[Federal Register: March 25, 1999 (Volume 64, Number 57)]
[Rules and Regulations]
[Page 14385-14391]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr25mr99-7]

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POSTAL SERVICE

39 CFR Part 111

Delivery of Mail to a Commercial Mail Receiving Agency

AGENCY: Postal Service.

ACTION: Final rule.

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SUMMARY: This final rule amends section D042.2.5 through D042.2.7 of
the Domestic Mail Manual (DMM) to update and clarify procedures for
delivery of an addressee's mail to a commercial mail receiving agency
(CMRA). The rule provides procedures for registration to act as a CMRA;
an addressee to request mail delivery to a CMRA; and delivery of the
mail to a CMRA. This rule adopts with changes a proposed rule published
for public comment on August 27, 1997, in the Federal Register (62 FR
45366-45368).

EFFECTIVE DATE: April 26, 1999.

FOR FURTHER INFORMATION CONTACT: Roy E. Gamble, (202) 268-3197.

SUPPLEMENTARY INFORMATION: On August 27, 1997, the Postal Service
published in the Federal Register a proposed rule to amend sections
D042.2.5 through D042.2.7 of the Domestic Mail Manual (62 FR 45366-
45368). The proposed rule was in response to a need to clarify and
revise current rules. Recent audits and follow-up reviews indicated a
need for easy-to-understand rules to satisfy the different needs and
requirements of the sender and the addressee of mail sent to CMRA
addresses.
    The proposed rule clarifies and updates the requirements to be
consistent with other current postal rules, policies, and requirements.
In many instances, these requirements are similar to those for
obtaining post office box service. The requirements are protective of
the sender's requirement for a secure mailstream. They are sensitive to
the addressee's desire to have a CMRA receive delivery of his or her
mail and hold it for pickup or re-mail it to the addressee, prepaid
with new postage.
    Comments on the proposed rule were due on or before September 26,
1997. The Postal Service reopened the public comment period for an
additional 30 days with written comments due on or before December 24,
1997, (62 FR 62540 November 24, 1997). The Postal Service received a
total of 8,107 comments. Of the total, 727 comments were from CMRA
owners, 7,365 were from CMRA customers, four were from CMRA franchisers
and associations, and one comment was from a Member of Congress. These
comments were largely identical in content and format, and generally
opposed the proposed rule. The Postal Service received 10 comments that
generally supported the proposed rule. Large firms and associations,
including financial institutions and trade associations of mailers,
consumers, and law enforcement officials submitted these comments. The
Postal Service also received a number of comments after the deadline
that were similar in nature and content to those received on-time that
generally opposed the proposed rule.
    At the outset, it may be useful to address in more detail the
purposes of this rulemaking. A number of commenters who opposed the new
rule questioned the intent of the undertaking to amend the rule. There
are assertions from the CMRAs that compliance with the regulations will
``pu[t] CMRAs out of business.'' Customers of CMRAs assert that the
rulemaking ``appears to discriminate against them because of [their]
choice of an address.''
    These claims are erroneous. The sole postal purpose of the rule is
to increase the safety and security of the mail. The rule is designed
to benefit both businesses and consumers by reducing the opportunities
to use the mail for fraudulent purposes. The rule is intended to ensure
that mailers are confident that addresses provided by prospective
customers are actually used by these customers, and that the mail will
reach the recipient, rather than be returned to the sender.
    Comments from business, consumer, and law enforcement organizations
recognize these purposes and indicate strong support for the rule.
Indeed, in several cases, the commenters advocate even stronger
provisions. The commenters describe a variety of problems addressed by
the rule. For instance, several commenters refer to the term ``identity
theft,'' referring to criminal schemes with potential significant
financial consequences to an innocent victim. The criminal may apply
for new credit cards in the individual's name or request that the
credit card issuers change the address of the legitimate cardholder. In
each case, the criminal requests that future mailings are sent to an
address that he or she controls.
    One of the purposes of the rule is to strengthen the identification
process at the time of application to receive mail through a CMRA.
Thus, there are additional safeguards to ensure that a CMRA verifies
that the applicant is the individual to whom mail will be addressed.
The Postal Service has adopted safeguards in other instances where the
mails may be used for fraudulent purposes, including strengthening the
identification process for those applying to use post office box
service as well as additional safeguards in change-of-address
procedures. Thus the Postal Service is not ``singling out'' CMRAs.
    Compliance with the prescribed procedures may, as noted by some
commenters, impose additional burden on some CMRAs. It is true that
CMRAs and their customers are, in the

