78538 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

POSTAL SERVICE

39 CFR Part 111

Changes to the Domestic Mail Manual

to Implement Docket No. R2000–1

AGENCY: Postal Service.

ACTION: Final rule.

SUMMARY: This final rule sets forth the

Domestic Mail Manual (DMM)

standards adopted by the Postal Service

to implement the rate, fee, and

classification changes for all classes of

mail included in the Decision of the

Governors of the Postal Service in Postal

Rate Commission Docket No. R2000–1.

EFFECTIVE DATE: This final rule is

effective at 12:01 a.m. on January 7,

2001.

FOR FURTHER INFORMATION CONTACT:

Sherry Suggs, Office of Mail Preparation

and Standards, 703–292–3648.

SUPPLEMENTARY INFORMATION: On

January 12, 2000, the United States

Postal Service, in conformance with

sections 3622 and 3623 of the Postal

Reorganization Act (39 U.S.C. 101 et.

seq.), filed a request for a recommended

decision by the Postal Rate Commission

(PRC) on proposed rate, fee, and

classification changes. The PRC

designated this filing as Docket No.

R2000–1. The PRC issued a notice of

filing in Order No. 1279 on January 14,

2000.

On August 29, 2000, the Postal

Service published for comment in the

Federal Register a proposed rule (65 FR

52479) that provided information on the

implementation rules for the rate, fee,

and classification changes that the

Postal Service proposed to adopt if its

requested changes in Docket No. R2000–

1 were recommended by the PRC and

approved by the Governors of the Postal

Service.

On November 13, 2000, pursuant to

39 U.S.C. 3624, the PRC issued its

Recommended Decision on the Postal

Service’s Request to the Governors of

the Postal Service. The PRC

recommendations made revisions to

some of the mail classification structure,

rates, and fees requested by the Postal

Service. Based on an extensive analysis

of the PRC’s Recommended Decision

and deliberation as to its consequences

to the Postal Service and its customers,

and pursuant to 39 U.S.C. 3625, the

Governors acted on the PRC’s

recommendations on December 4, 2000.

The Governors determined to allow the

recommended rates and fees and the

majority of the classification

recommendations to take effect under

protest. The Governors expressed

disagreement with the Commission’s

estimate of required revenues in the test

year, and returned the Recommended

Decision to the Commission for

reconsideration of the Postal Services

revenue requirement. In a separate

decision, the Governors rejected the

PRC’s recommendation to establish a

one-pound flat rate for Priority Mail and

‘‘shell’’ classifications for Information

Based Indicia Program Mail and

Courtesy Envelope Mail. The Governors

also rejected the Commission’s

recommendation to include footnotes in

the Standard Mail rate schedules

indicating a 3.3 ounce maximum weight

and breakpoint weight.

The Board of Governors set an

implementation date of January 7, 2001,

for the rates, fees, and classifications

allowed to take effect. This final rule

contains the DMM standards adopted by

the Postal Service to implement the

Governors’ decision. The revised DMM

standards will take effect on January 7,

2001.

Part A summarizes the major changes

made to the DMM implementing

language since publication of the

proposed rule (65 FR 52479). This

includes changes made because of

differences in the Postal Service’s

proposal and the PRC’s recommended

decision, changes made in response to

the Governors’ decisions, and changes

made by the Postal Service in response

to mailer comments or for other reasons.

Part B of this final rule summarizes, by

class of mail and special service

category, all of the revisions made to

current DMM Issue 55 to implement

R2000–1. Part C of this final rule

contains an analysis of the comments

received on the proposed rule and the

Postal Service responses. Part D

summarizes the changes by DMM

module and section. The actual

implementing language for the DMM

follows at the end of this final rule.

As information, the DMM language in

this final rule incorporates revisions to

the DMM from four previously

published Federal Register final rules

that also will take effect on January 7,

2001. These final rules are:

1. ‘‘Sack Preparation Changes for

Periodicals Nonletter-Size Pieces and

Periodicals Prepared on Pallets’’

published on July 28, 2000 (65 FR

46361).

2. ‘‘Line-of-Travel Sequencing for

Basic Carrier Route Periodicals’’

published on July 28, 2000 (65 FR

46363).

3. ‘‘Preparation Changes for Palletized

Standard Mail (A) and Bound Printed

Matter and for Standard Mail (A) and

Standard Mail (B) Claimed at DBMC

Rates’’ published on August 8, 2000 (65

FR 48385).

