[Federal Register Volume 59, Number 74 (Monday, April 18, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-8589]


[[Page Unknown]]

[Federal Register: April 18, 1994]


_______________________________________________________________________

Part II





Postal Service





_______________________________________________________________________



39 CFR Parts 1 Through 8, et al.




Amendment to Bylaws of the Board of Governors; Final Rule
POSTAL SERVICE

39 CFR Parts 1 Through 8, 11, and 221

 
Amendment to Bylaws of the Board of Governors

AGENCY: Postal Service.

ACTION: Final rule.

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SUMMARY: On July 13, 1993, the Board of Governors of the United States 
Postal Service adopted a revision to its bylaws. This final rule 
incorporates those changes, which update and to some extent streamline 
the Board's bylaws.

EFFECTIVE DATE: July 13, 1993.

FOR FURTHER INFORMATION CONTACT: Stanley F. Mires, (202) 268-2958.

SUPPLEMENTARY INFORMATION: The bylaws of the Board of Governors of the 
United States Postal Service, 39 CFR parts 1 through 10, were initially 
adopted after the passage of the Postal Reorganization Act in 1971, and 
have been amended several times. On July 13, 1993, the Board of 
Governors adopted a revision of these bylaws. Parts 1 through 8 of the 
bylaws were changed, and a new part 11 was added. (Parts 9 and 10 of 
the bylaws were not changed and are not republished here.) In addition, 
39 CFR part 221 was amended. An explanation follows.
Part 1--Postal Policy (Article I)
    Several changes were made to part 1 for conciseness. The former 
language of Sec. 1.1 (a general description of the Postal Service) is 
replaced by similar language taken from former Sec. 2.1, Establishment 
of the U.S. Postal Service. Language formerly contained in Sec. 1.2, 
The Board of Governors, also is transferred to the new Sec. 1.1.
    Former Sec. 1.3, Delegation of authority, is renumbered as 
Sec. 1.2. Finally, former Sec. 1.4, Open meetings, is moved to part 7, 
Public Observation, and appears as paragraph 7.2(a).
Part 2--General and Technical Provisions (Article II)
    Section 2.1 now describes the physical location and function of the 
Office of the Board of Governors, and is derived from former Sec. 3.9.
    The language of Sec. 2.2, Agent for receipt of process, is amended 
to reflect that the General Counsel is also the agent for receipt of 
process for each individual member of the Board when the member is 
acting in his or her official capacity. The language of paragraph 
2.4(b), which describes the Postal Service emblem, registered by the 
U.S. Patent Office, is moved to Sec. 221.9 of part 221, General 
Principles of Organization.
Part 3--Board of Governors (Article III)
    Former Secs. 3.1 and 3.2 are combined into a new Sec. 3.1, 
Responsibilities of Board, and language duplicating 39 U.S.C. 202 is 
deleted. Duplicative language is likewise deleted from renumbered 
Sec. 3.2, Compensation of Board.
    For ease of reference, Sec. 3.3 is amended to contain only matters 
reserved for decision by the full Board. New Sec. 3.4, by contrast, 
contains matters reserved for decision by the Governors only.
    Other changes in part 3 were made. New paragraph 3.3(c)(2) is added 
to provide for Board approval of the Postal Service operating budget. 
Language is added to paragraph 3.3(e) to provide that projects above an 
amount specified by annual Board resolution must be brought to the 
Board for approval. New language in paragraph 3.3(j) (approval of 
borrowing authority) clarifies what is intended by the term ``short-
term borrowings,'' and it eliminates the phrase ``purchase money 
obligations,'' which is no longer used in the finance industry. 
Paragraph 3.3(k) (approval of terms and conditions of obligations 
issued by the Postal Service) also is updated to parallel the new 
language in paragraph 3.3(j).
    Paragraph 3.3(m) (determination of number of officers) is 
simplified to remove the titles of specific officer positions that 
could change. Likewise, the names of specific positions were removed 
from paragraph 3.3(n) (compensation of officers at Level II of the 
Postal Career Executive Service).
    Section 3.6 is revised to specify the types of key reports 
currently provided to the Board. Paragraph 3.7(d) is added to enhance 
program information provided to the Board. Section 3.8 is changed to 
provide for furnishing the Board with information concerning proposals 
for exclusive licenses to use Postal Service intellectual properties, 
other than patents and technical data rights, or proposals for joint 
ventures involving the use of such property. Section 3.9 is deleted; 
its language describing the Office of the Board of Governors was 
transferred to Sec. 2.1.
Part 4--Officers (Article IV)
    Section 4.3, Postmaster General, is simplified to delete language 
duplicating statutory language found at 39 U.S.C. 202(c) and 203. 
Similarly, Sec. 4.4, Deputy Postmaster General, is simplified by 
removing language duplicating 39 U.S.C. 202(d) and 203. Section 4.5 is 
shortened by deleting outdated titles for officers. Section 4.7 is 
changed to describe more closely the current duties of the Secretary of 
the Board, and to clarify that the Secretary is appointed by the 
Governors.
Part 5--Committees (Article V)
    Section 5.3 is deleted as duplicative of the statutory language on 
compensation of the Board in 39 U.S.C. 202(a).
Part 6--Meetings (Article VI)
    Section 6.1 is amended to reflect that the Board meets normally on 
the first Monday and Tuesday of each month. New language provides that 
the time or place of a regular or annual meeting may be varied by a 
unanimous vote.
    Section 6.2 is changed to allow the Chairman to call special 
meetings with more than 30 days' notice. Section 6.5 is amended to 
provide that there is no need to require the preservation of the 
Board's original minutes, as opposed to copies of those minutes. 
Paragraph 6.6(c) is added to require a favorable vote of an absolute 
majority of the Governors in office to appoint or remove the Secretary 
or Assistant Secretary, and to set the compensation of the Secretary or 
Assistant Secretary.
Part 7--Public Observation (Article VII)
    Former Sec. 1.4, Open meetings, now appears as paragraph 7.2(a). 
Other paragraphs of Sec. 7.2 are renumbered accordingly. Paragraph 
7.2(c) is amended to require the approval of a majority of the Board 
for a person to participate in, film, televise, or broadcast any 
portion of any meeting of the Board. Paragraph 7.3(f) is altered to 
extend its privacy protection to all individuals, not just those who 
are under consideration for postal employment.
Part 8--(Reserved)
    Part 8, Reports and Records [Article VIII], is deleted as 
duplicative. Section 3.3 describes reports requiring approval of the 
Board (see 39 CFR 3.3(c)(1) and 3.3(r-u)).
Part 9--Policy on Communications With Governors of the Postal Service 
During Pendency of Rate and Classification Proceedings (Article IX)
    Part 9 is unchanged.
Part 10--Code of Ethical Conduct for Postal Service Governors (Article 
X)
    Part 10 is unchanged.
Part 11--Advisory Boards (Article XI)
    Part 11 is added to authorize the establishment of advisory boards 
for the Board of Governors. This part also states that the Board of 
Governors may appoint persons to serve on such advisory boards or may 
delegate this authority to the Postmaster General.
Part 221--General Principles of Organization
    Language pertaining to the Postal Service emblem, formerly found at 
paragraph 2.4(b), now appears as Sec. 221.9.

