentsPermalink





(A) the term ‘preference eligible’ has the meaning given such term insection 2108(3) of title 5, United States Code; and CommentsClose CommentsPermalink





(B) the term ‘veteran’ has the meaning given such term insection 101(2) of title 38, United States Code. CommentsClose CommentsPermalink

SEC. 105. IMPLEMENTATION OF CLOSURES AND CONSOLIDATIONS.

(a) In General- Subject to subsection (b), the Postal Service shall-- CommentsClose CommentsPermalink





(1) close or consolidate (as the case may be) the facilities and offices recommended by the Commission in each of its final reports under section 104(d)(3); and CommentsClose CommentsPermalink





(2) carry out those closures and consolidations in accordance with the timetable recommended by the Commission in such report, except that in no event shall any such closure or consolidation be completed later than 2 years after the date on which such report is submitted to Congress. CommentsClose CommentsPermalink





(b) Congressional Disapproval- CommentsClose CommentsPermalink





(1) IN GENERAL- The Postal Service may not carry out any closure or consolidation recommended by the Commission in a final report if a joint resolution disapproving the recommendations of the Commission is enacted, in accordance with section 106, before the earlier of-- CommentsClose CommentsPermalink





(A) the end of the 30-day period beginning on the date on which the Commission transmits those recommendations to Congress under section 104(d)(3); or CommentsClose CommentsPermalink





(B) the adjournment of the Congress sine die for the session during which such report is transmitted. CommentsClose CommentsPermalink





(2) DAYS OF SESSION- For purposes of paragraph (1) and subsections (a) and (c) of section 106, the days on which either House of Congress is not in session because of an adjournment of more than 7 days to a day certain shall be excluded in the computation of a period. CommentsClose CommentsPermalink

SEC. 106. CONGRESSIONAL CONSIDERATION OF FINAL CPR REPORTS.

(a) Terms of the Resolution- For purposes of this subtitle, the term ‘joint resolution’, as used with respect to a report under section 104(d)(3), means only a joint resolution-- CommentsClose CommentsPermalink





(1) which is introduced within the 10-day period beginning on the date on which such report is received by Congress; CommentsClose CommentsPermalink





(2) the matter after the resolving clause of which is as follows: ‘That Congress disapproves the recommendations of the Commission on Postal Reorganization, submitted by such Commission on XX, and pertaining to the closure or consolidation of XX.’, the first blank space being filled in with the appropriate date and the second blank space being filled in with ‘postal retail facilities’, ‘mail processing facilities’, or ‘area and district offices’ (as the case may be); CommentsClose CommentsPermalink





(3) the title of which is as follows: ‘Joint resolution disapproving the recommendations of the Commission on Postal Reorganization.’; and CommentsClose CommentsPermalink





(4) which does not have a preamble. CommentsClose CommentsPermalink





(b) Referral- A resolution described in subsection (a) that is introduced in the House of Representatives or the Senate shall be referred to the appropriate committees of the House of Representatives or the Senate, respectively. CommentsClose CommentsPermalink





(c) Discharge- If the committee to which a resolution described in subsection (a) is referred has not reported such resolution (or an identical resolution) by the end of the 20-day period beginning on the date on which the Commission transmits the report (to which such resolution pertains) to Congress under section 104(d)(3), such committee shall, at the end of such period, be discharged from further consideration of such resolution, and such resolution shall be placed on the appropriate calendar of the House involved. CommentsClose CommentsPermalink





(d) Consideration- CommentsClose CommentsPermalink





(1) IN GENERAL- On or after the third day after the date on which the committee to which such a resolution is referred has reported, or has been discharged (under subsection (c)) from further consideration of, such a resolution, it is in order (even though a previous motion to the same effect has been disagreed to) for any Member of the respective House to move to proceed to the consideration of the resolution. A Member may make the motion only on the day after the calendar day on which the Member announces to the House concerned the Member’s intention to make the motion, except that, in the case of the House of Representatives, the motion may be made without such prior announcement if the motion is made by direction of the committee to which the resolution was referred. All points of order against the resolution (and against consideration of the resolution) are waived. The motion is highly privileged in the House of Representatives and is privileged in the Senate and is not debatable. The motion is not subject to amendment, or to a motion to postpone, or to a motion to proceed to the consideration of other business. A motion to reconsider the vote by which the motion is agreed to or disagreed to shall not be in order. If a motion to proceed to the consideration of the resolution is agreed to, the respective House shall immediately proceed to consideration of the joint resolution without intervening motion, order, or other business, and the resolution shall remain the unfinished business of the respective House until disposed of. CommentsClose CommentsPermalink





(2) DEBATE- Debate on the resolution, and on all debatable motions and appeals in connection therewith, shall be limited to not more than 2 hours, which shall be divided equally between those favoring and those opposing the resolution. An amendment to the resolution is not in order. A motion further to limit debate is in order and not debatable. A motion to postpone, or a motion to proceed to the consideration of other business, or a motion to recommit the resolution is not in order. A motion to reconsider the vote by which the resolution is agreed to or disagreed to is not in order. CommentsClose CommentsPermalink





(3) VOTE ON FINAL PASSAGE- Immediately following the conclusion of the debate on a resolution described in subsection (a) and a single quorum call at the conclusion of the debate if requested in accordance with the rules of the appropriate House, the vote on final passage of the resolution shall occur. CommentsClose CommentsPermalink





(4) APPEALS- Appeals from the decisions of the Chair relating to the application of the rules of the Senate or the House of Representatives, as the case may be, to the procedure relating to a resolution described in subsection (a) shall be decided without debate. CommentsClose CommentsPermalink





(e) Consideration by Other House- CommentsClose CommentsPermalink





(1) IN GENERAL- If, before the passage by one House of a resolution of that House described in subsection (a), that House receives from the other House a resolution (described in subsection (a)) relating to the same report, then the following procedures shall apply: CommentsClose CommentsPermalink





(A) The resolution of the other House shall not be referred to a committee and may not be considered in the House receiving it except in the case of final passage as provided in subparagraph (B)(ii). CommentsClose CommentsPermalink





(B) With respect to the resolution described in subsection (a) (relating to the report in question) of the House receiving the resolution-- CommentsClose CommentsPermalink





(i) the procedure in that House shall be the same as if no resolution (relating to the same report) had been received from the other House; but CommentsClose CommentsPermalink





(ii) the vote on final passage shall be on the resolution of the other House. CommentsClose CommentsPermalink





(2) DISPOSITION OF A RESOLUTION- Upon disposition of the resolution received from the other House, it shall no longer be in order to consider the resolution that originated in the receiving House. CommentsClose CommentsPermalink





(f) Rules of the Senate and House- This section is enacted by Congress-- CommentsClose CommentsPermalink





(1) as an exercise of the rulemaking power of the Senate and House of Representatives, respectively, and as such it is deemed a part of the rules of each House, respectively, but applicable only with respect to the procedure to be followed in that House in the case of a resolution described in subsection (a), and it supersedes other rules only to the extent that it is inconsistent with such rules; and CommentsClose CommentsPermalink





(2) with full recognition of the constitutional right of either House to change the rules (so far as relating to the procedure of that House) at any time, in the same manner, and to the same extent as in the case of any other rule of that House. CommentsClose CommentsPermalink

SEC. 107. NONAPPEALABILITY OF DECISIONS.

(a) To PRC- The closing or consolidation of any facility or office under this subtitle may not be appealed to the Postal Regulatory Commission under section 404(d) or any other provision of title 39, United States Code, or be the subject of an advisory opinion issued by the Postal Regulatory Commission under section 3661 of such title. CommentsClose CommentsPermalink





(b) Judicial Review- No process, report, recommendation, or other action of the Commission on Postal Reorganization shall be subject to judicial review. CommentsClose CommentsPermalink

SEC. 108. RULES OF CONSTRUCTION.

(a) Continued Availability of Authority To Close or Consolidate Postal Facilities- CommentsClose CommentsPermalink





(1) IN GENERAL- Nothing in this subtitle shall be considered to prevent the Postal Service from closing or consolidating any postal facilities, in accordance with otherwise applicable provisions of law, either before or after the implementation of any closures or consolidations under this subtitle. CommentsClose CommentsPermalink





(2) COORDINATION RULE- No appeal or determination undersection 404(d) of title 39, United States Code, or any other provision of law shall delay, prevent, or otherwise affect any closure or consolidation under this subtitle. CommentsClose CommentsPermalink





(b) Inapplicability of Certain Provisions- CommentsClose CommentsPermalink





(1) IN GENERAL- The provisions of law identified in paragraph (2)-- CommentsClose CommentsPermalink





(A) shall not apply to any closure or consolidation carried out under this subtitle; and CommentsClose CommentsPermalink





(B) shall not be taken into account for purposes of carrying out section 103 or 104. CommentsClose CommentsPermalink





(2) PROVISIONS IDENTIFIED- The provisions of law under this paragraph are-- CommentsClose CommentsPermalink





(A)section 101(b) of title 39, United States Code; and CommentsClose CommentsPermalink





(B)section 404(d) of title 39, United States Code. CommentsClose CommentsPermalink

Subtitle B--Other Provisions CommentsClose CommentsPermalink

SEC. 111. FREQUENCY OF IMPLEMENTATION OF DISCRETIONARY NON-MAIL DELIVERY.

Section 101 is amended by adding at the end the following:

‘(h) Nothing in this title or any other provision of law shall be considered to prevent the Postal Service from taking whatever actions may be necessary to provide for DAYS.

(a) In General- Section 404 is amended by inserting after subsection (e) the following: CommentsClose CommentsPermalink





‘(f)(1) The Postmaster General may, with respect to any year for which 6-day delivery is otherwise required, declare up to 12 non-mail delivery days. Not later than 1 month before the beginning of the year, the Postmaster General shall submit to the Board of Governors a report listing the non-mail delivery days in such year. CommentsClose CommentsPermalink





‘(2) A non-mail delivery day under this subsection shall be a day other than-- CommentsClose CommentsPermalink





‘(A) a Sunday; CommentsClose CommentsPermalink





‘(B) a legal public holiday listed in section 6103(a) of title 5 or any other day declared to be a holiday by Federal statute or Executive order; or CommentsClose CommentsPermalink





‘(C) during the 30-day period that ends on the date of a regularly scheduled general election for Federal office. CommentsClose CommentsPermalink





‘(3) Any day which is declared under this subsection to be a non-mail delivery day-- CommentsClose CommentsPermalink





‘(A) shall, for purposes of mail delivery and such other postal operations as the Postal Service may by regulation prescribe, be treated as if it were a Sunday; except that CommentsClose CommentsPermalink





‘(B) an employee of the Postal Service (other than one who is prevented from working on such day by reason of this subsection) shall be entitled to the same pay and benefits for that day as if this subsection had not been enacted. CommentsClose CommentsPermalink





‘(4)(A) The 6-day mail delivery requirement shall not apply with respect to a week in which a non-mail delivery day under this subsection occurs. CommentsClose CommentsPermalink





‘(B) The authority to declare a non-mail delivery day under this subsection shall be considered to be within the right of the Postal Service to determine the methods, means, and personnel by which postal operations are to be conducted. CommentsClose CommentsPermalink





‘(5) Not less than 6 months after the date of enactment of this subsection, the Postal Service may submit a proposal under section 3661 for a nationwide change in service to reduce mail delivery from 6 days to 5 days each week. Notwithstanding any other provision of law, the Postal Service shall maintain 6-day delivery service as the standard mail delivery schedule until 90 days following the rendering of an advisory opinion on 5-day delivery of mail and a commensurate adjustment in rural delivery of mail, subject to the requirements of section 3661by the Postal Regulatory Commission.’. CommentsClose CommentsPermalink

SEC. 112. EFFICIENT AND FLEXIBLE UNIVERSAL POSTAL SERVICE.

(a) Postal Policy- CommentsClose CommentsPermalink





(1) IN GENERAL- Section 101(b) is amended to read as follows: CommentsClose CommentsPermalink





‘(b) The Postal Service shall provide effective and regular postal services to rural areas, communities, and small towns where post offices are not self-sustaining.’. CommentsClose CommentsPermalink





(2) CONFORMING AMENDMENTS- (A)Clause (iii) of section 404(d)(2)(A) is amended to read as follows: CommentsClose CommentsPermalink





‘(iii) whether such closing or consolidation is consistent with the policy of the Government, as stated in section 101(b), that the Postal Service shall provide effective and regular postal services to rural areas, communities, and small towns where post offices are not self-sustaining;’. CommentsClose CommentsPermalink





(B) Section 2401(b)(1) is amended (in the matter before subparagraph (A)), by striking ‘a maximum degree of’.

