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Spring 2001
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The Rate Case

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The GCA 2001
Addressing/Distribution Summer Conference
RATES UNCERTAINTY
August 21-23, 2001
Crowne Plaza Hotel · Philadelphia, PA

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Missed this event? It’s not too late to learn what you need to know. IDEAlliance has taped all the sessions and is making them available… Review the Schedule of Sessions taped and order your tapes today!

Featuring a Keynote Address from
John E. Potter, Postmaster General and CEO of the US Postal Service
The only certainty is that rates will go up. By another 15%? 20%? That’s on top of, as an example, the 2.6% on July 1 for periodicals after the 9.9% increase in January (so much for the "under 10%" expectation). And when? R2000 is just now getting its second phase of implementation and we’re already looking at an R2001 filing soon. That will mean three increases in less than two years. What’s wrong with this system? But wait, there’s more ...

Unlike the unilaterally imposed R2000-2, postage increase going in July 1, the next Postal Rate Case to be filed between July and next January could cause serious damage to the mailing industry. But, can this outcome be averted?

For more than 30 years, GCA’s Addressing/Distribution Conferences have been the place to go to deal with addressing and distribution issues, and many more. GCA’s Conference attracts top USPS executives and technical leaders to participate in a common dialogue with the most qualified industry experts. A/D participants continue to rate the conference and its sessions as very good to excellent. The A/D conference also continues to meet or exceed expectations. In a recent poll of past A/D participants, the most important topics on everyone’s mind are the mid-year rate increase and postal reform. This will be the focus of the Summer A/D Conference. Don’t miss it!

There is talk of market-based rates, service-based rates, cost-based rates. Does market-based mean what the market will bear? Does service-based mean that service will be guaranteed? Does cost-based mean that accurate costs will be known? And what about product redefinition? Is it an R2001 factor? How about activity-based costing? Will rates and strategies be in sync this time? What about phased-in rates? Would 5% each year for three years be better than 15% all at once? How effective is cost management? It should be playing a major role, but is it? How can the mailer help?

These are some of the questions we are preparing to answer at GCA’s Annual Summer Conference, returning this year to Philadelphia, August 21-23. It’s a plateful for the mailer to understand and try to impact, but that’s our goal. In addition to rate increases, postal legislative reform discussion is hot. How far does reform have to go to get mailer relief? Is it realistic given the politics involved? Here again we can look for some straight answers at the Summer Conference.

And while the Rate Case, along with reform, will have major focus, operational issues will also be addressed. We’ll hear a report, for example, on compliance to the new package makeup rules, plus the status of LOT, MERLIN, and more. They can all have direct impact on mailer costs and rates.

 

 
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