List of Subjects in 39 CFR Parts 1 Through 8, 11, and 221

    Administrative practice and procedure, Organization and functions 
(Government agencies), Postal Service, Reporting requirements, Sunshine 
Act.

    In consideration of the foregoing, the Postal Service amends 
subchapter A of title 39, Code of Federal Regulations, by revising 
parts 1 through 8 and by adding part 11, and also amends subchapter D 
of title 39, Code of Federal Regulations, by adding section 221.9.
    1. Parts 1 through 7 are revised and part 8 is removed and 
reserved, as follows:

PART 1--POSTAL POLICY (ARTICLE I)

Sec.
1.1  Establishment of the U.S. Postal Service.
1.2  Delegation of authority.

    Authority: 39 U.S.C. 101, 202, 205, 401(2), 402, 403, 3621, as 
enacted by Public Law 91-375.


Sec. 1.1  Establishment of the U.S. Postal Service.

    The U.S. Postal Service is established under the provisions of the 
Postal Reorganization Act (the Reorganization Act) of August 12, 1970, 
Public Law 91-375, 84 Stat. 719, as an independent establishment of the 
executive branch of the Government of the United States, under the 
direction of a Board of Governors, with the Postmaster General as its 
chief executive officer. The Board of Governors of the Postal Service 
(the Board) directs the exercise of its powers through management that 
is expected to be honest, efficient, economical, and mindful of the 
competitive business environment in which the Postal Service operates. 
The Board consists of nine Governors appointed by the President, by and 
with the advice and consent of the Senate, to represent the public 
interest generally, together with the Postmaster General and Deputy 
Postmaster General.


Sec. 1.2  Delegation of authority.

    Except for powers, duties, or obligations specifically vested in 
the Governors by law, the Board may delegate its authority to the 
Postmaster General under such terms, conditions, and limitations, 
including the power of redelegation, as it finds desirable. The bylaws 
of the Board are the framework of the system through which the Board 
monitors the exercise of the authority it has delegated, measures 
progress toward the goals it has set, and shapes the policies to guide 
the future development of the Postal Service. Delegations of authority 
do not relieve the Board of full responsibility for carrying out its 
duties and functions, and are revocable by the Governors in their 
exclusive judgment.

PART 2--GENERAL AND TECHNICAL PROVISIONS (ARTICLE II)

Sec.
2.1  Office of the Board of Governors.
2.2  Agent for receipt of process.
2.3  Offices.
2.4  Seal.
2.5  Authority.
2.6  Severability, amendment, repeal, and waiver of bylaws.

    Authority: 39 U.S.C. 202, 203, 205(c), 207, 401(2), as enacted 
by Pub. L. 91-375, and 5 U.S.C. 552b(f), (g), as enacted by Pub. L. 
94-409.


Sec. 2.1  Office of the Board of Governors.

    There shall be located in Washington, DC an Office of the Board of 
Governors of the United States Postal Service. It shall be the function 
of this Office to provide staff support for the Board, as directed by 
the Chairman of the Board, to enable the Board to carry out effectively 
its duties under the Reorganization Act.


Sec. 2.2  Agent for receipt of process.

    The General Counsel of the Postal Service shall act as agent for 
the receipt of legal process against the Postal Service, and as agent 
for the receipt of legal process against the Board of Governors or a 
member of the Board, in his or her official capacity, and all other 
officers and employees of the Postal Service to the extent that the 
process arises out of the official functions of those officers and 
employees. The General Counsel shall also issue public certifications 
concerning closed meetings of the Board as appropriate under 5 U.S.C. 
552b(f).


Sec. 2.3  Offices.

    The principal office of the Postal Service is located in 
Washington, DC, with such regional and other offices and places of 
business as the Postmaster General establishes from time to time, or 
the business of the Postal Service requires.


Sec. 2.4  Seal.

    (a) The Seal of the Postal Service is filed by the Board in the 
Office of the Secretary of State, and is required by 39 U.S.C. 207 to 
be judicially noticed. The Seal shall be in the custody of the General 
Counsel, who shall affix it to all commissions of officers of the 
Postal Service, and use it to authenticate records of the Postal 
Service and for other official purposes. The following describes the 
Seal adopted for the Postal Service:
    (1) A stylized bald eagle is poised for flight, facing to the 
viewer's right, above two horizontal bars between which are the words 
``U.S. MAIL'', surrounded by a square border with rounded corners 
consisting of the words ``UNITED STATES POSTAL SERVICE'' on the left, 
top, and right, and consisting of nine five-pointed stars on the base.
    (2) The color representation of the Seal shows, a white field on 
which the bald eagle appears in dark blue, the words ``U.S. MAIL'' in 
black, the bar above the words in red, the bar below in blue, and the 
entire border consisting of the words ``UNITED STATES POSTAL SERVICE'' 
and stars in ochre.

BILLING CODE 7710-12-P

TR18AP94.000


BILLING CODE 7710-12-C

    (b) The location and description of the Postal Service emblem is 
described at 39 CFR 221.9.


Sec. 2.5  Authority.

    These bylaws are adopted by the Board under the authority conferred 
upon the Postal Service by 39 U.S.C. 401(2) and 5 U.S.C. 552b(g).


