PRC Issues Decision on Exigency Remand
Today, the Postal Regulatory Commission issued their decision on the remanded exigency case. MPA commends the PRC on their thoughtful consideration of the case, and for finding that the USPS did not show a strong causal link between the exigent circumstance and the proposed rate increase.
In May, the Appeals Court for the District of Columbia remanded the exigency case back to the PRC for further deliberation on a narrow question — how close a link the Postal Service must establish between an exigent circumstance and the requested exigent rate increase in cases where the Postal Service’s revenue shortfalls have multiple causes, only one of which is the exigent circumstance. MPA argued for a tight link in comments submitted by MPA and industry allies this past summer.
In the decision released today, the Commission reaffirms that the price cap is the cornerstone of the Postal Accountability and Enhancement Act’s ratemaking system and is intended to provide clear incentives for the Postal Service to improve efficiency and reduce its cost. To read more about decision follow the link below: