TABLE OF CONTENTS:
Title I: Organization
Title II: General Authority
Title III: Presidential Postal Employee-Management
Commission
Title IV: Finance
Title V: Budget and Appropriations Process
Title VI: Miscellaneous Provisions Relating to Postal Rates,
Classes, and Services
Title VII: Provisions Relating to the Transportation,
Carriage, or Delivery of Mail
Title VIII: Direct Appeal of Decisions of the Merit Systems
Protection Board
Title IX: Law Enforcement
Subtitle A: Amendments to Title 39, United States Code
Subtitle B: Other Provisions
Title X: New System Relating to Postal Rates, Classes, and
Services
Postal Reform Act of 1997 - Title I: Organization - Amends Federal law regarding the United States Postal Service to redesignate: (1) Governors and the Board of Governors as Directors and the Board of Directors; and (2) the Postmaster General and the Deputy Postmaster General as the Chief and the Deputy Chief Executive Officer of the Service.
Title II: General Authority - Authorizes the Service to employ guards for all buildings and areas owned or occupied by, or under the charge and control of, the Service. Specifies that such guards shall have, with respect to such property, the powers of special police officers. Authorizes the Chief Executive Officer to take specified actions with respect to such property.
(Sec. 202) Treats the date of postmark as the date of appeal in connection with the closing or consolidation of post offices.
Title III: Presidential Postal Employee-Management Commission - Revises postal provisions to replace provisions regarding the Postal Service Advisory Council with those establishing a Presidential Postal Employee-Management Commission, which shall study and make recommendations on how employee-management relations within the Service might be improved. Sets forth administrative and reporting requirements.
Title IV: Finance - Modifies postal provisions regarding sums in the Postal Service Fund to authorize the Service to provide: (1) that amounts which would otherwise be deposited in the Fund be directly deposited in a Federal Reserve bank or a depository for public funds selected by the Service (current law requires the approval of the Secretary of the Treasury); and (2) for transfers of funds between or among Federal Reserve banks, depositories for public funds, and the Fund.
Directs the Service to: (1) prepare a master plan for the exercise of its authority with respect to the Fund; and (2) submit such plan and any revision to the President, the Secretary, and each House of Congress at least 30 days before the proposed implementation date.
(Sec. 402) Modifies postal provisions to authorize: (1) the Service, upon determining that moneys in the Fund are in excess of current needs, to invest such amounts as it considers appropriate in obligations of, or guaranteed by, the Government; and (2) the Secretary to purchase Service obligations in such sums as the Secretary and the Service may agree.
(Sec. 403) Specifies that obligations issued by the Service shall not be eligible for purchase by, commitment to purchase by, or sale or issuance to, the Federal Financing Bank.
(Sec. 404) Repeals provisions regarding the Secretary's preemption of borrowing by the Service.
Title V: Budget and Appropriations Process - Repeals postal provisions regarding transitional appropriations.
Specifies that liabilities of the former Post Office Department to the Employees' Compensation Fund shall remain liabilities of the Service payable out of the Fund.
(Sec. 502) Amends the Postal Reorganization Act to require the Service, regarding anyone receiving benefits as a former Post Office Department officer or employee, to have the same authorities and responsibilities as it has with respect to a Service officer or employee receiving such benefits.
(Sec. 503) Repeals authorizations of appropriations to the Service for public service costs, revenue foregone, and certain compensatory appropriations.
(Sec. 504) Modifies postal provisions to replace references to the Committee on Post Office and Civil Service with references to the Committee on Government Reform and Oversight.
Title VI: Miscellaneous Provisions Relating to Postal Rates, Classes, and Services - Specifies that, upon termination of an agency relationship between an addressee and a commercial mail receiving agency (CMRA) (i.e., a private business that acts as the mail receiving agent for specific clients): (1) the addressee, or the CMRA if so authorized, may file a change-of-address order with the Service regarding such addressee; (2) a change-of-address order so filed shall, to the extent practicable, be given full force and effect; and (3) any mail for the addressee that is delivered to the CMRA after the filing of an appropriate order shall, if marked for forwarding and remailed by the CMRA, be forwarded by the Service in the same manner, and subject to the same terms and conditions, as mail forwarded directly by the Service to the addressee.
(Sec. 602) Waives requirements for mailing specified matter at reduced rates.
(Sec. 603) Authorizes: (1) any Commissioner of the Postal Rate Commission, administrative law judge appointed by the Commission, and employee of the Commission so designated to administer oaths, examine witnesses, take depositions, and receive evidence; (2) the Chairman of the Commission and any administrative law judge to issue subpoenas and order the taking of depositions and responses to written interrogatories, subject to specified requirements; and (3) the U.S. district court for the district in which the person to whom the subpoena is addressed resides or is served, in the case of contumacy or failure to obey a subpoena, upon application of the Commission, to issue an order requiring such person to appear at any designated place to testify or produce evidence, with failure to obey punishable by the court as contempt.
Sets forth provisions regarding safeguards to ensure the security and confidentiality of information furnished by the Service to the Commission.
(Sec. 604) Permits the Service to offer volume discounts, subject to specified requirements. Directs the Service to conduct a demonstration project to determine the feasibility and desirability of affording volume discounts to mailers on a negotiated basis.
Title VII: Provisions Relating to Transportation, Carriage, or Delivery of Mail - Repeals postal provisions regarding: (1) transportation of mail by surface carrier; and (2) restrictions on the length of contracts for mail transportation.
(Sec. 702) Modifies postal provisions to: (1) expand the contracting authority of the Service; and (2) allow a letter to be carried out of the mails when the amount paid for private carriage of the letter is at least two dollars.
(Sec. 704) Directs the Service to: (1) develop a plan for the conduct of a demonstration project to determine the feasibility and desirability of allowing non-postage bearing matter to be deposited in private letter boxes; and (2) commence implementation of such plan within 18 months.
Sets forth provisions regarding procedures, factors to be taken into account in selecting areas for inclusion in the project, written determinations, and evaluation.
Title VIII: Direct Appeal of Decisions of the Merit Systems Protection Board - Authorizes the Chief Executive Officer, with respect to any employee of or applicant for employment with the Service, to obtain review of any final order or decision of the Merit Systems Protection Board by filing a petition for judicial review in the United States Court of Appeals for the Federal Circuit upon determining that the Board erred in interpreting a civil service law, rule, or regulation affecting personnel management and that the Board's decision will have a substantial impact on a civil service law, rule, regulation, or policy directive as applied to the Service, subject to specified requirements. Specifies that the granting of the petition shall be at the discretion of the Court of Appeals.
Title IX: Law Enforcement - Subtitle A: Amendments to Title 39, United States Code - Makes Federal assault statutes applicable to postal contract employees.
(Sec. 902) Authorizes the court, upon finding that a sexually oriented advertisement has been mailed in violation of postal provisions, to assess a civil penalty. Specifies that each piece of mail sent in violation of such provisions constitutes a separate violation, and any penalty assessed shall be paid to the Service for deposit into the Fund. Repeals a prohibition of pandering advertisements.
(Sec. 903) Provides for the deposit in the Fund of amounts (including proceeds from the sale of forfeited items) from any civil forfeiture conducted by the Service and from any forfeiture resulting from an investigation in which the Service has primary responsibility, subject to specified requirements.
(Sec. 904) Sets civil penalties for prohibited mailing and deficient packaging of hazardous matter.
Subtitle B: Other Provisions - Amends the Federal criminal code to set penalties for: (1) stalking Federal and postal officers and employees; and (2) mailing controlled substances, unless in accordance with rules and regulations authorized by the Service.
(Sec. 913) Directs the United States Sentencing Commission to amend its sentencing guidelines to: (1) enhance penalties for stealing or destroying a quantity of undelivered U.S. mail; and (2) establish that the intended loss in a theft of an access device shall be based on the greater of the credit line of such device or the actual unauthorized charges.
(Sec. 914) Modifies the Federal criminal code to: (1) set penalties for breaking into a post office box or postal products vending machine and for receiving, possessing, concealing, or disposing of any mail matter, money, or other U.S. property in violation of post office larceny provisions; (2) increase penalties for assaulting with intent to rob persons having lawful custody of mail, money, or other U.S. property (provides for the death penalty under specified circumstances); and (3) prohibit attempting to use or sell forged or counterfeited postage stamps or meter stamps, stamped envelopes, or postal cards, dies, plates, or engraving, and attempting to loan, use, pledge, hypothecate, or convert to personal use postal funds.
Title X: New System Relating to Postal Rates, Classes, and Services - Requires the Service to request the Commission to submit a recommended decision on appropriate changes in rates of postage and fees for postal services. Sets forth requirements regarding establishment of baseline rates and fees.
Requires that: (1) the maximum rate allowable for a noncompetitive product in any year be computed by multiplying the change in the Gross Domestic Product Chain-Type Price Index, adjusted by the adjustment factor, for such year, by the maximum rate allowable for such product in the preceding year; (2) the Directors establish rates for products in the noncompetitive and competitive categories of mail in accordance with specified procedures.
Authorizes the Service to conduct market tests of experimental products, subject to specified requirements.
Sets forth provisions regarding: (1) adjustment factors, appellate review of Commission procedures, transfers of products from the noncompetitive category, and applicability of the antitrust laws to the Service; (2) reporting and auditing requirements; (3) confidentiality and identification of protected information; and (4) use of profits by the Service.
(Sec. 1002) Modifies postal provisions regarding authority to fix rates and classes, including repealing provisions regarding revenues, total estimate costs, and rates and fees. Provides for the continued applicability of current provisions for computing alternative rate limitations for noncompetitive products. Revises provisions regarding recommended decisions of the Commission, action of the Governors, temporary rates, rate and service complaints, and mail classification. Bars the reclassification of a product from the competitive to the noncompetitive category of mail.
[Congressional Bills 105th Congress]
[From the U.S. Government Printing Office]
[H.R. 22 Introduced in House (IH)]
105th CONGRESS
1st Session
H. R. 22
To reform the postal laws of the United States.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
January 7, 1997
Mr. McHugh introduced the following bill; which was referred to the
Committee on Government Reform and Oversight
_______________________________________________________________________
A BILL
To reform the postal laws of the United States.
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 Reform Act
of 1997''.
(b) Table of Contents.--The table of contents for this Act is as
follows:
Sec. 1. Short title; table of contents.
TITLE I--ORGANIZATION
Sec. 101. Redesignations relating to the Governors and the Board of
Governors.
Sec. 102. Redesignations relating to the Postmaster General and the
Deputy Postmaster General.
Sec. 103. Clarification relating to execution of amendments.
TITLE II--GENERAL AUTHORITY
Sec. 201. Employment of postal police officers.
Sec. 202. Date of postmark to be treated as date of appeal in
connection with the closing or
consolidation of post offices.
TITLE III--PRESIDENTIAL POSTAL EMPLOYEE-MANAGEMENT COMMISSION
Sec. 301. Presidential Postal Employee-Management Commission.
TITLE IV--FINANCE
Sec. 401. End of Treasury control of Postal Service banking.
Sec. 402. Postal Service investments.
Sec. 403. Exclusion from Federal Financing Bank.
Sec. 404. Elimination of Treasury preemption of borrowing by the Postal
Service.
Sec. 405. Elimination of Postal Service ``put'' on Treasury.
TITLE V--BUDGET AND APPROPRIATIONS PROCESS
Sec. 501. Repeal of provision relating to transitional appropriations.
Sec. 502. Provisions relating to benefits under chapter 81 of title 5,
United States Code, for officers and
employees of the former Post Office
Department.
Sec. 503. Repeal of authorizations of appropriations for public service
costs, revenue forgone, and certain
compensatory appropriations.
Sec. 504. Congressional oversight preserved.
TITLE VI--MISCELLANEOUS PROVISIONS RELATING TO POSTAL RATES, CLASSES,
AND SERVICES
Sec. 601. Change-of-address order involving a commercial mail receiving
agency.
Sec. 602. Rates for mail under former section 4358.
Sec. 603. Powers of the Postal Rate Commission.
Sec. 604. Volume discounts.
TITLE VII--PROVISIONS RELATING TO THE TRANSPORTATION, CARRIAGE, OR
DELIVERY OF MAIL
Sec. 701. Obsolete provisions.
