[Congressional Record Volume 157, Number 166 (Wednesday, November 2, 2011)]
[Senate]
[Pages S7067-S7082]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS
By Mr. REID (for himself and Mr. Heller):
S. 1788. A bill to designate the Pine/Forest Range Wilderness area in
Humboldt County, Nevada; to the Committee on Energy and Natural
Resources.
Mr. REID. Mr. President, I rise today to introduce the Pine Forest
Recreation Enhancement Act of 2011.
The entire Nevada congressional delegation has joined together in
support of this important legislation for northern Nevada. The Pine
Forest Recreation Enhancement Act would designate 26,000 acres of
public lands within the Blue Lakes and Alder Creek Wilderness Study
Areas, WSAs, as the Pine Forest Range Wilderness Area while releasing
1,1500 acres of existing WSA lands. The bill also directs the
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Bureau of Land Management, BLM, to exchange federal lands nearby
ranches in Humboldt County for private parcels within the existing
WSAs. These exchanges will allow the BLM to more effectively manage the
wilderness area and increase the economic opportunities for the
adjacent ranches by providing land for agricultural uses.
This bill is the product of a comprehensive local process that took
into consideration the concerns of local landowners, sportsmen,
conservationists, and other interested parties in Humboldt County. This
diverse group of stakeholders came together to develop this compromise
proposal through a series of public meetings and field trips. This
process was so successful that, for the first time that I can remember,
a wilderness proposal was presented to our delegation with almost
unanimous support and the Nevada State Legislature passed a joint
resolution endorsing the work of the County commission and the Pine
Forest Working Group.
Beyond the widespread state and local support, there is no question
that the pristine natural lands and wildlife habitat in the Blue Lakes
and Alder Creek WSA should receive the strongest level of protection we
can provide for public lands. Rising from the confluence of the Great
Basin and Owyhee deserts, the Pine Forest Range boasts high alpine
lakes surrounded by granite spires that are home to a variety of large
trout including our Lahontan Cutthroat trout that is native only to
Nevada. The thick forests of aspen and pine that blanket these
mountains provide a stronghold for mule deer, pronghorn, and bighorn
sheep. The area is also well known by sportsmen across the west for its
world class chukar hunting; a favorite fall pastime for many Nevadans.
Protecting these untouched natural lands in Nevada is important to me
and to the people of Humboldt County. I want to thank each member of
the Humboldt County Commission, Garley Amos, Mike Bell, Tom Fransway,
Dan Cassinelli, and Jim French as well as Bill Deese for their work to
bring this legislation to fruition. I would also like to express my
gratitude to Jim Jeffress from Trout Unlimited, Shaaron Netherton from
the Friends of Nevada Wilderness, and the other members of the Pine
Forest Range working group for their tireless efforts that have been
universally recognized as the gold standard for developing wilderness
proposals.
I look forward to working with Chairman Bingaman, Ranking Member
Murkowski and the other distinguished members of the Senate Energy
Committee to move this legislation forward in the near future.
Mr. President, I ask unanimous consent that the text of the bill be
printed in the Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 1788
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Pine
Forest Range Recreation Enhancement Act of 2011''.
(b) Table of Contents.--The table of contents for this Act
is as follows:
Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Definitions.
Sec. 4. Addition to national wilderness preservation system.
Sec. 5. Administration.
Sec. 6. Adjacent management.
Sec. 7. Military overflights.
Sec. 8. Native American cultural and religious uses.
Sec. 9. Release of wilderness study areas.
Sec. 10. Wildlife management.
Sec. 11. Wildfire, insect, and disease management.
Sec. 12. Climatological data collection.
Sec. 13. Land exchanges.
SEC. 2. FINDINGS.
Congress finds that--
(1) public land in the Pine Forest Range contains unique
and spectacular natural resources, including--
(A) priceless habitat for numerous species of plants and
wildlife; and
(B) thousands of acres of land that remain in a natural
state;
(2) continued preservation of the public land would benefit
the County and the United States by--
(A) ensuring the conservation of ecologically diverse
habitat;
(B) protecting prehistoric cultural resources;
(C) conserving primitive recreational resources; and
(D) protecting air and water quality; and
(3) designation of the Pine Forest Range as a wilderness
area is supported by the State, units of local governments,
and the surrounding communities.
SEC. 3. DEFINITIONS.
In this Act:
(1) County.--The term ``County'' means Humboldt County,
Nevada.
(2) Map.--The term ``Map'' means the map entitled
``Proposed Pine Forest Wilderness Area'' and dated May 4,
2011.
(3) Secretary.--The term ``Secretary'' means the Secretary
of the Interior.
(4) State.--The term ``State'' means the State of Nevada.
SEC. 4. ADDITION TO NATIONAL WILDERNESS PRESERVATION SYSTEM.
(a) Designation.--Certain Federal land managed by the
Bureau of Land Management, comprising approximately 26,000
acres, as generally depicted on the Map is designated as
wilderness and as a component of the National Wilderness
Preservation System, to be known as the ``Pine Forest Range
Wilderness''.
(b) Boundary.--
(1) Road access.--The boundary of any portion of the
wilderness area designated by subsection (a) that is bordered
by a road shall be at least 100 feet away from the edge of
the road to allow public access.
(2) Road adjustments.--The Secretary shall--
(A) reroute the road running through Long Meadow to the
west to remove the road from the riparian area;
(B) reroute the road currently running through Rodeo Flat
Meadow to the east to remove the road from the riparian area;
and
(C) close, except for administrative use, the road along
Lower Alder Creek south of Bureau of Land Management road
#2083.
(3) Reservoir access.--The boundary of the wilderness area
designated by subsection (a) shall be at least 160 feet
downstream from the dam at Little Onion Reservoir to allow
public access.
(c) Map and Legal Description.--
(1) In general.--As soon as practicable after the date of
enactment of this Act, the Secretary shall file a map and
legal description of the wilderness area designated by
subsection (a) with--
(A) the Committee on Natural Resources of the House of
Representatives; and
(B) the Committee on Energy and Natural Resources of the
Senate.
(2) Effect.--The map and legal description filed under
paragraph (1) shall have the same force and effect as if
included in this Act, except that the Secretary may correct
clerical and typographical errors in the map or legal
description.
(3) Availability.--Each map and legal description filed
under paragraph (1) shall be on file and available for public
inspection in the appropriate offices of the Bureau of Land
Management.
(d) Withdrawal.--Subject to valid existing rights, the
wilderness area designated by subsection (a) is withdrawn
from--
(1) all forms of entry, appropriation, and disposal under
the public land laws;
(2) location, entry, and patent under the mining laws; and
(3) disposition under all laws pertaining to mineral and
geothermal leasing or mineral materials.
SEC. 5. ADMINISTRATION.
(a) Management.--Subject to valid existing rights, the land
designated as wilderness by this Act shall be administered by
the Secretary in accordance with the Wilderness Act (16
U.S.C. 1131 et seq.), except that--
(1) any reference in that Act to the effective date of that
Act shall be considered to be a reference to the date of
enactment of this Act; and
(2) any reference in that Act to the Secretary of
Agriculture shall be considered to be a reference to the
Secretary.
(b) Livestock.--Within the wilderness area designated by
this Act, the grazing of livestock in areas administered by
the Bureau of Land Management in which grazing is established
as of the date of enactment of this Act shall be allowed to
continue--
(1) subject to such reasonable regulations, policies, and
practices as the Secretary considers to be necessary; and
(2) consistent with section 4(d)(4) of the Wilderness Act
(16 U.S.C. 1133(d)(4)), including the guidelines set forth in
Appendix A of House Report 101-405.
(c) Incorporation of Acquired Land and Interests.--Any land
or interest in land within the boundaries of the area
designated as wilderness by this Act that is acquired by the
United States after the date of enactment of this Act shall
be added to and administered as part of the wilderness area.
(d) Water Rights.--
(1) Findings.--Congress finds that--
(A) the land designated as wilderness by this Act is
located--
(i) in the semiarid region of the Great Basin; and
(ii) at the headwaters of the streams and rivers on land
with respect to which there are few, if any--
(I) actual or proposed water resource facilities located
upstream; and
(II) opportunities for diversion, storage, or other uses of
water occurring outside the land that would adversely affect
the wilderness values of the land;
(B) the land designated as wilderness by this Act is
generally not suitable for use or development of new water
resource facilities; and
[[Page S7069]]
(C) because of the unique nature of the land designated as
wilderness by this Act, it is possible to provide for proper
management and protection of the wilderness and other values
of land in ways different from those used in other laws.
(2) Purpose.--The purpose of this section is to protect the
wilderness values of the land designated as wilderness by
this Act by means other than a federally reserved water
right.
(3) Statutory construction.--Nothing in this Act--
(A) constitutes an express or implied reservation by the
United States of any water or water rights with respect to a
wilderness designated by this Act;
(B) affects any water rights in the State (including any
water rights held by the United States) in existence on the
date of enactment of this Act;
(C) establishes a precedent with regard to any future
wilderness designations;
(D) affects the interpretation of, or any designation made
under, any other Act; or
(E) limits, alters, modifies, or amends any interstate
compact or equitable apportionment decree that apportions
water among and between the State and other States.
(4) Nevada water law.--The Secretary shall follow the
procedural and substantive requirements of State law in order
to obtain and hold any water rights not in existence on the
date of enactment of this Act with respect to the wilderness
area designated by this Act.
(5) New projects.--
(A) Definition of water resource facility.--
(i) In general.--In this paragraph, the term ``water
resource facility'' means irrigation and pumping facilities,
reservoirs, water conservation works, aqueducts, canals,
ditches, pipelines, wells, hydropower projects, transmission
and other ancillary facilities, and other water diversion,
storage, and carriage structures.
(ii) Exclusion.--In this paragraph, the term ``water
resource facility'' does not include wildlife guzzlers.
(B) Restriction on new water resource facilities.--Except
as otherwise provided in this Act, on or after the date of
enactment of this Act, neither the President nor any other
officer, employee, or agent of the United States shall fund,
assist, authorize, or issue a license or permit for the
development of any new water resource facility within a
wilderness area, any portion of which is located in the
County.
SEC. 6. ADJACENT MANAGEMENT.
(a) In General.--Congress does not intend for the
designation of land as wilderness by this Act to create a
protective perimeter or buffer zone around the wilderness
area.
(b) Nonwilderness Activities.--The fact that nonwilderness
activities or uses can be seen or heard from areas within the
wilderness designated by this Act shall not preclude the
conduct of the activities or uses outside the boundary of the
wilderness area.
SEC. 7. MILITARY OVERFLIGHTS.
Nothing in this Act restricts or precludes--
(1) low-level overflights of military aircraft over the
area designated as wilderness by this Act, including military
overflights that can be seen or heard within the wilderness
area;
(2) flight testing and evaluation; or
(3) the designation or creation of new units of special use
airspace, or the establishment of military flight training
routes, over the wilderness area.
SEC. 8. NATIVE AMERICAN CULTURAL AND RELIGIOUS USES.
Nothing in this Act diminishes--
(1) the rights of any Indian tribe; or
(2) tribal rights regarding access to Federal land for
tribal activities, including spiritual, cultural, and
traditional food-gathering activities.
SEC. 9. RELEASE OF WILDERNESS STUDY AREAS.
(a) Finding.--Congress finds that, for the purposes of
section 603 of the Federal Land Policy and Management Act of
1976 (43 U.S.C. 1782), the Bureau of Land Management land in
any portion of the Blue Lakes and Alder Creek wilderness
study areas not designated as wilderness by section 4(a) has
been adequately studied for wilderness designation.
(b) Release.--Any public land described in subsection (a)
that is not designated as wilderness by this Act--
(1) is no longer subject to section 603(c) of the Federal
Land Policy and Management Act of 1976 (43 U.S.C. 1782(c));
(2) shall be managed in accordance with--
(A) land management plans adopted under section 202 of that
Act (43 U.S.C. 1712); and
(B) cooperative conservation agreements in existence on the
date of enactment of this Act; and
(3) shall be subject to the Endangered Species Act of 1973
(16 U.S.C. 1531 et seq.).
SEC. 10. WILDLIFE MANAGEMENT.
(a) In General.--In accordance with section 4(d)(7) of the
Wilderness Act (16 U.S.C. 1133(d)(7)), nothing in this Act
affects or diminishes the jurisdiction of the State with
respect to fish and wildlife management, including the
regulation of hunting, fishing, and trapping, in the
wilderness area designated by this Act.
(b) Management Activities.--In furtherance of the purposes
and principles of the Wilderness Act (16 U.S.C. 1131 et
seq.), management activities to maintain or restore fish and
wildlife populations and the habitats to support the
populations may be carried out within the wilderness area
designated by this Act, if the activities are carried out--
(1) consistent with relevant wilderness management plans;
and
(2) in accordance with--
(A) the Wilderness Act (16 U.S.C. 1131 et seq.); and
(B) appropriate policies, such as those set forth in
Appendix B of House Report 101-405, including the occasional
and temporary use of motorized vehicles if the use, as
determined by the Secretary, would promote healthy, viable,
and more naturally distributed wildlife populations that
would enhance wilderness values with the minimal impact
necessary to reasonably accomplish those tasks.
(c) Existing Activities.--Consistent with section 4(d)(1)
of the Wilderness Act (16 U.S.C. 1133(d)(1)) and in
accordance with appropriate policies such as those set forth
in Appendix B of House Report 101-405, the State may continue
to use aircraft, including helicopters, to survey, capture,
transplant, monitor, and provide water for wildlife
populations.
(d) Wildlife Water Development Projects.--Subject to
subsection (f), the Secretary shall authorize structures and
facilities, including existing structures and facilities, for
wildlife water development projects, including guzzlers, in
the wilderness areas designated by section 4(a) if--
(1) the structures and facilities will, as determined by
the Secretary, enhance wilderness values by promoting
healthy, viable, and more naturally distributed wildlife
populations; and
(2) the visual impacts of the structures and facilities on
the wilderness areas can reasonably be minimized.
(e) Hunting, Fishing, and Trapping.--
(1) In general.--The Secretary may designate, by
regulation, areas in which, and establish periods during
which, for reasons of public safety, administration, or
compliance with applicable laws, no hunting, fishing, or
trapping will be permitted in the wilderness areas designated
by section 4(a).
(2) Consultation.--Except in emergencies, the Secretary
shall consult with the appropriate State agency before
promulgating regulations under paragraph (1).