Sec. 2.6  Severability, amendment, repeal, and waiver of bylaws.

    The invalidity of any provision of these bylaws does not affect the 
validity of the remaining provisions, and for this purpose these bylaws 
are severable. The Board may amend or repeal these bylaws at any 
special or regular meeting, provided that each member of the Board has 
received a written notice containing a statement of the proposed 
amendment or repeal at least 5 days before the meeting. The members of 
the Board may waive the 5 days' notice or the operation of any other 
provision of these bylaws by unanimous consent, if that action is not 
prohibited by law. The Secretary shall submit the text of any amendment 
to these bylaws for publication in the Federal Register as soon as 
practicable after the amendment is adopted by the Board.

PART 3--BOARD OF GOVERNORS (ARTICLE III)

Sec.
3.1  Responsibilities of Board.
3.2  Compensation of Board.
3.3  Matters reserved for decision by the Board.
3.4  Matters reserved for decision by the Governors.
3.5  Delegation of authority by Board.
3.6  Information furnished to Board--financial and operating 
reports.
3.7  Information furnished to Board--program review.
3.8  Information furnished to Board--special reports.

    Authority: 39 U.S.C. 202, 203, 205, 401(2), (10), 402, 1003, 
3013; 5 U.S.C. 552b(g), (j).


Sec. 3.1  Responsibilities of Board.

    The composition of the Board is described in 39 U.S.C. 202. The 
Board directs the exercise of the powers of the Postal Service, reviews 
the practices and policies of the Postal Service, and directs and 
controls the expenditures of the Postal Service. Consistent with the 
broad delegation of authority to the Postmaster General in Sec. 3.5 of 
these bylaws, and except for those powers, duties, or obligations which 
the Reorganization Act specifically vests in the Governors, as 
distinguished from the Board of Governors, the Board accomplishes its 
purposes by monitoring the operations and performance of the Postal 
Service, and by establishing basic objectives, broad policies, and 
long-range goals for the Postal Service.


Sec. 3.2  Compensation of Board.

    Section 202(a) of title 39 provides for the compensation of the 
Governors and for reimbursement for travel and reasonable expenses 
incurred in attending Board meetings. Compensation is provided for not 
more than 42 days of meetings per year.


Sec. 3.3  Matters reserved for decision by the Board.

    The following matters are reserved for decision by the Board of 
Governors:
    (a) Election of the Vice Chairman of the Board.
    (b) Adoption of, and amendments to, the bylaws of the Board.
    (c) (1) Approval of the annual Postal Service budget program in 
both tentative and final form, including requests for appropriations;
    (2) Approval of the annual Postal Service operating budget.
    (d) Approval of the annual financial statements of the Postal 
Service following receipt of the annual report of the Postal Service's 
independent, certified public accounting firm.
    (e) Approval of the Postal Service Five-Year Capital Investment 
Plans, including specific approval of each capital investment project, 
each new lease/rental agreement, and each research and development 
project exceeding such amount specified by resolution at the annual 
Board meeting in January. In the case of any project or agreement 
subject to the requirement of Board approval under this provision, the 
expenditure of any funds in excess of the amount previously authorized 
by the Board must be specifically approved by the Board. For the 
purpose of determining the cost of a capital investment project, lease/
rental agreement, or research and development project,
    (1) All such projects and agreements undertaken as part of a 
unitary plan (either for contemporaneous or sequential development in 
one of several locations) shall be considered one project or agreement, 
and
    (2) The cost of a lease/rental agreement shall be the present value 
of all lease payments over the term of the lease, including all periods 
covered by renewal options or all periods for which failure to renew 
imposes a penalty or a hardship such that renewal appears to be 
reasonably assured, plus the cost of any leasehold improvements planned 
in connection with the lease/rental agreement. The present value will 
be determined using the cost of capital of the Postal Service.
    (f) Authorization of the Postal Service to request the Postal Rate 
Commission to submit a recommended decision on changes in postal rates.
    (g) Authorization of the Postal Service to request the Postal Rate 
Commission to submit a recommended decision on changes in the mail 
classification schedule.
    (h) Determination of an effective date for changes in postal rates 
or mail classification.
    (i) Authorization of the Postal Service to request the Postal Rate 
Commission to submit an advisory opinion on a proposed change in the 
nature of postal services which will generally affect service on a 
nationwide or substantially nationwide basis.
    (j) Approval of any use of the authority of the Postal Service to 
borrow money under 39 U.S.C. 2005, except for short-term borrowings, 
having maturities of one year or less, assumed in the normal course of 
business.
    (k) Approval of the terms and conditions of each series of 
obligations issued by the Postal Service under 39 U.S.C. 2005, 
including the time and manner of sale and the underwriting 
arrangements, except for short-term borrowings, having maturities of 
one year or less, assumed in the normal course of business.
    (l) Approval of any use of the authority of the Postal Service to 
require the Secretary of the Treasury to purchase Postal Service 
obligations under 39 U.S.C. 2006(b), or to request the Secretary of the 
Treasury to pledge the full faith and credit of the Government of the 
United States for the payment of principal and interest on Postal 
Service obligations under 39 U.S.C. 2006(c).
    (m) Determination of the number of officers, described in 39 U.S.C. 
204 as Assistant Postmasters General, whether so denominated or not, as 
the Board authorizes by resolution.
    (n) Compensation of officers of the Postal Service whose positions 
are included in Level II of the Postal Career Executive Service.
    (o) Selection of an independent, certified public accounting firm 
to certify the accuracy of Postal Service financial statements as 
required by 39 U.S.C. 2008(e).
    (p) Approval of official statements adopting major policy positions 
or departing from established major policy positions, and of official 
positions on legislative proposals having a major impact on the Postal 
Service.
    (q) Approval of all major policy positions taken with the 
Department of Justice on petitioning the Supreme Court of the United 
States for writs of certiorari.
    (r) Approval and transmittal to the President and the Congress of 
the annual report of the Postmaster General under 39 U.S.C. 2402.
    (s) Approval and transmittal to the Congress of the annual report 
of the Board under 5 U.S.C. 552b(j).
    (t) Approval of the annual comprehensive statement of the Postal 
Service to Congress under 39 U.S.C. 2401(g).
    (u) Approval and transmittal to the Congress of the semi-annual 
report of the Postmaster General under 39 U.S.C. 3013, summarizing the 
investigative activities of the Postal Service.
    (v) All other matters that the Board may consider appropriate to 
reserve for its decision.


