50708 Federal Register / Vol. 74, No. 189 / Thursday, October 1, 2009 / Rules and Regulations 

1Request of the United States Postal Service to 

Add Parcel Select & Parcel Return Service Contract 

2 to Competitive Product List and Notice of 

Establishment of Rates and Class Not of General 

Applicability, August 21, 2009 (Request). 

Management and Budget, with an 

explanation of why using these 

standards would be inconsistent with 

applicable law or otherwise impractical. 

Voluntary consensus standards are 

technical standards (e.g., specifications 

of materials, performance, design, or 

operation; test methods; sampling 

procedures; and related management 

systems practices) that are developed or 

adopted by voluntary consensus 

standards bodies. 

This rule does not use technical 

standards. Therefore, we did not 

consider the use of voluntary consensus 

standards. 

Environment 

We have analyzed this rule under 

Department of Homeland Security 

Management Directive 023–1 and 

Commandant Instruction M16475.lD, 

which guide the Coast Guard in 

complying with the National 

Environmental Policy Act of 1969 

(NEPA) (42 U.S.C. 4321–4370f), and 

have concluded this action is one of a 

category of actions which do not 

individually or cumulatively have a 

significant effect on the human 

environment. This rule is categorically 

excluded, under figure 2–1, paragraph 

(34)(g), of the Instruction. This rule 

involves changing and disestablishing a 

security zone. An environmental 

analysis checklist and a categorical 

exclusion determination are available in 

the docket where indicated under 

ADDRESSES. 

List of Subjects in 33 CFR Part 165 

Harbors, Marine safety, Navigation 

(water), Reporting and recordkeeping 

requirements, Security measures, 

Waterways. 

■ For the reasons discussed in the 

preamble, the Coast Guard amends 33 

CFR part 165 as follows: 

PART 165—REGULATED NAVIGATION 

AREAS AND LIMITED ACCESS AREAS 

■ 1. The authority citation for part 165 

continues to read as follows: 

Authority: 33 U.S.C. 1226, 1231; 46 U.S.C. 

Chapter 701, 3306, 3703; 50 U.S.C. 191, 195; 

33 CFR 1.05–1, 6.04–1, 6.04–6, and 160.5; 

Pub. L. 107–295, 116 Stat. 2064; Department 

of Homeland Security Delegation No. 0170.1. 

■ 2. Revise § 165.1102 to read as 

follows: 

§ 165.1102 Security Zone; Naval Base 

Point Loma; San Diego Bay, San Diego, CA. 

(a) Location. The following area is a 

security zone: The water adjacent to the 

Naval Base Point Loma, San Diego, CA, 

enclosed by the following coordinates: 

32°42.48′ N, 117°14.22′ W (Point A); 

32°42.48′ N, 117°14.21′ W (Point B); 

32°42.17′ N, 117°14.05′ W (Point C); 

32°41.73′ N, 117°14.21′ W (Point D); 

32°41.53′ N, 117°14.23′ W (Point E); 

32°41.55′ N, 117°14.02′ W (Point F); 

32°41.17′ N, 117°13.95′ W (Point G); 

32°41.17′ N, 117°13.97′ W (Point H); 

thence running generally north along 

the shoreline to Point A. 

(b) Regulations. (1) The general 

regulations governing security zones 

found in 33 CFR 165.33 apply to the 

security zone described in paragraph (a) 

of this section. 

(2) Entry into, or remaining in, the 

area of this zone is prohibited unless 

authorized by the Captain of the Port 

San Diego; Commanding Officer, Naval 

Base Point Loma; or Commander, Navy 

Region Southwest. 

(3) Persons desiring to transit the area 

of the security zone may request 

permission from the Captain of the Port 

San Diego at telephone number (619) 

278–7033 or on VHF channel 16 (156.8 

MHz) or from either the Commanding 

Officer, Naval Base Point Loma or the 

Commander, Navy Region Southwest by 

calling the Navy Port Operation 

Dispatch at telephone number (619) 

556–1433 or on VHF–FM channels 16 or 

12. If permission is granted, all persons 

and vessels must comply with the 

instructions of the Captain of the Port 

San Diego or his or her designated 

representative. 

(c) Definitions. For purposes of this 

section: Captain of the Port San Diego, 

means the Commanding Officer of the 

Coast Guard Sector San Diego; 

Commander, Navy Region Southwest, 

means Navy Region Commander 

responsible for the Southwest Region; 

Commanding Officer, Naval Base Point 

Loma, means the Installation 

Commander of the naval base located on 

Point Loma, San Diego, California; 

Designated Representative, means any 

U.S. Coast Guard commissioned, 

warrant, or petty officer who has been 

designated by the Captain of the Port 

San Diego to assist in the enforcement 

of the security zone described in 

paragraph (a) of this section. 