(f) Cooperative Agreement.--
(1) In general.--The State, including a designee of the
State, may conduct wildlife management activities in the
wilderness area designated by this Act--
(A) in accordance with the terms and conditions specified
in the cooperative agreement between the Secretary and the
State entitled ``Memorandum of Understanding between the
Bureau of Land Management and the Nevada Department of
Wildlife Supplement No. 9'' and signed November and December
2003, including any amendments to the cooperative agreement
agreed to by the Secretary and the State; and
(B) subject to all applicable laws (including regulations).
(2) References; clark county.--For the purposes of this
subsection, any reference to Clark County in the cooperative
agreement described in paragraph (1)(A) shall be considered
to be a reference to the Pine Forest Range Wilderness.
SEC. 11. WILDFIRE, INSECT, AND DISEASE MANAGEMENT.
(a) In General.--Consistent with section 4(d)(1) of the
Wilderness Act (16 U.S.C. 1133(d)(1)), the Secretary may take
such measures in the wilderness designated by this Act as may
be necessary for the control of fire, insects, and diseases
(including, as the Secretary determines to be appropriate,
the coordination of the activities with a State or local
agency).
(b) Effect.--Nothing in this Act precludes a Federal,
State, or local agency from conducting wildfire management
operations (including operations using aircraft or mechanized
equipment).
SEC. 12. CLIMATOLOGICAL DATA COLLECTION.
If the Secretary determines that hydrologic, meteorologic,
or climatological collection devices are appropriate to
further the scientific, educational, and conservation
purposes of the wilderness area designated by this Act,
nothing in this Act precludes the installation and
maintenance of the collection devices within the wilderness
area.
SEC. 13. LAND EXCHANGES.
(a) Definitions.--In this section:
(1) Federal land.--The term ``Federal land'' means Federal
land in the County that--
(A) is not segregated or withdrawn on or after the date of
enactment of this Act;
(B) is identified for disposal by the Bureau of Land
Management through the Winnemucca Resource Management Plan;
and
(C) is determined by the Bureau of Land Management to be
appropriate for exchange consistent with section 206 of the
Federal Land Policy and Management Act of 1976 (43 U.S.C.
1716).
(2) Non-federal land.--The term ``non-Federal land'' means
land identified on the Map as ``non-Federal lands for
exchange''.
(b) Acquisition of Land and Interests in Land.--
(1) In general.--Consistent with applicable law and subject
to subsection (c), the Secretary may exchange the Federal
land for non-Federal land.
(2) Incorporation of acquired land.--Any non-Federal land
or interest in non-Federal land in, or adjoining the boundary
of, the Pine Forest Range Wilderness Area that is acquired by
the United States shall be added
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to, and administered as part of, the Pine Forest Range
Wilderness Area.
(c) Conditions.--Each land exchange under subsection (a)
shall be subject to--
(1) the condition that the owner of the non-Federal land
pay not less than 50 percent of all costs relating to the
land exchange, including the costs of appraisals, surveys,
and any necessary environmental clearances; and
(2) such additional terms and conditions as the Secretary
may require.
(d) Deadline for Completion of Land Exchange.--It is the
intent of Congress that the land exchanges under this section
be completed by not later than 5 years after the date of
enactment of this Act.
______
By Mr. LIEBERMAN (for himself, Ms. Collins, Mr. Carper, and Mr.
Brown of Massachusetts):
S. 1789. A bill to improve, sustain, and transform the United States
Postal Service; to the Committee on Homeland Security and Governmental
Affairs.
Mr. LIEBERMAN. Mr. President, today Senators Collins, Carper, Scott
Brown of Massachusetts, and I are introducing bipartisan, compromise
legislation to rescue the United States Postal Service, USPS, from
financial ruin and secure its commercial health into the future.
Five years ago, Senators Collins and Carper led Congress in the
adoption of postal reform legislation. The speed of the migration to
internet communications, combined with the recent economic downturn,
means we need to revisit the Postal Service's financial viability
again. This year, Senator Brown and I joined Senators Collins and
Carper in proposing the 21st Century Postal Service Act.
The Postal Service needs a fundamental restructuring of the way it
meets its obligations to the public, to its customers--including
individual and business mailers--and to its employees. If our reform
legislation is adopted, we are confident this time USPS, which was
founded in the 18th century, will survive and flourish into the 21st.
Too many people still rely on the Postal Service for us to sit back
and allow its demise. Despite a 22 percent drop in mail volume in four
years, the Postal Service will deliver 167 billion pieces this year. It
is the second largest private sector employer in our country after Wal-
Mart and has 557,000 career employees. It has 32 thousand post offices,
which represents more domestic retail outlets than Wal-Mart, Starbucks
and McDonalds combined.
The financial health of the USPS has been deteriorating for years.
But the rapid changeover to electronic communications and the recent
economic downturn have swept it up into a financial death spiral. In
this fiscal year, 2011, the Postal Service first projected a total loss
of $8 billion. That was in July. By September, it revised its estimate
and now says it will lose $10 billion. Unless major reform is adopted,
the Postal Service will run out of money to deliver the mail sometime
next summer.
That is why we are introducing this comprehensive legislation to put
a number of cost saving measures in place. Let me summarize just a few
of the most important provisions.
Of great interest to the American public will be our provision
related to 5-day delivery. As you all know, the Postal Service has been
pushing to reduce the number of days it delivers mail each week from
six to five. USPS believes this will achieve $3 billion in savings.
Communities across the country, however, are deeply concerned about
what this would mean for people who rely on Saturday delivery for
critical medications or newspapers.
We are mindful of these concerns, so our legislation would bar the
Postal Service from moving to 5-day delivery until two years after
enactment of our bill and, in the meantime, reduce costs in other ways.
The Government Accountability Office would have to verify that
sufficient savings cannot be achieved without going to 5-day delivery.
USPS also would have to identify customers and communities that might
be disproportionately affected by 5-day delivery and develop remedies
to address their concerns.
Our bill also recognizes that the Postal Service must continue to
decrease the number of its employees. Thus, we authorize USPS to offer
buyouts to help it transition to a smaller workforce. To ensure the
Postal Service can pay for these buyouts, we direct the Office of
Personnel Management to refund to the Postal Service what everyone
agrees has been an overpayment by USPS into the Federal Employees
Retirement System. Using this money to support buyouts, the Postmaster
General believes he may be able to reduce the Postal Service workforce
by as many as 100,000 employees over the next three years and save $8
billion a year.
To achieve healthcare savings, we would allow the Postal Service to
work with its employee unions and the Office of Personnel Management to
try to develop and agree on a new health plan for postal employees. The
Postmaster General is confident that he and the postal unions can agree
on an approach that could cut healthcare costs significantly, while
retaining adequate benefits.
Finally, our bill would help USPS get out from under the onerous
weight of its current pre-funding requirements for its retiree health
benefits by recalibrating the payments and amortizing them over time.
This, too, will provide significant financial relief to the Postal
Service.
We know many of our proposals will be controversial. But without
taking controversial steps, the Postal Service will not make it. We are
pursuing broad changes rather than working around the edges to put the
Postal Service back on the road to recovery. The Postmaster General has
told us he needs to cut $20 billion from the USPS' annual budget, and
we are giving him and his employees the tools to make that happen. The
bottom line is we must act quickly to prevent a Postal Service collapse
and we must act boldly to secure its future.
The U.S. Postal Service is not an 18th Century relic. It is a great
21st Century national asset. But times are changing rapidly and so too
must the Postal Service, if it is to survive.
Mr. President, I ask unanimous consent that the text of the bill be
printed In the Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 1789
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``21st Century Postal Service
Act of 2011''.
SEC. 2. TABLE OF CONTENTS.
The table of contents for this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
Sec. 3. Definitions.
TITLE I--POSTAL WORKFORCE MATTERS
Sec. 101. Treatment of surplus contributions to Federal Employees
Retirement System.
Sec. 102. Additional service credit.
Sec. 103. Medicare coverage for Postal Service Medicare eligible
annuitants.
Sec. 104. Restructuring of payments for retiree health benefits.
Sec. 105. Postal Service Health Benefits Program.
Sec. 106. Arbitration; labor disputes.
TITLE II--POSTAL SERVICES AND OPERATIONS
Sec. 201. Postal facilities.
Sec. 202. Additional Postal Service planning.
Sec. 203. Area and district office structure.
Sec. 204. Retail service standards.
Sec. 205. Conversion of door delivery points.
Sec. 206. Limitations on changes to mail delivery schedule.
Sec. 207. Time limits for consideration of service changes.
Sec. 208. Public procedures for significant changes to mailing
specifications.
Sec. 209. Nonpostal products and services.
TITLE III--FEDERAL EMPLOYEES' COMPENSATION ACT
Sec. 301. Short title; references.
Sec. 302. Federal workers compensation reforms for retirement-age
employees.
Sec. 303. Augmented compensation for dependents.
Sec. 304. Schedule compensation payments.
Sec. 305. Vocational rehabilitation.
Sec. 306. Reporting requirements.
Sec. 307. Disability management review; independent medical
examinations.
Sec. 308. Waiting period.
Sec. 309. Election of benefits.
Sec. 310. Sanction for noncooperation with field nurses.
Sec. 311. Subrogation of continuation of pay.
Sec. 312. Social Security earnings information.
Sec. 313. Amount of compensation.
Sec. 314. Technical and conforming amendments.
Sec. 315. Regulations.
[[Page S7071]]
TITLE IV--OTHER MATTERS
Sec. 401. Profitability plan.
Sec. 402. Postal rates.
Sec. 403. Cooperation with State and local governments; intra-Service
agreements.
Sec. 404. Shipping of wine and beer.
Sec. 405. Annual report on United States mailing industry.
Sec. 406. Use of negotiated service agreements.
Sec. 407. Contract disputes.
Sec. 408. Contracting provisions.
SEC. 3. DEFINITIONS.
In this Act, the following definitions shall apply:
(1) Commission.--The term ``Commission'' means the Postal
Regulatory Commission.
(2) Postal service.--The term ``Postal Service'' means the
United States Postal Service.
TITLE I--POSTAL WORKFORCE MATTERS
SEC. 101. TREATMENT OF SURPLUS CONTRIBUTIONS TO FEDERAL
EMPLOYEES RETIREMENT SYSTEM.
Section 8423(b) of title 5, United States Code, is
amended--
(1) by redesignating paragraph (5) as paragraph (6); and
(2) by inserting after paragraph (4) the following:
``(5)(A) In this paragraph, the term `surplus postal
contributions' means the amount by which the amount computed
under paragraph (1)(B) is less than zero.
``(B) For each fiscal year in which the amount computed
under paragraph (1)(B) is less than zero, upon request of the
Postmaster General, the Director shall transfer to the United
States Postal Service from the Fund an amount equal to the
surplus postal contributions for that fiscal year for use in
accordance with this paragraph.
``(C) For each of fiscal years 2012, 2013, and 2014, if the
amount computed under paragraph (1)(B) is less than zero, a
portion of the surplus postal contributions for the fiscal
year shall be used by the United States Postal Service for
the cost of providing to employees of the United States
Postal Service who voluntarily separate from service before
October 1, 2014--
``(i) voluntary separation incentive payments (including
payments to employees who retire under section 8336(d)(2) or
8414(b)(1)(B) before October 1, 2014) that may not exceed the
maximum amount provided under section 3523(b)(3)(B) for any
employee; and
``(ii) retirement service credits, as authorized under
section 8332(p) or 8411(m).
``(D) Any surplus postal contributions for a fiscal year
not expended under subparagraph (C) may be used by the United
States Postal Service for the purposes of--
``(i) repaying any obligation issued under section 2005 of
title 39; or
``(ii) making required payments to--
``(I) the Employees' Compensation Fund established under
section 8147;
``(II) the Postal Service Retiree Health Benefits Fund
established under section 8909a;
``(III) the Employees Health Benefits Fund established
under section 8909; or
``(IV) the Civil Service Retirement and Disability Fund.''.
SEC. 102. ADDITIONAL SERVICE CREDIT.
(a) Civil Service Retirement System.--Section 8332 of title
5, United States Code, is amended by adding at the end the
following:
``(p)(1)(A) For an employee of the United States Postal
Service who is covered under this subchapter and voluntarily
separates from service before October 1, 2014, at the
direction of the United States Postal Service, the Office
shall add not more than 1 year (as specified by the United
States Postal Service) to the total creditable service of the
employee for purposes of determining entitlement to and
computing the amount of an annuity under this subchapter
(except for a disability annuity under section 8337).
``(B) An employee who receives additional creditable
service under this paragraph may not receive a voluntary
separation incentive payment from the United States Postal
Service.
``(2)(A) Subject to subparagraph (B), and notwithstanding
any other provision of law, no deduction, deposit, or
contribution shall be required for service credited under
this subsection.
``(B) The actuarial present value of the additional
liability of the United States Postal Service to the Fund
resulting from this subsection shall be included in the
amount calculated under section 8348(h)(1)(A).''.
(b) Federal Employees Retirement System.--Section 8411 of
title 5, United States Code, is amended by adding at the end
the following:
``(m)(1)(A) For an employee of the United States Postal
Service who is covered under this chapter and voluntarily
separates from service before October 1, 2014, at the
direction of the United States Postal Service, the Office
shall add not more than 2 years (as specified by the United
States Postal Service) to the total creditable service of the
employee for purposes of determining entitlement to and
computing the amount of an annuity under this chapter (except
for a disability annuity under subchapter V of that chapter).
``(B) An employee who receives additional creditable
service under this paragraph may not receive a voluntary
separation incentive payment from the United States Postal
Service.
``(2)(A) Subject to subparagraph (B), and notwithstanding
any other provision of law, no deduction, deposit, or
contribution shall be required for service credited under
this subsection.
``(B) The actuarial present value of the additional
liability of the United States Postal Service to the Fund
resulting from this subsection shall be included in the
amount calculated under section 8423(b)(1)(B).''.
SEC. 103. MEDICARE COVERAGE FOR POSTAL SERVICE MEDICARE
ELIGIBLE ANNUITANTS.
(a) Federal Employees Health Benefits Plans.--
(1) In general.--Chapter 89 of title 5, United States Code,
is amended by inserting after section 8903b the following:
``Sec. 8903c. Postal Service Medicare eligible annuitants
``(a) Definitions.--In this section--
``(1) the term `contract year' means a calendar year in
which health benefits plans are administered under this
chapter;
``(2) the term `Medicare part A' means the Medicare program
for hospital insurance benefits under part A of title XVIII
of the Social Security Act (42 U.S.C. 1395c et seq.);
``(3) the term `Medicare part B' means the Medicare program
for supplementary medical insurance benefits under part B of
title XVIII of the Social Security Act (42 U.S.C. 1395j et
seq.); and
``(4) the term `Postal Service Medicare eligible annuitant'
means an individual who--
``(A) is an annuitant covered under this chapter whose
Government contribution is paid by the Postal Service under
section 8906(g)(2); and
``(B) is eligible to enroll in Medicare part A and Medicare
part B.
