119
‘‘(B) Subsection (f) or (g) of section 3604 (re-
lating to administrative subpoenas by the Postal
Regulatory Commission).
‘‘(C) Subsection (a) or (b) of section 3628 (re-
lating to appeals from decisions of the Commission
and the Directors).
‘‘(2) In any circumstance not covered by paragraph
(1), the Department of Justice shall, under section 411,
furnish the Postal Service such legal representation as it
may require, except that, with the prior consent of the
Attorney General, the Postal Service may, in any such cir-
cumstance, employ attorneys by contract or otherwise to
conduct litigation brought by or against the Postal Service
or its officers or employees in matters affecting the Postal
Service.
‘‘(h) A judgment against the Government of the
United States arising out of activities of the Postal Service
shall be paid by the Postal Service out of any funds avail-
able to the Postal Service, subject to the restriction speci-
fied in section 2011(f).’’.
(b) TECHNICAL AMENDMENT.—Section 409(a) of
title 39, United States Code, is amended by striking ‘‘Ex-
cept as provided in section 3628 of this title,’’ and insert-
ing ‘‘Except as otherwise provided in this title,’’.
120
TITLE 
IV—MISCELLANEOUS
PROVISIONS 
RELATING 
TO
THE 
BUDGET 
AND 
APPRO-
PRIATIONS PROCESS
SEC. 401. PROVISIONS RELATING TO BENEFITS UNDER
CHAPTER 81 OF TITLE 5, UNITED STATES
CODE, FOR OFFICERS AND EMPLOYEES OF
THE FORMER POST OFFICE DEPARTMENT.
(a) IN GENERAL.—Section 8 of the Postal Reorga-
nization Act (39 U.S.C. 1001 note) is amended by insert-
ing ‘‘(a)’’ after ‘‘8.’’ and by adding at the end the follow-
ing:
‘‘(b) For purposes of chapter 81 of title 5, United
States Code, the Postal Service shall, with respect to any
individual receiving benefits under such chapter as an offi-
cer or employee of the former Post Office Department,
have the same authorities and responsibilities as it has
with respect to an officer or employee of the Postal Service
receiving such benefits.’’.
(b) EFFECTIVE DATE.—This section and the amend-
ments made by this section shall take effect on October
1, 1998.
SEC. 402. TECHNICAL AND CONFORMING AMENDMENTS.
(a) APPROPRIATIONS.—Subsection (e) of section
2401 of title 39, United States Code, is amended—
121
(1) by striking ‘‘Committee on Post Office and
Civil Service’’ each place it appears and inserting
‘‘Committee on Government Reform and Oversight’’;
(2) by striking ‘‘and the Committees on Appro-
priations of the Senate and the House of Represent-
atives’’; and
(3) by striking ‘‘Not later than March 15 of
each year,’’ and inserting ‘‘Each year,’’.
(b) TECHNICAL CORRECTION.—Sections 2803(a) and
2804(a) of title 39, United States Code, are amended by
striking ‘‘2401(g)’’ and inserting ‘‘2401(e)’’.
TITLE 
V—PROVISIONS 
RELAT-
ING 
TO 
TRANSPORTATION,
CARRIAGE, OR DELIVERY OF
MAIL
SEC. 501. OBSOLETE PROVISIONS.
(a) REPEAL.—Chapter 52 of title 39, United States
Code, is repealed.
(b) CONFORMING AMENDMENTS.—Section 5005(a)
of title 39, United States Code, is amended—
(1) by repealing paragraph (1); and
(2) in paragraph (4) by striking ‘‘(as defined in
section 5201(6) of this title)’’.
(c) ELIMINATING RESTRICTION ON LENGTH OF CON-
TRACTS.—(1) Section 5005(b)(1) of title 39, United
122
States Code, is amended by striking ‘‘(or where the Postal
Service determines that special conditions or the use of
special equipment warrants, not in excess of 6 years)’’ and
inserting ‘‘(or such length of time as may be determined
by the Postal Service to be advisable or appropriate)’’.
(2) Section 5402(c) of such title 39 is amended by
striking ‘‘for a period of not more than 4 years’’.
(3) Section 5605 of such title 39 is amended by strik-
ing ‘‘for periods of not in excess of 4 years’’.
(d) CLERICAL AMENDMENT.—The table of chapters
for part V of title 39, United States Code, is amended
by repealing the item relating to chapter 52.
SEC. 502. EXPANDED CONTRACTING AUTHORITY.
Subsection (d) of section 5402 of title 39, United
States Code, is amended to read as follows:
‘‘(d) Notwithstanding the provisions of subsections
(a) through (c), the Postal Service may contract for the
transportation of mail by aircraft, except as provided in
subsections (f) and (g).’’.
SEC. 503. PRIVATE CARRIAGE OF LETTERS.
(a) REPEAL
OF SUSPENSION AUTHORITY.—Sub-
section (b) of section 601 of title 39, United States Code,
is repealed.
