This measure would urge the United States Congress to require the United States Postal Service to take all appropriate measures to restore service standards in effect as of July 1, 2012, would urge Congress to place a moratorium on planned shutdowns of mail sorting centers, and would urge Congress to oppose any postal reform legislation that does not continue the mandate for 6-day delivery service or protect door-to-door delivery as it currently exists. The measure would also urge the Secretary of State to publicly oppose changes in the United States Postal Service that negatively impact the rights of California voters who vote by an absentee ballot.

This measure would urge the United States Congress to require the United States Postal Service to take all appropriate measures to restore service standards in effect as of July 1, 2012, would urge Congress to place a moratorium on planned shutdowns of mail sorting centers, and would urge Congress to oppose any postal reform legislation that does not continue the mandate for 6-day delivery service or protect door-to-door delivery as it currently exists. The measure would also urge the Secretary of State to publicly oppose changes in the United States Postal Service that negatively impact the rights of California voters who vote by an absentee ballot.

This measure would urge the United States Congress to require the United States Postal Service to take all appropriate measures to restore service standards in effect as of July 1, 2012, urge Congress to place a moratorium on planned shutdowns of mail sorting centers, and urge Congress to oppose any postal reform legislation that does not continue the mandate for 6-day delivery service or protect door-to-door delivery as it currently exists. The measure would also urge the Secretary of State to publicly oppose changes in the United Stated Postal Service that negatively impact the rights of California voters who vote by an absentee ballot.

WHEREAS, On January 5, 2015, the United States Postal Service implemented lower service standards to virtually eliminate overnight delivery of first class mail and periodicals, and further delay most other mail; and

WHEREAS, Delayed mail negatively impacts businesses, hurts residents, communities, and the economy, and drives customers away, resulting in lower revenue and damaging the financial situation of the United States Postal Service; and

WHEREAS, Robust service standards implemented by the United States Postal Service are essential to providing prompt and timely delivery of all mail, including online purchases, local newspapers, newsletters, bill payments, letters, invitations, packages, and medicines; and

WHEREAS, Planned shutdowns of mail sorting centers would seriously affect hundreds of employees, over 22 percent of whom are United States military veterans, many with disabilities; and

WHEREAS, At least one of these mail sorting facilities, located in Eureka, California, is planning on shifting its mail distribution, including absentee ballots, to Oregon, which contradicts the obligation of the United States Postal Service to protect voting by mail throughout California, which is now commonplace and will remain essential to our democracy; and

WHEREAS, The United States Postal Service has the authority to reinstate overnight delivery standards to hasten mail delivery and prevent shutdowns of mail sorting centers; now, therefore, be it

Resolved by the Senate and the Assembly of the State of California, jointly, That the Legislature urges the United States Congress to require the United States Postal Service to restore service standards in effect as of July 1, 2012, and place a moratorium on planned shutdowns of mail sorting centers, and further urges the United States Congress to oppose any postal reform legislation that does not continue the mandate for six-day delivery service or does not protect door-to-door delivery as it currently exists; and be it further

Resolved, That the Legislature urges the Secretary of State to publicly oppose changes in the United States Postal Service that negatively impact the rights of California voters who vote by an absentee ballot; and be it further

Resolved, That the Secretary of the Senate transmit copies of this resolution to each Senator and Representative from California in the Congress of the United States, to the Secretary of State, to the United States Postmaster General, and to the author for appropriate distribution.

WHEREAS, On January 5, 2015, the United States Postal Service implemented lower service standards to virtually eliminate overnight delivery of first class mail and periodicals, and further delay most other mail; and

WHEREAS, Delayed mail negatively impacts businesses, hurts residents, communities, and the economy, and drives customers away, resulting in lower revenue and damaging the financial situation of the United States Postal Service; and

WHEREAS, Robust service standards implemented by the United States Postal Service are essential to providing prompt and timely delivery of all mail, including online purchases, local newspapers, newsletters, bill payments, letters, invitations, packages, and medicines; and

WHEREAS, Planned shutdowns of mail sorting centers would seriously affect hundreds of employees, over 22 percent of whom are United States military veterans, many with disabilities; and

WHEREAS, At least one of these mail sorting facilities, located in Eureka, California, is planning on shifting its mail distribution, including absentee ballots, to Oregon, which contradicts the obligation of the United States Postal Service to protect voting by mail throughout California, which is now commonplace and will remain essential to our democracy; and

