104 
Reform Act of 2011, until such percentage reaches 90 per-
cent.’’. 
(b) PROVISIONS RELATING
TO FORMER SECTION 
4452 (b) AND (c).—Section 3626(a)(6) is amended by in-
serting after subparagraph (C) the following (as a flush 
left sentence): 
‘‘Notwithstanding any other provision of this paragraph, 
the percentage specified in subparagraph (A) shall be in-
creased by an additional 5 percentage points as of the first 
day of each calendar year beginning after the date of the 
enactment of the Postal Reform Act of 2011, until such 
percentage reaches 90 percent.’’. 
SEC. 404. STREAMLINED REVIEW OF QUALIFYING SERVICE 
AGREEMENTS FOR COMPETITIVE PRODUCTS. 
Section 3633 is amended by adding at the end the 
following: 
‘‘(c) STREAMLINED REVIEW.—Within 90 days after 
the date of the enactment of this subsection, after notice 
and opportunity for public comment, the Postal Regu-
latory Commission shall promulgate (and may from time 
to time thereafter revise) regulations for streamlined 
after-the-fact review of new agreements between the Post-
al Service and users of the mail that provide rates not 
of general applicability for competitive products, and are 
functionally equivalent to existing agreements that have 
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collectively covered attributable costs and collectively im-
proved the net financial position of the Postal Service. 
Streamlined review will be concluded within 5 working 
days after the agreement is filed with the Commission and 
shall be limited to approval or disapproval of the agree-
ment as a whole based on the Commission’s determination 
of its functional equivalence. Agreements not approved 
may be resubmitted without prejudice under section 
3632(b)(3).’’. 
SEC. 405. SUBMISSION OF SERVICE AGREEMENTS FOR 
STREAMLINED REVIEW. 
Section 3632(b) is amended— 
(1) by redesignating paragraph (4) as para-
graph (5); and 
(2) by inserting paragraph (3) the following: 
‘‘(4) RATES
FOR
STREAMLINED
REVIEW.—In 
the case of rates not of general applicability for com-
petitive products that the Postmaster General con-
siders eligible for streamlined review under section 
3633(c), the Postmaster General shall cause each 
agreement to be filed with the Postal Regulatory 
Commission by such date, on or before the effective 
date of any new rate, as the Postmaster General 
considered appropriate.’’. 
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SEC. 406. TRANSPARENCY AND ACCOUNTABILITY FOR 
SERVICE AGREEMENTS. 
Section 3632(b), as amended by section 405, is 
amended by adding at the end the following: 
‘‘(6)(A) Each annual written determination of 
the Commission under section 3653 shall include 
written determinations, for each group of function-
ally equivalent agreements between the Postal Serv-
ice and users of the mail, whether it— 
‘‘(i) covered attributable costs; and 
‘‘(ii) improved the net financial position of 
the Postal Service. 
‘‘(B) Any group of functionally equivalent 
agreements (as referred to in subparagraph (A)) not 
meeting clauses (i) and (ii) of subparagraph (A) 
shall be determined to be in noncompliance under 
section 3653(c). 
‘‘(C) For purposes of this paragraph, a group 
of functionally equivalent agreements (as referred to 
in subparagraph (A)) shall consist of all service 
agreements that are functionally equivalent to each 
other within the same market-dominant or competi-
tive product, but shall not include agreements within 
an experimental product.’’. 
SEC. 407. NONPOSTAL SERVICES. 
(a) NONPOSTAL SERVICES.— 
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(1) IN GENERAL.—Part IV is amended by add-
ing after chapter 36 the following: 
‘‘CHAPTER 37—NONPOSTAL SERVICES 
‘‘Sec. 
‘‘3701. Purpose. 
‘‘3702. Definitions. 
‘‘3703. Postal Service advertising program. 
‘‘3704. Postal Service program for State governments. 
‘‘3705. Postal Service program for other government agencies. 
‘‘3706. Transparency and accountability for nonpostal services. 
‘‘§ 3701. Purpose 
‘‘This chapter is intended to enable the Postal Service 
to increase its net revenues through specific nonpostal 
products and services that are expressly authorized by this 
chapter. Postal Service revenues and expenses under this 
chapter shall be funded through the Postal Service Fund. 