[[Page 14386]]

overwhelming majority of cases, innocent of any wrongdoing. Indeed, one
commenter who supported the rule referred to CMRAs as ``unwitting
conduits'' in these frauds. Unfortunately, there are numerous instances
in the modern world (e.g., airport security checks, custom searches,
and restrictions on mailing parcels in collection boxes) where innocent
people suffer inconvenience or expense due to the actions of a few
lawbreakers. While the harms addressed in this rulemaking may not
entail the physical dangers addressed in some of these examples, the
potential financial consequences suffered by innocent victims can be
devastating.
    The Postal Service is not imposing administrative and financial
burdens solely on the CMRAs or their customers. As noted above, the
Postal Service undertakes similar administrative efforts with respect
to persons using post office box service. Moreover, local postal
officials are being asked to increase efforts to work with CMRAs to
ensure knowledge of, and compliance with, these regulations. Finally,
Postal Inspectors investigate complaints that CMRAs, post office boxes,
or other addresses are being used in conducting fraudulent schemes. As
observed by some commenters, the Postal Service and CMRAs act together
to ensure that mail is delivered from the sender to the CMRA and then
to the CMRA's customer, the addressee. This rulemaking extends this
partnership by ensuring that the Postal Service and CMRAs work together
for the equally important objective of ensuring that their customers
are not the victims of fraud.
    Numerous commenters, particularly CMRAs, oppose the updated
requirement that assigns responsibility to the CMRA for verification of
the addressee's permanent residential or business address entered on PS
Form 1583, Application for Delivery of Mail Through Agent. The CMRAs
asserted that this requirement is a huge burden that operators are
unequipped to bear. The CMRAs said that the ``Postal Service should not
force CMRA operators to seek information that the Postal Service wants;
operators are not police officers or private investigators.''
    In contrast, commenters who supported the rulemaking strongly
favored this proposal and argued that, if anything, it does not go far
enough. These commenters asserted that the requirements would reduce
the number of persons who use a CMRA address to shield the user's
identity and will help in the apprehension of individuals who use CMRAs
for such purposes. These commenters suggested that the provisions be
strengthened by requiring CMRAs to maintain a photocopy of the
applicant's photo identification; and, by eliminating proposed section
D042.2.6(a)(4) that permits the applicant's second item of
identification ``to be another credential showing the applicant's
signature and a serial number or similar information that is traceable
to the bearer.''
    The Postal Service has determined to adopt the proposed rule with
certain clarifications. To a large degree, the proposed rule is similar
to that in effect today in that an applicant for CMRA service must
submit identification when applying for service. The proposed rule,
with additional clarifying language, makes explicit the procedures that
are implicit today; e.g., that the CMRA must review the identification
to ensure that the applicant is the person he or she claims. These
identification procedures are similar to those followed by the Postal
Service for persons applying for post office box service. The Postal
Service does not believe that these procedures are burdensome.
Moreover, even if this was not true, we believe the procedures are
necessary to prevent the fraud and mail security problems described by
the mailers, consumers, and law enforcement groups supporting the rule.
