[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3076 Placed on Calendar Senate (PCS)]
<DOC>
Calendar No. 266
117th CONGRESS
2d Session
H. R. 3076
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
February 8 (legislative day, February 3), 2022
Received; read the first time
February 9, 2022
Read the second time and placed on the calendar
_______________________________________________________________________
AN ACT
To provide stability to and enhance the services of the United States
Postal Service, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Postal Service
Reform Act of 2022''.
(b) Table of Contents.--The table of contents of this Act is as
follows:
Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
TITLE I--POSTAL SERVICE FINANCIAL REFORMS
Sec. 101. Postal Service Health Benefits Program.
Sec. 102. USPS Fairness Act.
Sec. 103. Nonpostal services.
TITLE II--POSTAL SERVICE OPERATIONAL REFORMS
Sec. 201. Performance targets and transparency.
Sec. 202. Integrated delivery network.
Sec. 203. Review of Postal Service cost attribution guidelines.
Sec. 204. Rural newspaper sustainability.
Sec. 205. Funding of Postal Regulatory Commission.
Sec. 206. Flats operations study and reform.
Sec. 207. Reporting requirements.
Sec. 208. Postal Service transportation selection policy revisions.
Sec. 209. USPS Inspector General oversight of Postal Regulatory
Commission.
TITLE III--SEVERABILITY
Sec. 301. Severability.
SEC. 2. DEFINITIONS.
(a) Commission.--In this Act, the term ``Commission'' means the
Postal Regulatory Commission.
(b) Terms Defined in Title 39, United States Code.--In this Act,
the terms ``competitive product'', ``market-dominant product'', and
``Postal Service'' have the meanings given those terms in section 102
of title 39, United States Code.
TITLE I--POSTAL SERVICE FINANCIAL REFORMS
SEC. 101. POSTAL SERVICE HEALTH BENEFITS PROGRAM.
(a) Establishment.--
(1) In general.--Chapter 89 of title 5, United States Code,
is amended by inserting after section 8903b the following:
``Sec. 8903c. Postal Service Health Benefits Program
``(a) Definitions.--In this section--
``(1) the term `covered Medicare individual' means an
individual who is entitled to benefits under Medicare part A,
but excluding an individual who is eligible to enroll under
such part under section 1818 or 1818A of the Social Security
Act (42 U.S.C. 1395i-2, 1395i-2a);
``(2) the term `initial contract year' means the contract
year beginning in January of 2025;
``(3) the term `initial participating carrier' means a
carrier that enters into a contract with the Office to
participate in the Program during the initial contract year;
``(4) the term `Medicare part A' means part A of title
XVIII of the Social Security Act (42 U.S.C. 1395c et seq.);
``(5) the term `Medicare part B' means part B of title
XVIII of the Social Security Act (42 U.S.C. 1395j et seq.);
``(6) the term `Office' means the Office of Personnel
Management;
``(7) the term `Postal Service' means the United States
Postal Service;
``(8) the term `Postal Service annuitant' means an
annuitant enrolled in a health benefits plan under this chapter
whose Government contribution is required to be paid under
section 8906(g)(2);
``(9) the term `Postal Service employee' means an employee
of the Postal Service enrolled in a health benefits plan under
this chapter whose Government contribution is paid by the
Postal Service;
``(10) the term `Postal Service Medicare covered annuitant'
means an individual who--
``(A) is a Postal Service annuitant; and
``(B) is a covered Medicare individual;
``(11) the term `Program' means the Postal Service Health
Benefits Program established under subsection (c) within the
Federal Employees Health Benefits Program;
``(12) the term `Program plan' means a health benefits plan
offered under the Program; and
``(13) the definitions set forth in section 8901 shall
apply, and for the purposes of applying such definitions in
carrying out this section, a Postal Service employee and Postal
Service annuitant shall be treated in the same manner as an
employee and an annuitant (as those terms are defined in
paragraphs (1) and (3), respectively, of section 8901),
consistent with the requirements of this section.
``(b) Application.--The requirements under this section shall--
``(1) apply to the initial contract year and each contract
year thereafter; and
``(2) supersede any other provision of this chapter
inconsistent with such requirements, as determined by the
Office.
``(c) Establishment of the Postal Service Health Benefits
Program.--
``(1) In general.--
``(A) Establishment.--The Office shall establish
the Postal Service Health Benefits Program within the
Federal Employees Health Benefits Program under this
chapter, under which the Office may contract with
carriers to offer health benefits plans as described
under this section.
``(B) Applicability of chapter requirements to
contracts.--Except as otherwise provided in this
section, any contract described in subparagraph (A)
shall be consistent with the requirements of this
chapter for contracts under section 8902 with carriers
to offer health benefits plans other than under this
section.
``(C) Program plans and participation.--The Program
shall--
``(i) to the greatest extent practicable--
``(I) with respect to each plan
provided by a carrier under this
subchapter in which the total
enrollment includes, in the contract
year beginning in January 2023, 1,500
or more enrollees who are Postal
Service employees or Postal Service
annuitants, include a plan offered by
that carrier with equivalent benefits
and cost-sharing requirements as
provided under paragraph (2), except
that the Director of the Office may
exempt any comprehensive medical plan
from this requirement; and
``(II) include plans offered by any
other carrier determined appropriate by
the Office;
``(ii) provide for enrollment in Program
plans of Postal Service employees and Postal
Service annuitants, in accordance with
subsection (d);
``(iii) provide for enrollment in a Program
plan as an individual, for self plus one, or
for self and family; and
``(iv) not provide for enrollment in a
Program plan of an individual who is not a
Postal Service employee or Postal Service
annuitant (except as a member of family of such
an employee or annuitant or as provided under
paragraph (4)).
``(2) Coverage with equivalent benefits and cost-sharing.--
In the initial contract year, the Office shall ensure that each
carrier participating in the Program provides under the Program
plans offered by the carrier benefits and cost-sharing
requirements that are equivalent to the benefits and cost-
sharing requirements under the health benefits plans offered by
the carrier under this chapter that are not Program plans,
except that prescription drug benefits and cost-sharing
requirements may differ between the Program plans and other
health benefits plans offered by the carrier under this chapter
to the extent needed to integrate the Medicare part D
prescription drug benefits coverage required under subsection
(h)(2).
``(3) Applicability of federal employees health benefits
program requirements.--Except as otherwise set forth in this
section, the provisions of this chapter applicable to health
benefits plans offered by carriers under section 8903 or 8903a
shall apply to plans offered under the Program.
``(4) Application of continuation coverage.--In accordance
with rules established by the Office, section 8905a shall apply
to health benefits plans offered under this section in the same
manner as such section applies to other health benefits plans
offered under this chapter.
``(d) Election of Coverage.--Each Postal Service employee and
Postal Service annuitant who elects to receive health benefits coverage
under this chapter--
``(1) shall be subject to the requirements of this section;
and
``(2) may not enroll in any other health benefits plan
offered under any other section of this chapter.
``(e) Requirement of Medicare Enrollment for Certain Annuitants and
Their Family Members.--
``(1) Medicare covered annuitants.--Except as provided
under paragraph (3), a Postal Service Medicare covered
annuitant may not enroll in a Program plan unless the annuitant
is entitled to benefits under Medicare part A and enrolled in
Medicare part B.
``(2) Medicare covered family members.--Except as provided
under paragraph (3), in the case of a Postal Service annuitant
who is entitled to benefits under Medicare part A and required
under this subsection to enroll in Medicare part B to enroll
under the Program, if a member of family of such Postal Service
annuitant is a covered Medicare individual, that member of
family may not enroll under the Program as a member of family
of the Postal Service annuitant unless that member of family is
entitled to benefits under Medicare part A and enrolled in
Medicare part B.