``(b) Requirement of Medicare Enrollment.--
``(1) Postal service medicare eligible annuitants.--
``(A) Immediate application.--An individual who is a Postal
Service Medicare eligible annuitant on the date of enactment
of the 21st Century Postal Service Act of 2011 may not
continue coverage under this chapter, unless that individual
enrolls in Medicare part A and Medicare part B during the
special enrollment period established under section 1837(m)
of the Social Security Act.
``(B) Prospective application.--An individual who becomes a
Postal Service Medicare eligible annuitant after the date of
enactment of the 21st Century Postal Service Act of 2011 may
not continue coverage under this chapter, unless after
becoming eligible for Medicare part A and Medicare part B
that individual enrolls in Medicare part A and Medicare part
B during the applicable initial enrollment period under
section 1837 of the Social Security Act (42 U.S.C. 1395p).
``(2) Family members of postal service medicare eligible
annuitants.--
``(A) Family member is medicare eligible.--An individual
who, on the date of enactment of the 21st Century Postal
Service Act of 2011, is a Postal Service Medicare eligible
annuitant, is enrolled in self and family coverage under this
chapter, and has a member of the family who is eligible to
enroll in Medicare part A and Medicare part B, may not
continue coverage under this chapter, unless--
``(i) the family member enrolls in Medicare part A and
Medicare part B during the special enrollment period
established under section 1837(m) of the Social Security Act;
or
``(ii) the individual enrolls for self only coverage under
this chapter.
``(B) Family member becomes medicare eligible.--An
individual who, on the date of enactment of the 21st Century
Postal Service Act of 2011, is a Postal Service Medicare
eligible annuitant, is enrolled in self and family coverage
under this chapter, and has a member of the family who
becomes eligible to enroll in Medicare part A and Medicare
part B after that date, may not continue coverage under this
chapter, unless--
``(i) the family member enrolls in Medicare part A and
Medicare part B during the applicable initial enrollment
period under section 1837 of the Social Security Act (42
U.S.C. 1395p); or
``(ii) the individual enrolls for self only coverage under
this chapter.
``(c) Enrollment Options.--
``(1) Establishment.--For contract years following the date
of enactment of the 21st Century Postal Service Act of 2011,
the Office shall establish enrollment options for health
benefits plans that are open only to Postal Service Medicare
eligible annuitants or family members of a Postal Service
Medicare eligible annuitants who continue coverage under this
chapter in accordance with subsection (b).
``(2) Enrollment requirement.--Any Postal Service Medicare
eligible annuitant or family member of a Postal Service
Medicare eligible annuitant who continues coverage under this
chapter in accordance with subsection (b) may only enroll in
1 of the enrollment options established under paragraph (1).
``(3) Value of coverage.--The Office shall ensure that the
aggregate actuarial value of coverage under the enrollment
options established under this subsection, in combination
with the value of coverage under Medicare part A and Medicare
part B, shall be not less than the actuarial value of the
most closely corresponding enrollment options available under
section 8905.
``(4) Enrollment options.--
``(A) In general.--The enrollment options established under
paragraph (1) shall include--
[[Page S7072]]
``(i) an individual option, for Postal Service Medicare
eligible annuitants subject to subsection (b)(1);
``(ii) a self and family option, for Postal Service
Medicare eligible annuitants subject to subsection (b)(1) and
family members of Postal Service Medicare eligible annuitants
subject to subsection (b)(2); and
``(iii) a self and family option, for Postal Service
Medicare eligible annuitants subject to subsection (b)(1) and
family members of Postal Service Medicare eligible
annuitants, including family members not subject to
subsection (b)(2).
``(B) Specific sub-options.--The Office may establish more
specific enrollment options within the types of options
described under subparagraph (A).
``(5) Reduced premiums to account for medicare
coordination.--In determining the premiums for the enrollment
options under paragraph (4), the Office shall--
``(A) establish a separate claims pool for individuals
eligible for coverage under those options; and
``(B) ensure that--
``(i) the premiums are reduced from the premiums otherwise
established under this chapter to directly reflect the full
cost savings to the health benefits plans due to the complete
coordination of benefits with Medicare part A and Medicare
part B for Postal Service Medicare eligible annuitants or
family members of Postal Service Medicare eligible annuitants
who continue coverage under this chapter; and
``(ii) the cost savings described under clause (i) result
solely in the reduction of--
``(I) the premiums paid by the Postal Service Medicare
eligible annuitant; and
``(II) the Government contributions paid by the Postal
Service.
``(d) Conversion of Enrollment.--
``(1) In general.--For any individual who enrolls in
Medicare part A and Medicare part B in accordance with
subsection (b) other than during the special enrollment
period established under section 1837(m) of the Social
Security Act, coverage under this chapter shall be converted
to coverage under the applicable enrollment option
established under subsection (c) upon enrollment in Medicare
part A and Medicare part B.
``(2) Notification.--The Office shall provide reasonable
advance notice to any Postal Service Medicare eligible
annuitant or family member of any Postal Service Medicare
eligible annuitant that such annuitant or family member will
become subject to conversion of enrollment under paragraph
(1).
``(e) Postal Service Consultation.--The Office shall
establish the enrollment options and premiums under this
section in consultation with the Postal Service.''.
(2) Technical and conforming amendments.--The table of
sections for chapter 89 of title 5, United States Code, is
amended by inserting after the item relating to section 8903b
the following:
``8903c. Postal Service Medicare eligible annuitants.''.
(3) Effective date.--The amendments made by this subsection
shall apply with respect to contract years beginning 6 months
following the date of enactment of this Act.
(b) Special Enrollment Period for Postal Service Medicare
Eligible Annuitants.--
(1) Special enrollment period.--
(A) In general.--Section 1837 of the Social Security Act
(42 U.S.C. 1395p) is amended by adding at the end the
following new subsection:
``(m)(1) In the case of any individual who is a Postal
Service Medicare eligible annuitant (as defined in section
8903c(a) of title 5, United States Code) at the time the
individual is entitled to part A under section 226(b) or
section 226A and who is eligible to enroll but who has
elected not to enroll (or to be deemed enrolled) during the
individual's initial enrollment period, there shall be a
special enrollment period described in paragraph (2).
``(2) The special enrollment period described in this
paragraph, with respect to an individual is the 6-month
period, beginning on the first day of the month which
includes the date of enactment of the 21st Century Postal
Service Act of 2011.
``(3) In the case of an individual who enrolls during the
special enrollment period provided under paragraph (1), the
coverage period under this part shall begin on the first day
of the month in which the individual enrolls.''.
(B) Effective date.--The amendment made by subparagraph (A)
shall apply to elections made with respect to initial
enrollment periods that end after the date of enactment of
the 21st Century Postal Service Act of 2011.
(2) Waiver of increase of premium.--Section 1839(b) of the
Social Security Act (42 U.S.C. 1395r(b)) is amended by
striking ``(i)(4) or (l)'' and inserting ``(i)(4), (l), or
(m)''.
SEC. 104. RESTRUCTURING OF PAYMENTS FOR RETIREE HEALTH
BENEFITS.
(a) Contributions.--Section 8906(g)(2)(A) of title 5,
United States Code, is amended by striking ``through
September 30, 2016, be paid by the United States Postal
Service, and thereafter shall'' and inserting ``after the
date of enactment of the 21st Century Postal Service Act of
2011''.
(b) Postal Service Retiree Health Benefits Fund.--Section
8909a of title 5, United States Code, is amended--
(1) in subsection (d)--
(A) in paragraph (2)(B)--
(i) by striking ``2017'' and inserting ``2012''; and
(ii) by inserting after ``later, of'' the following: ``80
percent of''; and
(B) in paragraph (3)--
(i) in subparagraph (A)--
(I) in clause (iii), by adding ``and'' at the end;
(II) in clause (iv), by striking the semicolon at the end
and inserting a period; and
(III) by striking clauses (v) through (x); and
(ii) in subparagraph (B), by striking ``2017'' and
inserting ``2012''; and
(2) by adding at the end the following:
``(e) Subsections (a) through (d) shall be subject to
section 105 of the 21st Century Postal Service Act of
2011.''.
SEC. 105. POSTAL SERVICE HEALTH BENEFITS PROGRAM.
(a) Definitions.--In this section--
(1) the term ``covered employee'' means an employee of the
Postal Service who is represented by a bargaining
representative recognized under section 1203 of title 39,
United States Code;
(2) the term ``Federal Employee Health Benefits Program''
means the health benefits program under chapter 89 of title
5, United States Code; and
(3) the term ``Postal Service Health Benefits Program''
means the health benefits program that may be agreed to under
subsection (b)(1).
(b) Collective Bargaining.--
(1) In general.--Consistent with section 1005(f) of title
39, United States Code, the Postal Service may negotiate
jointly with all bargaining representatives recognized under
section 1203 of title 39, United States Code, and enter into
a joint collective bargaining agreement with those bargaining
representatives to establish the Postal Service Health
Benefits Program that satisfies the conditions under
subsection (c). The Postal Service and the bargaining
representatives shall negotiate in consultation with the
Director of the Office of Personnel Management.
(2) Arbitration limitation.--Notwithstanding chapter 12 of
title 39, United States Code, there shall not be arbitration
of any dispute in the negotiations under this subsection.
(3) Time limitation.--The authority under this subsection
shall extend until September 30, 2012.
(c) Postal Service Health Benefits Program.--The Postal
Service Health Benefits Program--
(1) shall--
(A) be available for participation by all covered
employees;
(B) provide adequate and appropriate health benefits;
(C) be administered by the Postmaster General; and
(D) provide for transition of coverage under the Federal
Employee Health Benefits Program of covered employees to
coverage under the Postal Service Health Benefits Program on
January 1, 2013;
(2) may provide dental benefits; and
(3) may provide vision benefits.
(d) Agreement and Implementation.--If a joint agreement is
reached under subsection (b)--
(1) the Postal Service shall implement the Postal Service
Health Benefits Program;
(2) the Postal Service Health Benefits Program shall
constitute an agreement between the collective bargaining
representatives and the Postal Service for purposes of
section 1005(f) of title 39, United States Code; and
(3) covered employees may not participate as employees in
the Federal Employees Health Benefits Program.
(e) Government Plan.--The Postal Service Health Benefits
Program shall be a government plan as that term is defined
under section 3(32) of Employee Retirement Income Security
Act of 1974 (29 U.S.C. 1002(32)).
(f) Report.--Not later than June 30, 2013, the Postal
Service shall submit a report to the Committee on Homeland
Security and Governmental Affairs of the Senate and the
Committee on Oversight and Government Reform of the House of
Representatives that--
(1) reports on the implementation of this section; and
(2) requests any additional statutory authority that the
Postal Service determines is necessary to carry out the
purposes of this section.
SEC. 106. ARBITRATION; LABOR DISPUTES.
Section 1207(c)(2) of title 39, United States Code, is
amended--
(1) by inserting ``(A)'' after ``(2)'';
(2) by striking the last sentence and inserting ``The
arbitration board shall render a decision not later than 45
days after the date of its appointment.''; and
(3) by adding at the end the following:
``(B) In rendering a decision under this paragraph, the
arbitration board shall consider such relevant factors as--
``(i) the financial condition of the Postal Service;
``(ii) the requirements relating to pay and compensation
comparability under section 1003(a); and
``(iii) the policies of this title.''.
TITLE II--POSTAL SERVICES AND OPERATIONS
SEC. 201. POSTAL FACILITIES.
Section 404 of title 39, United States Code, is amended by
adding after subsection (e) the following:
``(f) Closing or Consolidation of Certain Postal
Facilities.--
[[Page S7073]]
``(1) Postal facility.--In this subsection, the term
`postal facility' does not include--
``(A) any post office, station, or branch; or
``(B) any facility used only for administrative functions.
``(2) Area mail processing study.--
``(A) New area mail processing studies.--After the date of
enactment of this subsection, before making a determination
under subsection (a)(3) as to the necessity for the closing
or consolidation of any postal facility, the Postal Service
shall--
``(i) conduct an area mail processing study relating to
that postal facility that includes a plan to reduce the
capacity of the postal facility, but not close the postal
facility;
``(ii) publish the study on the Postal Service website; and
``(iii) publish a notice that the study is complete and
available to the public, including on the Postal Service
website.
``(B) Completed or ongoing area mail processing studies.--
``(i) In general.--In the case of a postal facility
described in clause (ii), the Postal Service shall--
``(I) consider a plan to reduce the capacity of the postal
facility, but not close the post facility; and
``(II) publish the results of the consideration under
subclause (I) with or as an amendment to the area mail
processing study relating to the postal facility.
``(ii) Postal facilities.--A postal facility described in
this clause is a postal facility for which, on or before the
date of enactment of this subsection--
``(I) an area mail processing study that does not include a
plan to reduce the capacity of the postal facility, but not
close the facility, has been completed or is in progress; and
``(II) a determination as to the necessity for the closing
or consolidation of the postal facility has not been made.
``(3) Notice; public comment; and public hearing.--If the
Postal Service makes a determination under subsection (a)(3)
to close or consolidate a postal facility, the Postal Service
shall--
``(A) provide notice of the determination to--
``(i) Congress; and
``(ii) the Postal Regulatory Commission;
``(B) provide adequate public notice of the intention of
the Postal Service to close or consolidate the postal
facility;
``(C) ensure that interested persons have an opportunity to
submit public comments during a 45-day period after the
notice of intention is provided under subparagraph (B);
``(D) before that 45-day period provide for public notice
of that opportunity by--
``(i) publication on the Postal Service website;
``(ii) posting at the affected postal facility; and
``(iii) advertising the date and location of the public
community meeting under subparagraph (E); and
``(E) during the 45-day period described under subparagraph
(C), conduct a public community meeting that provides an
opportunity for public comments to be submitted verbally or
in writing.
