Claiming Exceptional Dispatch Discounts Can Add Up for Your Paper

A new work-sharing discount took effect with the January postal rate changes. If you use exceptional dispatch to enhance the delivery of your local newspapers and your pieces qualify, then you should take advantage of the discount.

The discount is claiming the Destination Delivery Unit (DDU) rate for pieces that are entered through an exceptional dispatch arrangement with your entry post office. However it is important to understand that 5-digit pieces do not qualify for the DDU entry discount, even though they may be entered through exceptional dispatch. Only qualified carrier route pieces with six or more pieces to a specific carrier route qualify.

Understanding this requirement is important. If you enter five pieces, at a 5-digit rate, through exceptional dispatch at a specific post office, they do not qualify for the discount. However, if you enter 30 pieces, 25 at a qualified carrier route and five at a 5-digit rate through exceptional dispatch, the 25 carrier route pieces qualify for the DDU discount and the five pieces do not.

The discount is about one cent per qualified copy, so the annual potential for savings could be significant.

Exceptional dispatch entry does not require an additional entry at the exceptional dispatch post office in order to claim this discount, however, it is important to completely understand exceptional dispatch.

Mail entered through exceptional dispatch is mail that is entered at a post office were it is ultimately cased for delivery. Thus, it is the local post office. If you are not using exceptional dispatch, it may be worth considering after you run the numbers and determined the value to the newspapers and your customers.

Should you consider exceptional dispatch and you are not currently engaged in this practice there are a few simple steps.

There is no official form to complete. However, you are required to submit a letter to your original entry post office with the following information contained:

• The zip code and post office of the exceptional dispatch locations you would enter, including the number of pieces at each office and the rate at which they would be claimed.

• Also required is the estimated entry time, how they will be delivered and packaged and the date when the exceptional dispatch activity will be initiated.

Maintain a copy of this letter in your files should it ever be requested by a postal auditor or official.

As a side note remember that qualified carrier route pieces must have either a line of travel ( LOT ) code or the walk sequence code to qualify for the carrier route rate; if not, they default to the 5-digit rate.

The National Newspaper Association has been pushing for this discount for a number of years.

Sims is corporate circulation director of Chesapeake Publishing. He serves on the MDDC Circulation Committee and is a member of the National Newspaper Association Postal Committee.