16588 Federal Register / Vol. 76, No. 57 / Thursday, March 24, 2011 / Proposed Rules 

7 76 FR at 3706. 

8 Id. 

would require a DCO to collect initial 

margin on a gross basis for each clearing 

member’s customer account equal to the 

sum of the initial margin amounts that 

would be required by the DCO for each 

individual customer within that account 

if each individual customer were a 

clearing member. A DCO would not be 

permitted to net positions of different 

customers against one another, but it 

could collect initial margin for its 

clearing members’ house accounts on a 

net basis.7

Related to this customer gross margin 

requirement, the preamble further 

explained as follows, that proposed 

§ 39.19(c)(1)(iv) would require DCOs to 

report end-of-day positions for each 

clearing member, by customer origin 

and house origin, and for customer 

origin, separately, the gross positions of 

each beneficial owner: 

The Commission recently proposed a new 

§ 39.19(c)(1)(iv) under which a DCO would 

be required, on a daily basis, to report the 

end-of-day positions for each clearing 

member, by origin. [footnote reference to 75 

FR at 78195] In connection with the 

proposed § 39.13(g)(8)(i) requirement for 

DCOs to collect initial margin for customer 

accounts on a gross basis, the Commission is 

proposing to amend proposed 

§ 39.19(c)(1)(iv) to additionally require a 

DCO, for the customer origin, to report the 

gross positions of each beneficial owner.8

It has come to the attention of the 

Commission that there was an omission 

in the Federal Register publication of 

the proposed rule text setting forth the 

requirement for end-of-day reporting of 

customer positions by the gross 

positions of each beneficial owner. The 

text of proposed § 39.19(c)(1)(iv), which 

read ‘‘End-of-day positions for each 

clearing member, by customer origin 

and house origin’’ should have read, 

‘‘End-of-day positions for each clearing 

member, by customer origin and house 

origin; and for customer origin, 

separately, the gross positions of each 

beneficial owner.’’ 

In order to provide an adequate 

opportunity for comment on this 

reporting requirement, the Commission 

has determined to extend the comment 

period for proposed § 39.19(c)(1)(iv), as 

corrected elsewhere in this issue of the 

Federal Register, until April 25, 2011. 

Issued in Washington, DC, on March 17, 

2011, by the Commission. 

David A. Stawick, 

Secretary of the Commission. 

[FR Doc. 2011–6972 Filed 3–23–11; 8:45 am] 

BILLING CODE 6351–01–P 

COMMODITY FUTURES TRADING 

COMMISSION 

17 CFR Part 39 

RIN 3038–AC98 

Risk Management Requirements for 

Derivatives Clearing Organizations; 

Correction 

AGENCY: Commodity Futures Trading 

Commission. 

ACTION: Notice of proposed rulemaking; 

correction. 

SUMMARY: This document corrects 

incorrect text published in the Federal 

Register of January 20, 2011, regarding 

Risk Management Requirements for 

Derivatives Clearing Organizations. 

FOR FURTHER INFORMATION CONTACT: 

Phyllis Dietz, 202–418–5449. 

Correction 

In proposed rule document 2011–690, 

in the issue of Thursday, January 20, 

2011, on page 3726, in the first column, 

the text of proposed § 39.19(c)(1)(iv), 

which reads ‘‘End-of-day positions for 

each clearing member, by customer 

origin and house origin’’ should read, 

‘‘End-of-day positions for each clearing 

member, by customer origin and house 

origin; and for customer origin, 

separately, the gross positions of each 

beneficial owner.’’ 

Dated: March 18, 2011. 

David A. Stawick, 

Secretary of the Commission. 

[FR Doc. 2011–6976 Filed 3–23–11; 8:45 am] 

BILLING CODE P 

DEPARTMENT OF STATE 

22 CFR Parts 120, 122, 123 and 129 

[Public Notice: 7386] 

RIN 1400–AC74 

Amendment to the International Traffic 

in Arms Regulations: Electronic 

Payment of Registration Fees; 60-Day 

Notice of the Proposed Statement of 

Registration Information Collection; 

Correction 

AGENCY: Department of State. 

ACTION: Proposed rule; correction. 

SUMMARY: The Department of State 

published a proposed rule in the 

Federal Register on February 24, 2011, 

concerning a proposed ‘‘DS–2032 

Statement of Registration’’ Information 

Collection. The proposed rule contained 

incorrect addresses for the submission 

of public comments concerning the 

information collection. 