``(4) Further considerations.--Not earlier than 30 days
after the end of the 45-day period for public comment under
paragraph (3), the Postal Service, in making a determination
whether or not to close or consolidate a postal facility,
shall consider--
``(A) the views presented by interested persons solicited
under paragraph (3);
``(B) the effect of the closing or consolidation on the
affected community, including any disproportionate impact the
closure or consolidation may have on a State, region, or
locality;
``(C) the effect of the closing or consolidation on the
travel times and distances for affected customers to access
services under the proposed closing or consolidation;
``(D) the effect of the closing or consolidation on
delivery times for all classes of mail;
``(E) any characteristics of certain geographical areas,
such as remoteness, broadband internet availability, and
weather-related obstacles to using alternative facilities,
that may result in the closing or consolidation having a
unique effect; and
``(F) any other factor the Postal Service determines is
necessary.
``(5) Justification statement.--Before the date on which
the Postal Service closes or consolidates a postal facility,
the Postal Service shall post on the Postal Service website a
closure or consolidation justification statement that
includes--
``(A) a response to all public comments received with
respect to the considerations described under paragraph (4);
``(B) a description of the considerations made by the
Postal Service under paragraph (4); and
``(C) the actions that will be taken by the Postal Service
to mitigate any negative effects identified under paragraph
(4).
``(6) Closing or consolidation of postal facilities.--
``(A) In general.--Not earlier than the 15 days after
posting and publishing the final determination and the
justification statement under paragraph (6) with respect to a
postal facility, the Postal Service may close or consolidate
the postal facility.
``(B) Alternative intake of mail.--If the Postal Service
closes or consolidates a postal facility under subparagraph
(A), the Postal Service shall make reasonable efforts to
ensure continued mail receipt from customers of the closed or
consolidated postal facility at the same location or at
another appropriate location in close geographic proximity to
the closed or consolidated postal facility.
``(7) Postal service website.--For purposes of any notice
required to be published on the Postal Service website under
this subsection, the Postal Service shall ensure that the
Postal Service website--
``(A) is updated routinely; and
``(B) provides any person, at the option of the person, the
opportunity to receive relevant updates by electronic
mail.''.
SEC. 202. ADDITIONAL POSTAL SERVICE PLANNING.
Section 302(d) of the Postal Accountability and Enhancement
Act of 2006 (39 U.S.C. 3691 note) is amended--
(1) in paragraph (8), by striking the period at the end and
inserting ``; and'';
(2) by redesignating paragraphs (1) through (8) as
subparagraphs (A) through (H), respectively, and adjusting
the margins accordingly;
(3) in the matter preceding subparagraph (A), as so
redesignated, by striking ``shall include'' and inserting the
following: ``shall--
``(1) include''; and
(4) by adding at the end the following:
``(2) where possible, provide for an improvement in
customer access to postal services;
``(3) consider the impact of any decisions by the Postal
Service relating to the implementation of the plan on small
communities and rural areas; and
``(4) ensure that--
``(A) small communities and rural areas continue to receive
regular and effective access to retail postal services after
implementation of the plan; and
``(B) the Postal Service solicits community input in
accordance with applicable provisions of Federal law.''.
SEC. 203. AREA AND DISTRICT OFFICE STRUCTURE.
(a) Plan Required.--Not later than 1 year after the date of
enactment of this Act, the Postal Service shall submit to the
Committee on Homeland Security and Governmental Affairs of
the Senate and the Committee on Oversight and Governmental
Reform of the House of Representatives--
(1) a comprehensive strategic plan to govern decisions
relating to area and district office structure that considers
efficiency, costs, redundancies, mail volume, technological
advancements, operational considerations, and other issues
that may be relevant to establishing an effective area and
district office structure; and
(2) a 10-year plan, including a timetable, that provides
for consolidation of area and district offices wherever the
Postal Service determines a consolidation would--
(A) be cost-effective; and
(B) not substantially and adversely affect the operations
of the Postal Service.
(b) Consolidation.--Beginning not later than 1 year after
the date of enactment of this Act, the Postal Service shall,
consistent with the plans required under subsection (a)--
(1) consolidate district offices that are located within 50
miles of each other;
(2) consolidate area and district offices that have less
than the mean mail volume and number of work hours for all
area and district offices; and
(3) relocate area offices to headquarters.
(c) Updates.--The Postal Service shall update the plans
required under subsection (a) not less frequently than once
every 5 years.
SEC. 204. RETAIL SERVICE STANDARDS.
(a) Establishment of Service Standards.--Not later than 1
year after the date of enactment of this Act, the Postal
Service shall exercise its authority under section 3691 of
title 39, United States Code, to establish service standards
for market-dominant products in order to guarantee customers
of the Postal Service regular and effective access to retail
postal services nationwide (including in territories and
possessions of the United States) on a reasonable basis.
(b) Contents.--The service standards established under
subsection (a) shall--
(1) be consistent with--
(A) the obligations of the Postal Service under section
101(b) of title 39, United States Code; and
(B) the contents of the plan developed under section 302 of
the Postal Accountability and Enhancement Act of 2006 (39
U.S.C. 3691 note), as amended by section 202 of this Act; and
(2) take into account factors including--
(A) geography, including the establishment of standards for
the proximity of retail postal services to postal customers,
including a consideration of the reasonable maximum time a
postal customer should expect to travel to access a postal
retail location;
(B) population, including population density, demographic
factors such as the age and disability status of individuals
in the area to be served by a location providing postal
retail services, and other factors that may impact the
ability of postal customers, including businesses, to travel
to a postal retail location;
(C) the feasibility of offering retail access to postal
services in addition to post offices, as described in section
302(d) of the Postal Accountability and Enhancement Act of
2006 (39 U.S.C. 3691 note); and
(D) the requirement that the Postal Service serve remote
areas and communities with transportation challenges,
including communities in which the effects of inclement
weather or other natural conditions might obstruct or
otherwise impede access to retail postal services.
[[Page S7074]]
SEC. 205. CONVERSION OF DOOR DELIVERY POINTS.
(a) In General.--Subchapter VII of chapter 36 of title 39,
United States Code, is amended by adding at the end the
following:
``Sec. 3692. Conversion of door delivery points
``(a) Definitions.--In this section, the following
definitions shall apply:
``(1) Centralized delivery point.--The term `centralized
delivery point' means a group or cluster of mail receptacles
at 1 delivery point that is within reasonable proximity of
the street address associated with the delivery point.
``(2) Curbline delivery point.--The term `curbline delivery
point' means a delivery point that is--
``(A) adjacent to the street address associated with the
delivery point; and
``(B) accessible by vehicle on a street that is not a
private driveway.
``(3) Door delivery point.--The term `door delivery point'
means a delivery point at a door of the structure at a street
address.
``(4) Sidewalk delivery point.--The term `sidewalk delivery
point' means a delivery point on a sidewalk adjacent to the
street address associated with the delivery point.
``(b) Conversion.--Except as provided in subsection (c),
not later than September 30, 2015, in accordance with
standards established by the Postal Service, the Postal
Service may, where feasible, convert door delivery points
to--
``(1) curbline delivery points;
``(2) sidewalk delivery points; or
``(3) centralized delivery points.
``(c) Exceptions.--
``(1) Continued door delivery.--The Postal Service may
allow for the continuation of door delivery due to--
``(A) a physical hardship of a customer;
``(B) weather, in a geographic area where snow removal
efforts could obstruct access to mailboxes near a road;
``(C) circumstances in an urban area that preclude
efficient use of curbside delivery points;
``(D) other exceptional circumstances, as determined in
accordance with regulations issued by the Postal Service; or
``(E) other circumstances in which the Postal Service
determines that alternatives to door delivery would not be
practical or cost effective.
``(2) New door delivery points.--The Postal Service may
provide door delivery to a new delivery point in a delivery
area that received door delivery on the day before the date
of enactment of this section, if the delivery point is
established before the delivery area is converted from door
delivery under subsection (b).
``(d) Solicitation of Comments.--The Postal Service shall
establish procedures to solicit, consider, and respond to
input from individuals affected by a conversion under this
section.
``(e) Review.--Subchapter V of this chapter shall not apply
with respect to any action taken by the Postal Service under
this section.
``(f) Report.--Not later than 60 days after the end of each
fiscal year through fiscal year 2015, the Postal Service
shall submit to Congress and the Inspector General of the
Postal Service a report on the implementation of this section
during the preceding fiscal year that--
``(1) includes the number of door delivery points--
``(A) that existed at the end of the fiscal year preceding
the preceding fiscal year;
``(B) that existed at the end of the preceding fiscal year;
``(C) that, during the preceding fiscal year, converted
to--
``(i) curbline delivery points or sidewalk delivery points;
``(ii) centralized delivery points; and
``(iii) any other type of delivery point; and
``(D) for which door delivery was continued under
subsection (c)(1);
``(2) estimates the cost savings from the conversions from
door delivery that occurred during the preceding fiscal year;
``(3) describes the progress of the Postal Service toward
achieving the requirements under subsection (b); and
``(4) provides such additional information as the Postal
Service considers appropriate.''.
(b) Clerical Amendment.--The table of sections for
subchapter VII of chapter 36 of title 39, United States Code,
is amended by adding at the end the following:
``3692. Conversion of door delivery points.''.
SEC. 206. LIMITATIONS ON CHANGES TO MAIL DELIVERY SCHEDULE.
(a) Limitation on Change in Schedule.--Notwithstanding any
other provision of law--
(1) the Postal Service may not establish a general,
nationwide 5-day-per-week delivery schedule to street
addresses under the authority of the Postal Service under
section 3691 of title 39, United States Code, earlier than
the date that is 24 months after the date of enactment of
this Act; and
(2) on or after the date that is 24 months after the date
of enactment of this Act, the Postal Service may establish a
general, nationwide 5-day-per-week delivery schedule to
street addresses under the authority of the Postal Service
under section 3691 of title 39, United States Code, only in
accordance with the requirements and limitations under this
section.
(b) Preconditions.--If the Postal Service intends to
establish a change in delivery schedule under subsection
(a)(2), the Postal Service shall--
(1) identify customers and communities for whom the change
may have a disproportionate, negative impact, including the
customers identified as ``particularly affected'' in the
Advisory Opinion on Elimination of Saturday Delivery issued
by the Commission on March 24, 2011;
(2) develop, to the maximum extent possible, measures to
ameliorate any disproportionate, negative impact the change
would have on customers and communities identified under
paragraph (1), including, where appropriate, providing or
expanding access to mailboxes for periodical mailers on days
on which the Postal Service does not provide delivery;
(3) implement measures to increase revenue and reduce
costs, including the measures authorized under the amendments
made by sections 101, 102, 103, 104, 204, and 208 of this
Act;
(4) evaluate whether any increase in revenue or reduction
in costs resulting from the measures implemented under
paragraph (3) are sufficient to allow the Postal Service,
without implementing a change in delivery schedule under
subsection (a), to--
(A) become profitable by fiscal year 2015; and
(B) achieve long-term financial solvency; and
(5) not earlier than 15 months after the date of enactment
of this Act and not later than 9 months before the effective
date proposed by the Postal Service for the change, submit a
report on the steps the Postal Service has taken to carry out
this subsection to--
(A) the Committee on Homeland Security and Governmental
Affairs of the Senate and the Committee on Oversight and
Government Reform of the House of Representatives;
(B) the Comptroller General of the United States; and
(C) the Commission.
(c) Review.--
(1) Government accountability office.--Not later than 3
months after the date on which the Postal Service submits a
report under subsection (b)(5), the Comptroller General shall
submit to the Commission and to the Committee on Homeland
Security and Governmental Affairs of the Senate and the
Committee on Oversight and Government Reform of the House of
Representatives a report that contains findings relating to
each of the following:
(A) Whether the Postal Service has adequately complied with
subsection (b)(3), taking into consideration the statutory
authority of and limitations on the Postal Service.
(B) The accuracy of any statement by the Postal Service
that the measures implemented under subsection (b)(3) have
increased revenues or reduced costs, and the accuracy of any
projection by the Postal Service relating to increased
revenue or reduced costs resulting from the measures
implemented under subsection (b)(3).
(C) The adequacy and methodological soundness of any
evaluation conducted by the Postal Service under subsection
(b)(4) that led the Postal Service to assert the necessity of
a change in delivery schedule under subsection (a)(2).
(D) Whether, based on an analysis of the measures
implemented by the Postal Service to increase revenues and
reduce costs, projections of increased revenue and cost
savings, and the details of the profitability plan required
under section 401, a change in delivery schedule is necessary
to allow the Postal Service to--
(i) become profitable by fiscal year 2015; and
(ii) achieve long-term financial solvency.
(2) Postal regulatory commission.--
(A) Request.--Not later than 6 months before the proposed
effective date of a change in delivery schedule under
subsection (a), the Postal Service shall submit to the
Commission a request for an advisory opinion relating to the
change.
(B) Advisory opinion.--
(i) In general.--The Commission shall--
(I) issue an advisory opinion with respect to a request
under subparagraph (A), in accordance with the time limits
for the issuance of advisory opinions under section
3661(b)(2) of title 39, United States Code, as amended by
this Act; and
(II) submit the advisory opinion to the Committee on
Homeland Security and Governmental Affairs of the Senate and
the Committee on Oversight and Government Reform of the House
of Representatives.
(ii) Required determinations.--An advisory opinion under
clause (i) shall determine--
(I) whether the measures developed under subsection (b)(2)
ameliorate any disproportionate, negative impact that a
change in schedule may have on customers and communities
identified under subsection (b)(1); and
(II) based on the report submitted by the Comptroller
General under paragraph (1)--
(aa) whether the Postal Service has implemented measures to
reduce operating losses as required under subsection (b)(3);
(bb) whether the implementation of the measures described
in item (aa) has increased revenues or reduced costs, or is
projected to further increase revenues or reduce costs in the
future; and
(cc) whether a change in schedule under subsection (a)(2)
is necessary to allow the Postal Service to--
(AA) become profitable by fiscal year 2015; and
[[Page S7075]]
(BB) achieve long-term financial solvency.
(3) Prohibition on implementation of change in schedule.--
The Postal Service may not implement a change in delivery
schedule under subsection (a)(2)--
(A) before the date on which the Comptroller General
submits the report required under paragraph (1); and
(B) unless the Commission determines under paragraph
(2)(B)(ii)(II)(cc) that the Comptroller General has concluded
that the change is necessary to allow the Postal Service to
become profitable by fiscal year 2015 and to achieve long-
term financial solvency, without regard to whether the
Commission determines that the change is advisable.
