Policies, Procedures, and Forms Updates

Manuals

DMM Revision: Pricing and Mailing Standards Changes for Shipping Services

Effective January 18, 2009, the Postal Service™ is revising the Mailing Standards of the United States Postal Service, Domestic Mail Manual (DMM®) to reflect changes to the prices and standards for Shipping Services. Shipping Services include Express Mail®, Priority Mail®, Parcel Select®, and Parcel Return Service.

Express Mail

On average, Express Mail retail prices increase by approximately 5.7 percent. The commercial base prices increase by approximately 3.7 percent and are 5 percent lower than the retail price. Commercial volume rebates will be eliminated on January 18, 2009. Any rebate earned from January 1–17 will be credited to the qualifying mail owner’s account at the end of the quarter. A new price category, commercial plus pricing, is introduced and is 14.5 percent lower than retail prices.

Express Mail commercial base prices availability is expanded to customers who pay postage using information-based indicia (IBI) postage meters. Effective January 2010, to qualify for the commercial base prices, the IBI postage meter must be able to electronically provide transactional data by customer.

Commercial plus pricing is available to new and existing customers whose account volume exceeds a minimum threshold or who have a customer commitment agreement with the Postal Service, and who either use an Express Mail Corporate Account (EMCA), including Federal Agency Accounts, or are registered end-users of USPS®-approved PC Postage® providers using qualifying ship­ping labels.

Priority Mail

On average, Priority Mail retail prices increase by approximately 4.7 percent. We are introducing a new Priority Mail small flat-rate box, identified by the preprinted words “Small Flat-Rate Box,” enhancing customer choice, convenience, and ease of use. The small Priority Mail flat-rate box is $4.95 at retail, the same price as the flat-rate envelope.

Priority Mail commercial base prices are expanded to customers who pay postage using IBI postage meters, in conjunction with an approved shipping label that includes a confirmation services barcode with a postal routing code. Effective January 2010, to qualify for the commercial base prices, the IBI meter must be able to electronically provide transactional data by customer.

A new price category, commercial plus pricing, is intro­duced and is lower than commercial base prices. Commer­cial plus pricing is available to new and existing permit imprint customers whose account volume exceeds a mini­mum threshold or who have a customer commitment agreement with the Postal Service. Also, registered end–users of USPS-approved PC Postage products using qualifying shipping labels and whose account volume exceeds a minimum threshold qualify for commercial plus pricing.

Retail prices are no longer available to Priority Mail cus­tomers using permit imprint. Permit imprint customers are required to use the commercial base prices and to conform to the commercial base price eligibility requirements. To allow for system enhancements, customers have until May 2009 to comply with the commercial base price barcode requirements.

Parcel Select

The average price increase is 4.7 percent for destination delivery unit; 6.8 percent for destination sectional center facility; and, 9.1 percent for destination bulk mail center. There are no additional changes to the Parcel Select products.

Parcel Return Service

The return delivery unit price is not being increased. The return bulk mail center price increases by approximately 7.1 percent. There are no additional changes to the Parcel Return Service product.

Mailing Standards of the United States Postal Service, Domestic Mail Manual (DMM)

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100 Retail Letters, Cards, Flats, and Parcels

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110 Express Mail 113 Prices and Eligibility 1.0 Express Mail Prices and Fees

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1.3 Prices

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Exhibit 1.3 Express Mail Prices—Retail Letters, Flats, and Parcels

[Insert new price chart of Exhibit 1.3.]

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1.4 Flat-Rate Envelope

[Revise text of the first sentence of 1.4 as follows:]

Material mailed in the USPS-provided Express Mail flat-rate envelope is charged $17.50, regardless of the actual weight of the piece or its destination.***

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120 Priority Mail 123 Prices and Eligibility

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[Renumber current 1.2 through 1.9 as new 1.3 through 1.10 and insert new heading for 1.2, Prices, as follows:]

1.2 Prices Exhibit 1.2 Priority Mail Prices—Retail

[Insert new price chart of Exhibit 1.2.]