The proposal simply requires that the CMRA match the information on the
application with that on the valid identification presented. If a
discrepancy exists between the two, the CMRA must require that the
addressee substantiate that he or she resides or conducts business at
the address shown. The CMRA must deny the application if the addressee
is unable to substantiate the address. This is an essential element in
preventing mail delivery to a CMRA without verifiable consent of the
actual addressee and reflects current practices to confirm that the
identification belongs to the person presenting it. The information and
the procedure will help the CMRA hinder fraud schemes involving
identity theft. As an additional benefit, the verification of the
address ensures that the CMRA has an address to re-mail mail or trace
customers who terminate the relationship without prior notification.
    The Postal Service has determined to retain the option to use
``other credential'' as one of the forms of identification
(D042.2.6(a)(4)). The Postal Service believes that this provision is
clear. The other credential could, for example, include a document such
as a current lease, mortgage, deed, voter registration card, or a
university identification card. In most instances these forms of
identification would contain a signature and an address, and in some
cases a photograph. The additional options will provide the CMRA with
sufficient valid identification to confirm that the person presenting
it is the addressee. Moreover, elimination of this provision could be
burdensome to CMRAs and their customers of whom many may not have two
of the other required forms of identification.
    The comment recommending that the rule be amended to require the
CMRA to retain a photocopy of the addressee's photo identification
asserts that this would assist law enforcement officials to apprehend
criminals and that it would only be a minor additional burden on the
CMRA to maintain a photocopy. While the Postal Service does not
disagree with this argument, we have determined, nevertheless, not to
adopt this recommendation at this time. The Postal Service strongly
believes that full compliance with procedures outlined in the proposed
rule and due diligence by the CMRA owners will be sufficient to deter
wrongdoing. The proposed rule does, moreover, permit CMRA owners to
retain photocopies when they believe it appropriate. However, as part
of its ongoing efforts to deter mail fraud at all addresses, including
CMRAs, the Postal Service will continue to review its procedures and
will propose adjustments where needed.
    There is an additional clarification in this portion of the final
rule. In general, each person receiving mail through a CMRA must
complete a PS Form 1583, i.e., if three persons share a single CMRA
private mailbox delivery address, each must submit a completed PS Form
1583. One CMRA commenter suggested a revision to the rule to allow
spouses to execute and sign one PS Form 1583 and for parents or
guardians to receive delivery of a minor's mail by listing the minor's
name and age on their forms. The Postal Service adopted this
suggestion.
    Some CMRAs oppose the new provision, proposed D042.2.6(b), that
requires addressees to disclose on PS Form 1583 when a private mailbox
is being used for doing or soliciting business to the public. They
expressed concern for their customers' privacy and about the lack of
similar provisions for post office box service customers.
    An identical requirement, noted in section 265(d) of title 39 of
the Code of Federal Regulations, currently applies to users of post
office box service. Under 39 C.F.R. 265.6(d)(3), parties may request
information concerning the recorded name, address, and telephone number
of the holder of a post office box

