Written by: Donna Hanbery, Executive Director | Saturation Mailers Coalition
PRC Begins First Broad Review of Postal Rate Making System
Dear SMC Members:
On December 20, 2016, the Postal Regulatory Commission (PRC) announced that it would begin its review of the system for regulating rates and classes for Market Dominant products that was established in the 2006 law that governs today’s Postal Service and rate making system. The Postal Accountability and Enhancement Act (PAEA) provided a system of setting postal rates tied to changes in the annual Consumer Price Index and provided that at the end of ten years the PRC would do a review of how the rate-setting process was working to achieve the objectives of the law. The PRC Order, entitled “Advance Notice of Proposed Rulemaking on the Statutory Review of the System for Regulating Rates and Classes for Market Dominant Products”, could be just the beginning of a long process to review and evaluate how the current system is working. If the PRC finds the objectives of the PAEA Statute are not being met, it could establish another proceeding to modify the system, or adopt an alternative system, to achieve the objectives of the law.