WHEREAS, The United States Postal Service has the authority to reinstate overnight delivery standards to hasten mail delivery and prevent shutdowns of mail sorting centers; now, therefore, be it

Resolved by the Senate and the Assembly of the State of California, jointly, That the Legislature urges the United States Congress to require the United States Postal Service to restore service standards in effect as of July 1, 2012, and place a moratorium on planned shutdowns of mail sorting centers, and further urges the United States Congress to oppose any postal reform legislation that does not continue the mandate for six-day delivery service or does not protect door-to-door delivery as it currently exists; and be it further

Resolved, That the Legislature urges the Secretary of State to publicly oppose changes in the United States Postal Service that negatively impact the rights of California voters who vote by an absentee ballot; and be it further

Resolved, That the Secretary of the Senate transmit copies of this resolution to each Senator and Representative from California in the Congress of the United States, to the Secretary of State, to the United States Postmaster General, and to the author for appropriate distribution.

WHEREAS, On January 5, 2015, the United States Postal Service implemented lower service standards to virtually eliminate overnight delivery of first class mail and periodicals, and further delay most other mail; and

WHEREAS, Delayed mail negatively impacts businesses, hurts residents, communities, and the economy, and drives customers away, resulting in lower revenue and damaging the financial situation of the United States Postal Service; and

WHEREAS, Robust service standards implemented by the United States Postal Service are essential to providing prompt and timely delivery of all mail, including online purchases, local newspapers, newsletters, bill payments, letters, invitations, packages, and medicines; and

WHEREAS, Planned shutdowns of mail sorting centers would seriously affect hundreds of employees, over 22 percent of whom are United States military veterans, many with disabilities; and

WHEREAS, At least one of these mail sorting facilities, located in Eureka, California, is planning on shifting its mail distribution, including absentee ballots, to Oregon, which contradicts the obligation of the United States Postal Service to protect voting by mail throughout California, which is now commonplace and will remain essential to our democracy; and

WHEREAS, The United States Postal Service has the authority to reinstate overnight delivery standards to hasten mail delivery and prevent shutdowns of mail sorting centers; now, therefore, be it

Resolved by the Senate and the Assembly of the State of California, jointly, That the Legislature urges the United States Congress to require the United States Postal Service to restore service standards in effect as of July 1, 2012, and place a moratorium on planned shutdowns of mail sorting centers, and further urges the United States Congress to oppose any postal reform legislation that does not continue the mandate for six-day delivery service or does not protect door-to-door delivery as it currently exists; and be it further

Resolved, That the Legislature urges the Secretary of State to publicly oppose changes in the United States Postal Service that negatively impact the rights of California voters who vote by an absentee ballot; and be it further

Resolved, That the Secretary of the Senate transmit copies of this resolution to each Senator and Representative from California in the Congress of the United States, to the Secretary of State, to the United States Postmaster General, and to the author for appropriate distribution.

(Without Reference to File)

SENATE THIRD READING

STR Bill Id:SJR 11

Author:(Leyva)

As Introduced Ver:May 26, 2015

Majority vote

SENATE VOTE: 25-12

SUMMARY: Urges Congress to restore services of the United States Postal Services (USPS) and to oppose additional service reductions. Specifically, this measure:

1. Declares that on January 5, 2015, the USPS implemented lower "service standards" to virtually eliminate overnight delivery of first-class mail and periodicals, and further delay most other mail.

2. Declares that delayed mail negatively impacts businesses, residents, communities and the economy, resulting in lower revenue and damaging the financial situation of the USPS.

3. Declares that robust service standards implemented by the USPS are essential to providing prompt and timely delivery of all mail.

4. Declares that planned shutdowns of mail sorting centers would seriously affect hundreds of employees, over 22% of whom are United States military veterans, many with disabilities.

5. Declares that at least one of these mail sorting facilities, located in Eureka, California, is planning to shift its mail distribution to Oregon, which contradicts the obligation of the USPS to protect voting by mail throughout California, which is now commonplace and will remain essential to our democracy.

6. Declares that the USPS has the authority to reinstate overnight delivery standards in order to hasten mail delivery and to prevent shutdowns of mail sorting centers.

7. Urges Congress to require the USPS to restore service standards in effect as of July 1, 2012, and place a moratorium on planned shutdowns of mail sorting centers, and further urges Congress to oppose any postal reform legislation that does not continue the mandate for six-day delivery service or does not protect door-to-door delivery as it currently exists.