Sec. 3.4  Matters reserved for decision by the Governors.

    The following matters are reserved for decision by the Governors:
    (a) Appointment, pay, term of service, and removal of the 
Postmaster General, 39 U.S.C. 202(c).
    (b) Appointment, term of service, and removal of the Deputy 
Postmaster General (by the Governors and the Postmaster General, 39 
U.S.C. 202(d)); pay of the Deputy Postmaster General, 39 U.S.C. 202(d).
    (c) Election of the Chairman of the Board of Governors, 39 U.S.C. 
202(a).
    (d) Approval of the budget of the Postal Rate Commission, or 
adjustment of the total amount of the budget (by unanimous written vote 
of the Governors in office, 39 U.S.C. 3604(d)).
    (e) Action upon a recommended decision of the Postal Rate 
Commission, including action to approve, allow under protest, reject, 
or modify that decision, 39 U.S.C. 3625.
    (f) Concurrence of the Governors with the Postmaster General in the 
removal or transfer of the Chief Postal Inspector under 5 U.S.C. App. 
8E(f).
    (g) The Governors shall meet annually in closed session to discuss 
compensation, term of service, and appointment/removal of the Secretary 
and other necessary staff.


Sec. 3.5  Delegation of authority by Board.

    As authorized by 39 U.S.C. 402, these bylaws delegate to the 
Postmaster General the authority to exercise the powers of the Postal 
Service to the extent that this delegation of authority does not 
conflict with powers reserved to the Governors or to the Board by law, 
these bylaws, or resolutions adopted by the Board. Any of the powers 
delegated to the Postmaster General by these bylaws may be redelegated 
by the Postmaster General to any officer, employee, or agency of the 
Postal Service.


Sec. 3.6  Information furnished to Board--financial and operating 
reports.

    To enable the Board to monitor the performance of the Postal 
Service during the most recent accounting periods for which data are 
available, postal management shall furnish the Board (on a monthly 
basis) financial and operating statements for the fiscal year to date, 
addressing the following categories: (a) Mail volume by class; (b) 
income and expense by principal categories; (c) balance sheet 
information; (d) service quality measurements; (e) productivity 
measurements (reflecting workload and resource utilization); and (f) 
changes in postal costs. These statements shall include, where 
applicable, comparable figures for the previous year and the current 
year's plan.


Sec. 3.7  Information furnished to Board--program review.

    (a) To enable the Board to review the Postal Service operating 
program, postal management shall furnish the Board information on all 
aspects of the Postal Service budget plan, including:
    (1) The tentative and final annual budgets submitted to the Office 
of Management and Budget and the Congress, and amendments to the 
budget;
    (2) Five-year plans, annual operating and investment plans, and 
significant departures from estimates upon which the plans were based;
    (3) The need for rate increases or decreases and the progress of 
any pending rate cases and related litigation; and
    (4) Debt financing needs, including a review of all borrowings of 
the Postal Service from the U.S. Treasury and private sources.
    (b) To enable the Board to review the effectiveness of the Postal 
Service's equal employment opportunity program, performance data 
relating to this program shall be furnished to the Board at least 
quarterly. This data shall be categorized in such manner as the Board, 
from time to time, specifies.
    (c) Postal management shall also regularly furnish the Board 
information regarding major programs for improving postal service or 
reducing the cost of postal operations.
    (d) Management shall furnish to the Board information regarding any 
significant new program, major modification or initiative; any plan to 
offer a significant, new or unique product or system implementation; or 
any significant, new project not related directly to the core business 
function of the Postal Service. For the purposes of this paragraph, 
``significant'' means a project anticipated to have a notable or 
conspicuous impact on (1) corporate visibility or (2) the operating 
budget or capital investment budget.


Sec. 3.8  Information furnished to Board--special reports.

    To insure that the Board receives significant information of 
developments meriting its attention, postal management shall bring to 
the Board's attention the following matters:
    (a) Major developments in personnel areas, including but not 
limited to equal employment opportunity, career development and 
training, and grade and salary structures.
    (b) Major litigation activities. Postal management shall also 
notify the Board in a timely manner whenever it proposes to seek review 
by any United States Court of Appeals of an adverse judicial decision.
    (c) Any significant changes proposed in the Postal Service's system 
of accounts or methods of accounting.
    (d) Matters of special importance, including but not limited to 
important research and development initiatives, major changes in Postal 
Service organization or structure, major law enforcement activities, 
and other matters having a significant impact upon the relationship of 
the Postal Service with its employees, with any major branch of 
Government, or with the general public.
    (e) Information concerning any proposed grant of unique or 
exclusive licenses to use Postal Service intellectual properties (other 
than patents and technical data rights), or any proposed joint venture 
involving the use of such property.
    (f) Other matters having important policy implications.

PART 4--OFFICERS (ARTICLE IV)

Sec.
4.1  Chairman.
4.2  Vice  Chairman.
4.3  Postmaster General.
4.4  Deputy Postmaster General.
4.5  Assistant Postmasters General, General Counsel, Judicial 
Officer.
4.6  Chief Postal Inspector.
4.7  Secretary of the Board.

    Authority: 39 U.S.C. 202, 203, 205, 401(2), (10), 1003, 3013.


Sec. 4.1  Chairman.

    (a) The Chairman of the Board of Governors is elected by the 
Governors from among the members of the Board. The Chairman:
    (1) Shall preside at all regular and special meetings of the Board, 
and shall set the agenda for such meetings;
    (2) Shall select and appoint the Chairman and members of any 
committee properly established by the Board;
    (3) Serves a term that commences upon election and expires at the 
end of the first annual meeting following the meeting at which he or 
she was elected.
    (b) If the Postmaster General is elected Chairman of the Board, the 
Governors shall also elect one of their number to preside during 
proceedings dealing with matters upon which only the Governors may 
vote.


Sec. 4.2  Vice Chairman.

    The Vice Chairman is elected by the Board from among the members of 
the Board and shall perform the duties and exercise the powers of the 
Chairman during the Chairman's absence or disability. The Vice Chairman 
serves a term that commences upon election and expires at the end of 
the first annual meeting following the meeting at which he or she was 
elected.