(d) Enforcement. The U.S. Coast 

Guard may be assisted in the patrol and 

enforcement of the security zone 

described in paragraph (a) of this 

section by the U.S. Navy and local law 

enforcement agencies. 

■ 3. Remove § 165.1103. 

Dated: May 1, 2009. 

T.H. Farris, 

Captain, U.S. Coast Guard, Captain of the 

Port San Diego. 

[FR Doc. E9–23642 Filed 9–30–09; 8:45 am] 

BILLING CODE 4910–15–P 

POSTAL REGULATORY COMMISSION 

39 CFR Part 3020 

[Docket Nos. MC2009–40 and CP2009–61; 

Order No. 295] 

New Postal Product 

AGENCY: Postal Regulatory Commission. 

ACTION: Final rule. 

SUMMARY: The Commission is adding 

Parcel Select & Parcel Return Service 

Contract 2 to the Competitive Product 

List. This action is consistent with 

changes in a recent law governing postal 

operations. Republication of the lists of 

market dominant and competitive 

products is also consistent with new 

requirements in the law. 

DATES: Effective October 1, 2009 and is 

applicable beginning September 4, 2009. 

FOR FURTHER INFORMATION CONTACT: 

Stephen L. Sharfman, General Counsel, 

202–789–6820 or 

stephen.sharfman@prc.gov. 

SUPPLEMENTARY INFORMATION: 

Regulatory History, 74 FR 44881 

(August 31, 2009). 

I. Introduction 

II. Background 

III. Comments 

IV. Commission Analysis 

V. Ordering Paragraphs 

I. Introduction 

The Postal Service seeks to add a new 

product identified as Parcel Select & 

Parcel Return Service Contract 2 to the 

Competitive Product List. For the 

reasons discussed below, the 

Commission approves the Request. 

II. Background 

On August 21, 2009, the Postal 

Service filed a formal request pursuant 

to 39 U.S.C. 3642 and 39 CFR 3020.30, 

et seq., to add Parcel Select & Parcel 

Return Service Contract 2 to the 

Competitive Product List.1 The Postal 

Service asserts that the Parcel Select & 

Parcel Return Service Contract 2 

product is a competitive product ‘‘not of 

general applicability’’ within the 

meaning of 39 U.S.C. 3632(b)(3). Id. at 

1. The Request has been assigned 

Docket No. MC2009–40. 

The Postal Service 

contemporaneously filed a contract 

related to the proposed new product 

pursuant to 39 U.S.C. 3632(b)(3) and 39 

CFR 3015.5. Id. The contract has been 

assigned Docket No. CP2009–61. 

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Federal Register / Vol. 74, No. 189 / Thursday, October 1, 2009 / Rules and Regulations 50709 

2Attachment A to the Request. The analysis that 

accompanies the Governors’ Decision notes, among 

other things, that the contract will result in new and 

more profitable volume for the Postal Service. 

3Attachment B to the Request. 

4Attachment C to the Request. 

5Attachment D to the Request. 

6Attachment E to the Request. 

7Attachment F to the Request. 

8The Commission appreciates the Postal 

Service’s efforts to ensure its financial analysis is 

complete and thorough. The financial analysis filed 

in this docket should serve as a model for future 

requests. 

9PRC Order No. 288, Notice and Order 

Concerning Parcel Select & Parcel Return Service 

Contract 2 Negotiated Service Agreement, August 

25, 2009 (Order No. 288). 10Response of the United States Postal Service to 

Request for Supplemental Information in Order No. 

288, August 27, 2009. 11Public Representative Comments in Response 

to United States Postal Service Request to Add 

Parcel Select & Parcel Return Service Contract 2 to 

Competitive Product List and Notice of 

Establishment of Rates and Class Not of General 

Applicability, September 2, 2009 (Public 

Representative Comments). 

