# Federal Register #RM2027-1

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

**Buyer:** Postal Regulatory Commission
**Posted:** October 14, 2026
**Respond By:** November 19, 2026
**Identifier:** RM2027-1

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.

[View original listing](https://www.federalregister.gov/documents/2026/10/14/2026-21000/periodic-reporting)