{"id":18061,"date":"2017-02-07T10:08:34","date_gmt":"2017-02-07T15:08:34","guid":{"rendered":"http:\/\/postalemployeenetwork.com\/news\/?p=18061"},"modified":"2017-02-07T10:08:34","modified_gmt":"2017-02-07T15:08:34","slug":"summary-the-postal-service-reform-act-of-2017","status":"publish","type":"post","link":"https:\/\/postalemployeenetwork.com\/news\/2017\/02\/07\/summary-the-postal-service-reform-act-of-2017\/","title":{"rendered":"Summary: The Postal Service Reform Act of 2017"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-18062\" src=\"https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2017\/02\/HR-756.jpg\" alt=\"\" width=\"400\" height=\"250\" srcset=\"https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2017\/02\/HR-756.jpg 400w, https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2017\/02\/HR-756-300x188.jpg 300w, https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2017\/02\/HR-756-86x54.jpg 86w, https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2017\/02\/HR-756-120x74.jpg 120w, https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2017\/02\/HR-756-378x237.jpg 378w\" sizes=\"auto, (max-width: 400px) 100vw, 400px\" \/><\/p>\n<p><em>PEN Editor: Below is a summary of H.R. 756, the Postal Service Reform Act of 2017. The complete bill may be read <a href=\"https:\/\/oversight.house.gov\/wp-content\/uploads\/2017\/01\/PSRA-for-Introduction-1.pdf\">here<\/a>. We <strong>DO NOT<\/strong> agree with this legislation in many areas, but it appears that our unions and management associations, along with major mailers, will get this bill forced through &#8211; think about this the next time you decide who to vote for as your union president and officers as well as your elected government officials&#8230;both democrat and republican. USPS, its&#8217; employees, and our nations postal customers will NOT be pleased with the results of this legislation. <strong>WE CANNOT ANSWER QUESTIONS REGARDING THIS LEGISLATION. <\/strong>Rick Owens &#8211; PEN<\/em><\/p>\n<h3 style=\"padding-left: 30px;\">Postal Service Reform Act of 2017<\/h3>\n<p style=\"padding-left: 30px;\"><strong>Summary<\/strong><\/p>\n<p style=\"padding-left: 30px;\"><strong>TITLE I \u2013 POSTAL SERVICE BENEFITS REFORM<\/strong><\/p>\n<p style=\"padding-left: 30px;\"><strong>Postal Service Health Benefits Program<\/strong><\/p>\n<p style=\"padding-left: 30px;\">\u2022 Establishes separately rated postal plans within the Federal Employees Health Benefits<\/p>\n<p style=\"padding-left: 30px;\">Program (FEHBP) beginning in January 2019.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 FEHBP carriers currently insuring at least 1,500 postal employees and retirees, as well as any<\/p>\n<p style=\"padding-left: 30px;\">other carriers may offer postal plans.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Almost all postal employees and retirees who elect coverage through FEHBP must enroll in<\/p>\n<p style=\"padding-left: 30px;\">one of the postal FEHBP plans.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Medicare eligible Postal Service retirees and family members are <em><strong>automatically enrolled<\/strong><\/em> in<\/p>\n<p style=\"padding-left: 30px;\">Medicare Part A and B.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 The Postal Service will cover a decreasing portion of the Medicare Part B premium for<\/p>\n<p style=\"padding-left: 30px;\">current retirees transitioned into Medicare as a result of the legislation over a 4-year<\/p>\n<p style=\"padding-left: 30px;\">transition period: 75% in the first year; 50% in the second year; 25% in the third year; and<\/p>\n<p style=\"padding-left: 30px;\">0% in the fourth year.<\/p>\n<p style=\"padding-left: 30px;\"><strong>Postal Service Retiree Health Care Benefit Funding Reform<\/strong><\/p>\n<p style=\"padding-left: 30px;\">\u2022 Requires the Postal Service to make actuarially-based Retiree Health Benefit (RHB)<\/p>\n<p style=\"padding-left: 30px;\">prefunding payments to cover 100% of the cost of the Postal Service\u2019s RHB liability within<\/p>\n<p style=\"padding-left: 30px;\">40 years.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Addresses the prefunding schedule established in the Postal Accountability and Enhancement<\/p>\n<p style=\"padding-left: 30px;\">Act of 2006.<\/p>\n<p style=\"padding-left: 30px;\"><strong>Postal Service Pension Funding Reform<\/strong><\/p>\n<p style=\"padding-left: 30px;\">\u2022 Calculates the Postal Service\u2019s pension costs and liabilities using the salary growth and<\/p>\n<p style=\"padding-left: 30px;\">demographic assumptions that are specific to the Postal Service population instead of the<\/p>\n<p style=\"padding-left: 30px;\">government-wide population, as in current law.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Any surplus within the Postal Service\u2019s Civil Service Retirement System or Federal<\/p>\n<p style=\"padding-left: 30px;\">Employees Retirement System accounts must be amortized over 30 years and returned to the<\/p>\n<p style=\"padding-left: 30px;\">Postal Service.