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Ronald Reagan Presidential Library Digital Library Collections This is a PDF of a folder from our textual collections. Collection: Blackwell, Morton: Files Folder Title: Third Class Nonprofit Mailers Box: 26 To see more digitized collections visit: https://reaganlibrary.gov/archives/digital-library To see all Ronald Reagan Presidential Library inventories visit: https://reaganlibrary.gov/document-collection Contact a reference archivist at: [email protected] Citation Guidelines: https://reaganlibrary.gov/citing National Archives Catalogue: https://catalog.archives.gov/ File 3rd Third ALLIANCE OF THIRD-CLASS NONPROFIT MAILERS I. Impact of Reconciliation Act caps on Revenue Foregone Appropriation on selected third-class nonprofit mailers 2.9 R October 1, 1981 rate increase from 3.8 to 5.1 cents per piece (34 percent) coming immediately after July 6, 1981 rate increase from 3.5 to 3.8 cents per piece. A 45.7 percent increase since July 5. March of Dimes $1,300,000 American Lung Assn. 1,430,000 Salvation Army 520,000 American Cancer Soc. 405,000 National Catholic Devel. Conference members 9,100,000 II. Impact of Reconciliation Act caps on Revenue Foregone Appropriation plus Impact of Current House and Senate Appropriations Committee Projected Shortfall October 1, 1981 rate increase from 3.8 to 5.9 cents per piece (55 percent) coming immediately after July 6, 1981 rate increase from 3.5 to 3.8 cents per piece. A 68.6 percent increase since July 5. March of Dimes $2,100,000 American Lung Assn. 2,310,000 Salvation Army 840,000 American Cancer Soc. 735,000. National Catholic Devel. Conference members 14,700,000 Calculations are based on standard third-class nonprofit bulk rate, minimum per piece. MEMORANDUM Wed July 27 THE WHITE HOUSE WASHINGTON 3 P.M July 6, 1981 TO: Annelise Anderson FROM: Morton C. Blackwell M I have been asked by the Salvation Army (see attached letter) and others to set up a meeting with you or a member of your staff dealing with the reconciliation bill. Others involved are: Clyde E. Shorey, V.P. for Public Affairs March of Dimes Emert Meler Joel Thomas, General Counsel National Wildlife Federation Salvation army David A. Connolly Sherry Berniterin U.S. Catholic Conference Natl William J. Olson Smiley, Murphy, Olson and Gilman Would you please give a time when you or other OMB people will be available. I will issue the invitations to the group involved. ask Morton if the isabsolutely necessary annelise sayo there is, nothing that cambe done moeo They will make m changes If Marton feels it is necessary shew spend with herse ARNOLD BROWN ERNEST W. HOLZ General National Commander THE TARKY SALVATION THE SALVATION ARMY (Founded in 1865) WILLIAM BOOTH, FOUNDER ERNEST A. MILLER NATIONAL HEADQUARTERS NATIONAL PUBLIC AFFAIRS OFFICE National Consultant 120-130 WEST FOURTEENTH STREET 1025 Vermont Avenue, N.W. Washington, D.C. NEW YORK, N.Y. 10011 Washington, D.C. 20005 Phone: (212) 620-4900 Phone (202) 833-5577 TELEX Salvation NYK 14-7266 TELEX Salvation Wsh 89-460 June 16, 1981 Mr. Morton C. Blackwell Special Assistant to the President The White House 1600 Pennsylvania Avenue Washington, D.C. 20500 Dear Mr. Blackwell: This is to request your help to arrange a meeting with Mrs. Annelise G. Anderson, Associate Director for Economics and Government, OMB, for the purpose of discussing the impact of postal rates for nonprofit third- class mailers on The Salvation Army and other voluntary organizations. The Salvation Army has recently been working with an "Alliance of Third-Class Nonprofit Mailers" to communicate the needs of the group to the Congress and to other government entities. Mr. William Olson has worked clearly with us in that effort. However, recent developments in the budgetary process threaten to seriously affect this nonprofit group. Sharp increases in postage rates will multiply the cost of raising money, -- the money needed by these or- ganizations to provide services to the truly needy. With final decisions on the reconciliation of the budget now pending, we wish to meet with Mrs. Anderson to discuss how the interests of these nonprofit organizations, and the millions of people they seek to serve, can best be met. Please contact me at 833 - 5577. Your help will be much appreciated. Very truly yours, Shill Ernest A. Miller Lieut. Colonel EAM:pa L223-9066-0810 Bill 3120 Col. Emest Miller, Dir. The Salvation army natt Pablic affairs Office -6n letter - Sunte 350 1025 Vermantave