Federal Register #RM2027-1

Postal Regulatory Commission review of USPS retiree health benefit expense allocation proposal

The Postal Regulatory Commission is reviewing a United States Postal Service proposal about how retiree health benefit expenses are allocated in periodic reports. - Government buyer: Postal Regulatory Commission (PRC); the United States Postal Service (USPS) submitted the proposal. - Proposal: Use the composite labor approach to treat current-retiree health benefit top-up expenses as variable and allocate them in the same manner as labor. - Estimated financial effect: USPS cites $726 million in top-up expenses and estimates the method would increase total costs by 0.8% and total volume-variable and product-specific costs by 0.85%. This is an expense estimate, not a contract value. - Procurement status: This is a public-comment rulemaking, not a request to buy products or services. No OEMs, vendors, products, or quantities are identified.

Description

The Postal Regulatory Commission is considering a Postal Service petition to change analytical principles relating to periodic reports. The proposal would establish a methodology for treating expenses for current retiree health benefits top-up payments required under the Postal Service Reform Act. The Commission invites public comment on the petition and proposal; comments are due November 19, 2026.

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