Sec. 702. Expanded contracting authority.
Sec. 703. Private carriage of letters.
Sec. 704. Mailbox demonstration project.
TITLE VIII--DIRECT APPEAL OF DECISIONS OF THE MERIT SYSTEMS PROTECTION
BOARD
Sec. 801. Direct appeal of decisions of the Merit Systems Protection
Board.
TITLE IX--LAW ENFORCEMENT
Subtitle A--Amendments to Title 39, United States Code
Sec. 901. Make Federal assault statutes applicable to postal contract
employees.
Sec. 902. Sexually oriented advertising.
Sec. 903. Allow Postal Service to retain asset forfeiture recoveries.
Sec. 904. Hazardous matter.
Subtitle B--Other Provisions
Sec. 911. Stalking Federal officers and employees.
Sec. 912. Nonmailability of controlled substances.
Sec. 913. Enhanced penalties.
Sec. 914. Postal burglary provisions.
Sec. 915. Mail, money, or other property of the United States.
TITLE X--NEW SYSTEM RELATING TO POSTAL RATES, CLASSES, AND SERVICES
Sec. 1001. Establishment.
Sec. 1002. Termination of ratemaking authority under chapter 36 and
related matters.
TITLE I--ORGANIZATION
SEC. 101. REDESIGNATIONS RELATING TO THE GOVERNORS AND THE BOARD OF
GOVERNORS.
(a) References in Title 39.--Title 39, United States Code, is
amended--
(1) by striking ``Board of Governors'' each place it
appears and inserting ``Board of Directors'';
(2) by striking ``Governors'' each place it appears (except
wherever it appears in ``Board of Governors'') and inserting
``Directors''; and
(3) by striking ``Governor'' each place it appears and
inserting ``Director''.
(b) References Outside Title 39.--Any reference in any provision of
law outside title 39, United States Code, enacted before the date of
the enactment of this Act--
(1) to the Board of Governors, within the meaning of
section 102(2) of title 39, United States Code, as in effect
before the date of the enactment of this Act, shall be treated
as referring to the Board of Directors, within the meaning of
such section 102(2), as amended by subsection (a); or
(2) to any of the Governors, within the meaning of section
102(3) of title 39, United States Code, as in effect before the
date of the enactment of this Act, shall be treated as
referring to the corresponding Director or Directors, within
the meaning of such section 102(3), as amended by subsection
(a).
SEC. 102. REDESIGNATIONS RELATING TO THE POSTMASTER GENERAL AND THE
DEPUTY POSTMASTER GENERAL.
(a) In General.--(1) Section 202(c) of title 39, United States
Code, is amended by striking ``Postmaster General'' and inserting
``Chief Executive Officer of the United States Postal Service''.
(2) Section 202(d) of such title 39 is amended by striking ``Deputy
Postmaster General'' and inserting ``Deputy Chief Executive Officer of
the United States Postal Service''.
(3) Section 102 of such title 39 is amended by striking ``and'' at
the end of paragraph (2), by striking the period at the end of
paragraph (3) and inserting a semicolon, and by adding after paragraph
(3) the following:
``(4) `Chief Executive Officer', unless the context
otherwise requires, means the Chief Executive Officer of the
United States Postal Service appointed under section 202(c);
and
``(5) `Deputy Chief Executive Officer', unless the context
otherwise requires, means the Deputy Chief Executive Officer of
the United States Postal Service appointed under section
202(d).''.
(b) Other References in Title 39.--Title 39, United States Code, is
further amended--
(1) by striking ``Postmaster General'' each place it
appears (except wherever it appears in ``Deputy Postmaster
General'') and inserting ``Chief Executive Officer''; and
(2) by striking ``Deputy Postmaster General'' each place it
appears and inserting ``Deputy Chief Executive Officer''.
(c) References Outside Title 39.--Any reference in any provision of
law outside title 39, United States Code, enacted before the date of
the enactment of this Act--
(1) to the Postmaster General shall be treated as referring
to the Chief Executive Officer of the United States Postal
Service; and
(2) to the Deputy Postmaster General shall be treated as
referring to the Deputy Chief Executive Officer of the United
States Postal Service.
SEC. 103. CLARIFICATION RELATING TO EXECUTION OF AMENDMENTS.
Any amendment made in this title to a term ``each place it
appears'' (or other words to the same effect) shall be considered to
include such term when it appears in a table of contents or a section
heading.
TITLE II--GENERAL AUTHORITY
SEC. 201. EMPLOYMENT OF POSTAL POLICE OFFICERS.
Section 404 of title 39, United States Code, is amended by adding
at the end the following:
``(c)(1) The Postal Service may employ guards for all buildings and
areas owned or occupied by the Postal Service or under the charge and
control of the Postal Service, and such guards shall have, with respect
to such property, the powers of special policemen provided by the first
section of the Act cited in paragraph (2), and, as to such property,
the Chief Executive Officer (or his designee) may take any action that
the Administrator of General Services (or his designee) may take under
section 2 or 3 of such Act, attaching thereto penalties under the
authority and within the limits provided in section 4 of such Act.
``(2) The Act cited in this paragraph is the Act of June 1, 1948
(62 Stat. 281), commonly known as the Protection of Public Property
Act.''.
SEC. 202. DATE OF POSTMARK TO BE TREATED AS DATE OF APPEAL IN
CONNECTION WITH THE CLOSING OR CONSOLIDATION OF POST
OFFICES.
(a) In General.--Section 404(b) of title 39, United States Code, is
amended by adding at the end the following:
``(6) For purposes of paragraph (5), any appeal received by the
Commission shall--
``(A) if sent to the Commission through the mails, be
considered to have been received on the date of the Postal
Service postmark on the envelope or other cover in which such
appeal is mailed; or
``(B) if lawfully delivered to the Commission by an
enterprise in the private sector of the economy engaged in the
delivery of mail, be considered to have been received on the
date determined based on any appropriate documentation or other
indicia (as determined under regulations of the Commission).''.
(b) Effective Date.--This section and the amendments made by this
section shall apply with respect to any determination to close or
consolidate a post office which is first made available, in accordance
with paragraph (3) of section 404(b) of title 39, United States Code,
after the end of the 3-month period beginning on the date of the
enactment of this Act.
TITLE III--PRESIDENTIAL POSTAL EMPLOYEE-MANAGEMENT COMMISSION
SEC. 301. PRESIDENTIAL POSTAL EMPLOYEE-MANAGEMENT COMMISSION.
(a) In General.--Section 206 of title 39, United States Code, is
amended to read as follows:
``Sec. 206. Presidential Postal Employee-Management Commission
``(a) There shall be established a Presidential Postal Employee-
Management Commission (hereinafter in this section referred to as the
`Commission').
``(b)(1) The Commission shall study and make recommendations, in
accordance with this section, on how employee-management relations
within the Postal Service might be improved.
``(2) The Commission shall submit its recommendations--
``(A) to the President and the Congress, to the extent that
they involve any legislation; and
``(B) to the Postal Service, to the extent that no
legislation would be involved.
``(3) All recommendations shall be submitted in the form of a
written report, with the first set of reports due within 18 months
after the Commission is first constituted, and the second and third
sets of reports in 12-month intervals thereafter.
``(4) The Commission shall terminate after submitting its third set
of reports.
``(c)(1) The Commission shall be composed of 7 members, all of whom
shall be appointed by the President. Of the members--
``(A) 2 shall be appointed from among persons who will
represent the views of nonpostal labor organizations familiar
with issues common to postal employees;
``(B) 2 shall be appointed from among persons who will
represent the views of the management of private corporations
similar in size to the Postal Service;
``(C) 2 shall be appointed from among persons well known in
the fields of employee-management relations, labor mediation,
and collective bargaining; and
``(D) 1 shall be appointed from among persons well known in
the fields described in subparagraph (C), who are also
generally viewed as not being predisposed to the interests of
employees or management.
``(2) All members shall be appointed for the life of the
Commission.
``(3) Not more than 4 members may be of the same political party.
``(4) Members shall serve without compensation, but shall be
reimbursed for necessary travel and reasonable expenses incurred in
attending meetings of the Commission.
``(5) The member appointed under paragraph (1)(D) shall serve as
chairman of the Commission.
``(d)(1) The Commission shall have a Director who shall be
appointed by the Commission and paid at a rate not to exceed the rate
of basic pay payable for level IV of the Executive Schedule under
section 5315 of title 5.
``(2) Upon request of the Commission, the Federal Mediation and
Conciliation Service may detail, on a reimbursable basis, any of the
personnel of that agency to the Commission to assist it in carrying out
its duties under this Act.
``(3) The Commission may not appoint or retain any staff, except as
provided in paragraph (1) or (2).''.
(b) Clerical Amendment.--The table of sections at the beginning of
chapter 2 of title 39, United States Code, is amended by striking the
item relating to section 206 and inserting the following:
``206. Presidential Postal Employee-Management Commission.''.
TITLE IV--FINANCE
SEC. 401. END OF TREASURY CONTROL OF POSTAL SERVICE BANKING.
(a) In General.--Subsection (d) of section 2003 of title 39, United
States Code, is amended to read as follows:
``(d)(1) The Postal Service, in its sole discretion--
``(A) may provide that amounts which would otherwise be
deposited in the revolving fund referred to in subsection (a)
shall instead, to the extent considered appropriate by the
Postal Service, be directly deposited in a Federal Reserve bank
or a depository for public funds selected by the Postal
Service; and
``(B) may provide for transfers of amounts under this
subsection between or among--
``(i) Federal Reserve banks;
``(ii) depositories for public funds; and
``(iii) the revolving fund referred to in
subsection (a).
``(2) The Postal Service, after consultation with the Secretary of
the Treasury, shall prepare and may from time to time revise a master
plan for the exercise of any authority under this subsection. Such plan
shall address--
``(A) the criteria that shall be applied by the Postal
Service in deciding when and how any such authority shall be
exercised;
``(B) matters such as risk limitations, reserve balances,
allocation or distribution of monies, liquidity requirements,
and measures to safeguard against losses;
``(C) the types of notification or consultation
requirements the Postal Service shall follow in connection with
any exercise or proposed exercise of authority under this
subsection; and
``(D) procedures under which the Postal Service shall, at
least annually, render a full accounting as to how any
authority under this subsection has been exercised during the
period involved.
``(3)(A) Authority under this subsection may not be exercised
except in accordance with applicable provisions of the master plan
under paragraph (2).
``(B) The Postal Service shall submit its master plan (and any
revision thereof) to the President, the Secretary of the Treasury, and
each House of Congress at least 30 days before the date of its proposed
implementation.''.
(b) Savings Provision.--Until the authority under section 2003(d)
of title 39, United States Code, as amended by subsection (a), becomes
available, the provisions of such section 2003(d), as last in effect
before being so amended, shall be treated as if still in effect.
(c) Status of Monies Unchanged.--(1) Any amounts invested under
section 2003(c) of title 39, United States Code, as amended by this
title, shall be considered to be part of the Postal Service Fund, to
the same extent as if they had been invested under section 2003(c) of
such title 39, as last in effect before the date of the enactment of
this Act.
(2) Any amounts deposited or transferred under section 2003(d) of
title 39, United States Code, as amended by this title, shall be
considered to be part of the Postal Service Fund, to the same extent as
if they had been transferred under section 2003(d) of such title 39, as
last in effect before the date of the enactment of this Act.
SEC. 402. POSTAL SERVICE INVESTMENTS.
Section 2003(c) of title 39, United States Code, is amended by
striking all after ``it may'' and inserting the following: ``invest
such amounts as it considers appropriate in obligations of, or
obligations guaranteed by, the Government of the United States.''.
SEC. 403. EXCLUSION FROM FEDERAL FINANCING BANK.
Section 2005(d) of title 39, United States Code, is amended--
(1) in paragraph (4) by striking ``and'' after the
semicolon;
(2) in paragraph (5) by striking the period and inserting
``; and''; and
(3) by adding at the end the following:
``(6) notwithstanding the provisions of the Federal
Financing Bank Act of 1973 or any other provision of law
(except as may be specifically provided by reference to this
paragraph in any Act enacted after this paragraph takes
effect), not be eligible for purchase by, or commitment to
purchase by, or sale or issuance to, the Federal Financing
Bank.''.
