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APPROVAL EXPECTED FOR REQUESTED POSTAL RATE HIKE

By United Press International / December 17, 1990



WASHINGTON

The United States Postal Service expects approval of its largest rate increases ever. The Postal Rate Commission is expected to make its recommendation Jan. 4 on the request for increases that would boost the cost of all types of mail by an average of 19 percent and raise the cost of a first-class stamp from 25 cents to 30 cents.

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Noting that the Postal Service receives no tax dollars and must operate on its own revenue, a postal service spokesman defended the rate hike as merely reflecting increases in the cost of doing business.

Like other businesses, the Postal Service has faced rising health-care costs and higher gasoline prices.