,i #aah? ,,congress #b;d ,session ,h4 ,r4 #ihci ,,9 ,,! ,,h\se ,,( ,,repres5tatives ,septemb] #be1 #bjbd ,mr4 ,la,turner introduc$ ! foll[+ bill2 :i* 0 ref]r$ to ! ,committee on ,ov]sight & ,acc\ntability ,a ,,bill ,to am5d title #ci1 ,unit$ ,/ates ,code1 to mod]nize ! ,po/al ,s]vice regulations1 & = o!r purposes4 #a4 ,mod]niz+ po/al regulations 7a7 ,co/ & effici5cy re=ms 7#a7 ,9 g5]al ,section #cfbb7;d7 ( title #ci1 ,unit$ ,/ates ,code1 is am5d$-- 7,a7 9 p>agraph 7#a77;,a71 by /rik+ to be set by & all t foll[s & ins]t+ ! foll[+3 equal to ! am\nt t is ! diff]5ce betwe5-- 7i7 ! p]c5tage *ange 9 ! ,consum] ,price ,index = ,all ,urban ,consum]s unadju/$ = seasonal v>iation ov] ! mo/ rec5t available #ab-mon? p]iod prec$+ ! date ! ,po/al ,s]vice files notice ( its int5tion to increase rates2 & 7ii7 a p]c5tage det]m9$ by ! ,commission to be suffici5t to ensure t ! rate ( co/ gr[? ( ! ,po/al ,s]vice w be significantly less ?an ! p]c5tage *ange describ$ 9 clause 7i7 7b n less ?an z]o72 2 & 7,b7 by am5d+ p>agraph 7#c7 to read z foll[s3 7#c7 ,revisions ,9 revis+ ! sy/em z p]mitt$ by subsection 7a71 ! ,po/al ,regulatory ,commission %all make no *ange :i* w\ld cause ! revis$ sy/em to be inconsi/5t ) ?is section4 4 7#b7 ,regulations ,n lat] ?an #fj days aft] ! date ( ! enactm5t ( ?is ,act1 ! ,po/al ,regulatory ,commission %all issue su* regulations z are necess>y to c>ry out section #cfbb7;d77#a77;,a7 ( title #ci1 ,unit$ ,/ates ,code1 z am5d$ by ?is subsection4 7b7 ,sanctions = c]ta9 failures ( s]vice 7#a7 ,9 g5]al ,sub*apt] ,,vii ( *apt] #cf ( title #ci1 ,unit$ ,/ates ,code1 is am5d$ by add+ at ! end ! foll[+ new section3 #cfic4 ,sanctions4 7a7 ,9 g5]al ,if1 pursuant to section #cfec or a compla9t proce$+ conduct$ pursuant to section #cffb1 ! ,po/al ,regulatory ,commission det]m9es t ! ,po/al ,s]vice fail$ to meet a t>get e/abli%$ "u section #cfib & t su* failure is a cov]$ failure1 ! ,commission may r$uce ! maximum am\nt by :i* ! ,po/al ,s]vice may adju/ ! rates = ! m>ket-dom9ant products affect$ by su* failure "u section #cfbb1 except t su* r$uction may n cause su* maximum am\nt to be less ?an z]o4 ,9 mak+ su* det]m9ation1 ! ,commission %all consid] evid5ce ( losses incurr$ by us]s ( ! product or products conc]n$ z a result ( ! failure4 7b7 ,applicability 7#a7 ,9 g5]al ,a r$uction "u subsection 7a7 to ! maximum am\nt by :i* ! ,po/al ,s]vice may adju/ ! rates = a m>ket-dom9ant product "u section #cfbb %all apply only ) respect to-- 7,a7 ! fir/ implem5tation ( su* an adju/m5t = su* m>ket-dom9ant product occurr+ dur+ ! p]iod beg9n+ on ! date on :i* ! ,po/al ,regulatory ,commission makes su* r$uction & end+ on ! date on :i* ,commission det]m9es t ! ,po/al ,s]vice is meet+ ! t>get e/abli%$ "u section #cfib ) respect to :i* ! ,commission made su* r$uction2 & 7,b7 ea* subsequ5t implem5tation ( su* an adju/m5t = su* m>ket-dom9ant product occurr+ dur+ su* p]iod to ! ext5t det]m9$ appropriate by ! ,commission4 7#b7 ,subsequ5t implem5tation det]m9ation ,9 mak+ ! det]m9ation describ$ 9 p>agraph 