In support of its Request, the Postal 

Service filed the following materials: (1) 

A redacted version of the Governors’ 

Decision authorizing the new product 

which also includes an analysis of 

Parcel Select & Parcel Return Service 

Contract 2 and certification of the 

Governors’ vote; 2 (2) a redacted version 

of the contract which, among other 

things, provides (a) that the effective 

date of the contract is the day after the 

date on which the Commission issues 

all regulatory approvals, and (b) that the 

contract will expire on May 31, 2011, 

unless it is extended for an additional 

year; 3 (3) requested changes in the Mail 

Classification Schedule product list; 4

(4) a Statement of Supporting 

Justification as required by 39 CFR 

3020.32; 5 (5) a certification of 

compliance with 39 U.S.C. 3633(a); 6

and (7) an application for non-public 

treatment of materials.7

In the Statement of Supporting 

Justification, Daniel J. Barrett, Manager, 

Sales Strategy and Customer Support, 

Ground Shipping Services, asserts that 

the service to be provided under the 

contract will cover its attributable costs, 

make a positive contribution to coverage 

of institutional costs, and increase 

contribution toward the requisite 5.5 

percent of the Postal Service’s total 

institutional costs. Id., Attachment D. 

Thus, Mr. Barrett contends there will be 

no issue of subsidization of competitive 

products by market dominant products 

as a result of this contract. Id. W. Ashley 

Lyons, Manager, Regulatory Reporting 

and Cost Analysis, Finance Department, 

certifies that the contract complies with 

39 U.S.C. 3633(a). See id., Attachment 

E. 

The Postal Service filed much of the 

supporting materials, including the 

unredacted Governors’ Decision, the 

unredacted contract, and supporting 

financial analysis,8 under seal. In its 

application for non-public treatment of 

materials, the Postal Service maintains 

that the contract and related financial 

information, including the customer’s 

name and the accompanying analyses 

that provide prices, terms, conditions, 

and financial projections, should remain 

confidential. Id., Attachment F. 

In Order No. 288, the Commission 

gave notice of the two dockets, 

appointed a public representative, 

requested supplemental information, 

and provided the public with an 

opportunity to comment.9 On August 

27, 2009, the Postal Service filed a 

response to the Commission’s request 

for supplemental information.10

III. Comments 

Comments were filed by the Public 

Representative.11 No filings were 

submitted by other interested parties. 

The Public Representative states that the 

Postal Service’s filing and the Parcel 

Select & Parcel Return Service Contract 

2 agreement comply with applicable 

Commission rules of practice. Id. at 3. 

He also addresses the relationship 

between the data systems used to 

calculate costs in this case and the 

Postal Service’s proposal to change that 

established methodology as ‘‘proposal 

fourteen’’ in Commission Docket No. 

RM2009–10. Specifically, he notes that 

‘‘the Commission’s determination on the 

costing methodology might impact the 

data supplied for the instant contract.’’ 

Id. at 4. However, the Public 

Representative ‘‘concede[s] that pricing 

for this PS&PRS NSA appears to fully 

comply with the three-pronged 

requirements of 39 U.S.C. 3633(a), and 

with the other pricing, cost coverage, 

and contribution provisions of title 39.’’ 

Id. 

The Public Representative believes 

that the Postal Service has provided 

adequate justification for maintaining 

confidentiality in this case. Id. at 2. He 

also believes that because the contract is 

designed to help acquire new volume, 

the contract appears to benefit the 

general public. Id. at 5. 

IV. Commission Analysis 

The Commission has reviewed the 

Request, the contract, the financial 

analysis provided under seal, the 

supplemental information filed by the 

Postal Service, and the comments filed 

by the Public Representative. 

Statutory requirements. The 

Commission’s statutory responsibilities 

in this instance entail assigning Parcel 

Select & Parcel Return Service Contract 

2 to either the Market Dominant Product 

List or to the Competitive Product List. 

39 U.S.C. 3642. As part of this 

responsibility, the Commission also 

reviews the proposal for compliance 

with the Postal Accountability and 

Enhancement Act (PAEA) requirements. 

This includes, for proposed competitive 

products, a review of the provisions 

applicable to rates for competitive 

products. 39 U.S.C. 3633. 

Product list assignment. In 

determining whether to assign Parcel 

Select & Parcel Return Service Contract 

2 as a product to the Market Dominant 

Product List or the Competitive Product 

List, the Commission must consider 

whether 

[T]he Postal Service exercises sufficient 

market power that it can effectively set the 

price of such product substantially above 

costs, raise prices significantly, decrease 

quality, or decrease output, without risk of 

losing a significant level of business to other 

firms offering similar products. 

39 U.S.C. 3642(b)(1). If so, the product 

will be categorized as market dominant. 

The competitive category of products 

shall consist of all other products. 

