6. State Department Coordination
The Universal Postal Union (UPU) High Level Group completed its work in July 2001 and reached agreement on recommendations to allow wider participation by the private sector in 2002. A new Consultative Committee will serve as the forum for the private sector. Private sector members of this new committee will also have observer status in other UPU bodies, including the UPU Congress, the Council of Administration and the Postal Operations Council. While the next Congress of the UPU in 2004 will be responsible for formally approving these proposals, both the Council of Administration and the Postal Operations Council have agreed to implement them on an interim basis beginning in 2002. This development provides an opportunity for a substantial improvement in dialogue, understanding and cooperation among the diverse public and private sector stakeholders in the international delivery services arena.

The Postal Service has continued to work in cooperation with the U.S. Department of State, which has primary responsibility to formulate, coordinate and oversee policy with respect to U.S. representation in the UPU. The Department of State leads a consultation process on postal policy issues with all stakeholders, including the Postal Service, other government agencies, customers and private providers of delivery services. This responsibility was granted to the Department of State though legislation that Congress passed in October 1998. The Department of State’s role is to ensure that the Postal Service not enter into any agreement that provides an undue or unreasonable preference to the Postal Service, a private provider of postal services or any other person.

In addition, the Postal Service, Department of State and Postal Rate Commission agreed to sponsor a joint study of the email provisions of Article 43 of the Convention of the UPU and their impact on key stakeholders. The results of this study, carried out by an independent consultant, shall contribute to formulation of U.S. policy on the fees postal administrations pay for the delivery of international letter mail. The Postal Service shall also continue its efforts through the UPU to implement a more cost based terminal dues system for industrialized countries with a link to service quality in 2004. This system, adopted at the UPU Congress in Beijing in 1999, provides a transition to more cost-based terminal dues system for all countries.

The Postal Service also participated on the U.S. delegation to the UPU High Level Group, which was created by the Beijing Congress in 1999 to address issues of UPU reform and wider participation by key stakeholders in postal issues. This delegation was led by the Department of State and included representatives from other government agencies and the private sector.