News for Nonprofits

USPS to cut standard mail postal rate for nonprofits

Although postage rates are going up for nonprofit mail an average of 2.1 percent, some categories actually will decrease. The United States Postal Service has petitioned the Postal Rate Commission to approve a new rate schedule, effective Jan. 22, 2012, that will affect nonprofit mailing categories, including standard mail letters nonprofit, standard mail flats nonprofit, standard mail non-flat machinables and library mail retail.

The USPS can boost rates but the increase cannot exceed the increase in the Consumer Price Index, which is at 2.133 percent for October 2011. Rates for individual products and services will vary, with many increasing in price, while standard mail letters is decreasing.

David Partenheimer, a USPS spokesperson, said the increase was modest and unlikely to hinder nonprofits’ mailing programs. “We are only allowed to increase mailing services based on the CPI," said Partenheimer. "Now the petition will go through a 45-day review period which is customary.”

Here is a comparison of what nonprofits currently pay and what they would pay as of Jan. 22:

  • Standard mail nonprofit letters, now 16.8 cents, goes down to 16.6 cents
  • Standard mail nonprofit flats, now 35.5 cents, will go to 35.6 cents
  • Standard mail nonprofit machinables, now 1.46 cents, goes up to 1.476 cents
  • Library mail media, now $1.20, goes to $1.22
  • Periodicals (including magazines and newspapers), now 19.6 cents, will increase to 20 cents

Anthony Conway, executive director for the Alliance of Nonprofit Mailers, said the increases were nothing to squawk about and that the increase was something that could be predicted.

“The changes reflect the CPI for October, so the USPS has every right to increase mailing service charges,” said Conway. “Nonprofits are now prepared to deal with these increases as they can be predicted based on where the CPI is. This is not bad compared to other increases and at least they are not trying for an exigent increase again.”

An exigent increase is one that goes beyond the current CPI. In July of 2010, the USPS tried to pass a 5.6 percent increase due to what it said were exceptional circumstances. The PRC denied the request. The last time rates increased across the board was last April, when rates went up 1.7 percent.