[[Page 14387]]

being used for doing or soliciting business with the public, or any
person applying on behalf of a holder (see Administrative Support
Manual 352.44(c)). Thus, the Postal Service, in adopting this proposal,
is adopting the same provision that has been in place with respect to
post office box service.
    The CMRA commenters opposed the proposal to submit quarterly
alphabetical listings to the postmaster of all new customers, current
customers, and those customers who terminated within the past 12
months, including the date of termination (proposed D042.2.6(d) and
D042.2.7(c)). The commenters asserted that these requirements are
burdensome and unnecessary and that the current annual submission is
sufficient. They also argued that submission of their copy of PS Form
1583 to the post office with the termination date should serve as
immediate notification of the termination date and contended that this
action should cease further delivery of the former customers' mail to
the CMRA.
    While generally supporting the submission of a quarterly list, one
commenter recommended that the list also include the re-mail address of
former customers.
    After consideration of the comments, the Postal Service has
determined to adopt the requirement that lists be submitted quarterly.
The annual submission of the updated list of CMRA customers is
inadequate. The average customer turnover rate at CMRAs is significant
and recurrent. An accurate quarterly list of CMRA customers is
necessary for the Postal Service to ensure mail security and compliance
with CMRA requirements. The list will allow us to ensure that all
addressees receiving mail at a CMRA have a completed PS Form 1583 on
file at the Postal Service. We do not believe that the provision of a
quarterly list will be unduly burdensome to CMRAs. In this respect, the
Postal Service has eliminated the requirement to immediately notify the
Postal Service of customers who have terminated their relationships
with the CMRA. Instead, the CMRA will notify the Postal Service on a
quarterly basis as part of the listing. The current procedure of
notifying the Postal Service of the termination date of a customer
relationship does not cease delivery of the customer's mail to the
CMRA. The PS Form 1583 agreement obligates the Postal Service to
deliver the intended addressee's mail to the CMRA. The Postal Service
currently uses, and will continue to use, the termination date to
determine the end of the retention period for the PS Form 1583.
    The Postal Service has determined not to adopt the proposal that
the CMRA provide the Postal Service, as part of the quarterly list, all
addresses to which the agency re-mails mail. Requiring the CMRAs to
include these addresses on the quarterly lists would impose an
unnecessary burden on the CMRAs. The Postal Service has revised section
D042.2.7(b) to require the CMRAs to provide these addresses on request,
consistent with current policy.
    The Postal Service is adopting a modification proposed by a CMRA.
Noting the possible conflicts with other end-of-the month
responsibilities, the commenter suggested that the lists be due on the
15th day of the applicable months. The Postal Service has revised
section D042.2.6(d) to reflect this change.
    The CMRAs and their customers opposed the regulation requiring the
use of the delivery address designation ``PMB'' (private mailbox) that
specifies the location to which a mailpiece is delivered. They perceive
the use of the ``PMB'' designation as ``unnecessary and a stigma that
unfairly portrays the CMRA customer as somehow unsavory.''
Additionally, some CMRA customers will incur costs to print new
stationery and to notify all current correspondents of the address
change.
    Commenters supporting the proposed rule, including business,
consumer, and law enforcement associations, strongly endorsed the
address designation. They believed that the designation would greatly
assist business and law enforcement authorities in the prevention and
detection of fraudulent activity with a minimum adverse effect on
businesses or individuals; and suggested that adoption would be in the
best interest of mailers and the general public. One commenter went on
to assert that some of the proposed amendments did not go far enough
and suggested even tougher requirements. The commenter expressed
concern that many people would not recognize that ``PMB'' stands for
private mailbox, and suggested using ``private mailbox'' or ``rental
mailbox.''
    After consideration of the comments, the Postal Service has
determined to adopt the proposed rule. The comments supporting the
proposal testify to the need for mailers to know the identity of the
location to which a mailpiece is delivered. These comments also
minimize the possibility of discriminatory treatment of CMRA customers.
They indicate that businesses can adopt safeguards to protect
themselves and their customers while continuing to provide credit card
and other services to the addressee that receives mail at a CMRA.
    The Postal Service believes that ``PMB (private mailbox)'' is the
most appropriate description for the CMRA customer address designation.
Use of the complete secondary designation name in the address might
cause operational problems. The Postal Service uses automated equipment
to sort and to distribute mail. The automated equipment identifies the
word ``box'' in the address and associates it with a post office box
number in the zone. In many instances, the automated equipment will
code and sort this type of address to the post office box bearing that
number. This causes an undue mail delay. The Postal Service designed
the ``PMB'' acronym for ``private mailbox'' to prevent such mail delays
while establishing the true address identity of mail delivered to
CMRAs. The Postal Service also believes that the acronym ``PMB'' should
not cause long-term confusion among customers.
    As a further note, this proposal is consistent with the current
policy of general addressing standards as required by Domestic Mail
Manual A010.1.1 and A010.1.2, Address Content and Placement. PMB
(private mailbox) simply specifies the location to which a mailpiece is
delivered like APT (apartment), STE (suite), and PO BOX (post office
box) address designations. Current use of APT, STE, and other address
designations by CMRA customers is misleading and does not identify the
true location of the mailpiece delivery. This misrepresentation of a
mailing address is not in the best interest of and may cause
irreparable harm to the sender. The sender has a primary right to know
the true identity of the location to where his or her mail is
delivered. Properly addressed mail serves the best interests of all.
    While the Postal Service has determined to adopt the proposal, it
is nevertheless sensitive to the needs of CMRAs and their customers.
CMRA customers should begin making changes now but will receive up to 6
months after the Final Rule effective date to be in full compliance.
The Postal Service recognizes that CMRA customers may need to print new
stationery. This 6-month period is sufficient to advise correspondents
and to make any other changes to comply with the address requirement.
Accordingly, we urge the CMRAs and their customers to begin the
notification process and conversion to the required address as quickly
as possible. The Postal Service will require