<\/p>\n<p style=\"padding-left: 30px;\"><strong>TITLE II \u2013 POSTAL SERVICE OPERATIONS REFORM<\/strong><\/p>\n<p style=\"padding-left: 30px;\"><strong>Governance Reform<\/strong><\/p>\n<p style=\"padding-left: 30px;\">\u2022 Establishes 5 Presidentially-appointed, Senate confirmed Postal Service Governor positions<\/p>\n<p style=\"padding-left: 30px;\">with 7-year terms. (There are 9 current Governor positions.)<\/p>\n<p style=\"padding-left: 30px;\">\u2022 The Board of Governors of the Postal Service will include the Governors, the PMG, and the<\/p>\n<p style=\"padding-left: 30px;\">Deputy PMG.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 The PMG is explicitly tasked to carry out the power of the Postal Service in a manner<\/p>\n<p style=\"padding-left: 30px;\">consistent with a strategy set by the Board of Governors.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Requires the Postal Regulatory Commission (PRC) to pay the Department of State\u2019s costs of<\/p>\n<p style=\"padding-left: 30px;\">negotiating international postal rates.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Clarifies the PRC\u2019s existing authority to levy fines against the Postal Service, payable to the<\/p>\n<p style=\"padding-left: 30px;\">U.S. Treasury for deliberate noncompliance with the provisions of title 39.<\/p>\n<p style=\"padding-left: 30px;\"><strong>Conversion to Secure, Centralized Delivery<\/strong><\/p>\n<p style=\"padding-left: 30px;\">\u2022 Requires the incremental conversion to centralized delivery of business addresses identified<\/p>\n<p style=\"padding-left: 30px;\">by the Postal Service.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Requires the voluntary conversion to centralized or <strong><em>cluster box delivery<\/em><\/strong> of residential<\/p>\n<p style=\"padding-left: 30px;\">addresses identified by the Postal Service where <em><strong>40% of the residents<\/strong><\/em> consent to conversion.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Maintains door delivery of mail for residents who do not consent to voluntary conversion;<\/p>\n<p style=\"padding-left: 30px;\">however, any future or new residents of an area that has been converted will receive the<\/p>\n<p style=\"padding-left: 30px;\">converted delivery type.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 A conversion waiver is allowed in cases of physical hardship.<\/p>\n<p style=\"padding-left: 30px;\"><strong>Postal Rates<\/strong><\/p>\n<p style=\"padding-left: 30px;\">\u2022 Allows the Postal Service to increase postal rates for market-dominant products by 2.15%, 1<\/p>\n<p style=\"padding-left: 30px;\">cent, for a First-Class stamp.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Requires the PRC to complete its full review of the market-dominant rate system by January<\/p>\n<p style=\"padding-left: 30px;\">1, 2018.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Establishes priority factors for consideration in the PRC\u2019s rate review, including the Postal<\/p>\n<p style=\"padding-left: 30px;\">Service\u2019s financial stability, the effect of rate increases upon users of the mail, the reliability<\/p>\n<p style=\"padding-left: 30px;\">of delivery timelines and service standards, the available alternative means of communicating<\/p>\n<p style=\"padding-left: 30px;\">and sharing information, and the requirement that all costs incurred are appropriately covered<\/p>\n<p style=\"padding-left: 30px;\">by the revenue from the product for which they were incurred.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Eliminates state and national political committees\u2019 eligibility for non-profit mail rates.<\/p>\n<p style=\"padding-left: 30px;\"><strong>Nonpostal Services<\/strong><\/p>\n<p style=\"padding-left: 30px;\">\u2022 Authorizes the Postal Service to provide nonpostal services to state, local, and tribal<\/p>\n<p style=\"padding-left: 30px;\">governments and other federal agencies.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Requires public notice and comment and approval by Board of Governors before the Postal<\/p>\n<p style=\"padding-left: 30px;\">Service offers such service.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Requires the Postal Service to submit an annual report to the PRC analyzing the costs,<\/p>\n<p style=\"padding-left: 30px;\">revenues, rates, and quality of service for each nonpostal service agreement.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Requires the PRC to allow for public comment on the Postal Service\u2019s report.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 The PRC must then make a compliance determination and noncompliance constitutes failure<\/p>\n<p style=\"padding-left: 30px;\">of the price charged for the service to fully cover the Postal Service\u2019s costs.