USPS Adds 3K Low-Denomination Coils

From the USPS:

Effective January 27, 2019, the following low denomination coils in the 10k format will also be available in the 3k format:

  • 2-cent Meyer Lemons stamp 3k coil (Item 750000).
  • 3-cent Strawberries stamp 3k coil (Item 750100).
  • 5-cent Grapes stamp 3k coil (Item 750200).
  • 10-cent Pears stamp 3k coil (Item 750300).

Canada Post Rates Go Up January 14, 2019

[press release]
Price of a domestic stamp rises to 90 cents from 85 cents on January 14 in the first postage rate increase since 2014

OTTAWA, Jan. 4, 2019 /CNW/ – Postage rates rise on January 14, with the price for stamps purchased in a booklet, coil or pane for domestic LettermailTM items weighing 30 grams or less increasing to $0.90, up from $0.85. The price of a single domestic stamp will increase to $1.05, up from $1.00.

While usage varies, Canada Post estimates the impact of the price increases to be less than a dollar a year for the average Canadian household and about $14 a year for the typical small business. Prices will also increase for mail to the U.S. and international destinations, and for domestic Registered MailTM.

The increases are the first for letter mail since March 31, 2014. Canadians can avoid the increases by purchasing PermanentTM stamps at the current rate before the new rates take effect. Under the federal regulatory process, Canada Post publicly proposed the increases in the Canada Gazette Part I in June of 2018.

Treasury Task Force: Overhaul The USPS

A U.S. Treasury Department task force, ordered by President Trump, is proposing an overhaul to the U.S. Postal Service, including (and perhaps in particular) how it prices packages delivered by e-commerce companies like Amazon.

The task force says the USPS should price mailing these packages “with profitability in mind.”

The president has, in turn, criticized Amazon for treating the USPS as its “delivery boy.”

Keep in mind that Amazon is owned by Jeff Bezos, who now also owns the Washington Post. That newspaper is often critical of President Trump. However, the administration denies it is targeting Amazon.

The report does not call for privatizing the Postal Service.

Politico’s story can be found here. The New York Times has the Associated Press story as well as its own, titled “Trump Said Amazon Was Scamming the Post Office. His Administration Disagrees.”  CNN characterizes it as “White House backs off privatizing the Postal Service.” FoxNews.com apparently did not run the story.


Here is the Treasury Department’s press release:

Washington – The U.S. Department of the Treasury today released the Task Force report on the United States Postal System. The report, United States Postal System: A Sustainable Path Forward, provides a series of recommendations to overhaul the United States Postal Service’s (USPS) business model in order to return it to sustainability without shifting additional costs to taxpayers.

“The USPS is on an unsustainable financial path which poses significant financial risk to American taxpayers,” said Treasury Secretary Steven T. Mnuchin. “President Trump tasked us with conducting a thorough evaluation of the USPS, and today’s report contains achievable recommendations that fulfill the President’s goal of placing the USPS on a path to sustainability, while protecting taxpayers from undue financial burdens and providing them with necessary mail services.”

Between fiscal year (FY) 2007 and FY 2018, the USPS experienced net losses totaling $69 billion. The USPS is forecast to lose tens of billions of dollars over the next decade. The USPS’s business model—including its governance, product pricing, cost allocation, and labor practices—must be updated in light of its current operating realities.

On April 12, 2018, President Trump issued the Executive Order on the Task Force on the United States Postal System. The Executive Order established a Task Force on the United States Postal System, chaired by the Secretary of the Treasury and including the Director of the Office of Management and Budget and the Director of the Office of Personnel Management. The Task Force was directed to evaluate the operations and finances of the USPS and to develop recommendations for administrative and legislative reforms that will enable the USPS to create a sustainable business model.

The Task Force’s recommendations include, but are not limited to:

  • Improving governance by strengthening the Board of Governors and developing enforcement mechanisms to ensure financial commitments and reforms are met;
  • Clearly defining the Universal Service Obligation by specifying what are “essential postal services,” or types of mail and packages for which a strong social or macroeconomic rationale exists for government protection;
  • Developing a new pricing model that removes price caps and charges market-based prices for both mail and package items that are not deemed “essential postal services”;
  • Modernizing the USPS’s cost standards and cost allocation methodology;
  • Pursuing cost-cutting strategies that will enable it to meet the changing realities of its business model;
  • Reforming USPS employee compensation in a manner consistent with proposed reforms to the broader federal workforce;
  • Restructuring retiree health benefit liabilities with a new actuarial calculation that is based on employees at or near retirement age;
  • Exploring new services that will allow the USPS to exact value from its existing assets and business lines, but that present no balance sheet risk.

The Task Force’s full analysis and complete list of recommendations can be found in the full report.