Sec. 4.3  Postmaster General.

    The appointment and role of the Postmaster General are described at 
39 U.S.C. 202(c), 203. The Governors set the salary of the Postmaster 
General by resolution, subject to the limitations of 39 U.S.C. 1003(a).


Sec. 4.4  Deputy Postmaster General.

    The appointment and role of the Deputy Postmaster General are 
described at 39 U.S.C. 202(d), 203. The Deputy Postmaster General shall 
act as Postmaster General during the Postmaster General's absence or 
disability, and when a vacancy exists in the office of Postmaster 
General. The Governors set the salary of the Deputy Postmaster General 
by resolution, subject to the limitations of 39 U.S.C. 1003(a).


Sec. 4.5  Assistant Postmasters General, General Counsel, Judicial 
Officer.

    There are within the Postal Service a General Counsel, a Judicial 
Officer, and such number of officers, described in 39 U.S.C. 204 as 
Assistant Postmasters General, whether so denominated or not, as the 
Board authorizes by resolution. These officers are appointed by, and 
serve at the pleasure of, the Postmaster General.


Sec. 4.6  Chief Postal Inspector.

    The Postmaster General, in consultation with the Governors, 
appoints the Chief Postal Inspector, certain of whose powers and duties 
are delegated to the holder of that office by the Postmaster General, 
consistent with these bylaws and the Reorganization Act. The Chief 
Postal Inspector also holds the position of Inspector General, and for 
purposes of the Inspector General Act of 1978, as amended by Public Law 
100-504, 5 U.S.C. App. 8E(f), reports to and is under the general 
supervision of the Postmaster General. The Postmaster General has the 
power, with the concurrence of the Governors, to remove or transfer the 
Chief Postal Inspector to another position or location within the 
Postal Service. In the event of any such removal or transfer, the 
Postmaster General must promptly notify both Houses of the Congress in 
writing of the reasons for such removal or transfer.


Sec. 4.7  Secretary of the Board.

    The Secretary of the Board of Governors is appointed by the 
Governors and serves at the pleasure of the Governors. The Secretary 
shall be responsible for carrying out the functions of the Office of 
the Board of Governors, under the direction of the Chairman of the 
Board. The Secretary shall also issue notices of meetings of the Board 
and its committees, keep minutes of these meetings, and take steps 
necessary for compliance with all statutes and regulations dealing with 
public observation of meetings. The Secretary shall perform all those 
duties incident to this office, including those duties assigned by the 
Board or by the Chairman of the Board. The Chairman may designate such 
assistant secretaries as may be necessary to perform any of the duties 
of the Secretary.

PART 5--COMMITTEES (ARTICLE V)

Sec.
5.1  Establishment and appointment.
5.2  Committee procedure.

    Authority: 39 U.S.C. 202, 203, 204, 205, 401(2), (10), 1003, 
3013; 5 U.S.C. 552b (a), (b), (g).


Sec. 5.1  Establishment and appointment.

    From time to time the Board may establish by resolution special and 
standing committees of one or more members of the Board. The Board 
shall specify, in the resolution establishing any committee, whether 
the committee is authorized to submit recommendations or preliminary 
decisions to the Board, to conduct hearings for the Board, or otherwise 
to take action on behalf of the Board. Each committee may exercise only 
those duties, functions, and powers prescribed from time to time by the 
Board, and the Board may affirm, alter, or revoke any action of any 
committee. Each member of the Board may have access to all of the 
information and records of any committee at any time. The Chairman of 
the Board shall appoint the chairman and members of each committee, who 
serve terms which expire at the end of each annual meeting. Each 
committee chairman may assign responsibilities to members of the 
committee that are considered appropriate. The committee chairman, or 
the chairman's designee, shall preside at all meetings of the 
committee.


Sec. 5.2  Committee procedure.

    Each committee establishes its own rules of procedure, consistent 
with these bylaws, and meets as provided in its rules. A majority of 
the members of a committee constitute a quorum, and may take action by 
majority vote of the members present. Except as specifically provided 
by statute, every portion of every meeting of every committee of more 
than one member, which is authorized to submit recommendations or 
preliminary decisions to the Board, to conduct hearings for the Board, 
or otherwise to take action on behalf of the Board, is open to public 
observation, and is subject to the requirements of Secs. 7.1 through 
7.8 of these bylaws.

PART 6--MEETINGS (ARTICLE VI)

Sec.
6.1  Regular meetings, annual meeting.
6.2  Special meetings.
6.3  Notice of meetings.
6.4  Attendance by conference telephone call.
6.5  Minutes of meetings.
6.6  Quorum and voting.

    Authority: 39 U.S.C. 202, 205, 401(2), (10), 1003, 3013; 5 U.S.C 
552b (e), (g).


Sec. 6.1  Regular meetings, annual meeting.

    The Board shall meet regularly each month and shall meet normally 
on the first Monday and Tuesday of each month. The first regular 
meeting of each calendar year is designated as the annual meeting. 
Consistent with the provisions of Sec. 7.5 of these bylaws, the time or 
place of a regular or annual meeting may be varied by a recorded 
unanimous vote of the entire membership of the Board, with the earliest 
practicable notice to the Secretary. The Secretary shall distribute to 
the members an agenda setting forth the proposed subject matter for any 
regular or annual meeting in advance of the meeting.


Sec. 6.2  Special meetings.

    Consistent with the provisions of Sec. 7.5 of these bylaws, the 
Chairman may call a special meeting of the Board at any place in the 
United States, with not less than 8 days' notice to the other members 
of the Board and to the Secretary, specifying the time, date, place, 
and subject matter of the meeting. By recorded vote a majority of the 
members of the Board may call a special meeting of the Board at any 
place in the United States, with the earliest practicable notice to the 
other members of the Board and to the Secretary, specifying the time, 
date, place and subject matter of the meeting.


Sec. 6.3  Notice of meetings.

