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A reform bill that would give the U.S. Postal Service greater authority to make business decisions and create a new oversight agency was introduced in June by Sen. Thomas Carper (D-DE).
“We're supportive of this bill and the [Senate Governmental Affairs] Committee's interest in it,” said Neal Denton, executive director of the Alliance of Nonprofit Mailers.
According to Carper's office, the Postal Accountability and Enhancement Act of 2003 would begin the process of developing a modern rate system for pricing postal service products. It also would create a strong regulatory body to ensure that the postal service competes fairly with other national mail carriers.
In addition, the measure, which essentially mirrors past bills proposed by Rep. John McHugh (R-NY) would:
Maintain the current requirement that the USPS continue delivering to every address in the country. Rename the Postal Rate Commission the Postal Regulatory Commission and give it the authority to create a new system of rates and service standards for most USPS products. Require this new commission to create a new system for pricing and classifying the postal service's market-dominant products, such as first class mail and others that are part of the postal monopoly. Give the PRC the power to institute emergency price increases during certain times, such as a national fuel crisis, that threaten the agency's ability to fulfill its universal service mandate. Mandate that mailers, the USPS and PRC agree to a schedule of rate increases over a period of time to make them more predictable and less frequent. Authorize the postal service to make negotiated service agreements with all direct mailers. Prevent the USPS from using revenue from its monopoly products, such as first class mail, to underwrite expenses for its competitive products, like Priority Mail. Require the USPS to pay an assumed federal income tax on products that private firms also offer.
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