The Commission is further required to 

consider the availability and nature of 

enterprises in the private sector engaged 

in the delivery of the product, the views 

of those who use the product, and the 

likely impact on small business 

concerns. 39 U.S.C. 3642(b)(3). 

The Postal Service asserts that its 

bargaining position is constrained by 

the existence of other shippers who can 

provide similar services, thus 

precluding it from taking unilateral 

action to increase prices without the 

risk of losing volume to private 

companies. Request, Attachment D, at 

para. (d). The Postal Service also 

contends that it may not decrease 

quality or output without risking the 

loss of business to competitors that offer 

similar ground shipping services. Id. It 

further states that the contract partner 

supports the addition of the contract to 

the Competitive Product List to 

effectuate the negotiated contractual 

terms. Id. at para. (g). Finally, the Postal 

Service states that the market for ground 

shipping services is highly competitive 

and requires a substantial infrastructure 

to support a national network. It 

indicates that large carriers serve this 

market. Accordingly, the Postal Service 

states that it is unaware of any small 

business concerns that could offer 

comparable service for this customer. Id. 

at para. (h). 

No commenter opposes the proposed 

classification of Parcel Select & Parcel 

Return Service Contract 2 as 

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50710 Federal Register / Vol. 74, No. 189 / Thursday, October 1, 2009 / Rules and Regulations 

competitive. Having considered the 

statutory requirements and the support 

offered by the Postal Service, the 

Commission finds that Parcel Select & 

Parcel Return Service Contract 2 is 

appropriately classified as a competitive 

product and should be added to the 

Competitive Product List. 

Cost considerations. The Postal 

Service presents a financial analysis 

showing that Parcel Select & Parcel 

Return Service Contract 2 ensures that 

the contract covers its attributable costs, 

does not result in subsidization of 

competitive products by market 

dominant products, and increases 

contribution from competitive products. 

Based on the data submitted, the 

Commission finds that Parcel Select & 

Parcel Return Service Contract 2 should 

cover its attributable costs (39 U.S.C. 

3633(a)(2)), should not lead to the 

subsidization of competitive products 

by market dominant products (39 U.S.C. 

3633(a)(1)), and should have a positive 

effect on competitive products’ 

contribution to institutional costs (39 

U.S.C. 3633(a)(3)). Thus, an initial 

review of proposed Parcel Select & 

Parcel Return Service Contract 2 

indicates that it comports with the 

provisions applicable to rates for 

competitive products. 

In his comments, the Public 

Representative raises the issue of the 

pending Parcel Select and Parcel Return 

Service methodological changes. See 

Docket No. RM2009–10, Proposal 

Fourteen. In the instant filing, the Postal 

Service correctly uses the current 

approved methodology concerning 

Parcel Select and Parcel Return Service 

Transportation and Mail Processing 

costs. Nevertheless, the Commission 

believes the changes presented in 

Proposal Fourteen, if approved, would 

not harm the potential profitability of 

this contract. 

Application for non-public treatment. 

The Postal Service believes that the 10- 

year period of non-public treatment, as 

specified in 39 U.S.C. 3007.30, is 

insufficient to protect customer 

identifying information. Notice, 

Attachment F, at 6. It asserts that such 

information should be protected 

permanently and requests that the 

Commission enter an order extending 

that duration indefinitely. 

The request is premature. Should the 

need for non-public treatment remain 

due to ongoing business relationships, 

the Postal Service may submit a motion 

to the Commission to extend the 

duration at the appropriate time. 

Other considerations. The Postal 

Service shall notify the Commission if 

the contract is extended for an 

additional year. If the agreement 

terminates earlier than anticipated, the 

Postal Service shall inform the 

Commission prior to the new 

termination date. The Commission will 

then remove the product from the 

Competitive Product List. 

In conclusion, the Commission 

approves Parcel Select & Parcel Return 

Service Contract 2 as a new product. 

The revision to the Competitive Product 

List is shown below the signature of this 

order and is effective upon issuance of 

this order. 

V. Ordering Paragraphs 

It is ordered: 

1. Parcel Select & Parcel Return 

Service Contract 2 (MC2009–40 and 

CP2009–61) is added to the Competitive 

Product List as a new product under 

Negotiated Service Agreements, 

Domestic. 

2. The Postal Service shall notify the 

Commission if the contract is extended 

for an additional year and update the 

Commission if termination occurs prior 

to that date, as discussed in this order. 

3. The Secretary shall arrange for the 

publication of this order in the Federal 

Register. 

List of Subjects in 39 CFR Part 3020 

Administrative practice and 

procedure; Postal Service. 

