II
112th CONGRESS
1st Session
S. 1649
IN THE SENATE OF THE UNITED STATES
October 4, 2011
Mr. Baucus introduced the following bill; which was read twice and referred to the Committee on Homeland Security and Governmental Affairs
A BILL
To amend the provisions of title 5, United States Code, relating to the methodology for calculating the amount of any Postal surplus or supplemental liability under the Civil Service Retirement System, and for other purposes.
Short title
This Act may be cited as the
United States Postal Service Pension
Obligation Recalculation and Restoration Act of
2011
.
Modified methodology
In general
Section 8348(h) of title 5, United States Code, is amended by adding at the end the following:
To the extent that a determination under paragraph (1), relating to benefits attributable to civilian employment with the United States Postal Service, is based on any provision of law described in subparagraph (C), such determination shall be made in accordance with such provision and any otherwise applicable provisions of law, subject to the following:
The average pay
used in
the case of any individual shall be a single amount, determined in accordance
with section 8331(4), taking into account the rates of basic pay in effect for
such individual during the periods of creditable service performed by such
individual. Nothing in this subsection shall be considered to permit or
require—
one determination of average pay with respect to service performed with the United States Postal Service; and
a separate determination of average pay with respect to service performed with its predecessor entity in function.
In determining the portion of an annuity attributable to civilian employment with the United States Postal Service, with respect to any period of employment with the United States Postal Service that follows any other period of employment creditable under section 8332 (without regard to whether such employment was with an entity referred to in clause (i)(II)), the total service of an employee for purposes of any provision of law described in subparagraph (C) shall be the sum of—
any period of employment with the United States Postal Service; and
any period of employment creditable under section 8332 that precedes the period described in subclause (I).
Not later than 6 months after the date of enactment of this paragraph, the Office shall determine (or, if applicable, redetermine) the amount of the Postal surplus or supplemental liability as of the close of the fiscal year most recently ending before such date of enactment, in conformance with the methodology required under subparagraph (A).
If the result of the determination or redetermination under clause (i) is a surplus, the Office shall transfer the amount of such surplus to the Postal Service Retiree Health Benefits Fund not later than 15 days after the date of such determination or redetermination.
If a determination or redetermination under clause (i) for a fiscal year is made before the Office makes a redetermination under paragraph (2)(B) with respect to the fiscal year, the Office may not make a determination under paragraph (2)(B) with respect to the fiscal year.
The provisions of law described in this subparagraph are—
the first sentence of section 8339(a); and
section 8339(d)(1).
For purposes of this subsection—
the term Postal Service Retiree Health Benefits Fund means the fund established under section 8909a; and
the term Postal Service Fund means the fund established under section 2003 of title 39.
.
Coordination provisions
Amendment
Section 8909a of title 5, United States Code, is amended by adding at the end the following:
Notwithstanding any other provision of law, the amount payable by the Postal Service under subsection (d) in any fiscal year ending on or before September 30, 2021, shall be determined without regard to the requirements under section 8348(h)(4).
.
Rule of construction
Nothing in this Act, or an amendment made by this Act, shall be construed to affect the amount of any benefits otherwise payable from the Civil Service Retirement and Disability Fund to any individual.
Technical amendment
The heading for
section 8909a of title 5, United States Code, is amended by striking
Benefit
and inserting
Benefits
.
Additional provisions
In general
Section 8348(h)(2) of title 5, United States Code, is amended by adding at the end the following:
Notwithstanding any other provision of this subsection, for purposes of determining the Postal surplus or supplemental liability for each of fiscal years 2016, 2017, 2018, 2019, and 2020—
paragraph (4)(A) shall not apply to a determination under paragraph (1); and
the determination under paragraph (1) shall be made by applying the methodology that was used to carry out this paragraph with respect to the fiscal year preceding the fiscal year referred to in paragraph (4)(B)(i).
.
Relating to a postal surplus
Section 8348(h)(2)(C) of title 5, United States Code, is amended—
by inserting
2021,
after 2015,
; and
by striking
if the result is
and all that follows through
terminated.
and inserting the
following:
if the result is a surplus—
that amount shall be transferred—
to the Postal Service Retiree Health Benefits Fund, if the surplus is for fiscal year 2020 or a preceding fiscal year; and
to the Postal Service Fund, if the surplus is for fiscal year 2021 or a subsequent fiscal year; and
any prior amortization schedule for payments shall be terminated.
.
Treatment of certain surplus retirement contributions
Section 8423(b) of title 5, United States Code, is amended—
by redesignating paragraph (5) as paragraph (6); and
by inserting after paragraph (4) the following:
If, for fiscal year 2010, the amount
computed under paragraph (1)(B) is less than zero (in this section referred to
as surplus postal contributions
), the amount of such surplus
postal contributions shall be transferred—
to the Postal Service Retiree Health Benefits Fund to pay any liability to the Postal Service Retiree Health Benefits Fund for fiscal year 2011;
if all liability to the Postal Service Retiree Health Benefits Fund for fiscal year 2011 has been paid, to the Employees’ Compensation Fund established under section 8147; and
if all liability of the United States Postal Service to the Employees’ Compensation Fund has been paid, to the United States Postal Service for the repayment of any obligation issued under section 2005 of title 39.
.
Rural post offices
Section 404(d) of title 39, United States Code, is amended by adding at the end the following:
Notwithstanding any other provision of this subsection, in making any determination under subsection (a)(3) as to the necessity for the closing or consolidation of any post office, the Postal Service may not close any post office which is located more than 10 miles from any other post office.
.
Effective date
In general
This Act and the amendments made by this Act shall take effect on the date of enactment of this Act.
Intent of Congress
It is the intent of Congress that this Act apply with respect to the allocation of past, present, and future benefit liabilities between the United States Postal Service and the Treasury of the United States.