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1.5 Flat-Rate Envelope and Boxes

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1.5.1 Flat-Rate Envelope—Price and Eligibility

[Revise text of the first sentence by changing the price to $4.95.]

1.5.2 Flat-Rate Boxes—Price and Eligibility

[Reletter current items a through c as new b through d, add new item a, and change prices in new items b through d of new 1.5.2 as follows:]

***Each USPS-produced Priority Mail flat-rate box, regard­less of the actual weight of the piece or its destination, is charged:

a. $4.95 for material sent in Priority Mail small flat-rate boxes to domestic and APO/FPO addresses.

b. $10.35 for material sent in Priority Mail regular flat-rate boxes (FRB-1 or FRB-2) to domestic and APO/FPO addresses.

c. $11.95 for material sent in a Priority Mail large flat-rate box to APO/FPO addresses (see 703.2).

d. $13.95 for material sent in a Priority Mail large flat-rate box to domestic addresses.

1.6 Prices for Keys and Identification Devices

[Revise table by changing prices.]

 

Weight Not Over (pounds)

Price

1 pound

$5.67

2 pounds

$6.47

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124 Postage Payment Methods 1.0 Basic Standards for Postage Payment 1.1 Payment Method

[Revise 1.1 by removing the reference to permit imprint and revising the text to read as follows:]

Priority Mail postage may be paid with postage stamps (see 604.1.0) or meter stamps (see 604.4.0).

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[Delete 2.0, Postage Paid with Permit Imprint, in its entirety.]

125 Mail Preparation

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[Delete 3.0, Preparation for a Permit Imprint, in its entirety.]

126 Deposit 1.0 Deposit 1.1 Pieces Weighing 13 Ounces or Less

[Remove last sentence of 1.1 in its entirety to remove refer­ence to permit imprint.]

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400 Commercial Parcels

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410 Express Mail 413 Prices and Eligibility

[Revise heading of 1.0 as follows:]

1.0 Prices and Fees

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1.3 Commercial Base Prices

[Revise introductory text of 1.3 by changing the percentage as follows:]

Express Mail commercial base prices are 5 percent below retail Express Mail prices (see Exhibit 413.1.3). These prices apply to:

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[Revise item c and insert new item d as follows:]

c. Registered end-users of USPS-approved PC Post­age providers when using a qualifying shipping label managed by the PC Postage system used.

d. Customers who pay postage using information-based indicia (IBI) postage meters when using an Express Mail shipping label.

[Insert new Exhibit 1.3 as follows:]

Exhibit 1.3 Express Mail Commercial Base Prices

[Insert new price chart.]

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[Delete 1.5, Commercial Volume Rebates, in its entirety, renumber current 1.4, Flat-Rate Envelope, as new 1.5, and add new 1.4, Commercial Plus Prices, as follows:]

1.4 Commercial Plus Prices

Commercial plus prices are 14.5 percent below retail Express Mail prices (see Exhibit 413.1.4).

1.4.1 Existing Express Mail Customers

Commercial plus pricing is available to existing customers whose cumulative account volume exceeds 6,000 pieces in the previous four quarters or who have a customer com­mitment agreement with the USPS (see 1.4.2) and who are:

a. Express Mail Corporate Account (EMCA) customers, including Federal Agency Accounts.

b. Registered end-users of USPS-approved PC Post­age products when using a qualifying shipping label managed by the PC Postage system used.

1.4.2 New Express Mail Customers

Commercial plus prices are available for new Express Mail customers who have a customer commitment agreement with the USPS. Shippers must contact their account manager or the manager, Sales and Communication, Expedited Shipping (see 608.8.0 for address) for additional information.

[Insert new heading for Exhibit 1.4 as follows:]

Exhibit 1.4 Express Mail Commercial Plus Prices

[Insert new price chart.]

