No More USPS Rate Case Increases Under Old Rules

WASHINGTON, DC—The U.S. Postal Service (USPS) Board of Governors announced that any new postal rate increase will be consistent with the Postal Accountability and Enhancement Act of 2006. In using the Postal Regulatory Commission’s new regulations for setting future rates, price increases will be capped at the rate of inflation.

The Board of Governors had the option of filing one more rate case under the regulations that had been in place since 1971, but voted to proceed with the new pricing regulations.

“Mailers around the country should be elated that the antiquated, costly and adversarial rate case proceedings are now nothing more than a part of American history,” noted Jerry Cerasale, senior vice president for government affairs at the Direct Marketing Association, in a release. “I am happy to report. . .that the direct marketing community has experienced its last rate case under the old regime.”

The new pricing regulations allow the USPS the flexibility to grow its competitive business, offering volume discounts and contract pricing, according to Postmaster General John Potter.