``(3) Exceptions.--
``(A) In general.--The requirements under
paragraphs (1) and (2), as applicable, shall not apply
with respect to an individual in the following cases:
``(i) Current postal service annuitants.--
The individual, as of January 1, 2025, is a
Postal Service annuitant who is not both
entitled to benefits under Medicare part A and
enrolled in Medicare part B.
``(ii) Current employees aged 64 and
over.--The individual, as of January 1, 2025,
is a Postal Service employee and is at least 64
years of age.
``(iii) Postal service medicare covered
annuitants and family members residing
abroad.--For any contract year with respect to
which the individual is a Postal Service
Medicare covered annuitant or a member of
family of a Postal Service Medicare covered
annuitant and resides outside the United States
(which includes the States, the District of
Columbia, the Commonwealth of Puerto Rico, the
Virgin Islands, Guam, American Samoa, and the
Northern Mariana Islands), provided that the
individual demonstrates such residency to the
Postal Service in accordance with regulations
issued by the Postal Service.
``(iv) Postal service medicare covered
annuitants and family members enrolled under va
coverage.--The individual--
``(I) is a Postal Service Medicare
covered annuitant or a member of family
of a Postal Service Medicare covered
annuitant; and
``(II) is enrolled in health care
benefits provided by the Department of
Veterans Affairs under subchapter II of
chapter 17 of title 38, United States
Code.
``(v) Postal service medicare covered
annuitants and family members eligible for ihs
health services.--The individual--
``(I) is a Postal Service Medicare
covered annuitant or a member of family
of a Postal Service Medicare covered
annuitant; and
``(II) is eligible for health
services from the Indian Health
Service.
``(B) Regulations for va and ihs exceptions.--Not
later than 1 year after the date of enactment of this
section, the Office shall, in consultation with the
Secretary of Veterans Affairs, the Secretary of Health
and Human Services, and the Postmaster General,
promulgate any regulations necessary to implement
clauses (iv) and (v) of subparagraph (A).
``(C) List of individuals residing abroad.--The
Postal Service shall provide a list of individuals who
satisfy the exception under subparagraph (A)(iii) to
the Office.
``(4) Process for information collection and
dissemination.--The Postal Service and the Office, in
consultation with the Social Security Administration and the
Centers for Medicare & Medicaid Services, shall establish a
process that will enable the Postal Service to timely inform
Postal Service employees, Postal Service annuitants, and
members of family of such employees and annuitants of the
requirements described in paragraphs (1) and (2) in order to be
eligible to enroll in Program plans under this section.
``(f) Transitional Open Season.--
``(1) Definitions.--In this subsection--
``(A) the term `current option', with respect to an
individual, means the option under a plan under this
chapter in which the individual is enrolled during the
contract year preceding the initial contract year; and
``(B) the term `current plan', with respect to an
individual, means the plan under this chapter in which
the individual is enrolled during the contract year
preceding the initial contract year.
``(2) Automatic enrollment.--
``(A) In general.--Subject to subparagraphs (B) and
(C), in the case of an individual who is a Postal
Service employee or Postal Service annuitant eligible
to enroll in a Program plan under subsection (d), who
is enrolled in a current plan, and who does not enroll
in a Program plan during the open season that
immediately precedes the initial contract year, the
Office shall automatically enroll the individual, as of
the start of the initial contract year, in a Program
plan offered by the carrier of the individual's current
plan.
``(B) Carriers offering multiple program plans or
options.--If the carrier of the current plan of an
individual described in subparagraph (A) offers more
than 1 Program plan or option, the Office, in carrying
out subparagraph (A), shall automatically enroll the
individual in the plan and option that provide coverage
with equivalent benefits and cost sharing, as described
in subsection (c)(2), to the individual's current plan
and current option.
``(C) Carriers not offering program plans.--If the
carrier of the current plan of an individual described
in subparagraph (A) does not offer a Program plan, the
Office, in carrying out subparagraph (A), shall
automatically enroll the individual in the lowest-cost
nationwide plan option within the Program that is not a
high deductible health plan and does not charge an
association or membership fee.
``(g) OPM Regulations.--
``(1) In general.--Not later than 1 year after the date of
enactment of this section, the Director of the Office shall
issue regulations to carry out this section.
``(2) Consultation.--In issuing regulations under paragraph
(1), the Director of the Office shall consult, as necessary,
with the Secretary of Health and Human Services, the Secretary
of Veterans Affairs, the Commissioner of Social Security, and
the Postmaster General.
``(3) Contents.--The regulations issued under paragraph (1)
shall include--
``(A) any provisions necessary to implement this
section;
``(B) a process under which Postal Service
annuitants and affected family members are timely
informed of the enrollment requirements and may
request, in writing, any additional enrollment
information;
``(C) provisions under which a Postal Service
employee or Postal Service annuitant enrolled under the
Program may request a belated change of plan and may be
prospectively enrolled in the plan of the employee's or
annuitant's choice; and
``(D) provisions for individuals to cancel coverage
under the Program in writing to the Postal Service
because the individuals choose not to enroll in, or to
disenroll from, Medicare part B.
``(h) Medicare Coordination.--
``(1) In general.--The Office shall require each Program
plan to provide benefits for covered Medicare individuals
pursuant to a coordination of benefits method approved by the
Office.
``(2) Medicare part d prescription drug benefits.--The
Office shall require each Program plan to provide prescription
drug benefits to any Postal Service annuitant and member of
family of such annuitant who is a part D eligible individual
(as defined in section 1860D-1(a)(3)(A) of the Social Security
Act) through employment-based retiree health coverage (as
defined in section 1860D-22(c)(1) of such Act) through--
``(A) a prescription drug plan (as defined in
section 1860D-41(a)(14) of such Act); or
``(B) contracts between such a Program plan and PDP
sponsor, as defined in section 1860D-41(a)(13) of such
Act, of such a prescription drug plan.
``(i) Postal Service Contribution.--
``(1) In general.--Subject to subsection (k), for purposes
of applying section 8906(b) to the Postal Service, the weighted
average shall be calculated in accordance with paragraphs (2)
and (3).
``(2) Weighted average calculation.--Not later than October
1 of each year (beginning with 2024), the Office shall
determine the weighted average of the rates established
pursuant to subsection (c)(2) for Program plans that will be in
effect during the following contract year with respect to--
``(A) enrollments for self only;
``(B) enrollments for self plus one; and
``(C) enrollments for self and family.
``(3) Weighting in computing rates for initial contract
year.--In determining such weighted average of the rates for
the initial contract year, the Office shall take into account
(for purposes of section 8906(a)(2)) the enrollment of Postal
Service employees and annuitants in the health benefits plans
offered by the initial participating carriers as of March 31,
2023.
``(4) Payment of late enrollment penalties.--The Postal
Service may direct the Office to pay the amounts required by an
agreement between the United States Postal Service and the
Secretary of the Department of Health and Human Services under
section 1839(e)(1) of the Social Security Act (42 U.S.C.
1395r(e)(1)) from the Postal Service Retiree Health Benefits
Fund established under section 8909a until depleted and
thereafter shall pay such amounts from the Postal Service Fund
established under section 2003 of title 39.
``(j) Reserves.--
``(1) Separate reserves.--
``(A) In general.--The Office shall ensure that
each Program plan maintains separate reserves
(including a separate contingency reserve) with respect
to the enrollees in the Program plan in accordance with
section 8909.
``(B) Applicability of section 8909 to contingency
reserves.--All provisions of section 8909 relating to
contingency reserves shall apply to contingency
reserves of Program plans in the same manner as to the
contingency reserves of other plans under this chapter,
except to the extent that such provisions are
inconsistent with the requirements of this subsection.
``(C) References.--For purposes of the Program,
each reference to `the Government' in section 8909
shall be deemed to be a reference to the Postal
Service.
``(D) Amounts to be credited.--The reserves
(including the separate contingency reserve) maintained
by each Program plan shall be credited with a
proportionate amount of the funds in the reserves for
health benefits plans offered by the carrier.
