[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 1720 Introduced in Senate (IS)]
<DOC>
117th CONGRESS
1st Session
S. 1720
To provide stability to and enhance the services of the United States
Postal Service, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
May 19, 2021
Mr. Peters (for himself, Mr. Portman, Mr. Carper, Mr. Burr, Ms. Hassan,
Mr. Tillis, Ms. Sinema, Mrs. Capito, Ms. Rosen, Mr. Daines, Mr.
Padilla, Ms. Collins, Mr. Wyden, Mr. Sullivan, Mr. Manchin, Mr. Hawley,
Mr. Schatz, Mr. Blunt, Mr. Rounds, and Ms. Smith) introduced the
following bill; which was read twice and referred to the Committee on
Homeland Security and Governmental Affairs
_______________________________________________________________________
A BILL
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 2021''.
(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.
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 in
Medicare part A 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 2023;
``(3) the term `initial participating carrier' means a
carrier that enters into a contract with the Office to
participate in the Postal Service Health Benefits 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 paid pursuant to the
requirements of 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);
``(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.
``(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 those requirements, as determined by the
Office.
``(c) Establishment of the Postal Service Health Benefits
Program.--
``(1) In general.--
``(A) Establishment.--The Office shall establish,
within the Federal Employees Health Benefits Program,
the Postal Service Health Benefits Program under which
the Office contracts 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,
include plans offered by--
``(I) each carrier for which the
total enrollment in the plans provided
under this chapter includes, in the
contract year beginning in January
2022, 1,500 or more enrollees who are
Postal Service employees or Postal
Service annuitants; and
``(II) any other carrier determined
appropriate by the Office;
``(ii) be available for participation by
Postal Service employees and Postal Service
annuitants, in accordance with subsection (d);
``(iii) provide for enrollment in a plan as
an individual, for self plus one, or for self
and family; and
``(iv) not be available for participation
by 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 (5)).
``(2) Separate postal service risk pool.--The Office shall
ensure that each Program plan includes rates that reasonably
and equitably reflect the cost of benefits provided to a risk
pool consisting solely of Postal Service employees, Postal
Service annuitants, and covered members of family of such
employees and annuitants (regardless of the health plan,
coverage, or benefit program in which such an employee,
annuitant, or member of family is enrolled), taking into
specific account the change in benefits cost for the Program
plan due to the Medicare enrollment requirements under
subsection (e) and any savings or subsidies resulting from
subsection (f).
``(3) Actuarially equivalent coverage.--The Office shall
ensure that each carrier participating in the Postal Service
Health Benefits Program provides coverage under the Program
plans offered by the carrier that is actuarially equivalent, as
determined by the Office, to the coverage that the carrier
provides under the health benefits plans offered by the carrier
under this chapter that are not Program plans.
``(4) Applicability of federal employees health benefits
program requirements.--Except as otherwise set forth in this
section, all 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.
``(5) 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 that section applies to other health benefits plans
offered under this chapter.
``(d) Election of Coverage.--
``(1) In general.--Except as provided in paragraph (2),
each Postal Service employee and Postal Service annuitant who
elects to receive health benefits coverage under this chapter--
``(A) shall be subject to the requirements of this
section; and
``(B) may not enroll in any other health benefits
plan offered under any other section of this chapter.
``(2) Exceptions.--
``(A) Lack of geographic coverage.--An individual
who is a Postal Service employee or Postal Service
annuitant may enroll in a health benefits plan offered
under any other section of this chapter if the
individual resides in a geographic area for which there
is not a Program plan in which the individual may
enroll.
``(B) Annuitants as of program inception.--
``(i) Current medicare covered
annuitants.--
``(I) In general.--Subject to
subclause (II), in the case of an
individual who, as of January 1, 2023,
is a Postal Service Medicare covered
annuitant who has not enrolled in both
Medicare part A and Medicare part B,
the individual--
``(aa) may enroll in a
health benefits plan offered
under any other section of this
chapter; and
``(bb) may not enroll in a
Program plan.
