NALC: Proposed budget preserves six-day mail delivery and offers postal relief

From the National Association of Letter Carriers:

The U.S. Postal Service received some good news from the Obama administration Feb. 14 when the White House released its proposed budget for the 2012 fiscal year.

“By proposing significant short-term financial help for the Postal Service in his budget, President Obama clearly stands with the NALC and our goal of getting the Service back on the right financial track,” NALC President Fredric V. Rolando said. “But we all need to keep one thing in mind—that this budget proposal is just that: a proposal.

“With a divided Congress, there’s little doubt that we face an uphill fight for real pre-funding reform,” he said. “But we believe that a strong Postal Service is a bipartisan policy."

Obama’s proposed budget still calls for pre-funding future postal retiree health benefits as mandated by the 2006 Postal Accountability and Enhancement Act, but on a more reasonable payment schedule. It also calls for reducing the Postal Service’s overall pre-funding payment obligation for the 2011 fiscal year by $4 billion.

“These steps to provide USPS with the breathing room necessary to continue restructuring its operations without severe disruptions must be coupled with meaningful reforms to its business model to make USPS viable for the medium and long term,” the budget reads.

Another promising part of the 2012 budget proposal is the inclusion of a provision directing the Office of Personnel Management to refund the almost $7 billion surplus in the Postal Service’s Federal Employees Retirement System account over the next 30 years, beginning with a $550 million payment this year. While the NALC welcomes the administration’s recognition that the FERS surplus should be returned to the USPS, we believe this policy should be applied to the much bigger CSRS surplus (estimated to be between $55 billion and $75 billion) and that the funds should be returned much more quickly so that they can be used to cover the cost of the pre-funding payments.

Meanwhile, in a clear victory for letter carrier activism over the past year, the language preserving six-day delivery has once again been included in appropriations bills brought before Congress. In setting the amount for “revenue forgone” to cover the costs of free and reduced rate mail, the 2012 spending plan says payments will be made “provided that 6-day delivery and rural delivery of mail shall continue at not less than the 1983 level.”

“We continue to hit hard the message that six-day mail delivery is good for America, and our representatives are hearing us,” President Rolando said. “But real letter carrier activists understand that these kinds of victories are temporary, and that we need to keep spreading the six-day message for as long as the Postal Service presses for short-sighted service cuts.”

The president’s budget also addresses reforms of the Federal Employee Compensation Act and calls for eliminating small annual payments to the Postal Service for past revenue forgone appropriations that were not paid to cover the cost of fee mail to the blind. NALC is studying the administration’s FECA proposal and will report full details in the days and weeks ahead, and we will oppose the cut in revenue forgone payments.

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  • usps

    The Money been spent it gone!!

  • brian

    Thanks for clearing that up, usps! Always love the retards that post here about how the CSRS overcharges are “gone”, like a big sack of dollar bills that someone’s been pilfering. Hate to break it to you, but what the grownups are talking about is an accounting entry, not 75 billion one dollar bills in a gigantic canvas sack with a giant dollar sign on it. Please go back to watching your cartoons and let the adults talk amongst themselves, OK?

  • public misinformed

    Enron was also about “accounting entry” issues. Hmmm. The prefunding issue is one that the media has essentially ignored and thus the average member of the public does not know the true reasons behind the publicized 8 billion loss last year and years before. If the public knew of the “accounting entry” scam they would be livid!

  • herman

    This is JUST a proposal…….that’s all. DONT MEAN CRAP.

  • joe says

    DO NOT ACCEPT the revenue forgone subsidy from Congress (which is our option to accept or decline) and then we caqn go to 5 day delivery, close post offices as needed and tell the overtime leeches (who survive on article 8) and congress to kiss our asses!!!!

  • joe says

    Article 8

  • brian

    Yes, public, I suppose the same phrase was used in some paragraph of someone’s coverage of the Enron scandal. They probably also used some other identical words, like “the” and “dollars” and “so” and “but”.
    What exactly does that have to do with what we’re discussing?
    and herman- as always, thank you for clarifying everything!

  • jim jackson

    I want 5 day delivery. Most of the people on my route say they would rather lose one day of service rather than have another price increase on stamps.

  • rca small town

    Thanks a lot jim jackson so where does that leave the rca who has given up their lives for 10 or more yrs. waiting on a full time job..Glad to know we are in this together.. :/

  • brian

    So jim- 5 day delivery means the price of postage will never go up again? Right.

  • Br from pa

    So Jim…..thanks for caring for the part timers busting their tails to make enough to feed their kids…moron

  • joe says

    there will be a need for part timers and RCAs because there will still be retirements, sick leave annual leave, injuries and seperations….we just will not have to hire for a longer period and quite frankly part timers with less than 8 years are not protected now…sorry, we all been there….

  • wilber

    Would be nice to see less supervision(higher level) and therefore seeing more productive employees making regular.Mainly part -time flexies– Sure is a lot more supervision than there needs to be (non-productive) help Employees like the many part time flexibles who have been WAITING for their wishes to come true constantly asking their unions –when they will be made regular, We have all been there remember the hempstead act?