Government Relations Update

1

• Government Relations Update
• MTAC
• April 29, 2009

2
Administration and Congressional Leadership
Priorities

• Economy, Financial Regulation, President's Budget
  Health Care, Climate Change, Immigration
• USPS 1 Legislative Priority for 2009
  Retirement Health Benefit funding change
• Changing payment stream now saves USPS 2 billion
  in FY 2009, alone

3
Retiree Health Benefits Status

• House
• H.R. 22 introduced Jan. 6, 2009 by Congressmen
  John McHugh (R-NY) and Danny Davis (D-IL)
• H.R. 22 has 285 co-sponsors as of April 29, 2009
• Strong support, co-sponsors
• Henry Waxman (D-CA)
• House Postal Subcommittee Ranking Member Jason
  Chaffetz (R-UT)
• Chairmen Towns and Lynch are not co-sponsors
• PMG and BOG targeted hill visits

• Senate
• Working w/ Senators Tom Carper
• (D-DE), Susan Collins (R-ME), Joe Lieberman
  (I-CT) on bill
• House and Senate working to resolve scoring
  implications language
• Differences remain regarding two or eight year
  relief
• Government Relations staff number one issue
• PMG and BOG targeted hill visits

3
4
Other Legislative Issues

• 1 Legislative priority of USPS-
• Retiree Health Benefits
• PMG Potter stated at recent Congressional
  hearings need for significant structural changes
  at USPS including five-day delivery
• Appropriations rider mandates that USPS continue
  to provide six-day delivery
• As we think about changes in our business,
  including delivery and operations model,
  everything is on the table
• Need to focus on growth rebounding from
  recession

4
5
Do Not Mail

• Continues to be a popular state legislative
  initiative despite economy
• In 2009, DNM legislation introduced in CT, FL and
  NY. To date, none of the bills appear to be under
  active consideration.
• Latest hot issue San Francisco Board of
  Supervisors non-binding resolution urging
  creation of DNM Registry in CA and a national DNM
  Registry. Resolution was forwarded to CA
  legislature and CAs Congressional Delegation for
  consideration.

5
6
Do Not Mail

• Government Relations working with
• Corporate Communications and specific District
  and Area personnel to deal with specific DNM
  activity
• Environmental and consumer organizations, and
  with external environmental stakeholders, to
  promote USPS strong environmental record
• Mailers and industry groups on promoting and
  enhancing the value of mail, minimizing its
  impact on the environment, and being responsive
  to consumer interests

6