123
(b) PRIVATE CARRIAGE.—Section 601 of title 39,
United States Code, is amended by striking subsection (a)
and inserting the following:
‘‘(a) A letter may be carried out of the mails when—
‘‘(1) the amount paid for the private carriage of
the letter is at least the amount equal to 6 times the
rate then currently charged for the 1st ounce of a
single-piece first-class letter;
‘‘(2) the letter weighs at least 12 1⁄2 ounces;
‘‘(3) such carriage is within the scope of serv-
ices described by regulations of the United States
Postal Service (as in effect on July 1, 1998) that
purport to permit private carriage by suspension of
the operation of this subsection (as then in effect);
or
‘‘(4) the requirements of subsection (b) are
met.
‘‘(b) A letter shall be considered to satisfy the re-
quirements of this subsection if—
‘‘(1) it is enclosed in an envelope;
‘‘(2) the amount of postage which would have
been charged on the letter if it had been sent by
mail is paid by stamps, or postage meter stamps, on
the envelope;
‘‘(3) the envelope is properly addressed;
124
‘‘(4) the envelope is so sealed that the letter
cannot be taken from it without defacing the enve-
lope;
‘‘(5) any stamps on the envelope are canceled in
ink by the sender; and
‘‘(6) the date of the letter, of its transmission
or receipt by the carrier is endorsed on the envelope
in ink.’’.
(c) EFFECTIVE DATE.—This section shall take effect
as of the first day of the first year beginning on or after
the date as of which the baseline rates are determined
under section 3721(e)(2).
SEC. 504. REPEAL OF SECTION 5403.
(a) IN GENERAL.—Section 5403 of title 39, United
States Code, is repealed.
(b) CLERICAL AMENDMENT.—The table of sections
for chapter 54 of title 39, United States Code, is amended
by repealing the item relating to section 5403.
TITLE VI—STUDIES
SEC. 601. EMPLOYEE-MANAGEMENT RELATIONS.
(a) INDEPENDENT STUDY REQUIRED.—The Board
of Directors shall, by contract, provide for the National
Academy of Public Administration to conduct an inde-
pendent study as to how employee-management relations
within the United States Postal Service may be improved.
125
(b) SPECIFIC REQUIREMENTS.—Under the contract,
the Academy shall be required—
(1) to involve the labor, supervisory, and mana-
gerial organizations of the Postal Service in develop-
ing the design and specific objectives of the study;
(2) to consult periodically with representatives
of the Postal Service, and of those labor, super-
visory, and managerial organizations, on the
progress of the study; and
(3) to provide opportunity for those labor, su-
pervisory, and managerial organizations to review
and submit written comments on the final report.
(c) FINAL REPORT.—
(1) IN GENERAL.—The Academy shall, not later
than 12 months after the date on which the contract
for the study under this section is entered into, sub-
mit its final report to the President, the Congress,
the Postal Service, and the labor, supervisory, and
managerial organizations of the Postal Service.
(2) CONTENTS.—The report shall contain the
findings, conclusions, and recommendations of the
Academy on all matters required to be addressed by
the study, and shall also include all written com-
ments submitted to the Academy under subsection
(b)(3).
126
(d) COOPERATION.—The Board of Directors shall
take appropriate measures to ensure that all components
of the Postal Service cooperate fully with the Academy in
the conduct of its study under this section.
(e) DEFINITION.—For purposes of this section, the
term ‘‘Board of Directors’’ has the meaning given such
term by section 102 of title 39, United States Code (as
amended by section 101 of this Act).
SEC. 602. RECOMMENDATIONS ON UNIVERSAL POSTAL
SERVICES.
(a) IN GENERAL.—Chapter 28 of title 39, United
States Code, is amended by adding at the end the follow-
ing:
‘‘§ 2806. Universal postal services
‘‘(a)(1) Within 1 month after the date of enactment
of this section, the Postal Service shall begin conducting
a study the purpose of which shall be to develop rec-
ommendations as to the appropriate scope and standards
for universal postal services to be assured by the Govern-
ment of the United States consistent with its obligations
under sections 101 and 403.
‘‘(2) The Postal Service shall, within 18 months
thereafter, complete its study and submit a written report
to the President, the Congress, and the Postal Regulatory
127
Commission setting forth its recommendations under this
section and the reasons therefor.
‘‘(3) The Postal Service shall solicit and include as
part of its report the written views and suggestions of any
persons who may be affected by or interested in any mat-
ter as to which the study pertains.
‘‘(4) The conduct of the study and the drafting of
the report required under this section shall, consistent
with section 2805 (relating to inherently Governmental
functions), be performed only by employees of the Postal
Service.
‘‘(b)(1) The recommendations submitted by the Post-
al Service under this section shall include recommenda-
tions concerning a universal service definition for each
class of delivery services the continuous provision of which
must, in the view of the Postal Service, be assured in order
to fulfill the obligations set out in sections 101 and 403.
‘‘(2) In developing its recommendations under this
subsection with respect to any given class of delivery serv-
ices, the Postal Service shall take into consideration the
development of new technologies and the evolution of al-
ternative means of meeting the public interest objectives
set out in this title.
‘‘(c) Each universal service definition recommended
by the Postal Service under this section shall include the
128
specification of minimum standards of service to be at-
tained, consistent with the following:
‘‘(1) Standards of reliability, speed, frequency,
and quality of service shall be established so as to
meet the needs of users and consumers of universal
services generally.
