FederalDaily - November 1, 2007

Bush Nominates Peake to Head VA

President Bush on Oct. 30 named Dr. James B. Peake—a retired Army lieutenant general and twice-wounded Vietnam veteran—to head the Department of Veterans Affairs (VA). If confirmed by the Senate, Peake, 63, will replace James Nicholson, who stepped down Oct. 1. Bush said Peake will insist on “the highest level of care” for veterans. Bush added that the retired Army officer, because of injuries suffered in Vietnam, “understands the view from both sides of the hospital bed.” A West Point graduate, Peake received a Silver Star, a Bronze Star and a Purple Heart. After attending medical school, Peake continued his career in the Army, serving at military hospitals in Washington, Texas and Hawaii. Peake, who in 2000 was named the Army’s surgeon general, retired in 2004. House Speaker Nancy Pelosi, D-Calif., said she was “hopeful” that Peake is the right man to lead the VA. To see more, go to: www.whitehouse.gov/news/releases/2007/10/20071030-4.html.

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USPS Could Lose Millions in Proposed Deal

The U.S. Postal Service (USPS) could lose anywhere from $25 million to $45 million under a proposed negotiated service agreement (NSA) that is heavily weighted in favor of Bank of America Corp. (BA), the Postal Regulatory Commission (PRC) concluded in an opinion last month. NSAs are special rate and service arrangements between USPS and mailers. The PRC noted that while the BA NSA can be justified under the Postal Accountability and Enhancement Act (PAEA)—which became law in December 2006—the NSA does not require BA to improve bar code readability to receive mail processing performance discounts. “This is not indicative of a pay-for-performance agreement,” PRC said. On its Web site, the American Postal Workers Union, which opposed the BA NSA, highlighted comments of PRC Commissioner Ruth Goldway, who wrote that the BA agreement “demonstrates that the Postal Service is not yet capable of negotiating a good bargain within the framework of the PAEA.” Goldway also wrote that “the record of the case indicates that the Postal Service negotiators did not prepare themselves with all the necessary financial information and costing data when conducting the bargaining process with Bank of America.” To see more, go to: www.prc.gov/docs/57/57933/MC23007-1_Op_RecDec.pdf or www.apwu.org.

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OPM Establishes New ALJ Register

The Office of Personnel Management (OPM) on Oct. 30 updated its Administrative Law Judge (ALJ) databank, which lists qualified ALJ candidates for federal benefits and regulatory agencies. The new register is the result of OPM’s administration of the new ALJ examination, which began in May of this year. The federal government’s approximately 1,400 ALJs serve as independent and impartial arbiters of fact in formal proceedings requiring a decision on the record. The Social Security Administration employs the largest number of ALJs. To see more, go to: www.opm.gov.

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