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 user 2005-04-10 at 10:06:00 am Views: 81
  • #8736

    US Postal Service Files for 5.4% Rate Increase with
    Postal Rate Commission


    Washington, D. C. – The U.S. Postal Service filed a rate case with
    the Postal Rate Commission (PRC) Friday (4/8) seeking an expedited recommended
    decision to raise rates and fees 5.4 percent for almost all categories.

    The filing is unique in that the decision to seek a rate increase
    is due solely to the requirement of Public Law 108–18 that the Postal Service
    establish a $3.1 billion escrow fund. The law does not stipulate how the funds
    are to be used.

    The Postal Service rate case calls for an almost uniform 5.4
    percent rate and fee increase spread over all classes and subclasses of mail and
    special services. The postage for a one-ounce piece of First-Class Mail would go
    from 37 to 39 cents in early 2006.

    Should legislation be enacted that eliminates the escrow funding
    requirement, this rate case will be withdrawn. The last postal rate increase was
    three cents on June 30, 2002.