(d) Additional Limitations.--
(1) Rules of construction.--Nothing in this subsection
shall be construed to--
(A) authorize the reduction, or require an increase, in
delivery frequency for any route for which the Postal Service
provided delivery on fewer than 6 days per week on the date
of enactment of this Act;
(B) authorize any change in--
(i) the days and times that postal retail service or any
mail acceptance is available; or
(ii) the locations at which postal retail service or mail
acceptance occurs;
(C) authorize any change in the frequency of delivery to a
post office box;
(D) prohibit the collection or delivery of a competitive
mail product on a weekend or a recognized Federal holiday; or
(E) prohibit the Postal Service from exercising its
authority to make changes to processing or retail networks.
(2) Prohibition on consecutive days without mail
delivery.--The Postal Service shall ensure that, under any
change in schedule under subsection (a)(2), at no time shall
there be more than 2 consecutive days without mail delivery
to street addresses, including recognized Federal holidays.
SEC. 207. TIME LIMITS FOR CONSIDERATION OF SERVICE CHANGES.
Section 3661 of title 39, United States Code, is amended by
striking subsections (b) and (c) and inserting the following:
``(b) Proposed Changes for Market-dominant Products.--
``(1) Submission of proposal.--If the Postal Service
determines that there should be a change in the nature of
postal services relating to market-dominant products that
will generally affect service on a nationwide or
substantially nationwide basis, the Postal Service shall
submit a proposal to the Postal Regulatory Commission
requesting an advisory opinion on the change.
``(2) Advisory opinion.--Upon receipt of a proposal under
paragraph (1), the Postal Regulatory Commission shall--
``(A) provide an opportunity for public comment on the
proposal; and
``(B) issue an advisory opinion not later than--
``(i) 90 days after the date on which the Postal Regulatory
Commission receives the proposal; or
``(ii) a date that the Postal Regulatory Commission and the
Postal Service may, not later than 1 week after the date on
which the Postal Regulatory Commission receives the proposal,
determine jointly.
``(3) Response to opinion.--The Postal Service shall submit
to the President and to Congress a response to the advisory
opinion issued under paragraph (2), including any
recommendations contained therein.
``(4) Action on proposal.--The Postal Service may take
action regarding a proposal submitted under paragraph (1)--
``(A) on or after the date that is 30 days after the date
on which the Postal Service submits the response required
under paragraph (3);
``(B) on or after a date that the Postal Regulatory
Commission and the Postal Service may, not later than 1 week
after the date on which the Postal Regulatory Commission
receives a proposal under paragraph (2), determine jointly;
or
``(C) after the date described in paragraph (2)(B), if--
``(i) the Postal Regulatory Commission fails to issue an
advisory opinion on or before the date described in paragraph
(2)(B); and
``(ii) the action is not otherwise prohibited under Federal
law.
``(5) Modification of timeline.--At any time, the Postal
Service and the Postal Regulatory Commission may jointly
redetermine a date determined under paragraph (2)(B)(ii) or
(4)(B).''.
SEC. 208. PUBLIC PROCEDURES FOR SIGNIFICANT CHANGES TO
MAILING SPECIFICATIONS.
(a) Notice and Opportunity for Comment Required.--Effective
on the date on which the Postal Service issues a final rule
under subsection (c), before making a change to mailing
specifications that could pose a significant burden to the
customers of the Postal Service and that is not reviewed by
the Commission, the Postal Service shall--
(1) publish a notice of the proposed change to the
specification in the Federal Register;
(2) provide an opportunity for the submission of written
comments concerning the proposed change for a period of not
less than 30 days;
(3) after considering any comments submitted under
paragraph (2) and making any modifications to the proposed
change that the Postal Service determines are necessary,
publish--
(A) the final change to the specification in the Federal
Register;
(B) responses to any comments submitted under paragraph
(2); and
(C) an analysis of the financial impact that the proposed
change would have on--
(i) the Postal Service; and
(ii) the customers of the Postal Service that would be
affected by the proposed change; and
(4) establish an effective date for the change to mailing
specifications that is not earlier than 30 days after the
date on which the Postal Service publishes the final change
under paragraph (3).
(b) Exception for Good Cause.--If the Postal Service
determines that there is an urgent and compelling need for a
change to a mailing specification described in subsection (a)
in order to avoid demonstrable harm to the operations of the
Postal Service or to the public interest, the Postal Service
may--
(1) change the mailing specifications by--
(A) issuing an interim final rule that--
(i) includes a finding by the Postal Service that there is
good cause for the interim final rule;
(ii) provides an opportunity for the submission of written
comments on the interim final rule for a period of not less
than 30 days; and
(iii) establishes an effective date for the interim final
rule that is not earlier than 30 days after the date on which
the interim final rule is issued; and
(B) publishing in the Federal Register a response to any
comments submitted under subparagraph (A)(ii); and
(2) waive the requirement under paragraph (1)(A)(iii) or
subsection (a)(4).
(c) Rules Relating to Notice and Comment.--
(1) In general.--Not later than 180 days after the date of
enactment of this Act, the Postal Service shall issue rules
governing the provision of notice and opportunity for comment
for changes in mailing specifications under subsection (a).
(2) Rules.--In issuing the rules required under paragraph
(1), the Postal Service shall--
(A) publish a notice of proposed rulemaking in the Federal
Register that includes proposed definitions of the terms
``mailing specifications'' and ``significant burden'';
(B) provide an opportunity for the submission of written
comments concerning the proposed change for a period of not
less than 30 days; and
(C) publish--
(i) the rule in final form in the Federal Register; and
(ii) responses to the comments submitted under subparagraph
(B).
SEC. 209. NONPOSTAL PRODUCTS AND SERVICES.
(a) In General.--Section 404 of title 39, United States
Code, is amended--
(1) in subsection (a)--
(A) by redesignating paragraphs (6) through (8) as
paragraphs (7) through (9), respectively; and
(B) by inserting after paragraph (5) the following:
``(6) after the date of enactment of the 21st Century
Postal Service Act of 2011, and except as provided in
subsection (e), to provide other services that are not postal
services, after the Postal Regulatory Commission--
``(A) makes a determination that the provision of such
services--
``(i) uses the processing, transportation, delivery, retail
network, or technology of the Postal Service;
``(ii) is consistent with the public interest and a
demonstrated or potential public demand for--
``(I) the Postal Service to provide the services instead of
another entity providing the services; or
``(II) the Postal Service to provide the services in
addition to another entity providing the services;
``(iii) would not create unfair competition with the
private sector; and
``(iv) has the potential to improve the net financial
position of the Postal Service, based on a market analysis
provided to the Postal Regulatory Commission by the Postal
Service; and
``(B) for services that the Postal Regulatory Commission
determines meet the criteria under subparagraph (A),
classifies each such service as a market-dominant product,
competitive product, experimental product, or new product, as
required under chapter 36 of title 39, United States Code;'';
and
(2) in subsection (e)(2), by striking ``Nothing'' and all
that follows through ``except that the'' and inserting
``The''.
(b) Market Analysis.--During the 5-year period beginning on
the date of enactment of this Act, the Postal Service shall
submit a copy of any market analysis provided to the
Commission under section 404(a)(6)(A)(iv) of title 39, United
States Code, as amended by this section, to the Committee on
Homeland Security and Governmental Affairs of the Senate and
the Committee on Oversight and Government Reform of the House
of Representatives.
TITLE III--FEDERAL EMPLOYEES' COMPENSATION ACT
SEC. 301. SHORT TITLE; REFERENCES.
(a) Short Title.--This title may be cited as the ``Workers'
Compensation Reform Act of 2011''.
(b) References.--Except as otherwise expressly provided,
whenever in this title an amendment or repeal is expressed in
terms of an amendment to, or a repeal of, a section or other
provision, the reference shall be considered to be made to a
section or other provision of title 5, United States Code.
[[Page S7076]]
SEC. 302. FEDERAL WORKERS COMPENSATION REFORMS FOR
RETIREMENT-AGE EMPLOYEES.
(a) Conversion of Entitlement at Retirement Age.--
(1) Definitions.--Section 8101 is amended
(A) in paragraph (18), by striking ``and'' at the end;
(B) in paragraph (19), by striking ``and'' at the end;
(C) in paragraph (20), by striking the period at the end
and inserting a semicolon; and
(D) by adding at the end the following:
``(21) `retirement age' has the meaning given that term
under section 216(l)(1) of the Social Security Act (42 U.S.C.
416(l)(1));
``(22) `covered claim for total disability' means a claim
for a period of total disability that commenced before the
date of enactment of the Workers' Compensation Reform Act of
2011;
``(23) `covered claim for partial disability' means a claim
for a period of partial disability that commenced before the
date of enactment of the Workers' Compensation Reform Act of
2011; and
``(24) `individual who has an exempt disability condition'
means an individual--
``(A) who--
``(i) is eligible to receive continuous periodic
compensation for total disability under section 8105 on the
date of enactment of the Workers' Compensation Reform Act of
2011; and
``(ii) meets the criteria under 8105(c);
``(B) who, on the date of enactment of the Workers'
Compensation Reform Act of 2011--
``(i) is eligible to receive continuous periodic
compensation for total disability under section 8105; and
``(ii) has sustained a currently irreversible severe mental
or physical disability for which the Secretary of Labor has
authorized, for at least the 1 year period ending on the date
of enactment of the Workers' Compensation Reform Act of 2011,
constant in-home care or custodial care, such as in placement
in a nursing home; or
``(C) who is eligible to receive continuous periodic
compensation for total disability under section 8105--
``(i) for not less than the 3-year period ending on the
date of enactment of the Workers' Compensation Reform Act of
2011; or
``(ii) if the individual became eligible to receive
continuous periodic compensation for total disability under
section 8105 during the period beginning on the date that is
3 years before the date of enactment of the Workers'
Compensation Reform Act of 2011 and ending on such date of
enactment, for not less than the 3-year period beginning on
the date on which the individual became eligible.''.
(2) Total disability.--Section 8105 is amended--
(A) in subsection (a), by striking ``If'' and inserting
``In General.--Subject to subsection (b), if'';
(B) by redesignating subsection (b) as subsection (c); and
(C) by inserting after subsection (a) the following:
``(b) Conversion of Entitlement at Retirement Age.--
``(1) In general.--Except as provided in paragraph (2), the
basic compensation for total disability for an employee who
has attained retirement age shall be 50 percent of the
monthly pay of the employee.
``(2) Exceptions.--
``(A) Covered recipients who are retirement age or have an
exempt disability condition.--Paragraph (1) shall not apply
to a covered claim for total disability by an employee if the
employee--
``(i) on the date of enactment of the Workers' Compensation
Reform Act of 2011, has attained retirement age; or
``(ii) is an individual who has an exempt disability
condition.
``(B) Transition period for certain employees.--For a
covered claim for total disability by an employee who is not
an employee described in subparagraph (A), the employee shall
receive the basic compensation for total disability provided
under subsection (a) until the later of--
``(i) the date on which the employee attains retirement
age; and
``(ii) the date that is 3 years after the date of enactment
of the Workers' Compensation Reform Act of 2011.''.
(3) Partial disability.--Section 8106 is amended--
(A) in subsection (a), by striking ``If'' and inserting
``In General.--Subject to subsection (b), if'';
(B) by redesignating subsections (b) and (c) as subsections
(c) and (d), respectively; and
(C) by inserting after subsection (a) the following:
``(b) Conversion of Entitlement at Retirement Age.--
``(1) In general.--Except as provided in paragraph (2), the
basic compensation for partial disability for an employee who
has attained retirement age shall be 50 percent of the
difference between the monthly pay of the employee and the
monthly wage-earning capacity of the employee after the
beginning of the partial disability.
``(2) Exceptions.--
``(A) Covered recipients who are retirement age.--Paragraph
(1) shall not apply to a covered claim for partial disability
by an employee if, on the date of enactment of the Workers'
Compensation Reform Act of 2011, the employee has attained
retirement age.
``(B) Transition period for certain employees.--For a
covered claim for partial disability by an employee who is
not an employee described in subparagraph (A), the employee
shall receive basic compensation for partial disability in
accordance with subsection (a) until the later of--
``(i) the date on which the employee attains retirement
age; and
``(ii) the date that is 3 years after the date of enactment
of the Workers' Compensation Reform Act of 2011.''.
SEC. 303. AUGMENTED COMPENSATION FOR DEPENDENTS.
(a) In General.--Section 8110 is amended--
(1) by redesignating subsection (b) as subsection (c); and
(2) by inserting after subsection (a) the following:
``(b) Termination of Augmented Compensation.--
``(1) In general.--Subject to paragraph (2), augmented
compensation for dependants under subsection (c) shall not be
provided.
``(2) Exceptions.--
``(A) Total disability.--For a covered claim for total
disability by an employee--
``(i) the employee shall receive augmented compensation
under subsection (c) if the employee is an individual who has
an exempt disability condition; and
``(ii) the employee shall receive augmented compensation
under subsection (c) until the date that is 3 years after the
date of enactment of the Workers' Compensation Reform Act of
2011 if the employee is not an employee described in clause
(i).
``(B) Partial disability.--For a covered claim for partial
disability by an employee, the employee shall receive
augmented compensation under subsection (c) until the date
that is 3 years after the date of enactment of the Workers'
Compensation Reform Act of 2011.
``(C) Permanent disability compensated by a schedule.--For
a claim for a permanent disability described in section
8107(a) by an employee that commenced before the date of
enactment of the Workers' Compensation Reform Act of 2011,
the employee shall receive augmented compensation under
subsection (c).''.
(b) Maximum and Minimum Monthly Payments.--Section 8112 is
amended--
(1) in subsection (a)--
(A) by inserting ``subsections (b) and (c) and'' before
``section 8138'';
(B) by striking ``including augmented compensation under
section 8110 of this title but''; and
(C) by striking ``75 percent'' each place it appears and
inserting ``66 \2/3\ percent'';
(2) by redesignating subsection (b) as subsection (c);
(3) by inserting after subsection (a) the following:
``(b) Exceptions.--
``(1) Covered disability condition.--For a covered claim
for total disability by an employee, if the employee is an
individual who has an exempt disability condition--
``(A) the monthly rate of compensation for disability that
is subject to the maximum and minimum monthly amounts under
subsection (a) shall include any augmented compensation under
section 8110; and
``(B) subsection (a) shall be applied by substituting `75
percent' for `66 \2/3\ percent' each place it appears.
``(2) Partial disability.--For a covered claim for partial
disability by an employee, until the date that is 3 years
after the date of enactment of the Workers' Compensation
Reform Act of 2011--
``(A) the monthly rate of compensation for disability that
is subject to the maximum and minimum monthly amounts under
subsection (a) shall include any augmented compensation under
section 8110; and
``(B) subsection (a) shall be applied by substituting `75
percent' for `66 \2/3\ percent' each place it appears.''; and
(4) in subsection (c), as redesignated by paragraph (2), by
striking ``subsection (a)'' and inserting ``subsections (a)
and (b)''.