FOR FURTHER INFORMATION CONTACT: 

Tanya Phillips, 202–632–2879 

Correction 

In the proposed rule FR Doc. 2011– 

3878 of February 24, 2011, page 10293, 

in the second column, correct lines 47 

through 71 to read as follows: 

‘‘Comments from the public on the 

information collection may be submitted 

until May 23, 2011. 

Comments should be sent by any of the 

following methods: 

• E-mail: DDTCResponseTeam@state.gov 

with the subject line, ‘‘Electronic Payment of 

Registration Fees.’’ 

• Mail: PM/DDTC, SA–1, H1200, 

Directorate of Defense Trade Controls, Office 

of Defense Trade Controls Compliance, 

ATTN: Electronic Payment of Registration 

Fees, Bureau of Political Military Affairs, 

U.S. Department of State, Washington, DC 

20522–0112. 

• Internet: View and comment on the 

original notice by searching for its RIN 

(1400–AC74) on the U.S. Government 

regulations Web site at http:// 

www.regulations.gov.’’ 

Dated: March 17, 2011. 

Robert S. Kovac, 

Managing Director of Defense Trade Controls, 

Bureau of Political-Military Affairs, U.S. 

Department of State. 

[FR Doc. 2011–6977 Filed 3–23–11; 8:45 am] 

BILLING CODE 4710–25–P 

POSTAL SERVICE 

39 CFR Parts 111 and 121 

Combined Mailings of Standard Mail 

and Periodicals Flats 

AGENCY: Postal ServiceTM. 

ACTION: Proposed rule. 

SUMMARY: The Postal Service is 

proposing to revise Mailing Standards 

of the United States Postal Service, 

Domestic Mail Manual (DMM®) 705.14 

and 708.1.1 to provide a new option for 

mailers to combine Standard Mail® flats 

and Periodicals flats within the same 

bundle, when placed on pallets, and to 

combine bundles of Standard Mail flats 

and bundles of Periodicals flats on the 

same pallet. The Postal Service also 

proposes to revise section 121.2 of title 

39, Code of Federal Regulations to 

reflect that the Standard Mail service 

standards apply to all Periodicals flats 

pieces entered in such combined 

mailings. 

DATES: We must receive your comments 

on or before April 25, 2011. 

ADDRESSES: Mail or deliver written 

comments to the Manager, Mailing 

Standards, U.S. Postal Service, 475 

L’Enfant Plaza, SW., Room 4446, 


jdjones on DSK8KYBLC1PROD with PROPOSALS-1
Federal Register / Vol. 76, No. 57 / Thursday, March 24, 2011 / Proposed Rules 16589 

Washington, DC 20260–4446. You may 

inspect and photocopy all written 

comments at USPS® Headquarters 

Library, 475 L’Enfant Plaza, SW., 11th 

Floor N, Washington, DC between 9 a.m. 

and 4 p.m., Monday through Friday. 

E-mail comments, containing the name 

and address of the commenter, may be 

sent to: MailingStandards@usps.gov, 

with a subject line of ‘‘Standard Mail 

and Periodicals Combined Mailings.’’ 

Faxed comments are not accepted. 

FOR FURTHER INFORMATION CONTACT: 

Jonathan Leon at 202–268–7443, or 

Kevin Gunther at 202–268–7208. 

SUPPLEMENTARY INFORMATION: The Postal 

Service is proposing to provide a new 

option for mailers to combine Standard 

Mail flats and Periodicals flats, when 

bundled and placed on pallets. Mailers 

using this option may combine 

different-class mailpieces within the 

same bundle (comail), or combine 

separate same-class bundles (of different 

classes) on the same pallet (copalletize) 

to maximize presorting or to qualify for 

deeper destination entry discounts. All 

mailpieces prepared under this option 

will be required to be bundled and 

placed on pallets. Combining mailings 

enhances operational efficiencies within 

postal processing by allowing mailers to 

place mailpieces in bundles on pallets 

that might have been placed in sacks if 

prepared separately. 

The Postal Service originally provided 

notice of this new option on February 

28, 2011, through a final rule, Federal 

Register notice (10757–10761). In 

consideration of concerns expressed by 

members of the mailing community, the 

Postal Service has elected to publish 

this proposed rule in lieu of the 

February 28, 2011 final rule. Interested 

individuals are encouraged to provide 

comments as provided above. 

