![]() However, USPS states the net income is due almost exclusively to the non-cash impact of the Postal Service Reform Act that President Joe Biden signed into law in April. The Postal Service ended the third quarter of fiscal 2022 with $59.7 billion net income, compared to a $3 billion net loss for the same period last year. USPS is introducing a new rate hike roughly six months after its last rate hike, a pattern that may continue for the foreseeable future. The proposed price changes have been approved by the USPS Board of Governors. The PRC in December 2020 approved a new rate-setting system that allows USPS to set market-dominant mail prices above the rate of inflation, but still keeps a price cap in place, based in part on changes in mail density and the agency’s contributions to its employees’ retirement. USPS needs approval from its regulator, the Postal Regulatory Commission before the higher prices go into effect, but the commission is expected to approve the changes. “I believe we have been severely damaged by at least 10 years of a defective pricing model, which cannot be satisfied by one or two annual price increases, especially in this inflationary environment.” “While our pricing decisions are ultimately made under the authority of the Board of Governors, in the near term, I will most likely be advocating for these increases,” DeJoy said during a May meeting of the USPS Board of Governors. Postmaster General Louis DeJoy announced this year that USPS expected to seek another rate hike at the start of 2023, and that the agency would need to continue raising prices on its market-dominant products “at an uncomfortable rate,” until it reaches a point where the agency is on track to be self-sustaining in the long term. EST for a discussion with DLA's Adarryl Roberts, the Army's Leo Garciga and NTT Data's Noel Hara as we dive into cloud migration and completing agency missions. Between the Lines with the Administrative Conference of the United States.10 with the PRC, which will review and approve the prices before they take effect. The Postal Service governors evaluate shipping rates and fees and adjust them when needed to keep investing in the Postal Service’s Delivering for America plan, which is designed to reverse a projected $160 billion in operating losses during the next 10 years. Although Mailing Services price increases are based on the consumer price index, Shipping Services prices are primarily adjusted according to market conditions. Shipping Services price adjustments vary by product. The proposed prices were approved by the Postal Service governors. There is no price increase for Parcel Select Ground, and pricing for USPS Connect Local remains unchanged. Overall, Priority Mail service prices would increase approximately 5.5 percent. ![]() Priority Mail Express service prices would increase by 6.6 percent, and First-Class Package Service prices would increase by 7.8 percent. Some Priority Mail flat-rate retail product prices will be reduced compared with the temporary rate adjustment currently in place, and Priority Mail commercial rates will increase by 3.6 percent, below the rate of inflation. Priority Mail padded flat-rate envelope: $10.60 (current), $10.40 (planned).Priority Mail legal flat-rate envelope: $10.20 (current), $9.95 (planned).Priority Mail regular flat-rate envelope: $9.90 (current), $9.65 (planned).Army/Air Post Office and Fleet Post Office large flat-rate box: $20.95 (current), $21.20 (planned).Priority Mail large flat-rate box: $22.45 (current), $22.80 (planned). ![]()
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