If you have not yet purchased your new 34-cent postal stamps, today is your last day before the 1-cent stamp rate hike goes into effect on Sunday.
Horace Hinshaw of the U.S. Postal Service said that for those who may have forgotten about the rate hike, they should remember that all envelopes mailed after Saturday may be delayed or returned if consumers have not made the appropriate adjustments. If you are mailing first-class standard size and weight envelopes than you should either purchase a 34-cent stamp or purchase a 1-cent stamp and add it to the 33-cent stamp. "If you mail something at a neighborhood collection box before the last collection time, you should be okay," said Hinshaw. He advised all consumers to look at the times written on the box to ensure that their 33-cent stamps will be adequate for first class mailings.
On Thursday, San Mateo's downtown post office was knee-deep with consumers making last minute purchases of the new 34-cent stamp as well as 1-cent stamps.
According to employees at the post office on Second and B Street in downtown San Mateo, the office has been unusually crowded but due to the timing, it is a little difficult to determine whether the number of customers is due entirely to the rate hike.
"It's hard to tell because of Christmas because we've been really busy every day. We've been just as busy after Christmas as we were during Christmas. So I think it's because of the new stamps," said postal worker Amarjit Gill.
The rate increase was needed to pay into the $6 billion debt the Postal Service has accrued since the U.S. stopped subsidizing it in the 1970s. It is believed that the 1-cent rate increase will bring in approximately $1 billion for the post office.
The influx of consumers who are turning to e-mail and other alternative ways of keeping in touch is believed to have also contributed to the need to introduce a rate hike. In addition, the price of doing business has simply increased over the years, according to Hinshaw.
"Just like all other businesses, we have to compete with the increased cost of labor, transportation and other things. And if we did not institute a rate increase it could have seriously hampered our ability to serve the public," Hinshaw said.
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The last time the price of postage stamps went up was two years ago. Before that it was four years ago.
"Many people do not know that the postal service is not covered by tax dollars -- that we provide the service based on what we garner in merchandise and the price we charge the public for our services," Hinshaw said, adding that even with the rate hike that the U.S. Postal Service is still the cheapest of all services offered in the industrialized world. According to Hinshaw, the price of postal stamps in England is 40 cents per stamp and the price in Japan is 75 cents per stamp.
According to the employees at the local post office, few consumers have griped about the rise in the price of stamps.
"Most people think it's pretty reasonable. I'm not sure about the increase in price for other services. But the [1-cent increase in the price of] first-class mail hasn't caused a problem. Some people have even said they think it should be more, like 50 cents," Gill said.
One concern that has surfaced due to the rate hike is how the very popular Breast Cancer Awareness stamp will be affected by the increase. Some have wanted to be ensured that the revenue that is being paid into breast cancer research will not be siphoned away due to the increase, according to Hinshaw.
Hinshaw said that this will not be the case. The added penny charged will apply to the Breast Cancer Stamp. But breast cancer research will still receive the allotted 6 cents per stamp.
According to Hinshaw more than 7.5 billion 34-cent stamps have been made available since Dec. 15th. In addition more than 4 billion 1- cent stamps have also been made available. People wishing to purchase the new stamps may get them at participating grocery stores, or at any post office -- as well as online at www.usps.com.
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