necessary to ensure that no payment shall be required in 
consideration for any rights or assets of the Postal Service 
which are transferred pursuant to this Act. 
SEC. 2. REQUIREMENTS FOR THE CORPORATION. 
(a) IN GENERAL.—A corporation shall be considered 
to satisfy the requirements of this section if such corpora-
tion—
(1) is incorporated under the laws of a State; 
(2) is not a department, agency, or establish-
ment of the United States; 
(3) is incorporated by not more than 9 individ-
uals who are especially qualified to establish and op-
erate an effective mail system by virtue of their edu-
cation, training, or experience, and who are chosen 
by the employees of the Postal Service in an election 
which shall be held at such time and in such manner 
as the President shall by regulation prescribe; 
(4) includes among its purposes the delivery of 
postal services in a manner consistent with section 
101(b) of title 39, United States Code, at rates es-
tablished in a manner consistent with section 101(d) 
of such title; 
(5) issues securities in a manner consistent 
with subsection (b); and
(6) satisfies such other requirements as the 
President may by regulation prescribe in order to 
carry out the purposes of this Act. 
(b) SECURITIES.—Any securities issued by the cor-
poration—
(1) shall, during the 1-year period beginning on 
the date of the enactment of this Act, be issued—
(A) only to employees of the Postal Serv-
ice; and 
(B) in a manner to be determined by the 
Postal Privatization Commission. 
(c) RETIREMENT BENEFITS.—Retirement benefits 
provided to individuals who become employees of the cor-
poration by transfer from the Postal Service must be com-
parable to those which would have been afforded to those 
individuals as employees of the Postal Service had this Act 
not been enacted.
SEC. 3. TRANSFER PLAN; PRESIDENTIAL DETERMINATION; 
RATE-SETTING AUTHORITY. 
(a) TRANSFER PLAN.—Not later than the sixtieth 
day after the date on which a corporation first satisfies 
the requirements of section 2, as determined under sub-
section (b), the President shall, in conformance with the 
requirements of section 1, and after consultation with the 
Postal Privatization Commission, transmit to Congress—
(1) a comprehensive plan providing for the or-
derly transfer of all property subject to this Act, in-
cluding a timetable under which such transfer is 
completed not later than 180 days after the date on 
which such corporation first satisfies such require-
ments; and 
(2) such recommendations for legislation as the 
President considers necessary in order to carry out 
the plan described in paragraph (1), including rec-
ommendations—
(A) for the abolishment of the Postal Serv-
ice; 
(B) for the continuation of the private ex-
press statutes with respect to the corporation 
during the first 5 years of its existence; and 
(C) for the repeal or modification of appro-
priate Federal statutes. 
(b) PRESIDENTIAL DETERMINATION.—The Presi-
dent shall, for purposes of this section, determine the date 
on which a corporation first satisfies the requirements of 
section 2. 
(c) RATE-SETTING AUTHORITY.—After consulting 
with the Postal Rate Commission, the President shall de-
velop and include as part of the recommendations sub-
mitted under subsection (a) proposals relating to the
means by which rates of postage would be established dur-
ing the 5-year period referred to in subsection (a)(2)(B). 
Such recommendations may include continuing any oper-
ations of the Postal Rate Commission (whether on a modi-
fied basis or otherwise) which may be appropriate. 
SEC. 4. POSTAL PRIVATIZATION COMMISSION. 
(a) ESTABLISHMENT.—In order to carry out the 
functions set forth in sections 2(b)(1)(B) and 3(a), there 
is established a commission to be known as the ‘‘Postal 
Privatization Commission’’. 
(b) MEMBERSHIP.—The Commission shall consist of 
9 members, to be selected by the President. Of those mem-
bers—
(1) 3 shall be selected from among individuals 
recommended jointly by the Speaker of the House of 
Representatives and the President pro tempore of 
the Senate; 
(2) 2 shall be selected to represent the interests 
of employees of the Postal Service; 
(3) 2 shall be selected to represent the interests 
of postal management; and 
(4) 2 shall be selected from such other postal 
experts as the President considers appropriate. 
(c) COMPENSATION.—
(1) IN GENERAL.—Except as provided in para-
graph (2), members of the Commission shall be paid 
at the daily equivalent of a rate, not to exceed the 
rate of basic pay payable for level IV of the Execu-
tive Schedule, for each day (including travel time) 
during which they are engaged in the performance 
of duties of the Commission. 
(2) EXCEPTION.—Members of the Commission 
who are full-time officers or employees of the United 
States shall receive no additional pay by reason of 
their service on the Commission. 
(d) TERMINATION.—The Commission shall cease to 
exist as of the date on which the work of the Commission 
has been completed. 
SEC. 5. DEFINITIONS. 
For purposes of this Act—
(1) the term ‘‘Postal Service’’ means the United 
States Postal Service and the Postal Rate Commis-
sion; 
(2) the term ‘‘property’’, when used with re-
spect to the Postal Service, means all assets and 
rights, and all liabilities and obligations, of the Post-
al Service;
(3) the term ‘‘State’’ means each of the several 
States, the District of Columbia, and the Common-
wealth of Puerto Rico; and 
(4) the term ‘‘Postal Privatization Commission’’ 
refers to the commission established under section 4.
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