[[Page 14388]]

strict adherence to the address requirement. At the end of this 6-month
period, the Postal Service will return mail without a proper address to
the sender endorsed ``Undeliverable as Addressed.''
    Some CMRAs oppose the proposed regulation assigning authority to
the postmaster to suspend delivery to a CMRA that fails to comply with
Domestic Mail Manual regulations or other applicable postal
requirements. The commenters believe there is no requirement or
opportunity to allow the CMRA to come into compliance.
    This provision is not new, but merely codifies current policy into
the DMM. Current CMRA regulations assign authority to the postmaster to
suspend mail delivery to a CMRA for noncompliance with DMM regulations
(see 612.14, Compliance with Proper Procedures, of the Postal
Operations Manual). The CMRA must receive written notification
identifying the violation(s) and reasonable time to come into
compliance. If the CMRA fails to comply with the written notification,
the postmaster must receive approval from the next higher level and
notify the Postal Inspector-In-Charge before suspending delivery
service to a CMRA. Upon approval, the postmaster must provide the CMRA
with written notification of the effective date and the reason(s) for
suspension of delivery. If the CMRA fails to comply by the effective
date, mail will be returned to the sender endorsed ``Delivery Suspended
to Commercial Mail Receiving Agency.'' The next higher level authority
may disagree with the time allotted for compliance or with the severity
of the violation(s) and not approve the action. This postal procedure
is designed to prevent unnecessary delays in mail delivery and provide
the postmaster with the means to maintain compliance. The Postal
Service believes the regulation is fair and reasonable to the CMRA and
its customers.
    Provisions concerning the handling of mail after delivery to CMRAs
attracted comments from CMRAs, their customers, a mailers association,
and a consumer organization. The CMRAs, their customers, and a mailers
association opposed the provision limiting the ability of former
customers to file change-of-address orders with the Postal Service and
the requirement to pay new postage when re-mailing pieces to former
customers. The CMRAs also opposed the provision limiting their ability
to refuse mail for their customers. The consumer organization
questioned whether CMRAs should be permitted to re-mail pieces to
current or former customers, even when that is the desire of the
parties. This commenter asserted that there is ``no compelling reason
why a legitimate addressee would need to arrange for forwarding on a
permanent basis.'' The commenter urged adoption of a rule that would
restrict re-mailing to a period of several weeks while a current
customer is out of town or for 3 months after termination of the agency
relationship. The commenter asserted that these provisions are
necessary to prevent fraud.
    Some of the comments appear to be based on misconceptions. A number
of comments asserted that all other customers receive mail-forwarding
service. To the extent that these commenters seek the right to file
change-of-address orders with the Postal Service, this assertion is
incorrect. Anyone who receives mail at a single point or bulk delivery
location, such as residents of universities, hospitals, and other
institutions, and some apartment or mobile home parks, as well as at
their places of employment, may not file change-of-address orders. In
each of these cases, the institution must place the individual's new
address on the piece in order to redirect the mail. The difference
between the CMRAs and these other locations is that the CMRA must re-
mail the piece and affix new postage to send it to the individual. The
reasons for this distinction are further discussed below.
    Many commenters appear to believe that the policies codified in
these DMM provisions are new. The majority of these policies are not
new. To the extent that there are changes, at least portions of them
ease the current requirements on the CMRAs and their customers. For
instance, the restrictions against CMRA customers filing change-of-
address orders and requiring payment of new postage to re-mail items
are consistent with long-standing policy. Indeed, these provisions have
long been set forth in postal regulations and reprinted on PS Form
1583. More important, these provisions implement standards in 2025 of
the Domestic Mail Classification Schedule (DMCS). They cannot be
changed by the Postal Service without a request and proceeding before
the Postal Rate Commission.
    These policies are clearly consistent with the mandate that the
Postal Service operates efficiently. As is the case with other entities
receiving bulk delivery of mail, it is impractical for the Postal
Service to accept change-of-address orders from former CMRA customers.
To do so would require the Postal Service to manually inspect large
quantities of mail to extract individual pieces addressed to customers
filing change-of-address orders. This would entail significant time and
expense for the Postal Service and delay the timely delivery of mail.
    As noted above, other entities receiving bulk delivery of mail may
redirect mail to former residents and other parties by writing the new
address on the piece. No additional postage is required. Under the
existing DMCS and DMM rules, CMRAs must affix new postage to re-mail
mailpieces to former customers. This treatment is warranted. Unlike
other bulk delivery points, CMRAs advertise and charge customers for
mail service, which is a primary, rather than an incidental, part of
their business. It is reasonable to expect CMRAs to perform this
service completely by requiring CMRAs to ensure that mail continues to
reach former customers. Many CMRAs already perform this same re-mailing
service for customers not located in the same geographic area as the
CMRA or who otherwise do not wish to travel to the CMRA to pick up
mail.
    The costs of re-mailing also should not be burdensome to the CMRAs.
They are free to pass these costs on to their customers. The Postal
Service understands that many, if not all, CMRAs already charge
customers to re-mail their correspondence. The CMRA and the customers
can make arrangements to reduce these costs by aggregating the pieces
and paying postage on a single package rather than re-mailing each
piece. The Postal Service believes it is appropriate that these costs
be borne by the CMRA customer rather than be passed on to all postal
customers, which would occur if the re-mailing costs were imposed on
the Postal Service.
    The Postal Service has determined not to adopt the suggestion by
one commenter restricting CMRAs from re-mailing to current or former
customers. The Postal Service understands that CMRAs routinely provide
such services to customers. The suggestion would appear to prevent such
persons from using CMRAs, and accordingly would have a significant
adverse impact on these individuals as well as on the business of the
CMRA.
    The comments concerning the refusal of mail were generally received
from CMRAs. These questions have arisen in the past and have been the
subject of a number of rulings, some of which are potentially
conflicting. This has included rulings that CMRAs may not refuse mail
under any circumstances as well as rulings allowing CMRAs to refuse
mail.

[[Page 14389]]

