[Senate Report 112-97]
[From the U.S. Government Publishing Office]
Calendar No. 239
112th Congress
1st Session SENATE Report
112-97
_______________________________________________________________________
AMEND TITLE 39, UNITED STATES CODE, TO EXTEND THE AUTHORITY OF THE
UNITED STATES POSTAL SERVICE TO ISSUE A SEMIPOSTAL TO RAISE FUNDS FOR
BREAST CANCER RESEARCH
__________
R E P O R T
of the
COMMITTEE ON HOMELAND SECURITY AND
GOVERNMENTAL AFFAIRS
UNITED STATES SENATE
to accompany
S. 384
AMEND TITLE 39, UNITED STATES CODE, TO EXTEND THE AUTHORITY OF THE
UNITED STATES POSTAL SERVICE TO ISSUE A SEMIPOSTAL TO RAISE FUNDS FOR
BREAST CANCER RESEARCH
November 29, 2011.--Ordered to be printed
COMMITTEE ON HOMELAND SECURITY AND GOVERNMENTAL AFFAIRS
JOSEPH I. LIEBERMAN, Connecticut, Chairman
CARL LEVIN, Michigan SUSAN M. COLLINS, Maine
DANIEL K. AKAKA, Hawaii TOM COBURN, Oklahoma
THOMAS R. CARPER, Delaware SCOTT P. BROWN, Massachusetts
MARK L. PRYOR, Arkansas JOHN McCAIN, Arizona
MARY L. LANDRIEU, Louisiana RON JOHNSON, Wisconsin
CLAIRE McCASKILL, Missouri ROB PORTMAN, Ohio
JON TESTER, Montana RAND PAUL, Kentucky
MARK BEGICH, Alaska JERRY MORAN, Kansas
Michael L. Alexander, Staff Director
Beth M. Grossman, Deputy Staff Director and Chief Counsel
Kristine V. Lam, Professional Staff Member
Nicholas A. Rossi, Minority Staff Director
Scott R. Slusher, Minority Professional Staff Member
Trina Driessnack Tyrer, Chief Clerk
Calendar No. 239
112th Congress
SENATE
Report
1st Session 112-97
======================================================================
AMEND TITLE 39, UNITED STATES CODE, TO EXTEND THE AUTHORITY OF THE
UNITED STATES POSTAL SERVICE TO ISSUE A SEMIPOSTAL TO RAISE FUNDS FOR
BREAST CANCER RESEARCH
_______
November 29, 2011.--Ordered to be printed
_______
Mr. Lieberman, from the Committee on Homeland Security and Governmental
Affairs, submitted the following
R E P O R T
[To accompany S. 384]
The Committee on Homeland Security and Governmental
Affairs, to which was referred the bill (S. 384) to amend title
39, United States Code, to extend the authority of the United
States Postal Service to issue a semipostal to raise funds for
breast cancer research, having considered the same, reports
favorably thereon without amendment and recommends that the
bill do pass.
CONTENTS
Page
I. Purpose and Summary..............................................1
II. Background and Need for the Legislation..........................1
III. Legislative History.............................................3
IV. Section-by-Section Analysis.....................................3
V. Regulatory Impact Statement......................................3
VI. Congressional Budget Office Cost Estimate.......................3
VII. Changes to Existing Law..........................................6
I. Purpose and Summary
S. 384 reauthorizes the Stamp Out Breast Cancer Act (P.L.
105-41) through December 31, 2015. This Act authorizes a
special first-class mail postage stamp to raise funds for
breast cancer research efforts. Purchasers pay 55 cents for the
stamp--11 cents above the regular rate of 44 cents. The Postal
Service remits the extra funds (minus the cost of running the
program) for breast cancer research.
II. Background and Need for the Legislation
Breast cancer is the second most common cancer among women
(after skin cancer) and kills more women than any cancer other
than that of the lung.\1\ One in eight women in the United
States will develop breast cancer over the course of their
lifetime.\2\ The National Cancer Institute (NCI) estimates that
in 2011, approximately 232,620 new cases of breast cancer will
be diagnosed in the United States.\3\ To supplement federal and
private funding for breast cancer research, Congress in 1997
first passed legislation authorizing the Breast Cancer Research
Semipostal (BCRS) to increase public awareness of the disease
and allow the public to participate directly in raising funds
for such research. From its first issuance in July 1998 through
October 2011, the BCRS has raised a total of $74.2 million for
breast cancer research.\4\
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\1\Department of Health and Human Services, National Institutes of
Health, National Cancer Institute. Report to Congress: Use of Funds
Received for Semipostal Stamp for Breast Cancer Research, Fiscal Year
2010. January 2011. http://obf.cancer.gov/contribute/BCStamp
ReportFY2010.pdf
\2\National Cancer Institute at the U.S. National Institutes of
Health. Cancer of the Breast: SEER Stat Fact. Retrieved from: http://
seer.cancer.gov/statfacts/html/breast.html. November 14, 2011.
\3\National Cancer Institute at the National Institutes of Health.
Retrieved from http://www.cancer.gov/cancertopics/types/breast.
November 14, 2011.