7#a77;,b7 ) respect to a r$uction = a failure describ$ 9 subsection 7a71 ! ,po/al ,regulatory ,commission %all consid] evid5ce ( losses incurr$ by us]s ( ea* product affect$ by su* failure4 7c7 ,cov]$ failure def9$ ,9 ?is section1 ! t]m cov]$ failure means a failure to meet a t>get e/abli%$ "u section #cfib-- 7#a7 t is n ! result ( a natural disa/] or ano!r disruptive ev5t ! cause ( :i* 0 outside ! control ( ! ,po/al ,s]vice2 7#b7 t has p]si/$ = a mat]ial p]iod ( "t2 & 7#c7 ) respect to :i* ! ,po/al ,s]vice does n h a cr$ible plan = a*iev+ & ma9ta9+ p]=mance suffici5t to meet ! t>get$ level )9 a reasonable "t4 4 7#b7 ,cl]ical am5dm5t ,! table ( sections = *apt] #cf ( title #ci1 ,unit$ ,/ates ,code1 is am5d$ by ins]t+ aft] ! item relat+ to section #cfib ! foll[+3 #cfic4 ,sanctions4 4 7c7 ,improv+ *ange-9-,s]vice proc$ures ,section #cffa ( title #ci1 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 9 subsection 7b7-- 7,a7 by /rik+ ,:5 ! & ins]t 7#a7 ,:5 !2 7,b7 by /rik+ advisory op9ion & ins]t+ a decision2 & 7,c7 by add+ at ! end ! foll[+ new p>agraph3 7#b7 7,a7 ,9 ! abs5ce ( a decision ) respect to a proposal "u p>agraph 7#a71 if ! ,commission det]m9es t a plan or initiative ( ! ,po/al ,s]vice cle>ly indicates ! ne$ = a *ange describ$ 9 su* p>agraph b su* plan or initiative does explicitly make su* a *ange a purpose or goal ( su* plan or initiative1 ! ,commission %all ord] ! ,po/al ,s]vice to expla9 :y ! ,po/al ,s]vice det]m9$ t ! ,po/al ,s]vice did n ne$ to submit a proposal to ! ,commission "u su* p>agraph ) respect to su* plan or initiative4 7,b7 ,an ord] "u subp>agraph 7,a7 pursuant to a det]m9ation ( ! ,commission describ$ 9 su* subp>agraph %all include an explanation ( ! reason+ = su* det]m9ation4 7,c7 7i7 ,if ! ,commission det]m9es t ! explanation ( ! ,po/al ,s]vice provid$ pursuant to subp>agraph 7,a7 is n suffici5t to support ! det]m9ation ( ! ,po/al ,s]vice t ! ,po/al ,s]vice did n ne$ to submit a proposal to ! ,commission "u p>agraph 7#a7 ) respect to a plan or initiative1 ! ,po/al ,s]vice %all ju/ify ! *ange 9 ! nature ( po/al s]vices impli$ by ! plan or initiative &1 to ! ext5t necess>y1 ju/ify ! und]ly+ plan or initiative 9 a he>+ be=e ! ,commission4 7ii7 ,ea* he>+ "u clause 7i7 %all be conduct$ 9 accordance ) sections #eef & #eef ( title #e4 7#c7 ,ea* decision ( ! ,po/al ,regulatory ,commission "u ?is subsection %all be transmitt$ to ! ,gov]nors ( ! ,po/al ,s]vice4 ,! ,gov]nors may accept ! decision or1 by unanim\s writt5 decision1 reject ! decision & adopt ! orig9al proposal ( ! ,po/al ,s]vice1 9 ! case ( a reque/ by ! ,po/al ,s]vice = a decision1 or approve ! plan or initiative f\nd by ! ,commission to h requir$ a decision "u p>agraph 7#b74 ,! decision ( ! ,gov]nors %all be a f9al ord] = purposes ( section #cffc ( ?is title4 ,if ! ,gov]nors h n act$ ^u a ,commission decision )9 #fj days ( receiv+ x1 ! ,commission decision w be deem$ a f9al ord] = purposes ( section #cffc ( ?is title4 2 & 7#b7 9 subsection 7c7-- 7,a7 by ins]t+ designat$ pursuant