‘‘(2) Universal services should be available at
just, reasonable, and affordable rates sufficient to
enable universal services to be provided under best
practices of honest, efficient, and economical man-
agement.
‘‘(3) Persons in all regions of the Nation, in-
cluding low-income persons and those located in
rural, insular, and high-cost areas, should have ac-
cess to universal postal services that are reasonably
comparable to those provided in urban areas and
that are available at appropriate rates. As provided
in section 101(b), no small post office of the Postal
Service shall be closed solely by reason of operating
at a deficit.
‘‘(4) In providing universal services, the Postal
Service shall not, except as specifically authorized in
this title, make any undue or unreasonable discrimi-
nation among users, including other providers of
postal services.
129
‘‘(5) Universal services shall be maintained
without interruption and without abrupt and sub-
stantial changes in rates or quality of service.
‘‘(6) Standards for universal service should
avoid distortions in the competition between postal
operators and between commercial purchasers of
postal services to the extent consistent with fulfilling
the obligations set out in sections 101 and 403.
‘‘(7) Universal service definitions for the State
of Alaska shall take into account the special condi-
tions and needs of that State.
‘‘(8) Universal services shall be provided con-
sistent with such other principles as the Postal Serv-
ice determines are necessary and appropriate for the
protection of the public interest, convenience, and
necessity, and the requirements of this title.
‘‘(d) In addition to the principles set out in subsection
(c), the Postal Service shall take into account special re-
quirements for certain classes of postal services under this
title, including requirements for uniform, reduced, or free
rates.’’.
(b) CLERICAL AMENDMENT.—The table of sections
for chapter 28 of title 39, United States Code, is amended
by adding at the end the following:
‘‘2806. Universal postal services.’’.
130
SEC. 603. STUDY ON EQUAL APPLICATION OF LAWS TO
COMPETITIVE PRODUCTS.
(a) IN GENERAL.—The Department of Justice shall
prepare and submit to the President and Congress, within
1 year after the date of enactment of this Act, a com-
prehensive report identifying Federal and State laws that
apply differently to products of the United States Postal
Service in the competitive category of mail (as that term
is defined in chapter 37 of title 39, United States Code,
as amended by this Act) and similar products provided
by private companies.
(b) RECOMMENDATIONS.—The Department of Jus-
tice shall include such recommendations as it considers ap-
propriate for bringing such legal discrimination to an end.
(c) CONSULTATION.—In preparing its report, the De-
partment of Justice shall consult with the United States
Postal Service, the Postal Regulatory Commission, other
Federal agencies, mailers, private companies that provide
delivery services, and the general public, and shall append
to such report any written comments received under this
subsection.
SEC. 604. GREATER DIVERSITY IN POSTAL SERVICE EXECU-
TIVE AND ADMINISTRATIVE SCHEDULE MAN-
AGEMENT POSITIONS.
(a) STUDY.—The Board of Directors shall study and,
within 1 year after the date of enactment of this Act, sub-
131
mit to the President and Congress a report concerning the
extent to which women and minorities are represented in
supervisory and management positions within the United
States Postal Service. Any data included in the report
shall be presented in the aggregate and by pay level.
(b) PERFORMANCE
EVALUATIONS.—The United
States Postal Service shall, as soon as practicable, take
such measures as may be necessary to ensure that, for
purposes of conducting performance appraisals of super-
visory or managerial employees, appropriate consideration
shall be given to meeting affirmative action goals, achiev-
ing equal employment opportunity requirements, and im-
plementation of plans designed to achieve greater diversity
in the workforce.
(c) DEFINITION.—For purposes of this section, the
term ‘‘Board of Directors’’ has the meaning given such
term by section 102 of title 39, United States Code (as
amended by section 101 of this Act).
SEC. 605. PLAN FOR ASSISTING DISPLACED WORKERS.
(a) PLAN.—The United States Postal Service shall,
before the deadline specified in subsection (b), develop and
be prepared to implement, whenever necessary, a com-
prehensive plan under which reemployment assistance
shall be afforded to employees displaced as a result of the
automation or privatization of any of its functions.
132
(b) REPORT.—Not later than 1 year after the date
of enactment of this Act, the United States Postal Service
shall submit to its Board of Directors (within the meaning
of section 102 of title 39, United States Code, as amended
by section 101 of this Act) and Congress a written report
describing its plan under this section.
SEC. 606. CONTRACTS WITH WOMEN, MINORITIES, AND
SMALL BUSINESSES.
The Board of Directors of the United States Postal
Service shall study and, within 1 year after the date of
enactment of this Act, submit to the President and the
Congress a report concerning the number and value of
contracts and subcontracts the Postal Service has entered
into with women, minorities, and small businesses.
TITLE VII—INSPECTORS
GENERAL
SEC. 701. INSPECTOR GENERAL OF THE POSTAL REGU-
LATORY COMMISSION.
(a) IN GENERAL.—Paragraph (2) of section 8G(a)
of the Inspector General Act of 1978 is amended by insert-
ing ‘‘the Postal Regulatory Commission,’’ after ‘‘the
United States International Trade Commission,’’.
