1. Periodicals Simplification Ideas February 23, 2017 Key Points
Except in exceptional or extraordinary circumstances, postage price increases are capped at the rate of inflation at the class level as measured by the Consumer Price Index (CPI). Stamp prices have stayed consistent with the average annual rate of inflation since the Postal Service was formed in 1971.
The Postal Service receives no tax dollars for operating expenses and relies on the sale of postage, products and services to fund its operations.
As mandated by the PRC, the termination of the exigent surcharge left the Postal Service with an approximate $2 billion loss in annual revenue.

2. Initiatives Under Consideration
Note: All discussions around these initiatives are to be considered preliminary and non-binding as they are still under consideration and are pending USPS senior leadership approval.
Preliminary & Pre-Decisional

3. Periodicals Virtual FSS bundles for Periodicals
Incent use of Periodical trays
Simplify pending Periodicals payments
Combine nonmachinable flats and parcels
Eliminate foreign publication qualification and new agent registry
Eliminate multiple origin entry facility types
Encourage DDU entry
Reviewing the mail piece requirements for flats
Evaluate the need for indicia on products with Service Type codes
Preliminary & Pre-Decisional

4. Periodicals Virtual FSS bundles for Periodicals Description:
Currently FSS bundles are comprised of pieces that pay the 3D, 5D and CR rates but pay a single bundle charge. This is to analyze whether these pieces should actually be prepared as 3-Digit, 5-Digit and CR bundles.
Preliminary & Pre-Decisional

5. Periodicals Incent use of Periodical trays Description:
Currently, the Periodicals flat trays and tubs prices are the same as prices for sacks at all presort and entry levels. The tray/tub mail process is more cost effective than Sacks. It also reduces the manual handling of the mail. This looks at pricing incentives to shift from sack to trays or tubs.
Preliminary & Pre-Decisional

6. Periodicals Simplify pending Periodicals payments Description:
Currently, publications pending approval as Periodicals are charged the corresponding Standard Mail or Bound Printed Matter Price. It has become increasingly difficult for the Postal Service and the mailers to map to these prices. The proposal is to determine a percentage of Periodicals prices (based on knowledge of corresponding Standard Mail and BPM) that is appropriate for these Periodicals and to charge that amount.
Preliminary & Pre-Decisional

7. Periodicals Combine nonmachinable flats and parcels Description:
The purpose is to simplify the product offering and ensure optimal processing by combining nonmachinable Periodical flats with Periodical parcels
Preliminary & Pre-Decisional

8. Periodicals
Eliminate foreign publication qualification and new agent registry
Description:
The purpose is to remove News Agent and Foreign Publication from the Application for Periodicals Mailing Privileges. Instead, they will qualify under the remaining existing authorizations.
Preliminary & Pre-Decisional

9. Periodicals Eliminate multiple origin entry facility types
Description:
Currently the Periodicals postage statement, PS Form 3541 has multiple lines for Origin Entry Sack/Tray and Pallet price; however, the price is the same no matter what origin entry is chosen. The proposed change will eliminate the multiple origin entry facility types for each of the various presort level of sacks and pallets, namely Origin NDC, Origin ADC, Origin SCF and Origin DDU or DMU and combine those options into one.
Preliminary & Pre-Decisional

10. Periodicals Encourage DDU entry Description:
We are looking at ways to encourage DDU entry for Periodicals.
Preliminary & Pre-Decisional

11. Periodicals Reviewing the mail piece requirements for flats
Description:
This BNS will address what the criteria for a machinable/ automation flat-size mailpiece should be and streamline all the classes into the same definition. This will improve our ability to more efficiently process on flat sorting machines and will focus on unbound publications.
Preliminary & Pre-Decisional

12. Periodicals Virtual FSS bundles for Periodicals
Incent use of Periodical trays
Simplify pending Periodicals payments
Combine nonmachinable flats and parcels
Eliminate foreign publication qualification and new agent registry
Eliminate multiple origin entry facility types
Reviewing the mail piece requirements for flats
Evaluate the need for indicia on products with Service Type codes
Preliminary & Pre-Decisional

13. Periodicals
Evaluate the Need for Indicia on Products for Service Type Codes
Description:
This is to evaluate the possibility of making indicia optional for some or all classes of mail.
Preliminary & Pre-Decisional

14. Questions