to section #eje ( ?is title aft] (fic] ( ! ,commission2 & 7,b7 by /rik+ 8 judgm5t & ins]t+ ! judgm5t ( su* ,commission]4 7d7 ,"o rate increase annually ,section #cfbb7;d77#a77;,b7 ( title #ci1 ,unit$ ,/ates ,code1 is am5d$ by ins]t+ aft] am\nts ! foll[+3 1 except t rates may n *ange m frequ5tly ?an once e #ab mon?s4 7e7 ,limit on und]wat] sur*>ges ,section #cfbb7;d77#b7 ( title #ci1 ,unit$ ,/ates ,code1 is am5d$ by add+ at ! end ! foll[+ new subp>agraph3 7,d7 ,use ( rate au?ority = non-comp5satory classes 7i7 ,limitation ,not)/&+ p>agraph 7#a77;,a71 ! ,commission may au?orize ! ,po/al ,s]vice to increase ! rates = a non-comp5satory class 9 excess ( annual limitation "u p>agraph 7#a77;,a7 if-- 7,i7 ! *ange 9 ! attributable co/ 7z su* t]m is def9$ 9 section #cfca7 p] piece ( mail = su* class does n exce$ ! annual limitation "u p>agraph 7#a77;,a71 z det]m9$ us+ ye>-to-ye> comp>able co/+ me?odologies2 7,,ii7 9 ! imm$iately prec$+ fiscal ye>1 ! ,po/al ,s]vice has-- 7aa7 pursuant to section #cfeb & )\t ! use ( any proxy data n approv$ by ! ,commission1 directly measur$ & report$ ! compliance ( ! ,po/al ,s]vice ) ! t>gets e/abli%$ "u section #cfib = ea* product 9 su* class = su* fiscal ye>2 & 7bb7 met ea* su* t>get = su* fiscal ye>2 & 7,,iii7 no t>get describ$ 9 subclause 7,,ii7 = ! imm$iately prec$+ fiscal ye> 0 r$uc$ f ! prec$+ fiscal ye>4 7ii7 ,non-comp5satory class def9$ ,9 ?is subp>agraph1 ! t]m non-comp5satory class means a class ( mail = :i* ! attributable co/s 7z def9$ 9 section #cfca7;b77 ( ! ,po/al ,s]vice exce$ rev5ues ( ! ,po/al ,s]vice attributable to su* class ( mail4 4 7f7 ,case-,specific objectives ,section #cfbb ( title #ci1 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 9 subsection 7b71 9 ! matt] prec$+ p>agraph 7#a71 by ins]t+ 1 & all ( :i* %all be appli$ to ea* class or type ( mail s]vice & product aft] o!rs2 & 7#b7 9 subsection 7c71 9 ! matt] prec$+ p>agraph 7#a71 by ins]t+ aft] su* sy/em1 ! foll[+3 or :5 evaluat+ :e!r a class or type ( mail s]vice or product complies ) ! applicable provisions ( ?is *apt] & ! regulations issues "u su* provisions14 7g7 ,reta9$ e>n+s f co/ sav+s ,section #cfbb7;b77#e7 ( title #ci1 ,unit$ ,/ates ,code1 is am5d$ by ins]t+ aft] reta9$ e>n+s ! foll[+3 result+ f improvem5ts 9 effici5cy or r$uctions 9 co/ only4 7h7 ,(fice ( ! ,cu/om] ,advocate 7#a7 ,9 g5]al ,section #eje ( title #ci1 ,unit$ ,/ates ,code1 is am5d$ to read z foll[s3 #eje4 ,(fice ( ! ,cu/om] ,advocate 7a7 ,9 g5]al ,! ,po/al ,regulatory ,commission %all e/abli% 9 ! ,po/al ,regulatory ,commission an ,(fice ( ! ,cu/om] ,advocate 79 ?is section ref]r$ to z ! ,(fice74 7b7 ,repres5tation 7#a7 ,9 g5]al ,! ,(fice %all repres5t ! int]e/s ( ! g5]al public 9 all public proce$+s ( ! ,commission1 includ+ ! int]e/s ( cu/om]s ( m>ket-dom9ant products & classes4 7#b7 ,rights & limits 7,a7 ,9 g5]al ,! ,(fice-- 7i7 %all h ! same "r z any int]e/$ p]son to lodge a compla9t ) or petition ! ,commission1 or o!rwise seek to h ! ,commission initiate a public proce$+1 includ+ rulemak+s2 & 7ii7 is subject to ! same ex p>te rules & limitations z any o!r litigant ) respect to communication ) ! ,commission1 ,commission]s1 & ! advisory /aff ( ! ,commission4 7,b7 ,repres5t conflict+ int]e/ 7i7 ,9 g5]al ,! ,(fice may repres5t conflict+ int]e/s ( ! g5]al public 9 a public proce$+ ( ! ,commission to ! ext5t t ! head ( ! ,(fice det]m9es necess>y = ! ,(fice to effectively repres5t ! int]e/s ( ! g5]al public 9 su* proce$+4 7ii7 ,sep>ate repres5tatives ,if ! ,(fice is repres5t+ conflict+ int]e/s ( ! g5]al public 9 a public proce$+ ( ! ,commission1 ! head ( ! ,(fice %all ensure t su* conflict+ int]e/s are repres5t$ by diff]5t individuals to ! ext5t & 9 su* mann] z ! head ( ! ,(fice det]m9es necess>y = ! ,(fice to effectively repres5t ! int]e/s ( ! g5]al public 9 su* proce$+4 7#c7 ,(fice autonomy ,! ,commission may n t]m9ate or o!rwise take adv]se employm5t action aga9/ any employee ( or individual detail$ to ! ,(fice bas$ on ! repres5tation ( ! int]e/s ( ! g5]al public by su* employee or detailee z an employee ( or detailee to ! ,(fice1 respectively1 9 a public proce$+ ( ! ,commission1 except = cause4 7c7 ,rese>* au?ority ,! ,(fice may-- 7#a7 conduct rese>* & policy developm5t = ! purposes ( repres5t+ ! int]e/s ( ! g5]al public1 includ+ rese>* & policy developm5t t is unrelat$ to a specific proce$+ ( ! ,commission2 & 7#b7 subject to ! availability ( funds1 obta9 ! tempor>y or int]mitt5t s]vices ( exp]ts or consultants = su* purposes4 7d7 ,outside consultation ,! ,(fice %all consult ) outside p]sons & organizations ^: po/al int]e/s are relevant to ! mission ( ! ,(fice1 includ+ ^? p]sons & organizations t are actual or pot5tial litigants be=e ! ,commission4 7e7 ,rate & classification inquiry ,! ,(fice %all inquire into ! rates & classifications ( competitive products only to ! ext5t necess>y to evaluate compliance ) sections #cfbb7;b77#h7 & #cfbb7;b77#i7 ( ?is title1 sub*apt] ,,ii ( *apt] #cf ( ?is title1 & ! regulations issu$ "u su* sub*apt]4 7f7 ,(fice /aff ,! ,commission %all ensure t1 to ! ext5t practicable1 ! ,(fice has employees ( a suffici5t quantity & quality = ! ,(fice to effectively c>ry out ! responsibilities ( ! ,(fice "u ?is section1 includ+ by maximiz+ ! duration ( ! detail ( individuals detail$ to ! ,(fice4 4 7#b7 ,cl]ical am5dm5t ,! table ( sections = *apt] #e ( title #ci1 ,unit$ ,/ates ,code1 is am5d$ by /rik+ ! item relat+ to section #eje & ins]t+ ! foll[+3 #eje4 ,(fice ( ! ,cu/om] ,advocate4 4 7i7 ,compla9t process improvem5t ,section #cffb ( title #ci1 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 9 subsection 7b7-- 7,a7 9 p>agraph 7#a7-- 7i7 9 ! matt] prec$+ subp>agraph 7,a7-- 7,i7 by /rik+ ,! ,po/al & ins]t+ ,) respect to a compla9t receiv$ "u subsection 7a71 ! ,po/al2 & 7,,ii7 by /rik+ 1 )9 #ij days aft] receiv+ a compla9t "u subsection 7a72 & 7ii7 9 subp>agraph 7,a7-- 7,i7 by /rik+ clause 7i7 & ins]t+ ! foll[+3 7i7 beg9 proce$+s on su* compla9t-- 7,i7 imm$iately aft] ! expiration ( ! p]iod describ$ 9 p>agraph 7#c7 if ! ,commission