``(2) Discontinuation of program plan.--In applying section
8909(e) relating to a Program plan that is discontinued, the
Office shall credit the separate Postal Service contingency
reserve maintained under paragraph (1) for that plan only to
the separate Postal Service contingency reserves of the Program
plans continuing under this chapter.
``(k) No Effect on Existing Law.--Nothing in this section shall be
construed as affecting section 1005(f) of title 39 regarding
variations, additions, or substitutions to the provisions of this
chapter.
``(l) Health Benefits Education Program.--
``(1) Definition.--In this subsection, the term `navigator'
means an employee of the Postal Service or of a contractor of
the Postal Service who is designated by the Postal Service or
contractor to carry out activities under paragraph (5).
``(2) Establishment.--Not later than 18 months after the
date of enactment of this section, the Postal Service shall
establish a Health Benefits Education Program.
``(3) Requirements.--In carrying out the Health Benefits
Education Program established under paragraph (2), the Postal
Service shall--
``(A) notify Postal Service annuitants and Postal
Service employees about the Postal Service Health
Benefits Program established under subsection (c)(1);
``(B) provide information regarding the Postal
Service Health Benefits Program and the requirements of
this section to Postal Service annuitants and Postal
Service employees, including--
``(i) a description of the health care
options available under such Program;
``(ii) the enrollment provisions of
subsection (d); and
``(iii) the requirement that Postal Service
annuitants and their family members be enrolled
in Medicare under subsection (e);
``(C) respond and provide answers to any inquiry
from such employees and annuitants about the Postal
Service Health Benefits Program, in consultation with
the Office as necessary;
``(D) in consultation with the Centers for Medicare
& Medicaid Services and the Social Security
Administration, provide information to individuals
about enrollment under the Medicare program under title
XVIII of the Social Security Act, and refer individuals
to the Centers for Medicare & Medicaid Services and the
Social Security Administration as necessary for
additional enrollment information; and
``(E) carry out, or provide for through contract or
other arrangement, the activities described in
paragraph (5).
``(4) Information.--
``(A) Information from opm.--The Office shall
timely provide the Postal Service with such information
as necessary to conduct the Health Benefits Education
Program.
``(B) Coordination with opm.--The Postal Service
shall coordinate with the Office, in consultation with
the Centers for Medicare & Medicaid Services and the
Social Security Administration, to obtain and confirm
the accuracy of information as the Postal Service
determines to be necessary to conduct the Health
Benefits Education Program.
``(5) Navigator activities.--
``(A) Activities.--The activities described in this
paragraph, with respect to Program plans and the health
care options available under the Program, are the
following:
``(i) Educational activities for annuitants
and employees of the Postal Service to raise
awareness of the availability of Program plans
and requirements for enrolling in such plans,
including requirements to be entitled to
Medicare part A and enroll in Medicare part B.
``(ii) Distribution of fair and impartial
information concerning enrollment in such
plans.
``(iii) Facilitation of enrollment in such
plans.
``(iv) Provision of information in a manner
that is culturally and linguistically
appropriate to the needs of the population
being served by the Program plans.
``(B) Standards.--
``(i) In general.--The Postal Service shall
establish standards for navigators carrying out
the activities under this paragraph to--
``(I) engage in the navigator
activities described in subparagraph
(A); and
``(II) avoid conflicts of interest.
``(ii) Contents.--The standards established
under clause (i) shall provide that a navigator
may not--
``(I) be a health insurance
carrier; or
``(II) receive any consideration
directly or indirectly from any health
insurance carrier in connection with
the enrollment of any individual in a
Program plan.
``(C) Fair and impartial information and
services.--The Postal Service, in consultation as
necessary with the Office and the Centers for Medicare
& Medicaid Services, shall develop standards to ensure
that information made available by navigators under
this paragraph is fair, accurate, and impartial.
``(6) Regulations.--
``(A) In general.--Not later than 18 months after
the date of enactment of this section, the Postmaster
General shall issue regulations to establish the Health
Benefits Education Program required under this
subsection.
``(B) Contents.--The regulations issued under
subparagraph (A) shall include--
``(i) provisions for the notification of
Postal Service annuitants and Postal Service
employees about the Program, including a
description of the available health benefits
options, including a process for notifying
Postal Service employees who become eligible
for Medicare part B and Postal Service Medicare
covered annuitants about their choices;
``(ii) provisions for notifying Postal
Service annuitants, Postal Service employees,
and their family members of the requirements
under subsection (e) to enroll in Medicare as a
condition of eligibility to enroll in the
Program; and
``(iii) a process, developed in
consultation with the Social Security
Administration, the Centers for Medicare &
Medicaid Services, and the Office, for
addressing any inquiry from Postal Service
annuitants and Postal Service employees about
the Program or Medicare enrollment.''.
(2) Technical and conforming amendments.--
(A) Service benefit plans.--Section 8903(1) of
title 5, United States Code, is amended by striking
``two levels of benefits'' and inserting ``at least 2
levels of benefits for enrollees under this chapter
generally and at least 2 levels of benefits for
enrollees under the Postal Service Health Benefits
Program established under section 8903c''.
(B) Table of sections.--The table of sections for
chapter 89 of title 5, United States Code, is amended
by inserting after the item relating to section 8903b
the following:
``8903c. Postal Service Health Benefits Program.''.
(C) Application to certain postal service
annuitants or family members.--Section 1862(b)(1)(E) of
the Social Security Act (42 U.S.C. 1395y(b)(1)(E)) is
amended by adding at the end the following:
``(iv) Application to certain postal
service annuitants or family members.--Nothing
in this paragraph shall prohibit a group health
plan from determining an individual's
eligibility to enroll in a health benefits plan
offered under the Postal Service Health
Benefits Program under section 8903c of title
5, United States Code, in accordance with
subsection (e) of such section.''.
(b) Coordination With Medicare.--
(1) Part b special enrollment period.--Section 1837 of the
Social Security Act (42 U.S.C. 1395p) is amended by adding at
the end the following new subsection:
``(o)(1) In the case of an individual who--
``(A) as of January 1, 2024, is--
``(i) a Postal Service annuitant who is entitled to
benefits under part A of title XVIII of the Social
Security Act, but excluding an individual who is
eligible to enroll under such part under section 1818
of such Act or 1818A of such Act (42 U.S.C. 1395i-2,
1395i-2a); or
``(ii) a member of family (as defined in section
8901(5) of title 5, United States Code) of a Postal
Service annuitant and is entitled to benefits under
part A of title XVIII of the Social Security Act, but
excluding an individual who is eligible to enroll under
such part under section 1818 of such Act or 1818A of
such Act (42 U.S.C. 1395i-2, 1395i-2a); and
``(B) is not enrolled under this part, the individual may
elect to be enrolled under this part during a special
enrollment period during the 6-month period beginning on April
1, 2024.
``(2) In this subsection, the term `Postal Service annuitant' means
an annuitant enrolled in a health benefits plan under chapter 89 of
title 5, United States Code, whose Government contribution is required
to be paid under section 8906(g)(2) of such title.''.
(2) Technical and conforming amendments.--
(A) Part a enrollment.--Section 1818(c) of the
Social Security Act (42 U.S.C. 1395i-2(c)) is amended,
in the matter preceding paragraph (1), by striking
``(except subsection (f) thereof)'' and inserting
``(except subsections (f) and (o) thereof)''.
(B) Coverage period under part b.--Section 1838 of
the Social Security Act (42 U.S.C. 1395q) is amended by
adding at the end the following:
``(i) Notwithstanding subsection (a), in the case of an individual
who enrolls during the special enrollment period pursuant to section
1837(o), the coverage period shall begin on January 1, 2025.''.