    The issues concerning a CMRA's obligation to re-mail material to
current or former customers (as opposed to redirecting it without
affixing new postage) and their entitlement to refuse mail are linked
in our view. A CMRA's obligation to re-mail matter may be circumvented
by the expedient of returning mail without payment of new postage.
Thus, a CMRA could avoid re-mailing pieces to a former customer if it
could simply mark the piece ``refused'' and return it to the Postal
Service. This adversely affects a number of parties: the sender whose
mail does not reach the intended recipient, the addressee who does not
receive it, and the Postal Service and its customers, which incurs the
costs of returning the piece to the sender.
    Accordingly, there are significant reasons to limit the refusal of
mail by CMRAs. This conclusion is also consistent with the underlying
relationship between the CMRA and its customer. By using PS Form 1583,
the customer directs the Postal Service to deliver its mail to the
CMRA, which is in the business of, and charges for, the receipt of such
mail and holding it for pick up or re-mailing to the customer with
payment of new postage. There is no provision to rescind this direction
or for the CMRA to abandon its obligation to handle the individual's
mail and to impose that responsibility on the Postal Service.
    The Postal Service did, nevertheless, propose a limit on the
obligation of CMRAs to re-mail mailpieces addressed to former customers
and a limited authority to refuse mail. The Postal Service proposed to
limit the period to 12 months for CMRAs to re-mail to former customers,
after which the CMRAs could return only First-Class Mail to the Postal
Service, with a specified endorsement. The proposed rule also clarified
the conditions under which the CMRA can refuse mail and return it to
the Postal Service with a specified endorsement.
    In consideration of a comment, the Postal Service has determined to
reduce the required period to re-mail to former customers to at least 6
months. This reasonably balances the interests and obligations of the
senders of the mail, the CMRAs, former CMRA customers, and the Postal
Service.
    For the reasons discussed above, the Postal Service hereby adopts
the following amendments to the Domestic Mail Manual (DMM) which are
incorporated by reference in the Code of Federal Regulations (see 39
CFR 111.1).

List of Subjects in 39 CFR Part 111

    Postal Service.

PART 111--[AMENDED]

    1. The authority citation for 39 CFR part 111 continues to read as
follows:

    Authority: 5 U.S.C. 552(a); 39 U.S.C. 101, 401, 403, 404, 3001-
3011, 3201-3219, 3403-3406, 3621, 5001.

    The Domestic Mail Manual is amended by revising modules A, D, and F
as follows:

A  Addressing

A000  Basic Addressing

A010  General Addressing Standards

1.0  ADDRESS CONTENT AND PLACEMENT
* * * * *

1.2  Address Elements

[Revise A010.1.2b as follows:]
* * * * *
    b. Street and number. (Include the apartment number, or use the
post office box number, or private mailbox (PMB) number, or general
delivery, or rural route or highway contract route designation and box
number, as applicable.)
* * * * *
3.0  COMPLETE ADDRESS
* * * * *
3.2  Elements
[Revise A010.3.2d as follows:]
* * * * *
    d. Secondary address unit designator and number (such as an
apartment, suite, or private mailbox number (APT 202, STE 100, PMB
300)).
* * * * *
5.0  RESTRICTIONS
* * * * *
[Add new 5.3 as follows:]

5.3 Mail Addressed to CMRAs

    Mail sent to an addressee at a commercial mail receiving agency
(CMRA) must be addressed to their private mailbox (PMB) number at the
CMRA mailing address.
* * * * *
D  Deposit, Collection, and Delivery
* * * * *
D042  Conditions of Delivery
* * * * *
2.0  DELIVERY TO ADDRESSEE'S AGENT
* * * * *

2.5  CMRA

[Revise D042.2.5 as follows:]
    The procedures for the establishment of a commercial mail receiving
agency:
     a. An addressee may request mail delivery to a commercial mail
receiving agency (CMRA). The CMRA accepts delivery of the mail and
holds it for pickup or re-mails it to the addressee, prepaid with new
postage.
    b. Each CMRA must register with the post office responsible for
delivery to the CMRA. Any person who establishes, owns, or manages a
CMRA must provide a Form 1583-A, Application to Act as Commercial Mail
Receiving Agency, to the postmaster (or designee) responsible for the
delivery address. The CMRA owner or manager must complete all entries
and sign the Form 1583-A. The CMRA owner or manager must furnish two
items of valid identification; one item must contain a photograph of
the CMRA owner or manager. The following are examples of acceptable
identification:
    (1) Valid driver's license.
    (2) Armed forces, government, or recognized corporate
identification card.
    (3) Passport or alien registration card.
    (4) Other credential showing the applicant's signature and a serial
number or similar information that is traceable to the bearer.
    The postmaster (or designee) may retain a photocopy of the
identification for verification purposes. Furnishing false information
on the application or refusing to give required information will be
reason for denying the application. When any information required on
Form 1583-A changes or becomes obsolete, the CMRA owner or manager must
file a revised application with the postmaster.
    c. The postmaster (or designee) must verify the documentation to
confirm that the CMRA owner or manager resides at the permanent home
address shown on Form 1583-A; witness the signature of the CMRA owner
or manager; and sign Form 1583-A. The postmaster must provide the CMRA
with a copy of the DMM regulations relevant to the operation of a CMRA.
The CMRA owner or manager must sign the Form 1583-A acknowledging
receipt of the regulations. The postmaster must file the original of
the completed Form 1583-A at the post office and provide the CMRA with
a duplicate copy.
    d. The approval of Form 1583-A does not authorize the CMRA to
accept accountable mail (for example: Registered, Insured, or COD) from
their customers for mailing. The only acceptable mailing point for this
type of Accountable mail is the post office.