``(II) Program plan enrollment
following medicare parts a and b
enrollment.--In the case of an
individual described in subclause (I)
who after January 1, 2023, is enrolled
in both Medicare part A and Medicare
part B, beginning with the first
contract year beginning after the date
as of which the individual is enrolled
in both Medicare part A and Medicare
part B--
``(aa) subclause (I) shall
no longer apply to the
individual; and
``(bb) the individual may
receive health benefits under
this chapter only through a
Program plan.
``(ii) Pre-medicare annuitants.--
``(I) In general.--Subject to
subclause (II), an individual who, as
of January 1, 2023, is a Postal Service
annuitant and is not a Postal Service
Medicare annuitant (for a reason other
than eligibility to enroll in Medicare
part A under section 1818 or 1818A of
the Social Security Act (42 U.S.C.
1395i-2, 1395i-2a)) may enroll in--
``(aa) a Program plan; or
``(bb) a health benefits
plan offered under any other
section of this chapter.
``(II) Exception.--In the case of
an individual described in subclause
(I) who enrolls in a Program plan for
any contract year beginning on or after
the date on which the individual
becomes a Postal Service Medicare
covered annuitant, beginning with that
contract year--
``(aa) subclause (I) shall
no longer apply to the
individual; and
``(bb) the individual may
receive health benefits under
this chapter only through
enrollment in a Program plan.
``(C) Certain employees as of program inception.--
``(i) Legacy coverage.--A Postal Service
employee who is enrolled in a health benefits
plan under this chapter for the contract year
immediately preceding the initial contract year
that is not a health benefits plan offered by
an initial participating carrier may enroll in
a Program plan or a health benefits plan
offered under any other section of this
chapter, except that--
``(I) if the Postal Service
employee changes enrollment to a
different health benefits plan under
this chapter during the open season for
the initial contract year, or after the
start of the initial contract year, the
Postal Service employee may only enroll
in a Program plan;
``(II) if the health benefits plan
in which the employee is enrolled for
the contract year becomes available as
a Program plan, the Postal Service
employee may only enroll in a Program
plan; and
``(III) upon becoming a Postal
Service annuitant, if the Postal
Service employee elects to continue
coverage under this chapter, the Postal
Service employee shall enroll in a
Program plan during the open season
that is--
``(aa) being held when the
Postal Service employee becomes
a Postal Service annuitant; or
``(bb) if the date on which
the Postal Service employee
becomes a Postal Service
annuitant falls outside of an
open season, the first open
season following that date.
``(ii) Current employees aged 64 and
over.--
``(I) In general.--Subject to
subclause (II), an individual who, as
of January 1, 2023, is a Postal Service
employee and is not less than 64 years
of age may enroll in--
``(aa) a Program plan; or
``(bb) a health benefits
plan offered under any other
section of this chapter.
``(II) Exception.--In the case of
an individual described in subclause
(I) who enrolls in a Program plan for
any contract year beginning on or after
the date on which the individual
becomes a Postal Service Medicare
covered annuitant, beginning with that
contract year--
``(aa) subclause (I) shall
no longer apply to the
individual; and
``(bb) the individual may
receive health benefits under
this chapter only through
enrollment in a Program plan.
``(D) Certain other annuitants.--
``(i) Annuitants and family members
excluded from premium-free medicare part a.--
``(I) In general.--Subject to
subclause (II), a Postal Service
annuitant who is eligible to enroll in
Medicare Part A under section 1818 or
1818A of the Social Security Act (42
U.S.C. 1395i-2, 1395i-2a) may enroll in
a Program plan or a health benefits
plan offered under any other section of
this chapter if the annuitant--
``(aa) is eligible to
enroll in Medicare part A under
such section 1818 or 1818A; or
``(bb) includes in the
annuitant's plan enrollment 1
or more family members who are
eligible to enroll in Medicare
part A under such section 1818
or 1818A.