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1.5 Flat-Rate Envelope

[Revise text of the first sentence by changing the price as follows:]

Material mailed in the USPS-provided Express Mail flat-rate envelope is charged $16.63 (commercial base price) or $14.96 (commercial plus price), regardless of the actual weight of the piece or its destination.***

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1.9 Computing Postage

[Revise 1.9 by changing the percentage, adding reference to commercial plus price, and deleting the last sentence so that it reads as follows:]

For each addressed mailpiece, determine the retail price based on weight and zone. Then, multiply the retail price by 5 percent for commercial base pricing, and by 14.5 percent for commercial plus pricing to obtain the appropriate discount amount. Subtract the discount amount (without rounding off) from the retail price and round off the result (see 604.7.1.3).

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414 Postage Payment and Documentation

[Revise heading and text of 1.0 as follows:]

1.0 Basic Standards for Postage Payment Options

Federal agency and USPS official Express Mail may use the appropriate indicia, subject to 703.7.0, Official Mail (Penalty). The mailer is responsible for proper payment of postage. Customers wishing to manifest Express Mail items may request authorization to use an Express Mail Manifesting System according to the procedures in 705.2.6.

1.1 Commercial Base Pricing

Commercial base Express Mail postage may be paid with:

a. An Express Mail Corporate Account (see 2.0), includ­ing Federal Agency Accounts.

b. Click-N-Ship.

c. Information-based indicia (IBI) postage meter with an approved shipping label.

d. USPS-approved PC Postage products by registered end-users in conjunction with a qualifying shipping label managed by the PC Postage system used.

1.2 Commercial Plus Pricing

Commercial plus Express Mail postage may be paid with an Express Mail Corporate Account (see 2.0), including federal agency accounts, or through USPS-approved PC Postage products by registered end-users in conjunction with a qualifying shipping label managed by the PC Post­age system used.

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420 Commercial Parcels Priority Mail 423 Prices and Eligibility

[Revise heading of 1.0 as follows:]

1.0 Prices and Fees

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[Renumber current 1.2 through 1.7 as new 1.4 through 1.9]

[Renumber current 1.1.1 as new 1.2, revising the heading; and add new 1.3 to read as follows:]

1.2 Commercial Base Prices

The commercial base prices are available for:

* * * * * 

[Revise item b and add new item e as follows:]

b. Registered end-users of USPS-approved PC Post­age products when using a qualifying shipping label managed by the PC Postage system used.

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e. Customers who pay postage using information-based indicia (IBI) postage meters in conjunction with an approved shipping label that bears a confir­mation services barcode with a postal routing code (see 708.5.0).

[Renumber and rename Exhibit 1.1 as Exhibit 1.2, Priority Mail Commercial Base Prices, and insert new price chart.]

1.3 Commercial Plus Prices 1.3.1 Existing Priority Mail Customers

Commercial plus prices are available to existing Priority Mail customers that are:

a. Registered end-users of USPS-approved PC Post­age products who qualify for commercial base prices and whose account volume exceeds 100,000 pieces in the previous calendar year or who have a customer commitment agreement with the USPS (see 1.3.2).

b. Permit imprint customers who qualify for commercial base prices and whose account volume exceeds 100,000 pieces in the previous calendar year or who have a customer commitment agreement with the USPS (see 1.3.2).

c. Priority Mail Open and Distribute (PMOD) customers who qualify for commercial base prices and whose account volume exceeds 600 PMOD containers (see 705.16.5.1) in the previous calendar year or who have a customer commitment agreement with the USPS (see 1.3.2).

1.3.2 New Priority Mail Customers

Commercial plus prices are available for new Priority Mail customers who have a customer commitment agreement with the USPS. Shippers must contact their account manager or the manager, Sales and Communication, Expedited Shipping (see 608.8.0 for address) for additional information.

[Insert new heading Exhibit 1.3, Priority Mail Commercial Plus Prices, as follows:]

Exhibit 1.3 Priority Mail Commercial Plus Prices

[Insert new price chart.]