SEC. 404. ELIMINATION OF TREASURY PREEMPTION OF BORROWING BY THE POSTAL
SERVICE.
Section 2006(a) of title 39, United States Code, is amended by
striking all after the first sentence.
SEC. 405. ELIMINATION OF POSTAL SERVICE ``PUT'' ON TREASURY.
Section 2006(b) of title 39, United States Code, is amended to read
as follows:
``(b) The Secretary of the Treasury may purchase obligations of the
Postal Service in such amounts as the Secretary of the Treasury and the
Postal Service, in their discretion, may agree.''.
TITLE V--BUDGET AND APPROPRIATIONS PROCESS
SEC. 501. REPEAL OF PROVISION RELATING TO TRANSITIONAL APPROPRIATIONS.
(a) Repeal.--(1) Section 2004 of title 39, United States Code, is
repealed.
(2) The item relating to section 2004 in the table of sections at
the beginning of chapter 20 of such title 39 is repealed.
(3) Section 2003(e)(2) of such title 39 is amended by striking
``sections 2401 and 2004'' each place it appears and inserting
``section 2401''.
(b) Clarification That Liabilities Formerly Paid Pursuant to
Section 2004 Remain Liabilities Payable by the Postal Service.--Section
2003 of title 39, United States Code, is amended by adding at the end
the following:
``(h) Liabilities of the former Post Office Department to the
Employees' Compensation Fund (appropriations for which were authorized
by former section 2004, as in effect before the effective date of this
subsection) shall be liabilities of the Postal Service payable out of
the Fund.''.
(c) Effective Date.--This section and the amendments made by this
section shall take effect on October 1, 1998.
SEC. 502. PROVISIONS RELATING TO BENEFITS UNDER CHAPTER 81 OF TITLE 5,
UNITED STATES CODE, FOR OFFICERS AND EMPLOYEES OF THE
FORMER POST OFFICE DEPARTMENT.
(a) In General.--Section 8 of the Postal Reorganization Act (39
U.S.C. 1001 note) is amended by inserting ``(a)'' after ``8.'' and by
adding at the end the following:
``(b) For purposes of chapter 81 of title 5, United States Code,
the Postal Service shall, with respect to any individual receiving
benefits under such chapter as an officer or employee of the former
Post Office Department, have the same authorities and responsibilities
as it has with respect to an officer or employee of the Postal Service
receiving such benefits.''.
(b) Effective Date.--This section and the amendments made by this
section shall take effect on October 1, 1998.
SEC. 503. REPEAL OF AUTHORIZATIONS OF APPROPRIATIONS FOR PUBLIC SERVICE
COSTS, REVENUE FORGONE, AND CERTAIN COMPENSATORY
APPROPRIATIONS.
(a) In General.--Section 2401 of title 39, United States Code, is
amended by striking subsections (b), (c), (d), (f), and (g), and by
redesignating subsection (e) as subsection (b).
(b) Conforming Amendments.--(1) Section 2003 of title 39, United
States Code, is amended--
(A) in subsection (e) by striking paragraph (2) and by
redesignating subsection (e)(1) as subsection (e); and
(B) by striking subsection (f) and by redesignating
subsection (g) as subsection (f).
(2) Section 2009 of such title 39 is amended by striking the last
two sentences.
(3) Sections 2803(a) and 2804(a) of such title 39 are amended by
striking ``2401(g)'' and inserting ``2401(b)''.
(4) Section 3626(a)(2)(B) of such title 39 is amended by striking
``paragraph (3)(A) or section 2401(c);'' and inserting ``paragraph
(3)(A), section 3217, or sections 3403-3406;''.
(5)(A) Section 3627 of such title 39 is repealed.
(B) The item relating to section 3627 in the table of sections at
the beginning of chapter 36 of such title 39 is repealed.
(C) Section 3684 of such title 39 is amended by striking ``Except
as provided in section 3627 of this title, no'' and inserting ``No''.
(c) Effective Date.--This section and the amendments made by this
section shall take effect on October 1, 1998.
SEC. 504. CONGRESSIONAL OVERSIGHT PRESERVED.
Subsection (b) of section 2401 of title 39, United States Code, as
so redesignated by section 503(a), is amended--
(1) by striking ``Committee on Post Office and Civil
Service'' each place it appears and inserting ``Committee on
Government Reform and Oversight'';
(2) by striking ``and the Committees on Appropriations of
the Senate and the House of Representatives'';
(3) in the matter before paragraph (1)--
(A) by striking ``2009 of this title,'' and
inserting ``2009 for a fiscal year,''; and
(B) by striking ``for the fiscal year for which
funds are requested to be appropriated,'' and inserting
``for such fiscal year,'';
(4) in paragraph (3) by striking ``during the fiscal year
for which funds are requested to be appropriated,'' and
inserting ``during the fiscal year referred to in the matter
before paragraph (1),'';
(5) by striking ``Not later than March 15 of each year,''
and inserting ``Each year,''; and
(6) by striking ``any such committee considers necessary to
determine the amount of funds to be appropriated for the
operation of the Postal Service,'' and inserting ``either such
committee considers necessary,''.
TITLE VI--MISCELLANEOUS PROVISIONS RELATING TO POSTAL RATES, CLASSES,
AND SERVICES
SEC. 601. CHANGE-OF-ADDRESS ORDER INVOLVING A COMMERCIAL MAIL RECEIVING
AGENCY.
(a) In General.--Subchapter V of chapter 36 of title 39, United
States Code, is amended by adding at the end the following:
``Sec. 3686. Change-of-address order involving a commercial mail
receiving agency
``(a) For the purpose of this section, the term `commercial mail
receiving agency' or `CMRA' means a private business that acts as the
mail receiving agent for specific clients.
``(b) Upon termination of an agency relationship between an
addressee and a commercial mail receiving agency--
``(1) the addressee or, if authorized to do so, the CMRA
may file a change-of-address order with the Postal Service with
respect to such addressee;
``(2) a change-of-address order so filed shall, to the
extent practicable, be given full force and effect; and
``(3) any mail for the addressee that is delivered to the
CMRA after the filing of an appropriate order under this
subsection shall be subject to subsection (c).
``(c) Mail described in subsection (b)(3) shall, if marked for
forwarding and remailed by the CMRA, be forwarded by the Postal Service
in the same manner as, and subject to the same terms and conditions
(including limitations on the period of time for which a change-of-
address order shall be given effect) as apply to, mail forwarded
directly by the Postal Service to the addressee.''.
(b) Clerical Amendment.--The table of sections at the beginning of
chapter 36 of title 39, United States Code, is amended by adding after
the item relating to section 3685 the following:
``3686. Change-of-address order involving a commercial mail receiving
agency.''.
SEC. 602. RATES FOR MAIL UNDER FORMER SECTION 4358.
Section 3626 of title 39, United States Code, is amended by adding
at the end the following:
``(n) In the administration of this section, matter shall not be
excluded from being mailed at the rates for mail under former section
4358 solely because such matter does not meet the requirements of
former section 4354(a)(5).''.
SEC. 603. POWERS OF THE POSTAL RATE COMMISSION.
Section 3604 of title 39, United States Code, is amended by adding
at the end the following:
``(f)(1) Any Commissioner of the Commission, any administrative law
judge appointed by the Commission under section 3105 of title 5, and
any employee of the Commission designated by the Commission may
administer oaths, examine witnesses, take depositions, and receive
evidence.
``(2) The Chairman of the Commission, any Commissioner designated
by the Chairman, and any administrative law judge appointed by the
Commission under section 3105 of title 5 may, with respect to any
proceeding under section 3624 or 3661 or chapter 37--
``(A) issue subpenas requiring the attendance and
presentation of testimony of any individual, and the production
of documentary or other evidence, from any place in the United
States, any territory or possession of the United States, the
Commonwealth of Puerto Rico, or the District of Columbia; and
``(B) order the taking of depositions and responses to
written interrogatories.
The written concurrence of a majority of the Commissioners then holding
office shall, with respect to each subpena under subparagraph (A), be
required in advance of its issuance.
``(3) In the case of contumacy or failure to obey a subpena issued
under this subsection, upon application by the Commission, the district
court of the United States for the district in which the person to whom
the subpena is addressed resides or is served may issue an order
requiring such person to appear at any designated place to testify or
produce documentary or other evidence. Any failure to obey the order of
the court may be punished by the court as a contempt thereof.
``(g)(1) If the Postal Service determines that any document or
other matter it provides to the Commission pursuant to a subpena issued
under subsection (f), or otherwise at the request of the Commission in
connection with any proceeding or other purpose under this chapter or
chapter 37, contains information which is described in section 410(c)
of this title, 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, in writing, of its
determination (and the reasons therefor).
``(2) No officer or employee of the Commission may, with respect to
any information as to which the Commission has been notified under
paragraph (1)--
``(A) use such information for purposes other than the
purposes for which it is supplied; or
``(B) permit anyone who is not an officer or employee of
the Commission to have access to any such information.
``(3) Paragraph (2) shall not prevent information from being
furnished under any process of discovery established under this title
in connection with a proceeding under this chapter or chapter 37 which
is conducted in accordance with sections 556 and 557 of title 5. The
Commission shall, by regulations based on rule 26(c) of the Federal
Rules of Civil Procedure, establish appropriate administrative and
other safeguards to ensure the security and confidentiality of any
information furnished under the preceding sentence.''.
SEC. 604. VOLUME DISCOUNTS.
(a) In General.--Subsection (c) of section 403 of title 39, United
States Code, is amended by striking ``(c)'' and inserting ``(c)(1)''
and by adding at the end the following:
``(2) Nothing in this title shall be considered to preclude the
Postal Service from offering any discount in a rate or fee, on the
basis of volume, so long as--
``(A) all persons are, with respect to the class of mail or
postal service involved, eligible for the same volume discount;
and
``(B) the discounted rate--
``(i) if a product in the noncompetitive category
of mail is involved, does not exceed the maximum rate
then allowable for such product under subchapter II of
chapter 37; or
``(ii) if a product in the competitive category of
mail is involved, satisfies the requirement under
section 3742(b) that each such product bear the direct
and indirect postal costs attributable to such product
plus a reasonable contribution to all other costs of
the Postal Service.''.
(b) Demonstration Project.--
(1) In general.--
(A) Purpose.--As soon as practicable after the date
of the enactment of this Act, the United States Postal
Service shall conduct a demonstration project, the
purpose of which shall be to determine the feasibility
and desirability of affording volume discounts to
mailers on a negotiated basis.
(B) Limitation.--The demonstration project shall be
limited to products in the competitive category of mail
(within the meaning of section 3741(2) of title 39,
United States Code, as amended by section 1001).
(C) Discounts.--Under the demonstration project,
any discounts shall be on such terms and conditions as
may be mutually agreed to by the Postal Service and the
mailer, subject to section 403(c)(2)(B)(ii) of title
39, United States Code (as amended by subsection (a)).
(2) Other requirements.--Subsections (c)(1)(A), (d)(1)
(excluding subparagraphs (A)(i), (B)(ii), and (C)(ii) thereof),
and (e) of section 704 shall apply with respect to the
demonstration project under this subsection.
(c) Effective Date.--This section and the amendments made by this
section shall take effect on the date on which section 1002 (relating
to termination of ratemaking authority under chapter 36 and related
matters) takes effect.
TITLE VII--PROVISIONS RELATING TO TRANSPORTATION, CARRIAGE, OR DELIVERY
OF MAIL
SEC. 701. OBSOLETE PROVISIONS.
(a) Repeal.--Chapter 52 of title 39, United States Code, is
repealed.
(b) Conforming Amendments.--(1) Section 5005(a) of title 39, United
States Code, is amended--
(A) by repealing paragraph (1); and
(B) in paragraph (4) by striking ``(as defined in section
5201(6) of this title)''.
(2) Section 10721(b)(1) of title 49, United States Code, is amended
by striking ``chapters 50 and 52'' and inserting ``chapter 50''.
(c) Eliminating Restriction on Length of Contracts.--(1) Section
5005(b)(1) of title 39, United States Code, is amended by striking
``shall be for periods not in excess of 4 years (or where the Postal
Service determines that special conditions or the use of special
equipment warrants, not in excess of 6 years) and''.