\4\U.S. Postal Service figures as provided to the Senate Committee
on Homeland Security and Governmental Affairs on November 21, 2011.
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The BCRS is supported by the American Cancer Society and
the Susan G. Komen Breast Cancer Foundation, as well as by
postal consumers who have supported strong annual sales of the
stamp. The Committee also recognizes that with 65 cosponsors,
S. 384 has broad Senate support.
The Stamp Out Breast Cancer Act provides that the Postal
Service is to deduct from the amount it charges over regular
first class stamps its reasonable costs for carrying out the
Act. After deducting its reasonable costs, the Postal Service
remits the remaining proceeds from the BCRS surcharge revenue
to the National Institutes of Health (NIH) and the Department
of Defense (DOD) for breast cancer research. Seventy percent of
the net proceeds go to NIH, with the remaining 30 percent going
to DOD's medical research program.
The Government Accountability Office (GAO) has reported
that the Breast Cancer Research stamp has been an effective
fundraiser, with funds raised through sales of the stamp
contributing to key insights and approaches for the treatment
of breast cancer. For example, in 2006, NIH started using
Breast Cancer Research stamp proceeds for the Trial Assigning
Individual Options for Treatment (TAILORx) and the Breast Pre-
Malignancy Program. TAILORx is designed to determine which
patients with early stage breast cancer are most likely to
benefit from chemotherapy. The Trans-NCI Breast Pre-Malignancy
Program--another BCRS-funded program--is an NCI program to
research factors involved in developing pre-malignant breast
tumors, in the transition of these tumors into malignant tumors
and in the effectiveness of various diagnostics and early-
intervention approaches. This program was established in hopes
that linking NCI's research programs with research programs
underway at universities, medical schools, hospitals, and
research institutions would create a collaborative and
integrated program that would result in new discoveries and
interventions.\5\ Additionally, DOD has used its share of the
proceeds from the Breast Cancer Research stamp to fund
Synergistic Idea Awards. This program promotes new ideas and
collaborations by funding innovative, high-risk, high reward
breast cancer research projects involving two researchers
working synergistically.\6\
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\5\GAO, U.S. Postal Service: Agencies Distribute Fund-raising Stamp
Proceeds and Improve Reporting, GAO-08-45 (Washington, D.C.: October
2007).
\6\Ibid.
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III. Legislative History
S. 384 was introduced on February 17, 2011, by Senator
Dianne Feinstein. It currently has 65 cosponsors. The bill was
referred to the Committee on Homeland Security and Governmental
Affairs. The Committee considered the bill at its business
meeting on October 19, 2011, and by voice vote ordered it
reported favorably without amendment. Senators Lieberman,
Akaka, Carper, Pryor, McCaskill, Begich, Collins, Brown,
Johnson and Moran were present for the vote.
IV. Section-By-Section Analysis
Section 1 of the bill (its only section) extends the Postal
Service's authority to issue the Breast Cancer Research Stamp
for an additional four years.
V. Regulatory Impact Statement
Paragraph 11(b)(1) of rule XXVI of Standing Rules of the
Senate requires that each report accompanying a bill evaluate
``the regulatory impact which would be incurred in carrying out
this bill.''
Enactment of this legislation would have no significant
regulatory impact. S. 384 contains no intergovernmental or
private-sector mandates as defined in the Unfunded Mandates
Reform Act and would impose no costs on the budgets of State,
local, or tribal governments.
VI. Congressional Budget Office Cost Estimate
November 1, 2011.
Hon. Joseph I. Lieberman,
Chairman, Committee on Homeland Security and Governmental Affairs,
U.S. Senate, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for S. 384, a bill to amend
title 39, United States Code, to extend the authority of the
United States Postal Service to issue a semipostal to raise
funds for breast cancer research.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Mark
Grabowicz.
Sincerely,
Douglas W. Elmendorf.
Enclosure.
S. 384 A bill to amend title 39, United States Code, to extend the
authority of the United States Postal Service to issue a
semipostal to raise funds for breast cancer research
Summary: The Stamp Out Breast Cancer Act (Public Law 105-
41) authorized a special postage stamp for first-class mail.
The price of this stamp is 55 cents, 11 cents above the regular
rate of 44 cents. The authority to issue the stamp expires on
December 31, 2011. After accounting for the Postal Service's
administrative costs, amounts above the regular postal rate
collected from sales of the special stamp are transferred to
the National Institutes of Health (NIH) and the Department of
Defense (DoD) to spend on breast cancer research. S. 384 would
extend this program until December 31, 2015.
CBO estimates that enacting S. 384 would increase or
decrease direct spending in most of the years 2012 through 2018
but would have no net effect on direct spending over the period
as a whole. On balance, we estimate that enacting the bill
would result in a net reduction in direct spending of $2
million over the 2012-2016 period, but that savings would be
offset by increased direct spending in 2017 and 2018, leading
to no net impact over the 2012-2021 period. Pay-as-you-go
procedures apply because enacting the legislation would affect
direct spending. The legislation would not affect revenues.