U.S. Postal Service Offers Letters From Santa

[press release]
U.S. Postal Service Letters FROM Santa Program Provides Santa’s Personalized Response to Your Child’s Letter
Great Photo Opportunity to Treasure for Years

WASHINGTON — Yes, Virginia, there is a Santa Claus — and the U.S. Postal Service can help you prove it when Santa replies to your child’s letter — complete with a North Pole postmark (right).

Here are the steps for your child to get a letter back from Santa:

  1. Have your child write a letter to Santa and place it in an envelope addressed to: Santa Claus, North Pole.
  2. Later, when alone, open the envelope and write a personalized response.
  3. Insert the response letter into an envelope and address it to the child.
  4. Add the return address: SANTA, NORTH POLE, to the envelope.
  5. Affix a First-Class Mail stamp to the envelope, such as one of the new holiday stamps.
  6. Place the complete envelope into a larger envelope — preferably a Priority Mail Flat Rate envelope — with appropriate postage and address it to:

North Pole Postmark
Postmaster
4141 Postmark Drive
Anchorage, AK 99530-9998

“Letters from Santa” must be received by the Anchorage, AK, postmaster no later than Dec. 15. Santa’s helpers at the Postal Service will take care of the rest.

Be sure to share the experience on social media using #LettersFromSanta.

Tips

  • To save paper, write Santa’s response on the back of your child’s letter. If you keep them together, your child will also be able to recall what he or she wrote.
  • When responding as Santa, make the response as personal as possible by highlighting your child’s accomplishments over the past year, for example, helping around the house, receiving good grades in a particular subject at school or participating in community service activities.
  • This is a great activity to do at Thanksgiving that the whole family can enjoy, including parents, grandparents, aunts, uncles and other caregivers.

The Letters from Santa program adds to the excitement of Christmas and is ideal to interest children in letter writing, stamps and penmanship.

U.S. Postal Rates Change In January

The U.S. Postal Service will raise many, but not all, of its rates on January 27, 2019. The Postal Regulatory Commission, an independent agency with oversight, approved the entire USPS proposal on November 13, 2018.

The price for mailing a letter will rise by 5 cents, to 55 cents for the first ounce. However, the price for additional ounces will go down, from 21 cents to 15, “so a 2-ounce stamped letter, such as a typical wedding invitation, will cost less to mail, decreasing from 71 cents to 70 cents,” the USPS said in its October 10th press release announcing its request.

There are two types of mail handled by the USPS: Market Dominant and Competitive. “Market Dominant” are services where the agency has a near-monopoly, such as delivering letters and advertising flyers. “Competitive” are services where the USPS is not the only supplier. Its competition includes companies like United Parcel Service, DHL and Federal Express.

Market Dominant increases, by law, must be no greater than the rate of inflation, which in the past 12 months was 2.5%. However, individual rates can rise more than that, so long as the average is at or below the Consumer Price Index.

The prices for Competitive products, on the other hand, must not be subsidized by the revenue from Market Dominant products; that is, as a group, Competitive products must pay their own way.

“The Commission found that the rates for both classes of mail meet all statutory requirements and may take effect, January 27, 2019, as planned,” said the PRC.

New Priority Mail and Express Mail stamps, as well as some definitives, will be issued, likely on the date the new rates go into effect, January 27, 2019. See our preview of the U.S. 2019 stamp program.

One major change, however, is in “First-Class Package Service—Retail,” which the USPS calls “a lightweight expedited offering used primarily by businesses for fulfillment purposes.” It includes tracking, at about half the cost of Priority Mail.

Right now, these packages are a flat rate of $3.50 for up to four ounces. After late January, the rate would range from $3.66 to $4.06 for up to four ounces, depending on distance. The service includes tracking.

To determine a domestic zone, use this tool on the USPS website. Choose the second tab, “Get Zone for ZIP Code Pair.”

Here are the basic Mailing Services or Market Dominant prices changes:

Product
Letters (1 oz.)
Letters additional ounces
Letters (metered 1 oz.)
International Letters (1 oz.)
Domestic Postcards
Current
50¢
21¢
47¢
$1.15
35¢
Proposed
55¢
15¢
50¢
$1.15
35¢

The domestic Priority Mail Retail Flat Rate price changes are:

Product
Small Flat Rate Box
Small Flat Rate Box
Large Flat Rate Box
APO/FPO Large Flat Rate Box
Regular Flat Rate Envelope
Legal Flat Rate Envelope
Padded Flat Rate Envelope
Current
$7.20
$13.65
$18.90
$17.40
$6.70
$7.00
$7.25
Proposed
$7.90
$14.35
$19.95
$18.45
$7.35
$7.65
$8.00

U.S. Threatens To Withdraw From UPU

The U.S. plans to pull out of an international postal treaty, because it allows China to ship packages to the U.S. at discounted rates. That, according to the Administration, costs the U.S. Postal Service about $170 million a year.

