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                                                      PRINTER'S NO. 1810

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE RESOLUTION

No. 190 Session of 1999


        INTRODUCED BY RAYMOND, BARRAR, ADOLPH, BAKER, BUNT, CIVERA,
           GANNON, HERSHEY, JAMES, LAUGHLIN, McNAUGHTON, MELIO, PESCI,
           READSHAW, ROSS, RUBLEY, SEYFERT, S. H. SMITH, STABACK,
           E. Z. TAYLOR, J. TAYLOR AND TULLI, MAY 12, 1999

        REFERRED TO COMMITTEE ON INTERGOVERNMENTAL AFFAIRS, MAY 12, 1999


                                  A RESOLUTION

     1  Memorializing the Congress of the United States to strengthen
     2     the oversight power and the authority of the Postal Rate
     3     Commission.

     4     WHEREAS, The United States Postal Service, an agency of the
     5  Federal Government, holds a monopoly on first class mail and
     6  certain bulk mail service and generates annual multimillion-
     7  dollar surpluses from its services; and
     8     WHEREAS, The United States Postal Service has in recent years
     9  expanded its activities beyond its core mission of universal
    10  mail service to include many competitive and nonpostal-related
    11  business products and services, such as consumer goods,
    12  telephone calling cards and cellular towers, in direct
    13  competition with Pennsylvania private sector enterprises; and
    14     WHEREAS, The United States Postal Service has used surplus
    15  revenues from universal mail delivery (first class postage) to
    16  expand into these competitive and nonpostal activities, with no
    17  evidence that these activities benefit the citizens of

     1  Pennsylvania by improving regular mail service; and
     2     WHEREAS, The United States Postal Service enjoys monopoly
     3  advantages in the marketplace over private sector enterprises
     4  with its ability to maintain lower prices for competitive
     5  products (due to the multimillion-dollar surpluses generated
     6  from first class postage) and its ability to set the rates of
     7  private sector competitors; and
     8     WHEREAS, The United States Postal Service enjoys many
     9  marketplace advantages not available to private sector
    10  enterprises, including exemption from State and local taxes,
    11  parking fees, local zoning ordinances, vehicle use taxes,
    12  vehicle licensing fees and other local government regulations,
    13  which deprive State and local governments of needed revenue and
    14  fees to offset the effect of the United States Postal Service
    15  operations on highways, law enforcement and air quality; and
    16     WHEREAS, The Postal Rate Commission does not have binding
    17  authority over the actions or activities of the United States
    18  Postal Service related to setting postal rates, entering new
    19  business sectors or using surplus revenues from first class mail
    20  to compete with the private sector; therefore be it
    21     RESOLVED, That the House of Representatives of the
    22  Commonwealth of Pennsylvania memorialize the Congress of the
    23  United States, particularly the members from the Pennsylvania
    24  congressional delegation, to introduce and pass legislation in
    25  this session of Congress to strengthen the oversight power and
    26  the authority of the Postal Rate Commission, to include:
    27         (1)  Subpoena power to examine all records and financial
    28     data of the United States Postal Service in order to make
    29     informed decisions on postal rate increases, pricing actions
    30     and product offerings.
    19990H0190R1810                  - 2 -

     1         (2)  Jurisdiction and final approval authority on all
     2     domestic and international postal rate adjustments.
     3         (3)  Authority over all nonpostal business endeavors,
     4     including all products and services outside the scope of
     5     universal mail service;
     6  and be it further
     7     RESOLVED, That the Pennsylvania Department of Revenue be
     8  directed to undertake an analysis to quantify the impact of the
     9  lost taxes and fees not being collected by State and local
    10  agencies as a result of the United States Postal Service special
    11  status and report its findings annually to the House of
    12  Representatives of Pennsylvania.












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