S. 384 contains no intergovernmental or private-sector
mandates as defined in the Unfunded Mandates Reform Act (UMRA)
and would not affect the budgets of state, local, or tribal
governments.
Estimated Cost to the Federal Government: The estimated
budgetary impact of S. 384 is shown in the following table. The
costs of this legislation fall within budget functions 050
(national defense), 370 (commerce and housing credit), and 550
(health).
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By fiscal year, in millions of dollars--
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2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2012-2016 2012-2021
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CHANGES IN DIRECT SPENDING
Off-Budget Effects
Impact on the Postal Service:
Estimated Budget Authority.................... -2 0 0 0 2 0 0 0 0 0 0 0
Estimated Outlays............................. -2 0 0 0 2 0 0 0 0 0 0 0
On-Budget Effects
Impact on NIH and DoD:
Estimated Budget Authority.................... 0 0 0 0 0 0 0 0 0 0 0 0
Estimated Outlays............................. -1 -2 * * 1 2 * 0 0 0 -2 0
Unified Budget Effects
Total Changes:
Estimated Budget Authority.................... -2 0 0 0 2 0 0 0 0 0 0 0
Estimated Outlays............................. -3 -2 * * 3 2 * 0 0 0 -2 0
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Note: * = between -$500,000 and $500,000.
Basis of Estimate: Extending the authority to issue the
special breast cancer stamp would generate additional
offsetting receipts that would be spent without further
appropriation for research on the disease. Although such
transactions are a form of direct spending, the amounts
collected and transferred by the Postal Service would be
classified as ``off-budget,'' while the amounts received and
spent by NIH and DoD would be recorded as ``on-budget''
effects. The budgetary impacts on each category and in
individual years would vary because of the timing of such
collections and spending, but CBO estimates that implementing
this bill would have no net impact on the unified budget over
the next 10 years.
Based on sales of the special breast cancer stamp in recent
years, CBO estimates that enacting S. 384 would generate
collections above the regular postage rate of $16 million over
the next five years--about $3 million in fiscal year 2012, $4
million in each of fiscal years 2013 through 2015, and $1
million in 2016. After covering its administrative costs (about
$100,000 over this period), the Postal Service would transfer
those collections to NIH and DoD in May and November of each
year. In fiscal year 2012, for example, the Postal Service
would transfer $1 million to NIH and DoD, resulting in a net
reduction of $2 million in Postal Service outlays in 2012. The
net impact on the Postal Service over the 2012-2016 period,
however, would be zero. Spending and collections of the Postal
Service are classified as ``off-budget.''
Those transfers from the Postal Service would increase NIH
and DoD collections by $1 million in 2012, $4 million annually
over the 2013-2015 period, and by $3 million in 2016. Because
spending of those collections would lag behind the amounts
collected by several months, we estimate that NIH and DoD
accounts (which are on budget) would show net outlay reductions
totaling $3 million over the 2012-2015 period and a
corresponding increase in outlays from 2016 through 2018. The
net unified budget impact of the proposal (including on-budget
and off-budget effects) also would be zero over the 2012-2018
period, with no effect after 2018.
Pay-As-You-Go Considerations: The Statutory Pay-As-You-Go
Act of 2010 establishes budget-reporting and enforcement
procedures for legislation affecting direct spending or
revenues. The net changes in outlays that are subject to those
pay-as-you-go procedures are shown in the following table. Only
on-budget changes to outlays or revenues are subject to pay-as-
you-go procedures. Enacting S. 384 would affect on-budget
direct spending by NIH and DoD.
CBO ESTIMATE OF PAY-AS-YOU-GO EFFECTS FOR S. 384 AS ORDERED REPORTED BY THE SENATE COMMITTEE ON HOMELAND SECURITY AND GOVERNMENTAL AFFAIRS ON OCTOBER
19, 2011
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By fiscal year, in millions of dollars--
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2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2012-2016 2012-2021
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NET INCREASE OR DECREASE (-) IN THE ON-BUDGET DEFICIT
Statutory Pay-As-You-Go Impact.................... -1 -2 0 0 1 2 0 0 0 0 -2 0
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Intergovernmental and Private-sector impact: S. 384
contains no intergovernmental or private-sector mandates as
defined in UMRA and would not affect the budgets of state,
local, or tribal governments.
Estimate prepared by: Federal Costs: Mark Grabowicz; Impact
on State, Local, and Tribal Governments: Elizabeth Cove
Delisle; Impact on the Private Sector: Paige Piper/Bach.
Estimate approved by: Theresa Gullo, Deputy Assistant
Director for Budget Analysis.
VII. Changes to Existing Law
In compliance with subsection 12 of rule XXVI of the
Standing Rules of the Senate, changes in existing law made by
the bill S. 384, as ordered reported, are shown as follows
(existing law proposed to be omitted is enclosed in black
brackets, new matter is printed in italic, existing law in
which no change is proposed is shown in roman):
TITLE 39, POSTAL SERVICE
PART I--GENERAL
CHAPTER 4. GENERAL AUTHORITY
Sec. 414. Special postage stamps
* * * * * * *
(h) This section shall cease to be effective after December
31, [2011] 2015.