    The Chairman or the members of the Board may give the notice 
required under Sec. 6.1 or Sec. 6.2 of these bylaws in oral or written 
form. Oral notice to a member may be delivered by telephone and is 
sufficient if made to the member personally or to a responsible person 
in the member's home or office. Any oral notice to a member must be 
subsequently confirmed by written notice. Written notice to a member 
may be delivered by telegram or by mail sent by the fastest regular 
delivery method addressed to the member's address of record filed with 
the Secretary, and except for written notice confirming a previous oral 
notice, must be sent in sufficient time to reach that address at least 
2 days before the meeting date under normal delivery conditions. A 
member waives notice of any meeting by attending the meeting, and may 
otherwise waive notice of any meeting at any time. Neither oral nor 
written notice to the Secretary is sufficient until actually received 
by the Secretary. The Secretary may not waive notice of any meeting.


Sec. 6.4  Attendance by conference telephone call.

    Unless prohibited by law or by these bylaws, a member of the Board 
may participate in a meeting of the Board by conference telephone or 
similar communication equipment which enables all persons participating 
in the meeting to hear each other and which permits full compliance 
with the provisions of these bylaws concerning public observation of 
meetings. Attendance at a meeting by this method constitutes presence 
at the meeting, except that no Governor may receive compensation for 
any meeting attended in this manner.


Sec. 6.5  Minutes of meetings.

    The Secretary shall preserve the minutes of Board meetings prepared 
under Sec. 4.7 of these bylaws. After the minutes of any meeting are 
approved by the Board, the Secretary shall promptly make available to 
the public, in the Communications Department at Postal Service 
Headquarters, or in another place easily accessible to the public, 
copies of the minutes, except for those portions which contain 
information inappropriate for public disclosure under 5 U.S.C. 552(b) 
or 39 U.S.C. 410(c).


Sec. 6.6  Quorum and voting.

    As provided by 39 U.S.C. 205(c), the Board acts by resolution upon 
a majority vote of those members who are present. No proxies are 
allowed in any vote of the members of the Board. Any 6 members 
constitute a quorum for the transaction of business by the Board, 
except:
    (a) In the appointment or removal of the Postmaster General, and in 
setting the compensation of the Postmaster General and Deputy 
Postmaster General, 39 U.S.C. 205(c)(1) requires a favorable vote of an 
absolute majority of the Governors in office;
    (b) In the appointment or removal of the Deputy Postmaster General, 
39 U.S.C. 205(c)(2) requires a favorable vote of an absolute majority 
of the Governors in office and the Postmaster General;
    (c) In the appointment, removal, or in the setting of the 
compensation of the Secretary, Assistant Secretary, or other necessary 
staff, a favorable vote of an absolute majority of the Governors in 
office is required;
    (d) In the adjustment of the total budget of the Postal Rate 
Commission, 39 U.S.C. 3604(c) requires a unanimous written vote of the 
Governors in office;
    (e) In the modification of a recommended decision of the Postal 
Rate Commission, 39 U.S.C. 3625 requires a unanimous written vote of 
the Governors in office; and
    (f) In the approval, allowance under protest, or rejection of a 
recommended decision of the Postal Rate Commission, the Governors act 
upon a majority vote of the Governors present, and the required quorum 
of 6 members must include at least 5 Governors;
    (g) In the determination to close a portion of a meeting or to 
withhold information concerning a meeting, 5 U.S.C. 552b(d)(1) requires 
a vote of a majority of the entire membership of the Board; and
    (h) In the decision to call a meeting with less than a week's 
notice, 5 U.S.C. 552b(e)(1) requires a vote of a majority of the 
members of the Board. In the decision to change the subject matter of a 
meeting, or the determination to open or close a meeting, 5 U.S.C. 
552b(e)(2) requires a vote of a majority of the entire membership of 
the Board.

PART 7--PUBLIC OBSERVATION (ARTICLE VII)

Sec.
7.1  Definitions.
7.2  Open meetings.
7.3  Exceptions.
7.4  Procedure for closing a meeting.
7.5  Public notice of meetings, subsequent changes.
7.6  Certification and transcripts of closed meetings.
7.7  Enforcement.
7.8  Open meetings, Freedom of Information, and Privacy of 
Information.

    Authority: 39 U.S.C. 401(a), as enacted by Pub. L. 91-375, and 5 
U.S.C. 552b(a)-(m) as enacted by Pub. L. 94-409.


Sec. 7.1  Definitions.

    For purposes of Secs. 7.2 through 7.8 of these bylaws:
    (a) The term ``Board'' means the Board of Governors, and any 
subdivision or committee of the Board authorized under Sec. 5.1 of 
these bylaws to submit recommendations or preliminary decisions to the 
Board, to conduct hearings for the Board, or otherwise to take action 
on behalf of the Board.
    (b) The term ``meeting'' means the deliberations of at least the 
number of individual members required to take action on behalf of the 
Board under Sec. 5.2 or Sec. 6.5 of these bylaws, where such 
deliberations determine or result in the joint conduct or disposition 
of the official business of the Board. The term ``meeting'' does not 
include any procedural deliberations required or permitted by 
Secs. 6.1, 6.2, 7.4, or Sec. 7.5 of these bylaws.


Sec. 7.2  Open meetings.

    (a) It is the policy of the United States, established in section 2 
of the Government in the Sunshine Act, Public Law 94-409, 90 Stat. 
1241, that the public is entitled to the fullest practicable 
information regarding the decisionmaking processes of the Federal 
Government. The Postal Service is charged to provide the public with 
this information while protecting the rights of individuals and the 
ability of the Government to carry out its responsibilities. 
Accordingly, except as specifically permitted by statute, every portion 
of every meeting of the Board of Governors is open to public 
observation.
    (b) Except as provided in Sec. 7.3 of these bylaws, every portion 
of every meeting of the Board is open to public observation. Members of 
the Board may not jointly conduct or dispose of business of the Board 
without complying with Secs. 7.2 through 7.8 of these bylaws. Members 
of the public may obtain access to documents considered at meetings to 
the extent provided in the regulations of the Postal Service concerning 
the release of information.
    (c) Without the permission of a majority of the Board, no person 
may participate in, film, televise, or broadcast any portion of any 
meeting of the Board. Any person may electronically record or 
photograph a meeting, as long as that action does not tend to impede or 
disturb the members of the Board in the performance of their duties, or 
members of the public while attempting to attend or observe a meeting 
of the Board. The rules and penalties of 39 CFR 232.6, concerning 
conduct on postal property, apply with regard to meetings of the Board.


