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ra EIGHTY-SEVENTH CONGRESS

•:t FIRST SESSION

ON

H.R. 3516 and H.R. 7559

BILLS TO AMEND TITLE 39 OF THE UNITED STATES CODE

TO PROVIDE FOR ADDITIONAL WRITING OR PRINTING

ON THIRD- AND FOURTH-CLASS MAIL

AUGUST 11, 1961

Printed for the use of the

Committee on Post Office and Civil Service

GOVERNMENT PRINTING OFFICE

WASHINGTON: 1961

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4144i
COMMITTEE ON POST OFFICE AND CIVIL SERVICE

TOM MURRAY, Tennessee, Chairman

JAMES H. MORRISON, Louisiana ROBERT J. CORBETT, Pennsylvania

JAMES C. DAVIS, Georgia

JOHN LESINSKI, Michigan

KATHRYN E. GRANAHAN, Pennsylvania

THADDEUS J. DULSKI, New York

DAVID N. HENDERSON, North Carolina

ARNOLD OLSEN, Montana

JOSEPH P. ADDABBO, New York

RICHARD H. 'CHORD, Missouri

G. ELLIOTT HAGAN, Georgia

CATHERINE D. NORRELL, Arkansas

MORRIS K. UDALL, Arizona

H. R. GROSS, Iowa

JOEL T. BROYHILL, Virginia

AUGUST E. JOHANSEN, Michigan

GLENN CUNNINGHAM, Nebraska

GEORGE M. WALLHAUSER, New Jersey

ROBERT R. BARRY, New York

KATHARINE ST. GEORGE, New York

JOHN H. ROUSSELOT, California

EDWARD J. DERWINSKI, Illinois

SUBCOMMITTEE APPOINTED To CONSIDER H.R. 3516 AND 7559

ARNOLD OLSEN, Montana, Chairman

JOSEPH P. ADDABBO, New York AUGUST E. JOHANSEN, Michigan

II
CONTENTS

Statement of— Pan

Curtis, Hon. Thomas B., of Missouri_ 2

Riley, E. A., Director, Postal Services Division, Bureau of Operations,

Post Office Department; accompanied by Adam G. Wenchel, Associate General Counsel 3

III

PROVIDING FOR ADDITIONAL WRITING OR PRINTING

ON THIRD- AND FOURTH-CLASS MAIL

FRIDAY, AUGUST 11, 1961

HOUSE OF REPRESENTATIVES,

SUBCOMMIIIEE OF THE

COMMITTEE ON POST OFFICE AND CIVIL SERVICE,

Washington, D.C.

The subcommittee met, pursuant to notice, at 10 a.m., in room 215

House Office Building. Hon. Arnold Olsen (chairman of the subcommittee) presiding.

Mr. OLSEN. The subcommittee will come to order.

This subcommittee was appointed to consider H.R. 3516 and H.R.

7559. Both of these bills are sponsored by Mr. Curtis of Missouri.

The members of the subcommittee are Mr. Addabbo, Mr. Johansen,

and I was appointed chairman.

Without objection, H.R. 3516 and H.R. 7559 will be inserted in

the record at this point.

(H.R. 3516 and H.R. 7559 are as follows:)

[H.R. 3516, 87th Cong., 1st Bess.]

A BILL To provide further for permissible writing and printing on third- and fourth-class

mail matter, and for other purposes

Be it enacted by the Senate and House of Representatives of the United States

of America in Congress assembled, That there may be enclosed with or attached

to third- and fourth-class mail containing medicines, either in writing or otherwise, the instructions and direction for the use of the medicine.

[H.R. 7559, 87th Cong., 1st Bess.]

A BILL To amend title 39 of the United States Code to provide for additional writing or

printing on third and fourth class mail

Be it enacted by the Senate and House of Representatives of the United States

of American in Congress assembled, That the present section 4555 of title 39,

United States Code, be designated subparagraph (a) and a new subparagraph

(b) be added as follows:

"(b) There may be enclosed with, attached to, or endorsed upon third and

and fourth class mail, either in writing or otherwise, the instructions and

directions for the use thereof."

Mr. OLSEN. It is the purpose of this legislation to provide that there

may be enclosed with, attached to, or endorsed upon, either in writing

or otherwise, an item sent as third- or fourth-class mail, the instructions and directions for the use of the item.