This new option will not change 

current DMM content and eligibility 

standards applicable to Periodicals and 

Standard Mail. Mailers using this option 

will continue to be required to meet the 

minimum volume standards for 

Standard Mail of 200 pieces or 50 

pounds. Periodicals publications must 

be authorized or have a pending 

authorization to mail at Periodicals 

prices. The current processes that 

identify and isolate Periodicals origin 

mixed area distribution center (OMX) 

mailpieces, for integration into the FirstClass Mail® mailstream, will not be 

available when combining Standard 

Mail flats and Periodicals flats on 

pallets. All mailpieces included in a 

combined mailing of Standard Mail and 

Periodicals flats on pallets must be 

machinable in accordance with DMM 

301.3.0. 

Mailers wishing to combine Standard 

Mail and Periodicals flats under this 

option will be required to submit a 

request for authorization, in writing, to 

the Manager, Business Mailer Support 

(see DMM 608.8.1 for contact 

information). 

All mailpieces included in a 

combined mailing of Periodicals flats 

and Standard Mail flats will be required 

to meet the standards for a full-service 

automation mailing. Intelligent Mail®

barcodes placed on mailpieces prepared 

under this program will be required to 

include Service Type Identifiers 

appropriate for the class of mail of the 

individual mailpiece. 

Participating mailers will be required 

to present standardized electronic 

mailing documentation for each 

combined mailing, and at the time of 

mailing, the following additional 

documentation: 

• An edition or version summary for 

all pieces in the mailing. 

• A consolidated postage statement 

register and postage statement for each 

Periodicals publication in the combined 

mailing. 

• A consolidated postage statement 

register and postage statement for each 

Standard Mail mailing in the combined 

mailing. Mailers may provide a single 

consolidated postage statement and 

postage statement register of all 

Standard Mail mailings if they are 

itemized. 

• A register of Forms 8125, Plant 

Verified Drop Shipment (PVDS) 

Verification and Clearance, (PS 8125C) 

that consolidates all of the mailings to 

the destinations where the mail is 

entered. 

When using this option, postage on all 

Standard Mail pieces must be paid 

through a permit imprint using a special 

postage payment system at the Post 

OfficeTM serving the mailer. 

Postage for Periodicals may be paid 

through an advance deposit account or 

through a Centralized Account Payment 

System (CAPS) account. Participating 

mailers will be required to apportion the 

Periodicals bundle charge based on the 

number of Periodicals copies in the 

bundles and container charge based on 

the weight of the Periodicals portion of 

the container. 

Mailers combining Standard Mail flats 

and Periodicals flats will not have the 

option to form ADC pallets or to 

dropship to ADCs. As a result, 

Periodicals publications included in 

combined mailings will not have access 

to DADC prices. Other specific prices 

for Periodicals flats in a combined 

mailing will be assessed as follows: 

• The bundle prices applicable to the 

ADC container level will be applied to 

the ASF/NDC container level. 

• The container prices applicable to 

the ADC pallet level will apply to the 

ASF/NDC pallet level. 

• The bundle price applicable to the 

ADC bundle placed on the ADC 

container level will apply to mixed ADC 

bundles placed on mixed NDC pallets. 

• The container price applicable to 

the ADC pallet level will also apply to 

the mixed NDC pallet level. 

Standard Mail flats and Periodicals 

flats combined on pallets will be 

processed as Standard Mail; and the 

Periodicals mailpieces included within 

these combined mailings may receive 

deferred handling. Periodicals 

mailpieces included within mailings of 

combined Standard Mail flats and 

Periodicals flats will be subject to the 

USPS service standards applicable to 

Standard Mail. These mailings must 

also be identified as Standard Mail 

when scheduling dropship 

appointments in the Facility Access and 

Shipment (FAST®) system. 

Mailers combining Standard Mail flats 

and Periodicals flats on pallets must 

populate field 10, ‘‘Product or 

Publication Title or Names,’’ of PS Form 

8125 and/or field 11b, ‘‘Product Name/ 

ID,’’ of PS Form 8125C with ‘‘MIX 

COMAIL’’ when preparing dropship 

documentation for these mailings. 

Any mixed NDC pallets prepared 

under this program will be required to 

be entered at the NDC servicing the 3- 

digit ZIP CodeTM of the entry Post Office 

for the mailer’s plant. Mailers 

combining Standard Mail flats and 

Periodicals flats on pallets may 

reallocate bundles under DMM 705.8.11 

and 705.8.13. 