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 In case of noncompliance, the PRC shall prescribe remedial action to the Postal Service. The<\/p>\n<p style=\"padding-left: 30px;\">PRC may order the Postal Service to discontinue a nonpostal service if the Postal Service<\/p>\n<p style=\"padding-left: 30px;\">persistently fails to meet cost coverage requirements.<\/p>\n<p style=\"padding-left: 30px;\"><strong>Fair Stamp-Evidencing Competition<\/strong><\/p>\n<p style=\"padding-left: 30px;\">\u2022 Requires the Postal Service to abide by the same regulations it requires of private companies<\/p>\n<p style=\"padding-left: 30px;\">when offering metered postage systems that create individual postage labels for letters or<\/p>\n<p style=\"padding-left: 30px;\">packages.<\/p>\n<p style=\"padding-left: 30px;\"><strong>Efficient and Flexible Universal Postal Service<\/strong><\/p>\n<p style=\"padding-left: 30px;\">\u2022 Requires the Postal Service to consider additional factors when evaluating whether or not to<\/p>\n<p style=\"padding-left: 30px;\">close a post office: distance to next post office, characteristics of the location, including<\/p>\n<p style=\"padding-left: 30px;\">weather and terrain, and the availability of broadband.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Shortens the deadline for the PRC to review the Postal Service\u2019s decision to close or<\/p>\n<p style=\"padding-left: 30px;\">consolidate a post office from 120 to 60 days.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Allows communities the opportunity to provide input on their preference as to the closing or<\/p>\n<p style=\"padding-left: 30px;\">consolidation or alternative options for access to postal services.<\/p>\n<p style=\"padding-left: 30px;\">\u2022 Permits appeals regarding the closing or consolidation of post office stations and branches.<\/p>\n<p style=\"padding-left: 30px;\"><strong>Review of Postal Service Cost Allocation Guidelines<\/strong><\/p>\n<p style=\"padding-left: 30px;\">\u2022 Requires the PRC to conduct a one-time review of the Postal Service\u2019s cost allocation<\/p>\n<p style=\"padding-left: 30px;\">methodologies.<\/p>\n<p style=\"padding-left: 30px;\"><strong>TITLE III \u2013 POSTAL SERVICE PERSONNEL<\/strong><\/p>\n<p style=\"padding-left: 30px;\"><strong>Chief Innovation Officer<\/strong><\/p>\n<p style=\"padding-left: 30px;\">\u2022 Requires the Postal Service to establish and appoint a Chief Innovation Officer to manage the<\/p>\n<p style=\"padding-left: 30px;\">Postal Service\u2019s development and implementation of innovative postal and nonpostal<\/p>\n<p style=\"padding-left: 30px;\">products and services.<\/p>\n<p style=\"padding-left: 30px;\"><strong>Inspector General of the Postal Community<\/strong><\/p>\n<p style=\"padding-left: 30px;\">\u2022 Consolidates the Postal Service and the PRC Offices of Inspector General into a newly<\/p>\n<p style=\"padding-left: 30px;\">established Inspector General for the Postal Community.<\/p>\n<p style=\"padding-left: 30px;\"><strong>MSPB Appeal Rights<\/strong><\/p>\n<p style=\"padding-left: 30px;\">\u2022 Provides non-bargaining, non-supervisory employees access to the Merit Systems Protection<\/p>\n<p style=\"padding-left: 30px;\">Board.<\/p>\n<p style=\"padding-left: 30px;\"><strong>TITLE IV \u2013 POSTAL CONTRACTING REFORM<\/strong><\/p>\n<p style=\"padding-left: 30px;\"><strong>Contracting Reforms<\/strong><\/p>\n<p style=\"padding-left: 30px;\">\u2022 Requires the Postal Service and PRC to issue a policy on the delegation of contracting<\/p>\n<p style=\"padding-left: 30px;\">authority, post noncompetitive contract awards meeting certain dollar value thresholds, and<\/p>\n<p style=\"padding-left: 30px;\">improve oversight and response to potential conflicts of interest regarding contracting<\/p>\n","protected":false},"excerpt":{"rendered":"<p>PEN Editor: Below is a summary of H.R. 756, the Postal Service Reform Act of 2017. The complete bill may be read here. We DO NOT agree with this legislation in many areas, but it appears that our unions and management associations, along with major mailers, will get this bill forced through &#8211; think about [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":18062,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[],"class_list":["post-18061","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-breaking","last_archivepost"],"_links":{"self":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/18061","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/comments?post=18061"}],"version-history":[{"count":3,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/18061\/revisions"}],"predecessor-version":[{"id":18065,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/18061\/revisions\/18065"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/media\/18062"}],"wp:attachment":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/media?parent=18061"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/categories?post=18061"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/tags?post=18061"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}