(2) Section 5402(c) of such title 39 is amended by striking ``for a
period of not more than 4 years''.
(3) Section 5605 of such title 39 is amended by striking ``for
periods of not in excess of 4 years''.
SEC. 702. EXPANDED CONTRACTING AUTHORITY.
Subsection (d) of section 5402 of title 39, United States Code, is
amended to read as follows:
``(d) Notwithstanding the provisions of subsections (a) through
(c), the Postal Service may contract for the transportation of mail by
aircraft, except as provided in subsections (f) and (g).''.
SEC. 703. PRIVATE CARRIAGE OF LETTERS.
Section 601(a) of title 39, United States Code, is amended by
inserting ``when the amount paid for private carriage of the letter is
at least $2, or'' before ``when''.
SEC. 704. MAILBOX DEMONSTRATION PROJECT.
(a) Purpose.--The purpose of this section is to determine the
feasibility and desirability of allowing non-postage bearing matter to
be deposited in private letterboxes.
(b) Project.--As soon as practicable after the date of the
enactment of this Act, the United States Postal Service shall--
(1) develop a plan for the conducting of a demonstration
project under this section; and
(2) within 18 months after the date of the enactment of
this Act, commence implementation of such plan.
(c) Specifications.--
(1) In general.--The demonstration project--
(A) shall be conducted over a 3-year period;
(B) shall include such areas as the Postal Service
considers appropriate, except that such project shall
include at least 1 urban area, 1 rural area, and 1
suburban area, each of which shall involve a sufficient
level of participation so as to ensure meaningful
results; and
(C) shall include provisions under which any person
may elect not to participate, or to cease to
participate, in the project.
(2) Temporary suspension of section 1725 of title 18.--
Section 1725 of title 18, United States Code, shall not apply
with respect to conduct occurring--
(A) within an area included in the demonstration
project; and
(B) while the demonstration project is ongoing.
(d) Procedures.--
(1) In general.--The Postal Service shall--
(A) develop a plan for the demonstration project
which identifies--
(i) the specific areas to be included in
the project;
(ii) the commencement and termination dates
of the project;
(iii) the legal authority for the project;
and
(iv) specific details as to what the
project will entail;
(B) at least 90 days before commencing
implementation of the project--
(i) publish the proposed plan in the
Federal Register, including notice as to the
time and manner in which interested persons may
submit written comments; and
(ii) provide notification of the proposed
plan to persons served within the areas to be
included in the project, including the relevant
information as to the time, form, and manner in
which any such person shall have the
opportunity to present their views, in writing
or by oral presentation, as they may elect; and
(C) after considering the comments and views and
any other information received under subparagraph (B),
prepare the final version of the plan for such project
and, not later than 30 days before commencing
implementation of the project--
(i) publish the final plan in the Federal
Register; and
(ii) provide notification of the final plan
to persons served within the areas to be
included in the project.
(2) Factors to be taken into account in selecting areas for
inclusion.--In identifying areas for inclusion in the
demonstration project, the Postal Service shall take into
account--
(A) what types of data are needed in order to
permit a meaningful evaluation under subsection (e);
and
(B) such other factors as the Postal Service
considers appropriate.
(3) Written determinations.--Any determination of the
Postal Service to commence implementation of the demonstration
project shall be in writing and shall include the findings of
the Postal Service with respect to the factors required to be
taken into account under paragraph (2). Such determination and
findings shall be made available to the persons served by the
Postal Service within each area included in the project.
(e) Evaluation.--Not later than 1 year after the demonstration
project ends, the Comptroller General of the United States shall submit
to each House of Congress a written evaluation of such project,
including recommendations as to whether or not the authority tested by
the project should be broadened in scope and made permanent and, if so,
with what modifications (if any).
TITLE VIII--DIRECT APPEAL OF DECISIONS OF THE MERIT SYSTEMS PROTECTION
BOARD
SEC. 801. DIRECT APPEAL OF DECISIONS OF THE MERIT SYSTEMS PROTECTION
BOARD.
Section 7703 of title 5, United States Code, is amended by adding
at the end the following:
``(e)(1) The Chief Executive Officer may, with respect to any
employee of the Postal Service or applicant for employment with the
Postal Service, and subject to the provisions of sections 409(b)-(e)
and 411 of title 39, obtain review of any final order or decision of
the Board by filing a petition for judicial review in the United States
Court of Appeals for the Federal Circuit if the Chief Executive Officer
determines, in his or her discretion, that the Board erred in
interpreting a civil service law, rule, or regulation affecting
personnel management and that the Board's decision will have a
substantial impact on a civil service law, rule, regulation, or policy
directive, as applied with respect to the Postal Service. If the Chief
Executive Officer did not intervene in a matter before the Board, the
Chief Executive Officer may not petition for review of a Board decision
under this section unless the Chief Executive Officer first petitions
the Board for a reconsideration of its decision, and such petition is
denied. In addition to the named respondent, the Board and all other
parties to the proceedings before the Board shall have the right to
appear in the proceeding before the Court of Appeals. The granting of
the petition for judicial review shall be at the discretion of the
Court of Appeals.
``(2) For purposes of applying the provisions of section 7701(e) in
the case of a decision that relates to an employee of the Postal
Service or applicant for employment with the Postal Service, such
provisions shall be applied by substituting `Director or Chief
Executive Officer of the United States Postal Service' for `Director'.
``(3) For purposes of this subsection--
``(A) the term `Chief Executive Officer' means the Chief
Executive Officer of the United States Postal Service; and
``(B) the term `Postal Service' means the United States
Postal Service.''.
TITLE IX--LAW ENFORCEMENT
Subtitle A--Amendments to Title 39, United States Code
SEC. 901. MAKE FEDERAL ASSAULT STATUTES APPLICABLE TO POSTAL CONTRACT
EMPLOYEES.
Section 1008 of title 39, United States Code, is amended--
(1) in subsection (a) by inserting ``or entrusted with mail
under contract with the Postal Service'' after ``mail''; and
(2) in subsection (b) by inserting ``an employee of the
Postal Service for the purposes of sections 111 and 1114 of
title 18, and'' after ``deemed''.
SEC. 902. SEXUALLY ORIENTED ADVERTISING.
(a) Civil Penalty.--Section 3011 of title 39, United States Code,
is amended--
(1) by redesignating subsections (b) through (e) as
subsections (c) through (f), respectively; and
(2) by inserting after subsection (a) the following:
``(b)(1) Upon a finding by the court that a sexually oriented
advertisement has been mailed in violation of section 3010(b), the
court may assess, on whoever made the mailing or caused it to be made,
a civil penalty of not less than $500 and not more than $1,500 for each
violation. Each piece of mail sent in violation of section 3010(b)
shall constitute a separate violation.
``(2) For purposes of this subsection--
``(A) receipt of a sexually oriented advertisement after
the recipient's name and address have been listed (as described
in section 3010(b)) for at least 60 days shall create a
rebuttable presumption that such advertisement was mailed more
than 30 days after that individual's name and address became so
listed; and
``(B) receipt in the mail of a sexually oriented
advertisement addressed to `Occupant' or `Resident' (or any
other term permitted by Postal Service standards on simplified
addressing) at the recipient's address, or which is
specifically addressed to the recipient, but with an
inconsequential error or variation in the recipient's name or
address, shall, for purposes of applying the mailing
prohibition of section 3010(b), create a rebuttable presumption
that such advertisement was mailed to such recipient.
``(3) Any penalty assessed under paragraph (1) shall be paid to the
Postal Service for deposit in the Postal Service Fund established by
section 2003.''.
(b) Repeal.--
(1) In general.--Section 3008 of title 39, United States
Code, and the item relating to such section in the table of
sections at the beginning of chapter 30 of such title, are
repealed.
(2) Conforming amendments.--(A) Subsection (f) of section
3011 of such title 39 (as so redesignated by subsection (a)) is
amended by striking ``section 3006, 3007, or 3008'' and
inserting ``section 3006 or 3007''.
(B) Section 1737 of title 18, United States Code, is
amended--
(i) in subsection (a) by striking ``3008 or''; and
(ii) in subsection (b) by striking ``3008(a) or''.
(c) Effective Date.--This section and the amendments made by this
section shall take effect 90 days after the date of the enactment of
this Act. The amendments made by this section shall be treated as if
they had never been enacted for purposes of any mailing made or caused
to be made before this section takes effect.
SEC. 903. ALLOW POSTAL SERVICE TO RETAIN ASSET FORFEITURE RECOVERIES.
Paragraph (7) of section 2003(b) of title 39, United States Code,
is amended to read as follows:
``(7) amounts (including proceeds from the sale of
forfeited items) from any civil forfeiture conducted by the
Postal Service and from any forfeiture resulting from an
investigation in which the Postal Service has primary
responsibility, except that nothing in this paragraph shall
preclude the Postal Service, on such terms as it may determine,
from sharing such amounts with any Federal, State, or local law
enforcement agency which participated in any of the acts which
led to the seizure or forfeiture of the property; and''.
SEC. 904. HAZARDOUS MATTER.
(a) Civil Penalty.--Chapter 30 of title 39, United States Code, is
amended by adding at the end the following:
``Sec. 3016. Civil penalty for prohibited mailing and deficient
packaging of hazardous matter
``(a) For the purposes of this section--
``(1) the term `parcel' includes any kind of package,
envelope, container, or other piece of mail;
``(2) the term `manner' includes the preparation and
packaging of a piece of mail;
``(3) a person shall be considered to have acted knowingly
if--
``(A) such person had actual knowledge of the facts
giving rise to the violation; or
``(B) a reasonable person acting in the same
circumstances and exercising due care would have had
such knowledge; and
``(4) the term `hazardous matter' has the meaning given
such term by section 1716 of title 18.
``(b) Any person--
``(1) who knowingly mails or causes to be mailed any
parcel, the contents of which constitute or include any
hazardous matter which has been declared by statute or Postal
Service regulation to be nonmailable under any circumstances;
``(2) who knowingly mails or causes to be mailed a parcel
in violation of any statute or Postal Service regulation
restricting the time, place, or manner in which hazardous
matter may be mailed; or
``(3) who knowingly manufactures, distributes, or sells any
container, packaging kit, or similar device that--
``(A) is represented, marked, certified, or sold by
such person for use in the mailing of any hazardous
matter; and
``(B) fails to conform with any statute or Postal
Service regulation setting forth standards for
containers, packaging kits, or similar devices used for
the mailing of hazardous matter;
shall be liable to the Postal Service for a civil penalty in an amount
not to exceed $25,000 per violation.
``(c) The Postal Service may enforce this section by commencing a
civil action in accordance with section 409(d). The action may be
brought in the district court of the United States for the district in
which the defendant resides or any district in which the defendant
conducts business or in which a violation of this section was
discovered.
``(d) In determining the amount of any civil penalty to be assessed
under this section, the district court--
``(1) shall treat as a separate violation--
``(A) each parcel mailed or caused to be mailed as
described in paragraph (1) or (2) of subsection (b);
and
``(B) each container, packaging kit, or similar
device manufactured, distributed, or sold as described
in subsection (b)(3); and
``(2) shall take into account--
``(A) the nature, circumstances, extent, and
gravity of each violation committed; and
``(B) with respect to the person found to have
committed such violation, the degree of culpability,
any history of prior offenses, ability to pay, effect
on ability to continue to do business, and such other
matters as justice may require.
``(e) All penalties collected under authority of this section shall
be paid into the Postal Service Fund established by section 2003.''.
(b) Clerical Amendment.--The table of sections at the beginning of
chapter 30 of title 39, United States Code, is amended by adding at the
end the following:
``3016. Civil penalty for prohibited mailing and deficient packaging of
hazardous matter.''.
Subtitle B--Other Provisions
SEC. 911. STALKING FEDERAL OFFICERS AND EMPLOYEES.
(a) In General.--Chapter 41 of title 18, United States Code, is
amended by adding at the end the following:
``Sec. 881. Stalking Federal and postal officers and employees
``(a) Whoever--
``(1) repeatedly engages in a pattern of conduct (including
maintaining a visual or physical proximity or verbal or written
threat) directed at another person who is or was an officer or
employee--
``(A) in the executive, legislative, or judicial
branch of the Federal Government; or
``(B) in the United States Postal Service;
while such other person is engaged in official duties or on
account of such duties;
``(2) knows that such conduct is likely to place that other
person in reasonable fear of sexual battery, bodily injury, or
death; and
``(3) thereby induces such fear in that other person;
shall be punished as provided in subsection (b) of this section.