(b) General Duty- Paragraph (3) of section 403(b) is amended to read as follows: CommentsClose CommentsPermalink




‘(3) to ensure that postal patrons throughout the Nation will, consistent with reasonable economies of postal operations, have ready access to essential postal services.’. CommentsClose CommentsPermalink





(c) PRC Review of Determinations To Close or Consolidate a Post Office- CommentsClose CommentsPermalink





(1) DEADLINE FOR REVIEW- Section 404(d)(5) is amended by striking ‘120 days’ and inserting ‘60 days’. CommentsClose CommentsPermalink





(2) EXCLUSION FROM REVIEW- Section 404(d) is amended by adding at the end the following: CommentsClose CommentsPermalink





‘(7)(A) The appeals process set forth in paragraph (5) shall not apply to a determination of the Postal Service to close a post office if there is located, within 2 miles of such post office, a qualified contract postal unit. CommentsClose CommentsPermalink





‘(B) For purposes of this paragraph-- CommentsClose CommentsPermalink





‘(i) the term ‘contract postal unit’ means a store or other place of business which-- CommentsClose CommentsPermalink





‘(I) is not owned or operated by the Postal Service; and CommentsClose CommentsPermalink





‘(II) in addition to its usual operations, provides postal services to the general public under contract with the Postal Service; and CommentsClose CommentsPermalink





‘(ii) the term ‘qualified contract postal unit’, as used in connection with a post office, means a contract postal unit which-- CommentsClose CommentsPermalink





‘(I) begins to provide postal services to the general public during the period-- CommentsClose CommentsPermalink





‘(aa) beginning 1 year before the date on which the closure or consolidation of such post office is scheduled to take effect; and CommentsClose CommentsPermalink





‘(bb) ending on the 15th day after the date on which the closure or consolidation of such post office is scheduled to take effect; and CommentsClose CommentsPermalink





‘(II) has not, pursuant to subparagraph (A), served as the basis for exempting any other post office from the appeals process set forth in paragraph (5). CommentsClose CommentsPermalink





‘(C)(i) If the contract postal unit (which is providing postal services that had been previously provided by the post office that was closed) does not continue to provide postal services, as required by subparagraph (B)(i)(II), for at least the 2-year period beginning on the date on which such post office was closed, the contract postal unit shall be subject to a closure determination by the Postal Service to decide whether a post office must be reopened within the area (delimited by the 2-mile radius referred to in subparagraph (A)). CommentsClose CommentsPermalink





‘(ii) A decision under clause (i) not to reopen a post office may be appealed to the Postal Regulatory Commission under procedures which the Commission shall by regulation prescribe. Such procedures shall be based on paragraph (5), except that, for purposes of this clause, paragraph (5)(C) shall be applied by substituting ‘in violation of section 101(b), leaving postal patrons without effective and regular access to postal services’ for ‘unsupported by substantial evidence on the record’.’. CommentsClose CommentsPermalink





(3) APPLICABILITY- The amendments made by this subsection shall not apply with respect to any appeal, notice of which is received by the Postal Regulatory Commission before the date of the enactment of this Act (determined applying the rules set forth insection 404(d)(6) of title 39, United States Code). CommentsClose CommentsPermalink





(d) Expedited Procedures- CommentsClose CommentsPermalink





(1) IN GENERAL- Section 3661 is amended by adding at the end the following: CommentsClose CommentsPermalink





‘(d)(1) The Commission shall issue its opinion within 90 days after the receipt of any proposal (as referred to in subsection (b)) concerning-- CommentsClose CommentsPermalink





‘(A) the closing or consolidation of post officesal retail facilities (as that term is defined in section 102(2) of the Postal Reform Act of 2011) to a degree that will generally affect service on a nationwide or substantially nationwide basis; or CommentsClose CommentsPermalink





‘(B) an identical or substantially identical proposal on which the Commission issued an opinion within the preceding 5 years. CommentsClose CommentsPermalink





‘(2) If necessary in order to comply with the 90-day requirement under paragraph (1), the Commission may apply expedited procedures which the Commission shall by regulation prescribe.’. CommentsClose CommentsPermalink





(2) REGULATIONS- The Postal Regulatory Commission shall prescribe any regulations necessary to carry out the amendment made by paragraph (1) within 90 days after the date of the enactment of this Act. CommentsClose CommentsPermalink





(3) APPLICABILITY- The amendment made by this subsection shall apply with respect to any proposal received by the Postal Regulatory Commission on or after the earlier of-- CommentsClose CommentsPermalink





(A) the 90th day after the date of the enactment of this Act; or CommentsClose CommentsPermalink





(B) the effective date of the regulations under paragraph (2). CommentsClose CommentsPermalink

SEC. 113. MORE COST-EFFICIENT POSTAL SERVICE CONTRACTING.

(a) In General- Section 410 is amended--

(1) in subsection (b), by striking paragraph (4) and inserting the following:

‘(4) sections 3114-3116, 3118, 3131, and 3133;’; and

(2) by striking subsection (d).

(b) Applicability- The amendments made by subsection (a) shall be effective with respect to contracts and agreements first entered into on or after the date of the enactment of this Act.

SEC. 114. ENHANCED REPORTING ON POSTAL SERVICE EFFICIENCY.

Section 3652(a) is amended-- CommentsClose CommentsPermalink





(1) in paragraph (1), by striking ‘and’ after the semicolon; CommentsClose CommentsPermalink





(2) in paragraph (2), by striking the period at the end and inserting ‘; and’; and CommentsClose CommentsPermalink





(3) by adding after paragraph (2) the following: CommentsClose CommentsPermalink





‘(3) which shall provide the overall change in Postal Service productivity and the resulting effect of such change on overall Postal Service costs during such year, using such methodologies as the Commission shall by regulation prescribe.’. CommentsClose CommentsPermalink

TITLE II--POSTAL SERVICE FINANCIAL RESPONSIBILITY AND MANAGEMENT ASSISTANCE AUTHORITY CommentsClose CommentsPermalink

Subtitle A--Establishment and Organization CommentsClose CommentsPermalink

SEC. 201. PURPOSES.

(a) Purposes- The purposes of this title are as follows: CommentsClose CommentsPermalink





(1) To eliminate budget deficits and cash shortages of the Postal Service through visionarystrategic financial planning, sound budgeting, accurate revenue forecasts, and careful spending. CommentsClose CommentsPermalink





(2) To ensure the universal service mandate detailed insection 101 of title 39, United States Code, is maintained during a period of fiscal emergency. CommentsClose CommentsPermalink





(3) To conduct necessary investigations and studies to determine the fiscal status and operational efficiency of the Postal Service. CommentsClose CommentsPermalink





(4) To assist the Postal Service in-- CommentsClose CommentsPermalink





(A) restructuring its organization and workforce to bring expenses in line with diminishing revenue and generate sufficient profits for capital investment and repayment of debt; CommentsClose CommentsPermalink





(B) meeting all fiscal obligations to the Treasury of the United States; and CommentsClose CommentsPermalink





(C) ensuring the appropriate and efficient delivery of postal services. CommentsClose CommentsPermalink





(5) To provide the Postal Service with a temporary increase in its borrowing authority to enable the Postal Service to complete necessary restructuring. CommentsClose CommentsPermalink





(6) To ensure the long-term financial, fiscal, and economic vitality and operational efficiency of the Postal Service. CommentsClose CommentsPermalink





(b) Reservation of Powers- Nothing in this title may be construed-- CommentsClose CommentsPermalink





(1) to relieve any obligations existing as of the date of the enactment of this Act of the Postal Service to the Treasury of the United States; or CommentsClose CommentsPermalink





(2) to limit the authority of Congress to exercise ultimate legislative authority over the Postal Service. CommentsClose CommentsPermalink

SEC. 202. ESTABLISHMENT OF THE AUTHORITY.

(a) Establishment- There shall be established, upon the commencement of any control period, an entity to be known as the ‘Postal Service Financial Responsibility and Management Assistance Authority’ (hereinafter in this title referred to as the ‘Authority’). CommentsClose CommentsPermalink





(b) Control Period- CommentsClose CommentsPermalink





(1) COMMENCEMENT OF A CONTROL PERIOD- CommentsClose CommentsPermalink





For(A) IN GENERAL- For the purposes of this title, a control period commences whenever the Postal Service has been in default to the Treasury of the United States, with respect to any debts, obligations, loans, bonds, notes, or other form of borrowing, for a period of at or any scheduled payments to any fund in the Treasury of the United States, for a period of at least 30 days. CommentsClose CommentsPermalink





(2) B) ADVISORY PERIOD- For purposes of the first control period, the Authority shall operate exclusively in an advisory period for two full fiscal years after the commencement of the control period. At the completion of the second full fiscal year or any year thereafter during the length of the control period, if the Postal Service’s annual deficit is greater than $2,000,000,000, the Authority shall be fully in force according to the provisions of this title. During an advisory period-- CommentsClose CommentsPermalink





(i) the Authority is not authorized to employ any staff and the Postal Service shall designate a Level-Two Postal Service Executive as a liaison with the members of the Authority; CommentsClose CommentsPermalink





(ii) any provision of this title that requires the Authority or the Postal Service to take any action shall be considered only to take effect in the event the Authority comes into full force and that effective date shall be considered to be the date of the commencement of the control period for the purposes any provision not mention in this subparagraph; and CommentsClose CommentsPermalink





(iii) the Postal Service shall have access to the funds available under section 222 according to applicable provisions of this Act, subject to the approval of the Postal Service Board of Governors without the approval of the Authority. CommentsClose CommentsPermalink





(2) TREATMENT OF AUTHORITIES AND RESPONSIBILITIES OF THE BOARD OF GOVERNORS, ETC. DURING A CONTROL PERIOD- During a control period-- CommentsClose CommentsPermalink





(A) all authorities and responsibilities of the Board of Governors, and the individual Governors, of the Postal Service under title 39, United States Code, and any other provision of law shall be assumed by the Authority; and CommentsClose CommentsPermalink





(B) the Board of Governors, and the individual Governors, may act in an advisory capacity only. CommentsClose CommentsPermalink





(3) TREATMENT OF CERTAIN POSTAL SERVICE EXECUTIVES DURING A CONTROL PERIOD- CommentsClose CommentsPermalink





(A) DEFINITION- For the purposes of this section, the term ‘Level-Two Postal Service Executive’ includes the Postmaster General, the Deputy Postmaster General, and all other officers or employees of the Postal Service in level two of the Postal Career Executive Service (or the equivalent). CommentsClose CommentsPermalink





(B) TREATMENT- Notwithstanding any other provision of law or employment contract, during a control period-- CommentsClose CommentsPermalink





(i) all Level-Two Postal Service Executives shall serve at the pleasure of the Authority; CommentsClose CommentsPermalink





(ii) the duties and responsibilities of all Level-Two Postal Service Executives, as well as the terms and conditions of their employment (including their compensation), shall be subject to determination or redetermination by the Authority; CommentsClose CommentsPermalink





(iii) total compensation of a Level-Two Postal Service Executive may not, for any year in such control period, exceed the annual rate of basic pay payable for level I of the Executive Schedule undersection 5312 of title 5, United States Code, for such year; for purposes of this clause, the term ‘total compensation’ means basic pay, bonuses, awards, and all other monetary compensation; CommentsClose CommentsPermalink





(iv) the percentage by which the rate of basic pay of a Level-Two Postal Service Executive is increased during any year in such control period may not exceed the percentage change in the Consumer Price Index for All Urban Consumers, unadjusted for seasonal variation, for the most recent 12-month period available, except that, in the case of a Level-Two Postal Service Executive who has had a significant change in job responsibilities, a greater change shall be allowable if approved by the Authority; CommentsClose CommentsPermalink





(v) apart from basic pay, a Level-Two Postal Service Executive may not be afforded any bonus, award, or other monetary compensation for any fiscal year in the control period if expenditures of the Postal Service for such fiscal year exceeded revenues of the Postal Service for such fiscal year (determined in accordance with generally accepted accounting principles); and CommentsClose CommentsPermalink





(vi) no deferred compensation may be paid, accumulated, or recognized in the case of any Level-Two Postal Service Executive, with respect to any year in a control period, which is not generally paid, accumulated, or recognized in the case of employees of the United States (outside of the Postal Service) in level I of the Executive Schedule undersection 5312 of title 5, United States Code, with respect to such year. CommentsClose CommentsPermalink





(C) BONUS AUTHORITY-Section 3686 of title 39, United States Code, shall, during the period beginning on the commencement date of the control period and ending on the termination date of the control period-- CommentsClose CommentsPermalink





(i) be suspended with respect to all Level-Two Postal Service Executives; but CommentsClose CommentsPermalink





(ii) remain in effect for all other officers and employees of the Postal Service otherwise covered by this section. CommentsClose CommentsPermalink





(4) TERMINATION OF A CONTROL PERIOD- Subject to subtitle D, a control period terminates upon certification by the Authority, with the concurrence of the Secretary of the Treasury and the Director of the Office of Personnel Management, that-- CommentsClose CommentsPermalink





(A) for 2 consecutive fiscal years (occurring after the date of the enactment of this Act), expenditures of the Postal Service did not exceed revenues of the Postal Service (as determined in accordance with generally accepted accounting principles); CommentsClose CommentsPermalink





(B) the Authority has approved a Postal Service financial plan and budget that shows expenditures of the Postal Service not exceeding revenues of the Postal Service (as so determined) for the fiscal year to which such budget pertains and each of the next 3 fiscal years; and CommentsClose CommentsPermalink





(C) the Postal Service financial plan and budget (as referred to in subparagraph (B)) includes plans-- CommentsClose CommentsPermalink





(i) for the repayment of any supplementary debt under section 222, in equal annual installments over a period of not more than 105 years; and CommentsClose CommentsPermalink





(ii) to properly fund Postal Service pensions and retiree health benefits in accordance with law. CommentsClose CommentsPermalink

SEC. 203. MEMBERSHIP AND QUALIFICATION REQUIREMENTS.

