The USPS got approval for its proposed changes to competitive products going into effect in July. The Postal Regulatory Commission (PRC) approved the changes on Wednesday.
The PRC had already approved the changes the USPS had requested for market dominant rates, which will rise 6.5% and includes an increase in the cost of a stamp to 60 cents. As we reported on May 6th, the changes to competitive products were not as impactful as those to market dominant products.
The rate changes take effect on July 10th, and going forward, the USPS will raise rates each January and July.
In a June 9th release announcing PRC approval for the July 10, 2022 changes to both competitive and market dominant rates, the USPS stated: “As inflation and increased operating expenses continue, these price adjustments will help with the implementation of the Delivering for America plan, including a $40 billion investment in core Postal Service infrastructure over the next ten years.”
However, the PRC is still reviewing its 2020 ruling that gave the USPS authority to accelerate the pace of rate increases for market-dominant rates, given this year’s passage of postal reform that eases the Postal Service’s financial burden. You can read more about that development in this May 30th Newsflash article.