EXIGENT POSTAL RATE INCREASE IMMINENT IN EARLY 2011
July 4, 2010 by admin
Filed under Production Solutions News Alerts
The latest word from industry sources is that the anticipated 2011 USPS postal rate increase is gaining momentum.
Production Solutions wants you to have the latest news, compliments of our attendance at the recent Mailers’ Technical Advisory Committee (MTAC) Meeting.
It seems that the Postal Regulatory Commission (PRC) is firmly on track to vet the exigent postage rate case, which allows for quick action from the date of the announcement. If the Board files with the PRC in the June/July time frame as expected and approval is given within 150 days in November or December, we can anticipate the increase taking effect in late January or early February 2011.
The USPS representative at the MTAC meeting also stated that there will be no Consumer Price Index-related increase slated for May 2011. Instead, the exigent rate increase will include an emergency increase plus at least a portion of the CPI increase originally scheduled for May 2011. This raises the likelihood that the exigent rate increase slated for the 1st Quarter of 2011 will be above 5%, although the USPS continues to use the phrase “moderate increase.”
In another development, there are stories of local postal facilities not being able to supply mailers with needed stamps, including the coil standard mail pre-cancelled Non-Profit stamps. This is part of the efficiency effort being undertaken at the USPS—saving costs by having less inventory to manage. Technically, all USPS sites should carry the same amount of postage as they did for that quarter during the year prior, but mail shops are reporting that this is not the case, and in many instances are being told stamps are not available for sale or can take anywhere from 3 – 8 days to locate and ship, seriously affecting mail dates.
PS will continue to keep you informed as things develop, as part of our commitment to support your direct mail production needs during these challenging times. Contact your Account Manager or email PSI–ClientServices@psmail.com to learn more.
