Thu. Jul 25th, 2024

Spanberger Helps Introduce Bipartisan, Bicameral Effort to Incentivize On-Time Newspaper Delivery, Block Excessive Rate Increases

July 24, 2024

READ FULL ARTICLE AT » Abigail Spanberger

This Effort Comes After USPS Raised Prices for Sixth Time in Three Years Without Improving Service or Increasing Efficiency for Periodical Delivery

WASHINGTON, D.C. — U.S. Representative Abigail Spanberger yesterday helped introduce bipartisan, bicameral legislation to support rural newspaper delivery by incentivizing on-time U.S. Postal Service (USPS) delivery and limiting excessive rate increases for periodicals.

USPS has consistently raised rates for periodicals under the guise of increased efficiency and improved service. In January 2021, the U.S. Postal Regulatory Commission (PRC) provided USPS with an additional two percentage points of rate authority for any class or product of mail where costs exceed revenue. Since then, USPS has maximally exercised this authority, raising periodical postage rates by more than 40 percent in three and a half years. Even with these significant postal rate increases, USPS continues to fail to achieve the 95 percent on-time delivery performance standard outlined in Postmaster General Louis DeJoy’s 10-year plan. As a result, periodicals have consistently faced increasing postal rates, without receiving any of the promised benefits of increased efficiency or improved service.

The Deliver for Democracy Act would hold the U.S. Postal Service accountable for on-time newspaper delivery service and incentivize reliable postal service. Additionally, the bipartisan legislation would limit excessive rate increases for periodicals — blocking USPS’s authority to raise rates unless delivery and service standards are met.

“I remain frustrated that U.S. Postal Service leadership is once again planning to raise postal rates — for the sixth time in three years — without fixing the persistent mail service and delivery issues that they know hurt Virginians and Virginia businesses. Specifically, these frequent, excessive rate increases have impeded the business of our local newspapers,” said Spanberger. “Local journalism is critical to keeping our neighbors informed — and many Virginians rely on their local paper to get the news they need. No Virginian or Virginia business should have to pay more for a service that continues to operate below par, and I’m proud to help introduce this bipartisan, bicameral legislation to incentivize the USPS to meet the delivery and service standards Virginians deserve.”

This legislation is backed by the Virginia Press Association, National Newspaper Association, and News Media Alliance.

”The Deliver For Democracy Act would restore some accountability to the US Postal Service, requiring it to deliver the mail, including newspapers, within its own delivery standards in order to justify rate increases. Since last fall, Virginia postal customers, including local newspapers reliant on the postal service for timely mail delivery, have experienced some of the worst service in the country due to the conversion of the Richmond Regional Processing and Delivery Center. The Virginia Press Association hopes this bill will improve service and slow down the recent trend at USPS to raise prices,” said Betsy Edwards, Executive Director, Virginia Press Association. “VPA wholeheartedly endorses this bipartisan legislation and thanks Congresswoman Spanberger for supporting its introduction as an original sponsor.”

Specifically, the Deliver for Democracy Act would:

  • Require USPS to either (1) achieve at least a 95 percent on-time delivery rate for periodicals (as highlighted in their own plan) or (2) achieve an improvement of at least 2 percentage points. If they do not, then USPS may not use its 2 percent surcharge authority to increase rates for that class of mail.
  • Require USPS to annually report to the PRC on its progress including on-time delivery data for newspapers in its periodical service performance measurement; and
  • Instruct the Government Accountability Office to conduct a study and submit a report to Congress on options for alternate USPS pricing schemes to improve the cost margins with periodicals.

The Deliver for Democracy Act was introduced in the U.S. House of Representatives by U.S. Representatives Robert Aderholt (R-AL-04) and Emmanuel Cleaver (D-MO-05) and in the U.S. Senate by Senators Peter Welch (D-VT) and Mike Rounds (R-SD).

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