Under present law (39 U.S.C. 4251) an item, such as a bottle of

medicine, having written or typewritten instructions or directions for

its use, such as is usually prescribed by a physician, must be mailed as

first-class matter at the highest established postal rate. Present law

1
2 ADDITIONAL PRINTING ON THIRD- AND FOURTH-CLASS MAIL

(39 U.S.C. 4453 and 4555) does authorize certain marks and enclosures to be placed on or in third- or forth-class mail, but such authority does not extend to written or typewritten instructions and

directions for the use of the item.

H.R. 3516 would apply only to items containing medicines and was

objected to by the Post Office Department because it would not apply

to comparable items, such as blood and other laboratory specimens,

water supply samples, or geological specimens.

H.R. 7559 was introduced by Mr. Curtis to incorporate the changes

suggested by the Post Office Department to overcome the discriminatory application. A similar proposal of the 86th Congress, S. 3420,

passed the Senate last year.

The Post Office Department had no objection last year to enactment

of this legislation and now has no objection to favorable consideration

of H.R. 7559.

Mr. Curtis could not appear this morning, and has asked that his

statement justifying the enactment of H.R. 7559 be placed in the

record.

The only witnesses scheduled for this hearing this morning are Mr.

E. A. Riley, Director, Postal Services Division, Bureau of Operations,

Post Office Department, who is accompanied by Mr. Adam G. Wenchel,

Associate General Counsel.

First of all, if there is no objection, I will insert Mr. Curtis' statement in the record at this point.

(The statement of Hon. Thomas B. Curtis of Missouri follows:)

STATEMENT OF HON. THOMAS B. CURTIS OF MISSOURI

Mr. Chairman, I am happy to have this opportunity to give my views to your

subcommittee on the proposal to provide for additional writing or printing on

third- and fourth-class mail. I also wish to take this chance to express my

thanks to the subcommittee and to the House Post Office and Civil Service Committee for looking into this matter. I am the author of the two bills now under

consideration; the second, H.R. 7559, merely broadens the scope of the earlier

bill, H.R. 3516, and I welcome the suggestion in the report of the Post Office Department on H.R. 3516 that its scope be broadened.

In substance, the bills would permit instructions and directions to accompany matter sent in third- and fourth-class mail without requiring that firstclass postage be paid. The printed labels of patent medicines have long enjoyed

this status; my bills would apply similar treatment to special prescriptions and

wonder drugs that are sent through the mail to the users of them. This idea

came to me from the letters of elderly constituents who are among the many

Americans, especially elderly Americans, who purchase their health supplies

from mail-order suppliers. I know of no organized support for it nor opposition

to it. Of my own personal knowledge, I can assure the subcommittee that this

proposal is consistent with the policies and goals of the American Medical

Association.

The significance of this idea is in its effect upon the individual. More and more

we find people taking advantage of the benefits of our society's rapid increase

in health technology by purchasing their medical supplies through the mails.

Many of these people are elderly, seeking to hold down their health care costs

by taking advantage of mail-order suppliers of their medical needs. To these

people, the 30, 40, or 50 cents extra that they must pay to have necessary instructions accompany the medicines they use is a real, if not major, factor in their

health care budget. It is for the benefit of these people that I introduced this

proposal.

I should like to comment briefly on the changes that were made by the new

bill, H.R. 7559, over the old one, H.R. 3516. The Department's comments pointed

out that there are other things—the examples given included blood specimens

and laboratory samples—which might be sent third- or fourth-class mail with
4

ADDITIONAL PRINTING ON THIRD- AND FOURTH-CLASS MAIL 3

the instructions which must accompany them if the bill were extended to include

them. I believe that this change in wise and commend to the subcommittee the

revised bill, H.R. 7559.

Once again, thank you for this opportunity you have given me to present my

views on these bills.

Mr. OLSEN. We will now proceed with the Post Office Department

witnesses.

STATEMENT OF E. A. RILEY, DIRECTOR, POSTAL SERVICES DIVISION, BUREAU OF OPERATIONS, POST OFFICE DEPARTMENT;

ACCOMPANIED BY ADAM G. WENCHEL, ASSOCIATE GENERAL

COUNSEL

Mr. WENCHEL. Mr. Chairman, we have no prepared statement. We

would, however, request that you put our letter of July 11, 1961, being

our report on this bill, into the record.

Mr. OLSEN. Very well.

If there is no objection we will place the letter of July 11 from

Postmaster Day in the record at this point.

(The letter referred to follows:)

OFFICE OF THE POSTMASTER GENERAL,

Washington, D.C., July 11, 1961.