``(b)(1) The punishment for an offense under subsection (a) of this
section is the greatest of the following:
``(A) In the case of a first conviction under such
subsection, a fine under this title or imprisonment for not
more than 3 years, or both.
``(B) In the case of a second or subsequent conviction
under such subsection, a fine under this title or imprisonment
for not more than 15 years, or both.
``(C) If, during the commission of the offense, the
offender uses a deadly or dangerous weapon, a fine under this
title or imprisonment for not more than 10 years, or both.
``(D) If the offense violates a protective order, a fine
under this title or imprisonment for not more than 5 years, or
both.
``(2) If a sentence of probation is imposed for an offense under
subsection (a) of this section, the court shall require the defendant
to undergo appropriate psychiatric, psychological, or social
counselling.
``(c) As used in this section, the term `protective order' means
any court order that requires an individual--
``(1) to refrain from behavior prohibited by subsection (a)
of this section; or
``(2) to refrain from contact with the person who
subsequently is a victim of the offense under such subsection
that is committed by that individual.
``(d)(1) Whoever is or is about to be aggrieved by a violation of
subsection (a) of this section may, in a civil action, obtain from the
person engaging or about to engage in that violation, appropriate
relief, including punitive damages in the case of a completed violation
and reasonable attorney's fees.
``(2) If--
``(A) the court issues an injunction against the person
engaging or about to engage in a violation of subsection (a) of
this section;
``(B) such person is an officer or employee in the
executive branch of the Federal Government or in the United
States Postal Service; and
``(C) there is a nexus between the enjoined conduct and
such person's office or employment;
the court may order that the person be suspended or summarily
discharged from such office or employment.''.
(b) Clerical Amendment.--The table of sections at the beginning of
chapter 41 of title 18, United States Code, is amended by adding at the
end the following:
``881. Stalking Federal and postal officers and employees.''.
SEC. 912. NONMAILABILITY OF CONTROLLED SUBSTANCES.
Section 1716 of title 18, United States Code, is amended by adding
at the end the following:
``Whoever knowingly deposits for mailing or delivery, or knowingly
causes to be delivered by mail, according to the direction thereon, or
at any place at which it is directed to be delivered by the person to
whom it is addressed, unless in accordance with the rules and
regulations authorized to be prescribed by the Postal Service, any
controlled substance, as that term is defined for the purposes of the
Controlled Substances Act, shall, if the distribution of a like amount
of such substance is a felony under such Act, be fined under this title
or imprisoned not more than 5 years, or both.''.
SEC. 913. ENHANCED PENALTIES.
Pursuant to its authority under section 994 of title 28, United
States Code, the United States Sentencing Commission shall amend its
sentencing guidelines to--
(1) appropriately enhance penalties in cases in which a
defendant is convicted of stealing or destroying a quantity of
undelivered United States mail, in violation of sections 1702,
1703, 1708, 1709, 2114, or 2115 of title 18, United States
Code; and
(2) establish that the intended loss in a theft of an
access device as defined in section 1029(e)(1) of title 18,
United States Code, shall be based on the credit line of the
access device or the actual unauthorized charges, whichever
amount is greater.
SEC. 914. POSTAL BURGLARY PROVISIONS.
(a) Larceny Involving Post Office Boxes and Postal Stamp Vending
Machines.--Section 2115 of title 18, United States Code, is amended--
(1) by striking ``or'' before ``any building'';
(2) by inserting ``or any post office box or postal
products vending machine,'' after ``used in whole or in part as
a post office,'';
(3) by inserting ``or in such box or machine,'' after ``so
used''; and
(4) by striking ``not more than $1,000'' and inserting
``under this title''.
(b) Receipt, Possession, Concealment, or Disposition of Property.--
Section 2115 of title 18, United States Code, is amended--
(1) by inserting ``(a)'' before ``Whoever''; and
(2) by adding at the end the following:
``(b) Whoever receives, possesses, conceals, or disposes of any
mail matter, money, or other property of the United States, that has
been obtained in violation of this section, knowing the same to have
been unlawfully obtained, shall be fined under this title or imprisoned
not more than 5 years, or both.''.
SEC. 915. MAIL, MONEY, OR OTHER PROPERTY OF THE UNITED STATES.
(a) Enhanced Penalty for Robbery.--Subsection (a) of section 2114
of title 18, United States Code, is amended to read as follows:
``(a) Assault.--Whoever assaults any person having lawful charge,
control, or custody of any mail matter or of any money or other
property of the United States, with intent to rob, steal, or purloin
such mail matter, money, or other property of the United States, or
robs or attempts to rob any such person of mail matter, or of any
money, or other property of the United States, shall, for the first
offense, be imprisoned not more than 10 years or fined under this
title, or both. If, in effecting or attempting to effect such robbery
the defendant wounds the person having custody of such mail, money, or
other property of the United States, or puts that person's life in
jeopardy by the use of a dangerous weapon, or the offense is a
subsequent offense under this subsection, the defendant shall be
imprisoned not more than 25 years or fined under this title, or both.
If the death of any person results from the offense under this
subsection, the defendant shall be punished by death or life
imprisonment.''.
(b) Attempt Offenses.--
(1) The second paragraph of section 501 of title 18, United
States Code, is amended by striking ``uses or sells,'' and
inserting ``uses or sells or attempts to use or sell,''.
(2) Section 1711 of title 18, United States Code, is
amended by inserting ``attempts to loan, use, pledge,
hypothecate, or convert to this own use,'' after ``converts to
his own use,''.
TITLE X--NEW SYSTEM RELATING TO POSTAL RATES, CLASSES, AND SERVICES
SEC. 1001. ESTABLISHMENT.
(a) In General.--Title 39, United States Code, is amended by adding
after chapter 36 the following:
``CHAPTER 37--NEW SYSTEM FOR ESTABLISHING POSTAL RATES, CLASSES, AND
SERVICES
``SUBCHAPTER I--BASELINE RATES AND FEES
``Sec.
``3701. Establishment of baseline rates and fees.
``SUBCHAPTER II--RATES AND FEES FOR PRODUCTS IN THE NONCOMPETITIVE
CATEGORY OF MAIL
``3721. Definitions.
``3722. Maximum rates.
``3723. Adjustment factor.
``3724. Action of the Directors.
``SUBCHAPTER III--RATES AND FEES FOR PRODUCTS IN THE COMPETITIVE
CATEGORY OF MAIL
``3741. Definitions.
``3742. Action of the Directors.
``3743. Transfers of products from the noncompetitive category of mail.
``3744. Application of antitrust laws.
``SUBCHAPTER IV--MARKET TESTS OF EXPERIMENTAL PRODUCTS
``3761. Market tests.
``SUBCHAPTER V--REPORTING REQUIREMENTS AND RELATED PROVISIONS
``3781. Definition.
``3782. Reporting requirements.
``3783. Use of profits.
``SUBCHAPTER I--BASELINE RATES AND FEES
``Sec. 3701. Establishment of baseline rates and fees
``(a) Requirement That a Ratemaking Request Be Made.--
``(1) In general.--Except as provided in paragraph (2), the
Postal Service shall, within 18 months after the effective date
of this chapter, request the Postal Rate Commission to submit a
recommended decision on appropriate changes in rates of postage
and in fees for postal services, in accordance with section
3622(a).
``(2) Exception.--A request under this subsection may not
be made if, on the effective date of this chapter--
``(A) a new schedule of rates and fees takes effect
under subchapter II of chapter 36 pursuant to a
previous request under section 3622(a); or
``(B) a recommended decision or further recommended
decision pursuant to a previous request under section
3622(a), or judicial review of any such decision or
recommended decision, is pending.
``(b) Baseline Rates and Fees Established Pursuant to This
Section.--
``(1) In general.--For purposes of this title, the baseline
rates and fees established pursuant to this section shall be--
``(A) the rates and fees taking effect pursuant to
a request made under subsection (a)(1), subject to
subparagraph (C)(i) or paragraph (2)(A) (as
applicable);
``(B) the rates and fees--
``(i) that, by virtue of subsection
(a)(2)(A), preclude the making of a request
under subsection (a)(1); or
``(ii) that take effect upon completion of
all proceedings referred to in subsection
(a)(2)(B), subject to subparagraph (C)(ii) or
paragraph (2)(B) (as applicable); or
``(C)(i) if a request under subsection (a)(1) is
made, but proceedings pursuant to such request have not
been completed by the end of the 18-month period
beginning on the date on which such request is made,
the rates and fees in effect at the end of such period
(including any temporary rate or fee then in effect
under subchapter III of chapter 36); or
``(ii) if a request under subsection (a)(1) is
precluded by virtue of the provisions of subsection
(a)(2)(B), but the proceedings referred to in such
provisions have not been completed by the end of the
18-month period referred to in subsection (a)(1), the
rates and fees in effect at the end of such period
(including any temporary rate or fee then in effect
under subchapter III of chapter 36).
``(2) Applicable statutory deadline not changeable by
administrative or other action.--Rates and fees established
under chapter 36 pursuant to--
``(A) a request made under subsection (a)(1) shall
take effect as of the date determined in accordance
with section 3625(f) or otherwise applicable provisions
of such chapter, except that in no event may the date
so determined be later than the last day of the 18-
month period referred to in paragraph (1)(C)(i); or
``(B) a previous request, as referred to in
subsection (a)(2)(B), shall take effect as of the date
determined in accordance with section 3625(f) or
otherwise applicable provisions of such chapter, except
that in no event may the date so determined be later
than the last day of the 18-month period referred to in
subsection (a)(1).
``(c) Priority of Ratemaking Factors if Pursuant to a Request Under
This Section.--If a request under subsection (a)(1) is made, then, for
purposes of all proceedings under chapter 36 relating to such request,
subsection (b) of section 3622 shall be considered to be amended to
read as follows:
```(b) Upon receiving a request, the Commission shall make a
recommended decision on the request for changes in rates or fees in
each class of mail or type of service in accordance with the policies
of this title and the following factors, set forth in descending order
of priority:
```(1) The requirement that each class of mail or type of
mail service bear the direct and indirect postal costs
attributable to such class or type plus that portion of all
other costs of the Postal Service reasonably assignable to such class
or type.
```(2) The value of the mail service to senders, as
reflected by the volume response of classes of mail and types
of service to changes in postal rates and fees, and, as
appropriate, the price and quality of alternative means of
sending mail.
```(3) The quality of mail service actually provided each
class or type of mail service, including the collection, mode
of transportation, priority of delivery, and timeliness of
delivery (as measured by reference to standards established by
the Postal Service).
```(4) The available alternative means of sending and
receiving letters and other mail matter at reasonable costs.
```(5) The degree of preparation of mail for delivery into
the postal system performed by the mailer and its effect upon
reducing costs to the Postal Service.
```(6) The effect of rate increases upon users of the mail
and the general public.
```(7) Simplicity of structure for the entire schedule and
simple, identifiable relationships between the rates or fees
charged the various classes of mail for postal services.
```(8) The educational, cultural, scientific, and
informational value to the recipient of mail matter.
```(9) The establishment and maintenance of a fair and
equitable schedule.
```(10) Such other factors as the Commission deems
appropriate.'.
``SUBCHAPTER II--RATES AND FEES FOR PRODUCTS IN THE NONCOMPETITIVE
CATEGORY OF MAIL
``Sec. 3721. Definitions
``For purposes of this subchapter--
``(1) Year.--The term `year' means a calendar year.
``(2) GDPPI.--The term `GDPPI' means the Gross Domestic
Product Chain-Type Price Index (published quarterly by the
Bureau of Economic Analysis of the Department of Commerce).
``(3) Product.--The term `product' means a class of mail or
type of postal service, including--
``(A) a subclass or other similar subordinate unit
thereof; and
``(B) any further subordinate unit thereof (below
the first level of subordinate units referred to in
subparagraph (A)).
``(4) Products in the noncompetitive category of mail.--The
term `products in the noncompetitive category of mail' means
the respective products in the first, second, third, and fourth
baskets of products (within the meaning of section 3723(a)).