Each Standard Mail and Periodicals 

mailpiece prepared under a combined 

mailing of Standard Mail flats and 

Periodicals flats will be required to be 

identified as containing mixed classes 

through the use of an optional 

endorsement line (OEL) in accordance 

with the proposed standards. 

Mailers preparing combined mailings 

of Standard Mail flats and Periodicals 

flats will be required to provide a 

written notification to each participating 

Periodicals publisher that describes the 

combined mailing process and the 

potential for pieces to receive deferred 

USPS handling. These notifications, 

signed and dated by the Periodicals 

publisher, will be required to be 

retained by the mailer and must be 

available for review by the USPS upon 

request. 

Although we are exempt from the 

notice and comment requirements of the 

Administrative Procedure Act [5 U.S.C. 


jdjones on DSK8KYBLC1PROD with PROPOSALS-1
16590 Federal Register / Vol. 76, No. 57 / Thursday, March 24, 2011 / Proposed Rules 

553(b), (c)] regarding proposed 

rulemaking by 39 U.S.C. 410(a), we 

invite public comment on the following 

proposed revisions to Mailing Standards 

of the United States Postal Service, 

Domestic Mail Manual (DMM), 

incorporated by reference in the Code of 

Federal Regulations. See 39 CFR 111.1. 

The Postal Service also proposes to 

amend 39 CFR 121.2 by adding a new 

item c to describe the USPS processing 

of Periodicals mailpieces included in 

combined mailings of Standard Mail 

flats and Periodicals flats, and 

specifying that Periodicals mailpieces 

included in these mailings will be 

assigned the service standards 

applicable to Standard Mail pieces. 

List of Subjects in 39 CFR Parts 111 and 

121 

Administrative practice and 

procedure, Postal Service. 

Accordingly, 39 CFR part 111 is 

proposed to be amended as follows: 

PART 111—[AMENDED] 

1. The authority citation for 39 CFR 

Part 111 continues to read as follows: 

Authority: 5 U.S.C. 552(a); 13 U.S.C. 301– 

307; 39 U.S.C. 101, 401, 403, 404, 407, 414, 

416, 3001–3011, 3201–3219, 3403–3406, 

3621, 3622, 3626, 3632, 3633 and 5001. 

2. Revise the following sections of 

Mailing Standards of the United States 

Postal Service, Domestic Mail Manual 

(DMM) as follows: 

Mailing Standards of the United States 

Postal Service, Domestic Mail Manual 

(DMM) 

* * * * * 

700 Special Services 

* * * * * 

705 Advanced Preparation and 

Special Postage Payment Systems 

* * * * * 

8.0 Preparing Pallets 

* * * * * 

8.5 General Preparation 

8.5.1 Presort 

[Revise the fifth sentence of 8.5.1 as 

follows:] 

* * * Except as described in 15.1i, 

bundles must not be placed on mixed 

ADC or mixed NDC pallets. * * * 

* * * * * 

[Renumber current 15.0 through 23.0 

as new 16.0 through 24.0 and add new 

15.0 as follows:] 

15.0 Combining Standard Mail Flats 

and Periodicals Flats 

15.1 Basic Standards 

Authorized mailers may combine 

Standard Mail flats and Periodicals flats 

in a single mailing as follows: 

a. Each mailpiece must meet the 

standards in 340 for Standard Mail and 

707 for Periodicals. Periodicals 

publications must be authorized or 

pending original or additional entry at 

the office of mailing. 

b. Mailers must prepare pieces in 

bundles on pallets. 

c. Except for residual volume placed 

on a mixed NDC pallet under 15.4.1j, all 

pallets meeting minimum volume 

requirements must be dropshipped to 

the appropriate DNDC or DSCF. 

d. Unless authorized by the local 

processing and distribution manager, 

any mixed NDC pallets prepared under 

this program must be entered at the 

NDC servicing the 3-digit ZIP Code of 

the entry Post Office for the mailer’s 

plant. 

e. All pieces included in a combined 

mailing of Standard Mail and 

Periodicals must meet the requirements 

for full-service automation, as described 

in 23.0. 

f. Mailers must pay all annual mailing 

fees at the office of mailing. 

g. Each mailing must include at least 

200 pieces or 50 pounds of Standard 

Mail. 

h. All mailpieces combined within 

bundles, in accordance with 14.0, must 

be similar in size so as to create stable 

bundles. Bundles placed on pallets 

under this provision must be prepared 

to create stable pallets. 

i. When residual pieces are included 

in a combined mailing of Standard Mail 

flats and Periodicals flats on pallets, 

these pieces must be placed on mixed 

NDC pallets and entered at the NDC 

serving the mailer’s plant. 

j. All mailpieces included in a 

combined mailing of Standard Mail flats 

and Periodicals flats on pallets must be 

machinable in accordance with 301.3.0. 

