Alliance Alert – PRC Approved USPS Rate Hikes for July 13, 2025

May 30, 2025

Dear Alliance Members:

The Postal Regulatory Commission today approved the submission by the United States Postal Service to raise Market Dominant mail rates on July 13, 2025: https://prc.arkcase.com/portal/filings/136512

This was expected because the combination of the 2006 postal law and the regulations promulgated by the PRC led the regulator to limit its deliberation on regular rate increases to checking the math of the caps on each class of mail.

Notable things that the PRC approved included:

• Bound Printed Matter remains a product despite the USPS’s ongoing effort to eliminate it. The PRC will rule later on that proposal.
• Destination Network Distribution Center (DNDC) discounts were eliminated in USPS Marketing Mail which will add to the increase in the cost of mailing for many nonprofits.
• The promotional discounts of the past year enable the list prices to go up quite a bit more than the regulatory caps on Marketing Mail and First-Class Mail.

We expect the PRC to issue new proposed rules for rates soon. The regulator kicked off the rate review last April and the Alliance intervened heavily in it. We will continue our active involvement after the proposed rules are published.