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Nonprofit Postal Rates to Rise Again on July 1

May 17, 2001 | Read Time: 2 minutes

By NICOLE LEWIS

The U.S. Postal Service has raised nonprofit postage rates for the second time in six months.

Under the new rates, which will take effect July 1, the cost for nonprofit groups to

mail a standard letter will rise from 15.5 cents to 15.8 cents, an increase of nearly 2 percent. Rates for periodicals will rise from 21.7 cents to 22 cents, up 1.4 percent.

The Postal Service’s decision overturned a recommendation by the Postal Rate Commission, an independent body that studies postal-rate changes, that rates be lowered.

In January, the postal rates for nonprofit mail increased by an average of 4.8 percent.


The latest increase “is a horrible turn of events for folks who rely on direct mail,” said Neal Denton, executive director of the Alliance of Nonprofit Mailers, in Washington, a coalition of nonprofit organizations.

Mr. Denton noted that the Postal Service has raised nonprofit mailing rates four times since January 1998, not including the latest increase. When the last increase was put into effect, many groups discussed sending out mailings to donors less frequently to save money, he said.

Now, he said, “they are going to have to make hard decisions on what to cut out to make budget, with mailing costs, postage, and printing and paper.”


RATES FOR STANDARD NONPROFIT MAIL THAT TAKE EFFECT IN JULY

F O R L E T T E R S
Current
rate
New
rate

Basic rate 15.5 15.8

Sorted by ZIP code1 14.3 14.6

Enhanced carrier route 11.6 11.8

High density2 9.3 9.5

Saturation mailings3 8.7 8.9

Automation (basic) 13.0 13.3

Sorted by ZIP code to 3 digits4 12.0 12.3

Sorted by ZIP code to 5 digits4 10.5 10.8

Sorted by carrier route 10.3 10.5
F O R N O N – L E T T E R S
Current
rate
New
rate

Basic rate per piece 21.7 22.0

Sorted by ZIP code1 16.8 17.1

Enhanced carrier route 11.6 11.8

High density2 10.0 10.2

Saturation mailings3 9.5 9.7

Automation (basic) 17.6 17.9

Sorted by ZIP code1 15.1 15.4

Note: Letters are defined as pieces 6-1/8 inches by 11-1/2 inches or smaller, not thicker than 1/4 inch, and weighing no more than 3.3 ounces.
1 Under current and new rates, ZIP-code discounts under the basic rate are available for mail sorted to the first 3 or 5 digits.
2 Must be in batches of 125 or more pieces per carrier route and sorted according to the “walk sequence” of addresses on the route.
3 Mail that is sent to 75 percent of the addresses or 90 percent of the residences on a carrier’s route. Must be sorted according to the “walk sequence” of addresses on the route.
4 Must have 150 pieces to qualify for this rate.
SOURCE: Postal Rate Commission

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