(c) Death Benefits Generally.--Section 8133 is amended--
(1) in subsections (a) and (e), by striking ``75 percent''
each place it appears and inserting ``66 \2/3\ percent
(except as provided in subsection (g))''; and
(2) by adding at the end the following:
``(g) If the death occurred before the date of enactment of
the Workers' Compensation Reform Act of 2011, subsections (a)
and (e) shall be applied by substituting `75 percent' for `66
\2/3\ percent' each place it appears.''.
(d) Death Benefits for Civil Air Patrol Volunteers.--
Section 8141 is amended--
(1) in subsection (b)(2)(B) by striking ``75 percent'' and
inserting ``66 \2/3\ percent (except as provided in
subsection (c))'';
(2) by redesignating subsection (c) as subsection (d); and
(3) by inserting after subsection (b) the following:
``(c) If the death occurred before the date of enactment of
the Workers' Compensation Reform Act of 2011, subsection
(b)(2)(B) shall be applied by substituting `75 percent' for
`66 \2/3\ percent'.''.
SEC. 304. SCHEDULE COMPENSATION PAYMENTS.
Section 8107 is amended--
(1) in subsection (a), by striking ``at the rate of 66 2/3
percent of his monthly pay'' and inserting ``at the rate
specified under subsection (d)''; and
(2) by adding at the end the following:
``(d) Rate for Compensation.--
``(1) Annual salary.--
``(A) In general.--Except as provided in paragraph (2), the
rate under subsection (a) shall be the rate of 66 \2/3\
percent of the annual salary level established under
subparagraph (B), in a lump sum equal to the
[[Page S7077]]
present value (as calculated under subparagraph (C)) of the
amount of compensation payable under the schedule.
``(B) Establishment.--
``(i) In general.--The Secretary of Labor shall establish
an annual salary for purposes of subparagraph (A) in the
amount the Secretary determines will result in the aggregate
cost of payments made under this section being equal to what
would have been the aggregate cost of payments under this
section if the amendments made by section 304(a) of the
Workers' Compensation Reform Act of 2011 had not been
enacted.
``(ii) Cost of living adjustment.--The annual salary
established under clause (i) shall be increased on March 1 of
each year by the amount determined by the Secretary of Labor
to represent the percent change in the price index published
for December of the preceding year over the price index
published for the December of the year prior to the preceding
year, adjusted to the nearest one-tenth of 1 percent.
``(C) Present value.--The Secretary of Labor shall
calculate the present value for purposes of subparagraph (A)
using a rate of interest equal to the average market yield
for outstanding marketable obligations of the United States
with a maturity of 2 years on the first business day of the
month in which the compensation is paid or, in the event that
such marketable obligations are not being issued on such
date, at an equivalent rate selected by the Secretary of
Labor, true discount compounded annually.
``(2) Certain injuries.--For an injury that occurred before
the date of enactment of the Workers' Compensation Reform Act
of 2011, the rate under subsection (a) shall be 66 \2/3\
percent of the employee's monthly pay.
``(e) Simultaneous Receipt.--
``(1) Total disability.--An employee who receives
compensation for total disability under section 8105 may only
receive the lump sum of schedule compensation under this
section in addition to and simultaneously with the benefits
for total disability after the later of--
``(A) the date on which the basic compensation for total
disability of the employee becomes 50 percent of the monthly
pay of the employee under section 8105(b); or
``(B) the date on which augmented compensation of the
employee terminates under section 8110(b)(2)(A)(ii), if the
employee receives such compensation.
``(2) Partial disability.--An employee who receives
benefits for partial disability under section 8106 may only
receive the lump sum of schedule compensation under this
section in addition to and simultaneously with the benefits
for partial disability after the later of--
``(A) the date on which the basic compensation for partial
disability of the employee becomes 50 percent of the
difference between the monthly pay of the employee and the
monthly wage-earning capacity of the employee after the
beginning of the partial disability under section 8106(b); or
``(B) the date on which augmented compensation of the
employee terminates under section 8110(b)(2)(B), if the
employee receives such compensation.''.
SEC. 305. VOCATIONAL REHABILITATION.
(a) In General.--Section 8104 is amended--
(1) in subsection (a)--
(A) by striking ``(a) The Secretary of Labor may'' and all
that follows through ``undergo vocational rehabilitation.''
and inserting the following:
``(a) In General.--
``(1) Direction.--Except as provided in paragraph (2), not
earlier than the date that is 6 months after the date on
which an individual eligible for wage-loss compensation under
section 8105 or 8106 is injured, or by such other date as the
Secretary of Labor determines it would be reasonable under
the circumstances for the individual to begin vocational
rehabilitation, and if vocational rehabilitation may enable
the individual to become capable of more gainful employment,
the Secretary of Labor shall direct the individual to
participate in developing a comprehensive return to work plan
and to undergo vocational rehabilitation at a location a
reasonable distance from the residence of the individual.'';
(B) by striking ``the Secretary of Health, Education, and
Welfare in carrying out the purposes of chapter 4 of title
29'' and inserting ``the Secretary of Education in carrying
out the purposes of the Rehabilitation Act of 1973 (29 U.S.C.
701 et seq.)'';
(C) by striking ``under section 32(b)(1) of title 29'' and
inserting ``under section 5 of the Rehabilitation Act of 1973
(29 U.S.C. 704)''; and
(D) by adding at the end the following:
``(2) Exception.--The Secretary of Labor may not direct an
individual who has attained retirement age to participate in
developing a comprehensive return to work plan or to undergo
vocational rehabilitation.'';
(2) by redesignating subsection (b) as subsection (c);
(3) by inserting after subsection (a) the following:
``(b) Contents of Return to Work Plan.--A return to work
plan developed under subsection (a)--
``(1) shall--
``(A) set forth specific measures designed to increase the
wage-earning capacity of an individual;
``(B) take into account the prior training and education of
the individual and the training, educational, and employment
opportunities reasonably available to the individual; and
``(C) provide that any employment undertaken by the
individual under the return to work plan be at a location a
reasonable distance from the residence of the individual;
``(2) may provide that the Secretary will pay out of
amounts in the Employees' Compensation Fund reasonable
expenses of vocational rehabilitation (which may include
tuition, books, training fees, supplies, equipment, and child
or dependent care) during the course of the plan; and
``(3) may not be for a period of more than 2 years, unless
the Secretary finds good cause to grant an extension, which
may be for not more than 2 years.'';
(4) in subsection (c), as so redesignated--
(A) by inserting ``Compensation.--'' before
``Notwithstanding''; and
(B) by striking ``, other than employment undertaken
pursuant to such rehabilitation''; and
(5) by adding at the end the following:
``(d) Assisted Reemployment Agreements.--
``(1) In general.--The Secretary may enter into an assisted
reemployment agreement with an agency or instrumentality of
any branch of the Federal Government or a State or local
government or a private employer that employs an individual
eligible for wage-loss compensation under section 8105 or
8106 to enable the individual to return to productive
employment.
``(2) Contents.--An assisted reemployment agreement under
paragraph (1)--
``(A) may provide that the Secretary will use amounts in
the Employees' Compensation Fund to reimburse an employer in
an amount equal to not more than 100 percent of the
compensation the individual would otherwise receive under
section 8105 or 8106; and
``(B) may not be for a period of more than 3 years.
``(e) List.--To facilitate the hiring of individuals
eligible for wage-loss compensation under section 8105 or
8106, the Secretary shall provide a list of such individuals
to the Office of Personnel Management, which the Office of
Personnel Management shall provide to all agencies and
instrumentalities of the Federal Government.''.
(b) Termination of Vocational Rehabilitation Requirement
After Retirement Age.--Section 8113(b) is amended by adding
at the end the following: ``An individual who has attained
retirement age may not be required to undergo vocational
rehabilitation.''.
(c) Mandatory Benefit Reduction for Noncompliance.--Section
8113(b) is amended by striking ``may reduce'' and inserting
``shall reduce''.
(d) Technical and Conforming Amendments.--
(1) In general.--Subchapter III of chapter 15 of title 31,
United States Code, is amended by adding at the end the
following:
``Sec. 1538. Authorization for assisted reemployment
``Funds may be transferred from the Employees' Compensation
Fund established under section 8147 of title 5 to the
applicable appropriations account for an agency or
instrumentality of any branch of the Federal Government for
the purposes of reimbursing the agency or instrumentality in
accordance with an assisted reemployment agreement entered
into under section 8104 of title 5.''.
(2) Table of sections.--The table of sections for chapter
15 of title 31, United States Code, is amended by inserting
after the item relating to section 1537 the following:
``1538. Authorization for assisted reemployment.''.
SEC. 306. REPORTING REQUIREMENTS.
(a) In General.--Chapter 81 is amended by inserting after
section 8106 the following:
``Sec. 8106a. Reporting requirements
``(a) Definition.--In this section, the term `employee
receiving compensation' means an employee who--
``(1) is paid compensation under section 8105 or 8106; and
``(2) has not attained retirement age.
``(b) Authority.--The Secretary of Labor shall require an
employee receiving compensation to report the earnings of the
employee receiving compensation from employment or self-
employment, by affidavit or otherwise, in the manner and at
the times the Secretary specifies.
``(c) Contents.--An employee receiving compensation shall
include in a report required under subsection (a) the value
of housing, board, lodging, and other advantages which are
part of the earnings of the employee receiving compensation
in employment or self-employment and the value of which can
be estimated.
``(d) Failure To Report and False Reports.--
``(1) In general.--An employee receiving compensation who
fails to make an affidavit or other report required under
subsection (b) or who knowingly omits or understates any part
of the earnings of the employee in such an affidavit or other
report shall forfeit the right to compensation with respect
to any period for which the report was required.
``(2) Forfeited compensation.--Compensation forfeited under
this subsection, if already paid to the employee receiving
compensation, shall be recovered by a deduction from the
compensation payable to the employee or otherwise recovered
under section 8129, unless recovery is waived under that
section.''.
[[Page S7078]]
(b) Technical and Conforming Amendments.--The table of
sections for chapter 81 is amended by inserting after the
item relating to section 8106 the following:
``8106a. Reporting requirements.''.
SEC. 307. DISABILITY MANAGEMENT REVIEW; INDEPENDENT MEDICAL
EXAMINATIONS.
Section 8123 is amended by adding at the end the following:
``(e) Disability Management Review.--
``(1) Definitions.--In this subsection--
``(A) the term `covered employee' means an employee who is
in continuous receipt of compensation for total disability
under section 8105 for a period of not less than 6 months;
and
``(B) the term `disability management review process' means
the disability management review process established under
paragraph (2)(A).
``(2) Establishment.--The Secretary of Labor shall--
``(A) establish a disability management review process for
the purpose of certifying and monitoring the disability
status and extent of injury of each covered employee; and
``(B) promulgate regulations for the administration of the
disability management review process.
``(3) Physical examinations required.--Under the disability
management review process, the Secretary of Labor shall
periodically require covered employees to submit to physical
examinations under subsection (a) by physicians selected by
the Secretary. A physician conducting a physical examination
of a covered employee shall submit to the Secretary a report
regarding the nature and extent of the injury to and
disability of the covered employee.
``(4) Frequency.--
``(A) In general.--The regulations promulgated under
paragraph (2)(B) shall specify the process and criteria for
determining when and how frequently a physical examination
should be conducted for a covered employee.
``(B) Minimum frequency.--
``(i) Initial.--An initial physical examination shall be
conducted not more than a brief period after the date on
which a covered employee has been in continuous receipt of
compensation for total disability under section 8015 for 6
months.
``(ii) Subsequent examinations.--After the initial physical
examination, physical examinations of a covered employee
shall be conducted not less than once every 3 years.
``(5) Employing agency or instrumentality requests.--
``(A) In general.--The agency or instrumentality employing
an employee who has made a claim for compensation for total
disability under section 8105 may at any time submit a
request for the Secretary of Labor to promptly require the
employee to submit to a physical examination under this
subsection.
``(B) Requesting officer.--A request under subparagraph (A)
shall be made on behalf of an agency or instrumentality by--
``(i) the head of the agency or instrumentality;
``(ii) the Chief Human Capital Officer of the agency or
instrumentality; or
``(iii) if the agency or instrumentality does not have a
Chief Human Capital Officer, an officer with responsibilities
similar to those of a Chief Human Capital Officer designated
by the head of the agency or instrumentality to make requests
under this paragraph.
``(C) Information.--A request under subparagraph (A) shall
be in writing and accompanied by--
``(i) a certification by the officer making the request
that the officer has reviewed the relevant material in the
employee's file;
``(ii) an explanation of why the officer has determined,
based on the materials in the file and other information
known to the officer, that requiring a physical examination
of the employee under this subsection is necessary; and
``(iii) copies of the materials relating to the employee
that are relevant to the officer's determination and request,
unless the agency or instrumentality has a reasonable basis
for not providing the materials.
``(D) Examination.--If the Secretary of Labor receives a
request under this paragraph before an employee has undergone
an initial physical examination under paragraph (4)(B)(i),
the Secretary shall promptly require the physical examination
of the employee. A physical examination under this
subparagraph shall satisfy the requirement under paragraph
(4)(B)(i) that an initial physical examination be conducted.
``(E) After initial examination.--
``(i) In general.--If the Secretary of Labor receives a
request under this paragraph after an employee has undergone
an initial physical examination under paragraph (4)(B)(i),
the Secretary shall--
``(I) review the request and the information, explanation,
and other materials submitted with the request; and
``(II) determine whether to require the physical
examination of the employee who is the subject of the
request.
``(ii) Not granted.--If the Secretary determines not to
grant a request described in clause (i), the Secretary shall
promptly notify the officer who made the request and provide
an explanation of the reasons why the request was denied.''.
SEC. 308. WAITING PERIOD.
(a) In General.--Section 8117 is amended--
(1) in the section heading, by striking ``Time of accrual
of right'' and inserting ``Waiting period'';
(2) in subsection (a)--
(A) in the matter preceding paragraph (1), by striking ``An
employee'' and all that follows through ``is not entitled''
and inserting ``In General.--An employee is not entitled to
continuation of pay within the meaning of section 8118 for
the first 3 days of temporary disability or, if section 8118
does not apply, is not entitled'';
(B) in paragraph (1), by adding ``or'' at the end;
(C) by striking paragraph (2); and
(D) by redesignating paragraph (3) as paragraph (2); and
(3) in subsection (b)--
(A) by striking ``A Postal Service'' the first place it
appears and all that follows through ``A Postal Service'' the
second place it appears and inserting ``Use of Leave.--An'';
(B) by striking ``that 3-day period'' and inserting ``the
first 3 days of temporary disability''; and
(C) by striking ``or is followed by permanent disability''.