f9ds t su* compla9t raises mat]ial issues ( fact or law & no motion describ$ 9 clause 7ii7 ) respect to su* compla9t is fil$ 9 su* p]iod2 7,,ii7 imm$iately aft] ! ,commission d5ies all motions describ$ 9 clause 7ii7 ) respect to su* compla9t t 7 fil$ dur+ ! p]iod describ$ 9 p>agraph 7#c7 if ! ,commission f9ds t su* compla9t raises mat]ial issues ( fact or law & all su* motions are d5i$ n lat] ?an #de days aft] ! date on :i* ! ,commission receiv$ su* compla9t "u su* subsection2 or 7,,iii7 n lat] ?an #de days aft] ! date on :i* ! ,commission receives su* compla9t "u su* subsection if subclause 7,i7 & 7,,ii7 d n apply ) respect to su* compla9t2 or 2 & 7,,ii7 9 clause 7ii7-- 7aa7 by ins]t+ be=e issue ! foll[+3 if ! ,commission f9ds t1 aft] consid]ation ( any motion ass]t+ t su* compla9t raises no mat]ial issues ( law or fact1 t su* compla9t raises no su* issue1 ^u mak+ su* f9d+2 & 7bb7 by ins]t+ )9 #de days aft] receiv+ su* compla9t "u su* subsection aft] dismiss+ ! compla9t2 & 7,b7 by add+ at ! end ! foll[+ new p>agraph3 7#c7 ,prompt motions ,a motion describ$ 9 subp>agraph 7,a77ii7 ) respect to a compla9t may only be fil$ dur+ ! #be-;day p]iod beg9n+ on date on :i* su* compla9t is fil$1 or dur+ su* %ort] p]iod z ! ,po/al ,regulatory ,commission may prescrib$ by regulation4 2 & 7#b7 9 subsection 7c7-- 7,a7 by /rik+ or requir+ & ins]t+ requir+2 & 7,b7 by ins]t+ aft] competitive products ! foll[+3 or1 ^u a f9d+ t ! ,po/al ,s]vice has unreasonably delay$ ! proce$+1 ord]+ reimbursem5t consi/5t ) section #cfha4 7j7 ,reimbursem5t ( unlawful rates2 p5alty = unreasonable delay ,section #cfha ( title #ci1 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 by /rik+ ,no mail] & ins]t+ 7a7 ,no mail]2 7#b7 by /rik+ ?r\gh #cffd ( ?is title1 or is sup]s$$ by a l[] rate or fee e/abli%$ "u sub*apt] ,,ii ( ?is *apt]2 & 7#c7 by add+ at ! end ! foll[+ new subsection3 7b7 7#a7 7,a7 ,if ! ,po/al ,regulatory ,commissions det]m9es t a rate or fee = a product is unlawful 9 a review conduct$ pursuant to section #cfec ( ?is title or 9 a compla9t proce$+ conduct$ pursuant to section #cffb ( ?is title1 ! ,commission %all ord] ! price increase au?ority = su* product & all o!r products 9 ! class ( mail conta9+ su* product to be r$uc$ 7b n bel[ z]o7 = ! next foll[+ price adju/m5t & ea* succe$+ price adju/m5ts until ! am\nt ( =egone rev5ue is equal to am\nt ( rev5ue receiv$ by ! ,po/al ,s]vice f ! portion ( su* rate or fee t exce$$ ! lawful am\nt su* rate or fee4 7,b7 ,9 ?is p>agraph1 ! t]m =egone rev5ue means ! diff]5ce betwe5-- 7i7 ! rev5ue t ! ,po/al ,s]vice w\ld h receiv$ f ! sale ( ! products subject to an ord] "u subp>agraph 7,a7 dur+ ! p]iod t ! ,po/al ,s]vice is unable to increase ! prices ( su* products pursuant to su* ord] if-- 7,i7 ! ,commission _h n issu$ su* ord]2 & 7,,ii7 ! rate or fee = ! product ) ! unlawful rate or fee = :i* ! ,commission issu$ su* ord] 0 ! maximum lawful rate or fee = su* product at ! "t ! ,commission issu$ su* ord]2 & 7ii7 ! rev5ue ! ,po/al ,s]vice receives f ! sale ( ! products subject to su* ord] dur+ su* p]iod4 7#b7 7,a7 ,9 a compla9t proce$+ conduct$ pursuant to section #cffb ( ?is title1 if ! ,po/al ,regulatory ,commission f9ds t ! ,po/al ,s]vice has unreasonably delay$ ! proce$+1 ! ,commission may ord] a r$uction 9 ! price increase au?ority = ! product or products ^: rate or fee x has det]m9$ to be unlawful to ! ext5t t ! unreasonable delay caus$ by ! ,po/al ,s]vice has ext5d$ ! "t dur+ :i* us]s ( su* product or products h paid ! unlawful rate or fee4 7,b7 ,a r$uction "u subp>agraph 7,a7 %all be 9 addition to any r$uction "u p>agraph 7#a74 7,c7 ,! ,commission %all include 9 an ord] "u subp>agraph 7,a7 ) respect to ! unreasonably delay ( a proce$+ an explanation ( ! basis = ! det]m9ation ( ! ,commission reg>d+ ! "t su* proce$+ w\ld h requir$ abs5t su* unreasonable delay4 4 7k7 ,mail volume sy/em objective ,section #cfbb7;b7 ( title #ci1 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 by r$esignat+ p>agraph 7#i7 z p>agraph 7#aj72 & 7#b7 by ins]t+ aft] p>agraph 7#h7 ! foll[+ new p>agraph3 7#i7 ,to ma9ta9 &1 to ! ext5t practicable1 increase ! volume ( m>ket-dom9ant mail1 ) due reg>d to total contribution to ! in/itutional co/s ( ! ,po/al ,s]vice4 4 7l7 ,new product def9ition crit]ia ,section #cfdb7;b77#c7 ( title #ci1 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 9 subp>agraph 7,b71 by /rik+ &2 7#b7 9 subp>agraph 7,c71 by /rik+ ! p]iod at ! end & ins]t+ 2 &2 & 7#c7 by add+ at ! end ! foll[+ new subp>agraph3 7,d7 ! importance ( p>agraphs 7#g71 7#h71 & 7#aa7 ( section #cfbb7;c7 ( ?is title 9 ! appropriate def9ition ( m>ket-dom9ant products4 4 7m7 ,mail volume e/imation model 7#a7 ,9 g5]al ,n lat] ?an #abj days aft] ! date ( ! enactm5t ( ?is ,act1 ! ,po/al ,regulatory ,commission %all develop a model = e/imat+ ! dem& = po/al s]vices4 7#b7 ,indep5d5t developm5t ,! ,commission may n consid] any models = e/imat+ dem& develop$ by ! ,po/al ,s]vice :5 develop+ ! model requir$ "u ?is subsection4 7#c7 ,public comm5t ,9 develop+ ! model requir$ "u ?is subsection1 ! ,po/al ,regulatory ,commission %all solicit & provide adequate opportunity = public comm5t reg>d+ ! model4 7#d7 ,regulations ,! ,po/al ,regulatory ,commission may issue su* regulations1 aft] notice & comm5t 9 accordance ) section #eec ( title #e1 ,unit$ ,/ates ,code1 z ! ,commission det]m9es necess>y to develop ! model requir$ "u ?is subsection4 7#e7 ,exp]t advisors ,! ,commission may obta9 ! tempor>y or int]mitt5t s]vices ( exp]ts or consultants to facilitate ! developm5t ( ! model requir$ "u ?is subsection4 7n7 ,labor dispute arbitration consid]ations ,section #abjg7;c77#b7 ( title #ci1 ,unit$ ,/ates ,code1 is am5d$ by ins]t+ aft] !y may elect4 ! foll[+3 ,:5 mak+ a decision1 ! arbitration bo>d %all consid] ! curr5t &1 to ! ext5t practicable1 project$ f9ancial condition ( ! ,po/al ,s]vice 9 addition to any o!r relevant consid]ations44 #b4 ,inve/m5t ( ! po/al s]vice retiree heal? b5efits funds ,section #hiji;a7c7 ( title #e1 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 