Postal Reform Act hits a snag
The Senate Postal Reform Act - or PRA - recently hit yet another snag when discussion of the bill was postponed during a Homeland Security & Governmental Affairs Committee meeting. Members cite the absence of the bill's author and ranking member Sen. Tom Coburn (R-Okla.) as the reason behind the postponement.
In a public statement, Sen. Tom Carper (D-Del.) reassured voters discussion of the bill would take place during the committee's next meeting on November 20; however, several of the bill's stakeholders, including USPS managers, fear the new date could result in a vote for the bill being further pushed into the next year.
"Certainly larger, more visible issues like the debt ceiling fight and the government shutdown have gotten in the way," said Art Sackler, co-coordinator of the Coalition for a 21st Century Postal Service, a group of larger postal customers, including FedEx. "But the Postal Service is hanging by a thread, and Congress needs to move forward with legislation to address the problems the agency faces."
There are currently two versions of the bill, one in the House and one in the Senate, and USPS managers are strongly backing Coburn's. Managers hope passing the bill would mean the stripping of the CPI rate cap and the acquisition of rate-setting powers.
Mailers back the House bill
A second version of the PRA born in the House is being strongly backed by mailers.
Rep. Darrell Issa's (R-Calif.) version of the bill would retain the rate cap and establish a temporary postal management oversight board.
The bill has already been marked up and approved by the House Oversight and Government Reform Committee, but has yet to be introduced for a vote. Hamilton Davison, president and executive director of the American Catalog Mailers Association, recently told Direct Mail News the stifling of the legislation has been the result of representatives failing to circulate the bill's language. There are still several House members with concerns over whether or not the primary stakeholders of the legislation (i.e. USPS managers, mailers and postal unions) would be able to reach an agreement.
For the many advertisers with significant direct mail campaigns, the economical implications of postal reform are considerable. To minimize any negative effects and maximize any positive ones, businesses can invest in mailing software, which can consolidate postal operations and automate a number of the more labor intensive aspects.