The Post Office had been struggling to meet the challenges of the internet and attacks by competitors like UPS and FedX. So why Congress would place the burden of pension funding like no other corporation faced raises questions at best. Regardless of this burden, the USPS was making gains in modifying its operations to allow for more profit. You'll see an article below how the competition joined to stop postal gains. You'll also see our friend ALEC, the group who writes bills regarding corporations for politicians to submit as law. They have been busy writing laws to undermine labor for decades. The Blog below does a good job expressing the sentiments of most people who treasure the post office. I checked the facts....indeed, no vote tally is shown for HR 1351. The co-sponsors are listed and are a long list of Third Way Democrats...the same group that voted for the end of Glass Steagall and Free Trade Agreements that killed labor and the middle-class (check Congress and HR1351 for list).
There can be no doubt that the burden of this bill just as the post office was working to reverse its losses was not a friendly move. WE HAVE THIRD WAY DEMOCRATS WHO ARE DOING AS MUCH HARM TO THE PEOPLE AS REPUBLICANS. THESE ARE THE INCUMBENTS THAT NEED TO GO! We need strong unions so shout loudly and strongly against any attempts to close the post offices! THEY HAVE AN INVESTIGATIVE UNIT FREE FROM CONGRESSIONAL OVERSIGHT THAT COULD EXPAND FROM MAIL FRAUD TO ALL FRAUD! Kill two birds with one stone......bring in extra revenue by recovering fraud money by the trillions.....the post office gets a strong, new revenue source using no taxpayer money, and you and I get a working criminal fraud agency that will protct us from all this massive fraud! TELL YOUR ELECTED OFFICIAL ----- WE WANT THE POST OFFICE HEALTHY AND STRONG AND DATA MINING FOR FRAUD!
Because I Can Blog
Is Congress Killing the Post Office for ALEC????
Contact your congressional member and tell them to support
H.R. 1351: United States Postal Service Pension Obligation Recalculation and Restoration Act of 2011
For the most part, every day, the part of the Bill Press show I listen to is the biggest damn waste of my time every day - but my only other choice is right wing radio.
This morning - he was at one of the worst points - I was screaming at the radio - due to his ignorance which this morning was worst than most. It's a good thing that his show isn't suppose to be news - cause it's evident that he reads very little news.
This morning he was talking about the Postal Service not being able to meet an upcoming debt payment and he said something to the effect that Congress has to step up and help them on this.
CONGRESS PUT THE US POST OFFICE IN THIS MESS.
At the heart of the matter is a 2006 Congressional mandate put on the US Postal Service contained in the “Postal Accountability and Enhancement Act of 2006” to pre-fund healthcare benefits of future retirees, a 75 year liability over a 10 year period. No other agency or corporation is required to do this.
This provision costs the Postal Service $5.5 billion a year. Dec 8, 2006: This bill passed in the House of Representatives by voice vote. A record of each representative’s position was not kept. Dec 9, 2006: This bill passed in the Senate by Unanimous Consent. A record of each senator’s position was not kept.
CONGRESSIONAL RECORD ON 2006 VOTE
H.R.1351 Latest Title: United States Postal Service Pension Obligation Recalculation and Restoration Act of 2011 Sponsor: Rep Lynch, Stephen F. [MA-9] (introduced 4/4/2011) Cosponsors (229) Related Bills: H.R.3174, S.1649, S.1688 Latest Major Action: 4/8/2011 Referred to House subcommittee. Status: Referred to the Subcommittee on Federal Workforce, U.S. Postal Service, and Labor Policy . SUMMARY AS OF: 4/4/2011--Introduced. United States Postal Service Pension Obligation Recalculation and Restoration Act of 2011 - Prescribes the "average pay" and the appropriate percentage thereof to be used in determining annuities for civilian employment with the United States Postal Service (USPS) for purposes of provisions relating to future benefits attributable to such employment in order to calculate the amount of any USPS surplus or supplemental liability under the Civil Service Retirement System.
Requires the Office of Personnel Management (OPM): (1) within six months after enactment of this Act, to determine (or, if applicable, redetermine) the amount of such surplus or liability as of the close of the most recently ending fiscal year using the methodology required under this Act; and (2) if the result is a surplus, to transfer the surplus amount to the Postal Service Retiree Health Benefits Fund within 15 days after the determination of a surplus.
Provides for an alternate determination of an USPS surplus or supplemental liability for FY2016-FY2020.
Requires transfer of certain surplus postal retirement contributions in FY2011 to the Postal Service Retiree Health Benefits Fund or the Employees' Compensation Fund under the Federal Employees' Compensation Act (FECA).