Sec. 7.3  Exceptions.

    Section 7.2 of these bylaws does not apply to a portion of a 
meeting, and Secs. 7.4 and 7.5 do not apply to information concerning 
the meeting which otherwise would be required to be disclosed to the 
public, if the Board properly determines that the public interest does 
not require otherwise, and that such portion of the meeting or the 
disclosure of such information is likely to:
    (a) Disclose matters that are (1) specifically authorized under 
criteria established by an Executive order to be kept secret in the 
interests of national defense or foreign policy, and (2) in fact 
properly classified under that Executive order;
    (b) Relate solely to the internal personnel rules and practices of 
the Postal Service, including the Postal Service position in 
negotiations or consultations with employee organizations.
    (c) Disclose matters specifically exempted from disclosure by 
statute (other than the Freedom of Information Act, 5 U.S.C. 552), 
provided that the statute (1) requires that the matters be withheld 
from the public in such a manner as to leave no discretion on the 
issue, or (2) establishes particular criteria for withholding or refers 
to particular types of matters to be withheld;
    (d) Disclose trade secrets and commercial or financial information 
obtained from a person and privileged or confidential, such as market 
information pertinent to Postal Service borrowing or investments, 
technical or patent information related to postal mechanization, or 
commercial information related to purchases of real estate;
    (e) Involve accusing any person of a crime, or formally censuring 
any person;
    (f) Disclose information of a personal nature, such as personal or 
medical data regarding any individual if disclosure would constitute a 
clearly unwarranted invasion of personal privacy;
    (g) Disclose investigatory records compiled for law enforcement 
purposes, or information which if written would be contained in those 
records, but only to the extent that the production of those records or 
information would (1) interfere with enforcement proceedings, (2) 
deprive a person of a right to a fair trial or an impartial 
adjudication, (3) constitute an unwarranted invasion of personal 
privacy, (4) disclose the identity of a confidential source and, in the 
case of a record compiled by a criminal law enforcement authority in 
the course of a criminal investigation, or by an agency conducting a 
lawful national security intelligence investigation, confidential 
information furnished only by the confidential source, (5) disclose 
investigative techniques and procedures, or (6) endanger the life or 
physical safety of law enforcement personnel;
    (h) Disclose information contained in or related to examination, 
operating, or condition reports prepared by, on behalf of, or for the 
use of an agency responsible for the regulation or supervision of 
financial institutions;
    (i) Disclose information the premature disclosure of which would be 
likely significantly to frustrate implementation of a proposed action 
of the Board, such as information relating to the negotiation of a 
labor contract or proposed Postal Service procurement activity, except 
that this provision does not apply in any instance where (1) the Postal 
Service has already disclosed to the public the content or nature of 
the proposed action, or (2) the Postal Service is required by law to 
make such disclosure on its own initiative before taking final action 
on the proposal; or
    (j) Specifically concern the issuance of a subpoena by the Postal 
Service, or the participation of the Postal Service in a civil action 
or proceeding, such as a postal rate or classification proceeding, an 
action in a foreign court or international tribunal, or an arbitration, 
or the initiation, conduct, or disposition by the Postal Service of a 
particular case of formal adjudication under the procedures of 5 U.S.C. 
554 or otherwise involving a determination on the record after 
opportunity for a hearing.


Sec. 7.4  Procedure for closing a meeting.

    (a) A majority of the entire membership of the Board may vote to 
close a portion of a meeting or to withhold information concerning a 
meeting under the provisions of Sec. 7.3 of these bylaws. The members 
shall take a separate vote with respect to each meeting a portion of 
which is proposed to be closed to the public, or with respect to any 
information which is proposed to be withheld, and shall make every 
reasonable effort to take any such vote at least 8 days before the date 
of the meeting involved. The members may take a single vote with 
respect to a series of meetings, portions of which are proposed to be 
closed to the public, or with respect to information concerning the 
series, so long as each portion of a meeting in the series involves the 
same particular matters, and no portion of any meeting is scheduled to 
be held more than 30 days after the initial portion of the first 
meeting in the series.
    (b) Whenever any person whose interest may be directly affected by 
a portion of a meeting requests that the Board close that portion to 
the public for any of the reasons referred to in Sec. 7.3 (e), (f), or 
(g) of these bylaws, upon request of any one of its members the Board 
shall vote by recorded vote whether to close that portion of the 
meeting.
    (c) The Secretary shall record the vote of each member 
participating in a vote under paragraph (a) or (b) of this section. 
Within 1 day of any vote under paragraph (a) or (b) of this section, 
the Secretary shall make publicly available a written copy of the vote 
showing the vote of each member on the question. If a portion of a 
meeting is to be closed to the public, the Secretary shall, within 1 
day of the vote, make publicly available a full written explanation of 
the action closing the portion, together with a list of all persons 
expected to attend the meeting and their affiliation.
    (d) If a committee of the Board determines that a majority of its 
meetings may properly be closed to the public for any combination of 
reasons referred to in Sec. 7.3 (d), (h), or (j) of these bylaws, it 
may close a meeting or a portion of a meeting by a recorded vote of a 
majority of its members at the beginning of the meeting or portion in 
question. The Secretary shall promptly make available to the public a 
written copy of the vote showing the vote of each member on the 
question. Paragraphs (a), (b), and (c) of this section, and Sec. 7.5 of 
these bylaws do not apply to any meeting or portion of a meeting closed 
under this paragraph. However, at the earliest practicable time, the 
Secretary shall publicly announce the time, place, and subject matter 
of the meeting and each of its portions.
    (e) Immediately following each public announcement required under 
paragraphs (c) and (d) of this section, the Secretary shall submit for 
publication in the Federal Register the text of the announcement or the 
information made available. The Secretary shall also submit the 
announcement or information to the Postal Service Public and Employee 
Communications Department for dissemination to the public.


Sec. 7.5  Public notice of meetings, subsequent changes.

