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DEPARTMENT OF PUBLIC AFFAIRS AND COMMUNICATIONS Latest Facts Update
Thursday | April 11, 2002 | 7 AM
( Indicates new or updated information)
Quotable Quotes . . . "The Transformation Plan is a blueprint for modernizing every aspect of our business, from the way we process, transport and deliver the mail to the way we work with our customers and how we manage our people."
Postmaster General John E. Potter
CONFIRM CONFIRMED. The USPS Board of Governors on Tuesday approved a request to file a new classification and flexible pricing proposal for CONFIRM with the independent Postal Rate Commission. CONFIRM is an "intelligent mail" product that enables business customers to track mailings through each stage of USPS processing.
CONFIRM uses PLANET Code technology to uniquely identify each mail piece. This technology provides major mailers with near "real-time" information about where their letters or flats are in the mail stream, and provides the Postal Service with important operations and delivery performance data. USPS expects to file its CONFIRM case later this month.
NEW TECHNOLOGY, IMPROVED FORWARDING. The Board of Governors also approved funding for Phase I of the Postal Automated Redirection System (PARS) program. Designed for installation on letter automation sorters, PARS technology will identify undeliverable-as-addressed (UAA) mail during first handling and automatically redirect it to the correct destination. Each year, USPS processes more than 42 million Change-of-Address orders and forwards more than two billion pieces of mail. PARS technology will improve mail service for customers receiving forwarded mail by eliminating the multiple handlings now required to direct UAA mail to it correct destination.
NEW RATES. The Postal Service Governors approved the Postal Rate Commission's recommendations for a 3-cent increase in the price of a First-Class stamp, part of an overall increase of 7.7%. "This rate change came through an unprecedented settlement between the Postal Service and the mailing industry, which allowed the Postal Rate Commission to expedite the case," noted Board Chairman Robert Rider.
The new rates take effect June 30. New non-denominated U.S. Flag and Antique Toy stamps, plus a 3-cent make-up rate Star stamp, will be available in mid-June. Among the rate changes is a new Priority Mail 1-pound flat rate of $3.85. An Express Mail 8-ounce flat rate envelope will be $13.65. Mail volume has declined 5% this fiscal year. And despite aggressive measures that reduced costs by $2.5 billion and 30,000 jobs in the past two years, the cost of maintaining universal service to a network that expands by 1.7 million new addresses each year continues to exceed postal revenues.
Rider said the Governors recognized that continual rate increases are not the long-term answer. "Under the 30-year-old laws that govern us, we simply don't have the basic tools necessary to operate in a modern, businesslike manner," he said. "That's why we support the reforms outlined in the Transformation Plan that was submitted to Congress last week." New rate charts are at http://www.usps.com/ratecase/.
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