By the Commission. 

Judith M. Grady, 

Acting Secretary. 

■ For the reasons stated in the preamble, 

under the authority at 39 U.S.C. 503, the 

Postal Regulatory Commission amends 

39 CFR part 3020 as follows: 

PART 3020—PRODUCT LISTS 

■ 1. The authority citation for part 3020 

continues to read as follows: 

Authority: 39 U.S.C. 503; 3622; 3631; 3642; 

3682. 

■ 2. Revise Appendix A to Subpart A of 

Part 3020—Mail Classification Schedule 

to read as follows: 

Appendix A to Subpart A of Part 

3020—Mail Classification Schedule 

Part A—Market Dominant Products 

1000 Market Dominant Product List 

First-Class Mail 

Single-Piece Letters/Postcards 

Bulk Letters/Postcards 

Flats 

Parcels 

Outbound Single-Piece First-Class Mail 

International 

Inbound Single-Piece First-Class Mail 

International 

Standard Mail (Regular and Nonprofit) 

High Density and Saturation Letters 

High Density and Saturation Flats/Parcels 

Carrier Route 

Letters 

Flats 

Not Flat-Machinables (NFMs)/Parcels 

Periodicals 

Within County Periodicals 

Outside County Periodicals 

Package Services 

Single-Piece Parcel Post 

Inbound Surface Parcel Post (at UPU rates) 

Bound Printed Matter Flats 

Bound Printed Matter Parcels 

Media Mail/Library Mail 

Special Services 

Ancillary Services 

International Ancillary Services 

Address List Services 

Caller Service 

Change-of-Address Credit Card 

Authentication 

Confirm 

International Reply Coupon Service 

International Business Reply Mail Service 

Money Orders 

Post Office Box Service 

Negotiated Service Agreements 

HSBC North America Holdings Inc. 

Negotiated Service Agreement 

Bookspan Negotiated Service Agreement 

Bank of America Corporation Negotiated 

Service Agreement 

The Bradford Group Negotiated Service 

Agreement 

Inbound International 

Canada Post—United States Postal Service 

Contractual Bilateral Agreement for 

Inbound Market Dominant Services 

Market Dominant Product Descriptions 

First-Class Mail 

[Reserved for Class Description] 

Single-Piece Letters/Postcards 

[Reserved for Product Description] 

Bulk Letters/Postcards 

[Reserved for Product Description] 

Flats 

[Reserved for Product Description] 

Parcels 

[Reserved for Product Description] 

Outbound Single-Piece First-Class Mail 

International 

[Reserved for Product Description] 

Inbound Single-Piece First-Class Mail 

International 

[Reserved for Product Description] 

Standard Mail (Regular and Nonprofit) 

[Reserved for Class Description] 

High Density and Saturation Letters 

[Reserved for Product Description] 

High Density and Saturation Flats/Parcels 

[Reserved for Product Description] 

Carrier Route 

[Reserved for Product Description] 

Letters 

[Reserved for Product Description] 

Flats 

[Reserved for Product Description] 

Not Flat-Machinables (NFMs)/Parcels 

[Reserved for Product Description] 

Periodicals 

[Reserved for Class Description] 

Within County Periodicals 

[Reserved for Product Description] 

Outside County Periodicals 

[Reserved for Product Description] 

Package Services 

[Reserved for Class Description] 

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Federal Register / Vol. 74, No. 189 / Thursday, October 1, 2009 / Rules and Regulations 50711 

Single-Piece Parcel Post 

[Reserved for Product Description] 

Inbound Surface Parcel Post (at UPU rates) 

[Reserved for Product Description] 

Bound Printed Matter Flats 

[Reserved for Product Description] 

Bound Printed Matter Parcels 

[Reserved for Product Description] 

Media Mail/Library Mail 

[Reserved for Product Description] 

Special Services 

[Reserved for Class Description] 

Ancillary Services 

[Reserved for Product Description] 

Address Correction Service 

[Reserved for Product Description] 

Applications and Mailing Permits 

[Reserved for Product Description] 

Business Reply Mail 

[Reserved for Product Description] 

Bulk Parcel Return Service 

[Reserved for Product Description] 

Certified Mail 

[Reserved for Product Description] 

Certificate of Mailing 

[Reserved for Product Description] 

Collect on Delivery 

[Reserved for Product Description] 

Delivery Confirmation 

[Reserved for Product Description] 

Insurance 

[Reserved for Product Description] 

Merchandise Return Service 

[Reserved for Product Description] 

Parcel Airlift (PAL) 

