Postal Regulatory Commission

Congressional Budget Justification

(Performance Budget Plan)

Fiscal Year 2016
Table of Contents

 Page

Executive Summary 1

Background 3

Postal Regulatory Commission Achievements in Fiscal Year 2014 6

Budget Overview and Highlights for FY 2016 12

Budget Program Information 15

Strategic Goals, Work Plans and Performance Objectives 17

Strategic Goal 1: Postal Service Accountability 17

Strategic Goal 2: Public Access to Information and Participation 20

Strategic Goal 3: Infrastructure to Meet Mission 23

Office of the Inspector General 26
1

Executive Summary

The Postal Regulatory Commission is an independent agency created by the Postal 

Accountability and Enhancement Act (PAEA) in 2006 to provide strengthened oversight of the 

United States Postal Service. The Commission promotes high quality universal mail service for 

the American people by ensuring Postal Service transparency, accountability, and compliance 

with the law. The Commission is the primary regulator of the Postal Service and works to 

provide a window on postal financial operations to Congress, stakeholders, and the general 

public.

Over the last several years, the Commission has experienced a complex and increasing workload 

because of the significant financial difficulties being experienced by the Postal Service. To 

ameliorate its large financial losses, the Postal Service has implemented and may continue to 

propose a broad range of initiatives affecting operations and service to the public. These 

proposals have necessitated increased regulatory activity by the Commission. Since FY 2009, 

docketed cases have significantly increased in complexity, particularly those related to changes 

in the nature of service.

We anticipate that the complexity of cases will continue to rise, and that our analysis will need 

to be expedited to continue to provide a consistent level of relevant and constructive decisions, 

reports, and analyses for the Postal Service and Congress. The Commission therefore plans to 

increase staffing from 75 to 77 Full Time Equivalents (FTEs) in FY 2016. The FY 2016 budget 

request of $15,538,000 would provide this staffing level and preserve the Commission’s capacity 

to meet its statutory obligations, including providing timely responses to a growing number of 

Postal Service restructuring proposals that decrease cost and new product initiatives that 

increase revenue. 

In anticipation of the burgeoning workload, measures were implemented starting in 2009 to 

improve efficiency and productivity and to streamline processes to reduce costs. As outlined 

further in this document, the Commission seeks to continue to implement process 

improvements and to improve its information technology infrastructure to minimize staffing 

requirements.
2

The Commission’s funding comes directly from the postal rates and fees paid by postal 

customers through the Postal Fund and not from tax receipts. The PAEA seeks to ensure the 

Commission’s independence by authorizing the submission of its budget request to Congress 

separate from the Postal Service.

Mission

Ensure transparency and accountability of the

United States Postal Service and foster a vital and

efficient universal mailsystem

Guiding Principles

The Commission is committed to and operates by the principles of:

 Openness

 Public participation

 Integrity

 Fairness and impartiality

 Timely and rigorous analysis

 Merit

 Commitment to excellence

 Collegiality and multi-disciplinary approaches

 Adaptability

 Proactive response to the rapidly changing postal environment
3

Background

The Commission is an independent establishment of the executive branch of the United States 

Government. It has exercised regulatory oversight over the Postal Service since its creation by 

the Postal Reorganization Act of 1970, with expanded responsibilities under the Postal 

Accountability and Enhancement Act (PAEA) of 2006. It has five commissioners, each appointed 

by the president, by and with the advice and consent of the Senate, for a term of 6 years. After 

the expiration of his or her term, a commissioner may continue to serve for up to 1 year or until 

a successor is confirmed. No more than three members of the Commission may be from one 

political party.

Commission staff has expertise in law, economics, finance, statistics, and cost accounting. 

The Commission is organized into four operating offices:

 Accountability and Compliance. The Office of Accountability and Compliance is 

responsible for technical analysis, which includes economic formulations, econometric 

modeling, financial, statistical, and data analysis, pricing reviews, and analysis of market 

structure. It also formulates policy recommendations for the Commission in domestic 

and international matters. 