2.6  Delivery to CMRA

[Revise D042.2.6 as follows:]
    Procedures for delivery to a CMRA:

[[Page 14390]]

    a. Mail delivery to a CMRA requires that the CMRA owners or manager
and each addressee complete and sign PS Form 1583, Application for
Delivery of Mail Through Agent. Spouses may complete and sign one Form
1583. The requirement to furnish two items of valid identification will
apply to each spouse. If any information that is required on Form 1583
is different for either spouse, include it in the appropriate box. A
parent or guardian may receive delivery of a minor's mail by listing
the name(s) and age(s) (block 13) of the minor(s) on Form 1583. The
CMRA owner or manager, authorized employee, or a notary public must
witness the signature of the addressee. The addressee must complete all
entries on Form 1583. The CMRA owner or manager must verify the
documentation to confirm that the addressee resides or conducts
business at the permanent address shown on Form 1583. The address is
verified if there is no discrepancy between information on the
application and the identification presented. If the information on the
application does not match the identification, the applicant must
substantiate to the CMRA that the applicant resides or conducts
business at the address shown. If the applicant is unable to
substantiate the address, the CMRA must deny the application.
Furnishing false information on the application or refusing to give
required information will be reason for withholding the addressee's
mail from delivery to the agency and returning it to the sender. When
any information required on Form 1583 changes or becomes obsolete, the
addressee must file a revised application with the CMRA. The addressee
must furnish two items of valid identification; one item must contain a
photograph of the addressee. The following are examples of acceptable
identification:
    (1) Valid driver's license.
    (2) Armed forces, government, or recognized corporate
identification card.
    (3) Passport or alien registration card.
    (4) Other credential showing the applicant's signature and a serial
number or similar information that is traceable to the bearer.
    The CMRA owner or manager may retain a photocopy of the
identification for verification purposes. The CMRA owner or manager
must list the two types of identification (block 9) and write the
complete CMRA delivery address used to deliver mail to the addressee
(block 3) on Form 1583.
    b. The addressee must disclose on Form 1583 when the private
mailbox is being used for the purpose of doing or soliciting business
to the public. The information required to complete this form may be
available to the public if ``yes'' in block 5 on Form 1583 is checked.
    c. The CMRA must provide the original of completed Forms 1583 to
the postmaster. This includes revised Forms 1583 (write revised on
form) submitted by an addressee based on information changes in the
original Form 1583. The CMRA must maintain duplicate copies of
completed Forms 1583 on file at the CMRA business location. The Forms
1583 must be available at all times for examination by postal
representatives and postal inspectors. The postmaster must file the
original Forms 1583 alphabetically by the addressee's last name for
each CMRA at the station, branch, or post office. The postmaster files
the original Forms 1583 without verifying the address of residence or
firm shown on Forms 1583. Verification is required only when the
postmaster receives a request by the Postal Inspector-In-Charge, or
when there is reason to believe that the addressee's mail may be, or is
being, used for unlawful purposes.
    d. When the agency relationship between the CMRA and the addressee
terminates, the CMRA must write the date of termination on its
duplicate copy of PS Form 1583. The CMRA must notify the post office of
termination dates through the quarterly updates (due January 15, April
15, July 15, and October 15) of the alphabetical list of customers
cross-referenced to the CMRA addressee delivery designations. The
alphabetical list must contain all new customers, current customers,
and those customers who terminated within the past 6 months, including
the date of termination. The CMRA must retain the endorsed duplicate
copies of Forms 1583 for at least 6 months after the termination date.
Forms 1583 filed at the CMRA business location must be available at all
times for examination by postal representatives and postal inspectors.
    e. A CMRA must represent its delivery address designations for the
intended addressees as a private mailbox (PMB). The CMRA delivery
address must specify the location to which the mailpiece is delivered.
Mailpieces must bear a delivery address that contains at least the
following elements, in this order:
    (1) Intended addressee's name or other identification. Examples:
Joe Doe or ABC CO.
    (2) PMB and number. Example: PMB 234.
    (3) Street number and name or post office box number or rural route
designation and number. Examples: 10 Main St or PO BOX 34 or RR 1 BOX
12.
    (4) City, state, and ZIP Code (5-digit or ZIP+4). Example: Herndon
VA 22071-2716.
    The CMRA must write the complete CMRA delivery address used to
deliver mail to each individual addressee or firm on the Form 1583
(block 3). The Postal Service will return mail without a proper address
to the sender endorsed ``Undeliverable as Addressed.''
    f. A CMRA or the addressee must not modify or alter Form 1583 or
Form 1583-A. Modified or altered forms are invalid and the addressee's
mail must be returned to sender in accordance with Postal Service
regulations.
    g. The CMRA must be in full compliance with DMM D042.2.5 through
D042.2.7 and other applicable postal requirements to receive delivery
of mail from the post office.
    h. The postmaster may, with the next higher level approval and
notification to the Postal Inspector-In-Charge, suspend delivery to a
CMRA that, after proper notification, fails to comply with D042.2.5
through D042.2.7 or other applicable postal requirements. The proper
notification must be in writing outlining the specific violation(s)
with a reasonable time to comply.
    i. With the approval of suspension of delivery, the postmaster must
provide the CMRA with written notification of the effective date and
the reason(s). If the CMRA fails to comply by the effective date,
return mail to the sender endorsed ``Delivery Suspended to Commercial
Mail Receiving Agency.''

