[Federal Register Volume 88, Number 94 (Tuesday, May 16, 2023)]
[Notices]
[Pages 31292-31293]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-10374]


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POSTAL SERVICE


Change in Rates and Classes of General Applicability for 
Competitive Products

AGENCY: Postal ServiceTM.

ACTION: Notice of a change in rates and classifications of general 
applicability for competitive products.

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SUMMARY: This notice sets forth changes in rates and classifications of 
general applicability for competitive products.

DATES: Applicable: July 9, 2023.

FOR FURTHER INFORMATION CONTACT: Elizabeth Reed, 202-268-3179.

SUPPLEMENTARY INFORMATION: On May 9, 2023, pursuant to their authority 
under 39 U.S.C. 3632, the Governors of the Postal Service established 
prices and classification changes for competitive products. The 
Governors' Decision and the record of proceedings in connection with 
such decision are reprinted below in accordance with section 
3632(b)(2). Mail Classification Schedule language containing the new 
prices and classification changes can be found at www.prc.gov.

Tram T. Pham,
Attorney, Ethics and Legal Compliance.

Decision of the Governors of the United States Postal Service on 
Changes in Rates and Classifications of General Applicability for 
Competitive Products (Governors' Decision No. 23-3)

May 9, 2023

Statement of Explanation and Justification

    Pursuant to authority under section 3632 of title 39, as amended by 
the Postal Accountability and Enhancement Act of 2006 (``PAEA''), we 
establish prices and classifications of general applicability for the 
Postal Service's competitive products. The changes are described 
generally below, with a detailed description of the changes in the 
Postal Service's associated draft Mail Classification Schedule change 
document. That document contains the draft Mail Classification Schedule 
sections with classification changes in legislative format, and new 
prices displayed in the price charts.
    As shown in the nonpublic annex being filed under seal herewith, 
the changes we establish should enable each competitive product to 
cover its attributable costs (39 U.S.C. 3633(a)(2)) and should result 
in competitive products as a whole complying with 39 U.S.C. 3633(a)(3), 
which, as implemented by 39 CFR 3035.107(c), requires competitive 
products collectively to contribute a minimum of 10.4 percent to the 
Postal Service's institutional costs. Accordingly, no issue of 
subsidization of competitive products by market dominant products 
should arise (39 U.S.C. 3633(a)(1)). We therefore find that the new 
prices and classification changes are in accordance with 39 U.S.C. 
3632-3633 and 39 CFR 3035.102 and 104.

I. Domestic Products

A. Priority Mail Express

    Priority Mail Express prices will remain unchanged for July 2023, 
and the existing structure of Retail and Commercial price categories 
will be maintained.

B. Priority Mail

    Priority Mail prices will remain unchanged for July 2023, and the 
existing structure of Retail and Commercial price categories will be 
maintained.

C. Parcel Select

    On average, Parcel Select prices as a whole will increase 1.4 
percent. Prices for destination-entered non-Lightweight Parcel Select, 
the Postal Service's bulk ground shipping product, will increase 2.1 
percent on average. For destination delivery unit (DDU) entered 
parcels, prices will remain unchanged. For destination sectional center 
facility (DSCF) destination entered parcels, the average price increase 
is 5.7 percent. For destination network distribution center (DNDC) 
parcels, the average price increase is 0.9 percent. No additional price 
changes for destination hub (DHub) parcels are planned beyond what we 
previously established in Governors' Decision 23-2. Prices for Parcel 
Select Lightweight will decrease by 0.1 percent on average. Prices for 
USPS Connect Local, introduced in 2022, will remain unchanged for 2023. 
To accommodate mailers' concerns regarding programming changes, the 
Postal Service will maintain its ounce-based prices at 15.999 ounces, 
as well as including a one-pound price. No other structural changes are 
proposed.

[[Page 31293]]

D. First-Class Package Service (Renamed USPS Ground Advantage)

    Consistent with the prior order of the Postal Regulatory Commission 
in October of 2022, the Postal Service intends to implement the 
enhanced and expanded First-Class Package Service (FCPS) product. 
Beginning on July 9, 2023, FCPS will be extended up to seventy pounds, 
will incorporate USPS Retail Ground (including Limited Overland Routes) 
and Parcel Select Ground (including cubic pricing), and will be renamed 
USPS Ground Advantage. Minor price changes are planned for FCPS as it 
transitions to USPS Ground Advantage in July 2023. Prices for the 
Limited Overland Routes (LOR) will remain unchanged. As the newly-
constituted USPS Ground Advantage product, customers will see a 3.2 
percent decrease in Retail prices and 0.7 percent decrease in 
Commercial prices for July 2023. To accommodate mailers' concerns 
regarding programming changes, the Postal Service will maintain its 
ounce-based prices at 15.999 ounces, as well as including a one-pound 
price. No other structural changes are proposed.

F. Domestic Extra Services

    Domestic Special Services prices will remain unchanged for July 
2023.

II. International Products

A. International Ancillary Services and Special Services

    Prices for several international ancillary services will be 
increased, with an average overall increase of 6.3 percent.
    No other price or classification changes for International Products 
are being made.

Order

    The changes in prices and classes set forth herein shall be 
effective at 12:01 a.m. on July 9, 2023. We direct the Secretary to 
have this decision published in the Federal Register in accordance with 
39 U.S.C. 3632(b)(2) and direct management to file with the Postal 
Regulatory Commission appropriate notice of these changes.

By The Governors:

/s/--------------------------------------------------------------------

Roman Martinez IV,

Chairman, Board of Governors.

United States Postal Service Office of the Board of Governors

Certification of Governors' Vote on Governors' Decision No. 23-3

    Consistent with 39 U.S.C. 3632(a), I hereby certify that, on May 9, 
2023, the Governors voted on adopting Governors' Decision No. 23-3, and 
that a majority of the Governors then holding office voted in favor of 
that Decision.

/s/--------------------------------------------------------------------

Date: May 9, 2023,

Michael J. Elston,

Secretary of the Board of Governors.

[FR Doc. 2023-10374 Filed 5-15-23; 8:45 am]
BILLING CODE 7710-12-P