8. Urges the Secretary of State to publicly oppose changes in the USPS that negatively impact the rights of California voters who vote by an absentee ballot.

EXISTING LAW:

1. Provides, under the United States (U.S.) Constitution, that Congress has the power to establish post offices and post roads. Establishes the USPS as an independent establishment of the executive branch of the U.S. government.

2. Provides that the USPS shall be operated as a basic and fundamental service provided to the people by the U.S. government and shall have as its basic function the obligation to provide postal services to bind the nation together through the personal, educational, literary and business correspondence of the people and to provide prompt, reliable and efficient services to patrons in all areas and shall render postal services to all communities.

3. Requires the USPS to provide a maximum degree of effective and regular postal services to rural areas, communities and small towns where post offices are not self-sustaining. Provides that no small post office shall be closed solely for operating at a deficit, it being the specific intent of the Congress that effective postal services be insured to residents of both urban and rural communities. In determining all policies for postal services, requires the USPS to give the highest consideration to the requirement for the most expeditious collection, transportation and delivery of important letter mail.

FISCAL EFFECT: According to the Senate Appropriations Committee, pursuant to Senate Rule 28.8, negligible state costs.

COMMENTS: This measure, sponsored by the California State Association of Letter Carriers, addresses recent actions by the USPS that have resulted in closures of distribution centers, losses of jobs and degradation in the quality of postal service provided by the USPS.

Quick Background on the USPS. On a typical day, the USPS processes and delivers 512.8 million pieces of mail to residences and businesses throughout the U.S. including rural, urban, and suburban communities. (USPS, One day in the life of the U.S. Postal Service…by the numbers <https://about.usps.com/who-we-are/postal-facts/one-day-by-the-numbers.htm>.) Helping to deliver this mail are the 617,000 USPS employees. (USPS, Size and scope <https://about.usps.com/who-we-are/postal-facts/size-scope.htm>.) In some rural places, it is the physical presence of the post office that defines the community. In other more urbanized settings, the post office provides important special services such as facilitating passport renewals and providing post office boxes and reliable shipping options for young entrepreneurs.

As the USPS works to redefine its role within the shipping and mail delivery sector, it faces very real fiscal challenges. In federal fiscal year 2014, the USPS registered a loss of $5.5 billion, down from a loss of $15.9 billion in fiscal 2012. (Josh Wikes, Postal Service lost $5.5 billion in 2014 despite more gains in operating revenue, Washington Post, November 14, 2014.) There are a variety of contributing factors that affect both the revenues and expenditures of the USPS. On the revenue side, the volume of first class mail continues to decline as more individuals and businesses turn to the Internet to connect socially and economically. Much of the mail delivered to homes and businesses are flyers and other low cost advertising. On the expenditure side, costs continue to rise and the USPS has a limited ability to impact its fixed costs.

USPS Cost Cutting Initiatives. Since 2012, the USPS has instituted several initiatives aimed at reducing expenses in its mail delivery and processing systems as part of a broader effort to address its fiscal challenges and move towards financial viability. Some of these initiatives include changing its delivery standards to increase the expected number of days that it can take to deliver some types of mail, consolidating mail processing facilities and realigning its operations to capture potential savings. It is estimated that 35,000 jobs were eliminated in the first phase of consolidation. (Angela Greiling Keane, U.S. postal service to cut 35,000 jobs as plants are shut, Bloomberg Business, February 23, 2012). The second phase seeks to close an additional 82 processing centers, which could impact up to 15,000 USPS jobs nationwide. Four processing plants are slated for closure in California: Eureka, Redding, Petaluma and City of Industry. The USPS predicts that the California plant closures will result in a net job loss of approximately 700 California jobs. (Eric Katz, One map to show where USPS will cut 7,000 jobs, GovExec.com, September 8, 2014). The impact of these closures to consumers is slower mail delivery.

Additionally, there have been efforts in Congress to eliminate door-to-door mail delivery. The USPS has begun strongly encouraging new developments to use cluster boxes as it seeks to reduce door-to-door delivery. (Lisa J. Huriash, Postal Service ending door-to-door delivery to new developments, South Florida Sun Sentinel, January 31, 2014). Further efforts in this direction can be seen with the introduction of H.R. 2748, the Postal Reform Act of 2013, which sought to end "to the door" delivery in favor of curbside service or neighborhood cluster boxes. That bill passed the Committee on Oversight and Government Reform during the 2013-14 Congress.