(a) Membership- CommentsClose CommentsPermalink





(1) IN GENERAL- The Authority shall consist of 5 members appointed by the President who meet the qualifications described in subsection (b), except that the Authority may take any action under this title at any time after the President has appointed 4 of its members. CommentsClose CommentsPermalink





(2) RECOMMENDATIONS- Of the 5 members so appointed-- CommentsClose CommentsPermalink





(A) 1 shall be appointed from among individuals recommended by the Speaker of the House of Representatives; CommentsClose CommentsPermalink





(B) 1 shall be appointed from among individuals recommended by the majority leader of the Senate; CommentsClose CommentsPermalink





(C) 1 shall be appointed from among individuals recommended by the minority leader of the House of Representatives; CommentsClose CommentsPermalink





(D) 1 shall be appointed from among individuals recommended by the minority leader of the Senate; and CommentsClose CommentsPermalink





(E) 1 shall be appointed from among individuals recommended by the Comptroller General. CommentsClose CommentsPermalink





(3) POLITICAL AFFILIATION- No more than 3 members of the Authority may be of the same political party. CommentsClose CommentsPermalink





(4) CHAIR- The President shall designate 1 of the members of the Authority as the Chair of the Authority. CommentsClose CommentsPermalink





(5) SENSE OF CONGRESS REGARDING DEADLINE FOR APPOINTMENT- It is the sense of Congress that the President should appoint the members of the Authority as soon as practicable after the date on which a control period commences, but no later than 30 days after such date. CommentsClose CommentsPermalink





(6) TERM OF SERVICE- CommentsClose CommentsPermalink





(A) IN GENERAL- Except as provided in subparagraph (B), each member of the Authority shall be appointed for a term of 3 years. CommentsClose CommentsPermalink





(B) APPOINTMENT FOR TERM FOLLOWING INITIAL TERM- As designated by the President at the time of appointment for the term immediately following the initial term, of the members appointed for the term immediately following the initial term-- CommentsClose CommentsPermalink





(i) 1 member shall be appointed for a term of 1 year; CommentsClose CommentsPermalink





(ii) 2 members shall be appointed for a term of 2 years; and CommentsClose CommentsPermalink





(iii) 2 members shall be appointed for a term of 3 years. CommentsClose CommentsPermalink





(C) REMOVAL- The President may remove any member of the Authority only for cause. CommentsClose CommentsPermalink





(D) NO COMPENSATION FOR SERVICE- Members of the Authority shall serve without pay, but may receive reimbursement for any reasonable and necessary expenses incurred by reason of service on the Authority. CommentsClose CommentsPermalink





(b) Qualification Requirements- CommentsClose CommentsPermalink





(1) IN GENERAL- An individual meets the qualifications for membership on the Authority if the individual-- CommentsClose CommentsPermalink





(A) has significant knowledge and expertise in finance, management, and the organization or operation of businesses having more than 500 employees; and CommentsClose CommentsPermalink





(B) represents the public interest generally, is not a representative of specific interests using or belonging to the Postal Service, and does not have any business or financial interest in any enterprise in the private sector of the economy engaged in the delivery of mail matter. CommentsClose CommentsPermalink





(2) SPECIFIC CONDITIONS- An individual shall not be considered to satisfy paragraph (1)(B) if, at any time during the 5-year period ending on the date of appointment, such individual-- CommentsClose CommentsPermalink





(A) has been an officer, employee, or private contractor with the Postal Service or the Postal Regulatory Commission; or CommentsClose CommentsPermalink





(B) has served as an employee or contractor of a labor organization representing employees of the Postal Service or the Postal Regulatory Commission. CommentsClose CommentsPermalink

SEC. 204. ORGANIZATION.

(a) Adoption of By-Laws for Conducting Business- As soon as practicable after the appointment of its members, the Authority shall adopt by-laws, rules, and procedures governing its activities under this title, including procedures for hiring experts and consultants. Upon adoption, such by-laws, rules, and procedures shall be submitted by the Authority to the Postmaster General, the President, and Congress. CommentsClose CommentsPermalink





(b) Certain Activities Requiring Approval of Majority of Members- Under its by-laws, the Authority may conduct its operations under such procedures as it considers appropriate, except that an affirmative vote of a majority of the members of the Authority shall be required in order for the Authority to-- CommentsClose CommentsPermalink





(1) approve or disapprove a financial plan and budget as described by subtitle C; CommentsClose CommentsPermalink





(2) implement recommendations on financial stability and management responsibility under section 226; CommentsClose CommentsPermalink





(3) take any action under authority of section 202(b)(3)(B)(i);

(4) require the immediate renegotiation of an existing collective bargaining agreement in accordance with section 211(g)(1); or

(5) reject, modify, or terminate 1 or more terms of an existing collective bargaining agreement in accordance with section 211(g)(2) or CommentsClose CommentsPermalink




(4) initiate the establishment of a new workers’ compensation system for the Postal Service in accordance with section 311. CommentsClose CommentsPermalink

SEC. 205. EXECUTIVE DIRECTOR AND STAFF.

(a) Executive Director- The Authority shall have an Executive Director who shall be appointed by the Chair with the consent of the Authority. The Executive Director shall be paid at a rate determined by the Authority, except that such rate may not exceed the rate of basic pay payable for level IV of the Executive Schedule undersection 5315 of title 5, United States Code. CommentsClose CommentsPermalink





(b) Staff- With the approval of the Authority, the Executive Director may appoint and fix the pay of such additional personnel as the Executive Director considers appropriate, except that no individual appointed by the Executive Director may be paid at a rate greater than the rate of pay for the Executive Director. Personnel appointed under this subsection shall serve at the pleasure of the Executive Director. CommentsClose CommentsPermalink





(c) Inapplicability of Certain Civil Service Laws- The Executive Director and staff of the Authority may be appointed without regard to the provisions of title 5, United States Code, governing appointments in the competitive service, and paid without regard to the provisions of chapter 51 and subchapter III of chapter 53 of such title relating to classification and General Schedule pay rates. CommentsClose CommentsPermalink





(d) Staff of Federal Agencies- Upon request of the Chair, the head of any Federal department or agency may detail, on a reimbursable or nonreimbursable basis, any of the personnel of such department or agency to the Authority to assist it in carrying out its duties under this title. CommentsClose CommentsPermalink

SEC. 206. FUNDING.

(a) In General- There are authorized to be appropriated, out of the Postal Service Fund, such sums as may be necessary for the Authority. In requesting an appropriation under this section for a fiscal year, the Authority shall prepare and submit to the Congress undersection 2009 of title 39, United States Code, a budget of the Authority’s expenses, including expenses for facilities, supplies, compensation, and employee benefits not to exceed $10,000,000. In years in which a control period commences, the Authority shall submit a budget within 30 days of the appointment of the members of the Authority. CommentsClose CommentsPermalink





(b) Amendment to Section 2009- Section 2009 is amended in the next to last sentence-- CommentsClose CommentsPermalink





(1) by striking ‘, and (3)’ and inserting ‘, (3)’; and CommentsClose CommentsPermalink





(2) by striking the period and inserting ‘, and (4) the Postal Service Financial Responsibility and Management Assistance Authority requests to be appropriated, out of the Postal Service Fund, under section 206 of the Postal Reform Act of 2011.’. CommentsClose CommentsPermalink

Subtitle B--Powers of the Authority CommentsClose CommentsPermalink

SEC. 211. POWERS.

(a) Powers of Members and Agents- Any member or agent of the Authority may, if authorized by the Authority, take any action which the Authority is authorized by this section to take. CommentsClose CommentsPermalink





(b) Obtaining Official Data From the Postal Service- Notwithstanding any other provision of law, the Authority may secure copies of such records, documents, information, or data from any entity of the Postal Service necessary to enable the Authority to carry out its responsibilities under this title. At the request of the Authority, the Authority shall be granted direct access to such information systems, records, documents, information, or data as will enable the Authority to carry out its responsibilities under this title. The head of the relevant entity of the Postal Service shall provide the Authority with such information and assistance (including granting the Authority direct access to automated or other information systems) as the Authority requires under this subsection. CommentsClose CommentsPermalink





(c) Gifts, Bequests, and Devises- The Authority may accept, use, and dispose of gifts, bequests, or devises of services or property, both real and personal, for the purpose of aiding or facilitating the work of the Authority. Gifts, bequests, or devises of money and proceeds from sales of other property received as gifts, bequests, or devises shall be deposited in such account as the Authority may establish and shall be available for disbursement upon order of the Chair. CommentsClose CommentsPermalink





(d) Administrative Support Services- Upon the request of the Authority, the Administrator of General Services may provide to the Authority, on a reimbursable basis, the administrative support services necessary for the Authority to carry out its responsibilities under this title. CommentsClose CommentsPermalink





(e) Authority To Enter Into Contracts- The Executive Director may enter into such contracts as the Executive Director considers appropriate (subject to the approval of the Chair) to carry out the Authority’s responsibilities under this title. CommentsClose CommentsPermalink





(f) Civil Actions To Enforce Powers- The Authority may seek judicial enforcement of its authority to carry out its responsibilities under this title. CommentsClose CommentsPermalink





(g) Collective Bargaining- Notwithstanding any other provision of law--

(1) the Authority may require the renegotiation of an existing collective bargaining agreement to achieve specific economic savings and workforce flexibility goals; and

(2) after meeting and conferring with the appropriate bargaining representative, the Authority may reject, modify, or terminate 1 or more terms or conditions of an existing collective bargaining agreement if--

(A) a prompt and satisfactory agreement under paragraph (1) is unlikely; and

(B) in the judgment of the Authority, the rejection, modification, or termination--

(i) is reasonable and necessary for the Postal Service to be a financially viable provider of universal postal service to the Nation; and

(ii) is designed to achieve the specific economic savings or workforce flexibility goals (as the case may be) referred to in paragraph (1).

(h)Penalties- CommentsClose CommentsPermalink




(1) ADMINISTRATIVE DISCIPLINE- Any officer or employee of the Postal Service who takes or, by action or inaction, fails to take any action which is noncompliantcomply with any directive or other order of the Authority under section 226(c) shall be subject to appropriate administrative discipline, including suspension from duty without pay or removal from office, by order of either the Postmaster General or the Authority. CommentsClose CommentsPermalink





(2) REPORTING REQUIREMENT- Whenever an officer or employee of the Postal Service takes or fails to take any action which is noncompliant with any directive or other order of the Authority under section 226(c), the Postmaster General shall immediately report to the Authority all pertinent facts, together with a statement of any actions taken by the Postmaster General or proposed by the Postmaster General to be taken under paragraph (1). CommentsClose CommentsPermalink





(h) Sense of Congress- It is the sense of Congress that, in making determinations that affect prior collective bargaining agreements and prior agreements on workforce reduction, any rightsizing effort within the Postal Service that results in a decrease in the number of postal employees should ensure that such employees can receive their full pensions, are fully compensated, and that the collective bargaining agreements and prior agreements on workforce reduction that they entered into with Postal Service management are fully honored. CommentsClose CommentsPermalink

SEC. 212. EXEMPTION FROM LIABILITY FOR CLAIMS.

The Authority and its members may not be liable for any obligation of or claim against the Postal Service resulting from actions taken to carry out this title. CommentsClose CommentsPermalink

SEC. 213. TREATMENT OF ACTIONS ARISING UNDER THIS TITLE.

(a) Jurisdiction Established in United States Court of Appeals for the District of Columbia Circuit- A person (including the Postal Service) adversely affected or aggrieved by an order or decision of the Authority may, within 30 days after such order or decision becomes final, institute proceedings for review thereof by filing a petition in the United States Court of Appeals for the District of Columbia Circuit. The court shall review the order or decision in accordance withsection 706 of title 5, United States Code, and chapter 158 and section 2112 of title 28, United States Code, on the basis of the record before the Authority.(b). Judicial review shall be limited to the question of whether the Authority acted in excess of its statutory authority, and determinations of the Authority with respect to the scope of its statutory authority shall be upheld if based on a permissible construction of the statutory authority. CommentsClose CommentsPermalink





(b) Prompt Appeal to the Supreme Court- Notwithstanding any other provision of law, review by the Supreme Court of the United States of a decision of the Court of Appeals which is issued pursuant to subsection (a) may be had only if the petition for such review is filed within 10 days after the entry of such decision. CommentsClose CommentsPermalink





(c) Timing of Relief- No order of any court granting declaratory or injunctive relief against the Authority, including relief permitting or requiring the obligation, borrowing, or expenditure of funds, shall take effect during the pendency of the action before such court, during the time appeal may be taken, or (if appeal is taken) during the period before the court has entered its final order disposing of such action. CommentsClose CommentsPermalink





(d) Expedited Consideration- It shall be the duty of the United States Court of Appeals for the District of Columbia and the Supreme Court of the United States to advance on the docket and to expedite to the greatest possible extent the disposition of any matter brought under subsection (a). CommentsClose CommentsPermalink

Subtitle C--Establishment and Enforcement of Financial Plan and Budget for the Postal Service CommentsClose CommentsPermalink

SEC. 221. DEVELOPMENT OF FINANCIAL PLAN AND BUDGET FOR THE POSTAL SERVICE.