President Trump says the Universal Postal Union agreement benefits China and other countries at the expense of U.S. businesses: It’s cheaper to ship merchandise from Beijing to New York than from San Francisco to New York.

“The current system has led to the United States subsidizing the imports of small packages from other countries,” Jeff Adams, spokesman for the U.S. Postal Service, told the Washington Post.

Administration officials say the U.S. is willing to renegotiate the 144-year-old treaty, but will leave UPU if no agreement is reached. The treaty requires a year for a country to withdraw. Withdrawl might affect international rates for U.S. mailers, but not for at least six months.

“President Trump deserves tremendous credit for the administration’s focus on eliminating the anti-US manufacturer subsidy China receives from the U.S. Postal Service,” Jay Timmons, the president of the National Association of Manufacturers, said in a statement. “This outdated arrangement contributes significantly to the flood of counterfeit goods and dangerous drugs that enter the country from China.”

This comes as the trade war between the U.S. and China gains intensity, although the White House says it is separate.

UPU director Bishar Hussein says he will seek a meeting with U.S. officials.

U.S. Stamp Panel Adds Members

[press release]
New Citizens’ Stamp Advisory Committee Members Appointed

WASHINGTON — The U.S. Postal Service today announced the appointment of three members to the Citizens’ Stamp Advisory Committee (CSAC).

Created in 1957, the CSAC evaluates all stamp proposals received by the Postal Service. Committee members, appointed by the Postmaster General, provide expertise on history, science and technology, art, education, sports and other subjects of public interest.

The new members are:

Ivan Cash
Ivan Cash is an award-winning interactive artist and film director, and the founder of Cash Studios of Oakland, CA.

Conceptually driven and genre bending, Cash’s media projects spark meaningful conversation and impact culture. His work has been featured in The New York Times, CNN, TIME, The Guardian, Fast Company, Buzzfeed, and The Atlantic. Three of his videos have been named Vimeo Staff Picks and two have been selected as Webby Honorees.

Cash has been recognized as a Forbes 30 Under 30 artist, an Art Directors Club Young Gun, and a PRINT New Visual Artist. His work has been exhibited around the world from the Brooklyn Museum to the Australian Museum of Applied Arts & Sciences and is in the permanent collection of the Victoria and Albert (V&A) Museum in London.

Spencer R. Crew
Spencer R. Crew is the Clarence J. Robinson Professor of History at George Mason University. He has worked in public history institutions for more than 25 years. Crew served as president of the National Underground Railroad Freedom Center and worked at the National Museum of American History (NMAH), Smithsonian Institution for 20 years, serving as director for nine. At each of those institutions, he sought to make history accessible to the public through innovative and inclusive exhibitions and public programs. Crew is an active member of the academic and cultural communities, serving on numerous boards that work to generate enthusiasm for history among the public.

Crew is a co-author of The American Presidency, A Glorious Burden.

Mike Harrity
Mike Harrity is the senior associate athletics director, Student-Athlete Services, at the University of Notre Dame. He leads the areas of sports performance and student welfare and development, serves a lead role with primary benefactor groups.

Harrity has 17 years of experience at NCAA Division I institutions supporting 720 student-athletes across 26 teams at the University of Notre Dame. He directs all areas that impact the student-athlete experience, with a focus on optimally enhancing the academic, personal, athletic, professional and service-learning experience of each student-athlete from recruitment through alumni status. Harrity explored the subject of creating and sustaining cultures of excellence with 13 coaches and many of their team members, who have won 103 combined championships; the results of his exploration were published in his first book, Coaching Wisdom (2012).

Submitting Stamp Suggestions
Due to the time required for research and approval in the stamp selection process ideas for stamp subjects should be received at least three years before the proposed issuance. Each submission should include pertinent historical information and important dates associated with the subject. Proposals must be in writing and submitted by U.S. Mail. No in-person appeals, phone calls or e-mails are accepted. Mail your suggestion (one topic per letter) to the address below:

Stamp Development
Attn: Citizens’ Stamp Advisory Committee
475 L’Enfant Plaza SW, Room 3300
Washington, DC 20260-3501

USPS Gets 2019 Rate Increases

The Postal Regulatory Commission approved this request in its entirety on November 13th.

The PRC said, “Rate increases for Market Dominant products must meet certain statutory and regulatory requirements, the most prominent of which is that such increases be no greater than the rate of inflation, as determined by the Consumer Price Index for All Urban Consumers. Conversely, the Postal Accountability and Enhancement Act requires, among other things, that rates for Competitive products must produce sufficient revenues to ensure they are not subsidized by Market Dominant products. The Commission found that the rates for both classes of mail meet all statutory requirements and may take effect, January 27, 2019, as planned.”