Legislation Introduced in Congress to Address Reductions Has Yet to be Given a Hearing. Two resolutions have been introduced in Congress this year seeking to eliminate USPS service cuts and continue six-day delivery, both issues that are addressed by this measure. First, H. Res. 12 expresses the sense of the House that the USPS should continue six-day a week mail service. That resolution has 212 bipartisan co-sponsors, including 38 members from California. Second, H. Res. 54 expresses the sense of the House that the USPS should restore service standards in effect on July 1, 2012. That resolution has 198 bipartisan co-sponsors, including 40 from California. Both resolutions have been referred to the House Committee on Oversight of Government Reform, but neither measure has yet received a hearing.

Analysis Prepared by: Leora Gershenzon / JUD. / (916) 319-2334 FN: 0002405

Date of Hearing: September 11, 2015

ASSEMBLY COMMITTEE ON APPROPRIATIONS

Jimmy Gomez, Chair

SBPCA Bill Id:SJR 11

Author:(Leyva) – As Introduced Ver:May 26, 2015

Urgency: No State Mandated Local Program: No Reimbursable: No

SUMMARY:

This measure:

1. Urges the Congress to require the U.S. Postal Service to restore recent cuts in postal service and to oppose further service reductions.

2. Urges the Secretary of State to publicly oppose changes in the USPS that would negatively impact the rights of California Voters who use a vote-by-mail ballot.

FISCAL EFFECT:

Negligible fiscal impact.

COMMENTS:

Purpose. This measure, sponsored by the California State Association of Letter Carriers, addresses recent actions by the USPS that have resulted in closures of distribution centers, losses of jobs and degradation in the quality of postal service.

Analysis Prepared by: Chuck Nicol / APPR. / (916) 319-2081

Date of Hearing: August 25, 2015

ASSEMBLY COMMITTEE ON JUDICIARY

Mark Stone, Chair

SBPCA Bill Id:SJR 11

Author:(Leyva) – As Introduced Ver:May 26, 2015

SENATE VOTE: 25-12

SUBJECT: UNITED STATES POSTAL SERVICE

KEY ISSUE: SHOULD THE LEGISLATURE URGE CONGRESS TO RESTORE POSTAL SERVICE STANDARDS AND OPPOSE ANY LEGISLATION THAT FAILS TO CONTINUE THE CURRENT SIX-DAY DELIVERY MANDATE AND DOOR-TO-DOOR DELIVERY SERVICE?

SYNOPSIS

In 2012, after years of losses, the United States Postal Service (USPS) began reductions in postal services, closing mail processing facilities across the country. These closures represent the loss of thousands of jobs across the nation and here in California. The USPS is now considering further service reductions, including closing more mail processing facilities, including several in California, eliminating six-day a week delivery services and reducing door-to-door deliveries. Two resolutions have been introduced in Congress this year seeking to reverse USPS service cuts, but neither resolution has been scheduled for a hearing. (H. Res 12; H. Res 54.) Instead, a House committee passed legislation last session to reduce door-to-door USPS deliveries. (H.R. 2748.) This resolution urges Congress to prevent any further degradation of postal service and to restore service levels to those that existed before the cuts. This bill is sponsored by the California State Association of Letter Carriers and supported by other labor organizations. It has no known opposition.

SUMMARY: Urges Congress to restore services of the United States Postal Services and to oppose additional service reductions. Specifically, this measure:

1. Declares that on January 5, 2015, the USPS implemented lower “service standards” to virtually eliminate overnight delivery of first-class mail and periodicals, and further delay most other mail.

2. Declares that delayed mail negatively impacts businesses, residents, communities and the economy, resulting in lower revenue and damaging the financial situation of the USPS.

3. Declares that robust service standards implemented by the USPS are essential to providing prompt and timely delivery of all mail.

4. Declares that planned shutdowns of mail sorting centers would seriously affect hundreds of employees, over 22 percent of whom are United States military veterans, many with disabilities.

5. Declares that at least one of these mail sorting facilities, located in Eureka, California, is planning to shift its mail distribution to Oregon, which contradicts the obligation of the USPS to protect voting by mail throughout California, which is now commonplace and will remain essential to our democracy.

6. Declares that the USPS has the authority to reinstate overnight delivery standards in order to hasten mail delivery and to prevent shutdowns of mail sorting centers.

