[Federal Register Volume 89, Number 225 (Thursday, November 21, 2024)]
[Notices]
[Pages 92201-92202]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-27132]
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POSTAL SERVICE
Change in Rates and Classifications 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: Applicability date: January 19, 2025.
FOR FURTHER INFORMATION CONTACT: Elizabeth Reed, 202-268-3179.
SUPPLEMENTARY INFORMATION: On November 13, 2024, pursuant to their
authority under 39 U.S.C. 3632, the Governors of the Postal Service
established price 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 can be found at www.prc.gov.
Christopher Doyle,
Attorney, Ethics & 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. 24-7)
November 13, 2024
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 9.6 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
Overall, the Priority Mail Express price change represents a 3.2
percent increase. In 2023, we consolidated the Commercial Base and
Commercial Plus price categories into one Commercial price category and
differentiated the ``Local, 1, 2'' Zone prices. For January 2025, this
new structure will be maintained. Dimensional weighting, which was
introduced for all zones in 2019, will also continue in 2025.
Retail prices will increase an average of 3.2 percent. The price
for the Retail Flat Rate Envelope, a significant portion of all
Priority Mail Express volume, will increase to $31.40, with the Legal
Size and Padded Flat Rate Envelopes priced at $31.65 and $32.25,
respectively.
The Commercial price category will increase 3.2 percent on average.
Commercial prices will, on average, reflect a 12.4 percent discount off
of Retail prices. New for 2025, a Live Animal and Perishable Handling
Fee of $7.50 will be introduced under Priority Mail Express to cover
the additional costs associated with handling and transporting these
items.
B. Priority Mail
On average, the Priority Mail prices will be increased by 3.2
percent. Similar to Priority Mail Express, the Commercial Base and
Commercial Plus price categories were consolidated into one Priority
Mail Commercial price category and ``Local, 1, 2'' Zone prices were
differentiated in 2023. For January 2025, this new structure will be
maintained. Dimensional weighting, which was introduced for all zones
in 2019, will also continue in 2025.
Retail prices will increase by an average of 3.2 percent. Retail
Flat Rate Box prices will be: Small, $10.65;
[[Page 92202]]
Medium, $19.15; Large, $26.30 and Large APO/FPO/DPO, $25.05. Thus, the
Large APO/FPO/DPO Flat Rate Box will be $1.25 less than the Large Flat
Rate Box. The regular Flat Rate Envelope will be priced at $10.10, with
the Legal Size and Padded Flat Rate Envelopes priced at $10.40 and
$10.85, respectively.
The Commercial price category will increase by 3.2 percent on
average. Commercial prices will, on average, reflect a 20.8 percent
discount off of Retail prices. New for 2025, a Live Animal and
Perishable Handling Fee of $15.00 will be introduced under Priority
Mail to cover the additional costs associated with handling and
transporting these items.
C. Parcel Select
On average, Parcel Select prices as a whole will increase 9.2
percent. For destination delivery unit (DDU) entered parcels, the
average price increase is 10.3 percent. For destination hub (Dhub)
entered parcels, the average price increase is 0.0 percent. For
destination sectional center facility (DSCF) destination entered
parcels, the average price increase is 7.1 percent. For destination
network distribution center (DNDC) parcels, the average price increase
is 9.7 percent. For Connect Local, introduced in 2022, the average
price increase is 5.4 percent. Dimensional weighting, which was
introduced for all zones in 2019, will continue in 2025. To account for
inflation, the fee for Forward and Return to Sender will be increased
to $3.60, while the fee for Address Correction Service (ACS) with
Shipper Paid Forwarding/Returns will be increased to $3.00.
D. USPS Ground Advantage
USPS Ground Advantage, introduced in July 2023, is the Postal
Service's flagship ground package product. The existing structure will
be maintained for 2025. Overall, USPS Ground Advantage prices will
increase 3.9 percent on average. Retail prices will increase 4.9
percent on average, while Commercial prices will increase 3.2 percent
on average. The Alaska Limited Overland Routes (LOR) price category
will see a 9.0 percent average increase for January 2025. New for 2025,
a Live Animal and Perishable Handling Fee of $7.50 will be introduced
under USPS Ground Advantage to cover our additional handling costs for
these items.
F. Domestic Extra Services
Premium Forwarding Service (PFS) prices will increase 6.1 percent
on average in 2025. The retail counter enrollment fee will increase to
$26.85. The online enrollment option, introduced in 2014, will increase
to $24.70. The weekly reshipment fee will increase to $27.80. The
reshipment fee for PFS Local, which was introduced in 2019 for P.O. Box
customers, will increase to $27.80. Prices for Adult Signature service
will decrease to $8.40 for the basic service and $8.65 for the person-
specific service. Address Enhancement Service prices will increase 8.9
percent on average in 2025. Competitive Post Office Box prices will be
increasing 5.7 percent on average, within the existing price ranges.
Package Intercept Service will increase to $18.35. The Pickup On Demand
fee will remain unchanged for 2025, at $26.50. Premium Data Retention
and Retrieval Service (USPS Tracking Plus), which was introduced in
2020, will have its prices increase 86.3 percent on average in 2025.
The fee for Label Delivery Service, introduced in 2023 under the
Competitive Ancillary Services product, will remain at $1.55 for 2025.
Finally, in 2025, the fee for deterring overweight/oversized items
found in the system will be increased from $100.00 to $200.00. The
upper bounds for the price ranges for Greeting Cards and Stationery and
Officially Licensed Retail Products will be increased to accommodate
current and future offerings.
II. International Products
A. Expedited Services
PMEI will be subject to an overall 4.9 percent increase. Commercial
Plus prices will be equivalent to Commercial Base.
B. Priority Mail International
The overall increase for Priority Mail International (PMI) will be
4.9 percent. Commercial Plus prices will be equivalent to Commercial
Base.
C. International Priority Airmail and International Surface Air Lift
Published prices for International Priority Airmail (IPA) and
International Surface Air Lift (ISAL) will increase by 4.9 percent and
28.9 percent, respectively.
D. Airmail M-Bags
The published prices for Airmail M-Bags will remain the same on
average and not increase, although a few prices will change slightly.
E. First-Class Package International ServiceTM
The overall increase for First-Class Package International Service
(FCPIS) prices will be 4.9 percent. Commercial Plus prices will be
equivalent to Commercial Base.
F. International Ancillary Services and Special Services
Prices for several international ancillary services will be
increased, including a 5.0 percent increase for International
Certificate of Mailing, a 10.0 percent decrease for International
Insurance, a 4.8 percent increase for International Registered Mail,
and a 3.5 percent increase for the Customs and Clearance Delivery Fee.
Order
The changes in prices and classes set forth herein shall be
effective at 12:01 a.m. on January 19, 2025. We direct the Secretary of
the Board of Governors Office 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/
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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. 24-7
Consistent with 39 U.S.C. 3632(a), I hereby certify that, on
November 13, 2024, the Governors voted on adopting Governors' Decision
No. 24-7, and that a majority of the Governors then holding office
voted in favor of that Decision.
Date: November 13, 2024.
/s/
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Michael J. Elston,
Secretary of the Board of Governors.
[FR Doc. 2024-27132 Filed 11-20-24; 8:45 am]
BILLING CODE 7710-12-P