15.1.1 Service Objectives 

The Postal Service handles combined 

mailings of Standard Mail flats and 

Periodicals flats as Standard Mail. 

Periodicals flats included within 

mailings of combined Standard Mail 

flats and Periodicals flats are subject to 

the USPS service standards applicable 

to Standard Mail. 

15.1.2 Postage Payment 

Postage for all Standard Mail pieces 

must be paid with permit imprint using 

a special postage payment system in 2.0 

through 4.0 at the Post Office serving 

the mailer’s plant. Postage for 

Periodicals may be paid through an 

advance deposit account or through a 

Centralized Account Payment System 

(CAPS) account. 

15.1.3 Documentation 

Mailers must present standardized 

electronic documentation according to 

708.1.0. This documentation must 

accurately reflect the final piece count 

in the combined mailing. In addition, 

mailers must provide: 

a. An edition or version summary for 

all pieces in the mailing. The summary 

may be part of the USPS qualification 

report and must include version ID, 

product or edition code, class of mail, 

piece weight of each version, and 

number of pieces by version; and for 

Periodicals, USPS or permit number (or 

pending permit number), issue date, and 

advertising percentage. 

b. A consolidated postage statement 

register and postage statement for each 

Periodicals publication in the combined 

mailing. 

c. A consolidated postage statement 

register and postage statement for each 

Standard Mail mailing in the combined 

mailing. Mailers may provide a single 

consolidated postage statement and a 

consolidated postage statement register 

of all Standard Mail mailings if they are 

itemized. 

d. A register of Forms 8125 (or PS 

8125C) that consolidates all of the 

mailings into the destinations where the 

mail is dropshipped. 

e. Documentation to support zones 

and bundle totals, if requested. 

f. When requested, a copy of a 

notification document signed and dated 

by the Periodicals publisher, 

acknowledging their participation in a 

combined mailing of Standard Mail and 

Periodicals and the potential for their 

mailpieces to receive deferred USPS 

handling. 

g. Any additional documentation to 

support postage payment system 

records, if requested. 

15.1.4 Authorization 

A mailer must submit a written 

request to the manager, Business Mailer 

Support (see 608.8.1 for address) to 

combine mailings of Standard Mail flats 

and Periodicals flats. The request must 

show the mailer’s name and address, the 

mailing office, evidence of authorization 

to mail using a special postage payment 

system under 2.0 through 4.0, 

procedures for combining the mailing, 

the expected date of first mailing, 

quality control procedures, and a 

sample of all supporting mailing 

documentation, including postage 

statements and the USPS Qualification 


jdjones on DSK8KYBLC1PROD with PROPOSALS-1
Federal Register / Vol. 76, No. 57 / Thursday, March 24, 2011 / Proposed Rules 16591 

Report. Business Mailer Support will 

review the documentation and provide 

written authorization. A mailer may 

terminate an authorization at any time 

by written notice to the postmaster of 

the office serving the mailer’s location. 

Business Mailer Support may terminate 

an authorization by written notice if the 

mailer does not meet the standards. 

15.1.5 Price Eligibility 

Apply prices based on the standards 

in 340 for Standard Mail. Prices are 

based on the standards in 707 for 

Periodicals and as modified under the 

standards for this program. 

15.1.6 Piece Prices 

Apply piece prices based on the 

bundle level. Pieces contained within 

mixed class bundles may claim prices 

based on the presort level of the bundle. 

15.1.7 Applying the Periodicals 

Bundle Charge 

Apply bundle charges as follows: 

a. Calculate the percentage of 

Periodicals copies in a bundle. 

b. Convert the percentage to four 

decimal places, rounding off if 

necessary (for example, convert 

20.221% to 0.2022, or 20.226% to 

0.2023). Multiply by the applicable 

bundle charge. 

c. Allocate the resulting charge across 

the Periodicals titles and editions based 

on the number of copies of each in the 

bundle. 