7. Urges Congress to require the USPS to restore service standards in effect as of July 1, 2012, and place a moratorium on planned shutdowns of mail sorting centers, and further urges Congress to oppose any postal reform legislation that does not continue the mandate for six-day delivery service or does not protect door-to-door delivery as it currently exists.

8. Urges the Secretary of State to publicly oppose changes in the USPS that negatively impact the rights of California voters who vote by an absentee ballot.

EXISTING LAW:

1. Provides, under the U.S. Constitution, that Congress has the power to establish post offices and post roads. Establishes the USPS as an independent establishment of the executive branch of the U.S. government. (U.S. Constitution, Art. 1, Sec. 8; 39 U.S.C. Sec. 201.)

2. Provides that the USPS shall be operated as a basic and fundamental service provided to the people by the U.S. government and shall have as its basic function the obligation to provide postal services to bind the nation together through the personal, educational, literary and business correspondence of the people and to provide prompt, reliable and efficient services to patrons in all areas and shall render postal services to all communities. (39 U.S.C. Sec. 101.)

3. Requires the USPS to provide a maximum degree of effective and regular postal services to rural areas, communities and small towns where post offices are not self-sustaining. Provides that no small post office shall be closed solely for operating at a deficit, it being the specific intent of the Congress that effective postal services be insured to residents of both urban and rural communities. In determining all policies for postal services, requires the USPS to give the highest consideration to the requirement for the most expeditious collection, transportation and delivery of important letter mail. (Id.)

FISCAL EFFECT: As currently in print this measure is keyed fiscal.

COMMENTS: This measure, sponsored by the California State Association of Letter Carriers, addresses recent actions by the USPS that have resulted in closures of distribution centers, losses of jobs and degradation in the quality of postal service provided by the USPS. According to the author:

The USPS is seeking ways to cut costs to its operations in disregard to the service it is mandated to provide. Most of the unfunded costs they are facing are due to actions taken by [C]ongress to restructure their future retiree health benefit program. Due to these financial issues they are moving to close processing plants across the state. These plant closures would further slow down the already delayed mail delivery provided by the USPS. Furthermore these closures would seriously impact vote by mail delivery across the state.

Additionally, being proposed by the USPS are cuts to Saturday delivery and replacing door to door delivery with cluster boxes for all residential customers. Providing fewer services and less quality will cause more customers to seek other options. Rural Americans, businesses, senior citizens, and veterans will be hurt the most by ending Saturday mail and removing customer’s direct home delivery.

Quick Background on the USPS. On a typical day, the USPS processes and delivers 512.8 million pieces of mail to residences and businesses throughout the U.S. including rural, urban, and suburban communities. (USPS, One day in the life of the U.S. Postal Service…by the numbers <https://about.usps.com/who-we-are/postal-facts/one-day-by-the-numbers.htm>.) Helping to deliver this mail are the 617,000 USPS employees. (USPS, Size and scope <https://about.usps.com/who-we-are/postal-facts/size-scope.htm>.) In some rural places, it is the physical presence of the post office that defines the community. In other more urbanized settings, the post office provides important special services such as facilitating passport renewals and providing post office boxes and reliable shipping options for young entrepreneurs.

As the USPS works to redefine its role within the shipping and mail delivery sector, it faces very real fiscal challenges. In federal fiscal year 2014, the USPS registered a loss of $5.5 billion, down from a loss of $15.9 billion in fiscal 2012. (Josh Wikes, Postal Service lost $5.5 billion in 2014 despite more gains in operating revenue, Washington Post, Nov. 14, 2014.) There are a variety of contributing factors that affect both the revenues and expenditures of the USPS. On the revenue side, the volume of first class mail continues to decline as more individuals and businesses turn to the Internet to connect socially and economically. Much of the mail delivered to homes and businesses are flyers and other low cost advertising. On the expenditure side, costs continue to rise and the USPS has a limited ability to impact its fixed costs.

USPS Cost Cutting Initiatives. Since 2012, the USPS has instituted several initiatives aimed at reducing expenses in its mail delivery and processing systems as part of a broader effort to address its fiscal challenges and move towards financial viability. Some of these initiatives include changing its delivery standards to increase the expected number of days that it can take to deliver some types of mail, consolidating mail processing facilities and realigning its operations to capture potential savings. It is estimated that 35,000 jobs were eliminated in the first phase of consolidation. (Angela Greiling Keane, U.S. postal service to cut 35,000 jobs as plants are shut, Bloomberg Business, February 23, 2012). The second phase seeks to close an additional 82 processing centers, which could impact up to 15,000 USPS jobs nationwide. Four processing plants are slated for closure in California: Eureka, Redding, Petaluma and City of Industry. The USPS predicts that the California plant closures will result in a net job loss of approximately 700 California jobs. (Eric Katz, One map to show where USPS will cut 7,000 jobs, GovExec.com, September 8, 2014). The impact of these closures to consumers is slower mail delivery.

