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Notice2021-17610

Change in Rates and Classes of General Applicability for Competitive Products

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Published
August 18, 2021
Effective
October 3, 2021

Issuing agencies

Postal Service

Abstract

This notice sets forth time-limited changes in rates of general applicability for competitive products.

Full Text

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[Federal Register Volume 86, Number 157 (Wednesday, August 18, 2021)]
[Notices]
[Pages 46360-46497]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-17610]



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Vol. 86

Wednesday,

No. 157

August 18, 2021

Part III





Postal Service





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Change in Rates and Classes of General Applicability for Competitive 
Products; Notice

Federal Register / Vol. 86 , No. 157 / Wednesday, August 18, 2021 / 
Notices

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POSTAL SERVICE


Change in Rates and Classes of General Applicability for 
Competitive Products

AGENCY: Postal Service<SUP>TM</SUP>.

ACTION: Notice of a change in rates of general applicability for 
competitive products.

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SUMMARY: This notice sets forth time-limited changes in rates of 
general applicability for competitive products.

DATES: The change in rates is effective October 3, 2021.

FOR FURTHER INFORMATION CONTACT: Elizabeth Reed, 202-268-3179.

SUPPLEMENTARY INFORMATION: On August 5, 2021, pursuant to their 
authority under 39 U.S.C. 3632, the Governors of the Postal Service 
established time-limited price changes for competitive products. The 
Governors' Decision and the record of proceedings in connection with 
such decision are reprinted below in accordance with section 
3632(b)(2).

Ruth Stevenson,
Chief Counsel, Ethics and Legal Compliance.

Decision of the Governors of the United States Postal Service on 
Changes in Rates of General Applicability for Competitive Products 
(Governors' Decision No. 21-5)

    August 5, 2021

Statement of Explanation and Justification

    Pursuant to authority under section 3632 of title 39, as amended by 
the Postal Accountability and Enhancement Act of 2006 (``PAEA''), we 
establish new prices of general applicability for certain domestic 
shipping services (competitive products), and concurrent classification 
changes to effectuate the new prices. These prices shall be in effect 
from October 3, 2021 until December 26, 2021, at which time prices will 
be restored to the levels that were in effect prior to these increases. 
The changes are described generally below, with a detailed description 
of the changes in the attachment. The attachment includes the draft 
Mail Classification Schedule sections with the new prices that will 
take effect on October 3 displayed in the price charts, as well as the 
Mail Classification Schedule sections with the prices that will be 
restored on December 26.
    As shown in the nonpublic annex being filed under seal herewith, 
the changes we establish should enable each competitive product to 
cover its attributable costs (39 U.S.C. 3633(a)(2)) and should result 
in competitive products as a whole complying with 39 U.S.C. 3633(a)(3), 
which, as implemented by 39 CFR 3035.107(c), requires competitive 
products collectively to contribute a minimum of 10.0 percent to the 
Postal Service's institutional costs. Accordingly, no issue of 
subsidization of competitive products by market dominant products 
should arise (39 U.S.C. 3633(a)(1)). We therefore find that the new 
prices are in accordance with 39 U.S.C. 3632-3633 and 39 CFR 3035.102.

I. Domestic Products

A. Priority Mail Express

    Overall, the Priority Mail Express price change represents a 2.3 
percent increase. The existing structure of zoned Retail, Commercial 
Base, and Commercial Plus price categories is maintained, with 
Commercial Base and Commercial Plus prices continuing to be set equal 
to each other. Retail prices will increase 2.3 percent on average. The 
Commercial Base and Commercial Plus price categories will increase 2.2 
percent on average.

B. Priority Mail

    On average, the Priority Mail prices will be increased by 5.7 
percent. The existing structure of Priority Mail Retail, Commercial 
Base, and Commercial Plus price categories is maintained. Retail prices 
will increase 5.3 percent on average. The Commercial Base price 
category will increase 6.3 percent on average, while the Commercial 
Plus price category will increase 6.3 percent on average.

C. Parcel Select

    On average, prices for destination-entered non-Lightweight Parcel 
Select, the Postal Service's bulk ground shipping product, will 
increase 11.0 percent. The prices for destination delivery unit (DDU) 
entered parcels will not change. For destination sectional center 
facility (DSCF) destination entered parcels, the average price increase 
is 15.9 percent. For destination network distribution center (DNDC) 
parcels, the average price increase is 12.5 percent. Prices for Parcel 
Select Lightweight will increase by 5.3 percent, while Parcel Select 
Ground will see a 6.2 percent price increase.

D. Parcel Return Service

    Parcel Return Service prices will have an overall price increase of 
13.0 percent. Prices for parcels retrieved at a return sectional center 
facility (RSCF) will increase by 7.4 percent, and prices for parcels 
picked up at a return delivery unit (RDU) will increase 18.7 percent.

E. First-Class Package Service

    First-Class Package Service (FCPS) continues to be positioned as a 
lightweight (less than one pound) offering primarily used by businesses 
for fulfillment purposes. Overall, FCPS prices will increase 7.6 
percent, which reflects a 8.0 increase for FCPS-Commercial, and a 6.4 
increase for FCPS-Retail prices.

F. USPS Retail Ground

    USPS Retail Ground prices will increase 5.3 percent. Customers 
shipping in Zones 1-4 will continue to receive Priority Mail service 
and will only default to USPS Retail Ground if the item contains 
hazardous material or is otherwise not permitted to travel by air 
transportation.
    No price changes are being made to Special Services or 
International competitive products.

Order

    The changes in prices set forth herein shall be effective at 12:01 
a.m. on October 3, 2021, and will be rolled back to current levels on 
December 26, 2021. We direct the Secretary of the Board of Governors to 
have this decision published in the Federal Register in accordance with 
39 U.S.C. 3632(b)(2), and direct management to file with the Postal 
Regulatory Commission appropriate notice of these changes.

    By The Governors:

/s/
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Ron A. Bloom,

Chairman, Board of Governors.

UNITED STATES POSTAL SERVICE OFFICE OF THE BOARD OF GOVERNORS

Certification of Governors' Vote on Governors' Decision No. 21-5

    Consistent with 39 U.S.C. 3632(a), I hereby certify that, on August 
6, 2021, the Governors voted on adopting Governors' Decision No. 21-5, 
and that a majority of the Governors then holding office voted in favor 
of that Decision.

    Date: August 6, 2021.

/s/
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Michael J. Elston,

Secretary of the Board of Governors.
BILLING CODE 7710-12-P

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[FR Doc. 2021-17610 Filed 8-17-21; 8:45 am]
BILLING CODE 7710-12-C


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