(b) ADMINISTRATION.—Section 3604 of title 39,
United States Code, is amended by adding after sub-
section (g) (as added by section 211) the following:
133
‘‘(h)(1) Notwithstanding any other provision of this
title or of the Inspector General Act of 1978, the authority
to select, appoint, and employ officers and employees of
the Office of Inspector General of the Postal Regulatory
Commission, and to obtain any temporary or intermittent
services of experts or consultants (or an organization of
experts or consultants) for such Office, shall reside with
the Inspector General of the Postal Regulatory Commis-
sion.
‘‘(2) Except as provided in paragraph (1), any exer-
cise of authority under this subsection shall, to the extent
practicable, be in conformance with the applicable laws
and regulations that govern selections, appointments and
employment, and the obtaining of any such temporary or
intermittent services, within the Postal Regulatory Com-
mission.’’.
(c) DEADLINE.—No later than 180 days after the
date of enactment of this Act—
(1) the first Inspector General of the Postal
Regulatory Commission shall be appointed; and
(2) the Office of Inspector General of the Post-
al Regulatory Commission shall be established.
134
SEC. 702. INSPECTOR GENERAL OF THE UNITED STATES
POSTAL SERVICE TO BE APPOINTED BY THE
PRESIDENT.
(a) DEFINITIONAL AMENDMENTS TO THE INSPEC-
TOR GENERAL ACT OF 1978.—Section 11 of the Inspector
General Act of 1978 is amended—
(1) in paragraph (1)—
(A) by striking ‘‘and’’ before ‘‘the chief ex-
ecutive officer of the Resolution Trust Corpora-
tion’’;
(B) by striking ‘‘and’’ before ‘‘the Chair-
person of the Federal Deposit Insurance Cor-
poration’’;
(C) by striking ‘‘or’’ before ‘‘the Commis-
sioner of Social Security, Social Security Ad-
ministration’’; and
(D) by inserting ‘‘or the Postmaster Gen-
eral and Chief Executive Officer of the United
States Postal Service;’’ after ‘‘Social Security
Administration;’’; and
(2) in paragraph (2)—
(A) by striking ‘‘or’’ before ‘‘the Veterans’
Administration’’;
(B) by striking ‘‘or’’ before ‘‘the Social Se-
curity Administration’’; and
135
(C) by inserting ‘‘or the United States
Postal Service;’’ after ‘‘Social Security Adminis-
tration;’’.
(b) SPECIAL PROVISIONS CONCERNING THE UNITED
STATES POSTAL SERVICE.—
(1) IN GENERAL.—The Inspector General Act
of 1978 is amended—
(A) by redesignating sections 8G (as
amended by section 701(a)) and 8H as sections
8H and 8I, respectively; and
(B) by inserting after section 8F the fol-
lowing:
‘‘SPECIAL PROVISIONS CONCERNING THE UNITED STATES
POSTAL SERVICE
‘‘SEC. 8G. (a) Notwithstanding the last two sentences
of section 3(a), the Inspector General of the United States
Postal Service shall report to and be under the general
supervision of the Postmaster General, but shall not re-
port to, or be subject to supervision by, any other officer
or employee of the United States Postal Service or its
Board of Directors. No such officer or employee (including
the Postmaster General) or member of such Board shall
prevent or prohibit the Inspector General from initiating,
carrying out, or completing any audit or investigation, or
from issuing any subpoena during the course of any audit
or investigation.
136
‘‘(b) In carrying out the duties and responsibilities
specified in this Act, the Inspector General of the United
States Postal Service shall have oversight responsibility
for all activities of the Postal Inspection Service, including
any internal investigation performed by the Postal Inspec-
tion Service. The Chief Postal Inspector shall promptly re-
port the significant activities being carried out by the
Postal Inspection Service to such Inspector General.
‘‘(c) Any report required to be transmitted by the
Postmaster General to the appropriate committees or sub-
committees of the Congress under section 5(d) shall also
be transmitted, within the 7-day period specified under
such section, to the Committee on Government Reform
and Oversight of the House of Representatives and the
Committee on Governmental Affairs of the Senate.
‘‘(d) Notwithstanding any provision of paragraph (7)
or (8) of section 6(a), the Inspector General of the United
States Postal Service may select, appoint, and employ
such officers and employees as may be necessary for carry-
ing out the functions, powers and duties of the Office of
Inspector General and to obtain the temporary or inter-
mittent services of experts or consultants or an organiza-
tion of experts or consultants, subject to the applicable
laws and regulations that govern such selections, appoint-
137
ments, and employment, and the obtaining of such serv-
ices, within the United States Postal Service.
‘‘(e) Nothing in this Act shall restrict, eliminate, or
otherwise adversely affect any of the rights, privileges, or
benefits of employees of the United States Postal Service,
or labor organizations representing employees of the
United States Postal Service, under chapter 12 of title 39,
United States Code, the National Labor Relations Act,
any handbook or manual affecting employee labor rela-
tions with the United States Postal Service, or any collec-
tive bargaining agreement.
‘‘(f) There are authorized to be appropriated, out of
the Postal Service Fund, such sums as may be necessary
for the Office of Inspector General of the United States
Postal Service.
