FederalDaily - January 18, 2008
FTC Releases Report on USPS Competitiveness
The Federal Trade Commission (FTC) has released a new report that examines the competitive effects
of laws that govern the U.S. Postal Service (USPS). The study, required by the Postal Accountability
and Enhancement Act of 2006, looked at the agency’s competitive advantages and disadvantages
when compared with the private sector. The report—released Jan. 16—says, for example, that
because of employment and labor statutes and regulations that apply to the Postal Service but not to
its private competitors, aggregate USPS labor costs tend to be higher. In Fiscal Year 2006, compensation
and benefits expenses totaled $56.5 billion, or 78.6 percent of total Postal Service expenses. The
FTC report relies on a number of analyses presented by USPS during the arbitration proceedings that
led to the 2000-2003 collective bargaining agreement with the American Postal Workers Union (APWU).
The report noted that APWU strongly objected to the data at the time and argued that—when properly
measured—the compensation of Postal Service workers was in many respects comparable to that of
UPS and Federal Express workers, the report said. To see more, go to: www.ftc.gov/opa/2008/01/postal.shtm.
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Pentagon Selects Citibank for DoD Travel Charge Card Services
DoD announced on Jan. 16 that beginning later this year Citibank will provide travel charge card services
for about 1.2 million DoD card holders. The new cards will activate on Nov. 30. The department’s
card holders accounted for 61 percent of total government-wide travel spending in 2006, DoD said in
a statement. The new agreement is part of the General Services Administration’s umbrella SmartPay2
master contract. The estimated value of the DoD travel card order over a 10-year period is $40 billion,
based on projected travel card spending. To see more, go to: www.defenselink.mil/releases/release.aspx?releaseid=11624.
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Legislator Urges Hike in Veterans Mileage Rate
Sen. Mike Enzi, R-Wyo., urged the Department of Veterans Affairs (VA) to implement a 159 percent increase
in the amount disabled veterans are reimbursed for traveling to VA hospitals to receive care. Enzi
asked VA Secretary James Peake to increase the rate to 28.5 cents per mile, up from the 11 cents per
mile rate that was set in 1977 when gasoline cost about 60 cents per gallon. By contrast, federal employees
are currently reimbursed at 48.5 cents per mile when using their personal vehicles for work. Language
to approve the veterans increase was adopted by the Senate Veterans Affairs Committee and funded—up
to $125 million—in the Fiscal Year 2008 Omnibus Appropriations Act. But Peake must announce an
increase before it goes into effect, Enzi said. “Being able to access health care is vital and
veterans should not have to choose between driving to receive needed treatment and being able to afford
other necessities,” said Enzi in a Jan. 16 statement. To see more, go to: http://enzi.senate.gov/public/index.cfm?FuseAction=NewsRoom.NewsReleases&ContentRecord_id=84f7d349-802a-23ad-4a58-c38abfc4df9d&Region_id=&Issue_id=.
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