[Reserved for Product Description] 

Registered Mail 

[Reserved for Product Description] 

Return Receipt 

[Reserved for Product Description] 

Return Receipt for Merchandise 

[Reserved for Product Description] 

Restricted Delivery 

[Reserved for Product Description] 

Shipper-Paid Forwarding 

[Reserved for Product Description] 

Signature Confirmation 

[Reserved for Product Description] 

Special Handling 

[Reserved for Product Description] 

Stamped Envelopes 

[Reserved for Product Description] 

Stamped Cards 

[Reserved for Product Description] 

Premium Stamped Stationery 

[Reserved for Product Description] 

Premium Stamped Cards 

[Reserved for Product Description] 

International Ancillary Services 

[Reserved for Product Description] 

International Certificate of Mailing 

[Reserved for Product Description] 

International Registered Mail 

[Reserved for Product Description] 

International Return Receipt 

[Reserved for Product Description] 

International Restricted Delivery 

[Reserved for Product Description] 

Address List Services 

[Reserved for Product Description] 

Caller Service 

[Reserved for Product Description] 

Change-of-Address Credit Card 

Authentication 

[Reserved for Product Description] 

Confirm 

[Reserved for Product Description] 

International Reply Coupon Service 

[Reserved for Product Description] 

International Business Reply Mail Service 

[Reserved for Product Description] 

Money Orders 

[Reserved for Product Description] 

Post Office Box Service 

[Reserved for Product Description] 

Negotiated Service Agreements 

[Reserved for Class Description] 

HSBC North America Holdings Inc. 

Negotiated Service Agreement 

[Reserved for Product Description] 

Bookspan Negotiated Service Agreement 

[Reserved for Product Description] 

Bank of America Corporation Negotiated 

Service Agreement 

The Bradford Group Negotiated Service 

Agreement 

Part B—Competitive Products 

2000 Competitive Product List 

Express Mail 

Express Mail 

Outbound International Expedited Services 

Inbound International Expedited Services 

Inbound International Expedited Services 1 

(CP2008–7) 

Inbound International Expedited Services 2 

(MC2009–10 and CP2009–12) 

Priority Mail 

Priority Mail 

Outbound Priority Mail International 

Inbound Air Parcel Post 

Royal Mail Group Inbound Air Parcel Post 

Agreement 

Parcel Select 

Parcel Return Service 

International 

International Priority Airlift (IPA) 

International Surface Airlift (ISAL) 

International Direct Sacks—M-Bags 

Global Customized Shipping Services 

Inbound Surface Parcel Post (at non-UPU 

rates) 

Canada Post—United States Postal service 

Contractual Bilateral Agreement for 

Inbound Competitive Services (MC2009– 

8 and CP2009–9) 

International Money Transfer Service 

International Ancillary Services 

Special Services 

Premium Forwarding Service 

Negotiated Service Agreements 

Domestic 

Express Mail Contract 1 (MC2008–5) 

Express Mail Contract 2 (MC2009–3 and 

CP2009–4) 

Express Mail Contract 3 (MC2009–15 and 

CP2009–21) 

Express Mail Contract 4 (MC2009–34 and 

CP2009–45) 

Express Mail & Priority Mail Contract 1 

(MC2009–6 and CP2009–7) 

Express Mail & Priority Mail Contract 2 

(MC2009–12 and CP2009–14) 

Express Mail & Priority Mail Contract 3 

(MC2009–13 and CP2009–17) 

Express Mail & Priority Mail Contract 4 

(MC2009–17 and CP2009–24) 

Express Mail & Priority Mail Contract 5 

(MC2009–18 and CP2009–25) 

Express Mail & Priority Mail Contract 6 

(MC2009–31 and CP2009–42) 

Express Mail & Priority Mail Contract 7 

(MC2009–32 and CP2009–43) 

Express Mail & Priority Mail Contract 8 

(MC2009–33 and CP2009–44) 

Parcel Select & Parcel Return Service 

Contract 2 (MC2009–40 and CP2009–61) 

Parcel Return Service Contract 1 (MC2009– 

1 and CP2009–2) 

Priority Mail Contract 1 (MC2008–8 and 

CP2008–26) 

Priority Mail Contract 2 (MC2009–2 and 

CP2009–3) 

Priority Mail Contract 3 (MC2009–4 and 

CP2009–5) 

Priority Mail Contract 4 (MC2009–5 and 

CP2009–6) 

Priority Mail Contract 5 (MC2009–21 and 

CP2009–26) 