‘‘§ 3702. Definitions 
‘‘As used in this chapter— 
‘‘(1) the term ‘nonpostal services’ is limited to 
services offered by the Postal Service that are ex-
pressly authorized by this chapter and are not postal 
products or services; 
‘‘(2) the term ‘Postal Service advertising pro-
gram’ means a program, managed by the Postal 
Service, by which the Postal Service receives reve-
nues from entities which advertise at Postal Service 
facilities and on Postal Service vehicles; 
‘‘(3) the term ‘Postal Service program for State 
government services’ means a program, managed by 
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the Postal Service, by which the Postal Service re-
ceives revenue from State governments (including 
their agencies) which provide services at Postal Serv-
ice facilities; 
‘‘(4) the term ‘attributable costs’ has the same 
meaning as is given such term in section 3631; and 
‘‘(5) the term ‘year’ means a fiscal year. 
‘‘§ 3703. Postal Service advertising program 
‘‘Notwithstanding any other provision of this title, 
the Postal Service may establish and manage a program 
that allows entities to advertise at Postal Service facilities 
and on Postal Service vehicles. Such a program shall be 
subject to the following requirements: 
‘‘(1) The Postal Service shall at all times en-
sure advertising it permits is consistent with the in-
tegrity of the Postal Service. 
‘‘(2) Any advertising program is required to 
cover a minimum of 200 percent of its attributable 
costs in each year. 
‘‘(3) All advertising expenditures and revenues 
are subject to annual compliance determination (in-
cluding remedies for noncompliance) applicable to 
nonpostal products. 
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‘‘(4) Total advertising expenditures and reve-
nues must be disclosed in Postal Service Annual Re-
ports. 
‘‘§ 3704. Postal Service program for State govern-
ments 
‘‘(a) IN GENERAL.—Notwithstanding any other pro-
vision of this title, the Postal Service may establish a pro-
gram to provide services for agencies of State governments 
within the United States, but only if such services— 
‘‘(1) shall provide enhanced value to the public, 
such as by lowering the cost or raising the quality 
of such services or by making such services more ac-
cessible; 
‘‘(2) do not interfere with or detract from the 
value of postal services, including— 
‘‘(A) the cost and efficiency of postal serv-
ices; and 
‘‘(B) access to postal retail service, such as 
customer waiting time and access to parking; 
and 
‘‘(3) provide a reasonable contribution to the in-
stitutional costs of the Postal Service, defined as re-
imbursement for each service and to each agency 
covering at least 150 percent of the attributable 
costs of such service in each year. 
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‘‘(b) PUBLIC NOTICE.—At least 90 days before offer-
ing any services under this section, the Postal Service shall 
make each agreement with State agencies readily available 
to the public on its Web site, including a business plan 
that describes the specific services to be provided, the en-
hanced value to the public, terms of reimbursement, the 
estimated annual reimbursement to the Postal Service, 
and the estimated percentage of attributable Postal Serv-
ices that will be covered by reimbursement (with docu-
mentation to support these estimates). The Postal Service 
shall solicit public comment for at least 30 days, with com-
ments posted on its Web site, followed by its written re-
sponse posted on its Web site at least 30 days before offer-
ing such services. 
‘‘(c) APPROVAL REQUIRED.—The Governors of the 
Postal Service shall approve the provision of services 
under this section by a recorded vote, with at least 6 mem-
bers voting for approval, with the vote publicly disclosed 
on the Postal Service Web site. 
‘‘(d) CLASSIFICATION OF SERVICES.—All services for 
a given agency provided under this section shall be classi-
fied as a separate activity subject to the requirements of 
annual reporting under section 3706. Such reporting shall 
also include information on the quality of service and re-
lated information to demonstrate that it satisfied the re-
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111 
quirements of subsection (a). Information provided under 
this section shall be according to requirements that the 
Postal Regulatory Commission shall by regulation pre-
scribe. 
‘‘(e) DEFINITIONS.—For the purpose of this sec-
tion— 
‘‘(1) the term ‘State’ includes the District of 
Columbia, the Commonwealth of Puerto Rico, the 
United States Virgin Islands, Guam, American 
Samoa, the Commonwealth of the Northern Mariana 
Islands, and any other territory or possession of the 
United States; and 
‘‘(2) the term ‘United States’, when used in a 
geographical sense, means the States. 