2.7  Addressee and CMRA Agreement

[Reviser D042.2.7 as follows:]
    In delivery of the mail to the CMRA, the addressee and the CMRA
agree that:
    a. When the agency relationship between the CMRA and the addressee
terminates, neither the addressee nor the CMRA will file a change-of-
address order with the post office.
    b. The CMRA must re-mail mail intended for the addressee for at
least 6 months after the termination date of the agency relationship
between the CMRA and addressee. When re-mailed by the CMRA, mail
requires payment of new postage. At the end of the 6-month period, the
CMRA may return only First-Class Mail received for the former addressee
(customer) to the post office. The CMRA must return this mail to the
post office the next business day after receipt with this proper
endorsement: ``Undeliverable, Commercial Mail Receiving Agency, No
Authorization to Receive Mail for This Addressee.'' Return this mail
without payment of new postage to the post office. The

[[Page 14391]]

CMRA must not deposit return mail in a collection box. The CMRA must
give the return mail to the letter carrier or return it to the post
office responsible for delivery to the CMRA. Upon request, the agent
must provide to the Postal Service all addresses to which the agency
re-mails mail.
    c. The CMRA must provide to the postmaster a quarterly list (due
January 15, April 15, July 15, and October 15) of its customers in
alphabetical order cross-referenced to the CMRA addressee delivery
designations. The alphabetical list must contain all new customers,
current customers, and those customers who terminated within the past 6
months, including the date of termination.
    d. A CMRA may not refuse delivery of mail if the mail is for an
addressee that is a customer or former customer (within the past 6
months). The agreement between the addressee and the CMRA obligates the
CMRA to receive all mail, except restricted delivery, for the
addressee. The addressee may authorize the CMRA in writing on Form 1583
(block 6) to receive restricted delivery mail for the addressee.
    e. If the CMRA has no Form 1583 on file for the intended addressee,
the CMRA must return that mail to the post office responsible for
delivery. The CMRA must return this mail to the post office the next
business day after receipt with this proper endorsement:
``Undeliverable, Commercial Mail Receiving Agency, No Authorization to
Receive Mail for This Addressee.'' Return this mail without payment of
new postage to the post office. The CMRA must return misdelivered mail
the next business day after receipt.
    f. The CMRA must not deposit return mail in a collection box. The
CMRA must give the return mail to the letter carrier or return it to
the post office responsible for delivery to the CMRA.
* * * * *
F000  BASIC SERVICES
* * * * *
[Revise Exhibit F010.4.1 to add an endorsement.]
* * * * *
Delivery Suspended to Commercial Mail Receiving Agency
Failure to Comply with D042.2.5-D042.2.7
* * * * *
F020  FORWARDING
* * * * *
2.0  FORWARDABLE MAIL
* * * * *
[Add new F020.2.7 as follows:]

2.7  Mail CMRA Customers

    Mail addressed to an addressee at CMRA is not forwarded through the
USPS. The CMRA customer may make special arrangements for the CMRA
operator to re-mail the mail with payment of new postage. A CMRA must
accept and re-mail mail to former customers for at least 6 months after
termination of the agency relationship. After the 6-month period, the
CMRA may refuse mail addressed to a former customer.
* * * * *
    A transmittal letter making these changes in the pages of the
Domestic Mail Manual will be published and transmitted to subscribers
automatically. Notice of issuance of the transmittal letter will be
published in the Federal Register as provided by 39 CFR 111.3.
Neva R. Watson,
Attorney, Legislative.
[FR Doc. 99-7352 Filed 3-24-99; 8:45 am]
BILLING CODE 7710-12-P