Priority Mail Contract 6 (MC2009–25 and 

CP2009–30) 

Priority Mail Contract 7 (MC2009–25 and 

CP2009–31) 

Priority Mail Contract 8 (MC2009–25 and 

CP2009–32) 

Priority Mail Contract 9 (MC2009–25 and 

CP2009–33) 

Priority Mail Contract 10 (MC2009–25 and 

CP2009–34) 

Priority Mail Contract 11 (MC2009–27 and 

CP2009–37) 

Priority Mail Contract 12 (MC2009–28 and 

CP2009–38) 

Priority Mail Contract 13 (MC2009–29 and 

CP2009–39) 

Priority Mail Contract 14 (MC2009–30 and 

CP2009–40) 

Priority Mail Contract 15 (MC2009–35 and 

CP2009–54) 

Priority Mail Contract 16 (MC2009–36 and 

CP2009–55) 

Priority Mail Contract 17 (MC2009–37 and 

CP2009–56) 

Outbound International 

Direct Entry Parcels Contracts 

Direct Entry Parcels 1 (MC2009–26 and 

CP2009–36) 

Global Direct Contracts (MC2009–9, 

CP2009–10, and CP2009–11) 

Global Expedited Package Services (GEPS) 

Contracts 

GEPS 1 (CP2008–5, CP2008–11, CP2008– 

12, and CP2008–13, CP2008–18, 

CP2008–19, CP2008–20, CP2008–21, 

CP2008–22, CP2008–23, and CP2008–24) 

Global Expedited Package Services 2 

(CP2009–50) 

Global Plus Contracts 

Global Plus 1 (CP2008–8, CP2008–46 and 

CP2009–47) 

Global Plus 2 (MC2008–7, CP2008–48 and 

CP2008–49) 

Inbound International 

Inbound Direct Entry Contracts with 

Foreign Postal Administrations 

(MC2008–6, CP2008–14 and CP2008–15) 

International Business Reply Service 

Competitive Contract 1 (MC2009–14 and 

CP2009–20) 

Competitive Product Descriptions 

Express Mail 

[Reserved for Group Description] 

Express Mail 

[Reserved for Product Description] 

Outbound International Expedited Services 

[Reserved for Product Description] 

Inbound International Expedited Services 

[Reserved for Product Description] 

Priority 

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50712 Federal Register / Vol. 74, No. 189 / Thursday, October 1, 2009 / Rules and Regulations 

[Reserved for Product Description] 

Priority Mail 

[Reserved for Product Description] 

Outbound Priority Mail International 

[Reserved for Product Description] 

Inbound Air Parcel Post 

[Reserved for Product Description] 

Parcel Select 

[Reserved for Group Description] 

Parcel Return Service 

[Reserved for Group Description] 

International 

[Reserved for Group Description] 

International Priority Airlift (IPA) 

[Reserved for Product Description] 

International Surface Airlift (ISAL) 

[Reserved for Product Description] 

International Direct Sacks—M–Bags 

[Reserved for Product Description] 

Global Customized Shipping Services 

[Reserved for Product Description] 

International Money Transfer Service 

[Reserved for Product Description] 

Inbound Surface Parcel Post (at non-UPU 

rates) 

[Reserved for Product Description] 

International Ancillary Services 

[Reserved for Product Description] 

International Certificate of Mailing 

[Reserved for Product Description] 

International Registered Mail 

[Reserved for Product Description] 

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[FR Doc. E9–23687 Filed 9–30–09; 8:45 am] 

BILLING CODE 7710–FW–P 

DEPARTMENT OF HEALTH AND 

HUMAN SERVICES 

Centers for Medicare & Medicaid 

Services 

42 CFR Part 412 

[CMS–1538–CN] 

RIN 0938–AP56 

Medicare Program; Inpatient 

Rehabilitation Facility Prospective 

Payment System for Federal Fiscal 

Year 2010; Correction 

AGENCY: Centers for Medicare & 

Medicaid Services (CMS), HHS. 

ACTION: Correction of final rule. 

SUMMARY: This document corrects 

technical errors that appeared in the 

final rule published in the Federal 

Register on August 7, 2009 entitled 

‘‘Inpatient Rehabilitation Facility 

Prospective Payment System for Federal 

Fiscal Year 2010’’ (74 FR 39762). 

DATES: Effective Date. The correction to 

the average length of stay value for CMG 

0501, tier 2, in Table 1 on page 39768 

of the final rule (74 FR 39762) is 

effective October 1, 2009. The correction 

to the preamble text at the top of the 

middle column of page 39791 of the 

final rule (74 FR 39762) is effective 

January 1, 2010. 

