INSIGHTi
Select Mail Delivery Provisions in the Postal
Service Reform Act of 2021 (H.R. 3076)
June 2, 2021
On May 11, 2021, House Oversight and Government Reform Committee Chair Carolyn Maloney
introduced H.R. 3076, the Postal Service Reform Act (PSRA). H.R. 3076 proposes a series of large- and
smal -scale changes to the organization and operations of the U.S. Postal Service (USPS) in order to “put
the USPS on the path towards fiscal sustainability and efficiency.” On May 13, 2021, the committee by
voice vote ordered H.R. 3076 to be reported.
This Insight provides a summary of the operational reforms proposed in Sections 202, 206, and 208 of the
bil .
On May 19, the Senate saw introduction of S. 1720, a bil to provide stability to and enhance the services
of the USPS (text not available at this writing).
Section 202—Integrated Delivery Network
Section 202 would require USPS to maintain an integrated network for the delivery of mail, to the extent
practicable, at least six days a week. The bil provides an exception to the six-day delivery mandate for
weeks with federal holidays. The term integrated network is not defined in the bil , nor is it defined in
USPS guidance, such as the Domestic Mail Manual. One possibility is that it may refer to the delivery of
packages and mail in the same vehicle. By having a single vehicle deliver al mail, USPS might avoid the
increased costs associated with having various mail types delivered separately to the same address.
Congress might seek clarity in the meaning of integrated network in the context of this section to ensure
that USPS understands the goals set forth in the PSRA and directs its investments to those ends .
Section 206—Flats Operational Study and Reform
Section 206 would require the Postal Regulatory Commission (PRC), in coordination with the USPS
inspector general, to conduct a study to identify the causes of inefficiencies in the collection, sorting,
transportation, and delivery of flats. The study must quantify the effects of volume trends, investment
decisions, excess capacity, and operational inefficiencies on the direct and indirect costs attributable to
flats. The PRC would be required to submit a report on the study to Congress and the Postmaster General
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not later than 180 days after the enactment of H.R. 3076. Not later than six months after the PRC submits
the report, USPS would be required to develop and implement a plan to remedy each inefficiency
identified in the study. If USPS determines that a remedy is not practical, it would be required to submit
an explanation of this determination to Congress and the PRC. Prior to implementing the plan, USPS
would need to obtain the PRC’s approval and al ow ample time for public comment. USPS would be
required to notify Congress and the PRC once the plan was fully implemented.
This section would also require USPS to consider the findings of the report when adjusting the rate of any
market-dominant product in the five years subsequent to the plan’s implementation. Market-dominant
product in this section is defined by reference to the Domestic Mail Manual as
1. first-class mail letters and sealed parcels,
2. first-class mail cards,
3. periodicals,
4. standard mail,
5. single-piece parcel post,
6. media mail,
7. bound printed matter,
8. library mail,
9. special services, and
10. single-piece international mail.
Section 208—Postal Service Transportation Selection
Policy Revisions
This section would require USPS to select modes of transportation that “increase operational efficiency
and reduce complexity” and ensure that the delivery of al mail is “prompt, economical, consistent, and
reliable.” In addition, this section would require overnight transportation to be cost-effective. In the
context of the bil , modes of transportation refers to ground (highway, rail, or bus), air, or water
transportation.
The multibil ion dollar acquisition of up to 165,000 Next Generation Delivery Vehicles (NGDVs) to
replace aging Long Life Vehicles (LLVs) may result in increased efficiency, economy, and reliability in
mail delivery. Compared to LLVs, NGDVs have expanded cargo capacity, thereby facilitating the efficient
delivery of both packages and mail from a single vehicle. NGDVs may enhance the postal fleet’s overal
reliability as wel , given that many LLVs have exceeded their expected lives and are experiencing
mechanical problems at an increasing rate.
USPS has stated that the NGDVs may be equipped with either “fuel-efficient internal combustion engines
(ICEs) or battery electric powertrains,” but it has not indicated how many vehicles it wil order with each
engine type. Both ICE and electric vehicle (EV) NGDVs may be more fuel efficient than the current
LLVs, but some policymakers have argued that as part of the government’s efforts to reduce emissions,
USPS should acquire mostly or only electric postal vehicles. The Postal Vehicle Modernization Act of
2021 (H.R. 1636) would authorize $6 bil ion for the purchase of NGDVs, of which at least 75% must be
electric or zero-emission vehicles. The Postal Service Electric Fleet Authorization Act of 2021 (H.R.
3521) would authorize $8 bil ion for USPS to convert its diesel trucks to electric power and would require
USPS to purchase only zero-emission vehicles after 2030. In January 2021, President Biden signed an
executive order that required his climate and energy advisory team to develop a plan for transitioning the
entire civilian federal fleet, including postal vehicles, to “clean and zero-emissions vehicles.” Congress

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may wish to obtain further information on the costs and benefits of increasing the number of USPS
electric vehicles, including:
 the funds and time required to build out a charging infrastructure of sufficient size to
support a postal delivery fleet that is partial y or wholly electric;
 a comparison of the life-cycle costs of owning and maintaining EVs and ICE NGDVs;
and
 an estimate of the total emissions, including those associated with manufacturing, for
EVs and ICE NGDVs.

Author Information

Garrett Hatch

Specialist in American National Government




Disclaimer
This document was prepared by the Congressional Research Service (CRS). CRS serves as nonpartisan shared staff
to congressional committees and Members of Congress. It operates solely at the behest of and under the direction of
Congress. Information in a CRS Report should not be relied upon for purposes other than public understanding of
information that has been provided by CRS to Members of Congress in connection with CRS’s institutional role.
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