Projecting a deficit of almost $7 billion for the next fiscal year, the U.S. Post Office (USPS) Governors are recommending raising the price of a first class stamp by 2 cents. That would make the stamp 46 cents.
They also proposed raising the cost of mailing a post card by 2 cents, making it 30 cents.
It’s estimated that the increases would add less than 13 cents to the average U.S. family’s monthly budget.
The proposed design of the new stamps would use evergreen tree branches in the image. The stamps will be designated as Forever Stamps. They will not require replacement or additional postage upon future price increases.
The Postal Regulatory Commission must approve the recommended price changes. The increases would not go into effect until January 2, 2011. It’s been almost two years since the last increase in stamp prices.
The volume of mail, and revenues, have plummeted due to the recession and the increased use of the Internet, according to the Postal Service. The deficit remains despite the elimination of 1 million work hours and a $1 billion reduction in expenses every year since 2001.
If approved, the price increase is estimated to raise about $2.3 billion during the first nine months of 2011. Postmaster General John E. Potter said in March that pricing would be one of several changes the USPS is making to become financially sound.