``(II) Exception.--In the case of
an annuitant described in subclause (I)
who enrolls in a Program plan for any
contract year beginning on or after the
date on which the annuitant or any
member of family covered by the
enrollment becomes eligible to enroll
in Medicare part A, beginning with that
contract year--
``(aa) subclause (I) shall
no longer apply to the
annuitant; and
``(bb) the annuitant may
receive health benefits under
this chapter only through
enrollment in a Program plan.
``(ii) Limited or redundant coverage.--An
individual who is a Postal Service annuitant
may enroll in a Program plan (subject to
subsection (e) of this section and to sections
226(j) and 1837(o)(2) of the Social Security
Act) or a health benefits plan offered under
any other section of this chapter for any
contract year in which the annuitant or a
member of family covered by the enrollment,
respectively, is a covered Medicare individual
and--
``(I) the annuitant or family
member, respectively, resides in an
area where the Office has determined
that no Medicare providers are
available;
``(II) the annuitant receives
comprehensive medical coverage provided
by the Department of Veterans Affairs
under subchapter II of chapter 17 of
title 38, United States Code; or
``(III) the annuitant receives
comprehensive medical coverage provided
by the Indian Health Service under the
Indian Health Care Improvement Act (25
U.S.C. 1601 et seq.).
``(iii) Regulations.--Not later than 90
days after the date of enactment of this
section, the Office shall, in consultation with
the Secretary of Health and Human Services, the
Secretary of Veterans Affairs, and the
Postmaster General, promulgate any regulations
necessary to implement this subparagraph.
``(e) Requirement of Medicare Enrollment for Certain Annuitants and
Their Family Members.--
``(1) Annuitants.--Except as provided under subsection
(d)(2), a Postal Service Medicare covered annuitant may not
enroll in a Program plan unless the annuitant is enrolled in
both Medicare part A and Medicare part B.
``(2) Medicare covered family members.--In the case of a
Postal Service annuitant who is required under paragraph (1) to
enroll in Medicare part A and Medicare part B in order to be
able to enroll in a Program plan, if a member of family of the
Postal Service annuitant is a covered Medicare individual or is
eligible to enroll in Medicare Part A under section 1818 or
1818A of the Social Security Act (42 U.S.C. 1395i-2, 1395i-2a),
that member of family may not enroll in a Program plan as a
member of family of the Postal Service annuitant unless that
member of family is enrolled in both Medicare part A and
Medicare part B.
``(3) Process for coordinated election of medicare
enrollment.--The Office shall establish a process under which--
``(A) Postal Service annuitants and members of
family who are subject to the requirements of paragraph
(1) or (2)--
``(i) are informed, prior to enrollment
under this section, of those requirements; and
``(ii) receive requests for any additional
information necessary for enrollment in
writing; and
``(B) the Office provides the Secretary of Health
and Human Services and the Commissioner of Social
Security in a timely manner with any information with
respect to those annuitants and members of family and
that election that may be required to effect their
enrollment and coverage under Medicare part A, Medicare
part B, and this section in a timely manner, including
to effect deemed enrollments, if applicable under
sections 226(j) and 1837(o) of the Social Security Act,
for such continuous period as such annuitant or member
of family involved otherwise maintains eligibility for
enrollment under Medicare part A and Medicare part B,
to have elected to be enrolled under such part (in
accordance with such sections) in connection with the
enrollment in a Program plan under this section.
``(f) Medicare Coordination.--
``(1) In general.--The Office shall require each Program
plan to provide benefits for covered Medicare individuals (and
individuals eligible to enroll in Medicare part A pursuant to
section 1818 or 1818A of the Social Security Act (42 U.S.C.
1395i-2, 1395i-2a)) pursuant to the same coordination of
benefits method used in connection with plans offered under any
other section of this chapter.
``(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 (42 U.S.C. 1395w-101(a)(3)(A))) through employment-based
retiree health coverage (as defined in section 1860D-22(c)(1)
of that Act (42 U.S.C. 1395w-132(c)(1))) through a prescription
drug plan (as defined in section 1860D-41(a)(14) of that Act
(42 U.S.C. 1395w-151(a)(14))).
