Postage hike to 37¢ expected

USA Today

The price of a first-class stamp is expected to rise from 34 cents to 37 cents June 30.

The Postal Rate Commission, which meets tomorrow in Washington, is almost certain to recommend rate increases for most classes of mail as part of an unprecedented settlement between the U.S. Postal Service and consumer groups and business customers that objected to an earlier rate increase plan.

Final approval rests with the postal service's Board of Governors, which meets in April. But the board has already pushed publicly for the rate increase.

Under the proposed rate plan:

• A regular birthday card, letter or bill will cost 37 cents for the first ounce. The cost will remain at 23 cents for additional ounces.
• Post-card rates will rise to 23 cents from 21 cents.
• The cost of Priority Mail using the flat-rate envelope will decrease from $3.95 to $3.85. Other priority mail will be weighed and priced by zone.
• Parcel post rates will increase 10 percent.
• Commercial customers who pre-sort and bar-code their mail before delivering it to the post office get larger discounts.