Nonprofit Mailers Singled Out for Postal Rate Increase
Although standard mail parcels will certainly take the biggest increase with prices going up 23 percent, nonprofit mailers have been specifically targeted. Quinn said, "It's not clear how badly this will impact nonprofit mailers. However, the USPS has been pointing out classes of mail that are 'underwater' and nonprofits is one they singled out."
The average price increase would be about 5 percent for most services and products. The Postal Regulatory Commission (PRC) should decide on the case by October and if approved, the increased prices are set to take effect on January 2, 2011.
A coalition of mailers and publisher and printer associations called the Affordable Mail Alliance are asking the PRC to not grant approval to USPS increased postal rates above the cap posted in the Postal Reform Act of 2006. The Consumer Price Index (CPI) reported this cap to be less than 1 percent last year.
Jerry Cerasale, senior vice president, government affairs for the Direct Marketing Association (DMA) on The Affordable Mail Alliance, "All the mailers have risen up as one here. They've done it because even though USPS has said this is a multifaceted, balanced approach to right their fiscal ship, they're focused on mailers. Their customers are the first to get hit."
Tony Conway, executive director of Nonprofit Mailers in Washington D.C., believes that USPS could begin to right their fiscal ship inside their own system by eliminating unnecessary costs. The USPS system is designed to handle 300 billion pieces of mail in a year, however, this year it only handle 170 billion. Officials at USPS did not oppose pulling out the rate case if they were offered some kind of financial relief from Congress however leaders in the Affordable Mail Alliance say they cannot wait for that.
Published by Laken Lovely
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1 Comments
Post a CommentNon profit peeps should be getting a break not targeted!