Hon. TOM MURRAY,

Chairman, Committee on Post Office and Civil Service,

House of Representatives,

Washington, D.C.

DEAR MR. CHAIRMAN: This is in reply to your request for a report on H.R. 7559.

The bill would amend section 4555 of title 39, United States Code, so as to authorize the inclusion of instructions and directions for the use thereof upon any

item of third- or fourth-class mail.

The proposed bill is similar to S. 3420 of the 86th Congress which was passed

by the Senate last year. It will provide uniform treatment to all commodities

and the Department is in favor of enactment.

We have been advised by the Bureau of the Budget that from the standpoint

of the administration's program there is no objection to the presentation of this

report to the committee.

Sincerely yours,

J. EDWARD DAY,

Postmaster General.

Mr. OLSEN. Will this legislation result in any additional cost to

the Government?

Mr. RILEY. We have no specific figures to show any specific amount

additional. There is a possibility that some first-class revenue will

be foregone.

Mr. JOHANSEN. There will be a loss of revenue?

Mr. RILEY. There will be a loss assuming that the mailer would

pay first-class postage instead of third class.

Mr. OLSEN. We will talk about revenue foregone, and I think that

is a subject we ought to get to.

Can you show us examples of what would happen?

Mr. RILEY. I brought these specimens which I think will show exactly what would happen.

Mr. OLSEN. What is it you have in your hand?

Mr. RILEY. This is a prescription.

Mr. OLSEN. And it is a bottle containing some pills?

•
4 ADDITIONAL PRINTING ON THIRD- AND FOURTH-CLASS MAIL

Mr. RILEY. Yes. It is a glass bottle containing pills that were

prescribed by the doctor. The druggist then typed a label which has

instructions for the use of the pills and pasted it on the bottle. The

typewriting under the law is first class.

Mr. JOHANSEN. It makes this a first-class item?

Mr. RILEY. Yes, sir. Therefore, the mailer should pay first-class

postage on the bottle. This particular bottle, with about half of the

pills in it weighs about 1.2 ounces. At the first-class rate of 4 cents

an ounce, it would cost 8 cents to mail it first class. At the third-class

rate it would be 3 cents.

Mr. OLSEN. The revenue foregone would be how much?

Mr. Rn,Ey. That would be 5 cents on a bottle of this kind.

Mr. OLSEN. What kind of service does that bottle get?

Mr. RILEY. My understanding is, where the mail is used in sending prescriptions of this nature, it would ordinarily be at a small

post office. My personal opinion is that it would have just about

the same treatment whether it goes first class or third class. I would

say further if it got slower treatment at the third-class rate the pharmacist would be doing a great injustice to the patient to mail it third

class. Apparently where these have been mailed at the third-class

rate the service has been very satisfactory. It has been just as good

as the first class or they would not mail them third class.

Mr. OLSEN. Is there any time requirement placed on mail of this

kind by the sender?

Mr. RILEY. No, sir. If they pay the third-class rate they should

get third-class treatment, which normally would allow for some

delay as compared to first class. My personal opinion is that they are

not getting delays on it. They are mailing it from small post offices

to go out on rural routes and it gets good service at the third-class

rate and as good as at the first-class rate.

Now here is a specimen. This is the type of bottle that I think

is being generally used now. It is a plastic bottle and it is very light

and they have a practice of typing directions on a slip and putting

it inside the bottle. This one weighs a half ounce. It is not full. It

probably would weigh nearly an ounce with the bottle completely

full. As it is here, a half ounce, it would take 4 cents at the firstclass rate and 3 cents at the third-class rate. Just a penny difference.

Here is a larger bottle of the same type, a plastic bottle, completely filled with pills. This would be filled as it is and would

weigh 1% ounces and it would be 4 cents for each ounce or fraction

of an ounce at the first-class rate. That would be 8 cents, and 3 cents

at the third-class rate. It would be a nickel difference there.

Mr. JOHANSEN. But you get into a type of item which gets into the

fourth-class category as well?

Mr. RILEY. It would be fourth class if it weighs 16 ounces or more.

Prescription medicine as far as we know would very seldom go over

16 ounces. If it went over 16 ounces it would be subject to regular

parcel post rates.

Mr. JOHANSEN. But this would permit the printed matter to be

contained and sent.

Is it not possible to send this as parcel post and include printed

instructions?

Mr. RILEY. Yes, sir.
ADDITIONAL PRINTING ON THIRD- AND FOURTH-CLASS MAIL 5

Mr. JOHANSEN. What I am trying to get at is the significance of

permitting writing and printing on third- and fourth-class matter.