(a) Development of Financial Plan and Budget- For each fiscal year for which the Postal Service is in a control period, the Postmaster General shall develop and submit to the Authority a financial plan and budget for the Postal Service in accordance with this section. CommentsClose CommentsPermalink





(b) Contents of Financial Plan and Budget- A financial plan and budget for the Postal Service for a fiscal year shall specify the budget for the Postal Service as required bysection 2009 of title 39, United States Code, for the applicable fiscal year and the next 3 fiscal years, in accordance with the following requirements: CommentsClose CommentsPermalink





(1) The financial plan and budget shall meet the standardrequirements described in subsection (c) to promote the financial stability of the Postal Service. CommentsClose CommentsPermalink





(2) The financial plan and budget shall-- CommentsClose CommentsPermalink





(A) include the Postal Service’s annual budget program (undersection 2009 of title 39, United States Code) and the Postal Service’s plan commonly referred to as its ‘Integrated Financial Plan’; CommentsClose CommentsPermalink





(B) describe lump-sum expenditures by all categories traditionally used by the Postal Service; CommentsClose CommentsPermalink





(C) describe capital expenditures (together with a schedule of projected capital commitments and cash outlays of the Postal Service and proposed sources of funding); CommentsClose CommentsPermalink





(D) contain estimates of overall debt (both outstanding and anticipated to be issued); and CommentsClose CommentsPermalink





(E) contain cash flow and liquidity forecasts for the Postal Service at such intervals as the Authority may require. CommentsClose CommentsPermalink





(3) The financial plan and budget shall include a statement describing methods of estimations and significant assumptions. CommentsClose CommentsPermalink





(4) The financial plan and budget shall include any other provisions and shall meet such other criteria as the Authority considers appropriate to meet the purposes of this title, including provisions for-- CommentsClose CommentsPermalink





(A) changes in personnel policies and levels for each component of the Postal Service; and CommentsClose CommentsPermalink





(B) management initiatives to promote productivity, improvement in the delivery of services, or cost savings. CommentsClose CommentsPermalink





(c) StandardRequirements To Promote Financial Stability- CommentsClose CommentsPermalink





(1) IN GENERAL- The standardrequirements to promote the financial stability of the Postal Service applicable to the financial plan and budget for a fiscal year are as follows: CommentsClose CommentsPermalink





(A) In each fiscal year (following the first full fiscal year) in a control period, budgeted expenditures of the Postal Service for the fiscal year involved may not exceed budgeted revenues of the Postal Service for the fiscal year involved. CommentsClose CommentsPermalink





(B) In each fiscal year in a control period, the Postal Service shall make continuous, substantial progress towards long-term fiscal solvency and shall have either a lower deficit orsubstantially greater surplusnet income than in the previous fiscal year. CommentsClose CommentsPermalink





(C) The Postal Service shall provide for the orderly liquidation of any supplementary debt under section 222. CommentsClose CommentsPermalink





(D) The financial plan and budget shall assure the continuing long-term financial stability of the Postal Service, as indicated by factors such as the efficient management of the Postal Service’s workforce and the effective provision of services by the Postal Service. CommentsClose CommentsPermalink





(2) APPLICATION OF SOUND BUDGETARY PRACTICES- In meeting the standardrequirement described in paragraph (1) with respect to a financial plan and budget for a fiscal year, the Postal Service shall apply sound budgetary practices, including reducing costs and other expenditures, improving productivity, increasing revenues, or a combination of such practices. CommentsClose CommentsPermalink





(3) ASSUMPTIONS BASED ON CURRENT LAW- In meeting the standardrequirements described in paragraph (1) with respect to a financial plan and budget for a fiscal year, the Postal Service shall base estimates of revenues and expenditures on Federal law as in effect at the time of the preparation of such financial plan and budget. CommentsClose CommentsPermalink

SEC. 222. SUPPLEMENTARY BORROWING AUTHORITY DURING A CONTROL PERIOD.

(a) In General- Upon the commencement of a control period, subject to the approval of the Authority, the Postal Service is authorized to borrow money and issue and sell such obligations as may be necessary to carry out the purposes of this title, to the same extent, in the same manner, and subject to the same terms and conditions as if the maximum amount allowable under the provisions ofsection 2005(a)(2) of title 39, United States Code, for the fiscal year involved were equal to the maximum amount which (but for this section) would otherwise be allowable under such provisions, increased by $10,000,000,000. The authorization to issue obligations under this section shall extend for a period of not more than 10 years beginning on the date of commencement of a control period, as described in section 202(b). At the end of such a 10-year period, the Postal Service shall dispose of real property of the Postal Service generating sufficient proceeds to repay any outstanding obligation incurred under this subsection in its entirety. CommentsClose CommentsPermalink





(b) Exclusion- The last sentence ofsection 2005(a)(1) of title 39, United States Code, shall not apply with respect to any amounts borrowed or obligations issued or sold under authority of this section (which, but for subsection (a), would not otherwise have been allowable). CommentsClose CommentsPermalink





(c) Deposit- Any amounts received under this section shall be deposited in the Postal Service Fund. CommentsClose CommentsPermalink





(d) Collateral- For the purposes of funds acquired under subsection (a), the Postal Service shall provide an appropriate level of collateral in the form of pledged Postal Service property assets. For each fiscal year in which there remain funds made available to the Postal Service under subsection (a), the Postal Service shall dispose of real property equal to an amount that is at least 10 percent of the total funds obligated by the Postal Service under subsection (a), and the proceeds of such disposal shall be used to repay any outstanding obligation made by the Postal Service under subsection (a) in its entirety. CommentsClose CommentsPermalink

SEC. 223. PROCESS FOR SUBMISSION AND APPROVAL OF FINANCIAL PLAN AND BUDGET.

(a) In General- For each fiscal year for which the Postal Service is in a control period, the Postmaster General shall submit to the Authority-- CommentsClose CommentsPermalink





(1) by February 1 before the start of such fiscal year, a preliminary financial plan and budget under section 221 for such fiscal year; and CommentsClose CommentsPermalink





(2) by August 31 before the start of such fiscal year, a final financial plan and budget under section 221 for such fiscal year. CommentsClose CommentsPermalink





(b) Review by Authority- Upon receipt of a financial plan and budget under subsection (a) (whether preliminary or final), the Authority shall promptly review such financial plan and budget. In conducting the review, the Authority may request any additional information it considers necessary and appropriate to carry out its duties under this subtitle. CommentsClose CommentsPermalink





(c) Approval of Postmaster General’s Financial Plan and Budget- CommentsClose CommentsPermalink





(1) CERTIFICATION TO POSTMASTER GENERAL-(A) IN GENERAL- If the Authority determines that the final financial plan and budget for the fiscal year submitted by the Postmaster General under subsection (a) meets the requirements of section 221-- CommentsClose CommentsPermalink





(iA) the Authority shall approve the financial plan and budget and shall provide the Postmaster General, the President, and Congress with a notice certifying its approval; and CommentsClose CommentsPermalink





(iiB) the Postmaster General shall promptly submit the annual budget program to the Office of Management and Budget pursuant tosection 2009 of title 39, United States Code. CommentsClose CommentsPermalink





(B2) DEEMED APPROVAL AFTER 30 DAYS- CommentsClose CommentsPermalink





(iA) IN GENERAL- If the Authority has not provided the Postmaster General, the President, and Congress with a notice certifying approval under subparagraph (A)(iparagraph (1)(A) or a statement of disapproval under subsection (d) before the expiration of the 30-day period which begins on the date the Authority receives the financial plan and budget from the Postmaster General under subsection (a), the Authority shall be deemed to have approved the financial plan and budget and to have provided the Postmaster General, the President, and Congress with the notice certifying approval under subparagraph (A)(i).(ii)paragraph (1)(A). CommentsClose CommentsPermalink





(B) EXPLANATION OF FAILURE TO RESPOND- If clause (isubparagraph (A) applies with respect to a financial plan and budget, the Authority shall provide the Postmaster General, the President and Congress with an explanation for its failure to provide the notice certifying approval or the statement of disapproval during the 30-day period described in such clausesubparagraph. CommentsClose CommentsPermalink





(d) Disapproval of Postmaster General’s Budget- If the Authority determines that the final financial plan and budget for the fiscal year submitted by the Postmaster General under subsection (a) does not meet the requirements applicable under section 221, the Authority shall disapprove the financial plan and budget, and shall provide the Postmaster General, the President, and Congress with a statement containing-- CommentsClose CommentsPermalink





(1) the reasons for such disapproval; CommentsClose CommentsPermalink





(2) the amount of any shortfall in the budget or financial plan; and CommentsClose CommentsPermalink





(3) any recommendations for revisions to the budget the Authority considers appropriate to ensure that the budget is consistent with the financial plan and budget. CommentsClose CommentsPermalink





(e) Authority Review of Postmaster General’s Revised Final Financial Plan and Budget- CommentsClose CommentsPermalink





(1) SUBMISSION OF POSTMASTER GENERAL’S REVISED FINAL FINANCIAL PLAN AND BUDGET- Not later than 15 days after receiving the statement from the Authority under subsection (d), the Postmaster General shall promptly adopt a revised final financial plan and budget for the fiscal year which addresses the reasons for the Authority’s disapproval cited in the statement, and shall submit such financial plan and budget to the Authority. CommentsClose CommentsPermalink





(2) APPROVAL OF POSTMASTER GENERAL’S REVISED FINAL FINANCIAL PLAN AND BUDGET- If, after reviewing the revised final financial plan and budget for a fiscal year submitted by the Postmaster General under paragraph (1) in accordance with the procedures described in this section, the Authority determines that the revised final financial plan and budget meets the requirements applicable under section 221-- CommentsClose CommentsPermalink





(A) the Authority shall approve the financial plan and budget and shall provide the Postmaster General, the President, and Congress with a notice certifying its approval; and CommentsClose CommentsPermalink





(B) the Postmaster General shall promptly submit the annual budget program to the Office of Management and Budget pursuant tosection 2009 of title 39, United States Code. CommentsClose CommentsPermalink





(3) DISAPPROVAL OF POSTMASTER GENERAL’S REVISED FINAL FINANCIAL PLAN AND BUDGET- CommentsClose CommentsPermalink





(A) IN GENERAL- If, after reviewing the revised final financial plan and budget for a fiscal year submitted by the Postmaster General under paragraph (1) in accordance with the procedures described in this subsection, the Authority determines that the revised final financial plan and budget does not meet the applicable requirements under section 221, the Authority shall-- CommentsClose CommentsPermalink





(i) disapprove the financial plan and budget; CommentsClose CommentsPermalink





(ii) provide the Postmaster General, the President, and Congress with a statement containing the reasons for such disapproval and describing the amount of any shortfall in the financial plan and budget; and CommentsClose CommentsPermalink





(iii) approve and recommend a financial plan and budget for the Postal Service which meets the applicable requirements under section 221, and submit such financial plan and budget to the Postmaster General, the President, and Congress. CommentsClose CommentsPermalink





(B) SUBMISSION TO OMB- Upon receipt of the recommended financial plan and budget subparagraph under subparagraph (A)(iii), the Postmaster General shall promptly submit the recommended annual budget program to the Office of Management and Budget pursuant tosection 2009 of title 39, United States Code. CommentsClose CommentsPermalink





(4) DEEMED APPROVAL AFTER 15 DAYS- CommentsClose CommentsPermalink





(A) IN GENERAL- If the Authority has not provided the Postmaster General, the President, and Congress with a notice certifying approval under paragraph (2)(A) or a statement of disapproval under paragraph (3) before the expiration of the 15-day period which begins on the date the Authority receives the revised final financial plan and budget submitted by the Postmaster General under paragraph (1), the Authority shall be deemed to have approved the revised final financial plan and budget and to have provided the Postmaster General, the President, and Congress with the notice certifying approval described in paragraph (2)(A). CommentsClose CommentsPermalink





(B) EXPLANATION OF FAILURE TO RESPOND- If subparagraph (A) applies with respect to a financial plan and budget, the Authority shall provide the Postmaster General, the President and Congress with an explanation for its failure to provide the notice certifying approval or the statement of disapproval during the 15-day period described in such subparagraph. CommentsClose CommentsPermalink





(f) Deadline for Transmission of Financial Plan and Budget by Authority- Notwithstanding any other provision of this section, not later than June 15 before each fiscal year which isSeptember 30th before each fiscal year which is in a control period, the Authority shall-- CommentsClose CommentsPermalink





(1) provide Congress with a notice certifying its approval of the Postmaster General’s initial financial plan and budget for the fiscal year under subsection (c)(1);(2) provide Congress; CommentsClose CommentsPermalink





(2) provide Congress with a notice certifying its approval of the Postmaster General’s revised final financial plan and budget for the fiscal year under subsection (e)(2); or CommentsClose CommentsPermalink





(3) submit to Congress an approved and recommended financial plan and budget of the Authority for the Postal Service for the fiscal year under subsection (e)(3)(A)(iii). CommentsClose CommentsPermalink





(g) Revisions to Financial Plan and Budget- CommentsClose CommentsPermalink





(1) PERMITTING POSTMASTER GENERAL TO SUBMIT REVISIONS- The Postmaster General may submit proposed revisions to the financial plan and budget for a control period to the Authority at any time during the year. CommentsClose CommentsPermalink





(2) PROCESS FOR REVIEW, APPROVAL, DISAPPROVAL, AND POSTMASTER GENERAL ACTION- Except as provided in paragraph (3), the procedures described in subsections (b), (c), (d), and (e) shall apply with respect to a proposed revision to a financial plan and budget in the same manner as such procedures apply with respect to the original financial plan and budget. CommentsClose CommentsPermalink





(3) EXCEPTION FOR REVISIONS NOT AFFECTING SPENDING- To the extent that a proposed revision to a financial plan and budget adopted by the Postmaster General pursuant to this subsection does not increase the amount of spending with respect to any account of the Postal Service, the revision shall become effective upon the Authority’s approval of such revision. CommentsClose CommentsPermalink

SEC. 224. RESPONSIBILITIES OF THE AUTHORITY.