 General Counsel. The Office of the General Counsel provides legal assistance on matters 

involving the Commission’s responsibilities, defends Commission decisions before the 

courts, manages the formal complaint process, and ensures the Commission fulfills its 

statutory responsibilities.

 Public Affairs and Government Relations. The Office of Public Affairs and Government 

Relations facilitates prompt and responsive communications with the public, Congress, 

Federal agencies, the Postal Service, and media.
4

 Secretary and Administration. The Office of Secretary and Administration records the 

Commission’s official actions; manages the Commission’s records, human resources, 

budget and accounting, and information technology; and provides other support 

services. 

The Commission maintains an independent Office of the Inspector General. It conducts, 

supervises, and coordinates audits and investigations relating to Commission programs and 

operations, and identifies and reports fraud and abuse in these programs and operations.

The Commission’s mission is to ensure transparency and accountability of the Postal Service and 

foster a vital and efficient universal mail system. The Commission’s Strategic Plan outlines its 

strategic goals, implementation approaches, and accountability plans for 2012 to 2016. Each 

quarter, the commissioners meet with agency office heads to gauge progress toward meeting 

these goals and carrying out the Commission’s mission, and to ascertain where challenges might 

exist and the plan to address them. Each office head is responsible for presenting commissioners 

with an updated action plan for discussion. As the Commission’s principal executive officer, the 

chairman uses these action plans to implement the Strategic Plan.
5

Postal Regulatory Commission Organizational Chart
6

Postal Regulatory Commission Achievementsin Fiscal Year 2014

The Postal Regulatory Commission made the following significant accomplishments in Fiscal Year 

(FY) 2014. All of the Commission’s activities supported its mission: to ensure transparency and 

accountability of Postal Service operations and foster a vital and efficient universal mail system.

1. The Commission published four major reports in FY 2014: 

 Annual Report to the President and Congress (Annual Report), describing the 

Commission’s accomplishments and activities as the regulator of the U.S. Postal Service

 Annual Compliance Determination (ACD), reviewing the Postal Service’s compliance with 

pricing and service standards

 Analysis of Postal Service Financial Results and 10-K Statement for Fiscal Year 2013, 

providing an in-depth analysis of the Postal Service’s financial health 

 Review of Postal Service FY 2013 Performance Report and FY 2014 Performance Plan, 

evaluating whether the Postal Service met its performance goals as required under Title 

39 of the United States Code (U.S.C.), section 3653(d)

The Analysis of Postal Service Financial Results and 10-K Statement and the Review of Postal 

Service FY 2013 Performance Report and FY 2014 Performance Plan are new publications 

introduced in FY 2014. Their contents used to be included as chapters in the ACD, but the 

Commission decided to create separate, more detailed reports to provide a more 

comprehensive review of the Postal Service’s finances and performance goals.

2. The Commission expeditiously presided over the following major proceedings during the 

first half of the year, completing its review in 90 days: 

 A rate adjustment due to extraordinary or exceptional circumstances (commonly 

known as the “exigency case”)

 A Nature of Service case regarding service changes associated with Standard Mail load 

leveling

3. The Commission considered seven postal rate price adjustment requests by the Postal 

Service for Market Dominant and Competitive products.

4. The Commission reviewed 17 Postal Service proposals to revise costing methodologies.
7

5. The Commission approved 83 negotiated service agreements (NSAs) (76 Competitive, 7 

Market Dominant).

6. The Commission reviewed five proposed changes to the Market Dominant and 

Competitive products lists in the Mail Classification Schedule. These included the addition 

of a Gift Cards price category, a proposal for private address forwarding, the transfer of 

Inbound Surface Parcel Post, and Mail Classification Schedule changes for Priority Mail 

Express International, Restricted Delivery, and Pickup On Demand. 