``(5) Rate.--The term `rate', used with respect to a
product, means--
``(A) for a class of mail, the rate for such class
of mail; and
``(B) for a type of postal service, the fee for
such service.
``(6) Noncompetitive product.--The term `noncompetitive
product' means a product in the noncompetitive category of
mail.
``Sec. 3722. Maximum rates
``(a) In General.--Except as otherwise provided in this subchapter,
the rate for a noncompetitive product may not, in any year, exceed the
maximum rate allowable for such product in such year under this
section.
``(b) Computation of Maximum Rate Allowable.--
``(1) In general.--The maximum rate allowable for a
noncompetitive product in any year shall be computed by
multiplying--
``(A) the change in the GDPPI for such year,
adjusted by the adjustment factor for such year, times
``(B) the maximum rate allowable for such product
in the preceding year (determined disregarding
paragraph (4), any exercise of authority under section
3724(d), and any alternative limitation under section
1002(e) of the Postal Reform Act of 1997).
``(2) Definitions.--For purposes of this subsection--
``(A) Change in the gdppi.--The change in the GDPPI
for any year shall be equal to the percentage (if any)
by which--
``(i) the GDPPI for the preceding year,
exceeds
``(ii) the GDPPI for the second preceding
year.
``(B) GDPPI for any year.--The GDPPI for any year
is the average of the GDPPI for the 4 consecutive
calendar quarters ending on September 30th of such
year.
``(C) Adjustment factor.--The adjustment factor for
any year shall be determined in accordance with section
3723.
``(3) Special rule for first computation.--For purposes of
the first computation of a maximum rate allowable under this
section for any product, the rate applied under paragraph
(1)(B) shall be the baseline rate established for such product
under section 3701.
``(4) Rounding.--Any maximum rate computed under this
section shall be rounded to the nearest cent (rounding \1/2\ of
a cent to the next higher cent).
``Sec. 3723. Adjustment factor
``(a) Definitions.--For purposes of this section--
``(1) Ratemaking cycle.--
``(A) In general.--The term `ratemaking cycle'
means--
``(i) the 5-year period beginning on the
first day of the second year beginning after
the effective date of the baseline rates and
fees established pursuant to section 3701; and
``(ii) each 5-year period beginning on the
day after the last day of the immediately
preceding 5-year period under this paragraph.
``(B) Earlier initial date.--The Postal Rate
Commission may, by written determination, advance the
date applicable under subparagraph (A)(i) to the date
which occurs 1 year earlier, but only if that earlier
date does not precede the date on which all
requirements of this section have been completed with
respect to the ratemaking cycle involved.
``(2) Basket of products to which this section applies.--
The term `basket of products to which this section applies'
means the first, second, third, and fourth baskets of products.
``(3) First basket of products.--The term `first basket of
products' means--
``(A) single-piece first-class letters (both
domestic and international);
``(B) single-piece first-class cards (both domestic
and international); and
``(C) single-piece first-class parcels (both
domestic and international).
``(4) Second basket of products.--The term `second basket
of products' means all first-class mail not in the first basket
of products.
``(5) Third basket of products.--The term `third basket of
products' means periodicals.
``(6) Fourth basket of products.--The term `fourth basket
of products' means standard mail (except for parcel post).
``(7) Rule of construction.--
``(A) In general.--Mail matter referred to in
paragraphs (3) through (6) shall, for purposes of such
paragraphs, be considered to have the meaning given
them under the mail classification schedule (within the
meaning of section 3623) as of the effective date of
this chapter.
``(B) Updates.--The Board of Directors shall,
whenever any relevant change occurs (pursuant to a
reclassification under chapter 36, a transfer of a
product from the noncompetitive category of mail under
section 3743, or the conversion of an experimental
product under subchapter IV to a permanent one),
prescribe new lists of products within the baskets
under paragraphs (3) through (6), respectively. The
revised lists shall indicate how and when any previous
lists are superseded.
``(b) Procedures Relating to Determining Adjustment Factors.--
``(1) Commencement.--
``(A) In general.--Except as provided in
subparagraph (B), the Postal Rate Commission shall,
beginning in December of the second year before the
start of each ratemaking cycle, provide the opportunity
for a hearing on the record under sections 556 and 557
of title 5 to the Postal Service, users of the mails,
and an officer of the Commission who shall be required
to represent the interests of the general public, with
respect to the adjustment factors to be established for
the upcoming ratemaking cycle.
``(B) Exception.--For purposes of the first hearing
under this subsection, proceedings shall be commenced
during the second month beginning on or after the
effective date of the baseline rates and fees
established pursuant to section 3701.
``(2) Rules of proceedings.--In order to conduct its
proceedings with utmost expedition consistent with procedural
fairness to the parties, the Commission may (without
limitation) adopt rules which provide for--
``(A) the advance submission of written direct
testimony;
``(B) the conduct of prehearing conferences to
define issues, and for other purposes to insure orderly
and expeditious proceedings;
``(C) discovery both from the Postal Service and
the parties to the proceedings;
``(D) limitation of testimony; and
``(E) the conduct of the entire proceedings off the
record with the consent of the parties.
``(3) Printing and notice requirements.--
``(A) In general.--The Commission's decision and
the record of the Commission's hearings shall be made
generally available at the time the decision is issued
and shall be printed and made available for sale by the
Public Printer within 10 days following the day the
decision is issued.
``(B) Timing.--All actions required of the
Commission under this section, including those under
subparagraph (A), shall be completed as expeditiously
as possible, but in no event later than the end of the
year before the commencement of the ratemaking cycle to
which the decision relates.
``(c) Factors.--Adjustment factors shall be established in
accordance with the policies of this title and the following:
``(1) The value of the product to senders, as reflected by
the volume response of classes of mail and types of service to
changes in postal rates and fees, and, as appropriate, the
price and quality of alternative means of sending mail.
``(2) Cost to the Postal Service of providing the product.
``(3) Productivity of the Postal Service in providing
postal services.
``(4) The level of postal revenues attributable to the
product.
``(5) The actual level of service (described in terms of
speed of delivery and reliability) provided with respect to the
product.
``(6) Such other considerations as the Postal Service and
the Commission mutually agree to be appropriate.
``(d) Separate Adjustment Factor Required for Each Basket of
Products.--A separate adjustment factor shall be established for each
basket of products to which this section applies, and, except as
provided in section 3724(d), the adjustment factor applicable to any
basket shall be uniformly applied to all products within such basket.
``(e) How Each Adjustment Factor Is To Be Expressed and Applied.--
``(1) Expression.--Each adjustment factor established under
this section shall be expressed as a percentage.
``(2) Application.--For purposes of section 3722(b)(1)(A),
to adjust a change in the GDPPI by an adjustment factor, the
adjustment factor shall be added to or subtracted from such
change in the GDPPI, as the case may be.
``(f) Exigent Circumstances.--
``(1) In general.--Upon a majority vote of the Directors
then holding office, the Postal Service may request the Postal
Rate Commission to render a decision on changing the adjustment
factors to be applied during the then current ratemaking cycle
(after having previously been established under this section
for such cycle).
``(2) Conditions.--A request made under paragraph (1) may
be considered only upon written certification by the Directors
that--
``(A) the Postal Service faces severe financial
exigencies; and
``(B) the change is warranted to restore the Postal
Service to fiscal soundness.
``(3) Effect; duration.--A change granted under this
subsection--
``(A) shall supersede the adjustment factors which
would otherwise apply under this section; and
``(B) shall remain effective for the remainder of
the ratemaking cycle involved, subject to paragraph
(5).
``(4) Expedited consideration.--A request made under
paragraph (1) shall be acted on in the same manner as if
initiated under subsection (b)(1), except that a decision on
such request shall be rendered not later than 6 months after
the date on which such request is made.
``(5) Frequency.--Nothing in this section shall be
considered to limit the number of times that authority under
this subsection may be invoked or exercised during any
particular ratemaking cycle.
``(6) Finality.--A decision of the Postal Rate Commission
under this subsection shall be final and shall not be subject
to administrative or judicial review.
``(g) Appellate Review.--Except as provided in subsection (f)(6), a
decision of the Postal Rate Commission under this section may be
appealed to any court of appeals of the United States, within 15 days
after its publication by the Public Printer, by an aggrieved party who
appeared in the proceedings under subsection (b). The court shall
review the decision, in accordance with section 706 of title 5, and
chapter 158 and section 2112 of title 28, except as otherwise provided
in this subsection, on the basis of the record before the Commission.
The court may affirm the decision or order that the entire matter be
returned for further consideration, but the court may not modify the
decision. The court may not suspend the effectiveness of the adjustment
factors, or otherwise prevent them from taking effect until final
disposition of the suit by the court. No court shall have jurisdiction
to review a decision made by the Commission under this section except
as provided in this subsection.
``Sec. 3724. Action of the Directors
``(a) In General.--The Directors, with the written concurrence of a
majority of all of the Directors then holding office, shall establish
rates for products in the noncompetitive category of mail in accordance
with the requirements of this subchapter and the policies of this
title.
``(b) Procedures.--
``(1) In general.--Rates under this section shall be
established in writing, complete with a statement of
explanation and justification.
``(2) Publication.--The Directors shall cause each such
decision and statement to be published in the Federal Register
at least 45 days before the rate or rates to which they pertain
take effect.
``(c) Limitations on Authority.--
``(1) In general.--Except as provided in paragraph (2)--
``(A) Frequency.--Ratemaking authority under this
section may not be exercised more than once for
purposes of any year.
``(B) Uniform effective date.--All changes in rates
pursuant to this section shall take effect beginning on
the same date.
``(2) Exception for change due to exigent circumstances.--
``(A) In general.--If the maximum rate allowable
for a product in a year changes pursuant to a request
granted under section 3723(f), then, in the event that
ratemaking authority under this section was previously
exercised with respect to such product for such year,
such rate may be modified, not more than once more in
such year, based on the change in the maximum rate
allowable.
``(B) Uniform effective date.--All changes in rates
pursuant to this paragraph shall, to the extent based
on the same change in the maximum rate allowable, take
effect beginning on the same date.
``(d) Exception to Requirement Relating to Uniform Applicability of
Each Maximum.--
``(1) Definitions.--For purposes of this subsection--
``(A) Subordinate unit.--The term `subordinate
unit', with respect to a product, means a subclass or
other similar subordinate unit of such product, as
described in subparagraph (A) of section 3721(3).
``(B) Further subordinate unit.--The term `further
subordinate unit', with respect to a subordinate unit,
means a further subordinate unit thereof, as described
in subparagraph (B) of section 3721(3).
``(2) Applicability.--This subsection applies with respect
to the second, third, and fourth baskets of products.
``(3) Rule.--
``(A) In general.--Notwithstanding the uniformity
requirement in section 3723(d), for purposes of
establishing rates for further subordinate units of any
particular subordinate unit of a product, rates may be
established at such levels as the Directors consider
appropriate, subject to subparagraph (B).
``(B) Requirement.--The rates so established may
not exceed the maximum rates established for such
further subordinate units in accordance with
subparagraph (C).
``(C) Alternative maximum rates.--Alternative
maximum rates may be established under this
subparagraph by using adjustment factors (other than
those that would otherwise apply absent this
subsection) fixed at levels which the Directors
consider appropriate, so long as the resulting average
maximum rate, for the further subordinate units
comprising such subordinate unit (determined separately
for each successive level, if there are 2 or more
levels of further subordinate units), remains equal to
the maximum rate that would otherwise apply with
respect to those further subordinate units.
``(e) Finality of Decisions.--Decisions of the Postal Service under
this section shall be final and shall not be subject to administrative
or judicial review.
``SUBCHAPTER III--RATES AND FEES FOR PRODUCTS IN THE COMPETITIVE
CATEGORY OF MAIL
``Sec. 3741. Definitions
``For purposes of this subchapter--
``(1) Year, product, rate, etc.--The terms `year',
`product', `rate', and `product in the noncompetitive category
of mail' each has the meaning given such term by section 3721,
unless the context otherwise requires.
``(2) Products in the competitive category of mail.--The
term `products in the competitive category of mail' means--
``(A) priority mail;
``(B) expedited mail;
``(C) mailgrams;
``(D) international mail;
``(E) parcel post;
``(F) special services; and
``(G) any product transferred to the competitive
category of mail under section 3743;
except that such term does not include any product then
currently in the noncompetitive category of mail.
