Sec. 203. Modernizing postal rates

1,245 words·~6 min read·/bill/115/hr/756/ih/section-203

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Section 3622(b) of title 39, United States Code, is amended— in paragraph (2), by inserting and ensure after create ; in paragraph (3)— by inserting and meet after maintain ; and by inserting , with a focus on achieving predictable and consistent delivery before the period at the end; in paragraph (5), by inserting establish and before maintain ; in paragraph (6), by striking process and inserting and cost attribution processes ; and in paragraph (9), by inserting (and to ensure appropriate levels of transparency) before the period at the end.

Section 3622(c) of title 39, United States Code, is amended to read as follows: In establishing or revising such system, the Postal Regulatory Commission shall take into account the following factors: The effect of rate increases upon the general public and business mail users. The available alternative means of sending and receiving written communications, information, and letters and other mail matter at reasonable costs. The reliability of delivery timelines and the extent to which the Postal Service is meeting its service standard obligations.

The need to ensure that the Postal Service has adequate revenues and has taken appropriate cost-cutting measures to maintain financial stability and meet all legal obligations. The extent to which the Postal Service has taken actions to increase its efficiency and reduce its costs. The value of the mail service actually provided by each class or type of mail service to both the sender and the recipient, including the collection, mode of transportation, and priority of delivery.

The requirement that each class of mail or type of mail service bear the direct and indirect postal costs attributable to each class or type of mail service through reliably identified causal relationships plus that portion of all other costs of the Postal Service reasonably assignable to such class or type. The degree of preparation of mail for delivery into the postal system performed by the mailer and its effect upon improving efficiency and reducing costs to the Postal Service.

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. The importance of pricing flexibility to encourage increased mail volume and operational efficiency. The relative value to postal users of the kinds of mail matter entered into the postal system and the desirability and justification for special classifications and services of mail. The importance of providing classifications with extremely high degrees of reliability and speed of delivery and of providing those that do not require high degrees of reliability and speed of delivery.

The desirability of special classifications for both postal users and the Postal Service in accordance with the policies of this title, including agreements between the Postal Service and postal users, when available on public and reasonable terms to similarly situated mailers, that— improve the net financial position of the Postal Service by reducing Postal Service costs or increasing the overall contribution to the institutional costs of the Postal Service; and do not cause— unfair competitive advantage for the Postal Service or postal users eligible for the agreements; or unreasonable disruption to the volume or revenues of other postal users.

The educational, cultural, scientific, and informational value to the recipient of mail matter. The need for the Postal Service to increase its efficiency and reduce its costs, including infrastructure costs, to help maintain high quality, affordable postal services. The value to the Postal Service and postal users of promoting intelligent mail and of secure, sender-identified mail. The importance of stability and predictability of rates to ratepayers. The policies of this title as well as such other factors as the Commission determines appropriate. .

Section 3622(d)(1) of title 39, United States Code, is amended— by redesignating subparagraphs

(B)through

(E)as subparagraphs

(C)through (F), respectively; in subparagraph

(F)(as redesignated by clause (i)) by striking subparagraphs

(A)and

(C)and inserting subparagraphs

(A)and

(D); and by inserting after subparagraph

(A)the following: establish postal rates for each group of functionally equivalent agreements between the Postal Service and users of the mail that— cover attributable cost; improve the net financial position of the Postal Service; and do not cause unreasonable disruption in the marketplace, consistent with subsection (c)(13)(B), for purposes of this subparagraph, a group of functionally equivalent agreements shall consist of all service agreements that are functionally equivalent to each other within the same market-dominant product, but shall not include agreements within an experimental product; . Section 3622 of title 39, United States Code, is amended— in subsection

(a)by striking , within 18 months after the date of enactment of this section, ; and in subsection (d)(1)(D) (as redesignated by paragraph (3)(A)) by striking (c)(10) and inserting (c)(13) . Subsection

(e)of section 3626 of title 39, United States Code, is repealed. Section 3633 of title 39, United States Code, is amended by adding at the end the following: Not later than 90 days after the date of enactment of this subsection, after notice and opportunity for comment, the Postal Regulatory Commission shall promulgate (and may from time to time thereafter revise) regulations for streamlined after-the-fact review of newly proposed agreements between the Postal Service and users of the mail that provide rates not of general applicability for competitive products. Streamlined review shall apply only if agreements are functionally equivalent to existing agreements that have collectively covered attributable costs and collectively improved the net financial position of the Postal Service. The regulations issued under this subsection shall provide that streamlined review shall be concluded not later than 5 business days after the date on which the agreement is filed with the Commission and shall be limited to approval or disapproval of the agreement as a whole based on the Commission's determination of its functional equivalence. Agreements not approved may be resubmitted without prejudice under section 3632. . Section 3632(b) of title 39, United States Code, is amended— by redesignating paragraph

(4)as paragraph (5); and by inserting after paragraph

(3)the following: In the case of rates not of general applicability for competitive products that the Postmaster General considers eligible for streamlined review under section 3633(c), the Postmaster General shall cause the agreement to be filed with the Postal Regulatory Commission by a date that is on or before the effective date of any new rate established under the agreement, as the Postmaster General considers appropriate. . Section 3653 of title 39, United States Code, is amended— by redesignating subsections (c), (d), and

(e)as subsections (d), (e), and (f), respectively; and by inserting after subsection

(b)the following: Each annual written determination of the Commission under this section shall include the following: For each group of functionally equivalent agreements between the Postal Service and users of the mail, whether such group fulfilled requirements to— cover costs attributable; and improve the net financial position of the Postal Service. Any group of functionally equivalent agreements not meeting subparagraphs

(A)and

(B)of paragraph

(1)shall be determined to be in noncompliance under this subsection. For purposes of this subsection, a group of functionally equivalent agreements shall consist of one or more service agreements that are functionally equivalent to each other within the same market-dominant or competitive product, but shall not include agreements within an experimental product. . Section 3653(d) of title 39, United States Code (as redesignated by subparagraph (A)), is amended by striking subsections

(c)and

(e)and inserting subsections

(c)and

(d).