``(g) Postal Service Contribution.--
``(1) In general.--Subject to subsection (i), 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 2022), 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 the weighted average of the rates for the
initial contract year under paragraph (2), 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, 2022.
``(h) 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, subject to subparagraph (B) of this
paragraph.
``(B) Applicability of section 8909 to contingency
reserves.--Each provision 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 the provision is 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.
``(i) 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.
``(j) Health Benefits Education Program.--
``(1) Establishment.--Not later than 180 days after the
date of enactment of this section, the Postal Service shall
establish a Health Benefits Education Program.
``(2) Requirements.--Under the Health Benefits Education
Program established under paragraph (1), the Postal Service
shall--
``(A) notify annuitants and employees of the Postal
Service about the Postal Service Health Benefits
Program established under subsection (c)(1);
``(B) provide information regarding the Postal
Service Health Benefits Program to the annuitants and
employees described in subparagraph (A), including--
``(i) a description of the health care
options available under the Program;
``(ii) the enrollment provisions of
subsection (d); and
``(iii) the requirement that annuitants and
their family members be enrolled in Medicare
under subsection (e); and
``(C) in coordination with the Centers for Medicare
& Medicaid Services and the Commissioner of Social
Security, respond and provide answers to any inquiry
from such employees and annuitants about the Postal
Service Health Benefits Program or Medicare enrollment.
``(3) OPM information.--The Office shall timely provide the
Postal Service with any information that the Postal Service
determines to be necessary to conduct the Health Benefits
Education Program under this subsection.''.
(2) Technical and conforming amendments.--
(A) Section 8903(1) of title 5, United States Code,
is amended by striking ``two levels of benefits'' and
inserting ``2 levels of benefits for enrollees under
this chapter generally and 2 levels of benefits for
enrollees under the Postal Service Health Benefits
Program established under section 8903c''.
(B) 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.''.
(b) Coordination With Medicare.--
(1) Medicare part a.--Section 226 of the Social Security
Act (42 U.S.C. 426) is amended by adding at the end the
following new subsection:
``(j)(1) In the case of an individual who--
``(A) on or after January 1, 2023, is--
``(i) a Postal Service employee;
``(ii) a Postal Service annuitant who is not a
Postal Service Medicare covered annuitant; or
``(iii) a member of family of a Postal Service
employee or of a Postal Service annuitant and who is
not described in section 1837(o)(1) of this Act; and
``(B) enrolls in a Program plan under section 8903c of
title 5, United States Code,
such individual is deemed to be enrolled under this part, regardless of
whether such individual has filed an application under subparagraph (A)
or (C) of subsection (a)(2).
``(2) Entitlement to hospital benefits under part A by reason of
paragraph (1) begins as of--
``(A) in the case of an individual who is a Postal Service
employee or a Postal Service annuitant who is eligible to
become a Postal Service Medicare covered annuitant, the date on
which the individual becomes a Postal Service Medicare covered
annuitant or the date of enrollment in a Program plan,
whichever is later;
``(B) in the case of an individual who is eligible to
enroll under section 1818 or 1818A, the date on which the
individual attains such eligibility or the date of enrollment
in a Program plan whichever is later; and
``(C) in the case of an individual who is described in
paragraph (1)(A)(iii) and is eligible to become a covered
Medicare individual, as of the first date the individual
becomes a covered Medicare individual or the date of enrollment
in a Program plan, whichever is later.
``(3) The definitions in section 8903c(a) of title 5, United States
Code, shall apply for purposes of this subsection.
``(4) Nothing in this subsection shall be construed to deprive any
individual of any other method or period of enrollment to which such
individual is entitled under this section.''.
(2) Medicare part b.--
(A) Enrollment.--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, 2023, is--
``(i) a Postal Service Medicare covered annuitant;
or
``(ii) a member of family of a Postal Service
employee or of a Postal Service annuitant and is a
covered Medicare individual;
``(B) intends to enroll in a Program plan under section
8903c of title 5, United States Code, for the initial contract
year; and
``(C) is not enrolled under this part,
the individual may elect to be enrolled under this part during a
special enrollment period during the 3-month period beginning on
January 1, 2023.
