The troubled United States Postal Service is likely to vote to raise its prices at a Thursday meeting of its Board of Governors, according to top Washington lobbyists opposed to the hike.
Greeting Card Association lobbyist Rafe Morrissey told reporters Wednesday that he expects the USPS to try to increase price of the 46 cent first-class stamp by 3 cents.
That would consist of a 2 cent increase on top of a 1 cent inflation adjustment already expected in January.
The magazine industry is anticipating as much as a double-digit increase for periodicals, another lobbyist source said. Currently, magazine postal rates average 27 cents per magazine.
The Board vote would start a process of seeking emergency price-raising powers from the Postal Regulatory Commission.
Congress under current law does not have a role in the process, but both the House and Senate are weighing overhauls of the USPS.
“The Board seems to me moving down the path of filing an exigent case,” Morrissey said. “We don’t think that is part of a common-sense or sustainable solution.”
He argued that the rate increase along with proposed reductions in service such as the end of Saturday delivery would only contribute to a agency's death spiral.
The Greeting Card Association wants Congress to adjust the formula by which the USPS prefunds the future health benefits for its retirees and for it to consider delivering mail to curbside cluster boxes rather than individual...