15.1.8 Applying the Periodicals 

Container Charge 

Apply container charges to pallets as 

follows: 

a. Calculate the percentage of the 

weight of Periodicals copies on each 

pallet. 

b. Convert the percentage to four 

decimal places, rounding off if 

necessary (for example, convert 

20.221% to 0.2022, or 20.226% to 

0.2023). Multiply by the applicable 

container charge. 

c. Allocate the resulting charge across 

the Periodicals titles and editions based 

on the number of copies of each on the 

pallet. 

15.1.9 Other Periodicals Pricing 

Other prices for Periodicals flats in a 

combined mailing of Standard Mail and 

Periodicals flats on pallets will be 

assessed as follows: 

a. The bundle prices applicable to the 

ADC container level will be applied to 

the ASF/NDC container levels. 

b. The container prices applicable to 

the ADC pallet level will apply to the 

ASF/NDC pallet levels. 

15.1.10 Bundle Reallocation To 

Protect the SCF or NDC Pallet 

Mailers may reallocate bundles under 

8.11 or 8.13 to protect the SCF or NDC 

pallet. 

15.2 Combining Standard Mail Flats 

and Periodicals Flats in the Same 

Bundle 

15.2.1 Bundling and Labeling 

Standard Mail flats and Periodicals 

flats may be combined in carrier route, 

5-digit (scheme), 3-digit, ADC, and 

Mixed ADC bundles when prepared 

according to 707.19.0 and these 

additional standards: 

a. Each bundle containing combined 

Standard Mail flats and Periodicals flats 

must contain a minimum of 10 pieces. 

Bundles of only Standard Mail flats 

must contain a minimum of 10 pieces. 

Bundles of only Periodicals flats must 

contain a minimum of 6 pieces. 

b. Firm bundles must contain only 

Periodicals flats. 

15.2.2 Mailpiece and Bundle 

Identification 

Each Standard Mail and Periodicals 

mailpiece prepared under a combined 

mailing of Standard Mail flats and 

Periodicals flats must be identified as 

being part of a mixed class mailing 

through the use of an optional 

endorsement line (OEL) in accordance 

with the standards in 708.7.1.8. 

15.2.3 Pallet Presort and Labeling 

Mailers must prepare pallets 

according to the standards in 8.0 and in 

the sequence listed below. Merged 5- 

digit scheme through NDC pallets must 

contain at least 250 pounds of combined 

Standard Mail and Periodicals 

mailpieces, except as allowed under 

8.5.3. Pallets must be labeled according 

to the Line 1 and Line 2 information 

listed below and under 8.6. Pallet 

placards must be white and measure at 

least 8 inches by 11 inches, unless 

prepared under 708.6.6.6. Prepare 

pallets according to the preparation, 

sequence and labeling instructions in 

14.4.1. 

15.3 Combining Bundles of Standard 

Mail Flats and Periodicals Flats on the 

Same Pallet 

15.3.1 Bundling and Labeling 

Mailers must prepare bundles 

according to the standards for the class 

of mail and the prices claimed. 

15.3.2 Mailpiece and Bundle 

Identification 

Each Standard Mail and Periodicals 

mailpiece prepared under a combined 

mailing of Standard Mail flats and 

Periodicals flats must be identified as 

being part of a mixed class mailing 

through the use of an optional 

endorsement line (OEL) in accordance 

with standards in 708.7.1.8. 

15.3.3 Pallet Presort and Labeling 

Mailers must prepare pallets 

according to the standards in 8.0 and in 

the sequence listed below. Merged 5- 

digit scheme through NDC pallets must 

contain at least 250 pounds of combined 

Standard Mail and Periodicals, except 

as allowed under 8.5.3. When 

reallocating bundles under 8.11 or 8.12, 

mailers do not have to achieve the finest 

pallet presort level possible. Pallets 

must be labeled according to the Line 1 

and Line 2 information listed below and 

under 8.6. Pallet placards must be white 

and measure at least 8 inches by 11 

inches, unless prepared under 708.6.6.6. 

Prepare pallets according to the 

preparation, sequence and labeling 

instructions in 14.4.1. 

15.4 Pallet Preparation 

15.4.1 Pallet Preparation, Sequence 

and Labeling 

When combining Standard Mail and 

Periodicals flats within the same bundle 

or combining bundles of Standard Mail 

flats and bundles of Periodicals flats on 

pallets, bundles must be placed on 

pallets. Preparation, sequence and 

labeling: 

a. Merged 5-digit scheme, optional. 

