dan@netword.UUCP (Dan Guetzkow) (02/27/84)
On Friday, February 24, 1984, the Postal Rate Commission recommended that E-COM postage be raised from 26 cents for a one-page letter to 52 cents; with a raise from 5 cents to 15 cents for page 2. Additionally, they approved a rate of 4 cents for an reply envelope enclosure, either the pre-paid "Business Reply" type, whereby the ultimate recipient (like a fund-raiser) pays-- or the "Courtesy" type, whereby the re-sender (like a bill) has to put a stamp on. Also the E-COM system might be available more openly by one and all for mail batched less than the current 200-message minimum. Netword may see more competition, and E-COM would be easier to use. (However, this may be just a preliminary step for the Postal Service to INSIST that all mail be PROPERLY routed: all mail for an SPO zone would HAVE to be mailed to THAT SPO ONLY.) So that is the news-- here's how it affects us: First, none of these things are for certain-- these recommendations must be implemented by the Postal Service Board of Governors (like a Board of Directors). The Rate Commission merely makes their "facts" known. Here is our first press release, sent to many newspapers (by E-COM!): ======= Netword, Inc. Information Office 6801 N Kenilworth Ave Riverdale, MD 20737-1331 PRESS RELEASE FOR IMMEDIATE RELEASE POSTAL RATE COMMISSION SUPPORTS OLD-FASHIONED LETTER SHOPS OVER MODERNIZATION In a move sharply criticized by proponents of improved mail delivery, the Postal Rate Commission arbitrarily recommended a drastic increase in prices for its emerging E-COM (Electronic Computer Originated Mail) system. Citing a desire to protect the small letter shops from the Postal Service's new service, the majority Opinion of the Postal Rate Commission on February 24th recommended an increase of E-COM prices from 26 cents to 52 cents for a basic E-COM letter. "They're dooming the future of postal mail delivery in the United States," predicted Dr. Diana Guetzkow, President of Netword, Inc., a new $3 million public company specializing in E-COM. "In an era where there will be a computer on every desktop, the proposed rate hikes for E-COM will put the Postal Service out of business in the future." E-COM service allows business and individuals to electronically "mail" letters directly to the Post Office from large or small computers by telephone. "One can only view such action with disbelief," writes Postal Rate Commissioner James H. Duffy in a dissenting opinion. "Saddling E-COM users with an instantaneous 160% premium over First Class letter rates would destroy E-COM as a viable service. This Commission has clearly failed... to consider the impact of doubling the E-COM rate on the hundreds of small E-COM 'business mail users' who have invested millions of their capital based on promises made previously by this Commission that E-COM is a permanent service which will provide needed services at reasonable and stable prices. Yet this Commission, by its own admission, has doubled the E-COM rate, and based 50% of the increase solely on the effect of E-COM on letter shops." The Postal Rate Commission's written opinion also admits that its recommendation is based largely on an invented "unbundling" theory which substitutes a possible future First Class presort rate of 20 cents for the actual 7.6 cent (fiscal year 1982) mailstream costs of E-COM. The unbundling theory artificially increases E-COM rates by 50% "on the basis of conjecture rather than the true costs they impose on the postal system." The Postal Rate Commission is empowered by Congress as a fact-finding commission. "Fortunately it doesn't end here," Dr. Guetzkow noted. "We will petition the Postal Service's Board of Governors to reject the PRC recommendations. We urge anyone outraged by this to write to the Board of Governors at Postal Service Headquarters, Washington 20260, their Congressmen, and the E-COM Users' Group, Box 888, Riverdale, MD 20737." ------------------------------------------------------------------- For a complete press kit contact Rochelle Holbrook: (301) 699-0123. This letter was electronically transmitted through the E-COM system. ===== (End of press release text.) So we are appealing to each of you to write to: +++++ John McKean, Chairman Board of Governors, USPS 475 L'Enfant Plaza, SW Washington, DC 20260 +++++ and request in your own words to NOT act on the E-COM price recommendation, but to implement a price that will permit growth of E-COM. Ultimately, this affects you if you like E-COM, so do it! As usual, Netword will continue with FREE postage for E-COM. If we have come through for you, please come through for us now when we need your help. All those participating will earn our grateful indebtedness! We don't want this uucp/E-COM interface to die due to excessive expense-- if it does, it was fun while it lasted! Let's lobby NOW and avoid that eventuality. Best, Dan netword!dan ---- end.