[Federal Register Volume 75, Number 33 (Friday, February 19, 2010)]
[Proposed Rules]
[Page 7426]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-3225]


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POSTAL REGULATORY COMMISSION

39 CFR Part 3050

[Docket No. RM2010-8; Order No. 406]


Periodic Reporting

AGENCY: Postal Regulatory Commission.

ACTION: Advance notice of proposed rulemaking; availability of 
rulemaking petition.

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SUMMARY: The Commission is noticing a Postal Service petition proposing 
a change in transportation cost system sampling. The proposal involves 
distributing rail costs using inter-BMC highway distribution factors. 
This notice briefly describes the Postal Service's rationale for 
proposing this change and addresses procedural steps associated with 
the petition.

DATES: Comments are due: February 24, 2010.

ADDRESSES: Submit comments electronically via the Commission's Filing 
Online system at http://www.prc.gov. Commenters who cannot submit their 
views electronically should contact the person identified in FOR 
FURTHER INFORMATION CONTACT by telephone for advice on alternatives to 
electronic filing.

FOR FURTHER INFORMATION CONTACT: Stephen L. Sharfman, General Counsel, 
202-789-6820 or <a href="/cdn-cgi/l/email-protection#b2c1c6d7c2dad7dc9cc1dad3c0d4dfd3dcf2c2c0d19cd5ddc4"><span class="__cf_email__" data-cfemail="04777061746c616a2a776c65766269656a447476672a636b72">[email protected]</span></a>.

SUPPLEMENTARY INFORMATION:

Table of Contents

I. Background
II. Procedural Matters
III. Ordering Paragraphs

I. Background

    On February 9, 2010, the Postal Service filed a petition to 
initiate an informal rulemaking proceeding to consider a change in the 
analytical methods approved for use in periodic reporting.\1\ The 
Postal Service labels its proposal ``Proposal One'' because it intends 
that it relate to the FY 2010 rather than the FY 2009 compliance 
reporting cycle. Proposal One seeks authorization from the Commission 
to immediately eliminate the rail portion of the Transportation Cost 
System (TRACS) sampling, and proposes instead to distribute rail costs 
using the Inter-BC highway distribution factors.
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    \1\ Petition of the United States Postal Service Requesting 
Initiation of a Proceeding to Consider a Proposed Change in Analytic 
Principles (Proposal One), February 9, 2010 (Petition).
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    The Postal Service states that as part of a realignment of its 
transportation and distribution systems, it is shifting much of its 
transportation needs from rail to truck. Because rail costs are rapidly 
dwindling, it proposes to eliminate TRACS rail sampling, and to use the 
TRACS inter-BMC distribtion in place of the Rail distribution key in 
Cost Segment 14. Table 1 of the supporting material accompanying the 
Petition (Proposal One) shows that Freight Rail and Rail Plant Load 
costs are expected to decline by 75 percent from FY 2009 to FY 2010, 
when they will amount to less than $15 million. Id., Proposal One, at 
1. Table 2 shows that substituting the inter-BMC distribution key for 
the Rail distribution key in FY 2009 would have had a small impact on 
the share of Segment 14 costs borne by each market dominant product. 
Id. at 2. The Postal Service comments that the impact will be de 
minimis in FY 2010 when Rail costs will make up a much smaller share of 
Segment 14 costs. The Postal Service states its desire to make the 
change before Quarter 3 of FY 2010 makes more efficient use of its data 
collection resources. Id.

II. Procedural Matters

    The Commission sets February 24, 2010 as the due date for public 
comments. The Commission will determine the need for reply comments 
after reviewing the initial comments received.
    Kenneth Moeller is designated as the Public Representative to 
represent the interests of the general public in this proceeding.

III. Ordering Paragraphs

    It is ordered:
    1. The Petition of the United States Postal Service Requesting 
Initiation of a Proceeding to Consider a Proposed Change in Analytic 
Principles (Proposal One), filed February 9, 2010, is granted.
    2. The Commission establishes Docket No. RM2010-8 to consider the 
matters raised by the Postal Service's Petition.
    3. Interested persons may submit comments on Proposal One no later 
than February 24, 2010.
    4. Pursuant to 39 U.S.C. 505, Kenneth Moeller is appointed to serve 
as the Public Representative representing the interests of the general 
public.
    5. The Secretary shall arrange for publication of this notice in 
the Federal Register.

    By the Commission.
Shoshana M. Grove,
Secretary.
[FR Doc. 2010-3225 Filed 2-18-E8; 8:45 am]
BILLING CODE 7710-FW-S


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