``(3) Rule of construction.--
``(A) In general.--Mail matter referred to in
paragraph (2) shall, for purposes of such paragraph, be
considered to have the meaning given them under the
mail classification schedule (within the meaning of
section 3623) as of the effective date of this chapter.
``(B) Updates.--The Board of Directors shall,
whenever any relevant change occurs (pursuant to a
reclassification under chapter 36, a transfer of a
product from the noncompetitive category of mail under
section 3743, or the conversion of an experimental
product under subchapter IV to a permanent one),
prescribe a new list of products under subparagraphs
(A) through (G) of paragraph (2). The revised list
shall indicate how and when any previous list is
superseded.
``Sec. 3742. Action of the Directors
``(a) In General.--The Directors, with the written concurrence of a
majority of all of the Directors then holding office, shall establish
rates for products in the competitive category of mail.
``(b) Requirements.--Rates under this section shall be established
in accordance with the policies of this title and the requirement that
each product in the competitive category of mail bear the direct and
indirect postal costs attributable to such product plus a reasonable
contribution to all other costs of the Postal Service.
``(c) Procedures.--Subsections (b), (c)(1), and (e) of section 3724
shall apply with respect to rates and decisions under this section.
``Sec. 3743. Transfers of products from the noncompetitive category of
mail
``(a) In General.--The Postal Service or users of the mails may
from time to time request the Postal Rate Commission to submit, or the
Commission may submit to the Directors on its own initiative, a
recommended decision on transferring one or more products in the
noncompetitive category of mail to the competitive category of mail.
``(b) Criteria.--A recommended decision under this section shall be
made in accordance with the policies of this title and taking into
consideration the availability and nature of enterprises in the private
sector engaged in the delivery of the product involved.
``(c) Procedures.--If the Commission receives a request under
subsection (a) or decides to act on its own initiative, the Commission
shall, after proceedings in conformity with section 3624, issue a
recommended decision which shall be acted upon in accordance with the
provisions of section 3625 and subject to review in accordance with the
provisions of section 3628.
``Sec. 3744. Application of antitrust laws
``(a) Applicability of the Antitrust Laws.--The antitrust laws
shall apply with respect to the Postal Service to the extent that the
Postal Service engages in conduct with respect to--
``(1) any product in the competitive category of mail; and
``(2) any product offered pursuant to a market test under
subchapter IV.
``(b) Definition.--For purposes of subsection (a), the term
`antitrust laws' has the meaning given such term in subsection (a) of
the first section of the Clayton Act (15 U.S.C. 12(a)), but includes
section 5 of the Federal Trade Commission Act (15 U.S.C. 45) to the
extent that such section 5 applies to unfair methods of competition.
``(c) Effective Date.--This section shall not apply with respect to
conduct occurring before the effective date of this chapter.
``SUBCHAPTER IV--MARKET TESTS OF EXPERIMENTAL PRODUCTS
``Sec. 3761. Market tests
``(a) In General.--The Postal Service may conduct market tests of
experimental products. Subject to the provisions of this section, the
conducting of any such market test by the Postal Service shall not be
limited by any lack of specific authority under this title to take the
action contemplated, or by any provision of this title or any rule or
regulation prescribed under this title which is inconsistent with the
action.
``(b) Procedural Requirements.--Before conducting a market test,
the Postal Service shall--
``(1) develop a plan for such test which identifies--
``(A) the purposes of the test (and how they
comport with the provisions of section 101);
``(B) the duration;
``(C) the anticipated costs for each year;
``(D) the anticipated revenues for each year;
``(E) a specific description of any aspect of the
test for which there is a lack of specific authority;
and
``(F) a specific citation to any provision of law,
rule, or regulation which, if not waived under this
section, would prohibit the conducting of the test, or
any part of the test as proposed;
``(2) at least 60 days in advance of the date any test
proposed under this section is to take effect--
``(A) publish the plan in the Federal Register;
``(B) submit such plan to each House of Congress;
and
``(C) provide notification of the proposed test to
officers and employees likely to be affected by the
test.
``(c) Restrictions.--No market test under this section may provide
for a waiver of--
``(1) any provision of section 410(b)-(d) (or any law
applicable to the Postal Service by virtue of any such
provision);
``(2) section 412 or any other provision of law (not
otherwise covered by paragraph (1)) providing for the
nondisclosure of names or addresses or any other information or
matter by the Postal Service;
``(3) the limitation on compensation under the last
sentence of section 1003(a);
``(4) any provision of chapter 10 (relating to employment
within the Postal Service);
``(5) any provision of chapter 12 or of any collective-
bargaining agreement under such chapter;
``(6) any provision of section 3623(d) (relating to
maintaining one or more classes of mail for the transmission of
letters sealed against inspection);
``(7) any provision of law--
``(A) providing for equal employment opportunity
through affirmative action; or
``(B) providing any right or remedy available to
any officer or employee or applicant for employment in
the Postal Service; or
``(8) any rule or regulation prescribed under any provision
of law referred to in any of the preceding paragraphs of this
subsection.
``(d) Limitations.--
``(1) Duration.--Each market test under this section shall
terminate not later than 3 years after such project takes
effect, except that the project may continue beyond the date on
which it would otherwise terminate, if proceedings under
subsection (g) are then pending with respect to the product
involved.
``(2) Dollar limitation.--A market test under this section
may not be conducted if the anticipated revenues attributable
to such test would, for any calendar year, exceed $100,000,000.
``(e) Employees Within Bargaining Units.--Employees within a unit
with respect to which a labor organization is accorded exclusive
recognition under chapter 12 shall not be included within any market
test under this section--
``(1) if the test would violate a collective-bargaining
agreement under such chapter between the Postal Service and the
labor organization, unless there is another written agreement
with respect to the test between the Postal Service and the
organization permitting the inclusion; or
``(2) if the test is not covered by such a collective-
bargaining agreement, until there has been consultation or
negotiation, as appropriate, by the Postal Service with the
labor organization.
``(f) Other Employees.--Employees within any unit with respect to
which a labor organization has not been accorded exclusive recognition
under chapter 12 shall not be included within any market test under
this section unless there has been consultation by the Postal Service
regarding the test with the employees in the unit.
``(g) Conversion to Permanence.--A request to make an experimental
product (as referred to in subsection (a)) permanent--
``(1) shall be made in accordance with the same
requirements as set forth in section 3743(b);
``(2) shall be subject to the same procedures (including
review) as set forth in section 3743(c), except as provided in
subsection (h); and
``(3) may not be considered unless it is made by the Postal
Service.
``(h) Time Limitation on Commission Deliberations.--For purposes of
applying section 3624 (pursuant to subsection (g)(2)) with respect to a
request to make an experimental product permanent--
``(1) section 3624(c) (as deemed to have remained in effect
under paragraph (2)) shall be applied with respect to such
request in the same manner as would have applied in the case of
a request made under section 3622 (as last in effect before
being repealed by section 1002); and
``(2) section 3624 (as last in effect before being repealed
by section 1002) shall be deemed to have remained in effect,
except that subsection (c) of such section (as then in effect)
shall be applied by substituting--
``(A) `6 months' for `10 months' in paragraph (1)
thereof; and
``(B) `6-month period' for `10-month period' in
paragraph (2) thereof.
``SUBCHAPTER V--REPORTING REQUIREMENTS AND RELATED PROVISIONS
``Sec. 3781. Definition
``For purposes of this subchapter, the term `product' has the
meaning given such term by section 3721(3).
``Sec. 3782. Reporting requirements
``(a) In General.--No later than 3 months after the last day of
each fiscal year, the Postal Service shall submit sufficient
information to the Postal Rate Commission to demonstrate that the then
current rates for products are in compliance with all applicable
requirements of this title.
``(b) Audits.--
``(1) In general.--Before submitting any information under
subsection (a), the Postal Service shall have such information
audited by an independent professional accounting organization
(from outside of government), and such audit shall be submitted
along with the information to which it relates.
``(2) Access to papers and supporting materials.--
``(A) In general.--The Commission shall have access
to the working papers and supporting materials of an
auditor in connection with any audit conducted by such
auditor under this subsection.
``(B) Confidentiality.--Any information described
in paragraph (3) to which the Commission gains access
under subparagraph (A) shall be subject to section
3604(g)(2) in the same way as if the Commission had
received notification with respect to such information
under section 3604(g)(1).
``(3) Identification of protected information.--
``(A) In general.--The Postal Service shall, in
accordance with regulations which it shall prescribe,
ensure that--
``(i) any protected information shall,
before being furnished to an auditor under this
section, be appropriately identified
(including, to the extent practicable, by being
appropriately stamped, labelled, tagged, or
otherwise physically marked); and
``(ii) appropriate measures are taken (such
as the inclusion of appropriate terms in any
contract or other agreement with the auditor)
to safeguard the security and confidentiality
of protected information.
``(B) Protected information defined.--For purposes
of this paragraph, the term `protected information'
means any information which, in the judgment of the
Postal Service, is information of a type which is
described in section 410(c) of this title, or exempt
from public disclosure under section 552(b) of title 5.
``(c) Additional Requirements.--The Postal Service shall submit to
the Commission, at the time of making its submissions under subsections
(a) and (b)--
``(1) a copy of the then most recent comprehensive
statement under section 2401(b);
``(2) a copy of the then most recent performance plan and
program performance reports required under sections 2803 and
2804, respectively; and
``(3) for the most recently completed fiscal year, with
respect to each product in the competitive category of mail,
each product in the noncompetitive category of mail, and each
product under subchapter IV--
``(A) market information, including mail volumes;
``(B) postal financial information, including costs
to the Postal Service and revenues;
``(C) measures of the speed and reliability of
postal service, including--
``(i) the service standard applicable to
each product;
``(ii) the actual level of service
(described in terms of speed of delivery and
reliability) provided; and
``(iii) the degree of customer satisfaction
with the service provided; and
``(D) any other information that the Commission and
the Postal Service mutually agree upon.
``(d) Regulations.--The Commission shall prescribe regulations
specifying the form and detail of the information required under this
section, consistent with otherwise applicable provisions of this title.
Such regulations shall give due consideration to avoiding unnecessary
or unwarranted administrative effort and expense on the part of the
Postal Service.
``Sec. 3783. Use of profits
``(a) Definition of Profits.--For purposes of this section, the
term `profits', with respect to any fiscal year, means the amount by
which total income of the Postal Service attributable to such year,
exceeds total costs of the Postal Service attributable to such year, as
determined by the Directors, in writing, in accordance with generally
accepted accounting principles.
``(b) Determination of Noncompliance.--Not later than 90 days after
receiving all the submissions required under section 3782 with respect
to a fiscal year, the Postal Rate Commission shall make a written
determination as to--
``(1) whether any rates or fees were placed in effect
during such fiscal year which were not in compliance with
applicable provisions of this title;
``(2) whether any performance goals, established under
section 2803 or 2804 for such fiscal year, were not met; and
``(3) whether any service standards for such fiscal year
were not met, based on the information under section
3782(c)(3)(C).
``(c) If No Noncompliance Is Found.--If the Commission does not
make a timely determination of noncompliance under subsection (b), or
if a timely determination is made under subsection (b) to the effect
that no instances of noncompliance occurred, up to 100 percent of the
profits (if any) from the preceding fiscal year may be used by the
Postal Service for the purposes described in subsection (e).
``(d) If Any Noncompliance Is Found.--If the Commission makes a
timely determination of noncompliance under subsection (b)--
``(1) the Commission may order, based on the seriousness of
the noncompliance, that a specific percentage of the previous
fiscal year's profits (if any), not to exceed 50 percent, be
set aside for the purposes described in subsection (f); and
``(2) up to 100 percent of the remainder of the previous
fiscal year's profits (if any) may be used by the Postal
Service for the purposes described in subsection (e).
``(e) Bonuses.--
``(1) In general.--The Postal Service shall establish a
program under which cash bonuses may be paid to officers and
employees of the Postal Service out of any profits which are
available for that purpose.