(a) In General- The Authority shall direct the exercise of the powers of the Postal Service, including-- CommentsClose CommentsPermalink





(1) determining its vision and overall strategies (both long-term and short-term); CommentsClose CommentsPermalink





(2) determining its organizational structure, particularly for senior management at the level of vice president and higher; CommentsClose CommentsPermalink





(3) hiring, monitoring, compensating, and, when necessary, replacing senior management at the level of vice president and higher, as well as ensuring adequate succession planning for these positions; CommentsClose CommentsPermalink





(4) approving major policies, particularly those that have an important effect on the Postal Service’s financial position and the provision of universal postal service; CommentsClose CommentsPermalink





(5) approving corporate budgets, financial and capital plans, operational and service performance standards and targets, human resources strategies, collective bargaining strategies, negotiation parameters, and collective bargaining agreements, and the compensation structure for nonbargaining employees; CommentsClose CommentsPermalink





(6) approving substantial capital projects and any substantial disposition of capital assets, such as surplus property; CommentsClose CommentsPermalink





(7) approving changes in rates and classifications, new products and services, policy regarding other substantial matters before the Postal Regulatory Commission, and any appeals of its decisions or orders to the Federal courts; CommentsClose CommentsPermalink





(8) approving the Postal Service Annual Report, Annual Comprehensive Statement, and strategic plans, performance plans, and performance program reports under chapter 28 of title 39, United States Code; CommentsClose CommentsPermalink





(9) formulating and communicating organizational policy and positions on legislative and other public policy matters to Congress and the public; CommentsClose CommentsPermalink





(10) ensuring organizational responsiveness to oversight by Congress, the Postal Regulatory Commission, the Treasury of the United States, and other audit entities; CommentsClose CommentsPermalink





(11) ensuring adequate internal controls and selecting, monitoring, and compensating an independent public accounting firm to conduct an annual audit of the Postal Service; and CommentsClose CommentsPermalink





(12) carrying out any responsibility, not otherwise listed in this subsection, that was the responsibility of the Board of Governors at any time during the 5-year period ending on the date of the enactment of this Act. CommentsClose CommentsPermalink





(b) Review of Postal Service Proposals- CommentsClose CommentsPermalink





(1) SUBMISSION OF POSTAL SERVICE PROPOSALS TO THE AUTHORITY- During a control period, the Postmaster General shall submit to the Authority any proposal that has a substantial effect on any item listed in subsection (a). CommentsClose CommentsPermalink





(2) PROMPT REVIEW BY AUTHORITY- Upon receipt of a proposal from the Postmaster General under paragraph (1), the Authority shall promptly review the proposal to determine whether it is consistent with the applicable financial plan and budget approved under this title. CommentsClose CommentsPermalink





(3) ACTIONS BY AUTHORITY- CommentsClose CommentsPermalink





(A) APPROVAL- If the Authority determines that a proposal is consistent with the applicable financial plan and budget, the Authority shall notify the Postmaster General that it approves the proposal. CommentsClose CommentsPermalink





(B) FINDING OF INCONSISTENCY- If the Authority determines that a proposal is significantly inconsistent with the applicable financial plan and budget, the Authority shall-- CommentsClose CommentsPermalink





(i) notify the Postmaster General of its finding; CommentsClose CommentsPermalink





(ii) provide the Postmaster General with an explanation of the reasons for its finding; and CommentsClose CommentsPermalink





(iii) to the extent the Authority considers appropriate, provide the Postmaster General with recommendations for modifications to the proposal. CommentsClose CommentsPermalink





(4) DEEMED APPROVAL- If the Authority does not notify the Postmaster General that it approves or disapproves a proposal submitted under this subsection during the 7-day period which begins on the date the Postmaster General submits the proposal to the Authority, the Authority shall be deemed to have approved the proposal in accordance with paragraph (3)(A). At the option of the Authority, the previous sentence shall be applied as if the reference in such sentence to ‘7-day period’ were a reference to ‘14-day period’ if, during the 7-day period referred to in the preceding sentence, the Authority so notifies the Postmaster General. CommentsClose CommentsPermalink





(c) Effect of Approved Financial Plan and Budget on Contracts and Leases- CommentsClose CommentsPermalink





(1) MANDATORY PRIOR APPROVAL FOR CERTAIN CONTRACTS AND LEASES- CommentsClose CommentsPermalink





(A) IN GENERAL- In the case of a contract or lease described in subparagraph (B) which is proposed to be entered into, renewed, modified, or extended by the Postal Service during a control period, the Postmaster General (or the appropriate officer or agent of the Postal Service) shall submit the proposed contract or lease to the Authority. The Authority shall review each contract or lease submitted under this subparagraph, and the Postmaster General (or the appropriate officer or agent of the Postal Service) may not enter into the contract or lease unless the Authority determines that the proposed contract or lease is consistent with the financial plan and budget for the fiscal year. CommentsClose CommentsPermalink





(B) CONTRACTS AND LEASES DESCRIBED- A contract or lease described in this subparagraph is-- CommentsClose CommentsPermalink





(i) a labor contract entered into through collective bargaining; or CommentsClose CommentsPermalink





(ii) such other type of contract or lease as the Authority may specify for purposes of this subparagraph. CommentsClose CommentsPermalink





(2) AUTHORITY TO REVIEW OTHER CONTRACTS AFTER EXECUTION- CommentsClose CommentsPermalink





(A) IN GENERAL- In addition to the prior approval of certain contracts and leases, the Postal Service shall submit to the Authority-- CommentsClose CommentsPermalink





(i) any Level-Two Post Career Executive Service employee contract that is in effect during a control period; and CommentsClose CommentsPermalink





(ii) any collective bargaining agreement entered into by the Postal Service that is in effect during a control period. CommentsClose CommentsPermalink





Any such contract or agreement shall be submitted to the Authority upon the commencement of a control period and at such other times as the Authority may require. CommentsClose CommentsPermalink





(B) REVIEW BY AUTHORITY- The Authority shall review each contract submitted under subparagraph (A) to determine if the contract is consistent with the financial plan and budget for the fiscal year. If the Authority determines that the contract is not consistent with the financial plan and budget, the Authority shall take such actions as are within the Authority’s powers to revise the contract. CommentsClose CommentsPermalink

SEC. 225. EFFECT OF FINDING NONCOMPLIANCE WITH FINANCIAL PLAN AND BUDGET.

(a) Submission of Reports- Not later than 30 days after the expiration of each quarter of each fiscal year beginning in a control period, the Postmaster General shall submit reports to the Authority describing the actual revenues obtained and expenditures made by the Postal Service during the quarter with its cash flows during the quarter, and comparing such actual revenues, expenditures, and cash flows with the most recent projections for these items. CommentsClose CommentsPermalink





(b) Additional Information- If the Authority determines, based on reports submitted by the Postmaster General under subsection (a), independent audits, or such other information as the Authority may obtain, that the revenues or expenditures of the Postal Service during a control period are not consistent with the financial plan and budget for the year, the Authority shall require the Postmaster General to provide such additional information as the Authority determines to be necessary to explain the inconsistency. CommentsClose CommentsPermalink





(c) Certification of Variance- CommentsClose CommentsPermalink





(1) IN GENERAL- After requiring the Postmaster General to provide additional information under subsection (b), the Authority shall certify to the Postmaster General, the President, the Secretary of the Treasury, and Congress that the Postal Service is at variance with the financial plan and budget unless-- CommentsClose CommentsPermalink





(A) the additional information provides an explanation for the inconsistency which the Authority finds reasonable and appropriate; or CommentsClose CommentsPermalink





(B)(i) the Postal Service adopts or implements remedial action (including revising the financial plan and budget pursuant to section 223(g)) to correct the inconsistency which the Authority finds reasonable and appropriate, taking into account the terms of the financial plan and budget; and CommentsClose CommentsPermalink





(ii) the Postmaster General agrees to submit the reports described in subsection (a) on a monthly basis for such period as the Authority may require. CommentsClose CommentsPermalink





(2) SPECIAL RULE FOR INCONSISTENCIES ATTRIBUTABLE TO ACTS OF CONGRESS- CommentsClose CommentsPermalink





(A) DETERMINATION BY AUTHORITY- If the Authority determines that the revenues or expenditures of the Postal Service during a control period are not consistent with the financial plan and budget for the year as approved by the Authority under section 223 as a result of the terms and conditions of any law enacted by Congress which affects the Postal Service, the Authority shall so notify the Postmaster General. CommentsClose CommentsPermalink





(B) CERTIFICATION- In the case of an inconsistency described in subparagraph (A), the Authority shall certify to the Postmaster General, the President, the Secretary of the Treasury, and Congress that the Postal Service is at variance with the financial plan and budget unless the Postal Service adopts or implements remedial action (including revising the financial plan and budget pursuant to section 202(e)) to correct the inconsistency which the Authority finds reasonable and appropriate, taking into account the terms of the financial plan and budget. CommentsClose CommentsPermalink





(d) Effect of Certification- If the Authority certifies to the Secretary of the Treasury that a variance exists the Authority or the, the Authority or the Secretary may withhold access by the Postal Service to additional supplementary debt authorized by this title. CommentsClose CommentsPermalink

SEC. 226. RECOMMENDATIONS REGARDING FINANCIAL STABILITY, ETC.

(a) In General- The Authority may at any time submit recommendations to the Postmaster General, the President, and Congress on actions the Postal Service or any other entity of the Federal Government should take to ensure compliance by the Postal Service with a financial plan and budget or to otherwise promote the financial stability, management responsibility, and service delivery efficiency of the Postal Service, including recommendations relating to-- CommentsClose CommentsPermalink





(1) the management of the Postal Service’s financial affairs, including cash forecasting, information technology, placing controls on expenditures for personnel, reducing benefit costs, reforming procurement practices, and placing other controls on expenditures; CommentsClose CommentsPermalink





(2) the relationship between the Postal Service and other entities of the Federal Government; CommentsClose CommentsPermalink





(3) the structural relationship of subdivisions within the Postal Service; CommentsClose CommentsPermalink





(4) the modification of existing revenue structures, or the establishment of additional revenue structures; CommentsClose CommentsPermalink





(5) the establishment of alternatives for meeting obligations to pay for the pensions and retirement benefits of current and future Postal Service retirees; CommentsClose CommentsPermalink





(6) modifications of services which are the responsibility of and are delivered by the Postal Service; CommentsClose CommentsPermalink





(7) modifications of the types of services which are delivered by entities other than the Postal Service under alternative service delivery mechanisms; CommentsClose CommentsPermalink





(8) the effects of Federal Government laws and court orders on the operations of the Postal Service; CommentsClose CommentsPermalink





(9) the increased use of a personnel system for employees of the Postal Service which is based upon employee performance standards; and CommentsClose CommentsPermalink





(10) the improvement of personnel training and proficiency, the adjustment of staffing levels, and the improvement of training and performance of management and supervisory personnel. CommentsClose CommentsPermalink





(b) Response to Recommendations for Actions Within Authority of Postal Service- CommentsClose CommentsPermalink





(1) IN GENERAL- In the case of any recommendations submitted under subsection (a) during a control yearperiod which are within the authority of the Postal Service to adopt, not later than 90 days after receiving the recommendations, the Postmaster General shall submit a statement to the Authority, the President, and Congress which provides notice as to whether the Postal Service will adopt the recommendations. CommentsClose CommentsPermalink





(2) IMPLEMENTATION PLAN REQUIRED FOR ADOPTED RECOMMENDATIONS- If the Postmaster General notifies the Authority and Congress under paragraph (1) that the Postal Service will adopt any of the recommendations submitted under subsection (a), the Postmaster General shall include in the statement a written plan to implement the recommendation which includes-- CommentsClose CommentsPermalink





(A) specific performance measures to determine the extent to which the Postal Service has adopted the recommendation; and CommentsClose CommentsPermalink





(B) a schedule for auditing the Postal Service’s compliance with the plan. CommentsClose CommentsPermalink





(3) EXPLANATIONS REQUIRED FOR RECOMMENDATIONS NOT ADOPTED- If the Postmaster General notifies the Authority, the President, and Congress under paragraph (1) that the Postal Service will not adopt any recommendation submitted under subsection (a) which the Postal Service has authority to adopt, the Postmaster General shall include in the statement explanations for the rejection of the recommendations. CommentsClose CommentsPermalink





(c) Implementation of Rejected Recommendations by Authority- CommentsClose CommentsPermalink





(1) IN GENERAL- If the Postmaster General notifies the Authority, the President, and Congress under subsection (b)(1) that the Postal Service will not adopt any recommendation submitted under subsection (a) which the Postal Service has authority to adopt, the Authority may by a majority vote of its members take such action concerning the recommendation as it deems appropriate, after consulting with the Committee on Oversight and Government Reform of the House of Representatives and the Committee on Homeland Security and Governmental Affairs of the Senate. CommentsClose CommentsPermalink





(2) EFFECTIVE DATE- This subsection shall apply with respect to recommendations of the Authority made after the expiration of the 6-month period which begins on the date of the commencement of a control period. CommentsClose CommentsPermalink

SEC. 227. SPECIAL RULES FOR FISCAL YEAR IN WHICH CONTROL PERIOD COMMENCES.

