Postal Service Reform Act of 2021
Floor Speech
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Ms. MOORE of Wisconsin. Madam Speaker, I rise in strong support of H.R. 3076, the Postal Reform Act. It is my hope that the changes in this legislation will help the United States Postal Service and its hardworking employees continue to serve our communities.
Our communities depend on a strong and vibrant Postal Service. The United States Postal Service reaches into every community of every size across our nation through its unmatchable delivery network. Over 600,000 hardworking Postal Service employees, nearly a quarter of them veterans, help the Postal Service carryout its obligations and provide top quality service to our communities which has helped the Postal Service consistently rank as one of the most respected institutions.
My constituents, like most Americans, rely on the efficient and timely delivery of bills, parcels and medication by the Postal Service. And when asked to do more, our postal workers step up. For example, the administration recently leaned on the Postal Service to help distribute at home COVID test kits, given its presence and ability to reach every community in our country. It is critical that the House take up legislation to help strengthen the Postal Service. This debate has been long overdue and so I welcome today's vote. I hope our colleagues in the Senate will quickly follow suit.
The challenges facing the Postal Service are well known. The adverse impact of mandates imposed by Congress in 2006 Postal Reform legislation that have hurt the Postal Service. The declining volume of first-class mail and associated revenue losses. Policy changes initiated by the current Postmaster General that has slowed the mail while raising mailing costs, a recipe for disaster.
At the same time, the Postal Service has an aging vehicle fleet that becomes more expensive every year to maintain and keep on the road.
The bill before us, while not perfect and not addressing every issue, would help put the Postal Service on a better path. I fear that every day of further inaction or delay on legislation such as the Postal Reform Act would only worsen the situation facing the Postal Service, its customers, and its employees. And failing to act may only lead to even more drastic measures and service cuts that will only adversely impact the millions of Americans and businesses that rely on the USPS. For example, some have used the current situation to push for ill- advised privatization of the Postal Service.
The Postal Reform Act includes provisions from stand-alone bills that I support such as preserving six-day mail delivery and repealing the requirement that the USPS prefund future retirement health benefits. And it would provide more flexibility for the Postal Service to offer work with state, local and tribal governments, to explore avenues to help generate more revenues.
We need a strong and vibrant Postal Service that maintains accessible services for all in our community. As the most trusted institution in the federal government and the cornerstone of a trillion dollar plus industry, the Postal Service and its dedicated postal workforce deserve every effort on our part to ensure it remains a viable and thriving institution.
I support this legislation and urge my colleagues to do the same.
Ms. JACKSON LEE. Madam Speaker, as a senior member of the House and the Committee on Homeland Security, and as Chair of the Judiciary Subcommittee on Crime, Terrorism, and Homeland Security, and a member of the Equality Caucus, I rise in strong support of H.R. 3076, the Postal Service Reform Act of 2022.
Passage of this legislation is urgently needed because USPS incurred its fourteenth consecutive net annual loss in 2020, and even if USPS continues to default on mandated payments, it would likely run out of cash to fund its operations prior to 2024.
Madam Speaker, USPS funds the universal mail service it provides to nearly 159 million delivery points solely through the sale of postage.
USPS adds one million new delivery points every year, even as mail volume continues to fall.
This means USPS must deliver less and less mail to more and more places.
In addition, several congressional mandates imposed when mail volume was at its peak put USPS on the road to insolvency.
USPS is required to pre-fund the health care costs of its employees, regardless of whether they actually serve until retirement.
USPS is also required to fund its pension liabilities at a much higher level than the rest of the federal government.
To conserve cash, USPS has defaulted on retiree health care payments since 2012.
That is why the key reforms in the Postal Service Reform Act of 2021 are so important.
First, the Postal Service Reform Act of 2021 would require future Postal Service retirees, who have been paying into Medicare their entire careers, to enroll in Medicare.
Currently, roughly a quarter of postal retirees do not enroll in Medicare even though they are eligible, which means USPS is stuck paying far higher premiums than any other public or private sector employer.
By more closely integrating Medicare, USPS estimates it could save approximately $22.6 billion over 10 years.
Second, the Postal Service Reform Act of 2021 would eliminate the requirement that USPS pre-fund retiree health benefits for all current and retired employees for 75 years in the future.
No private company or other federal government entity is required to comply with such a burdensome requirement and its elimination is estimated to drastically reduce its prefunding liability and allow USPS to save roughly $27 billion over 10 years.
Third, USPS Reform Act of 2021 would require USPS to develop a public-facing, online dashboard with national and local level service performance data updated each week to provide additional transparency and promote compliance with on-time delivery of mail.
Fourth, the Postal Service Reform Act of 2021 would require USPS to deliver both mail and packages at least six days per week across an integrated network.
Finally, the Postal Service Reform Act of 2021 would allow USPS to enter into agreements with State, local, and tribal governments to provide non-commercial property and services that provide enhanced value, do not detract from core postal services, and provide a reasonable contribution to Postal Service institutional costs.
In addition, the legislation contains several provisions that will improve the effectiveness of the Postal Service, including:
1. The expansion of special rates for local newspaper distribution to promote local news organizations;
2. A Postal Regulatory Commission (PRC) review of cost attribution guidelines for different Postal Service products to ensure pricing accuracy and better accounting;
3. Increased funding autonomy and control for the Postal Regulatory Commission to increase its budgetary resources commensurate with its mission of regulating the Postal Service, and to shield the PRC from government shutdowns;
4. A study on operational inefficiencies in Postal Service flats and magazine processing;
5. Regular congressional reporting on Postal Service operations and financial performance to enable accountability of stated cost savings, revenue, and infrastructure investment goals;
6. Adjustments to the considerations USPS must make when deciding which mode of transportation to use to deliver mail in order to ensure greater consistency and reliability; and
7. The consolidation of the PRC's small Inspector General Office into the more robust Postal Service Office of Inspector General.
Madam Speaker, the Postal Service's unmatched network and Universal Service Obligation serves 159 million homes and businesses every day, processing and delivering an average of 430 million pieces of mail and packages per day.
In fact, USPS often delivers seven days a week due to demand and necessity.
This has been especially true during the Covid-19 pandemic as American homes, businesses and private shippers have relied on the Postal Service to meet their needs in these extraordinary times.
Madam Speaker, I strongly support this legislation and urge all Members to join me in voting for H.R. 3076, the Postal Service Reform Act of 2021.
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