(3) Treatment of part b late enrollment penalty for
individuals enrolling during special enrollment period.--
Section 1839(e) of the Social Security Act (42 U.S.C. 1395r(e))
is amended--
(A) in paragraph (1), by striking ``(as defined in
paragraph (3)(A))'' and by inserting ``(as defined in
paragraph (3)(A)(i)). The Secretary shall enter into an
agreement with the United States Postal Service under
which the United States Postal Service agrees to pay on
a quarterly or other periodic basis to the Secretary
(to be deposited in the Treasury to the credit of the
Federal Supplementary Medical Insurance Trust Fund) an
amount equal to the amount of the part B late
enrollment premium increases with respect to the
premiums for eligible individuals (as defined in
paragraph (3)(A)(ii)).''; and
(B) by amending paragraph (3)(A) to read as
follows:
``(A) The term `eligible individual' means an
individual who is enrolled under this part B and who--
``(i) in the case of an agreement entered
into under the first sentence of paragraph (1),
is within a class of individuals specified in
such agreement; and
``(ii) in the case of an agreement entered
into under the second sentence of paragraph
(1), is so enrolled under this part pursuant to
the special enrollment period under section
1837(o)''.
(4) Part d egwp contracting conforming amendment.--Section
1860D-22(b) of the Social Security Act (42 U.S.C. 1395w-132(b))
is amended by inserting before the period at the end the
following: ``, and shall be applied in a manner to facilitate
the offering of prescription drug benefits under a Program plan
under section 8903c of title 5, United States Code, as required
under subsection (h)(2) of such section, through employment-
based retiree health coverage through--
``(1) a prescription drug plan; or
``(2) contracts between such a Program plan and the PDP
sponsor of such a prescription drug plan.''.
(c) Information Sharing and Dissemination Required for Special
Enrollment Period and Enforcement of Part B Enrollment Requirements.--
(1) Definitions.--In this subsection, the terms ``Medicare
part A'', ``Medicare part B'', ``Office'', ``Postal Service'',
and ``Postal Service annuitant'' have the meanings given those
terms in section 8903c of title 5, United States Code, as added
by subsection (a).
(2) Information sharing by opm.--The Office shall, by
regulation, establish a process for providing such information
as is necessary to the Social Security Administration regarding
Postal Service annuitants (and the family members of such
annuitants) who may be eligible to enroll under Medicare part B
during the special enrollment period described in subsection
(o) of section 1837 of the Social Security Act (42 U.S.C.
1395p), as added by subsection (b), or who may be subject to
the enrollment requirements described in paragraphs (1) and (2)
of section 8903c(e) of title 5, United States Code, as added by
subsection (a).
(3) Information sharing by ssa.--The Social Security
Administration shall provide to the Office and the Postal
Service information regarding whether a Postal Service
annuitant, or a family member of such an annuitant, is entitled
to benefits under Medicare part A and enrolled under Medicare
part B, to assist the Office and the Postal Service in
determining--
(A) which Postal Service annuitants, and family
members of such annuitants, may be eligible to enroll
under Medicare part B during the special enrollment
period described in paragraph (2); and
(B) whether Postal Service annuitants, and family
members of such annuitants, satisfy the enrollment
requirements described in paragraphs (1) and (2) of
section 8903c(e) of title 5, United States Code, as
added by subsection (a).
(d) Funding.--
(1) CMS appropriation.--In addition to amounts otherwise
available, there is appropriated to ``the Centers for Medicare
& Medicaid Services--Program Management Account'', out of any
monies in the Treasury not otherwise appropriated, $7,500,000
for fiscal year 2022, to remain available until expended, for
purposes of carrying out this section, including the amendments
made by this section.
(2) SSA appropriation.--
(A) In general.--In addition to amounts otherwise
available, there is appropriated to the Social Security
Administration, out of any monies in the Treasury not
otherwise appropriated, $16,000,000 for fiscal year
2022, to remain available until the date that is 1 year
after the last day of the special enrollment period
described in subsection (c)(2), for purposes of
carrying out this section, with the exception of
carrying out subsection (c)(3) for the purposes set
forth in subsection (c)(3)(B), including the amendments
made by this section.
(B) Relation to other appropriation.--The amounts
appropriated under subparagraph (A) shall be in
addition to the Social Security Administration's
Limitation on Administrative Expenditure
appropriations.
(3) OPM appropriation.--In addition to amounts otherwise
available, there is appropriated to the Office of Personnel
Management, out of any monies in the Treasury not otherwise
appropriated, $70,500,000 for fiscal year 2022, to remain
available until expended, for purposes of carrying out this
section, including the amendments made by this section.
(4) Funds credited by postal service.--The United States
Postal Service shall deposit an amount equal to the sum of the
amounts appropriated under paragraphs (1), (2), and (3) into
the Treasury as a miscellaneous receipt from the Postal Service
Fund in fiscal year 2022.
(5) Reimbursement for periodic ssa data sharing.--
(A) Inter-agency agreement.--The Commissioner of
Social Security shall enter into an agreement with the
Director of the Office under which the Director pays
the Commissioner from the Postal Service administrative
reserve the full costs (including systems and
administrative costs) of providing the information
described in subsection (c)(3) for the purpose set
forth in subsection (c)(3)(B).
(B) Report to congress.--The Director of the
Office--
(i) shall report the amount paid under
subparagraph (A) annually to the Committee on
Homeland Security and Governmental Affairs of
the Senate and the Committee on Oversight and
Reform of the House of Representatives; and
(ii) may satisfy the requirement under
clause (i) by including the amount paid under
subparagraph (A) in any other annual report
submitted to Congress.
SEC. 102. USPS FAIRNESS ACT.
(a) Short Title.--This section may be cited as the ``USPS Fairness
Act''.
(b) Rational Benefits Funding and Accounting.--
(1) In general.--Section 8909a of title 5, United States
Code, is amended by striking subsection (d) and inserting the
following:
``(d)(1) Not later than June 30, 2026, and by June 30 of each
succeeding year, the Office shall compute, for the most recently
concluded fiscal year, the amount (if any) that Government
contributions required to be paid from the Fund under section
8906(g)(2)(A) exceeded the estimated net claims costs under the
enrollment of the individuals described in section 8906(g)(2)(A).
``(2) Not later than September 30 of each year in which the Office
makes a computation under paragraph (1), the United States Postal
Service shall pay into the Fund the amount (if any) of the excess
computed under such paragraph.
``(e) Any computation required under section 3654(b) of title 39
shall be based on--
``(1) the net present value of the future net claims costs
with respect to--
``(A) current annuitants of the United States
Postal Service as of the end of the fiscal year ending
on September 30 of the relevant reporting year; and
``(B) current employees of the United States Postal
Service who would, as of September 30 of that year--
``(i) be eligible to become annuitants
pursuant to section 8901(3)(A)(i) or (ii); and
``(ii) if they were retired as of that
date, meet the criteria for coverage of
annuitants under section 8905(b);
``(2) economic and actuarial methods and assumptions
consistent with the methods and assumptions used in determining
the Postal surplus or supplemental liability under section
8348(h); and
``(3) any other methods and assumptions, including a health
care cost trend rate, that the Director of the Office
determines to be appropriate.
``(f) After consultation with the United States Postal Service, the
Office shall promulgate any regulations the Office determines necessary
under this subsection.
``(g) For purposes of this section, the term `estimated net claims
costs' shall mean the difference between--
``(1) the sum of--
``(A) the estimated costs incurred by a carrier in
providing health services to, paying for health
services provided to, or reimbursing expenses for
health services provided to, annuitants of the United
States Postal Service and any other persons covered
under the enrollment of such annuitants; and
``(B) an amount of indirect expenses reasonably
allocable to the provision, payment, or reimbursement
described in subparagraph (A), as determined by the
Office; and
``(2) the amount withheld from the annuity of or paid by
annuitants of the United States Postal Service under section
8906.''.
(2) Clerical amendment.--The heading of section 8909a of
title 5, United States Code, is amended by striking ``Benefit''
and inserting ``Benefits''.
