Notice2026-09584
Change in Rates and Classifications of General Applicability for Competitive Products
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
May 14, 2026
Effective
July 12, 2026
Issuing agencies
Postal Service
Abstract
This notice sets forth changes in rates and classifications of general applicability for competitive products.
Full Text
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<title>Federal Register, Volume 91 Issue 93 (Thursday, May 14, 2026)</title>
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[Federal Register Volume 91, Number 93 (Thursday, May 14, 2026)]
[Notices]
[Pages 27381-27382]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-09584]
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POSTAL SERVICE
Change in Rates and Classifications of General Applicability for
Competitive Products
AGENCY: Postal Service.
ACTION: Notice of a change in rates and classifications of general
applicability for competitive products.
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SUMMARY: This notice sets forth changes in rates and classifications of
general applicability for competitive products.
DATES: Effective date: July 12, 2026.
FOR FURTHER INFORMATION CONTACT: Elizabeth Reed, 202-268-3179.
SUPPLEMENTARY INFORMATION: On May 8, 2026, pursuant to their authority
under 39 U.S.C. 3632, the Governors of the Postal Service established
price and classification 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). Mail Classification Schedule language containing the new
prices can be found at <a href="http://www.prc.gov">www.prc.gov</a>.
Colleen Hibbert-Kapler,
Attorney, Ethics and Legal Compliance.
Decision of the Governors of the United States Postal Service on
Changes in Rates and Classifications of General Applicability for
Competitive Products (Governors' Decision No. 26-2)
May 8, 2026
Statement of Explanation and Justification
Pursuant to our authority under section 3632 of title 39, as
amended by the Postal Accountability and Enhancement Act of 2006
(``PAEA''), we establish prices and classifications of general
applicability for the Postal Service's competitive products. The
changes are described generally below, with a detailed description of
the changes in the Postal Service's associated draft Mail
Classification Schedule change document. That document contains the
draft Mail Classification Schedule sections with classification changes
in legislative format, and new prices displayed in the price charts.
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 8.0 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
Priority Mail Express prices will remain unchanged for July 2026,
and the existing structure of zoned Retail and Commercial price
categories will be maintained. Dimensional weighting will have its dim
divisor changed from 166 to 139 to better align with industry standard.
Two new fees related to the processing of packages containing
Hazardous Materials will be introduced. A HazMat Handling Fee for
Priority Mail Express will be $7.50 to cover the costs of manual
handling required when HazMat items fly. Also, a HazMat Noncompliance
Fee of $50 will be applied to any competitive commercial product when
Hazardous Materials are detected but the customer did not appropriately
declare and label them.
B. Priority Mail
Priority Mail prices will remain unchanged for July 2026, and the
existing structure of zoned Retail and Commercial price categories will
be maintained. Dimensional weighting will have its dim divisor changed
from 166 to 139 to better align with industry standard.
Two new fees related to the processing of packages containing
Hazardous Materials will be introduced. A HazMat Handling Fee for
Priority Mail will be $7.50 to cover the costs of manual handling
required when HazMat items fly. Also, a HazMat Noncompliance Fee of $50
will be applied to any competitive commercial product when Hazardous
Materials are detected but the customer did not appropriately declare
and label them.
C. Parcel Select
Parcel Select outbound prices will remain unchanged for July 2026,
and the existing structure will be maintained. The price for Parcel
Select Forwarding and Returns, currently set at $3.80, will increase to
$6.00 for July 2026 in order to better drive address quality. For
customers using Address Correction Service (ACS) with Shipper Paid
Forwarding/Return, the price will increase from $3.20 to $5.40.
Dimensional weighting will have its
[[Page 27382]]
dim divisor changed from 166 to 139 to better align with industry
standard. The definition of Connect Local will be expanded to allow the
use of USPS Smart Lockers as a drop off or pickup location.
Two new fees related to the processing of packages containing
Hazardous Materials will be introduced. A HazMat Handling Fee for
Parcel Select will be established but set at $0 initially, with the
option for the fee to increase in the future. Also, a HazMat
Noncompliance Fee of $50 will be applied to any competitive commercial
product when Hazardous Materials are detected but the customer did not
appropriately declare and label them.
D. USPS Ground Advantage
USPS Ground Advantage prices will largely remain unchanged for July
2026, except that the ounce-based rate differentiation for USPS Ground
Advantage Commercial will be eliminated. This change results in an
average price increase of 11.8 percent for USPS Ground Advantage
Commercial. Retail prices will remain unchanged. Dimensional weighting
will have its dim divisor changed from 166 to 139 to better align with
industry standard.
Two new fees related to the processing of packages containing
Hazardous Materials will be introduced. A HazMat Handling Fee for USPS
Ground Advantage will be established but set at $0 initially, with the
option for the fee to increase in the future. Also, a HazMat
Noncompliance Fee of $50 will be applied to any competitive commercial
product when Hazardous Materials are detected but the customer did not
appropriately declare and label them.
F. Domestic Extra Services
Competitive Post Office Box prices will be increasing 3.0 percent
on average, within the existing price ranges. Classification changes
will be made to the definition of Package Intercept so that intercepted
packages will use the original product and rate category, rather than
always being forwarded or returned via Priority Mail.
New for July 2026, an Addresses API service and pricing will be
introduced under Address Enhancement Services. The Addresses API
service will validate and correct address information to improve
package and mail delivery service. Monthly tiered pricing will vary
based on the number of record requests. While the Addresses API service
is similar to the existing AMS API service, both offerings will
continue for the foreseeable future. Most customers are expected to
migrate to the Addresses API offering over time.
The remaining Extra Services will not receive any price or
classification changes. No price or classification changes are being
made to International competitive products for July 2026.
Order
The changes in prices and classes set forth herein shall be
effective at 12:01 a.m. on July 12, 2026. We direct the Secretary of
the Board of Governors Office 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/--------------------------------------------------------------------
Amber F. McReynolds,
Chair, Board of Governors.
United States Postal Service Office of the Board of Governors
Certification of Governors' Vote On Governors' Decision No. 26-2
Consistent with 39 U.S.C. 3632(a), I hereby certify that, on May 8,
2026, the Governors voted on adopting Governors' Decision No. 26-2, and
that a majority of the Governors then holding office voted in favor of
that Decision.
Date: May 8, 2026
/s/--------------------------------------------------------------------
Lucy C. Trout,
Acting Secretary of the Board of Governors.
[FR Doc. 2026-09584 Filed 5-13-26; 8:45 am]
BILLING CODE 7710-12-P
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</html>Indexed from Federal Register on May 14, 2026.
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