As it appeals the denial of an “exigent” rate increase request, the U.S. Postal Service is arguing that the Postal Regulatory Commission’s turndown was “arbitrary and capricious,” according to a brief filed late this afternoon with the U.S. Circuit Court of Appeals for the District of Columbia.
Among other points, USPS lawyers contend that the five-member commission established “new requirements that were not shared with or explained to the Postal Service,” according to an agency summary.
“Instead, the PRC simply denied the request as a whole and punted the Postal Service’s entire financial crisis to Congress,” the brief concludes.
The Postal Service is seeking an average 5.6 percent rate increase that would push the price of a first-class stamp from 44 cents to 46 cents effective. The mailing industry has been fiercely opposed.
Two months ago, the PRC unanimously rejected the increase on the grounds that the Postal Service failed to make the case that the proposed increase was needed because of exceptional circumstances related to the recession.