In other words, an what particular, if this is enacted, would there be

a privilege with respect to fourth-class mail that does not exist now?

Mr. RILEY. It would be the same privilege that would be extended

to third class. The restrictions at the present time are identical.

Mr. JOHANSEN. With respect to parcel post, as with third class?

Mr. RILEY. Yes, sir.

I have another specimen here, just a commercial medicine. This

happens to be aspirin. The instructions are printed and the label

is pasted on the bottle. Since these labels are printed they can be

mailed at the third-class rate or if over 16 ounces, at the fourth-class

rate.

This whole proposition hinges on whether the instructions are

written or printed. First-class matter is handwriting and typewriting.

Mr. JOHANSEN. In other words, with the strictly printed matter

it is now permissible for third and fourth class, but when it is

handwrittenMr. RILEY. There has been some complaint that patent medicines

with printed instructions on them are accepted at the third- and

fourth-class rates, whereas if you type a label in typewriting or use

handwriting, it takes the first-class rate. This is actually an interpretation of what is first-class mail and the only thing we have to.go

by is the statute which says, "Matter wholly or partially in writing

or typewriting" is first class. There is no exception. There is no

leeway. If you write one word on an article by hand or by typing

it becomes first class.

Mr. JOHANSEN. Now, Mr. Chairman, may I ask this question.

Aren't we actually considering two bills so that the comparable items

referred to in the chairman's statement, such as "blood and other

laboratory specimens, water supply samples or geological specimens"

will benefit from this legislation?

Mr. RILEY. The original bill provided only for medicine. That is

H.R. 3516. The Department took the position that that was a narrow

definition which actually discriminated against other types of material. The other bill was introduced without the limitation of medicine and as written it would apply to absolutely anything.

Mr. JOHANSEN. Whereas the one is criticized for being too restrictive are we giving too broad an application under this second bill?

Dir. RILEY. The second bill has possibilities of being used to a great

extent. We are not exactly sure to what extent. There is no way of

foreseeing. However, the narrow bill limiting it to medicine I think

in addition to discriminating against similar materials would be somewhat difficult to administer, in that there is considerable doubt as to

what is medicine when you get right down to it. For example, you

mentioned the fourth-class matter. Would a drug of some kind plus

some mechanical device lich as elastic braces and so on be called medicine if mailed in a package? That would raise a question whether you

are applying this law to merchandise or medicine.

Mr. JOHANSEN. Actually with most merchandise, any accompanying instructions or information would in most instances be printed

matter anyway, wouldn't it, as a practical matter?

#

.70

C'7"
6 ADDITIONAL PRINTING ON THIRD- AND FOURTH-CLASS MAIL

Mr. RILEY. Yes, sir, that is a point we considered. I believe that

it would be somewhat unusual for a commercial product to contain

handwritten or typewritten instructions. It would not be practical.

Mr. OLSEN. Let me ask about mechanical devices, leg braces and one

thing and another that are very individualistic or personal in their

nature, and that is the leg braces or arm braces that are made for some

particular individual.

If they come through the mails and have written instructions—if

they weigh enough they will come parcel post, but what if there are

handwritten instructions with such an item as that?

Mr. RILEY. At the present time the handwriting would subject

the entire parcel to the first-class rate.

Mr. OLSEN. The only way they avoid that then is to have a package and it holds parcel post and then a separate letter of instruction

probably going first class?

Mr. RILEY. Yes sir, and we would permit the letter to be placed

in the package. We do have that service. The letter could be placed

in the package and the 4 cents for the letter could be placed on the

outside of the package, along with the postage at the parcel post rate

for the package.

Mr. OLSEN. If they are sending this medicine, let us pick up the

heaviest of the examples that you have there and tell me if it just

went as a bottle with a printed label, what would it cost?

Mr. RILEY. That would cost 3 cents.

Mr. OLSEN. Now that same sample, 3 cents plus instruction going

in an accompanying letter, that we assume weighs less than an ounce,

would be an additional 4 cents. So that would be a total of 7 cents.

Mr. RILEY. That is right.

Mr. OLSEN. If, however, they sent. that bottle with the typewritten

instructions attached to the bottle, what would it cost?

Mr. RILEY. Eight cents. Four cents an ounce. The bottle weighs

13/4 ounces, so it would be 8 cents.

Mr. OLSEN. We have to get into considerable weights here before it

makes very much difference, do we not?