7. The Commission evaluated several complaint cases filed against the Postal Service:

 The first complaint, filed by the American Postal Workers Union, alleges that the 

Postal Service is not complying with Market Dominant service standard regulations in 

violation of Title 39 of the U.S.C. This complaint is under review. 

 The second complaint concerned a change in retail hours in the San Francisco District. 

The Commission dismissed this complaint on July 28, 2014.

 The Commission also resumed consideration of an appropriate remedy in a complaint 

proceeding in which it had previously found that the Postal Service engaged in 

unlawful discrimination against a DVD mailer. In FY 2013, the mailer successfully 

challenged on appeal the appropriateness of the Commission’s original remedy, which 

the appellate court remanded for further investigation by the Commission. At the 

conclusion of the remand proceeding, the Commission prescribed a revised rate for 

round-trip DVD mail designed to remedy undue discrimination by the Postal Service. 

The revised rate was upheld on appeal; therefore, the complaint case was closed.

8. The Commission conducted several rulemaking proceedings. It published proposed rules 

regarding the treatment of rate incentives and de minimis rate increases under the price cap. It 

adopted three final rules that:

 Streamline advisory opinions on nationwide changes in postal services requested by 

the Postal Service under 39 U.S.C. § 3661

 Clarify rate incentives and de minimis rate increases under the price cap

 Implement regulations for market tests of experimental products
8

9. In other proceedings, the Commission:

 Established three dockets to evaluate improvements in measurements of price 

elasticities and Internet diversion; the scope of public service or activity cost reporting 

in the Annual Report; examined and reviewed a Postal Service request to conduct a 

market test of an experimental product, Customized Delivery

 Considered a Postal Service request to extend and expand the Metro Post market test

 Issued an order granting a Postal Service petition to eliminate a periodic reporting 

rule requiring an alternative format Cost and Revenue Analysis report

 Issued three requests for proposals for studies on inframarginal costs, terminal dues, 

and Postal Service Parcel products

 Reviewed four Post Office closing appeals

 Completed a study of the savings to the Postal Service for reducing the delivery of 

mail from 6 days to 5 days while maintaining Six-Day Delivery for package service

 Completed a study of unit avoidable costs that underlie worksharing discounts

 Responded to nearly 10,000 inquiries, questions, suggestions, complaints, and 

comments from the general public, primarily involving undelivered, delayed, 

misdelivered, and missing mail

 Proceeded with a major modernization of the external website to ensure the content 

of Commission and Postal Service operations is accessible and transparent to all 

stakeholders

10. With respect to international postal responsibilities, the Commission:

 Evaluated 54 Universal Postal Union (UPU) proposals to amend the UPU Acts in 

accordance with 39 U.S.C. § 407(c)(1)

 Continued its active role in the UPU Letters and Parcels Remuneration Groups on 

international letter mail and parcel delivery rates by chairing the UPU Regulatory 

Issues Project Group on behalf of the U.S. government

 Furthered its long-standing commitment to building solid working relationships with 

other postal regulators in promoting a high-quality, affordable universal service 

network for citizens worldwide
9

 Continued collaboration on international postal issues with other government 

agencies such as the Department of State through its Federal Advisory Committee on 

International Postal and Delivery Services

In FY 2014, the Commission again participated in the Federal Employee Viewpoint Survey. The 

Commission is committed to developing strategic action plans based on the survey results.

The Commission’s response rate (66 percent) was higher than the government-wide rate (59 

percent). Compared with responses in six indices from staff at other small Federal agencies, 

Commission staff had a higher degree of satisfaction and a more positive view of their work and 

office environment.

Over the last several years, the Commission has successfully managed a rapidly increasing 

workload within a challenging budgetary climate. In response to these challenges, it has 

designed programs for training and professional development directed at employee 

engagement and retention.

This year, the Commission ensured that employees were in compliance with mandatory training 

requirements in areas such as cybersecurity, the Hatch Act, ethics, and travel card usage.

During FY 2014, the Commission had no formal Equal Employment Opportunity complaint 

filings. To sustain its commitment to maintain a diverse and competent workforce, the 

Commission requires all staff to complete annual training about Equal Employment Opportunity 

and the Notification and Federal Employee Antidiscrimination and Retaliation Act of 2002.

In FY 2014, the Commission continued its commitment to support initiatives to recruit, develop, 

and retain a skilled, high-achieving, and diverse workforce. Women and minorities account for 

66 percent and 35 percent of the workforce, respectively. Women fill 41 percent of the 

Commission’s executive positions; minorities fill 8 percent. 

The Commission provides internship opportunities to aid the recruitment and development of 

professionals with diverse backgrounds. It will continue to monitor and offer opportunities to 

increase diversity, including the use of formal recruitment channels such as local universities, 

veterans’ groups, and other organizations and groups that target under-represented 

populations.
10

The Commission continued its commitment to transparency, accountability, and its compliance 

with the Freedom of Information Act. In FY 2014, it enhanced network, website, and security 

measures, receiving a favorable review in the Department of Justice’s FY 2014 Assessment of 

Agency Progress.

As part of its mission of ensuring transparency, accountability, and openness, the Commission 

continued to provide live audiocasts of hearings, technical conferences, and public meetings. 

These are available on the Commission’s website, www.prc.gov.

In response to the 2009 presidential memorandum regarding government contracting, and in 

line with Executive Order 13576, “Delivering an Efficient, Effective, and Accountable 

Government” (2011), the Commission continued to improve its contracting policy and standard 

operating procedures, resulting in increased accountability and cost savings. The Commission 

continues to work within budget, improving accounting and contracting processes so they are 

more cost-effective and efficient. Furthermore, the Commission has successfully partnered with 

women and minority-owned businesses.

Improvements to the Commission’s docket infrastructure are nearly complete. The new system 

will optimize public access and ease of use, and maintain the integrity of Commission records. 

Building on last year’s infrastructure update, the Commission converted employees to virtual 

desktops and upgraded phone and Internet systems. These initiatives have increased the 

Commission’s cybersecurity posture and are providing employees a smooth work interface. The 

Commission is also on schedule to launch its new website in early FY 2015. It will be more userfocused and -friendly, and address accessibility issues. All of these information technology 

improvements continue the Commission’s commitment to openness and transparency. 

In FY 2014, the Dockets section completed a thorough review of internal and external access to 

protected materials. All internal users were notified of new procedures governing access to 

these materials.

Records management team members have continued to receive training under the guidance of 

the National Archives and Records Administration, which approved a revised Commission 

records schedule. During a records management evaluation in FY 2014, the Commission 
11

received good ratings and sound guidance for proceeding with and expanding its records 

management program. In consultation with the National Archives and Records Administration, 

the Commission completed a comprehensive inventory of its records and began updating key 

material such as file plans and a records management manual.
12

Budget Overview and Highlights for Fiscal Year 2016

The PAEA requires the Commission to execute a broad range of responsibilities, relying on a 

staff with a unique mix of skills and abilities and modern information technology systems to 

ensure enhanced communication with the public.

Over the last several years, the Commission has accommodated an increasingly heavy and 

complex workload, as well as higher operating costs, within funding levels that have 

remained constant. This has been achieved by adhering to the spirit of administration 

guidance on personnel compensation, implementing formal performance management policy 

and procedures, and numerous management efficiencies. For example, office space was 

reconfigured to house increased staff within existing office space, and rent was renegotiated 

for leased space to below market rates. Nevertheless, professional staff costs have risen 20% 

since FY 2009 largely due to the increasing cost of benefits, and rent will increase by 2.2% 

annually.

The Commission is requesting a budget of $15,538,000, which will allow the Commission to 

accommodate contracted rent escalation, increase staffing to the complement of 77 FTEs, 

and properly maintain and improve the docketing system. This funding level will enable the 

Commission to react quickly to Postal Service proposals for restructuring and new products 

and other docketed cases so that it can provide relevant and timely advice to inform the 

decision-making process.

The Postal Service’s efforts to adjust to national changes in mail usage will require the 

Commission to continue to hear cases of major national policy import. The Commission may 

need to review further Postal Service proposals to right size its network and will provide 

oversight as the Postal Service tries to make greater use of its pricing flexibility under the 

PAEA. The Commission expects to apply substantial resources to measure the impact of 

changes implemented by the Postal Service and to fully evaluate and respond to new ideas 

that result in Postal Service innovative products and services, greater efficiencies, and cost 

savings.
13

As the Postal Service implements changes to operating hours, delivery service and the 

processing infrastructure, the Commission expects that it may be requested to adjudicate 

many highly complex cases related to these changes. Additionally, the Commission expects 

the Postal Service to propose the introduction of new products, services, and Negotiated

Service Agreements to generate additional revenue. The Commission must review these 

initiatives and service agreements to ensure a predictable, transparent, and effective system 

of rate and product regulation that complies with the law. Inevitably, a large volume of 

dockets is expected to continue.

As in previous years, the Commission will issue its primary regulatory document, an Annual 

Compliance Determination assessing the Postal Service’s compliance with the ratemaking 

regulations and applicable laws. In the report, the Commission will review and determine 

whether market dominant rates are within the Consumer Price Index (CPI) rate cap, whether 

competitive products are subsidized by market dominant products, and whether competitive 

products pay their attributable costs as well as an appropriate share of fixed postal costs. The 

Commission will also issue three additional important reports: The Annual Report, Analysis of 

Postal Service Financial Results and 10-K, and Review of Postal Service Performance Plans and 

Program Performance. The Commission may also undertake special studies requested by the 

Postal Service, Congress, or as needed to complete its statutory responsibilities.

The Commission plays a key role in helping the Department of State to formalize and 

promote U.S. government positions in the UPU, particularly in promoting greater 

transparency and accountability. The Commission will work through an interagency process 

led by the Department of State to review and negotiate proposals for adoption at the UPU, 

provide continued leadership at the bilateral and multilateral level, and promote the 

exchange of information and best practices among postal regulators around the globe. FY 

2016 is a critical year within the UPU as the quadrennial UPU Congress will take place. The 

UPU Congress is the plenipotentiary body of this intergovernmental organization that has the 

authority to change the UPU Acts that contain rates and classifications for market dominant 

products.
14

Progress will continue in developing a modern supporting infrastructure. The Commission will 

continue to ensure that its Records Management program is fully coordinated with the 

National Archives, and plans to implement an electronic records management system, 

including email and document control. The Commission plans to automate its Human 

Resources management processes and invest in IT that will ensure the security and stability 

of key applications and infrastructure. It will also focus on those systems and applications 

that facilitate transparency and public access and that directly impact the productivity and 

efficiency of the staff. 

Activities in FY 2016 have the potential to vary significantly depending on the Postal Service’s 

financial challenges, and potential structural and service changes. As noted, if the postal 

network continues to be consolidated, it is likely that the Commission will experience an 

increase in rulemakings seeking to change analytical principles, post office closing appeals, 

complaints, and depending on the nature of those changes, requests for advisory opinions on 

changes in the nature of postal services. In addition, the Commission will evaluate its current 

regulations and revise or update them as necessary.

The Commission anticipates many new challenges as the Postal Service and interested 

stakeholders explore legal boundaries under the PAEA. For example, the Commission expects 

an increasing number of contentious cases involving requests to expand the number of Postal 

Service competitive product offerings, either through the creation of a new competitive 

product or the transfer of an existing market dominant product to the competitive product 

list.
15

Budget Program Information

The Commission’s FY 2016 Performance Budget Plan has four programs consisting of: (1)

Postal Service Accountability; (2) Public Access and Participation; (3) Integration and

Support; and (4) the Office of the Inspector General (OIG). These programs are aligned with

the goals contained in the Commission’s Strategic Plan for FY 2012 – FY 2016.

* This is the full amount requested by the Inspector General to fund OIG personnel (including 

detailees), travel, and training.

ProposedAppropriations Language

Postal Regulatory Commission

Salaries and Expenses

(including transfer of funds)

For necessary expenses of the Postal Regulatory Commission in carrying out the

provisions of the Postal Accountability and Enhancement Act (Public Law 109‐435),

$15,538,000, to be derived by transfer from the Postal Service Fund and expended as

authorized by section 603(a) of such Act: Provided, That unobligated balances remaining in

this account on October 1, 2016 shall be transferred back to the Postal Service Fund.

Program

FY 2014 FY 2015 FY 2016

Request

$000 FTE $000 FTE $000 FTE

Postal Service Accountability 3,709 25 3,767 26 4,129 27

Public Access & Participation 4,450 30 4,670 32 5,046 33

Integration and Support 5,417 14 5,683 14 5,776 14

Office of the Inspector General 576 3 580 3 587* 3

Total 14,152 72 14,700 75 15,538 77
16

Obligation by Object Classification

*Effective FY 2015, international travel is included in the Travel line item.

OBJECT CLASSIFICATION FY 2014 FY 2015 FY 2016

Request

Personnel Compensation 10,659 11,175 11,792

Other Personnel Compensation 106 80 100

Subtotal 10,765 11,255 11,892

Supplies 220 221 235

Office furniture and equipment 10 20 20

Office equipment rental 

and repair

25 34 45

Contractual services 135 189 203

Consulting services 856 744 804

Advertising 5 5 5

Subtotal 1,251 1,213 1,312

Travel* 35 59 61

Training 30 30 45

Printing and reproduction 165 159 165

International Policy

Development*

55 0 0

Rent 1,681 1,719 1,758

Miscellaneous, subscriptions 10 10 15

Communications 60 81 90

Information technology 100 174 200

Subtotal 2,136 2,232 2,334

Total Obligations 14,152 14,700 15,538
17

Strategic Goal 1: Postal Service Accountability

Performance Objectives

Ensure transparent, effective, and lawful Postal Service systems and services.

A. Financial Accountability and Compliance

Ensure transparent, accurate, and informative Postal Service reporting sufficient for 

evaluation of lawful compliance and financial performance.

FY 2016 Work Plan:

1. Review and evaluate Postal Service financial data.

2. Enforce compliance determinations.

3. Review and evaluate Postal Service international data and proposals for the UPU.

4. Implement specific human capital goals for the Office of Accountability & Compliance.

The Commission will measure success by the timeliness, thoroughness, relevance, and 

accuracy of readable work products. These indicators will be supplemented by feedback from 

Commissioners and staff, the Postal Service, the State Department, and other stakeholders.

B. Service Performance Evaluation

Ensure appropriate and transparent Postal Service performance standards and 

measurements to promote an efficient, effective, and responsive mail service.
18

FY 2016 Work Plan:

1. Execute a visible and effective advisory role in regard to Postal Service proposals for 

changes in the nature of U.S. postal services, such as proposed changes in nationwide 

services. Issue special reports on Commission evaluation of potential policy and 

systemic changes.

2. On an annual basis, evaluate compliance with standards for service performance (39 

U.S.C. section 3653); continue to evaluate the extent to which the Postal Service must 

use an external versus an internal measurement system.

3. Consult on, revise, and augment performance standards and goals for marketdominant products.

The Commission will measure success by the timeliness, quality, thoroughness, and accuracy 

of readable work products, as well as its relevance and actionable advice. These indicators 

will be supplemented by feedback from Commissioners, the Postal Service, Congress, the 

postal community and other stakeholders.

C. Modern Product Regulation

Maintain and improve a predictable, transparent, and effective system of rate and product 

regulation.

FY 2016 Work Plan:

1. Refine and augment the modern system for regulating rates and classes for marketdominant products.

2. Review and evaluate Postal Service proposals to move products between marketdominant and competitive product classifications.

3. Review, analyze, and evaluate workshare discounts, negotiated service agreements, and 

market tests. Issue timely, accurate reports and finding on these reviews.

The Commission will measure success by the timeliness, thoroughness, readability, and 

accuracy of its work products. These indicators will be supplemented by feedback from the 

postal community.
19

D. Universal Mail System

Maintain and improve the calculation of the cost of universal mail system.

FY 2016 Work Plan:

1. Calculate cost of USO on an annual basis.

2. Maintain and improve understanding of universal mail system.

The Commission will measure success by the timeliness, thoroughness, readability, relevance,

and accuracy of its work products. These indicators will be supplemented by feedback from 

the postal community.
20

Strategic Goal 2: Public Accessto Information and Participation

PerformanceObjectives

The Commission is accessible to all stakeholders, and ensures Postal Service accountability 

through a fair and open public process.

A. Public Participation and Government Relations

Ensure the Commission is visible and readily accessible to all. 

FY 2016 Work Plan: 

1. Maintain and update comprehensive strategy for outreach to the public and media. 

Implement consistent messaging, updating, and branding for public documents and the 

Commission’s website. 

2. Continue to enhance government relations through proactive outreach and relationship 

building with Congress, the Executive branch, Federal, State, and local governments. 

3. Maintain a timely system to track, analyze, and respond to public and consumer inquiries 

and correspondence, including “informal complaints.” 

4. Complete Commission website redesign to maximize usability by Commission, postal 

stakeholders, and the general public. Review and modify the content of the Commission 

website as necessary. 

5. Identity legislative and public affairs priorities. Develop Commission Annual Report. 

The Commission will measure success by responding to public inquiries within 72 hours, barring 

exceptional circumstances. 

The Commission will send follow-up surveys to informal complainants assisted by the Postal 

Service.
21

B. Appeal and Complaint Process

Ensure Postal Service accountability through fair and open appeal and public formal complaint 

processes that provide appropriate and timely resolution.

FY 2016 Work Plan:

1. Maintain a consistent, transparent and equitable formal complaint system that provides 

timely and proper due process to complainants and the Postal Service. 

2. Develop procedures and resources for handling an expanding numbers of appeals and 

complaint cases, such as from post office closings. 

3. Identify patterns in appeals and complaints and order appropriate remedies to achieve 

compliance.

The Commission will measure success by the: 

 Percentage of post office appeals resolved within 120 days.

 Percentage of formal complaints in which affirmative action was taken within 90 days. 

 Percentage of rate and service inquiries in which responsive information is obtained 

within 60 days. 

It will review and update as necessary procedures for appeals and complaints at least every 5 

years. 

C. Representation of the Public in Commission Proceedings

Ensure informed and responsive representation of the interests of the general public in all 

Commission proceedings.

FY 2016 Work Plan: 

1. Conduct public outreach through traditional media, technology tools, and other methods 

to ensure wide public notice of all Commission proceedings. 

2. Review and simplify processes through which members of the public may provide their 

input on the Commission’s decision-making processes. 
22

3. Implement the statutory requirement of a public representative through creation of a 

PRC policy.

4. Continually review and provide guidance to those appointed to represent the interests of 

the general public in Commission proceedings in order to improve performance. 

The Commission will measure success by the quality and timeliness of public representative 

filings. 
23

Strategic Goal 3: Infrastructure to Meet Mission

PerformanceObjectives

Ensure that the Commission has the physical, financial, technology, and human capital 

infrastructure needed to accomplish its mission.

A. Human Capital

Enhance a system that fosters recruitment, development, and retention of a talented, skilled,

and adaptable workforce. The following tasks are statutory requirements under title 39 of the 

U.S. Code.

FY 2016 Work Plan: 

1. Continue to update the Human Capital Plan, including a succession plan, as needed, to 

ensure alignment of the workforce and work environment with the PRC mission.