Additionally, there have been efforts in Congress to eliminate door-to-door mail delivery. The USPS has begun strongly encouraging new developments to use cluster boxes as it seeks to reduce door-to-door delivery. (Lisa J. Huriash, Postal Service ending door-to-door delivery to new developments, South Florida Sun Sentinel, January 31, 2014). Further efforts in this direction can be seen with the introduction of H.R. 2748, the Postal Reform Act of 2013, which sought to end "to the door" delivery in favor of curbside service or neighborhood cluster boxes. That bill passed the Committee on Oversight and Government Reform during the 2013-14 Congress.

Legislation Introduced in Congress to Address Reductions Has Yet to be Given a Hearing. Two resolutions have been introduced in Congress this year seeking to eliminate USPS service cuts and continue six-day delivery, both issues that are addressed by this measure. First, H. Res. 12 expresses the sense of the House that the USPS should continue six-day a week mail service. That resolution has 212 bipartisan co-sponsors, including 38 members from California. Second, H. Res. 54 expresses the sense of the House that the USPS should restore service standards in effect on July 1, 2012. That resolution has 198 bipartisan co-sponsors, including 40 from California. Both resolutions have been referred to the House Committee on Oversight of Government Reform, but neither measure has yet received a hearing.

Prior Legislation: SJR 15 (Hancock), Res. Chap. 122, Stats. 2013, urged Congress to pass legislation that reflects the value and intent set forth in the Postal Service Protection Act of 2013 in order to ensure the modernization and preservation of the USPS.

ARGUMENTS IN SUPPORT: In support of the measure, the California Rural Letter Carriers' Association writes: "We fully believe that this resolution is needed to address the United States Postal Service's plan to shut down mail sorting centers across the California state. It is a great concern for all of us that their ongoing plans to eliminate 6-day delivery service and phase out door-to-door mail delivery as it currently exists would cause great impact not only on the postal employees by negatively [a]ffect businesses, communities and the economy. Not only does this affect us, but the US military employees who represent 22% who come back to work for the United States Postal Service after duty."

Adds the California Labor Federation: "Protecting mail services protects California workers and ensures stability for the millions relying on the direct [mail] delivery."

REGISTERED SUPPORT / OPPOSITION:

Support

California State Association of Letter Carriers (sponsor)

California American Postal Workers Union

California Federation of National Active and Retired Federal Employees Association

California Labor Federation

California Rural Letter Carriers’ Association

National Active and Retired Federal Employees Association

National Association of Postal Supervisors

National Postal Mail Handlers Union

Opposition

None on file

Analysis Prepared by: Leora Gershenzon and Estevan Villarreal / JUD. / (916) 319-2334

 THIRD READING  

Bill No: SJR 11

Author: Leyva (D), et al.

Introduced: 5/26/15

Vote: 21

SENATE GOVERNMENTAL ORG. COMMITTEE: 8-4, 6/29/15

AYES: Hall, Block, Glazer, Hernandez, Hill, Hueso, Lara, McGuire

NOES: Berryhill, Gaines, Runner, Vidak

NO VOTE RECORDED: Galgiani

SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8

SUBJECT: United States Postal Service

SOURCE: California State Association of Letter Carriers

DIGEST: This resolution urges the United States Congress to require the United States Postal Service (USPS) to take all appropriate measures to restore service standards in effect as of July 1, 2012, and further urges Congress to oppose any postal reform legislation that does not continue the mandate for six-day delivery service to protect door-to-door delivery as it currently exists.

ANALYSIS:

This resolution:

1. Urges the United States Congress to require the USPS to restore service standards in effect as of July 1, 2012, and place a moratorium on planned shutdowns of mail sorting centers, and further urges the United States Congress to oppose any postal reform legislation that does not continue the mandate for six-day delivery service or does not protect door-to-door delivery as it currently exists.

2. Urges the Secretary of State to publicly oppose changes in the USPS that negatively impact the rights of California voters who vote by an absentee ballot.

3. Declares that on January 5, 2015, the USPS implemented lower “service standards” to virtually eliminate overnight delivery of first-class mail and periodicals, and further delay most other mail.