(c) Application.--
(1) Cancellation of payments.--Any payment required from
the Postal Service under section 8909a of title 5, United
States Code, as in effect on the day before the date of
enactment of this Act that remains unpaid as of such date of
enactment is canceled.
(2) Effect of this act.--In any determination relating to
the future liability for retiree health benefits of the United
States Postal Service or the Postal Service Retiree Health
Benefits Fund, the Office of Personnel Management shall take
into account the actual and reasonably expected effects of this
Act.
(d) Use of Funds From Sale of Real Property for Certain Payments.--
(1) In general.--Chapter 29 of title 39, United States
Code, is amended by adding at the end the following:
``Sec. 2903. Use of funds from sale of property
``In the event that the Postal Service permanently ceases
operations, any funds derived from the sale of any real property owned
by the Postal Service shall be used to pay any outstanding liability
with respect to the salaries and expenses of any Postal Service
employee. The balance of any remaining funds shall be deposited into
the Postal Service Retiree Health Benefits Fund established under
section 8909a of title 5.''.
(2) Clerical amendment.--The table of sections of such
chapter is amended by adding after the item relating to section
2902 the following new item:
``2903. Use of funds from sale of property.''.
SEC. 103. NONPOSTAL SERVICES.
(a) Nonpostal Services.--
(1) In general.--Part IV of title 39, United States Code,
is amended by adding after chapter 36 the following:
``CHAPTER 37--NONPOSTAL SERVICES
``Sec.
``3701. Purpose.
``3702. Definitions.
``3703. Postal Service program for State governments.
``3704. Postal Service program for other Government agencies.
``3705. Transparency and accountability for nonpostal services.
``Sec. 3701. Purpose
``The purpose of this chapter is to enable the Postal Service to
increase its net revenues through specific nonpostal products and
services that are expressly authorized by this chapter.
``Sec. 3702. Definitions
``In this chapter--
``(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;
``(2) the term `costs attributable' has the meaning given
such term in section 3631;
``(3) the term `year' means a fiscal year;
``(4) the term `local government' means a county,
municipality, city, town, township, local public authority,
school district, special district, intrastate district, council
of governments, or regional or interstate government entity;
``(5) the term `State government' includes the government
of the District of Columbia, the Commonwealth of Puerto Rico,
the United States Virgin Islands, Guam, American Samoa, the
Commonwealth of the Northern Mariana Islands, and any other
territory or possession of the United States;
``(6) the term `tribal government' means the government of
an Indian tribe, as that term is defined in section 4 of the
Indian Self-Determination and Education Assistance Act (25
U.S.C. 5304); and
``(7) the term `United States', when used in a geographical
sense, means the States, the District of Columbia, the
Commonwealth of Puerto Rico, the United States Virgin Islands,
Guam, American Samoa, the Commonwealth of the Northern Mariana
Islands, and any other territory or possession of the United
States.
``Sec. 3703. Postal Service program for State governments
``(a) In General.--Notwithstanding any other provision of this
title, the Postal Service may establish a program to enter into
agreements with an agency of any State government, local government, or
tribal government to provide property or nonpostal services to the
public on behalf of such agencies for non-commercial purposes, but only
if--
``(1) such property or nonpostal services--
``(A) 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;
``(B) do not interfere with or detract from the
value of postal services, including by--
``(i) harming the cost and efficiency of
postal services; and
``(ii) unreasonably restricting access to
postal retail service, such as customer waiting
time and access to parking; and
``(2) such agreements provide a net contribution to the
Postal Service, defined as reimbursement that covers at least
100 percent of the costs attributable to all property and
nonpostal services provided under each relevant agreement in
each year, except that agreements determined to be
substantially similar by the Postal Service with the
concurrence of the Postal Regulatory Commission shall be
reviewed based on their collective revenue and costs
attributable.
``(b) Public Notice.--Not more than 90 days after offering a
service under the program, the Postal Service shall make available to
the public on its website--
``(1) the agreement with the agency regarding such service;
and
``(2) a business plan that describes the specific property
or nonpostal service to be provided, the enhanced value to the
public, and terms of reimbursement to the Postal Service.
``(c) Approval Required.--The Postal Service may not establish the
program under subsection (a) unless the Governors of the Postal Service
approve such program by a recorded vote that is publicly disclosed on
the Postal Service website with a majority of the Governors then in
office voting for approval.
``(d) Confidential Information.--Subsection (b) shall not be
construed as requiring the Postal Service to disclose to the public any
information--
``(1) described in section 410(c); or
``(2) exempt from public disclosure under section 552(b) of
title 5.
``Sec. 3704. Postal Service program for other Government agencies
``The Postal Service may establish a program to provide property
and nonpostal services to other Government agencies within the meaning
of section 411, but only if such program provides a net contribution to
the Postal Service, defined as reimbursement that covers at least 100
percent of the costs attributable for property and nonpostal services
provided by the Postal Service in each year to such agencies.
``Sec. 3705. Transparency and accountability for nonpostal services
``(a) Annual Report to the Commission.--
``(1) In general.--Not later than 90 days after the last
day of each year, the Postal Service shall submit to the Postal
Regulatory Commission a report that analyzes costs, revenues,
rates, and quality of service for each agreement or
substantially similar set of agreements for the provision of
property or nonpostal services under section 3703 or the
program as a whole under section 3704, and any other nonpostal
service authorized under this chapter, using such methodologies
as the Commission may prescribe, and in sufficient detail to
demonstrate compliance with the requirements of this chapter.
``(2) Supporting matter.--A report submitted under
paragraph (1) shall include any nonpublic annex, the working
papers, and any other supporting matter of the Postal Service
and the Inspector General related to the information submitted
in such report.
``(b) Content and Form of Report.--
``(1) In general.--The Postal Regulatory Commission shall,
by regulation, prescribe the content and form of the report
required under subsection (a). In prescribing such regulations,
the Commission shall give due consideration to--
``(A) providing the public with timely, adequate
information to assess compliance;
``(B) avoiding unnecessary or unwarranted
administrative effort and expense on the part of the
Postal Service; and
``(C) protecting the confidentiality of information
that is commercially sensitive or is exempt from public
disclosure under section 552(b) of title 5.
``(2) Revised requirements.--The Commission may, on its own
motion or on request of any interested party, initiate
proceedings to improve the quality, accuracy, or completeness
of Postal Service data required by the Commission if--
``(A) the attribution of costs or revenues to
property, products, or services under this chapter has
become significantly inaccurate or can be significantly
improved;
``(B) the quality of service data provided to the
Commission for a report under this chapter has become
significantly inaccurate or can be significantly
improved; or
``(C) such revisions are, in the judgment of the
Commission, otherwise necessitated by the public
interest.
``(c) Audits.--The Inspector General shall regularly audit the data
collection systems and procedures used in collecting information and
preparing the report required under subsection (a). The results of any
such audit shall be submitted to the Postal Service and the Postal
Regulatory Commission.
``(d) Confidential Information.--
``(1) In general.--If the Postal Service determines that
any document or portion of a document, or other matter, which
it provides to the Postal Regulatory Commission in a nonpublic
annex under this section contains information described in
section 410(c), or exempt from public disclosure under section
552(b) of title 5, the Postal Service shall, at the time of
providing such matter to the Commission, notify the Commission
of its determination, in writing, and describe with
particularity the documents (or portions of documents) or other
matter for which confidentiality is sought and the reasons
therefor.
``(2) Treatment.--Any information or other matter described
in paragraph (1) to which the Commission gains access under
this section shall be subject to paragraphs (2) and (3) of
section 504(g) in the same way as if the Commission had
received notification with respect to such matter under section
504(g)(1).
``(e) Annual Compliance Determination.--
``(1) Opportunity for public comment.--Upon receiving a
report required under subsection (a), the Postal Regulatory
Commission shall promptly--
``(A) provide an opportunity for comment on such
report by any interested party; and
``(B) appoint an officer of the Commission to
represent the interests of the general public.
