Mailers & Shippers Face Changes In Mail Classes with USPS Rate Hike

Some Significant Changes For Domestic and International Mail May Come In July Rate Hike

WASHINGTON, DC — The U.S. Postal Service released PostalOne! Release notes effective July 2024 in anticipation of the next postage rate hike. This will be the second postage increase in 2024, following the USPS plan to raise rates twice a year.

The July 2024 Release Review Notes are pre-decisional and subject to change.  According to the notes:

Eliminate USPS Marketing Mail Simple Samples

The USPS is considering discontinuing Simple Samples and removing all references to the product from USPS systems, software applications, and publications. Simple Samples are a type of USPS Marketing Parcel that allow mailers to distribute unpackaged product samples weighing up to 16 oz. in “targeted or every door” areas. Mailers will no longer be able to mail Simple Samples through Postal Wizard, Mail.dat or Mail.XML or hardcopy postage statements. Mailers will still be able to mail product samples. Product samples can be mailed using other services such as USPS Ground Advantage, or Parcel Select Destination Entry.

USPS Marketing Mail Flats – Separate Light Weight and Heavy Weight Rate Structures

The USPS is considering updating the pricing structure for USPS Marketing Mail Flats over 4 oz. The current postage for Flats over 4 oz. includes a Piece price and a Pound price. Currently the Piece price is the same for Flats less than or equal to 4oz and for Flats over 4oz and the Pound price only applies to Flats over 4oz and is calculated based on the piece weight above 4oz. The proposal will create a revised price table for Flats over 4oz where there will be a separate Piece price from Flats less than or equal to 4oz, and the Pound price will be multiplied by the total weight in pounds, including the piece weight below 4oz . The Price File and Notice 123 will be updated to reflect the new Piece price table for Flats over 4oz. Postal Wizard, Mail.dat and Mail.XML will use the new price structure to calculate postage for Flat pieces over 4 oz. Mailers must implement the new pricing structure to calculate postage for Flats over 4 oz.

USPS Ground Advantage Retail Oversized and Dimensional Pricing

The USPS is considering applying prices for Oversized and Dimensional weight to the USPS Ground Advantage Retail postage statement. Oversized and Dimensional weight prices are applied currently to Commercial shipping. Postage Statement 3600-FCM Part C, USPS Ground Advantage – Retail will include Oversized and Dimensional Weight.

Expand Domestic Competitive Shipping Products Zone Chart

The USPS is considering creating an additional zone (10) in pricing tables for all Competitive full-network shipping products. This includes Priority Mail, Priority Mail Express, and USPS Ground Advantage products. The Zone 10 will be applied primarily to mailings from contiguous USA states to offshore ZIP Codes. Zone 10 pricing excludes Alaska Bypass, Alaska LOR (USPS Ground Advantage), and APO/DPO ZIP Codes. The Zone Chart Matrix product will be updated to implement Zone 10 in the one-character field (as a value of A). A separate rate structure will be implemented to allow Flat Rate Products (Priority Mail and Priority Mail Express) to have a separate price for Zone 10 and also for Zone 9 which includes the Freely Associated States (FAS).

Electronic Verification System (eVS) Retirement

The Electronic Verification System (eVS) will be retiring on February 1, 2025. Technical support will be provided to resolve issues during the migration to USPS Ship. All reports currently in use will be maintained until all account data can be migrated to USPS Ship. Any/all publications currently referencing eVS will be updated to USPS Ship.

CY 2025 Mailing Promotions & Mail Growth Incentives

The US Postal Service is considering continuing support for five promotions in 2025 and two Mail Growth Incentives. The five promotions include 1) Tactile, Sensory and Interactive Promotion, 2) Integrated Technology Promotion, 3) Reply Mail IMbA Promotion, 4) Continuous Contact Promotion, 5) First Class Mail Advertising Promotion. The two incentives are 1) 2025 First-Class Mail Growth Incentive, and 2) 2025 USPS Marketing Mail Growth Incentive.

The features below will be implemented to improve the promotions and incentives processes:
Introduction of Promotion Add-Ons/Upgrades, concepts that allow customers to earn additional discounts for utilizing methods not available in the base/primary promotions. Add-Ons will be available to use on top of the promotions available with the exception of Reply Mail IMbA. These add-ons include 1) Informed Delivery Add-On, and 2) Sustainability Add-On.

USPS Marketing Mail & Bound Printed Matter Catalog Incentive

The USPS Service is considering creating an incentive for USPS Marketing Mail and Bound Printed Matter catalog mailings. This incentive applies only to mailings identified as catalog as described in the DMM. Postage statements will display the incentive amount. The USPS Marketing Mail Postage Statements PS Forms 3602-R & N already include the checkbox to identify catalog. The Bound Printed Matter Postage Statement PS Form 3605 will be updated to include the checkbox to identify catalog. Mailers that submit mailings via Postal Wizard, eDoc Mail.dat/Mail.XML, or IMsb tool will continue to identify catalogs for USPS Marketing Mail and Bound Printed Matter mailings.

Election Mail Official Ballot Mail Updates

The USPS is considering differentiating, tracking, and measuring Election Mail – Official Ballot Mail from all other types of Election Mail – in eDoc, Mail.dat, Mail.XML, Postal Wizard and IMsb Tool. Today PostalOne! eDoc, Mail.dat, Mail.XML, Postal Wizard, IMsb Tool and Postage Statements 3600-FCM, 3600-PM, and 3602-R/N, 3602-EZ/NZ have two checkboxes: one to identify Political Campaign Mailings and the other to identify all Official Election Mail, including Ballots. The PostalOne! Election Mail checkbox does not differentiate Official Ballot Mail from all other types of Election Mail. The Election Mail checkbox will be separated into two check boxes for Official Ballots and Non-Ballot Materials. This will improve discrete tracking of all Official Ballot Mail volume (Ballot Mailpieces with/without IMbs; or Ballot Mailpieces with IMbs but without a Ballot Mail Service Type Identifier) to differentiate it from all other Election Mail. The FAST Mail.XML interface will be updated to support the identification of Election Mail Official Ballot and Election Mail Non Ballot. This information is submitted by mailers in the Comment field of the DeliveryApptCreateRequest and DeliveryApptUpdateRequest. The current Comment value of ‘APPTELECMAIL’ used to identify Election Mail will no longer be accepted. The values of ‘APPTENMAIL’ and ‘APPTEBMAIL’ will be used instead to identify Election Mail Non Ballot and Election Mail Official Ballot, respectively.