The United States Postal Service® has played a fundamental role in the development and expansion of this nation. Mail will continue to play a vital role in the personal and commercial lives of Americans for years to come. But the use of the mail has changed — and in this increasingly digital world, the pace of change will only accelerate.
For decades, the Postal Service™ has expanded its national infrastructure to accommodate an expanding nation and increasing volumes of mail. However, since mail volume reached an all-time high of 213 billion pieces in 2006, there has been a steady and consistent decline. This mail volume decline caused a substantial decline in revenue. Less revenue, coupled with the ongoing recession and the prepayment of retiree health benefits, has created a situation the Postal Service has never faced — the need to adjust its entire infrastructure to prepare for significantly less mail volume.
To best serve the American people and to more adequately reflect their mailing needs and habits, the Postal Service is working to identify operational efficiencies, savings opportunities, and new revenue streams to better position the Postal Service and to secure its financial stability now and in the future.
As always, Post Office™ (PO) Boxes offer a great value. Customers can pick up mail at their convenience. Customers also obtain a stable address, allowing more control over their business and personal correspondence, even if their physical address changes. PO Box™ service is truly a win-win proposition for the Postal Service and its customers.
On June 17, 2010, the Postal Regulatory Commission (PRC) approved the Postal Service’s request to offer competitive pricing and services for PO Boxes in 49 Post Offices. At these locations, the Postal Service will provide some of the same services offered by its competitors at comparable prices and, as a result, generate additional revenue.
1. What is the Postal Service doing to be more competitive? For years, customers have requested additional services for PO Boxes. Along with competitive pricing, the Postal Service will offer additional services at 49 Post Office locations, beginning January 14, 2011.
2. What new services will be available at the 49 Post Offices?
n Baker’s Dozen promotion (13 months of service for a 12-month payment on a new PO Box).
n No key deposit required for the first two keys to a new PO Box.
n Signature on File service for receipt of Express Mail®, Insured Mail over $200, Signature Confirmation™, and Return Receipt for Merchandise service.
n Expanded lobby access.*
n Earlier mail up times.*
*Limited and only in select locations.
3. Are the new services available to Caller, Reserve, or Group E customers? No. These services are not available for Caller, Reserve, or Group E customers.
4. What are the new fee groups and prices? We will assign a new fee group to the ZIP Codes™ in the 49 offices. Although there are only 49 offices, there are 53 ZIP Codes with PO Boxes in those offices. For example, one office may have more than one PO Box section with unique ZIP Codes. The following table lists the prices, by box size, in the new fee group:
Post Office Box Service Fees (Effective January 14, 2011) Box Sizes and Fees Per Semi-Annual (6-month) Period
5. To which ZIP Codes will these fees apply?
The following table lists the 49 offices with the new prices and services. An earlier listing of the competitive offices omitted one of the two ZIP Codes that is used for delivery at the McLean, Virginia, Post Office. ZIP Codes 22101 and 22106 are both competitive ZIP Codes; a conforming change to the Mail Classification Schedule listing will be made early next year.
6. How were the 49 locations selected? The 49 locations were selected based on high-commercial rent areas, proximity to a competitor, and/or geographic diversity.
7. Will all 49 locations offer the same services? All 49 offices will offer the Baker’s Dozen, no key deposit for the first two keys to a new PO Box, and Signature on File services to all customers. However, not all locations are able to offer expanded lobby access or earlier mail up times due to security or mail processing issues.
8. Was the competitive pricing approved by the Postal Regulatory Commission (PRC)? Yes. On June 17, 2010, the PRC approved the Postal Service’s request to transfer selected PO Box service locations to the competitive product list. The new price ranges, along with the Baker’s Dozen and key deposit waiver, were approved on December 2, 2010.
9. How much will the price of a PO Box increase in these locations? The price of a PO Box will increase at all locations about 25 percent, but prices will be lower than our competitor’s average price.
10. Do you expect some customers to close their PO Boxes due to the price increase? We anticipate that some customers may decide to close their PO Boxes. However, we believe most customers will choose to keep their PO Boxes because of the value we provide, especially with the addition of new services.
— Special Services,
Mailing and Shipping Services, 12-30-10