(a) Adoption of Transition Budget- Notwithstanding any provision of section 223 to the contrary, in the case of a fiscal year in which a control period commences, the following rules shall apply: CommentsClose CommentsPermalink





(1) Not later than 45 days after the appointment of its members, the Authority shall review the proposed Integrated Financial Plan for the Postal Service for such fiscal year and shall submit any recommendations for modifications to such plan to promote the financial stability of the Postal Service to the Postmaster General, the President, and Congress. CommentsClose CommentsPermalink





(2) Not later than 15 days after receiving the recommendations of the Authority submitted under paragraph (1), the Postmaster General shall promptly adopt a revised budget for the fiscal year (in this section referred to as the ‘transition budget’), and shall submit the transition budget to the Authority, the President, and Congress. CommentsClose CommentsPermalink





(3) Not later than 15 days after receiving the transition budget from the Postmaster General under paragraph (2), the Authority shall submit a report to the Postmaster General, the President, and Congress analyzing the budget (taking into account any items or provisions disapproved by the Postmaster General) and shall include in the report such recommendations for revisions to the transition budget as the Authority considers appropriate to promote the financial stability of the Postal Service during the fiscal year. CommentsClose CommentsPermalink





(b) Financial Plan and Budget- CommentsClose CommentsPermalink





(1) DEADLINE FOR SUBMISSION- For purposes of section 223, the Postmaster General shall submit the financial plan and budget for the applicable fiscal year as soon as practicable after the initiation of a control periodcommencement of a control period (in accordance with guidelines established by the Authority). CommentsClose CommentsPermalink





(2) ADOPTION BY POSTMASTER GENERAL- In accordance with the procedures applicable under section 223 (including procedures providing for review by the Authority) the Postmaster General shall adopt the financial plan and budget for the applicable fiscal year (including the transition budget incorporated in the financial plan and budget) prior to the submission by the Postmaster General. CommentsClose CommentsPermalink





(3) TRANSITION BUDGET AS TEMPORARY FINANCIAL PLAN AND BUDGET- Until the approval of the financial plan and budget for the applicable fiscal year by the Authority under this subsection, the transition budget established under subsection (a) shall serve as the financial plan and budget adopted under this subtitle for purposes of this Act (and any provision of law amended by this Act) for the applicable fiscal year. CommentsClose CommentsPermalink

SEC. 228. ASSISTANCE IN ACHIEVING FINANCIAL STABILITY, ETC.

In addition to any other actions described in this title, the Authority may undertake cooperative efforts to assist the Postal Service in achieving financial stability and management efficiency, including-- CommentsClose CommentsPermalink





(1) assisting the Postal Service in avoiding defaults, eliminating and liquidating deficits, maintaining sound budgetary practices, and avoiding interruptions in the delivery of services; CommentsClose CommentsPermalink





(2) assisting the Postal Service in improving the delivery of services, the training and effectiveness of personnel of the Postal Service, and the efficiency of management and supervision; and CommentsClose CommentsPermalink





(3) making recommendations to the President for transmission to Congress on changes to this Act or other Federal laws, or other actions of the Federal Government, which would assist the Postal Service in complying with an approved financial plan and budget under subtitle B. CommentsClose CommentsPermalink

SEC. 229. OBTAINING REPORTS.

The Authority may require the Postmaster General, the Chief Financial Officer of the Postal Service, and the Inspector General of the Postal Service, to prepare and submit such reports as the Authority considers appropriate to assist it in carrying out its responsibilities under this title, including submitting copies of any reports regarding revenues, expenditures, budgets, costs, plans, operations, estimates, and other financial or budgetary matters of the Postal Service. CommentsClose CommentsPermalink

SEC. 230. REPORTS AND COMMENTS.

(a) Annual Reports to Congress- Not later than 30 days after the last day of each fiscal year which is a control year, the Authority shall submit a report to Congress describing-- CommentsClose CommentsPermalink





(1) the progress made by the Postal Service in meeting the objectives of this title during the fiscal year; CommentsClose CommentsPermalink





(2) the assistance provided by the Authority to the Postal Service in meeting the purposes of this title for the fiscal year; and CommentsClose CommentsPermalink





(3) any other activities of the Authority during the fiscal year. CommentsClose CommentsPermalink





(b) Review and Analysis of Performance and Financial Accountability Reports- The Authority shall review each yearly report prepared and submitted by the Postmaster General to the Postal Regulatory Commission and Congress and shall submit a report to Congress analyzing the completeness and accuracy of such reports. CommentsClose CommentsPermalink





(c) Comments Regarding Activities of Postal Service- At any time during a control period, the Authority may submit a report to Congress describing any action taken by the Postal Service (or any failure to act by the Postal Service) which the Authority determines will adversely affect the Postal Service’s ability to comply with an approved financial plan and budget under subtitle B or will otherwise have a significant adverse impact on the best interests of the Postal Service. CommentsClose CommentsPermalink





(d) Reports on Effect of Federal Laws on the Postal Service- At any time during any year, the Authority may submit a report to the Postmaster General, the President, and Congress on the effect of laws enacted by Congress on the financial plan and budget for the year and on the financial stability and management efficiency of the Postal Service in general. CommentsClose CommentsPermalink





(e) Making Reports Publicly Available- The Authority shall make any report submitted under this section available to the public, except to the extent that the Authority determines that the report contains confidential material. CommentsClose CommentsPermalink

Subtitle D--Termination of a Control Period CommentsClose CommentsPermalink

SEC. 231. TERMINATION OF CONTROL PERIOD, ETC.

(a) In General- After the completion of the requirements for the termination of a control period described in section 202(b)(4), the Authority shall submit a recommendation to Congress requesting the termination of such control period, the dissolution of the Authority, and the reinstatement to the Board of Governors (and the individual Governors) of the Postal Service of the authorities and responsibilities referred to in section 202(b)(2)(A). CommentsClose CommentsPermalink





(b) Congressional Approval- CommentsClose CommentsPermalink





(1) IN GENERAL- A control period shall not be terminated unless a joint resolution approving of the recommendation in subsection (a) is enacted, in accordance with section 232, before the earlier of-- CommentsClose CommentsPermalink





(A) the end of the 30-day period beginning on the date on which the Authority transmits the recommendation to Congress under subsection (a); or CommentsClose CommentsPermalink





(B) the adjournment of the Congress sine die for the session during which such recommendation is transmitted. CommentsClose CommentsPermalink





(2) DAYS OF SESSION- For purposes of paragraph (1) and subsections (a) and (c) of section 232, the days on which either House of Congress is not in session because of an adjournment of more than 3 days to a day certain shall be excluded in the computation of a period. CommentsClose CommentsPermalink

SEC. 232. CONGRESSIONAL CONSIDERATION OF RECOMMENDATION.

(a) Terms of the Resolution- For purposes of this subtitle, the term ‘joint resolution’ means only a joint resolution which is introduced within the 10-day period beginning on the date on which the recommendation referred to in section 231(a) is received by Congress-- CommentsClose CommentsPermalink





(1) the matter after the resolving clause of which is as follows: ‘That Congress approves the recommendation of the Postal Service Financial Responsibility and Management Assistance Authority, submitted by such Authority on XX.’, the blank space being filled in with the appropriate date; CommentsClose CommentsPermalink





(2) the title of which is as follows: ‘Joint resolution approving the recommendation of Postal Service Financial Responsibility and Management Assistance Authority.’; and CommentsClose CommentsPermalink





(3) which does not have a preamble. CommentsClose CommentsPermalink





(b) Referral- A resolution described in subsection (a) that is introduced in the House of Representatives or the Senate shall be referred to the appropriate committees of the House of Representatives or the Senate, respectively. CommentsClose CommentsPermalink





(c) Discharge- If the committee to which a resolution described in subsection (a) is referred has not reported such resolution (or an identical resolution) by the end of the 20-day period beginning on the date on which the Authority transmits its recommendation to Congress under section 231(a) such committee shall, at the end of such period, be discharged from further consideration of such resolution, and such resolution shall be placed on the appropriate calendar of the House involved. CommentsClose CommentsPermalink





(d) Consideration- CommentsClose CommentsPermalink





(1) IN GENERAL- On or after the third day after the date on which the committee to which such a resolution is referred has reported, or has been discharged (under subsection (c)) from further consideration of, such a resolution, it is in order (even though a previous motion to the same effect has been disagreed to) for any Member of the respective House to move to proceed to the consideration of the resolution. A Member may make the motion only on the day after the calendar day on which the Member announces to the House concerned the Member’s intention to make the motion, except that, in the case of the House of Representatives, the motion may be made without such prior announcement if the motion is made by direction of the committee to which the resolution was referred. All points of order against the resolution (and against consideration of the resolution) are waived. The motion is highly privileged in the House of Representatives and is privileged in the Senate and is not debatable. The motion is not subject to amendment, or to a motion to postpone, or to a motion to proceed to the consideration of other business. A motion to reconsider the vote by which the motion is agreed to or disagreed to shall not be in order. If a motion to proceed to the consideration of the resolution is agreed to, the respective House shall immediately proceed to consideration of the joint resolution without intervening motion, order, or other business, and the resolution shall remain the unfinished business of the respective House until disposed of. CommentsClose CommentsPermalink





(2) DEBATE- Debate on the resolution, and on all debatable motions and appeals in connection therewith, shall be limited to not more than 2 hours, which shall be divided equally between those favoring and those opposing the resolution. An amendment to the resolution is not in order. A motion further to limit debate is in order and not debatable. A motion to postpone, or a motion to proceed to the consideration of other business, or a motion to recommit the resolution is not in order. A motion to reconsider the vote by which the resolution is agreed to or disagreed to is not in order. CommentsClose CommentsPermalink





(3) VOTE ON FINAL PASSAGE- Immediately following the conclusion of the debate on a resolution described in subsection (a) and a single quorum call at the conclusion of the debate if requested in accordance with the rules of the appropriate House, the vote on final passage of the resolution shall occur. CommentsClose CommentsPermalink





(4) APPEALS- Appeals from the decisions of the Chair relating to the application of the rules of the Senate or the House of Representatives, as the case may be, to the procedure relating to a resolution described in subsection (a) shall be decided without debate. CommentsClose CommentsPermalink





(e) Consideration by Other House- CommentsClose CommentsPermalink





(1) IN GENERAL- If, before the passage by one House of a resolution of that House described in subsection (a), that House receives from the other House a resolution described in subsection (a), then the following procedures shall apply: CommentsClose CommentsPermalink





(A) The resolution of the other House shall not be referred to a committee and may not be considered in the House receiving it except in the case of final passage as provided in subparagraph (B)(ii). CommentsClose CommentsPermalink





(B) With respect to a resolution described in subsection (a) of the House receiving the resolution-- CommentsClose CommentsPermalink





(i) the procedure in that House shall be the same as if no resolution had been received from the other House; but CommentsClose CommentsPermalink





(ii) the vote on final passage shall be on the resolution of the other House. CommentsClose CommentsPermalink





(2) DISPOSITION OF A RESOLUTION- Upon disposition of the resolution received from the other House, it shall no longer be in order to consider the resolution that originated in the receiving House. CommentsClose CommentsPermalink





(f) Rules of the Senate and House- This section is enacted by Congress-- CommentsClose CommentsPermalink





(1) as an exercise of the rulemaking power of the Senate and House of Representatives, respectively, and as such it is deemed a part of the rules of each House, respectively, but applicable only with respect to the procedure to be followed in that House in the case of a resolution described in subsection (a), and it supersedes other rules only to the extent that it is inconsistent with such rules; and CommentsClose CommentsPermalink





(2) with full recognition of the constitutional right of either House to change the rules (so far as relating to the procedure of that House) at any time, in the same manner, and to the same extent as in the case of any other rule of that House. CommentsClose CommentsPermalink

TITLE III--POSTAL SERVICE WORKFORCE CommentsClose CommentsPermalink

Subtitle A--General Provisions CommentsClose CommentsPermalink

SEC. 301. MODIFICATIONS RELATING TO DETERMINATION OF PAY COMPARABILITY.

