Adjust the U.S. Postal Service Payments Into the Civil Service Retirement System

February 5, 2003

The President
The White House
Washington, D.C. 20500

Dear Mr. President:

On behalf of the U.S. Chamber of Commerce, the world's largest business federation, representing more than three million businesses and professional organizations of every size, sector and region, I am writing to urge your support to adequately and fairly adjust the U.S. Postal Service payments into the Civil Service Retirement System (CSRS), thereby averting postal rate increases at least until 2006.

The U.S. Office of Personnel Management (OPM) has determined that the Postal Service has over-funded its CSRS pension liabilities and continues to pay more than necessary to fund its ongoing obligations. Adjusting the payment rate could save the Postal Service nearly $3 billion annually for three years, effectively preventing a postal increase until 2006. Senate Majority Leader Frist recently secured a placeholder in the Fiscal Year 2003 Omnibus Appropriations bill to address this important issue in conference. Congressional action is needed now to correct this disparity and avoid unfairly taxing businesses with unnecessary higher postage rates.

Your support and communication to House and Senate leaders that swift and effective action is needed serves to benefit American businesses, large and small, that rely on affordable postal rates to sustain and grow their businesses.

Sincerely,

R. Bruce Josten
Executive Vice President, Government Affairs
U.S. Chamber of Commerce