4. Declares that delayed mail negatively impacts businesses, hurts residents, communities, and the economy, and drives customers away, resulting in lower revenue and damaging the financial situation of the USPS.

5. Declares that robust service standards implemented by the USPS are essential to providing prompt and timely delivery of all mail, including online purchases, local newspapers, newsletters, bill payments, letters, invitations, packages, and medicines.

6. Declares that planned shutdowns of mail sorting centers would seriously affect hundreds of employees, over 22 percent of whom are United States military veterans, many with disabilities.

7. Declares at least one of these mail sorting facilities, located in Eureka, California, is planning on shifting its mail distribution, including absentee ballots, to Oregon, which contradicts the obligation of the USPS to protect voting by mail throughout California, which is now commonplace and will remain essential to our democracy.

8. Declares that the USPS has the authority to reinstate overnight delivery standards to hasten mail delivery and prevent shutdowns of mail sorting centers.

Background

Purpose of this resolution. According to the author, “the USPS is seeking ways to cut costs to its operations in disregard to the service it is mandated to provide. Most of the unfunded costs they are facing are due to actions taken by congress to restructure their future retiree health benefit program. Due to these financial issues they are moving to close processing plants across the state. These plant closures would further slow down the already delayed mail delivery provided by the USPS. Furthermore these closures would seriously impact vote by mail delivery across the state.”

The author further argues that, “the USPS is proposing cuts to Saturday delivery and replacing door to door delivery with cluster boxes for all residential customers. Providing fewer services and less quality will cause more customers to seek other options. Rural Americans, businesses, senior citizens, and veterans will be hurt the most by ending Saturday mail and removing customer’s direct home delivery.”

USPS Initiatives. Since 2012, the USPS has instituted several initiatives aimed at reducing expenses in its mail delivery and processing systems as part of a broader effort to address its fiscal challenges and move towards financial viability. Some of these initiatives include changing its delivery standards to increase the expected number of days that it can take to deliver some types of mail, consolidating mail processing facilities, and realigning its operations to capture potential savings.

These initiatives were announced in response to declines in mail volume and revenue in May 2012 as part of a two phase program aimed at consolidating its mail processing operations and network. In phase one, effective July, 2012, USPS changed its delivery standards, which USPS stated allowed it to significantly reduce the number of mail processing facilities.

During phase two, which began on January 5, 2015, single piece First-Class Mail is no longer subject to a 1-day delivery standard and USPS plans to further reduce the number of mail processing facilities by up to 82 facilities, from 320 to as few as 238. At the time, USPS stated that after phase two implementation, it projected that 20 percent of First-Class Mail will be delivered in one day, 35 percent in two days, and 44 percent in three days.

Prior/Related Legislation

SJR 15 (Hancock, Resolution Chapter 122, Statutes of 2013) urged the United States Congress to pass legislation that reflects the value and intent set forth in the Postal Service Protection Act of 2013 in order to ensure the modernization and preservation of the USPS.

SJR 12 (Hancock, Resolution Chapter 37, Statutes of 2013) urged the USPS to rescind its decision to sell the Berkeley, California, Main Post Office.

FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No

SUPPORT: (Verified 7/14/15)

California State Association of Letter Carriers (source)

California American Postal Workers Union

California Labor Federation

California Rural Letter Carriers’ Association

National Active and Retired Federal Employees Association

National Association of Postal Supervisors

National Postal Mail Handlers Union

OPPOSITION: (Verified 7/14/15)

None received

ARGUMENTS IN SUPPORT: The California State Association of Letter Carriers believes this resolution properly addresses the USPS’ ongoing move to slow down delivery service while moving forward on their plans to shut down mail sorting centers and also addresses the USPS’ current discussions to eliminate both Saturday and door to door delivery for the millions of patrons they are responsible to provide service for.

Prepared by: Felipe Lopez / G.O. / (916) 651-1530

7/15/15 15:29:49

**** END ****

SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION

Senator Isadore Hall, III

Chair

2015 - 2016 Regular

Bill No: SJR 11 Hearing Date: 6/29/2015

SUBJECT: United States Postal Service

DIGEST: This resolution urges the United States Congress to require the United States Postal Service (USPS) to take all appropriate measures to restore service standards in effect as of July 1, 2012, and it further urges congress to oppose any postal reform legislation that does not continue the mandate for 6-day delivery service to protect door-to-door delivery as it currently exists.