‘‘§ 3705. Postal Service program for other government 
agencies 
‘‘(a) IN GENERAL.—The Postal Service may establish 
a program to provide property and services for other gov-
ernment agencies within the meaning of section 411, but 
only if such program provides a reasonable contribution 
to the institutional costs of the Postal Service, defined as 
reimbursement by each agency that covers at least 100 
percent of the attributable costs of all property and service 
provided by the Postal Service in a each year to such agen-
cy. 
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‘‘(b) CLASSIFICATION OF SERVICES.—For each agen-
cy, all property and services provided by the Postal Service 
under this section shall be classified as a separate activity 
subject to the requirements of annual reporting under sec-
tion 3706. Information provided under this section shall 
be according to requirements that the Postal Regulatory 
Commission shall by regulation prescribe. 
‘‘§ 3706. Transparency and accountability for non-
postal services 
‘‘(a) ANNUAL REPORTS TO THE COMMISSION.— 
‘‘(1) IN GENERAL.—The Postal Service shall, 
no later than 90 days after the end of each year, 
prepare and submit to the Postal Regulatory Com-
mission a report (together with such nonpublic 
annex to the report as the Commission may require 
under subsection (b)) which shall analyze costs, reve-
nues, rates, and quality of service for section 3704, 
using such methodologies as the Commission shall 
by regulation prescribe, and in sufficient detail to 
demonstrate compliance with all applicable require-
ments of this chapter. 
‘‘(2) AUDITS.—The Inspector General shall reg-
ularly audit the data collection systems and proce-
dures utilized in collecting information and pre-
paring such report. The results of any such audit 
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shall be submitted to the Postal Service and the 
Postal Regulatory Commission. 
‘‘(b) SUPPORTING MATTER.—The Postal Regulatory 
Commission shall have access, in accordance with such 
regulations as the Commission shall prescribe, to the 
working papers and any other supporting matter of the 
Postal Service and the Inspector General in connection 
with any information submitted under this section. 
‘‘(c) CONTENT AND FORM OF REPORTS.— 
‘‘(1) IN
GENERAL.—The Postal Regulatory 
Commission shall, by regulation, prescribe the con-
tent and form of the public reports (and any non-
public annex and supporting matter relating to the 
report) to be provided by the Postal Service under 
this section. Such reports shall be included with the 
annual compliance determination reported under sec-
tion 3653. In carrying out this subsection, the Com-
mission shall give due consideration to— 
‘‘(A) providing the public with timely, ade-
quate information to assess compliance; 
‘‘(B) avoiding unnecessary or unwarranted 
administrative effort and expense on the part of 
the Postal Service; and 
‘‘(C) protecting the confidentiality of infor-
mation that is commercially sensitive or is ex-
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empt from public disclosure under section 
552(b) of title 5. 
‘‘(2) REVISED REQUIREMENTS.—The Commis-
sion may, on its own motion or on request of an in-
terested party, initiate proceedings (to be conducted 
in accordance with regulations that the Commission 
shall prescribe) to improve the quality, accuracy, or 
completeness of Postal Service data required by the 
Commission under this subsection whenever it shall 
appear that— 
‘‘(A) the attribution of costs or revenues to 
property or services under this chapter has be-
come significantly inaccurate or can be signifi-
cantly improved; 
‘‘(B) the quality of service data provided to 
the Commission for annual reports under this 
chapter has become significantly inaccurate or 
can be significantly improved; or 
‘‘(C) such revisions are, in the judgment of 
the Commission, otherwise necessitated by the 
public interest. 
‘‘(d) CONFIDENTIAL INFORMATION.— 
‘‘(1) IN GENERAL.—If the Postal Service deter-
mines that any document or portion of a document, 
or other matter, which it provides to the Postal Reg-
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ulatory Commission in a nonpublic annex under this 
section contains information which is described in 
section 410(c) of this title, or exempt from public 
disclosure under section 552(b) of title 5, the Postal 
Service shall, at the time of providing such matter 
to the Commission, notify the Commission of its de-
termination, in writing, and describe with particu-
larity the documents (or portions of documents) or 
other matter for which confidentiality is sought and 
the reasons therefor. 