by /rik+ 7c7 ,! ,secret>y & ins]t+ 7c77#a7 ,subject to p>agraph 7#b71 ! ,secret>y2 & 7#b7 by add+ at ! end ! foll[+3 7#b7 7,a7 ,! ,secret>y ( ! ,treasury %all imm$iately inve/ a specifi$ p]c5tage ( ! ,fund1 us+ "o or m qualifi$ pr(essional asset manag]s1 9 index funds model$ aft] ^? e/abli%$ "u subp>agraphs 7,b71 7,c71 7,d71 & 7,e7 ( section #hdch7;b77#a74 ,! ,secret>y %all ensure1 to ! maximum ext5t practicable1 t ! inve/m5t replicates ! p]=mance ( ! longe/-t]m t>get date asset allocation inve/m5t fund e/abli%$ by ! ,f$]al ,retirem5t ,?rift ,inve/m5t ,bo>d4 7,b7 ,9 ex]cis+ au?ority "u subp>agraph 7,a71 includ+ 9 ! selection ( specific qualifi$ pr(essional asset manag]s & 9 ! developm5t ( specific inve/m5t guidel9es to meet ! requirem5t ( su* subp>agraph1 ! ,secret>y %all consult ) ! ,po/al ,s]vice ,retiree ,heal? ,b5efits ,fund ,inve/m5t ,committee4 7,c7 7i7 ,!re is e/abli%$ a ,po/al ,s]vice ,retiree ,heal? ,b5efits ,fund ,inve/m5t ,committee t %all consi/ (-- 7,i7 ! ,secret>y2 7,,ii7 ! ,*air ( ! ,bo>d ( ,gov]nors ( ! ,unit$ ,/ates ,po/al ,s]vice2 7,,iii7 ! ,*airman ( ! ,f$]al ,retirem5t ,?rift ,inve/m5t ,bo>d2 & 7,,iv7 two memb]s1 appo9t$ by ! ,presid5t1 :o-- 7aa7 %all repres5t ! int]e/s ( ,po/al ,s]vice employees & annuitants2 7bb7 h exp]i5ce & exp]tise 9 ! managem5t ( f9ancial inve/m5ts & ,po/al ,s]vice employee b5efits2 & 7cc7 %all s]ve = a t]m ( #c ye>s4 7ii7 ,subsections 7b77#a7 & 7c77#b7 ( section #hdgg %all apply ) respect to ! ,po/al ,s]vice ,retiree ,heal? ,b5efits ,fund ,inve/m5t ,committee & ea* memb] ( ! ,po/al ,s]vice ,retiree ,heal? ,b5efits ,fund ,inve/m5t ,committee 9 ! same mann] z su* subsections apply to a fiduci>y ) respect to ! ,?rift ,sav+s ,fund4 7,d7 7i7 ,! ,secret>y %all annually engage an indep5d5t qualifi$ public acc\ntant 7z def9$ 9 section #hdci7 to audit & provide a report on ! f9ancial /atem5ts ( ! inve/m5ts made pursuant to subp>agraph 7,a74 7ii7 ,n lat] ?an #ahj days aft] ! end ( ea* fiscal ye> beg9n+ aft] ! date ( ! enactm5t ( ?is p>agraph1 ! ,secret>y %all submit to ,congress an annual managem5t report reg>d+ ! ,fund t includes-- 7,i7 a /atem5t ( f9ancial position2 7,,ii7 a /atem5t ( op]ations2 7,,iii7 a /atem5t ( ca% fl[s2 7,,iv7 a /atem5t on int]nal acc\nt+ & adm9i/rative control sy/ems2 7,v7 ! mo/ rec5t report result+ f an audit ( ! f9ancial /atem5ts ( ! inve/m5ts conduct$ "u clause 7i72 & 7,,vi7 any o!r comm5ts & in=mation ! ,secret>y det]m9es necess>y to in=m ! ,congress ab\t ! op]ations & f9ancial condition ( ! inve/m5ts4 7,e7 ,9 ?is p>agraph-- 7i7 ! t]m specifi$ p]c5tage means #be p]c5t ( ! curr5tly available portions ( ! ,fund z are n imm$iately requir$ = paym5ts f ! ,fund1 except t ! ,po/al ,s]vice ,retiree ,heal? ,b5efits ,fund ,inve/m5t ,committee may specify a high] p]c5tage1 n to exce$ #cj p]c5t1 n e>li] ?an #e ye>s aft] ! date ( enactm5t ( ! ,po/al ,s]vice ,f9ancial ,improvem5t ,act ( #bjai1 & z appropriate !reaft]2 & 7ii7 ! t]m qualifi$ pr(essional asset manag] has ! mean+ giv5 t t]m 9 section #hdch7;a74 4