4. ‘‘Domestic Mail Manual Changes

for Sacking and Palletizing Periodicals

Nonletters and Standard Mail (A) Flats,

for Traying First-Class Flats, and for

Labeling Pallets’’ published on August

16, 2000 (65 FR 50054).

Accordingly, the numbering and the

language of the DMM sections in this

final rule have been synchronized with

these other final rules and may not

match the numbering and language in

current DMM Issue 55.

A. Major Changes and Additions Other

than Rate and Fee Levels Since

Publication of the August 29, 2000,

Proposed Rule

1. Express Mail

The Postal Service has added

clarifying language to DMM S500.3.0 to

provide for use of electronic option

Delivery Confirmation with Priority

Mail, Standard Mail parcels, and

Package Services mail enclosed in

Express Mail drop shipment mailings.

Use of electronic option Signature

Confirmation also will be permitted for

Priority Mail and Package Services mail

that is enclosed in Express Mail drop

shipments. Retail option Delivery

Confirmation and Signature Service is

not available for mail enclosed in

Express Mail drop shipment mailings.

2. Priority Mail

The Postal Service has added

clarifying language to DMM S070 to

provide for use of electronic option

Delivery Confirmation with Standard

Mail parcels and Package Services mail

enclosed in Priority Mail drop shipment

mailings. Use of electronic option

Signature Confirmation also will be

permitted for Package Services mail that

is enclosed in Priority Mail drop

shipments. Use of retail option Delivery

Confirmation and Signature

Confirmation is not permitted with

Standard Mail and will not be permitted

with Package Services mail enclosed in

Priority Mail drop shipments. Delivery

Confirmation (either retail or electronic

option) is not available for the Priority

Mail portion of the drop shipment.

3. First-Class Mail

a. Maximum Weight for Automation

Heavy Letters

The maximum weight for First-Class

Mail heavy letters that may qualify for

automation letter rates will be 3.3

ounces (.2063 pound).

b. Barcodes on Automation Flats

DMM C840.3.0 has been revised to

allow application of two POSTNET

barcodes on the address side of flat-size

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78539

automation rate pieces provided certain

conditions are met.

4. Periodicals

a. DDU Rates for Periodicals Mail

Entered under Exceptional Dispatch

Based on the Postal Rate

Commission’s recommended decision,

the final rule will include DMM changes

that will provide for DDU rates for

Periodicals mail entered under

exceptional dispatch. The change will

limit DDU rates under exceptional

dispatch to zones 1 and 2 and provides

a restriction on eligibility to

publications with circulation of 25,000

and under.

b. DMM Renumbering

The information contained in DMM

E220 in the proposed rule has been

renumbered as DMM E217.

c. Maximum Weight for Automation

Heavy Letters

The maximum weight for Periodicals

heavy letters that may qualify for

automation letter rates will be 3.3

ounces (.2063 pound).

d. Barcodes on Automation Flats

DMM C840.3.0 has been revised to

allow application of two POSTNET

barcodes on the address side of flat-size

automation rate pieces provided certain

conditions are met.

5. Standard Mail (formerly Standard

Mail (A))

a. Maximum Weight Limit for

Automation Letters

The maximum weight for heavy

letters that may qualify for automation

letter rates will be 3.3 ounces (.2063

pound).

b. Computation of Postage

Proposed DMM E610.5.7 (formerly

DMM E612.4.5) that contained language

that mailers must compute postage

using both piece and piece/pound rates

and pay whichever is higher, was

removed. Because all pieces weighing

3.3 ounces or less will pay postage using

minimum per piece rates and all pieces

weighing more than 3.3 ounces will pay

postage using the piece/pound rates,

this computation by mailers is not

necessary.

c. Barcodes on Automation Flats

DMM C840.3.0 has been revised to

allow application of two POSTNET

barcodes on the address side of flat-size

automation rate pieces provided certain

conditions are met.

d. Permissible Use of Electronic Option

Delivery Confirmation With Standard

Mail Parcels Enclosed in a Priority Mail

or Express Mail Drop Shipment

The Postal Service has added

clarifying language to DMM S070 and

S500.3.0 to provide for use of electronic

option Delivery Confirmation with

Standard Mail enclosed in Priority Mail

Drop Shipment or Express Mail Drop

Shipment mailings. Use of retail option

Delivery Confirmation is not permitted

with Standard Mail. Delivery

Confirmation also is not available for

the Priority Mail portion of the drop

shipment.

