This year, the Grinch may go postal with an extraordinary rate increase. The U.S. Postal Regulatory Commission is expected to decide whether to allow the U.S. Postal Service to raise rates above the annual inflation rate increase on Dec. 22, on the eve of the holidays.
The proposed exigent increase would raise postal rates three times the rate of inflation for magazines, newspapers and other mail-dependent media beginning Jan. 26, adding hundreds of millions in costs.
It could also depress mail volume, which has already declined in the last seven years due to increases in digital distribution for correspondence, advertising, billing and payments.
With time running out to get the PRC to reject the proposal, the MPA and a dozen other postal-dependent media organizations argue in a filing that the 2007-2009 recession–the basis of the USPS call for an exigent increase–was not the main cause of declining mail volume. (Due to a regulation, the USPS cannot base an exigent increase on the continuing effects of electronic diversion.)