Mr. RILEY. That is our position. We received letters last year

claiming there was a difference of 70 and 80 cents in postage on

packages of medicine. We could only figure they were sending the

medicine c.o.d. and charging the customer the c.o.d. charges which

include also a fee for the money order that is returned to the mailer.

In the case of third class the limit of weight would be 15-plus

ounces. Third class is limited to less than 16 ounces. Figuring 15-

plus ounces at the third-class rate, the maximum that could be paid

would be 24 cents. The first-class rate, 15-plus ounces, would cost

64 cents. In the case of third-class mailings, the absolute maximum

difference would be 40 cents. If they insure the packages or send them

c.o.d. the costs, of course, are greater.

Mr. OLSEN. How about the practice of sending blood? Is that sent

first class?

Mr. RILEY. It would not be first class unless there was writing of

some kind.

Mr. OLSEN. Does this blood plasma get any special treatment?

Mr. RILEY. No, sir.

Mr. OLSEN. It just goes as third class?
ADDITIONAL PRINTING ON THIRD- AND FOURTH-CLASS MAIL 7

Mr. RILEY. Yes, sir. They can, of course, pay for special service.

If it is fourth-class matter there is a special handling service.

Mr. OLSEN. Is that a practice?

Mr. RILEY. I do not believe it is; no, sir.

Mr. OLSEN. The fact of the matter is that third class is such good

service that that is the way they send?

Mr. RILEY. That is my understanding; yes, sir. I believe that in

the case of these small prescriptions, in the small post offices, they

are getting just as good treatment at third-class rates as they do at

first class. Otherwise they would not want to mail it at the thirdclass rate.

Mr. OLSEN. I have no more questions.

Mr. JOHANSEN. I have no further questions.

Mr. OLSEN. Off the record.

(Discussion off the record.)

Mr. JOHANSEN. The question has been raised here as to whether

there is going to be additional or fewer problems for the Department

if this legislation is enacted.

In your judgment, will the Department have more problems if they

attempt to police present violations of present regulations and law,

and will they in effect benefit by the enactment of this legislation by

not having that policing problem?

Mr. RILEY. We feel there will definitely be some benefits, particularly if the bill is made general. Under present law mailers are entitled to put a description of the content in with either third- or

fourth-class mail. There is such a fine line between the description

of the content and any other information that might be enclosed, it is

very difficult to distinguish.

Mr. OLSEN. Anything more than just instructions for use would

put it back in first class again?

Mr. RILEY. Yes

'

sir. There would be some difficulty in determining

what instructions for use are.

Mr. OLSEN. Surely, but if the druggist was writing a letter with

the instructions for use that would be a violation of the new act.

Mr. RThEY. If the letter were to contain instructions for use, I

think it would be permissible under this act.

Mr. OLSEN. Yes, but if it was anything more than instructions for

use it would be a violation?

Mr. RILEY. Yes, sir. If he inquired as to the health of the patient

and miscellaneous information of that nature, it would be definitely

beyond.

Mr. JOHANSEN. But realistically, there is no reason to believe that

sort of thing would happen, is there?

Mr. RILEY. No, sir; I do not believe so. I was thinking of other

materials. We foresee that there might be some difficulty with instruction for use in the case of other items. I think in the case of

medicine it would actually clear this up and would be equitable.

There is a point involved here. When a person mails a package

and does just want to say what the contents are for, it is pretty hard to

charge 4 cents an ounce for a large item. The first-class definition is

very narrow. It simply provides that typewriting and handwriting

is first class. There is no leeway even if they write only one word on

the contents. There are a great many materials being mailed now
8 ADDITIONAL PRINTING ON THIRD- AND FOURTH-CLASS MAIL

that need some little instruction, and 4 cents an ounce is an awfully

high rate to pay for a heavy package. However, you always run

the risk of diverting first-class revenue to third class or fourth class.

Mr. JOHANSEN. On the other hand, with the change in rates which

brought about these complaints, we come right back to the policing

problem.

Mr. RILEY. Yes, sir.

Mr. OLSEN. I feel sorry for the poor citizen who is paying 4 cents

for any fraction over 1 ounce for a letter when so many other things

go through the mails and get first-class treatment and not an item

less than first-class treatment, for a lot cheaper rate.

If there is nothing more to be added, that concludes the hearing.

We thank you gentlemen for a very intelligent discussion of this

legislation.

(Thereupon, Friday, August 11, 1961, the subcommittee was adjourned.)

0