The Commission is recognizing a recently filed Postal Service document with the Commission concerning changes in rates and classifications of general applicability for Competiti...
The Commission is recognizing a recently filed Postal Service document with the Commission concerning changes in rates and classifications of general applicability for Competitive products. This notice informs the public of the filing, invites public comment, and takes other administrative steps.
DATES:
Comments are due:
June 5, 2026.
ADDRESSES:
Submit comments electronically via the Commission's Filing Online system at
https://www.prc.gov.
Those who cannot submit comments electronically should contact the person identified in the
FOR FURTHER INFORMATION CONTACT
section by
( printed page 27994)
telephone for advice on filing alternatives.
FOR FURTHER INFORMATION CONTACT:
David A. Trissell, General Counsel, at 202-789-6820.
SUPPLEMENTARY INFORMATION:
Table of Contents
I. Introduction and Overview
II. Initial Administrative Actions
III. Ordering Paragraphs
I. Introduction and Overview
On May 11, 2026, the Postal Service filed notice with the Commission concerning changes in rates and classifications of general applicability for Competitive products.[1]
The Postal Service represents that, as required by 39 CFR 3035.102(b) and 39 CFR 3035.104(b), the Notice includes an explanation and justification for the changes, the effective date, and a schedule of the changed rates.
See
Notice at 1. The Notice also includes a certification of the vote, and a redacted copy of Governors' Decision 26-2.
Id.
The changes are intended to take effect on July 12, 2026.
Id.
Attached to the Notice is Governors' Decision No. 26-2, which states the new prices are in accordance with 39 U.S.C. 3632 and 3633 and 39 CFR 3035.102.[2]
The Governors' Decision provides an analysis of the Competitive products' price and classification changes intended to demonstrate that the changes comply with 39 U.S.C. 3633 and 39 CFR part 3035. Governors' Decision No. 26-2 at 1. The attachment to the Governors' Decision sets forth the classification and price changes and includes draft
Mail Classification Schedule
(MCS) language for Competitive products of general applicability.
The Notice also includes an application for non-public treatment of the FY 2027 projected volumes, revenues, attributable costs, contribution, and cost coverage data for each product in the unredacted version of the annex to the Governors' Decision, as well as supporting forecast data and price adjustment calculations for each affected product. Notice at 1.
Planned rate and classification changes.
The Governors' Decision includes an overview of the Postal Service's planned price changes which are summarized in the table below.
Table I-1—Proposed Price Changes
Product name
Average price increase (percent)
Domestic Competitive Products
USPS Ground Advantage:
Retail
0
Commercial
11.8
Alaska Limited Overland Routes
0
Domestic Extra Services
Competitive Post Office Box
3.0
Domestic Business Mailing Fees
Forward and Return to Sender Parcel Select
57.9
Address Correction Service with Shipper Paid Forwarding/Returns, Parcel Select
68.8
Source:
See
Governors' Decision No. 26-2 at 2-3.
Further classification changes are summarized as follows:
The Postal Service proposes adding a HazMat Handling Fee for Priority Mail and Priority Mail Express [3]
to cover the additional costs associated with transporting these items, and a HazMat Noncompliance Fee that will be applied when it detects a package that contains HazMat but the customer did not appropriately declare and label them. The Postal Service proposes a rate of $7.50.
The Postal Service proposes a classification change to lower the dimensional divisor involved in the dimensional weight calculation from 166 to 139 across all domestic Competitive products. The Postal Service states that this change brings the Postal Service's dimensional divisor in line with the current industry standard.
The Postal Service proposes expanding the definition of Connect Local, to allow the use of USPS Smart Lockers as a pickup and drop-off location for customers. The Postal Service states that this will allow it to explore potential revenue opportunities through the use of USPS Smart Lockers at the destination delivery unit or equivalent facility.
The Postal Service proposes to introduce Addresses Application Programming Interface (API) service and pricing under Address Enhancement Services in July. The Postal Service states that the proposed Addresses API service will validate and correct address information to improve package and mail delivery service. The Postal Service further states that “[w]hile the Addresses API service is similar to the existing [Address Matching System] API service, both offerings will continue for the foreseeable future.”
The Postal Service proposes a minor change to the definition of Package Intercept service so that intercepted packages will use the original product and rate category chosen by the customer, rather than being forwarded or returned as Priority Mail.
Notice at 2-5; Attachment to Governors' Decision No. 26-2.
( printed page 27995)
II. Initial Administrative Actions
The Commission establishes Docket No. CP2026-8 for consideration of matters raised by the Notice. The Commission invites comments on whether the Postal Service's filing is consistent with 39 U.S.C. 3632, 3633, and 39 CFR 3035.105 and .107. Comments are due no later than June 5, 2026. The public portions of the filing can be accessed via the Commission's website (
https://www.prc.gov).
Pursuant to 39 U.S.C. 505, Christopher Mohr is appointed to serve as Public Representative to represent the interests of the general public in this docket. The Public Representative does not represent any individual person, entity or particular point of view, and, when Commission attorneys are appointed, no attorney-client relationship is established.
III. Ordering Paragraphs
It is ordered:
1. The Commission establishes Docket No. CP2026-8 for consideration of matters raised by the Postal Service's Notice.
2. Pursuant to 39 U.S.C. 505, the Commission appoints Christopher Mohr to serve as an officer of the Commission (Public Representative) to represent the interests of the general public in this docket.
3. Comments are due no later than June 5, 2026.
4. This Order shall be published in the
Federal Register
.
By the Commission.
Sarah Wessel,
Senior Paralegal Specialist.
Footnotes
1.
USPS Notice of Changes in Rates and Classifications of General Applicability for Competitive Products, May 11, 2026 (Notice). Pursuant to 39 U.S.C. 3632(b)(2), the Postal Service is obligated to publish the Governors' Decision and record of proceedings in the
Federal Register
at least 30 days before the effective date of the new rates.
2.
Notice, Decision of the Governors of the United States Postal Service on Changes in Rates and Classification of General Applicability for Competitive Products (Governors' Decision No. 26-2), at 1 (Governors' Decision No. 26-2).
3.
The Postal Service states that it is proactively including the structure of a HazMat Handling Fee for Parcel Select and USPS Ground Advantage in the MCS, but starting it at $0 for July 2026 to eliminate the need for future systems changes should it decide to charge a fee for these products.