Today, NAPS’ resident officers submitted its comments relating to the Postal Regulatory Commission’s proposal to modify postage rates for market domain products. Generally, the PRC proposal would continue to use the consumer price index for urban consumers (CPI-U) as the basis for future rate adjustments. However, it would modify that adjustment by taking into account the reduction of mail per delivery point and the USPS obligation to prefund retiree health benefits. In addition, the USPS could earn enhance modest additional rate flexibility if it meets specified performance targets.
NAPS focused its comments on requesting that the PRC replace the suffocating CPI-U index with the more appropriate index used to measure inflation within the delivery services industry. Over the past 13 years, the CPI-U increased by 3.9%, while the CPI for Delivery Services increased by 11.4%.