``(2) Determination of compliance or noncompliance.--Not
later than 90 days after receiving a report required under
subsection (a), the Postal Regulatory Commission shall make a
written determination as to whether the activities carried out
pursuant to this chapter during the applicable year were or
were not in compliance with the provisions of this chapter. For
purposes of this paragraph, any case in which the requirements
for coverage of costs attributable have not been met shall be
considered to be a case of noncompliance. If, with respect to a
year, no instance of noncompliance is found to have occurred,
the determination shall be to that effect. Such determination
of noncompliance shall be included with the annual compliance
determination required under section 3653.
``(3) Noncompliance.--If a timely written determination of
noncompliance is made under paragraph (2), the Postal
Regulatory Commission shall take appropriate action. If the
requirements for coverage of costs attributable specified by
this chapter are not met, the Commission shall, within 60 days
after the determination, prescribe remedial action to restore
compliance as soon as practicable, including the full
restoration of revenue shortfalls during the following year.
The Commission may order the Postal Service to discontinue a
nonpostal service under section 3703 that persistently fails to
meet cost coverage requirements.
``(4) Deliberate noncompliance.--In the case of deliberate
noncompliance by the Postal Service with the requirements of
this chapter, the Postal Regulatory Commission may order, based
on the nature, circumstances, extent, and seriousness of the
noncompliance, a fine (in the amount specified by the
Commission in its order) for each incidence of such
noncompliance. All receipts from fines imposed under this
subsection shall be deposited in the general fund of the
Treasury.
``(f) Regulations Required.--The Postal Regulatory Commission shall
issue such regulations as are necessary to carry out this section.
``(g) Experimental Product Authority.--The Postal Service may
conduct market tests of agreements pursuant to section 3703 and section
3704 of this chapter subject to the same terms and conditions described
in section 3641 of this title. For the purposes of a market test, the
cost coverage requirements in sections 3703 and 3704 of this chapter
shall not apply.''.
(2) Clerical amendment.--The table of chapters for part IV
of title 39, United States Code, is amended by adding after the
item relating to chapter 36 the following:
``37. Nonpostal services.................................... 3701''.
(b) Conforming Amendments.--
(1) Section 404.--Section 404(e) of title 39, United States
Code, is amended in paragraph (2), by inserting after
``subsection'' the following: ``, or any nonpostal products or
services authorized by chapter 37''.
(2) Section 411.--The last sentence of section 411 of title
39, United States Code, is amended by striking ``including
reimbursability'' and inserting ``including reimbursability
within the limitations of chapter 37''.
(3) Treatment of existing nonpostal services.--All
individual nonpostal services, provided directly or through
licensing, that are continued pursuant to section 404(e) of
title 39, United States Code, shall be considered to be
expressly authorized by chapter 37 of such title (as added by
subsection (a)(1)) and shall be subject to the requirements of
section 3705, subsections (a) through (d).
TITLE II--POSTAL SERVICE OPERATIONAL REFORMS
SEC. 201. PERFORMANCE TARGETS AND TRANSPARENCY.
(a) In General.--Subchapter VII of chapter 36 of title 39, United
States Code, is amended by inserting after section 3691 the following:
``Sec. 3692. Performance targets and transparency
``(a) Performance Targets.--Each year, to ensure that mail service
for postal customers meets the service standards for market-dominant
products, established under section 3691, the Postal Service shall--
``(1) not later than 60 days after the beginning of the
fiscal year in which they will apply, establish and provide to
the Postal Regulatory Commission reasonable targets for
performance for each product; and
``(2) provide the previous fiscal year's performance
targets in its Annual Compliance Report to the Postal
Regulatory Commission for evaluation of compliance for each
product.
``(b) Postal Regulatory Commission Determination of Certain
Performance Information.--Not later than 90 days after first receiving
the performance targets under subsection (a)(1), the Postal Regulatory
Commission shall provide to the Postal Service--
``(1) requirements for the Postal Service to publish
nationwide, regional, and local delivery area performance
information in accordance with subsection (c)(2) that--
``(A) are consistent with the organizational
structure of the delivery network of the Postal Service
(including at the District and Area organizational
levels, or the functional equivalents, and, to the
extent practicable, at the U.S. ZIP Code Area level);
``(B) reflect the most granular geographic level of
performance information appropriate for the Postal
Service to publish; and
``(C) includes time period segments for the
published geographic levels to satisfy the publishing
requirements of subparagraphs (A) and (C) of subsection
(c)(2); and
``(2) recommendations for any modifications to the Postal
Service's measurement systems necessary to measure and publish
the performance information under subsection (c)(2) that the
Postal Regulatory Commission deems relevant.
``(c) Public Performance Dashboard.--
``(1) In general.--The Postal Service shall develop and
maintain a publicly available Website with an interactive web-
tool that provides performance information for market-dominant
products that is updated on a weekly basis.
``(2) Performance information.--The performance information
provided for a market-dominant product on the Website shall
include--
``(A) the type of market-dominant product;
``(B) performance information for different
geographic areas, consistent with subsection (b);
``(C) performance information for different time
periods, including annual, quarterly, monthly, and
weekly segments;
``(D) comparisons of performance information for
market-dominant products to performance information for
previous time periods to facilitate identification of
performance trends; and
``(E) the performance targets then in effect, and
the performance targets for the previous fiscal year,
as established under subsection (a)(1).
``(3) Comprehensibility.--The Website shall include plain
language descriptions of the elements required under paragraph
(2) and information on the collection process, measurement
methodology, completeness, accuracy, and validity of the
performance information provided on the Website.
``(4) Address search functionality.--The Website shall
include functionality to enable a user to search for
performance information by street address, ZIP Code, or post
office box.
``(5) Format.--The Postal Service shall make the
performance information provided on the Website available--
``(A) in a manner that--
``(i) presents the information required
under paragraph (2) on an interactive
dashboard;
``(ii) is searchable and may be sorted and
filtered by the elements described in paragraph
(2); and
``(iii) to the extent practicable, enables
any person or entity to download in bulk--
``(I) such performance information;
and
``(II) the results of a search by
the elements described in paragraph
(2);
``(B) under an `open license' which has the meaning
given that term in section 3502 of title 44; and
``(C) as an `open Government data asset' and in a
`machine-readable' format which have the meaning given
those terms in section 3502 of title 44.
``(6) Consultation.--The Postal Service shall regularly
consult with the Postal Regulatory Commission on appropriate
features and information to be included on the Website.
``(7) Public input.--The Postal Service shall--
``(A) solicit public input on the design and
implementation of the Website; and
``(B) maintain a public feedback tool to ensure
each feature of, and the information on, the Website is
usable and understandable.
``(8) Deadline.--The Postal Service shall implement and
make available to the public (and make any subsequent changes
in accordance with subsection (b)) the Website not later than
60 days from the date on which the Postal Service receives the
requirements and recommendations from the Postal Regulatory
Commission under subsection (b), and shall continuously update
such information on the Website as required by subsection (b).
``(9) Availability.--A link and plain language description
of the Website shall be made available on any webpage where
performance targets and measurements established under
subsection (a)(1) are made available to the public.
``(10) Reporting.--The Postal Service, the Postmaster
General, or the Board, as applicable, shall reference the
dashboard described in paragraph (5)(A)(i) in the Annual
Performance Plan under section 2803, the Annual Performance
Report under section 2804, and the Annual Report under section
2402.
``(11) Definitions.--In this subsection--
``(A) Performance information.--The term
`performance information' means the objective external
performance measurements established under section
3691(b)(1)(D).
``(B) Website.--The term `Website' means the
website described in paragraph (1).''.
(b) Technical and Conforming Amendment.--The table of sections for
chapter 36 of title 39, United States Code, is amended by inserting
after the item relating to section 3691 the following:
``3692. Performance targets and transparency.''.
SEC. 202. INTEGRATED DELIVERY NETWORK.