(a) Postal Policy- Section 101(c) is amended--(1) in tThe first sentence, of section 101(c) is amended-- CommentsClose CommentsPermalink





(1) by inserting ‘total’ before ‘rates and types of compensation’; and CommentsClose CommentsPermalink





(2) in the second sentence, by inserting ‘entire’ before ‘private sector’. CommentsClose CommentsPermalink





(b) Employment Policy- The second sentence of section 1003(a) is amended-- CommentsClose CommentsPermalink





(1) by inserting ‘total’ before ‘compensation and benefits’ each place it appears; and CommentsClose CommentsPermalink





(2) by inserting ‘entire’ before ‘private sector’. CommentsClose CommentsPermalink





(c) Considerations- For purposes of the amendments made by this section, any determination of ‘total rates and types of compensation’ or ‘total compensation and benefits’ shall, at a minimum, take into account pay, health benefits, retirement benefits, life insurance benefits, leave, holidays, and continuity and stability of employment. CommentsClose CommentsPermalink

SEC. 302. LIMITATION ON POSTAL CONTRIBUTIONS UNDER FEGLI AND FEHBP.

Section 1003 is amended by adding at the end the following: CommentsClose CommentsPermalink





‘(e)(1) At least 1 month before the start of each fiscal year as described in paragraph (2), the Postmaster General shall transmit to the Postal Regulatory Commission certification (together with such supporting documentation as the Postal Regulatory Commission may require) that contributions of the Postal Service for such fiscal year will not exceed-- CommentsClose CommentsPermalink





‘(A) in the case of life insurance under chapter 87 of title 5, the Government contributions determined under section 8708 of such title; and CommentsClose CommentsPermalink





‘(B) in the case of health insurance under chapter 89 of title 5, the Government contributions determined under 8906 of such title. CommentsClose CommentsPermalink





‘(2) This subsection applies with respect to-- CommentsClose CommentsPermalink





‘(A) except as provided in subparagraph (B), each fiscal year beginning after September 30, 2013; and CommentsClose CommentsPermalink





‘(B) in the case of officers and employees of the Postal Service covered by a collective bargaining agreement which is in effect on the date of the enactment of this subsection-- CommentsClose CommentsPermalink





‘(i) each fiscal year beginning after the expiration date of such agreement, including CommentsClose CommentsPermalink





‘(ii) for the fiscal year in which such expiration date occurs, any portion of such fiscal year remaining after such expiration date. CommentsClose CommentsPermalink





‘(3)(A) If, after reasonable notice and opportunity for hearing is afforded to the Postal Service, the Postal Regulatory Commission finds that the contributions of the Postal Service for a fiscal year will exceed or are exceeding the limitation specified in subparagraph (A) or (B) of paragraph (1), the Commission shall order that the Postal Service take such action as the Commission considers necessary to achieve full and immediate compliance with the applicable limitation or limitations. CommentsClose CommentsPermalink





‘(B) Sections 3663 and 3664 shall apply with respect to any order issued by the Postal Regulatory Commission under subparagraph (A). CommentsClose CommentsPermalink





‘(C) Nothing in this paragraph shall be considered to permit the issuance of an order requiring reduction of contributions below the level specified by the provision of law cited in subparagraph (A) or (B) of paragraph (1), as applicable.’. CommentsClose CommentsPermalink

SEC. 303. REPEAL OF PROVISION RELATING TO OVERALL VALUE OF FRINGE BENEFITS.

The last sentence of section 1005(f) is repealed. CommentsClose CommentsPermalink

SEC. 304. APPLICABILITY OF REDUCTION-IN-FORCE PROCEDURES.

SEC. 305. MODIFICATIONS RELATING TO COLLECTIVE BARGAINING.

Section 1207 is amended by striking subsections (c) and (d) and inserting the following: CommentsClose CommentsPermalink





‘(c)(1) If no agreement is reached within 30 days after the appointment of a mediator under subsection (b), or if the parties decide upon arbitration before the expiration of the 30-day period, an arbitration board shall be established consisting of 1 member selected by the Postal Service (from the list under paragraph (2)), 1 member selected by the bargaining representative of the employees (from the list under paragraph (2)), and the mediator appointed under subsection (b). CommentsClose CommentsPermalink





‘(2) Upon receiving a request from either of the parties referred to in paragraph (1), the Director of the Federal Mediation and Conciliation Service shall provide a list of not less than 9 individuals who are well qualified to serve as neutral arbitrators. Each person listed shall be an arbitrator of nationwide reputation and professional nature, a member of the National Academy of Arbitrators, and an individual whom the Director has determined to be willing and available to serve. If, within 7 days after the list is provided, either of the parties has not selected an individual from the list, the Director shall make the selection within 3 days. CommentsClose CommentsPermalink





‘(3) The arbitration board shall give the parties a full and fair hearing, including an opportunity to present evidence in support of their claims, and an opportunity to present their case in person, by counsel, or by other representative as they may elect. The hearing shall be concluded no more than 40 days after the arbitration board is established. CommentsClose CommentsPermalink





‘(4) No more than 7 days after the hearing is concluded, each party shall submit to the arbitration board 2 offer packages, each of which packages shall specify the terms of a proposed final agreement. CommentsClose CommentsPermalink





‘(5) If no agreement is reached within 7 days after the last day date for the submission of an offer package under paragraph (4), each party shall submit to the arbitration board a single final offer package specifying the terms of a proposed final agreement. CommentsClose CommentsPermalink





‘(6) No later than 3 days after the submission of the final offer packages under paragraph (5), the arbitration board shall select 1 of those packages as its tentative award, subject to paragraph (7). CommentsClose CommentsPermalink





‘(7)(A) The arbitration board may not select a final offer package under paragraph (6) unless it satisfies each of the following: CommentsClose CommentsPermalink





‘(i) The offer complies with the requirements of sections 101(c) and 1003(a). CommentsClose CommentsPermalink





‘(ii) The offer takes into account the current financial condition of the Postal Service. CommentsClose CommentsPermalink





‘(iii) The offer takes into account the long-term financial condition of the Postal Service. CommentsClose CommentsPermalink





‘(B)(i) If the board unanimously determines, based on clear and convincing evidence presented during the hearing under paragraph (3), that neither final offer package satisfies the conditions set forth in subparagraph (A), the board shall by majority vote-- CommentsClose CommentsPermalink





‘(I) select the package that best meets such conditions; and CommentsClose CommentsPermalink





‘(II) modify the package so selected to the minimum extent necessary to satisfy such conditions. CommentsClose CommentsPermalink





‘(ii) If modification (as described in subparagraph (B)(i)(II)) is necessary, the board shall have an additional 7 days to render its tentative award under this subparagraph. CommentsClose CommentsPermalink





‘(8) The parties may negotiate a substitute award to replace the tentative award selected under paragraph (6) or rendered under paragraph (7) (as the case may be). If no agreement on a substitute award is reached within 10 days after the date on which the tentative award is so selected or rendered, the tentative award shall become final. CommentsClose CommentsPermalink





‘(9) The arbitration board shall review any substitute award negotiated under paragraph (8) to determine if it satisfies the conditions set forth in paragraph (7)(A). If the arbitration board, by a unanimous vote taken within 3 days after the date on which the agreement on the substitute award is reached under paragraph (8), determines that the substitute award does not satisfy such conditions, the tentative award shall become final. In the absence of a vote, as described in the preceding sentence, the substitute agreement shall become final. CommentsClose CommentsPermalink





‘(10) If, under paragraph (5), neither party submits a final offer package by the last day allowable under such paragraph, the arbitration board shall develop and issue a final award no later than 20 days after such last day. CommentsClose CommentsPermalink





‘(11) A final award or agreement under this subsection shall be conclusive and binding upon the parties. CommentsClose CommentsPermalink





‘(12) Costs of the arbitration board and mediation shall be shared equally by the Postal Service and the bargaining representative. CommentsClose CommentsPermalink





‘(d) In the case of a bargaining unit whose recognized collective-bargaining representative does not have an agreement with the Postal Service, if the parties fail to reach agreement within 90 days after the commencement of collective bargaining, a mediator shall be appointed in accordance with the provisions of subsection (b), unless the parties have previously agreed to another procedure for a binding resolution of their differences. If the parties fail to reach agreement within 180 days after the commencement of collective bargaining, an arbitration board shall be established to provide conclusive and binding arbitration in accordance with the provisions of subsection (c).’. CommentsClose CommentsPermalink

Subtitle B--Postal Service Workers’ Compensation Reform CommentsClose CommentsPermalink

SEC. 311. SENSE OF CONGRESS.

It is the sense of Congress that--

(1) the Postal Service should develop and manage a program to pay compensationPOSTAL SERVICE WORKERS’ COMPENSATION REFORM.

(a) In General- Effective 12 months after the triggering date of this section (as defined in subsection (e)(2)), section 1005 is amended by striking subsection (c) and inserting the following: CommentsClose CommentsPermalink





‘(c)(1) For purposes of this subsection-- CommentsClose CommentsPermalink





‘(A) the term ‘postal employee’ means an officer or employee of the Postal Service or the former Post Office Department; CommentsClose CommentsPermalink





‘(B) the term ‘retirement age’ has the meaning given such term under section 216(l)(1) of the Social Security Act; and CommentsClose CommentsPermalink





‘(C) the term ‘appropriate committees of Congress’ means-- CommentsClose CommentsPermalink





‘(i) the Committee on Oversight and Government Reform of the House of Representatives; and CommentsClose CommentsPermalink





‘(ii) the Committee on Homeland Security and Governmental Affairs of the Senate. CommentsClose CommentsPermalink





‘(2) The Postal Service shall design and administer a program for the payment of benefits for the disability or death of an officer or employee of the Postal Service which results from anindividual resulting from personal injury sustained while in the performance of duty;(2) such program should include ansuch individual’s duties as a postal employee. CommentsClose CommentsPermalink





‘(3) The program under this subsection-- CommentsClose CommentsPermalink





‘(A) shall be designed by the Postal Service in consultation with appropriate employee representatives; CommentsClose CommentsPermalink





‘(B) shall not provide for any amount payable to a disabled postal employee to be augmented on the basis of number of dependents; and CommentsClose CommentsPermalink





‘(C) shall include provisions for automatic transition to retirement and provide a, upon attainment of retirement pension based on the average salary of the officer or employee, determined as if such officer or employee had continuedage, to benefits involving, coordinated with, or otherwise determined by reference to retirement benefits.’. CommentsClose CommentsPermalink





(b) Recommendations- Not later than 6 months after the triggering date-- CommentsClose CommentsPermalink





(1) the Office of Personnel Management shall submit to the appropriate committees of Congress recommendations for any legislation or administrative actions which the Office considers necessary to carry out the purposes of this section with respect to any matter within the jurisdiction of the Office, including any amendments which may be necessary with respect to chapter 87 or 89 of title 5, United States Code; and CommentsClose CommentsPermalink





(2) the Postal Service shall submit to the appropriate committees of Congress recommendations for any legislation which the Postal Service considers necessary to carry out the purposes of this section with respect to any matter within the jurisdiction of the Postal Service. CommentsClose CommentsPermalink





(c) Notification Requirements- Not later than 9 months after the triggering date, the Postal Service shall submit to the appropriate committees of Congress and shall cause to be published in the Federal Register a description of the program proposed by the Postal Service for implementation undersection 1005(c) of title 39, United States Code, as amended by subsection (a). Included in the notification provided under the preceding sentence shall be-- CommentsClose CommentsPermalink





(1) a detailed statement of the benefits to be offered and the persons eligible to receive basic pay from the date of injury to the date of retirement; and(3) officers or employees of the Postal Service receiving compensation for a disability from an injury sustained while in the performance of duty should be transitioned to the programthose benefits; CommentsClose CommentsPermalink





(2) provisions to ensure an orderly transition to the system proposed to be implemented; and CommentsClose CommentsPermalink





(3) such other information as the Postal Service considers appropriate. CommentsClose CommentsPermalink





(d) Commencement Date- The program undersection 1005(c) of title 39, United States Code, as amended by this section-- CommentsClose CommentsPermalink





(1) shall begin to operate on such date as the Postmaster General shall determine, except that such date shall be a date occurring-- CommentsClose CommentsPermalink





(A) not earlier than 12 months after the triggering date; and CommentsClose CommentsPermalink





(B) not later than 24 months after the triggering date; and CommentsClose CommentsPermalink





(2) shall apply with respect to amounts payable for periods beginning on or after the date on which the program begins to operate, irrespective of date of the disability or death to which such amounts relate. CommentsClose CommentsPermalink





(e) Condition Precedent- CommentsClose CommentsPermalink





(1) IN GENERAL- The preceding provisions of this section shall not become effective until the date on which a Postal Service Financial Responsibility and Management Assistance Authority (established under section 202)-- CommentsClose CommentsPermalink





(A) makes a written determination that conditions warrant their implementation; and CommentsClose CommentsPermalink





(B) submits such written determination to the Postal Service, the Office of Personnel Management, and the appropriate committees of Congress (within the meaning of the amendment made by subsection (a)). CommentsClose CommentsPermalink





(2) TRIGGERING DATE- For purposes of this section, the term ‘triggering date of this section’ or ‘triggering date’ means the date described in paragraph (1). CommentsClose CommentsPermalink

TITLE IV--POSTAL SERVICE REVENUE CommentsClose CommentsPermalink

SEC. 401. ADEQUACY, EFFICIENCY, AND FAIRNESS OF POSTAL RATES.