(b) Continuation of Pay.--Section 8118 is amended--
(1) in the section heading, by striking ``; election to use
annual or sick leave'';
(2) in subsection (b)(1), by striking ``section 8117(b)''
and inserting ``section 8117'';
(3) by striking subsection (c); and
(4) by redesignating subsections (d) and (e) as subsections
(c) and (d), respectively.
(c) Technical and Conforming Amendments.--The table of
sections for chapter 81 is amended by striking the items
relating to sections 8117 and 8118 and inserting the
following:
``8117. Waiting period.
``8118. Continuation of pay.''.
SEC. 309. ELECTION OF BENEFITS.
(a) In General.--Section 8116 is amended by adding at the
end the following:
``(e) Retirement Benefits.--
``(1) In general.--An individual entitled to compensation
benefits payable under this subchapter and under chapter 83
or 84 or any other retirement system for employees of the
Government, for the same period, shall elect which benefits
the individual will receive.
``(2) Election.--
``(A) Deadline.--An individual shall make an election under
paragraph (1) in accordance with such deadlines as the
Secretary of Labor shall establish.
``(B) Revocability.--An election under paragraph (1) shall
be revocable, notwithstanding any other provision of law,
except for any period during which an individual--
``(i) was qualified for benefits payable under both this
subchapter and under a retirement system described in
paragraph (1); and
``(ii) was paid benefits under the retirement system after
having been notified of eligibility for benefits under this
subchapter.
``(3) Informed choice.--The Secretary of Labor shall
provide information, and shall ensure that information is
provided, to an individual described in paragraph (1) about
the benefits available to the individual under this
subchapter or under chapter 83 or 84 or any other retirement
system referred to in paragraph (1) the individual may elect
to receive.''.
(b) Technical and Conforming Amendments.--Sections
8337(f)(3) and 8464a(a)(3) are each amended by striking
``Paragraphs'' and inserting ``Except as provided under
chapter 81, paragraphs''.
SEC. 310. SANCTION FOR NONCOOPERATION WITH FIELD NURSES.
Section 8123, as amended by section 307, is amended by
adding at the end the following:
``(f) Field Nurses.--
``(1) Definition.--In this subsection, the term `field
nurse' means a registered nurse that assists the Secretary in
the medical management of disability claims under this
subchapter and provides claimants with assistance in
coordinating medical care.
``(2) Authorization.--The Secretary may use field nurses to
coordinate medical services and vocational rehabilitation
programs for injured employees under this subchapter. If an
employee refuses to cooperate with a field nurse or obstructs
a field nurse in the performance of duties under this
subchapter, the right to compensation under this subchapter
shall be suspended until the refusal or obstruction stops.''.
SEC. 311. SUBROGATION OF CONTINUATION OF PAY.
(a) In General.--Section 8131 is amended--
(1) in subsection (a), in the matter preceding paragraph
(1), by inserting ``continuation of pay or'' before
``compensation''; and
(2) in subsection (b), by inserting ``continuation of pay''
before compensation; and
(3) in subsection (c)--
(A) by inserting ``continuation of pay or'' before
``compensation already paid''; and
(B) by inserting ``continuation of pay or'' before
``compensation payable''.
(b) Adjustment After Recovery From a Third Person.--Section
8132 is amended--
(1) in the first sentence--
(A) by inserting ``continuation of pay or'' before
``compensation is payable'';
(B) by inserting ``continuation of pay or'' before
``compensation from the United States'';
(C) by striking ``by him or in his behalf'' and inserting
``by the beneficiary or on behalf of the beneficiary'';
(D) by inserting ``continuation of pay and'' before
``compensation paid by the United States''; and
[[Page S7079]]
(E) by striking ``compensation payable to him'' and
inserting ``continuation of pay or compensation payable to
the beneficiary'';
(2) in the second sentence, by striking ``his designee''
and inserting ``the designee of the beneficiary''; and
(3) in the fourth sentence, by striking ``If compensation''
and all that follows through ``payable to him by the United
States'' and inserting ``If continuation of pay or
compensation has not been paid to the beneficiary, the money
or property shall be credited against continuation of pay or
compensation payable to the beneficiary by the United
States''.
SEC. 312. SOCIAL SECURITY EARNINGS INFORMATION.
Section 8116, as amended by section 308, is amended by
adding at the end the following:
``(f) Earnings Information.--Notwithstanding section 552a
or any other provision of Federal or State law, the Social
Security Administration shall make available to the Secretary
of Labor, upon written request, the Social Security earnings
information of a living or deceased employee who may have
sustained an injury or died as a result of an injury that is
the subject of a claim under this subchapter required by the
Secretary of Labor to carry out this subchapter.''.
SEC. 313. AMOUNT OF COMPENSATION.
(a) Injuries to Face, Head, and Neck.--Section 8107(c)(21)
is amended--
(1) by striking ``not to exceed $3,500'' and inserting ``in
proportion to the severity of the disfigurement, not to
exceed $50,000,''; and
(2) by adding at the end the following: ``The maximum
amount of compensation under this paragraph shall be
increased on March 1 of each year by the amount determined by
the Secretary of Labor to represent the percent change in the
price index published for December of the preceding year over
the price index published for the December of the year prior
to the preceding year, adjusted to the nearest one-tenth of 1
percent.''.
(b) Funeral Expenses.--Section 8134(a) is amended--
(1) by striking ``$800'' and inserting ``$6,000''; and
(2) by adding at the end the following: ``The maximum
amount of compensation under this subsection shall be
increased on March 1 of each year by the amount determined by
the Secretary of Labor to represent the percent change in the
price index published for December of the preceding year over
the price index published for the December of the year prior
to the preceding year, adjusted to the nearest one-tenth of 1
percent.''.
(c) Application.--The amendments made by this section shall
apply to injuries or deaths, respectively, occurring on or
after the date of enactment of this Act.
SEC. 314. TECHNICAL AND CONFORMING AMENDMENTS.
Chapter 81 is amended--
(1) in section 8101(1)(D), by inserting ``for an injury
that occurred before the effective date of section 204(e) of
the District of Columbia Self-Government and Governmental
Reorganization Act (Public Law 93-198; 87 Stat. 783; 5 U.S.C.
8101 note)'' before the semicolon;
(2) in section 8139, by inserting ``under this subchapter''
after ``Compensation awarded'';
(3) in section 8148(a), by striking ``section 8106'' and
inserting ``section 8106a'';
SEC. 315. REGULATIONS.
(a) In General.--As soon as possible after the date of
enactment of this Act, the Secretary of Labor shall
promulgate regulations (which may include interim final
regulations) to carry out this title.
(b) Contents.--The regulations promulgated under subsection
(a) shall include, for purposes of the amendments made by
sections 302 and 303, clarification of--
(1) what is a claim; and
(2) what is the date on which a period of disability, for
which a claim is made, commences.
TITLE IV--OTHER MATTERS
SEC. 401. PROFITABILITY PLAN.
(a) Plan Required.--Not later than 90 days after the date
of enactment of this Act, the Postal Service shall submit to
the Committee on Homeland Security and Governmental Affairs
of the Senate, the Committee on Oversight and Government
Reform of the House of Representatives, the Comptroller
General of the United States, and the Commission a plan
describing, in detail, the actions the Postal Service will
take to--
(1) become profitable by fiscal year 2015; and
(2) achieve long-term financial solvency.
(b) Considerations.--The plan required under subsection (a)
shall take into consideration--
(1) the legal authority of the Postal Service;
(2) the changes in the legal authority and responsibilities
of the Postal Service under this Act;
(3) any cost savings that the Postal Service anticipates
will be achieved through negotiations with employees of the
Postal Service; and
(4) projected changes in mail volume.
(c) Updates.--The Postal Service shall update the plan
required under subsection (a) not less frequently than
quarterly, until the last quarter of fiscal year 2015.
SEC. 402. POSTAL RATES.
(a) Commission Study.--
(1) In general.--Not earlier than 2 years after the date of
enactment of this Act, the Commission shall commence a study
to determine--
(A) whether and to what extent any market-dominant classes,
products, or types of mail services do not bear the direct
and indirect costs attributable to those classes, products,
or types of mail service; and
(B) the impact of any excess mail processing,
transportation, or delivery capacity of the Postal Service on
the direct and indirect costs attributable to any class that
bears less than 100 percent of the costs attributable to the
class, as determined under subparagraph (A).
(2) Requirements.--The Commission shall conduct the study
under paragraph (1) in a manner that protects confidential
and proprietary business information.
(3) Hearing.--Before completing the study under paragraph
(1), the Commission shall hold a public hearing, on the
record, in order to better inform the conclusions of the
study. The Postal Service, postal customers, and other
interested persons may participate in the hearing under this
paragraph.
(4) Completion.--Not later than 6 months after the date on
which the Commission commences the study under subsection
(a), the Commission shall complete the study.
(b) Annual Updates Required.--Not later than 1 year after
the date of completion of the study under subsection (a), and
annually thereafter, the Commission shall--
(1) determine whether any class of mail bears less than 100
percent of the direct and indirect costs attributable to the
class, product, or type of mail service, in the same manner
as under subsection (a)(1)(A);
(2) for any class of mail for which the Commission makes a
determination under paragraph (1), update the study under
subsection (a); and
(3) include the study updated under paragraph (2) in the
annual written determination of the Commission under section
3653 of title 39, United States Code.
(c) Postal Rates.--
(1) Definition.--In this subsection, the term ``loss-
making'', as used with respect to a class of mail, means a
class of mail that bears less than 100 percent of the costs
attributable to the class of mail, according to the most
recent annual determination of the Commission under
subsection (a)(1) or (b)(1), adjusted to account for the
quantitative effect of excess mail processing,
transportation, or delivery capacity of the Postal Service on
the costs attributable to the class of mail.
(2) In general.--Not later than 1 year after the date on
which the study under subsection (a) is completed, and
annually thereafter, the Postal Service shall establish
postal rates for each loss-making class of mail.
(3) Considerations.--The Postal Service may establish
postal rates under paragraph (2) in a manner that ensures, to
the extent practicable, that a class of mail described in
paragraph (2) is not loss-making by--
(A) using the authority to increase rates under section
3622(d)(1)(A) of title 39, United States Code;
(B) exhausting any unused rate adjustment authority, as
defined in section 3622(d)(2)(C) of title 39, United States
Code, subject to paragraph (4); and
(C) maximizing incentives to reduce costs and increase
efficiency with regard to the processing, transportation, and
delivery of such mail by the Postal Service.
(4) Unused rate adjustment authority.--Section
3622(d)(2)(C) of title 39, United States Code, shall be
applied by annually increasing by 2 percentage points any
unused rate adjustment authority for a class of mail that
bears less than 90 percent of the costs attributable to the
class of mail, according to the most recent annual
determination of the Commission under subsection (a)(1) or
(b)(1), adjusted to account for the quantitative effect of
excess mail processing, transportation, or delivery capacity
of the Postal Service on the costs attributable to the class
of mail.
SEC. 403. COOPERATION WITH STATE AND LOCAL GOVERNMENTS;
INTRA-SERVICE AGREEMENTS.
(a) Cooperation With State and Local Governments.--Section
411 of title 39, United States Code, is amended, in the first
sentence by striking ``and the Government Printing Office''
inserting ``, the Government Printing Office, and agencies
and other units of State and local governments''.
(b) Intra-Service Agreements.--Section 411 of title 39,
United States Code, as amended by subsection (a), is
amended--
(1) in the section heading, by adding at the end the
following: ``and within the Postal Service'';
(2) in the second sentence, by striking ``section'' and
inserting ``subsection'';
(3) by striking ``Executive agencies'' and inserting the
following:
``(a) Cooperation With State and Local Governments.--
Executive agencies''; and
(4) by adding at the end the following:
``(b) Cooperation Within the Postal Service.--The Office of
the Inspector General and other components of the Postal
Service may enter into agreements to furnish to each other
property, both real and personal, and personal and
nonpersonal services. The furnishing of property and services
under this subsection shall be under such terms and
conditions, including reimbursability, as the Inspector
General and the head of the component concerned shall deem
appropriate.''.
(c) Technical and Conforming Amendment.--The table of
sections for chapter 4 of title 39, United States Code, is
amended by
[[Page S7080]]
striking the item relating to section 411 and inserting the
following:
``411. Cooperation with other Government agencies and within the Postal
Service.''.
SEC. 404. SHIPPING OF WINE AND BEER.
(a) Mailability.--
(1) Nonmailable articles.--Section 1716(f) of title 18,
United States Code, is amended by striking ``mails'' and
inserting ``mails, except to the extent that the mailing is
allowable under section 3001(p) of title 39''.
(2) Application of laws.--Section 1161 of title 18, United
States Code, is amended, by inserting ``, and, with respect
to the mailing of wine or malt beverages (as those terms are
defined in section 117 of the Federal Alcohol Administration
Act (27 U.S.C. 211)), is in conformity with section 3001(p)
of title 39'' after ``Register''.
(b) Regulations.--Section 3001 of title 39, United States
Code, is amended by adding at the end the following:
``(p)(1) In this subsection, the terms `wine' and `malt
beverage' have the same meanings as in section 117 of the
Federal Alcohol Administration Act (27 U.S.C. 211).
``(2) Wine or malt beverages shall be considered mailable
if mailed--
``(A) by a licensed winery or brewery, in accordance with
applicable regulations under paragraph (3); and
``(B) in accordance with the law of the State, territory,
or district of the United States where the addressee or duly
authorized agent takes delivery.
``(3) The Postal Service shall prescribe such regulations
as may be necessary to carry out this subsection, including
regulations providing that--
``(A) the mailing shall be by a means established by the
Postal Service to ensure direct delivery to the addressee or
a duly authorized agent;
``(B) the addressee (and any duly authorized agent) shall
be an individual at least 21 years of age;
``(C) the individual who takes delivery, whether the
addressee or a duly authorized agent, shall present a valid,
government-issued photo identification at the time of
delivery;
``(D) the wine or malt beverages may not be for resale or
other commercial purpose; and
``(E) the winery or brewery involved shall--
``(i) certify in writing to the satisfaction of the Postal
Service, through a registration process administered by the
Postal Service, that the mailing is not in violation of any
provision of this subsection or regulation prescribed under
this subsection; and
``(ii) provide any other information or affirmation that
the Postal Service may require, including with respect to the
prepayment of State alcohol beverage taxes.