‘‘(g) As used in this section, ‘Postmaster General’,
‘Board of Directors’, and ‘Board’ each has the meaning
given it by section 102 of title 39, United States Code.’’.
(2) RELATED PROVISIONS.—
For certain related provisions, see section 213(b).
(c) AUDITS OF THE POSTAL SERVICE.—
(1) AUDITS.—Subsection (e) of section 2008 of
title 39, United States Code, is amended to read as
follows:
‘‘(e)(1) At least once each year beginning with the
fiscal year commencing after the date of enactment of the
138
Postal Modernization Act of 1999, the financial state-
ments of the Postal Service (including those used in deter-
mining and establishing postal rates) shall be audited by
the Inspector General or by an independent external audi-
tor selected by the Inspector General.
‘‘(2) Audits under this section shall be conducted in
accordance with applicable generally accepted government
auditing standards.
‘‘(3) Upon completion of the audit required by this
subsection, the person who audits the statement shall sub-
mit a report on the audit to the Postmaster General.’’.
(2) RESULTS OF INSPECTOR GENERAL’S AUDIT
TO
BE
INCLUDED
IN
ANNUAL
REPORT.—Section
2402 of title 39, United States Code, is amended by
inserting after the first sentence the following:
‘‘Each report under this section shall include, for the
most recent fiscal year for which a report under sec-
tion 2008(e) is available (unless previously transmit-
ted under the following sentence), a copy of such re-
port.’’.
(3) COORDINATION
PROVISIONS.—Subsection
(d) of section 2008 of title 39, United States Code,
is amended—
139
(A) by striking ‘‘(d) Nothing’’ and insert-
ing ‘‘(d)(1) Except as provided in paragraph
(2), nothing’’; and
(B) by adding at the end the following:
‘‘(2) An audit or report under paragraph (1) may not
be obtained without the prior written approval of the In-
spector General.’’.
(4) SAVINGS PROVISION.—For purposes of any
fiscal year preceding the first fiscal year commenc-
ing after the date of enactment of this Act, the pro-
visions of title 39, United States Code, shall be ap-
plied as if the amendments made by this subsection
had never been enacted.
(d) REPORTS.—
(1) IN
GENERAL.—Section 3013 of title 39,
United States Code, is amended—
(A) in the first sentence by striking ‘‘Post-
master General’’ and inserting ‘‘Chief Postal
Inspector’’;
(B) by striking ‘‘Board’’ each place it ap-
pears and inserting ‘‘Inspector General’’;
(C) in the third sentence by striking ‘‘Each
such report shall be submitted within sixty days
after the close of the reporting period involved’’
and inserting ‘‘Each such report shall be sub-
140
mitted within 1 month (or such shorter length
of time as the Inspector General may specify)
after the close of the reporting period involved’’;
and
(D) by striking the last sentence and in-
serting the following:
‘‘The information in a report submitted under this section
to the Inspector General with respect to a reporting period
shall be included as part of the semiannual report pre-
pared by the Inspector General under section 5 of the In-
spector General Act of 1978 for the same reporting period.
Nothing in this section shall be considered to permit or
require that any report by the Chief Postal Inspector
under this section include any information relating to ac-
tivities of the Inspector General.’’.
(2) EFFECTIVE
DATE.—This subsection shall
take effect on the first day of the first semiannual
reporting period beginning on or after the date of
enactment of this Act and shall apply with respect
to semiannual reporting periods beginning on or
after the effective date of this subsection.
(3) SAVINGS PROVISION.—For purposes of any
semiannual reporting period preceding the first
semiannual reporting period referred to in para-
graph (2), the provisions of title 39, United States
141
Code, shall continue to apply as if the amendments
made by this subsection had not been enacted.
(e) TECHNICAL AND CONFORMING AMENDMENTS.—
(1) RELATING
TO
THE
INSPECTOR
GENERAL
ACT OF 1978.—(A) Subsection (a) of section 8H of
the Inspector General Act of 1978 (as amended by
section 701 and redesignated by subsection (b) of
this section) is further amended—
(i) in paragraph (2) by striking ‘‘the Post-
al Regulatory Commission, and the United
States Postal Service;’’ and inserting ‘‘and the
Postal Regulatory Commission;’’ and
(ii) in paragraph (4) by striking ‘‘except
that’’ and all that follows through ‘‘Code);’’ and
inserting ‘‘except that, with respect to the Na-
tional Science Foundation, such term means the
National Science Board;’’.
(B)(i) Subsection (f) of section 8H of such Act
(as so redesignated) is repealed.
(ii) Subsection (c) of section 8H of such
Act (as so redesignated) is amended by striking
‘‘Except as provided under subsection (f) of this
section, the’’ and inserting ‘‘The’’.
142
(2) RELATING TO TITLE 39, UNITED STATES
CODE.—(A) Subsection (e) of section 202 of title 39,
United States Code, is repealed.
(B) Paragraph (4) of section 102 of such title
39, as amended by sections 102(a) and 205(a) of
this Act, is amended to read as follows:
‘‘(4) ‘Inspector General’ means the Inspector
General of the United States Postal Service, ap-
pointed under section 3(a) of the Inspector General
Act of 1978;’’.