(a) In General- Paragraph (1) of sSection 3622(d) is amended-- CommentsClose CommentsPermalink





(1) in paragraph (1)-- CommentsClose CommentsPermalink





(A) by redesignating subparagraphs (B) through (E) as subparagraph (D) through (G), respectively; and CommentsClose CommentsPermalink





(2B) by inserting after subparagraph (A) the following: CommentsClose CommentsPermalink





‘(B) subject to the limitation under subparagraph (A), establish postal rates to fulfill the requirement that each market-dominant class, product, and type of mail service (except for an experimental product or service) bear the direct and indirect postal costs attributable to such class, product, or type through reliably identified causal relationships plus that portion of all other costs of the Postal Service reasonably assignable to such class, product, or type; CommentsClose CommentsPermalink





‘(C) establish postal rates for each group of functionally equivalent agreements between the Postal Service and users of the mail that-- CommentsClose CommentsPermalink





‘(i) cover attributable cost; and CommentsClose CommentsPermalink





‘(ii) improve the net financial position of the Postal Service; CommentsClose CommentsPermalink





for purposes of this subparagraph, a group of functionally equivalent agreements shall consist of all service agreements that are functionally equivalent to each other within the same market-dominant product, but shall not include agreements within an experimental product;’; and CommentsClose CommentsPermalink





(2) by adding at the end the following: CommentsClose CommentsPermalink





‘(4) PRC STUDY- CommentsClose CommentsPermalink





‘(A) IN GENERAL- Within 90 days after the end of the first fiscal year beginning after the date of enactment of the Postal Reform Act of 2011, the Postal Regulatory Commission shall complete a study to determine the quantitative impact of the Postal Service’s excess capacity on the direct and indirect postal costs attributable to any class that bears less than 100 percent of its costs attributable (as described in paragraph (1)(B)), according to the most recent annual determination of the Postal Regulatory Commission under section 3653. CommentsClose CommentsPermalink





‘(B) REQUIREMENTS- The study required under subparagraph (A) shall-- CommentsClose CommentsPermalink





‘(i) be conducted pursuant to regulations that the Postal Regulatory Commission shall prescribe within 90 days after the date of enactment of the Postal Reform Act of 2011, taking into account existing regulations for proceedings to improve the quality, accuracy, or completeness of ratemaking information under section 3652(e)(2) in effect on such date; and CommentsClose CommentsPermalink





‘(ii) for any year in which any class of mail bears less than 100 percent of its costs attributable (as described in paragraph (1)(B)), be updated annually by the Postal Service and included in its annual report to the Commission under section 3652, using such methodologies as the Commission shall by regulation prescribe. CommentsClose CommentsPermalink





‘(5) ADDITIONAL RATES- Starting not earlier than 12 months and not later than 18 months after the date on which the first study described in paragraph (4) is completed, and at least once in each subsequent 12-month period, the Postal Service shall establish postal rates for each loss-making class of mail to eliminate such losses (other than those caused by the Postal Service’s excess capacity) by exhausting all unused rate authority as well as maximizing incentives to reduce costs and increase efficiency; with--‘(i) t, subject to the following: CommentsClose CommentsPermalink





‘(A) The term ‘loss-making’, as used in this paragraph with respect to a class of mail, meanings a class of mail that bears less than 100 percent of its costs attributable (as described in subparagraph paragraph (1)(B)), according to the most recent annual determination of the Postal Regulatory Commission under section 3653; and‘(ii) unused rate authority, adjusted to account for the quantitative effect of excess capacity on the costs attributable of the class (as described in paragraph (1)(C)). CommentsClose CommentsPermalink





‘(B) Unused rate authority shall be annually increased by 52 percent for each class of mail that boreears less than 90 percent of its costs attributable (as described in paragraph (1)(B)), according to the most annual determination by the Postal Regulatory Commission under section 3653recent annual determination of the Postal Regulatory Commission under section 3653, adjusted to account for the quantitative effect of excess capacity on the costs attributable of the class (as described in paragraph (1)(C)), with such increase in unused rate authority to take effect 30 days after issuance of such Commission determination;the date that the Commission issues such determination.’. CommentsClose CommentsPermalink





(b) Conforming Amendment- Subparagraph (A) of section 3622(c)(10) is amended to read as follows: CommentsClose CommentsPermalink





‘(A) improve the net financial position of the Postal Service through reducing Postal Service costs or increasing the overall contribution to the institutional costs of the Postal Service; and’. CommentsClose CommentsPermalink





(c) Exception- Section 3622(d) is amended by adding at the end the following:‘(4fter paragraph (5) (as added by subsection (a)(2)) the following: CommentsClose CommentsPermalink





‘(6) EXCEPTION- The requirements of paragraph (1)(B) shall not apply to a market-dominant product for which a substantial portion of the product’s mail volume consists of inbound international mail with terminal dues rates determined by the Universal Postal Union (and not by bilateral agreements or other arrangements).’. CommentsClose CommentsPermalink

SEC. 402. REPEAL OF RATE PREFERENCES FOR QUALIFIED POLITICAL COMMITTEES.

Subsection (e) of section 3626 is repealed. CommentsClose CommentsPermalink

SEC. 403. RATE PREFERENCES FOR NONPROFIT ADVERTISING.

(a) Provisions Relating to Former Section 4358(f)- Section 3626(a)(5) is amended by adding at the end the following: ‘Notwithstanding any other provision of this paragraph, the percentage specified in the preceding sentence shall be increased by an additional 52 percentage points as of the first day of each calendar year beginning at least 3 years after the date of the enactment of the Postal Reform Act of 2011, until such percentage reaches 980 percent.’. CommentsClose CommentsPermalink





(b) Provisions Relating to Former Section 4452 (b) and (c)- Section 3626(a)(6) is amended by inserting after subparagraph (C) the following (as a flush left sentence): CommentsClose CommentsPermalink





‘Notwithstanding any other provision of this paragraph, the percentage specified in subparagraph (A) shall be increased by an additional 52 percentage points as of the first day of each calendar year beginning at least 3 years after the date of the enactment of the Postal Reform Act of 2011, until such percentage reaches 980 percent.’. CommentsClose CommentsPermalink

SEC. 404. STREAMLINED REVIEW OF QUALIFYING SERVICE AGREEMENTS FOR COMPETITIVE PRODUCTS.

Section 3633 is amended by adding at the end the following: CommentsClose CommentsPermalink





‘(c) Streamlined Review- Within 90 days after the date of the enactment of this subsection, after notice and opportunity for public comment, the Postal Regulatory Commission shall promulgate (and may from time to time thereafter revise) regulations for streamlined after-the-fact review of new agreements between the Postal Service and users of the mail that provide rates not of general applicability for competitive products, and are functionally equivalent to existing agreements that have collectively covered attributable costs and collectively improved the net financial position of the Postal Service. Streamlined review will be concluded within 5 working days after the agreement is filed with the Commission and shall be limited to approval or disapproval of the agreement as a whole based on the Commission’s determination of its functional equivalence. Agreements not approved may be resubmitted without prejudice under section 3632(b)(3).’. CommentsClose CommentsPermalink

SEC. 405. SUBMISSION OF SERVICE AGREEMENTS FOR STREAMLINED REVIEW.

Section 3632(b) is amended-- CommentsClose CommentsPermalink





(1) by redesignating paragraph (4) as paragraph (5); and CommentsClose CommentsPermalink





(2) by inserting after paragraph (3) the following: CommentsClose CommentsPermalink





‘(4) RATES FOR STREAMLINED REVIEW- In the case of rates not of general applicability for competitive products that the Postmaster General considers eligible for streamlined review under section 3633(c), the Postmaster General shall cause each agreement to be filed with the Postal Regulatory Commission by such date, on or before the effective date of any new rate, as the Postmaster General considered appropriate.’. CommentsClose CommentsPermalink

SEC. 406. TRANSPARENCY AND ACCOUNTABILITY FOR SERVICE AGREEMENTS.

Section 3632(b), as amended by section 405, is amended by adding at the end the following:‘(6)(A53 is amended-- CommentsClose CommentsPermalink





(1) by redesignating subsections (c) through (e) as subsections (d) through (f), respectively; and CommentsClose CommentsPermalink





(2) by inserting after subsection (b) the following: CommentsClose CommentsPermalink





‘(c) Each annual written determination of the Commission under section 3653 shall include the following written determination of the Commission under section 3653 shall include written determinations, fs: CommentsClose CommentsPermalink





‘(1) Whether each product covered its costs, and if it did not, the determination shall state that such product is in noncompliance under section 3653(c). CommentsClose CommentsPermalink





‘(2) For each group of functionally equivalent agreements between the Postal Service and users of the mail, whether it--‘(i) covered fulfilled requirements to-- CommentsClose CommentsPermalink





‘(A) cover attributable costs; and CommentsClose CommentsPermalink





‘(ii) improvedB) improve the net financial position of the Postal Service. CommentsClose CommentsPermalink





‘(B3) Any group of functionally equivalent agreements (as referred to in subparagraph (AB)) not meeting clauses (i) and (ii) of subparagraph (Asubparagraphs (A) and (B) of paragraph (2) shall be determined to be in noncompliance under section 3653(c).‘(C) For purposes of this paragraphthis subsection. CommentsClose CommentsPermalink





‘(4) For purposes of this subsection, a group of functionally equivalent agreements (as referred to in subparagraph (Aparagraph (2)) shall consist of all service agreements that are functionally equivalent to each other within the same market-dominant or competitive product, but shall not include agreements within an experimental product.’. CommentsClose CommentsPermalink

SEC. 407. NONPOSTAL SERVICES.

(a) Nonpostal Services- CommentsClose CommentsPermalink





(1) IN GENERAL- Part IV is amended by adding after chapter 36 the following: CommentsClose CommentsPermalink

‘CHAPTER 37--NONPOSTAL SERVICES

‘Sec. CommentsClose CommentsPermalink





‘3701. Purpose. CommentsClose CommentsPermalink





‘3702. Definitions. CommentsClose CommentsPermalink





‘3703. Postal Service advertising program. CommentsClose CommentsPermalink





‘3704. Postal Service program for State governments. CommentsClose CommentsPermalink





‘3705. Postal Service program for other government agencies. CommentsClose CommentsPermalink





‘3706. Transparency and accountability for nonpostal services. CommentsClose CommentsPermalink

‘Sec. 3701. Purpose

‘This chapter is intended to enable the Postal Service to increase its net revenues through specific nonpostal products and services that are expressly authorized by this chapter. Postal Service revenues and expenses under this chapter shall be funded through the Postal Service Fund. CommentsClose CommentsPermalink

‘Sec. 3702. Definitions

‘As used in this chapter-- CommentsClose CommentsPermalink





‘(1) the term ‘nonpostal services’ is limited to services offered by the Postal Service that are expressly authorized by this chapter and are not postal products or services; CommentsClose CommentsPermalink





‘(2) the term ‘Postal Service advertising program’ means a program, managed by the Postal Service, by which the Postal Service receives revenues from entities which advertise at Postal Service facilities and on Postal Service vehicles; CommentsClose CommentsPermalink





‘(3) the term ‘Postal Service program for State government services’ means a program, managed by the Postal Service, by which the Postal Service receives revenue from State governments (including their agencies) which provide servicesfor providing services on their behalf at Postal Service facilities; CommentsClose CommentsPermalink





‘(4) the term ‘attributable costs’ has the same meaning as is given such term in section 3631; and CommentsClose CommentsPermalink





‘(5) the term ‘year’ means a fiscal year. CommentsClose CommentsPermalink

‘Sec. 3703. Postal Service advertising program

‘Notwithstanding any other provision of this title, the Postal Service may establish and manage a program that allows entities to advertise at Postal Service facilities and on Postal Service vehicles. Such a program shall be subject to the following requirements: CommentsClose CommentsPermalink





‘(1) The Postal Service shall at all times ensure advertising it permits is consistent with the integrity of the Postal Service. CommentsClose CommentsPermalink





‘(2) Any advertising program is required to cover a minimum of 200 percent of its attributable costs in each year. CommentsClose CommentsPermalink





‘(3) All advertising expenditures and revenues are subject to annual compliance determination (including remedies for noncompliance) applicable to nonpostal products. CommentsClose CommentsPermalink





‘(4) Total advertising expenditures and revenues must be disclosed in Postal Service Annual Rannual reports. CommentsClose CommentsPermalink

‘Sec. 3704. Postal Service program for State governments

‘(a) In General- Notwithstanding any other provision of this title, the Postal Service may establish a program to provide services for agencies of State governments within the United States, but only if such services-- CommentsClose CommentsPermalink





‘(1) shall provide enhanced value to the public, such as by lowering the cost or raising the quality of such services or by making such services more accessible; CommentsClose CommentsPermalink





‘(2) do not interfere with or detract from the value of postal services, including-- Comments