PRC Approves USPS Rates for May 31

Alliance Alert — May 7, 2015

Today, the Postal Regulatory Commission (PRC) approved the latest rates proposed by the United States Postal Service (USPS) for implementation on May 31, 2015.

This was the USPS response to the second remand by the PRC.

The USPS fixed discriminatory disparities in Standard Mail workshare discounts between commercial and nonprofit mailers, and moved the revenue per piece from nonprofit Standard Mail as closely as practicable to 60 percent of that of commercial Standard Mail. It also slightly lowered the impact on light-weight, low-advertising nonprofit Periodicals.

The PRC also ordered USPS to propose new costing methodologies for new rates designs within 90 days:

  1. “The Postal Service is directed to file a proposed methodology for determining the costs avoided for the Presorted FSS workshare discounts, as described in the body of this Order, within 90 days of the date of this Order.
  2. The Postal Service is directed to file a proposed methodology for determining the costs avoided for the 5-digit pallet presort Standard Mail Carrier Route flats workshare discount, as described in the body of this Order, within 90 days of the date of this Order.
  3. The Postal Service is directed to file a proposed methodology for determining the bottom-up costs for the new Periodicals Mail Carrier Route bundle and container entry options, as described in the body of this Order, within 90 days of the date of this Order.”

(c) 2015 Alliance of Nonprofit Mailers