US Governors accept PRC's revised rate recommendations
The Governors of the Postal Service announced they accepted the decision of the Postal Regulatory Commission (PRC) to modify two of its earlier rate case recommendations: lowering the price of the Priority Mail Flat-Rate Box to USD 8.95 and extending the nonmachinable surcharge (which encourages mailing efficiencies) to all single piece and presorted First-Class Mail letters, regardless of weight.
Still pending is the Governors’ request that the PRC reconsider its decision relating to Standard Mail flats. No date has been announced for that decision. All new rates are scheduled to go into effect May 14, except those for Periodicals (magazines and newspapers), which are scheduled to go into effect July 15.
Also during today’s meeting of the agency’s Board of Governors, Chief Financial Officer H. Glen Walker reported that a USD 925 million net loss was recorded during the second quarter of the fiscal year (Jan. 1 – March 31) due largely to expenses relating to the implementation of the Postal Accountability and Enhancement Act, signed into law on Dec. 20, 2006.
The Board of Governors also approved funding to purchase additional Delivery Bar Code Sorter equipment for sorting letter mail in the sequence in which carriers deliver it. The purchase consists of 110 new machines as well as 394 stacker modules for existing Delivery Bar Code Sorters.
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