n.w Wash 20005 clyde E. Sharey V.P. for Pablic affairs March Josemes Buth Defeacts Found Wark 1707 H St n.w. Wash, D C. 20006 Wm I Olsan similey theo 9 Murphy, Olsan of Jilman 1819 H stnw - Sante 500 Wash - 20006 (4) Joel Thomas Jen Counsel natl Wildfile Fednation 1412 16th St n.w. Wash 200036 David A Connolly U.S. Cathalic Canf 1312 Mass are n.w. Wash 20005- - alliance of 3rd class Non Profit Maders THE WHITE HOUSE washington Sawati army list Mr William Olson- attorney 1819H st. NW 223-9066- I The No. Profit, 3rd class Mailers alliance Mr. Ev Sharey March of Dimes plus Mr. Miller they are asking for MAS. anderson but someone in that of ice us May He is Thus d Fii. of this well or next wheek THE white HOUSE washington I March of Dimes clyce E. Showey 338-8360 1707tf-st. St. NW 20006 This next wak not Tues norn onwed ORGANIZATIONS QUALIFIED TO MAIL AT THIRD-CLASS NONPROFIT RATES The Postal Service's Domestic Mail Manual authorizes religious, educational, scientific, philanthropic, agricultural, labor, veterans' and fraternal organizations to mail at special third-class bulk rates if they are not organized for profit and their net income does not benefit any private stockholder or individual. 1 In 1978, the only comprehensive survey on third-class nonprofit mail was conducted by Decision/Making/Information. The results reflect the usage of this subclass of mail by both large and small nonprofit organizations. Although it is well known that large charitable organizations qualify for third-class nonprofit status, many are not aware that the bulk of third-class nonprofit permits are issued to small organizations whose financial stability depends substantially on funds raised through third-class nonprofit solicitations. In March 1981, the Postal Service estimated that approximately 244,000 individual organizations have been issued third-class nonprofit mail permits. Of the organizations responding to this survey, 98 percent depend on third-class mailers for fundraising. 2 If the present trend in rising costs for third-class nonprofit mail continues, many of these small, local organizations will be hampered in their fund-raising and their financial stability will be jeopardized. By supporting legislation to keep the cost of third-class nonprofit mail down, we will continue to receive the charitable, educational, and other benefits which these organizations provide. 1 United States Postal Service, Domestic Mail Manual $623.2. 2 The 300 organizations sampled in this survey were judged to be representative of the entire field of third-class nonprofit mailers. Their interests included religions, educational, political, lobby/single issue, labor, and charitable areas. The Postal Service for fiscal year 1978 estimated the total third-class nonprofit mail volume at 6.960 billion pieces. The estimated volume of the numerous organizations participating in the survey was 504.9 million pieces, representing seven percent of total volume. UNITED STATES POSTAL SERVICE In the Omnibus Reconciliation Act of 1981, Congress has set the budget estimate and the maximum authorized level of funding for fiscal year 1982 at $946,000,000. This is an increase of $76,000,000 over the original budget estimate. The increase was made possible by a decrease of $31,000,000 in other programs and a savings to the U.S. Treasury of $46,000,000. For fiscal year 1982, The Reconciliation Act eliminated the authorization for certain transitional expenses, reduced the authorized amount to be appropriated for public service reimbursement to $250,000,000 and established a limit of $696,000,000 to be appropriated for revenue foregone. An appropriation of $946,000,000 for fiscal year 1982 is the full amount of the budget level and authorized level established by the Reconciliation Act for the Postal Service. 1982 Appropriations 1st Budget Reconciliation Authorized by the Resolution Act Authorization Postal Reorg. Act Non Funded Liabilities $ 69,240,000 $ 69,240,000 $0 Public Service Costs $644,000,000 $300,000,000 $250,000,000 Free and Reduced Rate Mail $799,911,000 $500,000,000 $696,000,000 Total $1,513,151,000 $869,240,000 $946,000,000 H.R. 4121 Page 10 - Line 5 through line 16 is amended to read as follows: 5 TITLE II 6 U. S. POSTAL SERVICE 7 PAYMENT TO THE POSTAL SERVICE FUND 8 For payment to the Postal Service Fund for public serv- 9 ice costs and for revenue foregone on free and reduced rate 10 mail, $946,000,000. 11 This Title may be cited as the "Postal Service 12 Appropriation Act, 1982."