FOR FURTHER INFORMATION CONTACT: 

Susanne Seagrave, (410) 786–0044. 

SUPPLEMENTARY INFORMATION: 

I. Background 

In FR Doc. E9–18616 of August 7, 

2009 (74 FR 39762), there are technical 

errors that we are identifying and 

correcting in the Correction of Errors 

section below. The corrections in this 

notice are effective as if they were 

included in the final rule published on 

August 7, 2009. Accordingly, the 

correction to the average length of stay 

value for CMG 0501, tier 2, in Table 1 

on page 39768 of the final rule (74 FR 

39762) is effective October 1, 2009. This 

change is applicable for IRF discharges 

occurring on or after October 1, 2009 

and on or before September 30, 2010 

(FY 2010). The correction to the 

preamble text at the top of the middle 

column of page 39791 of the final rule 

is effective January 1, 2010. 

II. Summary of Errors 

In the August 7, 2009 final rule (74 FR 

39762), the average length of stay value 

for CMG 0501, tier 2, in Table 1 on page 

39768 should have been listed as 10, but 

was inadvertently listed as 0. In the FY 

2010 IRF PPS proposed rule (74 FR 

21052 at 21057), we proposed the 

average length of stay value for CMG 

0501, tier 2, as 10. The proposal was 

based on FY 2007 IRF claims data, 

which was the most recent available 

data we had at the time. The updated 

FY 2008 data that we used for the final 

rule contained no IRF cases for CMG 

0501, tier 2. When there are not enough 

cases in a particular CMG and tier 

(referred to herein as a ‘‘payment 

group’’) to calculate an average length of 

stay, we combine the cases in that 

payment group with the next highestpaying payment group to calculate an 

average length of stay value. 

Accordingly, for the final rule, we used 

the average length of stay value of 10 

from CMG 0501, tier 1 for CMG 0501, 

tier 2, but in Table 1 we inadvertently 

indicated a value of 0 instead of 10. 

Thus, we are correcting Table 1 to show 

the average length of stay value for CMG 

0501, tier 2, is 10. 

In addition, we are correcting certain 

language in the preamble that could be 

misread, resulting in confusion with the 

regulatory requirements that must be 

met with respect to the preadmission 

screening required under 

§ 412.622(a)(4)(A). Section 

412.622(a)(4)(A) requires that the 

comprehensive preadmission screening 

be conducted by a licensed or certified 

clinician(s) designated by the 

rehabilitation physician described in 

§ 412.622(a)(3(iv) within 48 hours 

immediately preceding the IRF 

admission. Our policy is that the IRF 

personnel conducting the screening 

must be a clinician or group of 

clinicians who are appropriately trained 

and qualified to assess the patient’s 

medical and functional status, assess the 

risk for clinical and rehabilitation 

complications, and assess other aspects 

of the patient’s condition both 

medically and functionally. As we 

stated in the final rule, we do not 

believe that non-clinical personnel can 

adequately perform these assessments. 

In the final rule (74 FR 39791), we 

stated that, ‘‘* * * we believe that the 

IRF personnel involved in collecting the 

information for the preadmission 

screening must be appropriately trained 

and qualified to assess the patient’s 

medical and functional status, assess the 

risk for clinical and rehabilitation 

complications, and assess other aspects 

of the patient’s condition both 

medically and functionally’’ (emphasis 

added). As the discussion in which this 

sentence was embedded only pertained 

to clinical staff assessments under 

§ 412.622(a)(4)(A), we should have 

utilized terminology that referenced 

‘‘clinical staff’’ and ‘‘assessment,’’ not 

‘‘IRF personnel’’ and ‘‘collecting.’’ 

Consistent with the discussion in which 

the statement appears, we meant to 

convey that the IRF clinical staff 

conducting the preadmission screening 

must be trained and qualified to make 

the appropriate assessments. The 

appropriate use of non-clinical staff in 

the collection of the information that is 

used in the § 412.622(a)(4)(A) 

assessment is beyond the scope of the 

preamble discussion. Therefore, to 

eliminate any confusion, we are revising 

the sentence in the middle column at 

the top of page 39791 of the final rule 

to read, ‘‘* * * we believe that the 

clinician(s) conducting the 

preadmission screening must be 

appropriately trained and qualified to 

assess the patient’s medical and 

functional status, assess the risk for 

clinical and rehabilitation 

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