Benjamin Y. Cooper, Executive Vice President of Public Policy at PIA/GATF, reported that the Postal Reform legislation pending in the House and the Senate is moving toward passage and could be enacted into law in 2005. If it is not, the implications for printing and mailing are significant. With 47 percent of print dependent upon the postal distribution system, increases in rates of the magnitude that would be expected absent postal reform could result in significant losses in the industry.

While postal expertise is extremely valuable in the process of writing a new law, political leaders in the House, Senate and White House will make the final decisions, resolving very important issues in a conference committee. The conference committee is one of the best examples of the role of politics in public policy issues. Individuals who are not experts on the issues will enter a room, close the door and make decisions. They will rely on their staff, people who have been their strong allies in the private sector, and some government officials to arrive at an agreed compromise. The organizations that will have the most to say in the shaping of this new document will likely be those who have been the most politically active in the process and active with the members of Congress, who are in the room. This certainly increases the importance of political action.

Members of Congress who are our leaders in the postal reform fight seek re-election like other representatives and Senators. It is to be expected that, as we have asked them to help us when the doors to the conference committee are closed, they will ask us for help when they are facing re-election. Similarly, it is important to let these officials know what role a company and industry have in the state or district.

The industry has been well represented in Washington by a well-organized coalition of companies and associations. These organizations now will need the companies outside the Beltway of Washington to communicate the importance of these issues to their elected officials.

The new postal reform legislation is expected to include several significant provisions, including a rate cap at the class level tied to the CPI, an improved worksharing section, an enhanced role for the re-named Postal Regulatory Commission, and addressing the postal retiree liabilities. This last issue is still being negotiated. While there is broad support in Congress for the legislation, the Administration is still opposed to the way the legislation addresses the pension issues. Likewise, the House and Senate Budget Committees are still troubled by the “budget score” of the legislation.

We continue to believe legislation will be passed this year and believe we may have to continue to address this issue over the next few years by “fine tuning” the bill.

Source: IDEAlliance