``(4) For purposes of this subsection--
``(A) a winery shall be considered to be licensed if it
holds an appropriate basic permit issued--
``(i) under the Federal Alcohol Administration Act; and
``(ii) under the law of the State in which the winery is
located; and
``(B) a brewery shall be considered to be licensed if--
``(i) it possesses a notice of registration and bond
approved by the Alcohol and Tobacco Tax and Trade Bureau of
the Department of the Treasury; and
``(ii) it is licensed to manufacture and sell malt
beverages in the State in which the brewery is located.''.
(c) Effective Date.--The amendments made by this section
shall take effect on the earlier of--
(1) the date on which the Postal Service issues regulations
under section 3001(p) of title 39, United States Code, as
amended by this section; and
(2) 120 days after the date of enactment of this Act.
SEC. 405. ANNUAL REPORT ON UNITED STATES MAILING INDUSTRY.
(a) In General.--Chapter 24 of title 39, United States
Code, is amended by adding at the end the following:
``Sec. 2403. Annual report on the fiscal stability of the
United States mailing industry
``(a) In General.--Not later than 1 year after the date of
enactment of this section, and annually thereafter, the
Postal Regulatory Commission shall submit a report on the
fiscal stability of the United States mailing industry with
respect to the preceding fiscal year to--
``(1) the Committee on Homeland Security and Governmental
Affairs of the Senate; and
``(2) the Committee on Oversight and Government Reform of
the House of Representatives.
``(b) Assistance.--The United States Postal Service and any
Federal agency involved in oversight or data collection
regarding industry sectors relevant to the report under
subsection (a) shall provide any assistance to the Postal
Regulatory Commission that the Postal Regulatory Commission
determines is necessary in the preparation of a report under
subsection (a).''.
(b) Technical and Conforming Amendment.--The table of
sections for chapter 24 of title 39, United States Code, is
amended by adding at the end the following:
``2403. Annual report on the fiscal stability of the United States
mailing industry.''.
SEC. 406. USE OF NEGOTIATED SERVICE AGREEMENTS.
Section 3622 of title 39, United States Code, is amended--
(1) in subsection (c)(10)(A)--
(A) in the matter preceding clause (i), by striking
``either'' and inserting ``will'';
(B) in clause (i), by striking ``or'' at the end;
(C) in clause (ii), by striking ``and'' at the end and
inserting ``or''; and
(D) by adding at the end the following:
``(iii) preserve mail volume and revenue; and''; and
(2) by adding at the end the following:
``(g) Coordination.--The Postal Service and the Postal
Regulatory Commission shall coordinate actions to identify
methods to increase the use of negotiated service agreements
for market-dominant products by the Postal Service consistent
with subsection (c)(10).''.
SEC. 407. CONTRACT DISPUTES.
Section 7101(8) of title 41, United States Code, is
amended--
(1) in subparagraph (C), by striking ``and'' at the end;
(2) in subparagraph (D), by striking the period at the end
and inserting ``; and''; and
(3) by adding at the end the following:
``(E) the United States Postal Service and the Postal
Regulatory Commission.''.
SEC. 408. CONTRACTING PROVISIONS.
(a) In General.--Part I of title 39, United States Code, is
amended by adding at the end the following:
``CHAPTER 7--CONTRACTING PROVISIONS
``Sec.
``701. Definitions.
``702. Advocate for competition.
``703. Delegation of contracting authority.
``704. Posting of noncompetitive purchase requests for noncompetitive
contracts.
``705. Review of ethical issues.
``706. Ethical restrictions on participation in certain contracting
activity.
``Sec. 701. Definitions
``In this chapter--
``(1) the term `contracting officer' means an employee of a
covered postal entity who has authority to enter into a
postal contract;
``(2) the term `covered postal entity' means--
``(A) the United States Postal Service; or
``(B) the Postal Regulatory Commission;
``(3) the term `head of a covered postal entity' means--
``(A) in the case of the United States Postal Service, the
Postmaster General; or
``(B) in the case of the Postal Regulatory Commission, the
Chairman of the Postal Regulatory Commission;
``(4) the term `postal contract' means any contract
(including any agreement or memorandum of understanding)
entered into by a covered postal entity for the procurement
of goods or services; and
``(5) the term `senior procurement executive' means the
senior procurement executive of a covered postal entity.
``Sec. 702. Advocate for competition
``(a) Establishment and Designation.--
``(1) There is established in each covered postal entity an
advocate for competition.
``(2) The head of each covered postal entity shall
designate for the covered postal entity 1 or more officers or
employees (other than the senior procurement executive) to
serve as the advocate for competition.
``(b) Responsibilities.--The advocate for competition of
each covered postal entity shall--
``(1) be responsible for promoting competition to the
maximum extent practicable consistent with obtaining best
value by promoting the acquisition of commercial items and
challenging barriers to competition;
``(2) review the procurement activities of the covered
postal entity; and
``(3) prepare and transmit to the head of each covered
postal entity, the senior procurement executive of each
covered postal entity, the Board of Governors of the United
States Postal Service, and Congress, an annual report
describing--
``(A) the activities of the advocate under this section;
``(B) initiatives required to promote competition;
``(C) barriers to competition that remain; and
``(D) the number of waivers made by each covered postal
entity under section 704(c).
``Sec. 703. Delegation of contracting authority
``(a) In General.--
``(1) Policy.--Not later than 60 days after the date of
enactment of the 21st Century Postal Service Act of 2011, the
head of each covered postal entity shall issue a policy on
contracting officer delegations of authority for the covered
postal entity.
``(2) Contents.--The policy issued under paragraph (1)
shall require that--
``(A) notwithstanding any delegation of authority with
respect to postal contracts, the ultimate responsibility and
accountability for the award and administration of postal
contracts resides with the senior procurement executive; and
``(B) a contracting officer shall maintain an awareness of
and engagement in the activities being performed on postal
contracts of which that officer has cognizance,
notwithstanding any delegation of authority that may have
been executed.
``(b) Posting of Delegations.--
``(1) In general.--The head of each covered postal entity
shall make any delegation of authority for postal contracts
outside the functional contracting unit readily available and
accessible on the website of the covered postal entity.
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``(2) Effective date.--This paragraph shall apply to any
delegation of authority made on or after 30 days after the
date of enactment of the 21st Century Postal Service Act of
2011.
``Sec. 704. Posting of noncompetitive purchase requests for
noncompetitive contracts
``(a) Posting Required.--
``(1) Postal regulatory commission.--The Postal Regulatory
Commission shall make the noncompetitive purchase request for
any noncompetitive award, including the rationale supporting
the noncompetitive award, publicly available on the website
of the Postal Regulatory Commission--
``(A) not later than 14 days after the date of the award of
the noncompetitive contract; or
``(B) not later than 30 days after the date of the award of
the noncompetitive contract, if the basis for the award was a
compelling business interest.
``(2) United states postal service.--The United States
Postal Service shall make the noncompetitive purchase request
for any noncompetitive award of a postal contract valued at
$250,000 or more, including the rationale supporting the
noncompetitive award, publicly available on the website of
the United States Postal Service--
``(A) not later than 14 days after the date of the award;
or
``(B) not later than 30 days after the date of the award,
if the basis for the award was a compelling business
interest.
``(3) Adjustments to the posting threshold for the united
states postal service.--
``(A) Review and determination.--Not later than January 31
of each year, the United States Postal Service shall--
``(i) review the $250,000 threshold established under
paragraph (2); and
``(ii) based on any change in the Consumer Price Index for
all-urban consumers of the Department of Labor, determine
whether an adjustment to the threshold shall be made.
``(B) Amount of adjustments.--An adjustment under
subparagraph (A) shall be made in increments of $5,000. If
the United States Postal Service determines that a change in
the Consumer Price Index for a year would require an
adjustment in an amount that is less than $5,000, the United
States Postal Service may not make an adjustment to the
threshold for the year.
``(4) Effective date.--This subsection shall apply to any
noncompetitive contract awarded on or after the date that is
90 days after the date of enactment of the 21st Century
Postal Service Act of 2011.
``(b) Public Availability.--
``(1) In general.--Subject to paragraph (2), the
information required to be made publicly available by a
covered postal entity under subsection (a) shall be readily
accessible on the website of the covered postal entity.
``(2) Protection of proprietary information.--A covered
postal entity shall--
``(A) carefully screen any description of the rationale
supporting a noncompetitive award required to be made
publicly available under subsection (a) to determine whether
the description includes proprietary data (including any
reference or citation to the proprietary data) or security-
related information; and
``(B) remove any proprietary data or security-related
information before making publicly available a description of
the rational supporting a noncompetitive award.
``(c) Waivers.--
``(1) Waiver permitted.--If a covered postal entity
determines that making a noncompetitive purchase request
publicly available would risk placing the United States
Postal Service at a competitive disadvantage relative to a
private sector competitor, the senior procurement executive,
in consultation with the advocate for competition of the
covered postal entity, may waive the requirements under
subsection (a).
``(2) Form and content of waiver.--
``(A) Form.--A waiver under paragraph (1) shall be in the
form of a written determination placed in the file of the
contract to which the noncompetitive purchase agreement
relates.
``(B) Content.--A waiver under paragraph (1) shall
include--
``(i) a description of the risk associated with making the
noncompetitive purchase request publicly available; and
``(ii) a statement that redaction of sensitive information
in the noncompetitive purchase request would not be
sufficient to protect the United States Postal Service from
being placed at a competitive disadvantage relative to a
private sector competitor.
``(3) Delegation of waiver authority.--A covered postal
entity may not delegate the authority to approve a waiver
under paragraph (1) to any employee having less authority
than the senior procurement executive.
``Sec. 705. Review of ethical issues
``If a contracting officer identifies any ethical issues
relating to a proposed contract and submits those issues and
that proposed contract to the designated ethics official for
the covered postal entity before the awarding of that
contract, that ethics official shall--
``(1) review the proposed contract; and
``(2) advise the contracting officer on the appropriate
resolution of ethical issues.
``Sec. 706. Ethical restrictions on participation in certain
contracting activity
``(a) Definitions.--In this section--
``(1) the term `covered employee' means--
``(A) a contracting officer; or
``(B) any employee of a covered postal entity whose
decisionmaking affects a postal contract as determined by
regulations prescribed by the head of a covered postal
entity;
``(2) the term `covered relationship' means a covered
relationship described in section 2635.502(b)(1) of title 5,
Code of Federal Regulations, or any successor thereto; and
``(3) the term `final conviction' means a conviction,
whether entered on a verdict or plea, including a plea of
nolo contendere, for which a sentence has been imposed.
``(b) In General.--
``(1) Regulations.--The head of each covered postal entity
shall prescribe regulations that--
``(A) require a covered employee to include in the file of
any noncompetitive purchase request for a noncompetitive
postal contract a written certification that--
``(i) discloses any covered relationship of the covered
employee; and
``(ii) the covered employee will not take any action with
respect to the noncompetitive purchase request that affects
the financial interests of a friend, relative, or person with
whom the covered employee is affiliated in a nongovernmental
capacity, or otherwise gives rise to an appearance of the use
of public office for private gain, as described in section
2635.702 of title 5, Code of Federal Regulations, or any
successor thereto;
``(B) require a contracting officer to consult with the
ethics counsel for the covered postal entity regarding any
disclosure made by a covered employee under subparagraph
(A)(i), to determine whether participation by the covered
employee in the noncompetitive purchase request would give
rise to a violation of part 2635 of title 5, Code of Federal
Regulations (commonly referred to as the `Standards of
Ethical Conduct for Employees of the Executive Branch');
``(C) require the ethics counsel for a covered postal
entity to review any disclosure made by a contracting officer
under subparagraph (A)(i) to determine whether participation
by the contracting officer in the noncompetitive purchase
request would give rise to a violation of part 2635 of title
5, Code of Federal Regulations (commonly referred to as the
`Standards of Ethical Conduct for Employees of the Executive
Branch'), or any successor thereto;
``(D) under subsections (d) and (e) of section 2635.50 of
title 5, Code of Federal Regulations, or any successor
thereto, require the ethics counsel for a covered postal
entity to--
``(i) authorize a covered employee that makes a disclosure
under subparagraph (A)(i) to participate in the
noncompetitive postal contract; or
``(ii) disqualify a covered employee that makes a
disclosure under subparagraph (A)(i) from participating in
the noncompetitive postal contract;
``(E) require a contractor to timely disclose to the
contracting officer in a bid, solicitation, award, or
performance of a postal contract any conflict of interest
with a covered employee; and
``(F) include authority for the head of the covered postal
entity to a grant a waiver or otherwise mitigate any
organizational or personal conflict of interest, if the head
of the covered postal entity determines that the waiver or
mitigation is in the best interests of the Postal Service.
``(2) Posting of waivers.--Not later than 30 days after the
head of a covered postal entity grants a waiver described in
paragraph (1)(F), the head of the covered postal entity shall
make the waiver publicly available on the website of the
covered postal entity.
``(c) Contract Voidance and Recovery.--
``(1) Unlawful conduct.--In any case in which there is a
final conviction for a violation of any provision of chapter
11 of title 18 relating to a postal contract, the head of a
covered postal entity may--
``(A) void that contract; and
``(B) recover the amounts expended and property transferred
by the covered postal entity under that contract.
``(2) Obtaining or disclosing procurement information.--
``(A) In general.--In any case where a contractor under a
postal contract fails to timely disclose a conflict of
interest to the appropriate contracting officer as required
under the regulations promulgated under subsection (b)(1)(D),
the head of a covered postal entity may--
``(i) void that contract; and
``(ii) recover the amounts expended and property
transferred by the covered postal entity under that contract.
``(B) Conviction or administrative determination.--A case
described under subparagraph (A) is any case in which--
``(i) there is a final conviction for an offense punishable
under section 27(e) of the Office of Federal Procurement
Policy Act (41 U.S.C. 423(e)); or
``(ii) the head of a covered postal entity determines,
based upon a preponderance of the evidence, that the
contractor or someone acting for the contractor has engaged
in conduct constituting an offense punishable under section
27(e) of that Act.''.
(b) Technical and Conforming Amendment.--The table of
chapters for part I of title 39, United States Code, is
amended by adding at the end the following:
``7. Contracting Provisions..................................701''.....
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