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Senate Panel Approves Postal Reform Bill
Legislation Now Cleared for Action by Full Senate, House
APWU Web News Article #27-05, June 28, 2005
In a 15-1 vote, the Senate Homeland Security and Governmental Affairs Committee approved its version of postal reform legislation (S. 662) on June 22, clearing the measure for consideration by the full Senate. In April the House Government Reform Committee voted unanimously to submit a similar bill for consideration by the full House of Representatives.
Both the House and Senate bills include two important provisions that would improve the Postal Service’s financial outlook: One would release from an escrow account close to $3 billion that the USPS has saved by ending overpayments to the Civil Service Retirement System; the other would return responsibility for funding military-service related retirement benefits for postal employees to the Treasury.
The two provisions enjoy wide support in the postal community and among lawmakers of both parties, but face opposition from the Bush Administration. Under federal accounting rules, both would increase the deficit.
The one vote on the Senate panel against the proposed legislation came from Sen. Tom Coburn (R-OK), who complained “there is not enough incentive to control labor costs.”
APWU Position
“We endorse many of the facets of postal reform that are included in the bills,” said APWU President William Burrus. “We support the release of funds from the escrow account, the provision on retirement funding for military service, and rate flexibility.
“However, we have reservations about specific aspects of the bill,” he said. “We will withhold any overt criticism of the legislation until a final package is presented.”
“We are working with the leaders of the House and Senate committees involved in postal reform — and we will continue to do so — in drafting a final bill that is acceptable.”
The mailing industry, which has been the driving force for postal reform, was enthusiastic about the vote. “Today’s markup of the Senate bill is an important step in Congress delivering comprehensive postal reform,” said Michael J. Critelli, Chairman and CEO of Pitney Bowes.
What’s Next
Several weeks ago, House leaders signaled that postal reform legislation would be brought to the House floor this summer, but they have not yet scheduled a vote or issued a ruling on what amendments may be offered. Under Senate rules, any Senator can attempt to amend the legislation when it is debated on the floor.
If the legislation is approved by both chambers, a House-Senate conference committee could be formed to resolve any differences between the two bills. Before the legislation could become law, final votes would be taken in both chambers, and it would be sent to President Bush for his approval or veto.