‘‘(2) TREATMENT.—Any information or other 
matter described in paragraph (1) to which the 
Commission gains access under this section shall be 
subject to paragraphs (2) and (3) of section 504(g) 
in the same way as if the Commission had received 
notification with respect to such matter under sec-
tion 504(g)(1). 
‘‘(e) ANNUAL COMPLIANCE DETERMINATION.— 
‘‘(1) OPPORTUNITY FOR PUBLIC COMMENT.— 
After receiving the reports required under subsection 
(a) for any year, the Postal Regulatory Commission 
shall promptly provide an opportunity for comment 
on such reports by any interested party, and an offi-
cer of the Commission who shall be required to rep-
resent the interests of the general public. 
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‘‘(2) DETERMINATION OF COMPLIANCE OR NON-
COMPLIANCE.—Not later than 90 days after receiv-
ing the submissions required under subsection (a) 
with respect to a year, the Postal Regulatory Com-
mission shall make a written determination as to 
whether any nonpostal activities during such year 
were or were not in compliance with applicable pro-
visions of this chapter (or regulations promulgated 
under this chapter). The Postal Regulatory Commis-
sion shall issue a determination of noncompliance if 
the requirements for coverage of attributable costs 
are not met. If, with respect to a year, no instance 
of noncompliance is found to have occurred in such 
year, the written determination shall be to that ef-
fect. 
‘‘(3) NONCOMPLIANCE.—If, for a year, a timely 
written determination of noncompliance is made 
under this chapter, the Postal Regulatory Commis-
sion shall take appropriate action. If the require-
ments for coverage of attributable costs specified by 
this chapter are not met, the Commission shall, 
within 60 days after the determination, prescribe re-
medial action to restore compliance as soon as prac-
ticable, which shall also include the full restoration 
of revenue shortfalls during the following fiscal year. 
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The Commission may order the Postal Service to 
discontinue a nonpostal service under section 3703 
or 3704 that persistently fails to meet cost coverage 
requirements. 
‘‘(4) ANY
DELIBERATE
NONCOMPLIANCE.—In 
addition, in cases of deliberate noncompliance by the 
Postal Service with the requirements of this chapter, 
the Postal Regulatory Commission may order, based 
on the nature, circumstances, extent, and serious-
ness of the noncompliance, a fine (in the amount 
specified by the Commission in its order) for each 
incidence of noncompliance. All receipts from fines 
imposed under this subsection shall be deposited in 
the general fund of the Treasury of the United 
States.’’. 
(2) CLERICAL AMENDMENT.—The analysis for 
part IV is amended by adding after the item relating 
to chapter 36 the following: 
‘‘37. Nonpostal services ................................................................... 3701’’. 
(b) CONFORMING AMENDMENTS.— 
(1) SECTION 404(e).—Section 404(e) is amend-
ed by adding at the end the following: 
‘‘(6) Nothing in this section shall be considered to 
prevent the Postal Service from establishing nonpostal 
products and services that are expressly authorized by 
chapter 37.’’. 
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(2) SECTION 411.—The last sentence of section 
411 
is 
amended 
by 
striking 
‘‘including 
reimbursability’’ 
and 
inserting 
‘‘including 
reimbursability within the limitations of chapter 
37’’. 
TITLE V—POSTAL CONTRACTING 
REFORM 
SEC. 501. CONTRACTING PROVISIONS. 
(a) IN GENERAL.—Part I of title 39, United States 
Code, is amended by adding at the end the following: 
‘‘CHAPTER 7—CONTRACTING PROVISIONS 
‘‘Sec. 
‘‘701. Definitions. 
‘‘702. Advocate for competition. 
‘‘703. Delegation of contracting authority. 
‘‘704. Posting of noncompetitive purchase requests for noncompetitive contracts. 
‘‘705. Review of ethical issues. 
‘‘706. Ethical restrictions on participation in certain contracting activity. 