(a) In General.--Section 101(b) of title 39, United States Code, is
amended by inserting before ``The Postal Service'' the following: ``The
Postal Service shall maintain an integrated network for the delivery of
market-dominant and competitive products (as defined in chapter 36 of
this title). Delivery shall occur at least six days a week, except
during weeks that include a Federal holiday, in emergency situations,
such as natural disasters, or in geographic areas where the Postal
Service has established a policy of delivering mail fewer than six days
a week as of the date of enactment of the Postal Service Reform Act of
2022.''.
(b) Rule of Construction.--Nothing in subsection (a) or the
amendment made by such subsection is intended to alter or amend the
requirements of chapters 20 or 36 of title 39, United States Code, and
related implementing regulations, including provisions relating to
costing, accounting, or rates.
SEC. 203. REVIEW OF POSTAL SERVICE COST ATTRIBUTION GUIDELINES.
Not later than the date that is one year after the date of the
enactment of this Act, the Postal Regulatory Commission shall initiate
a review of the regulations issued pursuant to sections 3633(a) and
3652(a)(1) of title 39, United States Code, to determine whether
revisions are appropriate to ensure that all direct and indirect costs
attributable to competitive and market-dominant products are properly
attributed to those products, including by considering the underlying
methodologies in determining cost attribution and considering options
to revise such methodologies. If the Commission determines, after
notice and opportunity for public comment, that revisions are
appropriate, the Commission shall make modifications or adopt
alternative methodologies as necessary.
SEC. 204. RURAL NEWSPAPER SUSTAINABILITY.
Section 3626(h) of title 39, United States Code, is amended by
striking ``10 percent'' and inserting ``50 percent''.
SEC. 205. FUNDING OF POSTAL REGULATORY COMMISSION.
(a) In General.--Subsection (d) of section 504 of title 39, United
States Code, is amended to read as follows:
``(d)(1) Not later than September 1 of each fiscal year (beginning
with fiscal year 2022), the Postal Regulatory Commission shall submit
to the Postal Service a budget of the Commission's expenses, including
expenses for facilities, supplies, compensation, and employee benefits,
for the following fiscal year. Any such budget shall be deemed approved
as submitted if the Governors fail to adjust the budget in accordance
with paragraph (2).
``(2)(A) Not later than 30 days after receiving a budget under
paragraph (1), the Governors holding office, by unanimous written
decision, may adjust the total amount of funding requested in such
budget. Nothing in this subparagraph may be construed to authorize the
Governors to adjust any activity proposed to be funded by the budget.
``(B) If the Governors adjust the budget under subparagraph (A),
the Postal Regulatory Commission shall adjust the suballocations within
such budget to reflect the total adjustment made by the Governors. The
budget shall be deemed approved on the date the Commission makes any
such adjustments. The Commission may make further adjustments to the
suballocations within such budget as necessary.
``(3) Expenses incurred under any budget approved under this
subsection shall be paid out of the Postal Service Fund established
under section 2003.''.
(b) Conforming Amendments.--Title 39, United States Code, is
amended--
(1) in section 2003(e), by striking ``(B) all expenses of
the Postal Regulatory Commission, subject to the availability
of amounts appropriated under section 504(d);'' and inserting
``(B) all expenses of the Postal Regulatory Commission,
pursuant to section 504(d);''; and
(2) in section 2009--
(A) by striking ``, (2)'' and inserting ``, and
(2)''; and
(B) by striking ``, and (3) the Postal Regulatory
Commission requests to be appropriated, out of the
Postal Service Fund, under section 504(d) of this
title''.
SEC. 206. FLATS OPERATIONS STUDY AND REFORM.
(a) Flats Operations Study.--
(1) In general.--The Postal Regulatory Commission, in
consultation with the Inspector General of the United States
Postal Service, shall conduct a study to--
(A) comprehensively identify the causes of
inefficiencies in the collection, sorting,
transportation, and delivery of Flats; and
(B) quantify the effects of the volume trends,
investments decisions, excess capacity, and operational
inefficiencies of the Postal Service on the direct and
indirect costs of the Postal Service that are
attributable to Flats.
(2) Postal service assistance.--For the purposes of
carrying out the study under paragraph (1), the Postal Service
shall, upon request by the Postal Regulatory Commission,
consult with the Postal Regulatory Commission and provide--
(A) access to Postal Service facilities to
personnel of the Postal Regulatory Commission; and
(B) information and records necessary to conduct
such study.
(3) Report.--Not later than one year after the date of the
enactment of this Act, the Postal Regulatory Commission shall
submit to Congress and the Postmaster General a report on the
findings of the study conducted under paragraph (1).
(4) Flats defined.--In this subsection, the term ``Flats''
means products that meet the physical standards described in
the Domestic Mail Manual (as in effect on the date of the
enactment of this Act) for Flats mail for any class of mail.
(b) Flats Operations Reform.--
(1) In general.--Not later than six months after the date
on which the Postal Regulatory Commission submits the report
described in subsection (a)(3), the Postal Service shall--
(A) develop and implement a plan to remedy each
inefficiency identified in the study conducted under
subsection (a)(1) to the extent practicable; and
(B) if the Postal Service determines that remedying
any such inefficiency is not practicable, provide to
Congress and the Postal Regulatory Commission an
explanation why remedying such inefficiency is not
practicable, including whether it may become
practicable to remedy such inefficiency at a later
time.
(2) Implementation requirements.--Prior to implementing the
plan described in paragraph (1)--
(A) the Postal Regulatory Commission must approve
the plan; and
(B) the Postal Service shall provide an adequate
opportunity for public comment on the plan.
(3) Completion notice.--On the date on which the plan
described in paragraph (1) is fully implemented, as determined
by the Postmaster General, the Postmaster General shall submit
to Congress and the Postal Regulatory Commission a written
notice of such implementation.
(c) Subsequent Rate Adjustments.--During the five-year period
beginning on the date on which the Postal Regulatory Commission submits
a report under subsection (a)(3), the Postal Service, when making any
adjustment to the rate of a market-dominant product (as defined in
section 102 of title 39, United States Code), shall consider the
findings of such report and, after the plan described in subsection
(b)(1) is implemented, the plan's efficacy in remedying the
inefficiencies identified in the study conducted under subsection
(a)(1).
SEC. 207. REPORTING REQUIREMENTS.
(a) In General.--Not later than 240 days after the date of the
enactment of this Act, and every six months thereafter, the Postmaster
General shall submit to the President, the Postal Regulatory
Commission, the Committee on Homeland Security and Governmental Affairs
of the Senate, and the Committee on Oversight and Reform of the House
of Representatives a report on the operations and financial condition
of the Postal Service during the six-month period ending 60 days before
the date on which the Postmaster General submits such report.