Not permitted for bundles containing 

noncarrier route automation-compatible 

flats under 301.3.0. Required for all 

other bundles. Pallet must contain 

barcoded carrier route bundles and 

barcoded noncarrier route 5-digit 

bundles for the same 5-digit scheme 

under L001. For 5-digit destinations not 

part of L001, merged 5-digit pallet 

preparation begins with 8.10.2d. 

Labeling: 

1. Line 1: L001. 

2. Line 2: ‘‘STD/PER FLTS CR/5D;’’ 

followed by ‘‘SCHEME’’ (or ‘‘SCH’’); 

followed by ‘‘MIX COMAIL.’’ 

b. 5-digit scheme carrier routes, 

required. Pallet must contain only 

carrier route bundles for the same 5- 

digit scheme under L001. For 5-digit 

destinations not part of L001, 5-digit 

carrier routes pallet preparation begins 

with 2.2e. Labeling: 

1. Line 1: L001. 

2. Line 2: ‘‘STD/PER FLTS’’; followed 

by ‘‘CARRIER ROUTES’’ (or ‘‘CR–RTS’’); 

followed by ‘‘SCHEME’’ (or ‘‘SCH’’); 

followed by ‘‘MIX COMAIL.’’ 

c. 5-digit carrier routes, required. 

Pallet must contain only carrier route 

mail for the same 5-digit ZIP Code. 

Labeling: 


jdjones on DSK8KYBLC1PROD with PROPOSALS-1
16592 Federal Register / Vol. 76, No. 57 / Thursday, March 24, 2011 / Proposed Rules 

1. Line 1: city, State, and 5-digit ZIP 

Code destination (see 8.6.4c for overseas 

military mail). 

2. Line 2: ‘‘STD/PER FLTS’’; followed 

by ‘‘CR/5D’’; followed by ‘‘MIX 

COMAIL.’’ 

d. Merged 5-digit, optional. Not 

permitted for bundles containing 

noncarrier route automation-compatible 

flats under 301.3.0. Required for all 

other bundles. Pallet must contain 

barcoded carrier route bundles and 

barcoded noncarrier route 5-digit 

bundles for the same 5-digit ZIP Code. 

Labeling: 

1. Line 1: city, State, and 5-digit ZIP 

Code destination (see 8.6.4c for overseas 

military mail). 

2. Line 2: ‘‘STD/PER FLTS’’; followed 

by ‘‘CR/5D’’; followed by ‘‘MIX 

COMAIL.’’ 

e. 5-digit, required. Pallet must 

contain only mail for the same 5-digit 

ZIP Code or same 5-digit scheme under 

L007 (for automation flats only under 

301.3.0). 5-digit scheme bundles are 

assigned to 5-digit pallets according to 

the OEL ‘‘label to’’ 5-digit ZIP Code. 

Labeling: 

1. Line 1: city, State, and 5-digit ZIP 

Code destination (see 8.6.4c for overseas 

military mail). 

2. Line 2: ‘‘STD/PER FLTS 5D’’; 

followed by ‘‘BARCODED’’ (or ‘‘BC’’); 

followed by ‘‘MIX COMAIL.’’ 

f. 3-digit, optional, but not available 

for bundles for 3-digit ZIP Code prefixes 

marked ‘‘N’’ in L002. Pallet may contain 

mail for the same 3-digit ZIP Code or the 

same 3-digit scheme under L008 (for 

automation-compatible flats only under 

301.3.0). Three-digit scheme bundles are 

assigned to pallets according to the OEL 

‘‘label to’’ 3-digit ZIP Code in L008. 

Labeling: 

1. Line 1: L002, Column A. 

2. Line 2: ‘‘STD/PER FLTS 3D’’; 

followed by ‘‘BARCODED’’ (or ‘‘BC’’); 

followed by ‘‘MIX COMAIL.’’ 

g. SCF, required. Pallet may contain 

carrier route or automation mail for the 

3-digit ZIP Code groups in L005. 

Labeling: 

1. Line 1: L002, Column C. 

2. Line 2: ‘‘STD/PER FLTS SCF’’; 

followed by ‘‘BARCODED’’ (or ‘‘BC’’); 

followed by ‘‘MIX COMAIL.’’ 

h. ASF, required unless bundle 

reallocation used under 2.3. Pallet may 

contain carrier route or automation mail 

for the 3-digit ZIP Code groups in L602. 

