Is USPS Exigent Filing on the Horizon?

In defense of a bid for an exigent rate increase next year, the U.S. Postal Service claims the recession impacted its finances to the tune of $2.34 billion during fiscal years 2008-09, according to a November 21st filing with the Postal Regulatory Commission. Given the fact that Congress hasn’t agreed to any financial rescue plan for the U.S. Postal Service, the USPS is moving ahead with its exigent rate case proposal. Postal rates will increase 2.1% on January 22, 2012. If the exigent rate case is approved by the PRC, an additional average price increase of 5.6% would be tacked onto the 2.1%. Under the Postal Accountability and Enhancement Act of 2006 (PAEA), postal rate hikes are capped at inflation as measured by the Consumer Price Index (CPI). This would mean rate hikes would be capped at an estimated 0.6%. Jerry Cerasale, senior vice president of government affairs for the Direct Marketing Association, says the November 21st USPS filing means the exigent rate case continues and the possibility of exigent rate increases remains alive.

Source: Multichannel Merchant

Catalogers Be Alert!

Susan LaChance, Vice President of Consumer & Industry Affairs for the Postal Service has issued an official announcement stating the USPS will no longer be able to stage and deliver Standard Mail using requested In-Home windows. Mail will be processed and delivered according to their published Service Standards.

Source: USPS

Where Are My Magazines & Catalogs?

USPS executives resolved to fix problems in their processing, as mailers pressed their concerns about significant delays at the recent Mailers Technical Advisory Committee (MTAC) meeting. On-time performance levels for one-to-two day periodicals delivery have slumped to as low as 44% this year as USPS expanded its use of automated flats sequencing systems (FSS) as a way of improving efficiency in processing flats immediately prior to delivery. Largely because of the FSS issues, the number of delays to Standard Mail flats has increased 16% this year, while delays to Standard Mail overall fell 20%. USPS chief operating officer Megan Brennan stated frankly that the situation was “unacceptable” and current service performance for periodicals “lousy”. USPS has now deployed a number of specialist teams – “Tiger Teams” – to investigate problems at the FSS locations, and put in place corrective measures in areas like mail preparation and maintenance procedures.

Source: Parcel & Post

Final Folded Self Mailer Standards Released

The Postal Service has issued the long awaited Folded Self Mailer standards. The regulations will go into effect immediately, allowing mailers to take advantage of new design options, but mandatory compliance will not be required until 2013. A folded self-mailer is formed of panels that are created when one or more unbound sheets of paper are folded together and sealed to make a letter-size mailpiece. The maximum height for all automation and machinable FSMs is 6 inches and the maximum length is 101⁄2 inches, with a maximum thickness of 1⁄4 inch. The maximum weight of three ounces is applicable to all mailpieces prepared without envelopes.

Source: Federal Register

Ads on USPS Trucks

Considering the United States Postal Service's well-documented financial struggles, it's no surprise that it's looking to follow in the footsteps of some public transportation fleets by selling ads on some of its vehicles. As part of a pilot program, USPS and advertising partner, Denver-based Lighted Promotions -- which installs lighted outdoor ads on big rigs -- have sold advertising on the back of 17,000 USPS freight trucks in 11 states. Advertising on the trucks cost $500 to $600 for a month.

Source: Advertising Age