Expresses the intent of Congress that this Act shall apply to allocations of past, present, and future benefit liabilities between the USPS and the Treasury.
Post Office to Stop Payments to Retirement Fund By SEAN COLLINS WALSH Published: June 22, 2011 New York Times
WASHINGTON — To stave off insolvency, the Postal Service will discontinue legally required payments to its employees’ retirement fund on Friday, the agency announced Wednesday.
The announcement said that the post office hoped to save $800 million this fiscal year by stopping its payments to the Federal Employees Retirement System, which are $115 million every two weeks. Employee contributions from salary deductions will continue to be forwarded to the retirement fund.
The move will not affect pension payments for current retirees, according to a statement Wednesday from the Office of Personnel Management, which administers government retirement plans.
Federal terms have caused the service to overpay the fund, resulting in a $6.9 billion surplus, officials said. By suspending the payments, the money could be used to pay other bills.
“We need this cash throughout the rest of the year,” said Anthony Vegliante, the post office’s chief human resources officer, in a phone interview
LETTER: Thanks to everyone who tried to save South Lorain Post Office Published: Saturday, September 24, 2011
The Morning Journal of Northern Ohio
To the Editor: On Aug. 27, a rally was held in front of the South Lorain Post Office. That was a sad day for many people living in South Lorain. If we had 10 rallies, it would not stop the Postmaster General Patrick Donahue from closing its doors.I along with Eddie Edwards, 5th Ward councilman; Rick Lucente, 6th Ward councilman, and many wonderful people of South Lorain gathered over 2,000 signed petitions which Mr. Lucente will be mailing to Postmaster Donahue, along with a letter indicating the great loss to the many seniors and young people who are unemployed without transportation to travel elsewhere for postal service.As you drive down E. 28th St., lights are out and the every day long line of cars at the post office is gone — gone just like the many clothing and hardware stores and restaurants that were on E. 28th, Vine, Pearl and Grove avenues in this once-booming little community.I was told by a man who would be well over 100 years old and now deceased that Vine Avenue was the Broadway of Lorain in the years of the 1920s, ’30s and ’40s. He gave me a long list of all the businesses in South Lorain, which I forwarded to the Black River Historical Society.
In spite of all that is lost, the resilient and hard-working mill families and others look forward to a better future for the next generation.I’m proud to live in this great community of South Lorain and with its people. There is always hope for the many tomorrows throughout this entire city.To the many people who attended the rally in trying to save the South Lorain Post Office, thank you.Anne Molnar, Council at large, Lorain
New UPS Delivery Service Sends Packages Through the Post Office RICK BROOKS / Wall Street Journal 6nov03 ATLANTA—Escalating its attack on the U.S. Postal Service, United Parcel Service Inc. is quietly rolling out a new, bare-bones service that will soon begin dumping thousands of packages a day into the mail system for regular letter carriers to deliver.
The new service, called UPS Basic, is designed to steal some of the post office's biggest customers, especially mail-order merchants that often avoided UPS because of its comparatively steep rates. UPS Basic, which has angered post-office officials and UPS's own Teamsters union, exploits a postal discount program that was designed for very different purposes. Because of the discount, customers pay UPS less for its new service than if they went straight to the post office.
The move underscores a growing campaign by UPS to recapture business lost during the past few years to the post office and smaller competitors that have pecked away at the company's longtime dominance in the $25 billion-a-year U.S. ground-shipping industry. If the initial rollout of UPS Basic is successful, the company could increase to hundreds of thousands a day the number of its packages whose final delivery is made by the mailman.
UPS archrival FedEx Corp. is expected to begin a similar test. The Postal Service already makes residential deliveries for the former Airborne Inc., which was acquired in August by Deutsche Post AG's DHL Worldwide Express unit, and other large mailers that bundle their shipments together using companies known as consolidators.
The key to the UPS move is the little-known postal discount program, called Parcel Select, through which 285 million packages moved in the fiscal year ended Sept. 30. The program was designed to cut Postal Service costs by giving the consolidators huge price breaks. Consolidators typically presort their packages and haul large loads of them to the local post office nearest their final destination. Local mail carriers then deliver the shipments as part of their regular routes.
Because of UPS's ability to zero in on the exact cost of delivery to any given destination, the company can essentially cherry-pick the most profitable packages from among those shipped. These are mainly deliveries destined for dense urban areas. But for as much as 25% of the packages shipped with UPS Basic, the company says it plans to consolidate the parcels headed for the most rural or difficult-to-reach locations and then dump only those into the mail system. The mailman will have to take over from there, making a final delivery at a lower cost than sending a UPS driver. UPS pockets the savings.