2. Maintain and update policies and procedures to attract and select highly qualified 

candidates into positions required to achieve the mission within projected budget 

constraints.

3. Continue to implement a performance management system that rewards outstanding 

contributions to the Commission and addresses developmental needs to retain high 

performing staff and promote outstanding contributions to the Commission’s mission. 

4. Identify and sponsor training and development opportunities to develop employees, 

targeting leadership development of managers and supervisors. 

5. Continue to monitor the results of the FEVS, and implement solutions to achieve continuous 

improvement. 

6. Maintain and enforce up-to-date human resources policies and procedures (e.g., 

compensation, benefits, EEO) to ensure a fair, consistent and sustainable application. 
24

The Commission will measure success by: 

 Strengthening pay and performance process with updated pay analysis and policies.

 Ensuring positions are aligned with the mission of agency by updating all position 

descriptions.

 Improving leadership effectiveness over the FY 2015 baseline as measured by 360 

review process.

 Targeting recruitment efforts by sending vacancy notices to diversity and affinity groups, 

as well as colleges and universities, to improve the applicant pool for any open 

positions.

 Ensuring the FEVS Action Plan timelines are met. 

B. Program Integration and Support 

Adapt to the latest technology, operational systems and organizational infrastructure in 

achieving Commission goals.

FY 2016 Work Plan: 

1. Develop and maintain the Commission’s annual budget and fiscal processes based on 

administration guidance. 

2. Enforce up-to-date IT security policies, practices, and enforcement procedures to ensure 

functionality and security of electronic communication systems such as website, dockets, 

LAN, webcasts, email, VOIP, etc. 

3. Ensure that records of the Commission are properly maintained in accordance with 

policies and procedures. Continue to improve Records Management program at the 

Commission. Review and modify, as necessary, records schedules and policies to meet 

Records Management directives and to simplify Commission workflow processes. 

4. Ensure the website – both internal and external - is current, accessible, and useful to 

stakeholders. 
25

5. Continue to maintain financial controls to ensure more than adequate fiscal 

responsibility. 

6. Ensure equipment and facilities are sufficient, safe, and secure. 

The Commission will measure success in IT management by: 

 Implementing necessary technology to improve Records Management, including 

systems necessary to manage all electronic records. 

 Enforcing up-to-date IT security requirements.

The Commission will measure success in Records and FOIA management by: 

 Ensuring a score above 85 on the National Archives and Records Administration annual 

assessment.

 Ensuring that the Commission meets its Record Management goals.

 Ensuring that the Commission is all green on the annual FOIA assessment.

 Ensuring that the Commission completes all required reports and FOIA requests.

The Commission will measure success in improving financial management by: 

 Decreasing the monthly variance of actual expenditures to the budgeted amount.

 Maintaining the efficiency of resource utilization within the appropriated budget.

 Tracking and implementing cost savings measures when identified. 
26

Office of the Inspector General

The Postal Regulatory Commission's Office of the Inspector General (OIG) was established in 

June 2007, as required by an amendment to the Inspector General Act (IG Act) of 1978 included 

in the PAEA. The PRC Inspector General has a dual reporting responsibility to both PRC 

Commissioners and Congress. 

The role of the OIG is to detect and deter fraud, waste, abuse and mismanagement within PRC 

programs, as well as to promote efficient and effective use of PRC resources. To accomplish 

this, the OIG conducts, supervises and coordinates independent audits, inspections, evaluations 

and other reviews in accordance with applicable law. The OIG communicates the results of 

these assessments to Commissioners, Commission management, Congress, other oversight 

entities as appropriate, and to the public. Generally, the OIG communicates these results in 

formal reports that contain findings and recommendations aimed at correcting any deficiencies 

identified and at promoting efficiency and effectiveness in PRC programs and operations.

The OIG maintains a Hotline to allow employees and the public to anonymously report 

allegations of fraud, waste, abuse and mismanagement.