People often ask about price changes – why they’re when and what they are, and why the USPS can’t simply reduce its costs. It’s really not that simple.

The Postal Service has filed new prices for market-dominant mail that, if approved by the Postal Regulatory Commission, will take effect on January 26, 2020.  The average increase for the market-dominant classes of mail is 1.9%, in line with the CPI-based cap; First-Class Mail will increase, on average, by 1.919%, and Marketing Mail prices will rise by an average of 1.891%.  Barring problems during the PRC’s review of the filing, a decision should be expected by mid-November.

New prices for competitive products, set by the Governor of the Postal Service, also were announced.  They will be reviewed for statutory compliance by the PRC and, barring problems, also will be effective January 26.

There is still time to make the 2019 Mailers Conference.

Commentary, by Leo Raymond

Any publication on any topic occasionally finds itself in the situation of knowing newsworthy events lie ahead but about which an article cannot be yet written; they just have to wait. Such is the situation in which we – and colleagues with their own newsletters – find ourselves.

As previously reported, the Postal Service submitted its Annual Compliance Review for fiscal 2018 to the Postal Regulatory Commission at the end of December. Given the span and scope of such a document, it’s normal for the PRC staff to pore over it carefully and ask about data or statements that they believe need further clarification. These questions, officially know as “Chairman’s Information Requests,” or CHIRs, generate a response by the USPS.

The occasional nugget

Competitive Products: A Final Rule is Only Half the Story

Commentary excerpted from the Jan. 7, 2019 issue of Mailers Hub News

In an order issued January 3, the Postal Regulatory Commission published its final rule regarding the institutional cost requirement for Postal Service competitive products. The 197-page order concludes a rulemaking that had begun in November 2016.

In separate orders issued November 13, the Postal Regulatory Commission approved without changes the Postal Service’s proposed prices for both market dominant and competitive products. Also approved as filed were the promotions the USPS proposed as part of its market dominant filing. As a result, both sets of rates will be implemented as planned at 12:01am ET on January 27, 2019.

Market dominant  products