    (a) At least one week before any meeting of the Board, the 
Secretary shall publicly announce the time, date, place, and subject 
matter of the meeting, whether it is to be open or closed to the 
public, and the name and phone number of the official designated by the 
Board to respond to requests for information about the meeting.
    (b) By a recorded vote, a majority of the members of the Board may 
determine that the business of the Board requires a meeting to be 
called with less than a week's notice. At the earliest practicable 
time, the Secretary shall publicly announce the time, date, place, and 
subject matter of the meeting, and whether it is to be open or closed 
to the public.
    (c) Following the public announcement required by paragraphs (a) or 
(b) of this section:
    (1) As provided in Sec. 6.1 of these bylaws, the Board may change 
the time or place of a meeting. At the earliest practicable time, the 
Secretary shall publicly announce the change.
    (2) A majority of the entire membership of the Board may change the 
subject matter of a meeting, or the determination to open or close a 
meeting to the public, if it determines by a recorded vote that the 
change is required by the business of the Board and that no earlier 
announcement of the change was possible. At the earliest practicable 
time, the Secretary shall publicly announce the change, and the vote of 
each member upon the change.
    (d) Immediately following each public announcement required under 
paragraphs (a), (b), or (c) of this section, the Secretary shall submit 
for publication in the Federal Register a notice of the time, date, 
place, and subject matter of the meeting, whether the meeting is open 
or closed, any change in the preceding, and the name and phone number 
of the official designated by the Board to respond to requests for 
information about the meeting. The Secretary shall also submit the 
announcement and information to the Postal Service Public and Employee 
Communications Department for dissemination to the public.


Sec. 7.6  Certification and transcripts of closed meetings.

    (a) At the beginning of every meeting or portion of a meeting 
closed under Sec. 7.3 (a) through (j) of these bylaws, the General 
Counsel shall publicly certify that, in his or her opinion, the meeting 
or portion of the meeting may be closed to the public, stating each 
relevant exemptive provision. The Secretary shall retain this 
certification, together with a statement from the officer presiding at 
the meeting which sets forth the time and place of the meeting, and the 
persons present.
    (b) The Secretary shall arrange for a complete transcript or 
electronic recording adequate to record fully the proceedings to be 
made of each meeting or portion of a meeting of the Board which is 
closed to the public. The Secretary shall maintain a complete verbatim 
copy of the transcript, or a complete electronic recording of each 
meeting or portion of a meeting closed to the public for at least 2 
years after the meeting, or for 1 year after the conclusion of any 
Postal Service proceeding with respect to which the meeting was held, 
whichever occurs later.
    (c) Except for those items of discussion or testimony which the 
Board, by a majority vote of those members who are present, determines 
to contain information which may be withheld under Sec. 7.3 of these 
bylaws, the Secretary shall promptly make available to the public, in 
the Public and Employee Communications Department at Postal Service 
Headquarters, or in another place easily accessible to the public, the 
transcript or electronic recording of a closed meeting, including the 
testimony of any witnesses received at the meeting. The Secretary shall 
furnish a copy of this transcript, or a transcription of this 
electronic recording disclosing the identity of each speaker, to any 
person at the actual cost of duplication or transcription.


Sec. 7.7  Enforcement.

    (a) Under 5 U.S.C. 552b(g), any person may bring a proceeding in 
the United States Court of Appeals for the District of Columbia to set 
aside any provisions of these bylaws which are not in accord with the 
requirements of 5 U.S.C. 552b (a)-(f) and to require the promulgation 
of provisions that are in accord with those requirements.
    (b) Under 5 U.S.C. 552b(h) any person may bring a civil action 
against the Board in an appropriate U.S. District Court to obtain 
judicial review of the alleged failure of the Board to comply with 5 
U.S.C. 552b (a)-(f). The burden is on the Board to sustain its action. 
The court may grant appropriate equitable relief, including enjoining 
future violations, or ordering the Board to make public information 
improperly withheld from the public.
    (c) Under 5 U.S.C. 552b(i) the court may assess against any party 
reasonable attorney fees and other litigation costs reasonably incurred 
by any other party who substantially prevails, except that the court 
may assess costs against the plaintiff only if the court finds that he 
initiated the suit primarily for frivolous or dilatory purposes.


Sec. 7.8  Open meetings, Freedom of Information, and Privacy of 
Information.

    The provisions of 5 U.S.C. 552b(c) (1)-(10), enacted by Public Law 
94-409, the Government in the Sunshine Act, govern in the case of any 
request under the Freedom of Information Act, 5 U.S.C. 552, to copy or 
to inspect the transcripts or electronic recordings described in 
Sec. 7.6 of these bylaws. Nothing in 5 U.S.C. 552b authorizes the Board 
to withhold from any individual any record, including the transcripts 
or electronic recordings described in Sec. 7.6 of these bylaws, to 
which the individual may otherwise have access under 5 U.S.C. 552a, 
enacted by the Privacy Act of 1974, Public Law 93-579.

PART 8--[RESERVED]

    2. Part 11 is added, reading as follows:

PART 11--ADVISORY BOARDS [ARTICLE XI]

Sec.
11.1  Establishment.

    Authority: 39 U.S.C. 202, 203, 204, 205, 401(2), (10), 402, 403, 
1003, 3013, 5 U.S.C. 552b(a), (b) (g).


Sec. 11.1  Establishment.

    The Board of Governors may create such advisory boards as it may 
deem appropriate and may appoint persons to serve thereon or may 
delegate such latter authority to the Postmaster General.

PART 221--GENERAL PRINCIPLES OF ORGANIZATION

    3. The authority citation for part 221 is revised to read as 
follows:

    Authority: 39 U.S.C. 201, 202, 203, 204, 207, 401(2), 402, 403, 
404; Inspector General Act of 1978, as amended (Pub. L. 95-452, as 
amended), 5 U.S.C. App. 3.

    4. Section 221.9 is added to read as follows:


Sec. 221.9  Postal Service emblem.

    The Postal Service emblem, which is identical with the seal, is 
registered as a trademark and service mark by the U.S. Patent Office. 
Except for the emblem on official stationery, the emblem must bear one 
of the following notations: ``Reg. U.S. Pat. Off.'', ``Registered in 
U.S. Patent Office'', or the letter R enclosed within a circle.
Stanley F. Mires,
Chief Counsel, Legislative Division.
[FR Doc. 94-8589 Filed 4-12-94; 8:45 am]
BILLING CODE 7710-12-P