``(2) In the case of an individual who--
``(A) on or after January 1, 2023, is--
``(i) a Postal Service employee;
``(ii) a Postal Service annuitant who is not a
Postal Service Medicare covered annuitant; or
``(iii) a member of family of a Postal Service
employee or of a Postal Service annuitant and who is
not described in paragraph (1); and
``(B) enrolls in a Program plan under section 8903c of
title 5, United States Code,
the individual shall be deemed to have enrolled in the medical
insurance program established by this part.
``(3) The definitions in section 8903c(a) of title 5, United States
Code, shall apply for purposes of this subsection.
``(4) Nothing in this subsection shall be construed to deprive any
individual of any other method or period of enrollment to which such
individual is entitled under this section.''.
(B) Coverage periods.--Section 1838 of the Social
Security Act (42 U.S.C. 1395q) is amended by adding at
the end the following new subsection:
``(i) Notwithstanding subsection (a)--
``(1) in the case of an individual who enrolls under this
part pursuant to a special enrollment period under paragraph
(1) of section 1837(o), the coverage period under this part
shall begin on the date that the individual first has coverage
under the Program plan pursuant to the enrollment described in
paragraph (1)(B) of such section; and
``(2) in the case of an individual who is deemed enrolled
under paragraph (2) of section 1837(o), the coverage period
under this part shall begin as of--
``(A) in the case of such an individual who is a
Postal Service employee or a Postal Service annuitant
who is eligible to become a Postal Service Medicare
covered annuitant, the date on which the individual
becomes a Postal Service Medicare covered annuitant or
the date of enrollment in a Program plan, whichever is
later;
``(B) in the case of such an individual who is
eligible to enroll under section 1818 or 1818A of this
Act, the date on which the individual attains such
eligibility or the date of enrollment in a Program
plan, whichever is later; and
``(C) in the case of an individual described in
paragraph (2)(A)(iii) of section 1837(o) who is
eligible to become a covered Medicare individual, as of
the first date the individual becomes a covered
Medicare individual or the date of enrollment in a
Program plan, whichever is later.''.
(3) 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, through
employment-based retiree health coverage through a prescription
drug plan, as required under subsection (f) of such section,
through contracts between such a Program plan and such a
prescription drug plan''.
(4) Waiver of increase of medicare part b premium.--Section
1839(b) of the Social Security Act (42 U.S.C. 1395r(b)) is
amended by inserting after ``subsection (i)(4), (l), or (m) of
section 1837'' the following: ``or pursuant to the special
enrollment period under subsection (o)(1) of such section''.
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, 2024, and by June 30 of each
succeeding year, the Office shall compute, for the most recently
concluded fiscal year, the difference between--
``(A) any Government contributions required to be paid from
the Fund under section 8906(g)(2)(A); and
``(B) the 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 difference computed under that
paragraph.
``(e) Any computation of the liability of the Fund required by law
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); 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 section.
``(g) For purposes of this section, the term `net claims costs'
means the difference between--
``(1) the sum of--
``(A) the 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 that date of
enactment is canceled.
(2) Effect of this act.--In any determination relating to
the future liability for retiree health benefits of the 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 and the
amendments made by 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
``(a) Payment of Salaries and Expenses.--If 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.
``(b) Deposit Into Postal Service Retiree Health Benefits Fund.--
The balance of any funds remaining after compliance with subsection (a)
shall be deposited into the Postal Service Retiree Health Benefits Fund
established under section 8909a of title 5.''.
(2) Technical and conforming amendment.--The table of
sections for chapter 29 of title 39, United States Code, is
amended by adding at the end the following:
``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. Postal Service
revenues and expenses under this chapter shall be funded through the
Postal Service Fund.
``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 `attributable costs' has the meaning given
such term in section 3631; and
``(3) the term `year' means a fiscal year.
``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 and services on behalf of such
agencies for non-commercial products and services, but only if such
property and services--
``(1) 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;
``(2) do not interfere with or detract from the value of
postal services, including--
``(A) the cost and efficiency of postal services;
and
``(B) unreasonably restricting access to postal
retail service, such as customer waiting time and
access to parking; and
``(3) provide a reasonable contribution to the
institutional costs of the Postal Service, defined as
reimbursement that covers at least 100 percent of attributable
costs of all property and services provided under each relevant
agreement in each year.
``(b) Public Notice.--At least 90 days before 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 service
to be provided, the enhanced value to the public, terms of
reimbursement, the estimated annual reimbursement to the Postal
Service, and the estimated percentage of attributable Postal
Service costs that will be covered by reimbursement (with
documentation to support the estimates).
``(c) Public Comment.--Before offering a service under the program,
the Postal Service shall provide for a public comment period of at
least 30 days that allows the public to post comments relating to the
provision of such services on the Postal Service website. The Postal
Service shall make reasonable efforts to provide written responses to
the comments on such website at least 30 days before offering such
services.
``(d) 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 total Governors
voting for approval.
``(e) Application of Reporting Requirements.--For purposes of the
reporting requirements under section 3705, the Postal Service shall
submit a separate report for each agreement with an agency entered into
under subsection (a) analyzing the costs, revenues, rates, and quality
of service for the provision of all services under such agreement,
including information demonstrating that the agreement satisfies the
requirements of paragraphs (1) through (3) of subsection (a).
``(f) Regulations Required.--The Postal Regulatory Commission shall
issue such regulations as are necessary to carry out this section.
``(g) Definitions.--For the purpose of this section--
``(1) 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;
``(2) 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;
``(3) the term `tribal government' means the government of
an Indian tribe, as that term is defined in section 4(e) of the
Indian Self-Determination Act (25 U.S.C. 450b(e)); and
``(4) 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.
``(h) Confidential Information.--Subsection (b) or (c) 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
``(a) In General.--The Postal Service may establish a program to
provide property and services to other Government agencies within the
meaning of section 411, but only if such program provides a reasonable
contribution to the institutional costs of the Postal Service, defined
as reimbursement by each agency that covers at least 100 percent of the
attributable costs of all property and service provided by the Postal
Service in each year to such agency.
``(b) Application of Reporting Requirements.--For purposes of the
reporting requirements under section 3705, the Postal Service shall
submit a separate report for each agreement with an agency entered into
under subsection (a) analyzing the costs, revenues, rates, and quality
of service for the provision of all services under such agreement,
including information demonstrating that the agreement satisfies the
requirements of subsection (a).
``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 for the
provision of property and services 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 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 nonpostal activities
carried out 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 attributable costs 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 attributable costs 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.''.
(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--
(A) in paragraph (2), by inserting after
``subsection'' the following: ``, or any nonpostal
products or services authorized by chapter 37''; and
(B) by adding at the end the following:
``(6) Licensing which, before the date of enactment of this
paragraph, has been authorized by the Postal Regulatory Commission for
continuation as a nonpostal service may not be used for any purpose
other than--
``(A) to continue to provide licensed mailing, shipping, or
stationery supplies offered as of June 23, 2011; or
``(B) to license other goods, products, or services, the
primary purpose of which is to promote and enhance the image or
brand of the Postal Service.
``(7) Nothing in this section shall be construed to prevent the
Postal Service from establishing nonpostal products and services that
are expressly 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
such chapter.
(4) Repeal of certain limitations on experimental
products.--Section 3641 of title 39, United States Code, is
amended--
(A) by striking subsections (b), (d), and (e); and
(B) by redesignating--
(i) subsection (c) as subsection (b); and
(ii) subsections (f), (g), (h), and (i) as
subsections (c), (d), (e), and (f),
respectively.
TITLE II--POSTAL SERVICE OPERATIONAL REFORMS
SEC. 201. PERFORMANCE TARGETS AND TRANSPARENCY.