“No greater than the rate of inflation…” However, that is on average. The cost of mailing a one-ounce letter is going up 10%. The rate of inflation, October 2017 to October 2018, rose just 2.5%.

We can expect new Priority Mail and Express Mail stamps, as well as some definitives, on the date the new rates go into effect, January 27, 2019.

One major change proposed, however, is in First-Class Package Service—Retail: Right now, it’s a flat rate of $3.50 for up to four ounces. Under the October 10 proposal, the rate would range from $3.66 to $4.06 for up to four ounces, depending on distance. The service includes tracking.

To determine a domestic zone, use this tool on the USPS website. Choose the second tab, “Get Zone for ZIP Code Pair.”

[press release]
U.S. Postal Service Announces New Prices for 2019

WASHINGTON — The United States Postal Service filed notice with the Postal Regulatory Commission (PRC) today of price changes to take effect Jan. 27, 2019.

The proposed prices, approved by the Governors of the Postal Service, would raise Mailing Services product prices approximately 2.5 percent. Shipping Services price increases vary by product. For example, Priority Mail Express will increase 3.9 percent and Priority Mail will increase 5.9 percent. Although Mailing Services price increases are based on the Consumer Price Index (CPI), Shipping Services prices are primarily adjusted according to market conditions. The Governors believe these new rates will keep the Postal Service competitive while providing the agency with needed revenue.

If favorably reviewed by the PRC, the new prices will include a 5-cent increase in the price of a First-Class Mail Forever stamp, from 50 cents to 55 cents. The single-piece additional ounce price will be reduced to 15 cents, so a 2-ounce stamped letter, such as a typical wedding invitation, will cost less to mail, decreasing from 71 cents to 70 cents.

The proposed Mailing Services price changes include:

Product
Letters (1 oz.)
Letters additional ounces
Letters (metered 1 oz.)
International Letters (1 oz.)
Domestic Postcards
Current
50¢
21¢
47¢
$1.15
35¢
Proposed
55¢
15¢
50¢
$1.15
35¢

The proposed domestic Priority Mail Retail Flat Rate price changes are:

Product
Small Flat Rate Box
Small Flat Rate Box
Large Flat Rate Box
APO/FPO Large Flat Rate Box
Regular Flat Rate Envelope
Legal Flat Rate Envelope
Padded Flat Rate Envelope
Current
$7.20
$13.65
$18.90
$17.40
$6.70
$7.00
$7.25
Proposed
$7.90
$14.35
$19.95
$18.45
$7.35
$7.65
$8.00

First-Class Package Service, a lightweight expedited offering used primarily by businesses for fulfillment purposes, will move to zone-based pricing to better align with the cost of service and improve value based on distance.

The Postal Service has some of the lowest letter mail postage rates in the industrialized world and also continues to offer a great value in shipping. Unlike some other shippers, the Postal Service does not add surcharges for fuel, residential delivery, or regular Saturday or holiday season delivery.

The PRC will review the prices before they are scheduled to take effect Jan. 27, 2019. The complete Postal Service price filings with the new prices for all products can be found on the PRC site under the Daily Listings section at https://www.prc.gov/dockets/daily (see listing for Oct. 10). For the Mailing Services filing see Docket No. R2019-1. For the Shipping Services filing see Docket No. CP2019-3.The price change tables are also available on the Postal Service website at https://pe.usps.com/PriceChange/Index.

The Postal Service receives no tax dollars for operating expenses and relies on the sale of postage, products, and services to fund its operations.

More details on the proposed rate changes can be found here.

It’s Official: No More U.S. Press Sheets without Die Cuts

“It won’t be a surprise to anyone (since the USPS hasn’t issued one in two years),” reports Foster Miller in The Stamp Collecting Forum, “but Mary-Anne Penner (Director, Stamp Services) confirmed to me today that, while the USPS will continue to issue press sheets with die cuts, there will not be any issued without die cuts.”

Penner answered questions during a seminar June 27 at American Philatelic Society headquarters in Bellefonte, Pa.

New Policy: All U.S. Commemoratives to All Post Offices

The USPS has established a new policy that all future US commemorative stamps will have automatic distribution to all post offices, reports Foster Miller in The Stamp Collecting Forum. “Post offices will still have to order new definitives based on their needs and inventory limits.”

Director of Stamp Services Mary-Anne Penner made the announcement during a Q&A session at American Philatelic Society headquarters in Bellefonte, Pa., June 27th.

Miller did not state if Penner gave a start date for the new policy.