(C) The first sentence of section 1003(a) of
such title 39 is amended by striking ‘‘chapters 2 and
12 of this title, section 8G of the Inspector General
Act of 1978, or other provision of law,’’ and insert-
ing ‘‘chapter 2 or 12 of this title, subsection (b) or
(c) of section 1003 of this title, or any other provi-
sion of law,’’.
(D) Subsection (b) of section 1003 of such title
39 is amended by striking ‘‘respective’’ and inserting
‘‘other’’.
(E) Subsection (c) of section 1003 of such title
39 is amended by striking ‘‘included’’ and inserting
‘‘includes’’.
(f) EFFECTIVE DATE; ELIGIBILITY OF PRIOR IN-
SPECTOR GENERAL.—
143
(1) EFFECTIVE DATE.—
(A) IN GENERAL.—Except as provided in
subparagraph (B) or in subsection (c) or (d),
this section and the amendments made by this
section shall take effect on the date of enact-
ment of this Act.
(B) SPECIAL RULES.—
(i) IN GENERAL.—Except as provided
in clause (ii), if the position of Inspector
General of the United States Postal Serv-
ice is occupied on the date of enactment of
this Act (other than by an individual serv-
ing due to a vacancy arising in that posi-
tion before the expiration of his or her
predecessor’s term), then, until January 5,
2004, or, if earlier, the date on which such
individual ceases to serve in that position,
title 39, United States Code, shall be ap-
plied as if the amendments made by this
section had not been enacted.
(ii) AUTHORIZATION
OF
APPROPRIA-
TIONS.—
(I) IN GENERAL.—Notwithstand-
ing any other provision of this para-
graph, subsection (f) of section 8G of
144
the Inspector General Act of 1978 (as
amended by this section) shall be ef-
fective for purposes of fiscal years be-
ginning on or after October 1, 1999.
(II) SAVINGS
PROVISION.—For
purposes of the fiscal year ending on
September 30, 1999, funding for the
Office of Inspector General of the
United States Postal Service shall be
made available in the same manner as
if this Act had never been enacted.
(2) ELIGIBILITY
OF
PRIOR
INSPECTOR
GEN-
ERAL.—Nothing in this Act shall prevent any indi-
vidual who has served as Inspector General of the
United States Postal Service at any time before the
date of enactment of this Act from being appointed
to that position pursuant to the amendments made
by this section.
TITLE VIII—LAW ENFORCEMENT
Subtitle A—Amendments to
Title 39, United States Code
SEC. 801. MAKE FEDERAL ASSAULT STATUTES APPLICABLE
TO POSTAL CONTRACT EMPLOYEES.
Section 1008 of title 39, United States Code, is
amended—
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(1) in subsection (a) by inserting ‘‘or entrusted
with mail under contract with the Postal Service’’
after ‘‘mail’’; and
(2) in subsection (b) by inserting ‘‘an employee
of the Postal Service for the purposes of sections
111 and 1114 of title 18, and’’ after ‘‘deemed’’.
SEC. 802. SEXUALLY ORIENTED ADVERTISING.
(a) CIVIL PENALTY.—Section 3011 of title 39,
United States Code, is amended—
(1) by redesignating subsections (b) through (e)
as subsections (c) through (f), respectively; and
(2) by inserting after subsection (a) the follow-
ing:
‘‘(b)(1) Upon a finding by the court that a sexually
oriented advertisement has been mailed in violation of sec-
tion 3010(b), the court may assess, on whoever made the
mailing or caused it to be made, a civil penalty of not
less than $500 and not more than $1,500 for each viola-
tion. Each piece of mail sent in violation of section
3010(b) shall constitute a separate violation.
‘‘(2) For purposes of this subsection—
‘‘(A) receipt of a sexually oriented advertise-
ment after the recipient’s name and address have
been listed (as described in section 3010(b)) for at
least 60 days shall create a rebuttable presumption
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that such advertisement was mailed more than 30
days after that individual’s name and address be-
came so listed; and
‘‘(B) receipt in the mail of a sexually oriented
advertisement addressed to ‘Occupant’ or ‘Resident’
(or any other term permitted by Postal Service
standards on simplified addressing) at the recipient’s
address, or which is specifically addressed to the re-
cipient, but with an inconsequential error or vari-
ation in the recipient’s name or address, shall, for
purposes of applying the mailing prohibition of sec-
tion 3010(b), create a rebuttable presumption that
such advertisement was mailed to such recipient.
‘‘(3) Any penalty assessed under paragraph (1) shall
be paid to the Postal Service for deposit in the Postal
Service Fund established by section 2003.’’.
(b) REPEAL.—
(1) IN
GENERAL.—Section 3008 of title 39,
United States Code, and the item relating to such
section in the table of sections at the beginning of
chapter 30 of such title, are repealed.
(2) CONFORMING
AMENDMENTS.—(A) Sub-
section (f) of section 3011 of such title 39 (as so re-
designated by subsection (a)) is amended by striking
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‘‘section 3006, 3007, or 3008’’ and inserting ‘‘sec-
tion 3006 or 3007’’.