(b) Contents.--Each report submitted under this section shall
include updates, details of changes from previous standards and
requirements, and assessments of progress being made on the operations
and financial condition of the Postal Service, including--
(1) the actual mail and package volume growth relative to
any mail or package volume growth projections previously made
or relied upon by the Postal Service, including a discussion of
the reasons for the differences in projections and the
associated adjustments being made;
(2) the effect of pricing changes on product volume for
market-dominant and competitive products, and associated
revenue effects on financial projections, including a
discussion of the reasons behind the differences in projections
and associated adjustments being made;
(3) customer use of network distribution centers and
processing and distribution centers;
(4) the status of the USPS Connect program and revenue
effects of the program on the financial projections;
(5) the use of Priority Mail, Priority Mail Express, First-
Class Package Service, and Parcel Select services (as such
terms are defined in the Mail Classification Schedule as in
effect on the date of the enactment of this Act) among
customers and associated revenue effects;
(6) the use of USPS Connect Returns service among
customers, and associated costs and revenue effects;
(7) the use of USPS E-Commerce Marketplace among customers,
and associated costs and revenue effects;
(8) updates on the reliability, efficiency, and cost-
effectiveness of the transportation network, including the
manner in which ground transportation is utilized over air
transportation for types of market-dominant products and
competitive products;
(9) a review of efforts to enhance employee training,
safety, and wellbeing, including associated effects on employee
recruitment, satisfaction, and retention;
(10) a review of efforts being made to improve employee
allocation, including changes of non-career employees to career
status, and any associated impacts to operational expenses and
processing, transportation, and delivery efficiency;
(11) the rate of planned investment into Postal Service
processing, transportation, and delivery equipment and
infrastructure for market-dominant and competitive products,
and a review of any associated effects on operational expenses
and efficiency;
(12) changes to network distribution centers and the
expansion of regional distribution centers, including costs
associated with the changes and any realized reduction in
operational expenses or improved resource efficiencies;
(13) a review of the ability of the Postal Service to meet
performance targets established under section 3692(a)(1) of
title 39, United States Code;
(14) a discussion of the progress of the Postal Service in
achieving any new, self-funded investments, including the
amounts realized and expended to date, and a discussion of the
reasons behind any disparities in the assumptions regarding the
expected progress of the Postal Service getting new, self-
funded investments to accommodate changes; and
(15) any other information the Postal Service determines
relevant, such as barriers or unanticipated events, in order to
help the Postal Regulatory Commission, Congress, the President,
and the American public evaluate the success or difficulties
faced by the Postal Service in implementing the reform plan.
(c) Confidential Information.--
(1) In general.--The report required under this subsection
shall be submitted in a form that excludes any proprietary or
confidential information and trade secrets.
(2) Notification.--If the Postal Service determines that
any information must be excluded under paragraph (1), the
Postal Service shall, at the time of submitting the report,
notify the President, the Committee on Oversight and Reform of
the House of Representatives, the Committee on Homeland
Security and Governmental Affairs of the Senate, and the Postal
Regulatory Commission in writing of its determination and
describe in detail the information for which confidentiality is
sought and the reasons therefor.
(3) Annexes.--The Postal Service shall submit to the
persons and entities notified under paragraph (2) any
information excluded under paragraph (1) in an annex that shall
be treated as confidential in accordance with paragraph (4).
(4) Treatment.--No person may, with respect to any
information which such person receives under paragraph (4)--
(A) use such information for purposes other than
the purposes for which it is supplied; or
(B) permit any person or entity other than a person
or entity notified under paragraph (2), or the staff
thereof, to have access to any such information.
(d) Termination.--This section shall terminate on the date that is
five years after the date on which the first report required by this
section is submitted.
SEC. 208. POSTAL SERVICE TRANSPORTATION SELECTION POLICY REVISIONS.
Section 101(f) of title 39, United States Code, is amended--
(1) by striking ``prompt and economical'' and inserting
``prompt, economical, consistent, and reliable'';
(2) by inserting after ``all mail'' the following: ``in a
manner that increases operational efficiency and reduces
complexity'';
(3) by inserting ``cost-effective'' after ``to achieve'';
and
(4) by inserting ``also'' after ``Nation shall''.
SEC. 209. USPS INSPECTOR GENERAL OVERSIGHT OF POSTAL REGULATORY
COMMISSION.
(a) In General.--Section 8G of the Inspector General Act of 1978 (5
U.S.C. App.) is amended--
(1) in subsection (a)(2), by striking ``the Postal
Regulatory Commission,''; and
(2) in subsection (f)--
(A) in paragraph (2)--
(i) by striking ``(2) In carrying'' and
inserting ``(2)(A) In carrying''; and
(ii) by adding at the end the following:
``(B) In carrying out the duties and responsibilities
specified in this Act, the Inspector General of the United
States Postal Service shall function as the Inspector General
for the Postal Regulatory Commission, and shall have equal
responsibility over the United States Postal Service and the
Postal Regulatory Commission. The Commission shall comply with
the Inspector General's oversight as if the Commission were a
designated Federal entity under subsection (a)(2) and as if the
Inspector General were the inspector general of the Commission.
The Governors of the Postal Service shall not direct oversight
activities for the Postal Regulatory Commission.'';
(B) in paragraph (3)(A)(i), by inserting
``pertaining to the United States Postal Service''
after ``subpoenas,'';
(C) in paragraph (3)(B)(i), by inserting ``and the
Postal Regulatory Commission'' after ``United States
Postal Service'';
(D) in paragraph (3)(C), by inserting ``or the
Postal Regulatory Commission'' after ``Governors'';
(E) by redesignating paragraphs (4), (5), and (6)
as paragraphs (5), (6), and (7), respectively; and
(F) by inserting after paragraph (3) the following:
``(4) For activities pertaining to the Postal Regulatory
Commission, sections 4, 5, 6 (other than subsection (g)
thereof), and 7 of this Act shall be applied by substituting
the term `head of the Postal Regulatory Commission' for `head
of the establishment'.''.
(b) Appointment and Removal.--Section 202 of title 39, United
States Code, is amended--
(1) in subsection (e)(1), by striking ``The Governors shall
appoint'' and inserting ``The Governors and the members of the
Postal Regulatory Commission shall appoint, by a favorable vote
of a majority of the Governors in office and of a majority of
the members of the Commission in office,''; and
(2) in subsection (e)(3), by inserting ``and 3 members of
the Postal Regulatory Commission'' after ``at least 7
Governors''.
(c) Savings Provision.--
(1) Personnel, documents, assets.--All personnel,
documents, assets, unexpended balances of appropriations, and
obligations of the Inspector General for the Postal Regulatory
Commission shall transfer to the Inspector General of the
Postal Service on the effective date of this section.
(2) Legal documents.--Any order, determination, rule,
regulation, permit, grant, loan, contract, agreement,
certificate, license, or privilege that has been issued, made,
granted, or allowed to become effective by the Inspector
General of the Postal Regulatory Commission that is in effect
on the effective date of this section shall continue in effect
according to their terms until modified, terminated,
superseded, set aside, or revoked in accordance with law.
(3) Proceedings.--This section and the amendments made by
this section shall not affect any proceeding pending on the
effective date of this section before the Inspector General of
the Postal Regulatory Commission, but such proceeding shall be
continued by the Inspector General of the Postal Service, at
the discretion of that Inspector General. Nothing in this
paragraph shall be construed to prohibit the discontinuance or
modification of any such proceeding under the same terms and
conditions and to the same extent that the proceeding could
have been discontinued or modified if this section and those
amendments had not been enacted.
(4) Suits.--This section and the amendments made by this
section shall not affect any suit commenced before the
effective date of this section, and in any such suit,
proceeding shall be had, appeals taken, and judgments rendered
in the same manner and with the same effect as if this section
or such amendments had not been enacted.
(5) References.--Any reference in any other Federal law,
Executive order, rule, regulation, or delegation of authority,
or any document relating to the Inspector General of the Postal
Regulatory Commission shall be deemed to refer to the Inspector
General of the United States Postal Service.
(d) Technical and Conforming Amendment.--Section 504 of title 39,
United States Code, is amended by striking subsection (h).
(e) Effective Date.--This section and the amendments made by this
section shall take effect on the date that is 180 days after the date
of enactment of this Act.
TITLE III--SEVERABILITY
SEC. 301. SEVERABILITY.
If any provision of this Act or any amendment made by this Act, or
the application of a provision of this Act or an amendment made by this
Act to any person or circumstance, is held to be unconstitutional, the
remainder of this Act, and the application of the provisions to any
person or circumstance, shall not be affected by the holding.
Passed the House of Representatives February 8, 2022.
Attest:
CHERYL L. JOHNSON,
Clerk.
Calendar No. 266
117th CONGRESS
2d Session
H. R. 3076
_______________________________________________________________________
AN ACT
To provide stability to and enhance the services of the United States
Postal Service, and for other purposes.
_______________________________________________________________________
February 9, 2022
Read the second time and placed on the calendar