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1.6 Flat-Rate Envelopes and Boxes

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1.6.1 Flat-Rate Envelopes—Price and Eligibility

[Revise text of the first sentence of renumbered 1.6.1 to change the prices as follows:]

Each USPS-produced Priority Mail flat-rate envelope is charged $4.80, (commercial base price) or $4.75 (commer­cial plus price) regardless of the actual weight of the piece or its domestic destination.***

1.6.2 Flat-Rate Boxes—Price and Eligibility

[Revise text of renumbered 1.6.2 by changing the prices and relettering current items a through c as new b through d and adding a new item a as follows:]

***Each USPS-produced Priority Mail flat-rate box, regard­less of the actual weight of the piece or its domestic desti­nation, is charged:

a. $4.80 (commercial base price) or $4.75 (commercial plus price) for material sent in a Priority Mail small flat-rate box to domestic and APO/FPO addresses.

b. $9.85 (commercial base price) or $9.67 (commercial plus price) for material sent in a Priority Mail regular flat-rate box (FRB-1 or FRB-2) to domestic and APO/FPO addresses.

c. $11.50 (commercial base price) or $11.30 (commer­cial plus price) for material sent in a Priority Mail large flat-rate box to APO/FPO addresses (see 703.2).

d. $13.50 (commercial base price) or $13.27 (commer­cial plus price) for material sent in a Priority Mail large flat-rate box to domestic addresses.

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424 Postage Payment and Documentation 1.0 Basic Standards for Postage Payment 1.1 Postage Payment Options

[Delete existing paragraph text in 1.1 and add new 1.1.1 and new 1.1.2 as follows:]

1.1.1 Commercial Base Pricing

Commercial base Priority Mail postage may be paid with:

a. Click-N-Ship.

b. USPS-approved PC Postage products when regis­tered end-users use a qualifying shipping label.

c. Information-based indicia (IBI) postage meter in con­junction with an approved shipping label that bears a confirmation services barcode with a postal routing code (see 708.5.0).

d. Permit imprint with a postal routing barcode on the mailpiece (see 708.5.0). Flat-shaped mailpieces with permit imprints may bear a POSTNET or Intelligent Mail barcode (see 708.4.0) instead of the postal rout­ing barcode.

1.1.2 Commercial Plus Pricing

Commercial plus Priority Mail postage may be paid with:

a. USPS-approved PC Postage products when regis­tered end-users use a qualifying shipping label.

b. Permit imprint with a postal routing barcode on the mailpiece (see 708.5.0). Flat-shaped mailpieces with permit imprints may bear a POSTNET or Intelligent Mail barcode (see 708.4.0) instead of the postal rout­ing barcode.

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450 Parcel Select 453 Prices and Eligibility

[Revise heading of item 1.0 as follows:]

1.0 Prices and Fees

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1.2 Parcel Select Destination Entry Prices

[Insert new price chart of Exhibit 1.2.]

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500 Additional Services

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507 Mailer Services

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13.0 Parcel Return Service

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13.3 Prices 13.3.1 Parcel Return Service—Machinable

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[Insert new price chart of Exhibit 13.3.1.]

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13.3.2 Parcel Return Service—Return BMC Nonmachinable

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[Insert new price chart of Exhibit 13.3.2.]

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600 Basic Standards For All Mailing Services

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608 Postal Information and Resources

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8.0 USPS Contact Information 8.1 Postal Service

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[Add address of manager, Sales and Communication, Expedited Shipping as follows:]

Sales and Communication, Expedited Shipping
U.S. Postal Service
475 L'Enfant Plaza, SW NB Ste. 4039
Washington, DC 20260-4000

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700 Special Standards 703 Nonprofit Standard Mail and Other Unique Eligibility

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2.0 Overseas Military Mail 2.1 Basic Standards

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2.1.2 APO/FPO Priority Mail Flat-Rate Boxes

[Revise text of 2.1.2 by changing the price for the large flat-rate box to $11.95, changing the price for the regular flat–rate box to $10.35, and adding a new fifth sentence as follows:]

***Articles mailed to an APO/FPO address in a small flat-rate box are charged $4.95.***

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We will incorporate these revisions into the January 18, 2009, update of the online DMM available via Postal Explorer® at http://pe.usps.com and into the next printed version of the DMM.