(B) Section 1737 of title 18, United States
Code, is amended—
(i) in subsection (a) by striking ‘‘3008 or’’;
and
(ii) in subsection (b) by striking ‘‘3008(a)
or’’.
(c) EFFECTIVE DATE.—This section and the amend-
ments made by this section shall take effect 90 days after
the date of the enactment of this Act. The amendments
made by this section shall be treated as if they had never
been enacted for purposes of any mailing made or caused
to be made before this section takes effect.
SEC. 803. ALLOW POSTAL SERVICE TO RETAIN ASSET FOR-
FEITURE RECOVERIES.
Paragraph (7) of section 2003(b) of title 39, United
States Code, is amended to read as follows:
‘‘(7) amounts (including proceeds from the sale
of forfeited items) from any civil forfeiture con-
ducted by the Postal Service and from any forfeiture
resulting from an investigation in which the Postal
Service has primary responsibility, except that noth-
ing in this paragraph shall preclude the Postal Serv-
ice, on such terms as it may determine, from sharing
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such amounts with any Federal, State, or local law
enforcement agency which participated in any of the
acts which led to the seizure or forfeiture of the
property; and’’.
SEC. 804. HAZARDOUS MATTER.
(a) CIVIL PENALTY.—Chapter 30 of title 39, United
States Code, is amended by adding at the end the follow-
ing:
‘‘§ 3016. Civil penalty for prohibited mailing and defi-
cient packaging of hazardous matter
‘‘(a) For the purposes of this section—
‘‘(1) the term ‘parcel’ includes any kind of
package, envelope, container, or other piece of mail;
‘‘(2) the term ‘manner’ includes the preparation
and packaging of a piece of mail;
‘‘(3) a person shall be considered to have acted
knowingly if—
‘‘(A) such person had actual knowledge of
the facts giving rise to the violation; or
‘‘(B) a reasonable person acting in the
same circumstances and exercising due care
would have had such knowledge; and
‘‘(4) the term ‘hazardous matter’ has the mean-
ing given such term by section 1716 of title 18.
‘‘(b) Any person—
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409(d). The action may be brought in the district court
of the United States for the district in which the defend-
ant resides or any district in which the defendant conducts
business or in which a violation of this section was discov-
ered.
‘‘(d) In determining the amount of any civil penalty
to be assessed under this section, the district court—
‘‘(1) shall treat as a separate violation—
‘‘(A) each parcel mailed or caused to be
mailed as described in paragraph (1) or (2) of
subsection (b); and
‘‘(B) each container, packaging kit, or
similar device manufactured, distributed, or
sold as described in subsection (b)(3); and
‘‘(2) shall take into account—
‘‘(A) the nature, circumstances, extent,
and gravity of each violation committed; and
‘‘(B) with respect to the person found to
have committed such violation, the degree of
culpability, any history of prior offenses, ability
to pay, effect on ability to continue to do busi-
ness, and such other matters as justice may re-
quire.
151
‘‘(e) All penalties collected under authority of this
section shall be paid into the Postal Service Fund estab-
lished by section 2003.’’.
(b) CLERICAL AMENDMENT.—The table of sections
at the beginning of chapter 30 of title 39, United States
Code, is amended by adding at the end the following:
‘‘3016. Civil penalty for prohibited mailing and deficient packaging of hazardous
matter.’’.
Subtitle B—Other Provisions
SEC. 811. STALKING FEDERAL OFFICERS AND EMPLOYEES.
(a) IN GENERAL.—Chapter 41 of title 18, United
States Code, is amended by adding at the end the follow-
ing:
‘‘§ 881. Stalking Federal and postal officers and em-
ployees
‘‘(a) Whoever—
‘‘(1) repeatedly engages in conduct (including
maintaining a visual or physical proximity or com-
municating a verbal or written threat) directed at
another person who is or was an officer or
employee—
‘‘(A) in the executive, legislative, or judicial
branch of the Federal Government; or
‘‘(B) in the United States Postal Service;
while such other person is engaged in official duties
or on account of such duties;
152
‘‘(2) knows that such conduct is likely to place
that other person in reasonable fear of sexual bat-
tery, bodily injury, or death; and
‘‘(3) thereby induces such fear in that other
person;
shall be punished as provided in subsection (b) of this sec-
tion.
‘‘(b)(1) The punishment for an offense under sub-
section (a) is—
‘‘(A) in the case of a first conviction under such
subsection—
‘‘(i) if, during the commission of the of-
fense, the offender uses a deadly or dangerous
weapon, a fine under this title or imprisonment
for not more than 10 years, or both;
‘‘(ii) if the offense violates a protective
order, a fine under this title or imprisonment
for not more than 5 years, or both; and
‘‘(iii) in any other case, a fine under this
title or imprisonment for not more than 3
years, or both; and
‘‘(B) in the case of a second or subsequent con-
viction under such subsection, a fine under this title
or imprisonment for not more than 15 years, or
both.
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‘‘(2) If a sentence of probation is imposed for an of-
fense under this section, the court shall require the de-
fendant to undergo appropriate psychiatric, psychological,
or social counselling.