ANALYSIS:

This resolution:

1. Urges the United States Congress to require the USPS to restore service standards in effect as of July 1, 2012 and place a moratorium on planned shutdowns of mail sorting centers, and further urges the United States Congress to oppose any postal reform legislation that does not continue the mandate for six-day delivery service or does not protect door-to-door delivery as it currently exists.

2. Urges the Secretary of State to publicly oppose changes in the United States Postal Service that negatively impact the rights of California voters who vote by an absentee ballot.

3. Declares that on January 5, 2015, the USPS implemented lower “service standards” to virtually eliminate overnight delivery of first class mail and periodicals, and further delay most other mail.

4. Declares that delayed mail negatively impacts businesses, hurts residents, communities, and the economy, and drives customers away, resulting in lower revenue and damaging the financial situation of the USPS.

5. Declares that robust service standards implemented by the USPS are essential to providing prompt and timely delivery of all mail, including online purchases, local newspapers, newsletters, bill payments, letters, invitations, packages, and medicines.

6. Declares that planned shutdowns of mail sorting centers would seriously affect hundreds of employees, over 22 percent of whom are United States military veterans, many with disabilities.

7. Declares at least one of these mail sorting facilities, located in Eureka, California, is planning on shifting its mail distribution, including absentee ballots, to Oregon, which contradicts the obligation of the USPS to protect voting by mail throughout California, which is now commonplace and will remain essential to our democracy.

8. Declares that the USPS has the authority to reinstate overnight delivery standards to hasten mail delivery and prevent shutdowns of mail sorting centers.

Background

Purpose of the resolution. According to the author, “the USPS is seeking ways to cut costs to its operations in disregard to the service it is mandated to provide. Most of the unfunded costs they are facing are due to actions taken by congress to restructure their future retiree health benefit program. Due to these financial issues they are moving to close processing plants across the state. These plant closures would further slow down the already delayed mail delivery provided by the USPS. Furthermore these closures would seriously impact vote by mail delivery across the state.”

The author further argues that, “the USPS is proposing cuts to Saturday delivery and replacing door to door delivery with cluster boxes for all residential customers. Providing fewer services and less quality will cause more customers to seek other options. Rural Americans, businesses, senior citizens, and veterans will be hurt the most by ending Saturday mail and removing customer’s direct home delivery.”

USPS Initiatives. Since 2012, the USPS has instituted several initiatives aimed at reducing expenses in its mail delivery and processing systems as part of a broader effort to address its fiscal challenges and move towards financial viability. Some of these initiatives include changing its delivery standards to increase the expected number of days that it can take to deliver some types of mail, consolidating mail processing facilities, and realigning its operations to capture potential savings.

These initiatives were announced in response to declines in mail volume and revenue in May 2012 as part of a two phase program aimed at consolidating its mail processing operations and network. In phase one, effective July, 2012, USPS changed its delivery standards, which USPS stated allowed it to significantly reduce the number of mail processing facilities.

During phase 2, which began on January 5, 2015, single piece First-Class Mail is no longer subject to a 1-day delivery standard and USPS plans to further reduce the number of mail processing facilities by up to 82 facilities, from 320 to as few as 238. At the time, USPS stated that after phase two implementation, it projected that 20 percent of First-Class Mail will be delivered in 1 day, 35 percent in 2 days, and 44 percent in 3 days.

Prior/Related Legislation

SJR 15 (Hancock, Res. Chapter 122, Statutes of 2013) urged the United States Congress to pass legislation that reflects the value and intent set forth in the Postal Service Protection Act of 2013 in order to ensure the modernization and preservation of the USPS.

SJR 12 (Hancock, Res. Chapter 37, Statutes of 2013) urged the USPS to rescind its decision to sell the Berkeley, California, Main Post Office.

FISCAL EFFECT: Appropriation: Fiscal Com.: Yes Local:

SUPPORT:

California State Association of Letter Carriers (Source)

California American Postal Workers Union

California Labor Federation

California Rural Letter Carriers’ Association

National Association of Postal Supervisors

OPPOSITION:

None received

ARGUMENTS IN SUPPORT: The California State Association of Letter Carriers believes this resolution properly addresses the USPS’ ongoing move to slow down delivery service while moving forward on their plans to shut down mail sorting centers and also addresses the USPS’ current discussions to eliminate both Saturday and door to door delivery for the millions of patrons they are responsible to provide service for.