‘‘§ 701. Definitions 
‘‘In this chapter— 
‘‘(1) the term ‘contracting officer’ means an 
employee of a covered postal entity who has author-
ity to enter into a postal contract; 
‘‘(2) the term ‘covered postal entity’ means— 
‘‘(A) the United States Postal Service; or 
‘‘(B) the Postal Regulatory Commission; 
‘‘(3) the term ‘head of a covered postal entity’ 
means— 
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‘‘(A) in the case of the United States Post-
al Service, the Postmaster General; or 
‘‘(B) in the case of the Postal Regulatory 
Commission, the Chairman of the Postal Regu-
latory Commission; 
‘‘(4) the term ‘postal contract’ means any con-
tract (including any agreement or memorandum of 
understanding) entered into by a covered postal enti-
ty for the procurement of goods or services; and 
‘‘(5) the term ‘senior procurement executive’ 
means the senior procurement executive of a covered 
postal entity. 
‘‘§ 702. Advocate for competition 
‘‘(a) ESTABLISHMENT AND DESIGNATION.— 
‘‘(1) There is established in each covered postal 
entity an advocate for competition. 
‘‘(2) The head of each covered postal entity 
shall designate for the covered postal entity 1 or 
more officers or employees (other than the senior 
procurement executive) to serve as the advocate for 
competition. 
‘‘(b) RESPONSIBILITIES.—The advocate for competi-
tion of each covered postal entity shall— 
‘‘(1) be responsible for promoting— 
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‘‘(A) the contracting out of Postal Service 
functions that the private sector can perform 
equally well or better, and at lower cost; and 
‘‘(B) competition to the maximum extent 
practicable consistent with obtaining best value 
by promoting the acquisition of commercial 
items and challenging barriers to competition; 
‘‘(2) review the procurement activities of the 
covered postal entity; and 
‘‘(3) prepare and transmit to the head of each 
covered postal entity, the senior procurement execu-
tive of each covered postal entity, the Board of Gov-
ernors of the United States Postal Service, and Con-
gress, an annual report describing— 
‘‘(A) the activities of the advocate under 
this section; 
‘‘(B) initiatives required to promote con-
tracting out and competition; 
‘‘(C) barriers to contracting out and com-
petition; and 
‘‘(D) the number of waivers made by each 
covered postal entity under section 704(c). 
‘‘§ 703. Delegation of contracting authority 
‘‘(a) IN GENERAL.— 
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‘‘(1) POLICY.—Not later than 60 days after the 
date of enactment of this chapter, the head of each 
covered postal entity shall issue a policy on con-
tracting officer delegations of authority for the cov-
ered postal entity. 
‘‘(2) CONTENTS.—The policy issued under 
paragraph (1) shall require that— 
‘‘(A) notwithstanding any delegation of au-
thority with respect to postal contracts, the ulti-
mate responsibility and accountability for the 
award and administration of postal contracts 
resides with the senior procurement executive; 
and 
‘‘(B) a contracting officer shall maintain 
an awareness of and engagement in the activi-
ties being performed on postal contracts of 
which that officer has cognizance, notwith-
standing any delegation of authority that may 
have been executed. 
‘‘(b) POSTING OF DELEGATIONS.— 
‘‘(1) IN GENERAL.—The head of each covered 
postal entity shall make any delegation of authority 
for postal contracts outside the functional con-
tracting unit readily available and accessible on the 
Web site of the covered postal entity. 
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competitive award, publicly available on the Web site 
of the United States Postal Service— 
‘‘(A) not later than 14 days after the date 
of the award; or 
‘‘(B) not later than 30 days after the date 
of the award, if the basis for the award was a 
compelling business interest. 
‘‘(3) ADJUSTMENTS TO THE POSTING THRESH-
OLD FOR THE UNITED STATES POSTAL SERVICE.— 
‘‘(A) REVIEW AND DETERMINATION.—Not 
later than January 31 of each year, the United 
States Postal Service shall— 
‘‘(i) review the $250,000 threshold es-
tablished under paragraph (2); and 
‘‘(ii) based on any change in the Con-
sumer Price Index for all-urban consumers 
of the Department of Labor, determine 
whether an adjustment to the threshold 
shall be made. 
‘‘(B) AMOUNT OF ADJUSTMENTS.—An ad-
justment under subparagraph (A) shall be made 
in increments of $5,000. If the United States 
Postal Service determines that a change in the 
Consumer Price Index for a year would require 
an adjustment in an amount that is less than 
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$5,000, the United States Postal Service may 
not make an adjustment to the threshold for 
the year. 