ADC bundles are assigned to pallets 

according to the ‘‘label to’’ ZIP Code in 

L004 as appropriate. Labeling: 

1. Line 1: L602. 

2. Line 2: ‘‘STD/PER FLTS NDC’’; 

followed by ‘‘BARCODED’’ (or ‘‘BC’’); 

followed by ‘‘MIX COMAIL.’’ 

i. NDC, required. Pallet may contain 

carrier route or automation mail for the 

3-digit ZIP Code groups in L601. ADC 

bundles are assigned to pallets 

according to the ‘‘label to’’ ZIP Code in 

L004 as appropriate. Labeling: 

1. Line 1: L601. 

2. Line 2: ‘‘STD/PER FLTS NDC’’; 

followed by ‘‘BARCODED’’ (or ‘‘BC’’); 

followed by ‘‘MIX COMAIL.’’ 

j. Mixed NDC, required, no minimum. 

Pallet may contain carrier route or 

automation mail. Pallet includes MXD 

ADC bundles, prepared according to the 

‘‘label to’’ ZIP in L009, as appropriate. 

Unless authorized by the processing and 

distribution manager, pallet must be 

entered at the NDC serving the 3-digit 

ZIP Code of the entry Post Office. 

Labeling: 

1. Line 1: ‘‘MXD’’ followed by the 

information in L601, for the NDC 

serving the 3-digit ZIP Code prefix of 

the entry Post Office. 

2. Line 2: ‘‘STD/PER FLTS;’’ followed 

by ‘‘BARCODED’’ (or ‘‘BC’’); followed by 

‘‘WKG;’’ followed by ‘‘MIX COMAIL.’’ 

* * * * * 

708 Technical Specifications 

* * * * * 

7.0 Optional Endorsement Lines 

(OELs) 

7.1 OEL Use 

7.1.1 Basic Standards 

* * * * * 

Exhibit 7.1.1 OEL Formats 

lllllllllllllllllll

Sortation Level OEL Example 

lllllllllllllllllll

* * * * * 

[Revise Exhibit 7.1.1 to add a new last 

section to describe additional OEL 

human-readable text for use with 

combined mailings of Standard Mail 

and Periodicals flats as follows:] 

Additional required human-readable 

text for use with combined mailings of 

Standard Mail and Periodicals flats: 

5-Digit Scheme (and other sortation levels as appropriate) ................. * * * * * * * * SCH 5-DIGIT 12345 MIX COMAIL 

* * * * * 

[Add a new 7.1.8 to described new 

OEL requirements for mailers combining 

Standard Mail and Periodicals flats as 

follows:] 

7.1.8 Required OEL Use in Combined 

Mailings of Standard Mail and 

Periodicals Flats 

Mailers authorized to combine 

Standard Mail flats and Periodicals flats, 

under 705.15, must apply an OEL 

identifying the presort level of the 

bundle and other applicable information 

to each mailpiece as specified in 7.1 and 

the following additional standards: 

a. Each OEL must contain the format 

elements described in 7.2 and must 

include a ‘‘MIX COMAIL’’ humanreadable text, as its most right-justified 

element. 

b. Mailpieces may include LOT 

information, in accordance with 7.1.7, 

only when there is sufficient space for 

the human-readable text in item a and 

all other required information. 

* * * * * 

PART 121—[AMENDED] 

3. The authority citation for 39 CFR 

Part 121 continues to read as follows: 

Authority: 5 U.S.C. 552(a); 39 U.S.C. 101, 

401, 403, 404, 1001, 3691. 

4. Amend § 121.2 to include a new 

paragraph (c) to read as follows: 

§ 121.2 Periodicals 

* * * * * 

c. Combined Periodicals/Standard 

Mail mailing. The Postal Service 

handles combined mailings of 

Periodicals flats and Standard Mail flats 

as Standard Mail. Periodicals flats 

included within mailings of combined 

Standard Mail flats and Periodicals flats 

are subject to the service standards 

applicable to Standard Mail in section 

121.3. 

* * * * * 

We will publish an appropriate 

amendment to 39 CFR part 111 and 121 

to reflect these changes if our proposal 

is adopted. 

Stanley F. Mires, 

Chief Counsel, Legislative. 

[FR Doc. 2011–6912 Filed 3–23–11; 8:45 am] 

BILLING CODE 7710–12–P 


jdjones on DSK8KYBLC1PROD with PROPOSALS-1