‘‘(c)(1) Whoever is aggrieved by a violation of this
section may, in a civil action, obtain appropriate relief
from the person engaging in that violation. Such relief
may include compensatory and punitive damages, and in-
junctive or declaratory relief, and shall include reasonable
attorney’s fees.
‘‘(2) If—
‘‘(A) the court issues an injunction under this
subsection;
‘‘(B) the person against whom the injunction is
issued is an officer or employee in the executive
branch of the Federal Government or in the United
States Postal Service; and
‘‘(C) there is a nexus between the enjoined con-
duct and such person’s office or employment;
the court may order that the person be suspended or sum-
marily discharged from such office or employment.
‘‘(d) As used in this section, the term ‘protective
order’ means any court order that requires an individual—
‘‘(1) to refrain from behavior prohibited by sub-
section (a); or
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‘‘(2) to refrain from contact with the person
who subsequently is a victim of the offense under
such subsection that is committed by that individ-
ual.’’.
(b) CLERICAL AMENDMENT.—The table of sections
at the beginning of chapter 41 of title 18, United States
Code, is amended by adding at the end the following:
‘‘881. Stalking Federal and postal officers and employees.’’.
SEC. 812. NONMAILABILITY OF CONTROLLED SUBSTANCES.
Section 1716 of title 18, United States Code, is
amended by adding at the end the following:
‘‘Whoever knowingly deposits for mailing or delivery,
or knowingly causes to be delivered by mail, according to
the direction thereon, or at any place at which it is di-
rected to be delivered by the person to whom it is ad-
dressed, unless in accordance with the rules and regula-
tions authorized to be prescribed by the Postal Service,
any controlled substance, as that term is defined for the
purposes of the Controlled Substances Act, shall, if the
distribution of a like amount of such substance is a felony
under such Act, be fined under this title or imprisoned
not more than 5 years, or both.’’.
SEC. 813. ENHANCED PENALTIES.
Pursuant to its authority under section 994 of title
28, United States Code, the United States Sentencing
Commission shall amend its sentencing guidelines to—
155
(1) appropriately enhance penalties in cases in
which a defendant is convicted of stealing or de-
stroying a quantity of undelivered United States
mail, in violation of sections 1702, 1703, 1708,
1709, 2114, or 2115 of title 18, United States Code;
and
(2) establish that the intended loss in a theft of
an access device as defined in section 1029(e)(1) of
title 18, United States Code, shall be based on the
credit line of the access device or the actual unau-
thorized charges, whichever amount is greater.
SEC. 814. POSTAL BURGLARY PROVISIONS.
(a) LARCENY INVOLVING POST OFFICE BOXES AND
POSTAL STAMP VENDING MACHINES.—Section 2115 of
title 18, United States Code, is amended—
(1) by striking ‘‘or’’ before ‘‘any building’’;
(2) by inserting ‘‘or any post office box or post-
al products vending machine,’’ after ‘‘used in whole
or in part as a post office,’’; and
(3) by inserting ‘‘or in such box or machine,’’
after ‘‘so used’’.
(b) RECEIPT, POSSESSION, CONCEALMENT, OR DIS-
POSITION
OF PROPERTY.—Section 2115 of title 18,
United States Code, is amended—
(1) by inserting ‘‘(a)’’ before ‘‘Whoever’’; and
156
(2) by adding at the end the following:
‘‘(b) Whoever receives, possesses, conceals, or dis-
poses of any mail matter, money, or other property of the
United States, that has been obtained in violation of this
section, knowing the same to have been unlawfully ob-
tained, shall be fined under this title or imprisoned not
more than 5 years, or both.’’.
SEC. 815. MAIL, MONEY, OR OTHER PROPERTY OF THE
UNITED STATES.
(a) ENHANCED
PENALTY
FOR
ROBBERY.—Sub-
section (a) of section 2114 of title 18, United States Code,
is amended to read as follows:
‘‘(a) ASSAULT.—Whoever assaults any person having
lawful charge, control, or custody of any mail matter or
of any money or other property of the United States, with
intent to rob, steal, or purloin such mail matter, money,
or other property of the United States, or robs or attempts
to rob any such person of mail matter, or of any money,
or other property of the United States, shall, for the first
offense, be imprisoned not more than 10 years or fined
under this title, or both. If, in effecting or attempting to
effect such robbery the defendant wounds the person hav-
ing custody of such mail, money, or other property of the
United States, or puts that person’s life in jeopardy by
the use of a dangerous weapon, or the offense is a subse-
157
quent offense under this subsection, the defendant shall
be imprisoned not more than 25 years or fined under this
title, or both. If the death of any person results from the
offense under this subsection, the defendant shall be pun-
ished by death or life imprisonment.’’.
(b) ATTEMPT OFFENSES.—
(1) The second paragraph of section 501 of title
18, United States Code, is amended by striking
‘‘uses or sells,’’ and inserting ‘‘uses or sells or at-
tempts to use or sell,’’.
(2) Section 1711 of title 18, United States
Code, is amended by inserting ‘‘attempts to loan,
use, pledge, hypothecate, or convert to this own
use,’’ after ‘‘converts to his own use,’’.
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