News Briefs

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With so many changes to the regulations since the new price structure went into affect in 2006, the impact to any company or organization that relies on mail has changed dramatically. Your best strategy is to communicate with us frequently so we may educate you about the changes and how they impact your mailing campaigns and budgets.

It is strongly recommended that you contact us in the earliest stage of your next mailing campaign to make sure you get the best rates and services you need to make your campaign as efficient as possible.

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Deadline to Improve Lists

In addition to the new rates and regulations, mailers face a deadline to improve their bulk mailing lists or open their checkbook to pay fines. A mailing with a 30% or more error rate for Move Update requirements will no longer qualify for automation discounts, starting January 4, 2010.

Our CASS certified software used for address correction and coding is regularly updated in order to comply with CASS Cycle M that takes effect in August of this year.

For example, the Move Update Implementation penalty was delayed until January 4, 2010, in a standard mailing, when every piece in the mailing is charged an additional 7 cents. In a first class mailing, every piece in the mailing will be charged at the single piece rate of 44 cents.

These requirements became effective on November 23, 2008, requiring businesses to update their bulk-mailing lists every 95 days. They also apply to First Class rates.

Call us and we’ll carefully explain all of the components of any new rate or regulation to make sure your future mailings will meet the new requirements.

Automation Flats

Beginning in May, all automation flats are to bear barcodes that include delivery point routing codes as currently required for automation letters. This is a part of the USPS Intelligent Mail program.

Standards applying to all flat-size mailpieces that apply to polywrap are now scheduled to go into effect in September.

Updates for Full Service Intelligent Mail

Some carrier route flats are being introduced in the full service option. There has been a bit of give and take with the Intelligent Mail Class full service option to encourage mailers to participate and receive a discount.

Periodicals and Standard Mail Parcels

These mail classes experienced higher rate increases than the 3.8% cap because of sustained losses experienced by the Postal Service. Also included in this category were Retail Parcel Post rates, Media Mail and Library Mail.

The Postal Service has the authority to change rates if the category is losing money at the present rate. Rates are usually changed to a rate that may not make the category profitable but mainly not to continue as a losing money class.

Booklets and Self-Mailers

Back in 2007 when the USPS introduced shape-based pricing, we recommended you transform flat-sized mail into booklet formats. Since then, the Postal Service identified areas where booklet design slowed down the mail processing equipment.

There are new standards, which can be enacted as soon as May 11. For example, the maximum size is reduced to 6 inches high by 10-1/2 inches long by 0.25 inches thick.

There are new standards affecting both letter-size booklets and folded self-mailers—but was recently altered to exclude self-mailers. Booklets that do not comply with the new standards are ineligible for machinable or automation letter rates.

Speaking of booklets, perforated tabs cannot be used to seal booklets. In most cases you’ll need (3) 1½ inch tabs required as closures, though glue spots or a continuous glue line may be used to seal some booklet designs.

The consequences of not abiding by the new rules and regulations are loss of eligibility to use the more favorable rates of automation and machinable pricing.

The new flats mail design

As of March 29, the address must be in the top half of the mailpiece of an 8” x 11” flat. The address can read right or left vertically within top half of mailpiece or horizontally, but cannot read upside down.

The spine or final fold must be on the right hand side and the piece not in an envelope or polybag. The mailpiece must weigh no more than 16 ounces and limited to ¼” in thickness. Unless you abide by the new rules, the mailpiece does not go at the discount rate.

The new Move update

Over the past eight months, many mailers have diligently prepared for the new Move update. The transition period until May 11 offers opportunity both for mailers and USPS.

The Move update saves both of them money, increases efficiency and the ability to add any refinement to the regulation during the transition period.

A key component of the regulation is determination of the amount of mailpieces to be considered non-compliant and the assessment for each piece serving as a revenue stream.

Don’t wait until your first mailing to determine the impact UAA mail can cost you. We are available to explain all of the necessary components of the regulation and ease you into the changes during the transition period.

How we can help you comply with Move update

• NCOALink processing – a validation software
• FastForward MLCOR processing – physical mailpieces updated in-house
• OneCode ACS – Address change service with an Intelligent Mail barcode
• An appropriate on-piece ancillary service endorsement used without ACS 9 such as “address service requested”

Bound printed matter mailings to be paid by permit only

The US Postal Service will require all bound printed matter (BPM) mailings be paid by permit only as of September 11. Postage payment for all BPM mailings, which include “carrier route, presorted, and non-presorted (single-piece) flats and parcels, regardless of volume,” will be limited to permit imprint, the USPS said.

As a result of this classification change, we must deposit BPM mailings at the Post Office facility that issued us the permit.

The USPS filed notice with the Postal Regulatory Commission in March requesting this classification change. In July, the commission accepted the change, allowing it to go into effect.

Updated requirements for Intelligent Mail barcodes

The USPS has published new mailing standards for Intelligent Mail barcodes that go into effect in May of 2009.

The USPS is continuing to give mailers options. For instance, in the recent rate and regulation change in May, pricing changes were divided into 2 categories–mailing services with a cap and shipping services with a floor. With the Intelligent Mail barcodes, there are full-service and basic options.

Either service will require us to prepare your mail differently in order to receive the benefits of using Intelligent Mail barcodes.

For example, full-service implementation is able to provide you with address correction for letters and flats, and a new product called “Start-the-Clock” that documents when the USPS has taken control of your mailing from us.

As we learn more about the Intelligent Mail barcodes and new mailing standards, we’ll share this information with you and let you know how it can impact your mailers starting in May next year.

Undeliverable-as-addressed mail (UAA)

According to a USPS study, the biggest reason for UAA is that 42 million individuals, families, and businesses move each year. And direct mailers waste up to $6 billion each year because of these movers.

The USPS also suffers a loss of dollars because of the extra handling of mail that cannot be delivered. Move update requirements, which affect Standard Mail and First Class Mail starting November 23, 2008, will lower the losses and increase mail deliverability.

Automation discounts are available On Standard and First Class mail when we process your mail through an approved update method. This means that we can obtain automation discounts on or after August 20, 2008 by using the procedure.

The proposed regulation for “Sticky Notes,” will stick…

Repositionable Notes (RPNs) must meet a variety of standards for First-Class Mail, Standard Mail, and Periodicals. RPNs may be attached to letter- and flat-size commercial mailpieces.

For letter size, the RPN must be attached to the addressed side. On flat-size mailpieces, it may be attached on either the address side or non-address side of the mailpiece. RPNs are included as an integral part of the mailpiece for weight and postage price computation purposes. For all of the regulations concerning RPNs, please give us a call to discuss how these regulations can affect your mailing.

New regulations for Bound Printed Matter…

Starting on September 11, 2008, new regulations for Bound Printed Matter require payment to be made by permit only. According to the USPS, carrier route, presorted, and non-presorted (single-piece) flats and parcels, regardless of volume, will be limited to permit imprint.

As a result of this classification change, mailers will no longer be able to pay for postage with adhesive stamps, a customer-generated postage meter, or PC Postage.

As with any new regulation, many questions arise concerning the new rulings. If you are planning such a mailing, please contact us to determine the impact the regulation may have on the mailing.

For Additional Information

Without a proactive strategy to plan and prepare mail properly, you could wind up paying considerably more for postage than is necessary.

With the new yearly rates and regulations now in place, there are price changes, surcharges, and regulations that can take effect at various times throughout the year. It’s now more important than ever to maintain an open dialogue with us regarding your mailing needs.

Discussing your campaign objectives, design, and approach with us well before it reaches print is the surest way we know to help you take advantage of current postal rules and regulations that can maximize your savings and reduce your headaches.

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