‘‘(4) EFFECTIVE DATE.—This subsection shall 
apply to any noncompetitive contract awarded on or 
after the date that is 90 days after the date of en-
actment of this chapter. 
‘‘(b) PUBLIC AVAILABILITY.— 
‘‘(1) IN GENERAL.—Subject to paragraph (2), 
the information required to be made publicly avail-
able by a covered postal entity under subsection (a) 
shall be readily accessible on the Web site of the cov-
ered postal entity. 
‘‘(2) PROTECTION OF PROPRIETARY INFORMA-
TION.—A covered postal entity shall— 
‘‘(A) carefully screen any description of the 
rationale supporting a noncompetitive award re-
quired to be made publicly available under sub-
section (a) to determine whether the description 
includes proprietary data (including any ref-
erence or citation to the proprietary data) or se-
curity-related information; and 
‘‘(B) remove any proprietary data or secu-
rity-related information before making publicly 
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125 
available a description of the rationale sup-
porting a noncompetitive award. 
‘‘(c) WAIVERS.— 
‘‘(1) WAIVER PERMITTED.—If a covered postal 
entity determines that making a noncompetitive pur-
chase request publicly available would risk placing 
the United States Postal Service at a competitive 
disadvantage relative to a private sector competitor, 
the senior procurement executive, in consultation 
with the advocate for competition of the covered 
postal entity, may waive the requirements under 
subsection (a). 
‘‘(2) FORM AND CONTENT OF WAIVER.— 
‘‘(A) FORM.—A waiver under paragraph 
(1) shall be in the form of a written determina-
tion placed in the file of the contract to which 
the noncompetitive purchase agreement relates. 
‘‘(B) CONTENT.—A waiver under para-
graph (1) shall include— 
‘‘(i) a description of the risk associ-
ated with making the noncompetitive pur-
chase request publicly available; and 
‘‘(ii) a statement that redaction of 
sensitive information in the noncompetitive 
purchase request would not be sufficient to 
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protect the United States Postal Service 
from being placed at a competitive dis-
advantage relative to a private sector com-
petitor. 
‘‘(3) DELEGATION OF WAIVER AUTHORITY.—A 
covered postal entity may not delegate the authority 
to approve a waiver under paragraph (1) to any em-
ployee having less authority than the senior procure-
ment executive. 
‘‘§ 705. Review of ethical issues 
‘‘If a contracting officer identifies any ethical issues 
relating to a proposed contract and submits those issues 
and that proposed contract to the designated ethics official 
for the covered postal entity before the awarding of that 
contract, that ethics official shall— 
‘‘(1) review the proposed contract; and 
‘‘(2) advise the contracting officer on the appro-
priate resolution of ethical issues. 
‘‘§ 706. Ethical restrictions on participation in certain 
contracting activity 
‘‘(a) DEFINITIONS.—In this section— 
‘‘(1) the term ‘covered employee’ means— 
‘‘(A) a contracting officer; or 
‘‘(B) any employee of a covered postal en-
tity whose decisionmaking affects a postal con-
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tract as determined by regulations prescribed 
by the head of a covered postal entity; 
‘‘(2) the term ‘final conviction’ means a convic-
tion, whether entered on a verdict or plea, including 
a plea of nolo contendere, for which a sentence has 
been imposed; and 
‘‘(3) the term ‘covered relationship’ means a 
covered 
relationship 
described 
in 
section 
2635.502(b)(1) of title 5, Code of Federal Regula-
tions, or any successor thereto. 
‘‘(b) IN GENERAL.— 
‘‘(1) REGULATIONS.—The head of each covered 
postal entity shall prescribe regulations that— 
‘‘(A) require a covered employee to include 
in the file of any noncompetitive purchase re-
quest for a noncompetitive postal contract a 
written certification that— 
‘‘(i) discloses any covered relationship 
of the covered employee; and 
‘‘(ii) states that the covered employee 
will not take any action with respect to the 
noncompetitive purchase request that af-
fects the financial interests of a friend, rel-
ative, or person with whom the covered 
employee is affiliated in a nongovernmental 
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capacity, or otherwise gives rise to an ap-
pearance of the use of public office for pri-
vate gain, as described in section 2635.702 
of title 5, Code of Federal Regulations, or 
any successor thereto; 
‘‘(B) require a contracting officer to con-
sult with the ethics counsel for the covered 
postal entity regarding any disclosure made by 
a covered employee under subparagraph (A)(i), 
to determine whether participation by the cov-
ered employee in the noncompetitive purchase 
request would give rise to a violation of part 
2635 of title 5, Code of Federal Regulations 
(commonly referred to as the Standards of Eth-
ical Conduct for Employees of the Executive 
Branch); 
‘‘(C) require the ethics counsel for a cov-
ered postal entity to review any disclosure made 
by a contracting officer under subparagraph 
(A)(i) to determine whether participation by the 
contracting officer in the noncompetitive pur-
chase request would give rise to a violation of 
part 2635 of title 5, Code of Federal Regula-
tions (commonly referred to as the Standards of 
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129 
Ethical Conduct for Employees of the Executive 
Branch), or any successor thereto; 
‘‘(D) under subsections (d) and (e) of sec-
tion 2635.50 of title 5, Code of Federal Regula-
tions, or any successor thereto, require the eth-
ics counsel for a covered postal entity to— 
‘‘(i) authorize a covered employee that 
makes a disclosure under subparagraph 
(A)(i) to participate in the noncompetitive 
postal contract; or 
‘‘(ii) disqualify a covered employee 
that makes a disclosure under subpara-
graph (A)(i) from participating in the non-
competitive postal contract; 
‘‘(E) require a contractor to timely disclose 
to the contracting officer in a bid, solicitation, 
award, or performance of a postal contract any 
conflict of interest with a covered employee; and 
‘‘(F) include authority for the head of the 
covered postal entity to grant a waiver or other-
wise mitigate any organizational or personal 
conflict of interest, if the head of the covered 
postal entity determines that the waiver or miti-
gation is in the best interests of the Postal 
Service. 
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‘‘(2) POSTING OF WAIVERS.—Not later than 30 
days after the head of a covered postal entity grants 
a waiver described in paragraph (1)(F), the head of 
the covered postal entity shall make the waiver pub-
licly available on the Web site of the covered postal 
entity. 
‘‘(c) CONTRACT VOIDANCE AND RECOVERY.— 
‘‘(1) UNLAWFUL
CONDUCT.—In any case in 
which there is a final conviction for a violation of 
any provision of chapter 11 of title 18 relating to a 
postal contract, the head of a covered postal entity 
may— 
‘‘(A) void that contract; and 
‘‘(B) recover the amounts expended and 
property transferred by the covered postal enti-
ty under that contract. 
‘‘(2) OBTAINING OR DISCLOSING PROCUREMENT 
INFORMATION.— 
‘‘(A) IN GENERAL.—In any case in which 
a contractor under a postal contract fails to 
timely disclose a conflict of interest to the ap-
propriate contracting officer as required under 
the regulations promulgated under subsection 
(b)(1)(E), the head of a covered postal entity 
may— 
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131 
‘‘(i) void that contract; and 
‘‘(ii) recover the amounts expended 
and property transferred by the covered 
postal entity under that contract. 
‘‘(B) CONVICTION OR ADMINISTRATIVE DE-
TERMINATION.—A case described under sub-
paragraph (A) is any case in which— 
‘‘(i) there is a final conviction for an 
offense punishable under section 2105 of 
title 41, United States Code; or 
‘‘(ii) the head of a covered postal enti-
ty determines, based upon a preponderance 
of the evidence, that the contractor or 
someone acting for the contractor has en-
gaged in conduct constituting an offense 
punishable under section 2105 of such 
title.’’. 
(b) CLERICAL AMENDMENT.—The table of chapters 
for part I of title 39, United States Code, is amended by 
adding at the end the following: 
‘‘7. Contracting Provisions .............................................................
701’’. 
SEC. 502. TECHNICAL AMENDMENT TO DEFINITION. 
Section 7101(8) of title 41, United States Code, is 
amended— 
(1) by striking ‘‘and’’ at the end of subpara-
graph (C); 
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(2) by striking the period at the end of sub-
paragraph (D) and inserting ‘‘; and’’; and 
(3) by adding at the end the following new sub-
paragraph: 
‘‘(E) the United States Postal Service and 
the Postal Regulatory Commission.’’. 
Æ 
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