The Postal Service is subject to some Congressional mandates, and managers say they need more freedom for their semi-independent agency.
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Commercial prices will also decrease.
This prospect was met with a lot of trepidation by the USPS, which has been steadily losing revenue for some time. The reduction is the result of an expiring surcharge that had been put in place in January 2014 to help the beleaguered Postal Service recoup $4.6 billion in losses dating back to the Great Recession.
Nevertheless, the rate cut took effect as of yesterday. Postcard stamps will drop in price by one cent to 34 cents, 2-ounce letter stamps will drop from 71 cents to 68 cents and 3-ounce letter stamps will drop from 93 cents to 89 cents.
They went from $0.49 to $0.47. Arguing that the expiration of the surcharge will reduce its revenue by $2 billion per year, the USPS is asking regulators and Congress to extend the higher rates-though so far those pleadings have been unsuccessful.
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For the first time in almost 100 years, the cost of mailing a letter is a little cheaper.