``(2) Requirements.--Under the program--
``(A) bonuses may be paid to officers and employees
of the Postal Service under criteria which shall be
fair and equitable;
``(B) the sole source of funding shall be any
profits from any fiscal year, subject to the
application of subsection (d)(1) with respect to such
fiscal year; and
``(C) subject to subsection (h), bonuses shall not
be precluded by the limitation on compensation under
the last sentence of section 1003(a).
``(3) Discretionary nature of program.--Nothing in this
section shall be considered to create any entitlement to
receive bonuses or to require that any portion of the profits
from any fiscal year be used for bonuses in excess of whatever
amount the Postal Service considers appropriate (if any).
``(4) Considerations relating to the portion of profits to
be available for bonuses.--In any decision relating to what
portion of the available profits from any fiscal year shall be
available or used for purposes of the payment of bonuses under
this subsection, there shall be taken into consideration--
``(A) the duty on the part of the Postal Service to
provide efficient and economical postal services in
accordance with the requirements of section 101,
section 403, and this chapter; and
``(B) what portion of those profits (if any) should
be used--
``(i) to retire debts or other obligations
of the Postal Service;
``(ii) to limit future increases in postal
rates or fees for products in the
noncompetitive category of mail; or
``(iii) to carry out any other purpose.
``(f) Dedication of Funds Toward Reducing Rates and Fees.--
``(1) In general.--Any amounts ordered to be set aside
under subsection (d)(1) may not be used for any purpose other
than to defray increases in future rates and fees for products
in the noncompetitive category of mail or to reduce the rates
and fees already in effect for such products.
``(2) Compliance.--Whenever an order under subsection
(d)(1) is issued, the Postal Service shall include in its next
comprehensive statement under section 2401(b) (and each
subsequent statement thereunder until the order has been fully
complied with)--
``(A) a statement of the measures which have been
or will be implemented in order to comply with the
order;
``(B) the amount of savings actually passed on to
mailers during the reporting period, as compared to the
estimated savings for such period; and
``(C) what measures, if any, have been or will be
implemented in order to reconcile any difference
identified under subparagraph (B).
``(3) Nonredundant information.--Nothing in paragraph (2)
shall be considered to require that the same information be
reported if included in a previous report under this
subsection.
``(g) Procedures.--The provisions of sections 556 and 557 of title
5 shall not apply to any review carried out by the Commission under
this section.
``(h) Reporting Requirement.--Included in its comprehensive
statement under section 2401(b) for any period shall be--
``(1) the name of each person receiving a bonus during such
period which would not have been allowable but for the
provisions of subsection (e)(2)(C);
``(2) the amount of the bonus; and
``(3) the amount by which the limitation referred to in
subsection (e)(2)(C) was exceeded.''.
(b) Representation in an Antitrust Action.--Section 409(d) of title
39, United States Code, is amended by striking ``(d) The'' and
inserting ``(d)(1) Except in any instance in which the Postal Service
elects to employ attorneys under paragraph (2), the'' and by adding at
the end the following:
``(2)(A) As used in this paragraph, the term `antitrust laws' has
the meaning given to it by section 3744(b).
``(B) The Postal Service may, in connection with any litigation
brought against the Postal Service under any of the antitrust laws,
employ attorneys by contract or otherwise to conduct litigation on its
behalf without regard to any provision of paragraph (1).''.
(c) Technical and Conforming Amendments.--
(1) Section 410(c)(4) of title 39, United States Code, is
amended by inserting ``or 37'' after ``36''.
(2) Section 409(a) of title 39, United States Code, is
amended by striking ``section 3628'' and inserting ``section
3628 (or any provision of this title incorporating such section
by reference) or section 3723(g)''.
SEC. 1002. TERMINATION OF RATEMAKING AUTHORITY UNDER CHAPTER 36 AND
RELATED MATTERS.
(a) Authority To Fix Rates and Classes.--Section 3621 of title 39,
United States Code, is amended--
(1) in the first sentence by striking ``this chapter'' and
inserting ``this chapter and chapter 37'';
(2) by repealing the last 2 sentences.
(b) Rates and Fees.--
(1) In general.--Section 3622 of title 39, United States
Code, is repealed.
(2) Clerical amendment.--The item relating to section 3622
in the table of sections at the beginning of chapter 36 of such
title 39 is repealed.
(c) Recommended Decisions of Commission.--Section 3624 of title 39,
United States Code, is amended--
(1) in subsection (a) by striking ``section 3622 or 3623''
and inserting ``section 3623'';
(2) by repealing subsection (c); and
(3) in subsection (d)--
(A) by striking ``rate, fee, or''; and
(B) by striking ``section 3622 or 3623, as the case
may be.'' and inserting ``section 3623.''.
(d) Action of the Governors.--Section 3625 of title 39, United
States Code, is amended--
(1) in the third sentence of subsection (d)--
(A) by striking ``(1)''; and
(B) by striking ``chapter, and (2)'' and all that
follows through the period and inserting ``chapter and
chapter 37, respectively.''; and
(2) by amending subsection (f) to read as follows:
``(f) Except as otherwise provided in this title, the Board shall
determine--
``(1) the date on which any changes in the mail
classification schedule (whether made under this chapter or
chapter 37) shall become effective; and
``(2) the date on which new rates and fees under chapter 37
shall become effective.''.
(e) Reduced-Rate Categories of Mail.--
(1) Continued applicability of relevant provisions of
chapter 36 for the limited purpose of computing alternative
rate limitations for noncompetitive products.--Notwithstanding
any other provision of this Act (or any amendment made by this
Act), the rate of postage established under subchapter II of
chapter 37 of title 39, United States Code, as amended by this
Act, for a class of mail or kind of mailer referred to in
section 3626(a)(1) of such title may not, at any time, exceed
the lesser of--
(A) the maximum rate then otherwise allowable under
chapter 37 (determined as if this subsection had not
been enacted) for such class of mail or kind of mailer;
or
(B) the rate determined under paragraph (2) for
such class of mail or kind of mailer.
(2) Determination of rates which would then otherwise apply
under chapter 36.--
(A) In general.--For purposes of paragraph (1)(B),
the United States Postal Service shall determine, and
subsequently revise whenever necessary in order to keep
determinations under this paragraph current, the rate
of postage which would then otherwise apply with
respect to each class of mail or kind of mailer
referred to in section 3626(a)(1) of such title 39.
(B) Methodology.--Subparagraph (A) shall be carried
out--
(i) by applying the provisions of
paragraphs (2) through (5) of section 3626(a)
and of section 3642 of such title 39; and
(ii) by using the then most recent
information available to the Postal Service
relating to costs attributable and
institutional costs (within the meaning of the
provisions referred to in clause (i)).
(3) Limitation under this subsection to be used instead of
(and to be treated as) the limitation under section 3722.--The
maximum rate determined for a product under this subsection
shall, for all purposes (except paragraph (1)(A)), be used
instead of (and shall be treated as) the maximum rate allowable
for such product under section 3722 of such title 39.
(4) Statement of limited purpose.--Section 3626(a) of such
title 39 is amended by adding at the end the following:
``(6) Neither this subsection nor section 3642 shall have any force
or effect, except for purposes of section 1002(e) of the Postal Reform
Act of 1997. Nothing in the preceding sentence shall be considered to
affect any baseline rate established pursuant to section 3701.''.
(5) Regulations.--The United States Postal Service shall
prescribe such regulations as may be necessary to carry out the
provisions of sections 3626 (including subsections (b) through
(n) thereof) and 3642 of such title 39 (as amended by this Act)
in a manner consistent with chapter 37 of such title 39 (as
amended by this Act) and with the purposes of this Act.
(f) Other Temporary Rates.--
(1) In general.--Section 3641 of title 39, United States
Code, is amended--
(A) by repealing subsections (a) through (d); and
(B) in subsection (f) by striking ``in rates of
postage, and fees for postal services, or''.
(2) Clerical amendments.--
(A)(i) The heading for section 3641 of such title
39 is amended to read as follows:
``Sec. 3641. Temporary changes in classes''.
(ii) The item relating to section 3641 in the table
of sections at the beginning of chapter 36 of such
title 39 is amended to read as follows:
``3641. Temporary changes in classes.''.
(B)(i) The heading for subchapter III of chapter 36
of such title 39 is amended to read as follows:
``SUBCHAPTER II--TEMPORARY CLASSES''.
(ii) The analysis for chapter 36 of such title 39
is amended by striking the item relating to subchapter
II and inserting the following:
``SUBCHAPTER II--TEMPORARY CLASSES''.
(g) Rate and Service Complaints.--Section 3662 of title 39, United
States Code, is amended to read as follows:
``Sec. 3662. Rate and service complaints
``(a) Interested parties who believe the Postal Service is charging
rates which do not conform to the policies set out in this title or who
believe that they are not receiving postal service in accordance with
the policies of this title may lodge a complaint with the Postal Rate
Commission in such form and in such manner as it may prescribe. The
Commission may in its discretion hold hearings on such complaint.
``(b)(1) If the Commission, in a classification matter covered by
subchapter II, determines the complaint to be justified, it shall,
after proceedings in conformity with section 3624, issue a recommended
decision which shall be acted upon in accordance with the provisions of
section 3625 and subject to review in accordance with the provisions of
section 3628.
``(2) If a violation of a limitation under section 3722 or 3724(d)
(relating to the maximum rate allowable for products in the
noncompetitive category of mail) or section 3742(b) (relating to
requirements applicable with respect to rates established for products
in the competitive category of mail) is involved, it may issue an
appropriate order under section 3783.
``(3) If a matter other than a matter covered by paragraph (1) or
(2) is involved, and the Commission after a hearing finds the complaint
to be justified, it shall render a public report thereon to the Postal
Service which shall take such action as it deems appropriate.''.
(h) Limitations.--Section 3684 of title 39, United States Code, is
amended by striking ``or 34'' and inserting ``34, or 37''.
(i) Mail Classification.--Section 3623 of title 39, United States
Code, is amended--
(1) by repealing subsection (a);
(2) in subsection (b) by striking ``Following the
establishment of the mail classification schedule requested
under subsection (a) of this section, the'' and inserting
``The'';
(3) in subsection (c) (in the matter before paragraph (1))
by striking ``this title'' and inserting ``this title,
subsection (e),''; and
(4) by adding at the end the following:
``(e)(1) Any change under this subchapter in the mail
classification system shall be in accordance with the requirements of
paragraph (2).
``(2) The requirements of this paragraph are as follows:
``(A) A product may not be reclassified from the
competitive to the noncompetitive category of mail.
``(B) The reclassification of a product from one basket to
another basket of the noncompetitive category of mail shall not
be effective during a ratemaking cycle unless notice of the
final decision on the reclassification is given to the Postal
Rate Commission before the start of proceedings under section
3723(b) in connection with such cycle.
``(C)(i) A new product may not be made available to the
public before it has been placed in--
``(I) either the competitive or the noncompetitive
category of mail; and
``(II) if placed in the noncompetitive category of
mail, the appropriate basket thereof.
``(ii) Any decision as to whether a new product should be
placed in the competitive or the noncompetitive category of
mail shall be made in accordance with the requirements set
forth in section 3743(b). Such requirements shall be
specifically addressed in any statement required under section
3624(d) with respect to such decision.
``(3) For purposes of this subsection--
``(A) the term `product' has the meaning given such term by
section 3721(3);
``(B) the term `noncompetitive category of mail' refers to
the category of mail under subchapter II of chapter 37;
``(C) the term `competitive category of mail' refers to the
category of mail under subchapter III of chapter 37;
``(D) the term `basket' refers to a basket under paragraph
(3), (4), (5), or (6) of section 3723(a);
``(E) the term `ratemaking cycle' has the meaning given
such term by section 3723(a)(1); and
``(F) the term `new product' means a product which, as of
the effective date of this subsection, is not available to the
public through the Postal Service.''.
(j) Effective Date.--This section and the amendments made by this
section shall become effective on the effective date of the baseline
rates and fees established pursuant to section 3701 of title 39, United
States Code, as amended by section 1001.
<all>
Introduced in House
Introduced in House
Sponsor introductory remarks on measure. (CR E41-42)
Referred to the House Committee on Government Reform and Oversight.
Referred to the Subcommittee on Postal Service.
Subcommittee Hearings Held.
Subcommittee Consideration and Mark-up Session Held.
Forwarded by Subcommittee to Full Committee (Amended) by Voice Vote.
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