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Our Washington Liaison, Donna Keene, has brought an important piece of legislation to our attention. Representative Darrell Issa has introduced legislation that moves beyond the rhetoric of deficit reduction and actually addresses a government agency that is running an $8 billion annual deficit. The legislation focuses on the United States Postal Service (USPS) and could be the start of our elected representatives reviewing federal agency by federal agency and making critical spending reductions.
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The big government establishment class is trying to stop this legislation before it starts because they understand that if legislation like this works with the USPS, deficit reductions in other agencies will not be far behind. Congressman Issa needs our help to keep this bill from being swept under the rug by big government advocates! With our new software it will only take you a few short minutes to voice your support for the “Postal Reform Act.” Please take a few moments and make your voice heard.
Our team is working to pass this legislation from every angle by pressuring our elected representatives, a full ad campaign, and publicizing this important issue.
Your investment of $25, $50, $100, or whatever you can afford will return BILLIONS of dollars of savings to the American Tax Payer when we pass the Postal Reform Act.
Things you should know from the Government Oversight and Regulation Committee Press Release:
• Postal BRAC: Creates the Commission on Postal Reorganization to eliminate costly excess capacity and facilities. Over its first year, the CPR will recommend closures worth $1 billion/year for post offices. Over the second, it will recommend $1 billion/year closures for mail processing and a 30% reduction in management facilities.
• Solvency Authority: Creates an Authority modeled on and named after the DC Control Board with a mandate to cut costs, protect universal service, and return the USPS to financial solvency. The Authority is triggered into existence when the USPS goes into default on any obligation to the federal government for more than 30 days. It has the authority to require renegotiation of existing collective bargaining agreements and the power to unilaterally modify those agreements if renegotiation fails. To accomplish its mission, the Authority may use a supplemental borrowing authority of $10 billion, backed by USPS property as collateral.
• 5-Day Delivery: Allows the USPS to move to 5-day delivery of mail.
• Pay Comparability: Clarifies existing law to include wages and benefits in determining total compensation comparability with the entire private sector.
• Health and Life Insurance: Requires USPS employees to pay the same health and life insurance premium percentage as other federal workers. This provision is phased in to apply to union employees after their current bargaining agreements expire.
• Mediation Arbitration: Modifies the collective bargaining process to the 2003 Presidential Commission recommended mediation-arbitration process. Also requires arbitrators to take into account total compensation comparability and the financial situation of the Postal Service in any decision.
• Cost Coverage: Requires all market-dominant products to cover costs while maintaining the CPI price cap.
• Underwater Products: For classes below 90% cost coverage, rates are increased by 5% annually above the price cap.
• Non-Profit Discount: The non-profit advertising discount is reduced by 5% a year from 40% to 10% of the most closely corresponding class.
• Political Committees: Ends the rate preferences for national and state political committees.
• Advertising: Authorizes the USPS to sell advertising space on USPS facilities and vehicles. All advertising must maintain at least 200% cost coverage and be consistent with the USPS's integrity.
• State Government Services: Authorizes the USPS to provide services for state governments that enhances USPS's value to the public. Such services must not interfere with or detract from the value of postal services.
• Contracting Accountability and Transparency: Reaffirms accountability for delegations of contracting authority and requires their disclosure when outside the functional contracting unit. Requires disclosure of most non-competitive purchase requests above $250,000.
• Contracting Ethics: Requires the USPS to establish regulations to prevent conflicts of interest in the contracting area with ethics officials reviewing any ethics issues that arise.
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