New Bill Ties USPS Periodical Rate Hikes to Hitting 95% On-Time Delivery Target

This bill, the 'Deliver for Democracy Act,' directly links the U.S. Postal Service's ability to raise rates for periodicals—think magazines and newspapers—to its actual delivery performance. Specifically, Section 2 states the Postal Regulatory Commission (PRC) can't grant the USPS additional rate authority for periodicals unless the Postal Service achieves at least 95% on-time delivery for them (based on standards when the bill passes) or improves its on-time performance by 2 percentage points over its best previous fiscal year. The core idea is to incentivize faster, more reliable mail delivery for these publications.

Pay Up for Performance, Not Just Postage

The central mechanism here is conditional rate authority. Under Section 2, if your favorite magazine or local newspaper delivery feels consistently late, this bill aims to put pressure on the USPS to fix it before they can charge publishers (and potentially subscribers, indirectly) more. It establishes clear benchmarks: either hit a high 95% on-time rate or show significant improvement (a 2-point jump). This means the cost of mailing periodicals could be directly tied to how well the USPS meets these service goals, impacting publishers' budgets and potentially the subscription prices you pay.

Tracking the Mail Trail

To ensure accountability, Section 3 mandates the Postmaster General provide an annual public report to the PRC detailing the on-time performance for newspaper mail, both within and outside its originating county. This isn't just internal tracking; it requires seeking feedback from stakeholders (like publishers) and making the findings public. If tracking every single newspaper isn't feasible, the PRC and USPS are tasked with creating a system to track mail bundles instead. This transparency push aims to give everyone a clearer picture of whether delivery is actually improving, though setting up potentially new tracking systems could involve costs and logistical hurdles for the USPS.

Searching for Financial Stability

Beyond delivery speed, the bill acknowledges the financial challenges surrounding periodicals. Section 4 directs the Government Accountability Office (GAO), an independent government watchdog, to conduct a two-year study. This study will explore alternative pricing strategies and other options to help make periodicals, and potentially other USPS products that don't cover their own costs, more financially sustainable. The GAO will report its findings to key House and Senate committees, potentially paving the way for broader reforms to how these essential, but often financially strained, mail services are priced and managed.