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) at least 60 days before the beginning of the fiscal
year in which they will apply, establish and provide to the
Postal Regulatory Commission reasonable targets for
performance; and
``(2) provide the previous fiscal years' performance
targets in its Annual Compliance Report to the Postal
Regulatory Commission for evaluation of compliance.
``(b) 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 on the Website shall include--
``(A) the type of market-dominant product;
``(B) geographic area at the nationwide, Area, and
District level;
``(C) time periods showing performance information
in annual, quarterly, monthly, and weekly segments;
``(D) comparisons of performance information for
market-dominant products for previous time periods to
facilitate identification of performance trends; and
``(E) the current performance targets and previous
fiscal year performance targets, 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 performance information provided on the
Website shall be made available--
``(A) in a manner that--
``(i) presents the information referenced
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) in an open format that permits any individual
or entity to reuse and analyze the performance
information; and
``(C) in a structured data format, to the extent
practicable.
``(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
features of, and information on, the Website is usable
and understandable.
``(8) Deadline.--The Website shall be implemented and made
available to the public not later than the date on which the
performance targets are provided to the Postal Regulatory
Commission under subsection (a)(1).
``(9) Availability.--A link and plain language description
of the Website shall be made available on the website where the
performance targets and measurements established under
subsection (a)(1) are made available.
``(10) Reporting.--The dashboard referred to in paragraph
(5)(A)(i) shall be referenced 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).''.
SEC. 202. INTEGRATED DELIVERY NETWORK.
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 or in emergency situations,
such as natural disasters.''.
SEC. 203. REVIEW OF POSTAL SERVICE COST ATTRIBUTION GUIDELINES.
Not later than 1 year after the date of enactment of this Act, the
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 those 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)(A) 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 expenses of the
Commission, including expenses for facilities, supplies, compensation,
and employee benefits, for the following fiscal year.
``(B) Any budget submitted under subparagraph (A) shall be deemed
approved as submitted if the Governors fail to adjust the budget in
accordance with paragraph (2).
``(2)(A)(i) 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 the
budget.
``(ii) Nothing in clause (i) may be construed to authorize the
Governors to adjust any activity proposed to be funded by a budget
described in that clause.
``(B)(i) If the Governors adjust a budget under subparagraph (A),
the Postal Regulatory Commission shall adjust the suballocations within
the budget to reflect the total adjustment made by the Governors.
``(ii) A budget adjusted under subparagraph (A) shall be deemed
approved on the date on which the Commission makes any adjustments
required under clause (i) of this subparagraph.
``(iii) The Commission may make further adjustments to the
suballocations within a budget, in addition to the adjustments required
under clause (i), 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.--Chapter 20 of 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, in
accordance with 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) 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 enactment
of this Act) for Flats mail for any class of mail.
(2) Study.--The Commission, in consultation with the
Inspector General of the 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,
investment 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.
(3) Postal service assistance.--For the purposes of
carrying out the study under paragraph (2), the Postal Service
shall, upon request by the Commission, consult with the
Commission and provide--
(A) access to Postal Service facilities to
personnel of the Commission; and
(B) information and records necessary to conduct
the study.
(4) Report.--Not later than 1 year after the date of
enactment of this Act, the Commission shall submit to Congress
and the Postmaster General a report on the findings of the
study conducted under paragraph (2).
(b) Flats Operations Reform.--
(1) In general.--Not later than 180 days after the date on
which the Commission submits the report under subsection
(a)(4), the Postal Service shall--
(A) develop and implement a plan to remedy each
inefficiency identified in the study conducted under
subsection (a)(2) to the extent practicable; and
(B) if the Postal Service determines that remedying
an inefficiency described in subparagraph (A) is not
practicable, provide to Congress and the Commission an
explanation for why remedying the inefficiency is not
practicable, including whether remedying the
inefficiency may become practicable 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
required under paragraph (1) is fully implemented, as
determined by the Postmaster General, the Postmaster General
shall submit to Congress and the Commission a written notice of
the implementation.
(c) Subsequent Rate Adjustments.--During the 5-year period
beginning on the date on which the Postmaster General submits the
notice under subsection (b)(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 the report described in subsection (a)(4) and the efficacy
of the plan described in subsection (b)(1) in remedying the
inefficiencies identified in the study conducted under subsection
(a)(2).
SEC. 207. REPORTING REQUIREMENTS.
(a) In General.--Not later than 180 days after the date of
enactment of this Act, and every 6 months thereafter, the Postmaster
General shall submit to the President, the 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 6-month period ending on the date on which the Postmaster
General submits the 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 in order to accommodate any
such differences;
(2) the effect of pricing changes on product volume for
market-dominant products and competitive products, and
associated revenue effects on financial projections, including
a discussion of the reasons for the differences in projections
and associated adjustments being made;
(3) customer use of network distribution centers and
processing and distribution centers, and associated costs and
revenue effects;
(4) the status of, and any substantial programmatic changes
to, the USPS Connect program relative to previous plans by the
Postal Service, including online sales and customer
expectations regarding shipping speeds and shopping preferences
relative to projections, as well as associated implementation
costs and revenue effects on the financial projections;
(5) the use of Priority Mail, Priority Mail Express, First-
Class Package Service, and Parcel Select services (as those
terms are defined in the Domestic Mail Classification Schedule
as in effect on the date of enactment of this Act) among
businesses of various sizes, and associated revenue effects;
(6) the use of USPS Connect Returns service among
customers, and associated implementation costs and revenue
effects;
(7) the use of USPS E-Commerce Marketplace among customers,
and associated implementation 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 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 on operational expenses and
processing, transportation, and delivery efficiency;
(11) the rate of planned investment in Postal Service
processing, transportation, and delivery equipment and
infrastructure for market-dominant products 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, as added by section 201 of this
Act;
(14) a discussion of--
(A) the progress of the Postal Service in achieving
any new, self-funded investments, including the amounts
realized and expended to date; and
(B) a discussion of the reasons for any disparities
in the assumptions regarding the expected progress of
the Postal Service in achieving 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 Commission, Congress, the President, and the people of
the United States evaluate the success of or difficulties faced
by the Postal Service in implementing the reform plan.
(c) Confidential Information.--
(1) In general.--The report required under this section
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 Homeland Security and
Governmental Affairs of the Senate, the Committee on Oversight
and Reform of the House of Representatives, and the 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 that the person receives under paragraph (3)--
(A) use the information for purposes other than the
purposes for which the information 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 the information.
(d) Termination.--This section shall terminate on the date that is
5 years after the date on which the first report required under 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)(2)--
(A) by striking ``(2) In carrying'' and inserting
``(2)(A) In carrying''; and
(B) by adding at the end the following:
``(B) In carrying out the duties and responsibilities specified in
this Act, the Inspector General shall function as the Inspector General
for the Postal Regulatory Commission, and shall have equal
responsibility over the Commission and the United States Postal
Service. The Commission shall comply with the oversight of the
Inspector General as if the Commission were a designated Federal entity
under subsection (a)(2).''.
(b) Savings Provision.--
(1) 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 that is in effect on
the effective date of this section shall continue in effect
according to its terms until modified, terminated, superseded,
set aside, or revoked in accordance with law.
(2) Proceedings.--This section and the amendments made by
this section shall not affect any proceeding pending on the
effective date of this section before an office transferred by
either such subsection, but such proceeding shall be continued.
Nothing in this paragraph shall be considered to prohibit the
discontinuance or modification of any such proceeding under the
same terms and conditions and to the same extent that such
proceeding could have been discontinued or modified if this
section or such amendments had not been enacted.
(3) 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
and those amendments had not been enacted.
(4) References.--Any reference in any other Federal law,
Executive order, rule, regulation, delegation of authority, or
document to the Inspector General of the Postal Regulatory
Commission shall be deemed to refer to the Inspector General of
the Postal Service.
(c) Technical and Conforming Amendment.--Section 504 of title 39,
United States Code, is amended by striking subsection (h).
(d) 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.
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