6. Combined Package Services Mail for

DSCF and DDU Rates

a. Overflow Sacks

Based on comments received on the

proposed rule, standards were added to

DMM E753.2 and 3 to provide for the

preparation of 5-digit overflow sacks for

Combined Package Services mailings

prepared in sacks or on pallets.

b. Clarification of Destination Entry Rate

Eligibility

In DMM E753, references to

‘‘destination entry’’ were changed to

‘‘DSCF and DDU’’ to clarify that DBMC

rates are not available under DMM E753

for combined Package Services mailings.

c. Clarification of Minimum Pallet

Volumes

Minor changes were made throughout

DMM E753 for combined Package

Services mail prepared on pallets to

clarify that there are two options for

meeting minimum pallet volumes.

Pallets must contain (1) a minimum of

50 combined parcels and 250 pounds of

combined Package Services mail, or (2)

36 inches of mail. In addition,

E753.1.1b(2) was amended to clarify

that the height of the pallet is excluded

when determining the minimum of 36

inches of mail on pallets.

d. Clarification of Postage Payment

Method

DMM E753.1.1g was revised and new

DMM E753.1.1h added to clarify that

postage for combined Package Services

mailings must be paid by permit imprint

under an approved manifest mailing

system agreement.

e. Maximum Height for Pallet Boxes

DMM M041.4.2 has been revised to

add a requirement that for mailings

prepared in pallet boxes to qualify for

the DSCF or DDU rate, the height of the

pallet box may not exceed 60 inches

(excluding the pallet) as is currently

required for Parcel Select DSCF and

DDU rate mail (DMM M041.4.2).

7. Bound Printed Matter

a. Eligibility of Flat-Size Presorted

Bound Printed Matter for DDU Rates

The final implementing standards in

DMM E753 permit flat-size Presorted

Bound Printed Matter sorted to 5-digit

containers or 5-digit bedloaded

packages to qualify for DDU rates if the

pieces weigh over one pound and are

entered at the appropriate destination

delivery unit. The Drop Shipment

Product must be used to determine the

correct destination entry facility for the

5-digit sorted flat-size Bound Printed

Matter entered at Presorted rates. If the

Drop Shipment Product lists multiple

facilities for a single 5-digit ZIP Code,

the mailer must inquire about the

correct drop site when contacting the

DDU to schedule an appointment.

b. Clarification of Package and Sack

Minimums

DMM M045, M722, and M723 were

amended to include a clarification of the

term ‘‘whichever comes first,’’ as it is

used in the minimum size standards for

preparing packages and sacks.

c. Correction of Summary of Changes to

Machinable Parcel Sacking Standards

The summary of changes information

in the proposed rule incorrectly stated

that there were no changes to

machinable parcel sack preparation

other than eliminating the 1,000 cubic

inch sack sortation option. The

summary of changes in this final rule

correctly shows that machinable parcel

preparation is revised to add the

‘‘whichever comes first’’ criterion to the

minimum sack requirements, and to

allow mailers the option of preparing an

ASF sack when such pieces are entered

at the DBMC rates.

d. Clarification of Carrier Route Rate

Eligibility

DMM E712.4.3, which was contained

in the proposed rule, is deleted in this

final rule. This section was erroneously

included in the proposed rule and

contained Carrier Route rate eligibility

standards that conflicted with E712.2.0.

e. Clarification of Packaging Standards

in M020

DMM M020 has been clarified to (1)

show that mixed ADC packages may

contain fewer than two physical pieces,

(2) clarify that each physical package of

Bound Printed Matter must always

contain at least two pieces except for

mixed ADC packages and, under the

conditions described in that section,

78540 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

packages of Carrier Route mail prepared

in sacks.

f. Revision of Maximum Individual

Piece Weight for Package Preparation

The proposed rule preparation

requirements for sacked mailings of

irregular parcels stated that pieces

weighing 10 pounds or less must be

packaged prior to sacking. However, for

Presorted rate irregular parcels, the

minimum package size was proposed to

be and is stated in this final rule to be

10 pieces or 10 pounds, whichever

comes first, with a stipulation that each

package must contain at least 2 pieces.

Under this scenario, a single piece

weighing 10 pounds would meet the

minimum packaging standard and

would also be required to meet the

standard that each package contain at

least 2 pieces. The standard requiring at

least 2 pieces in each physical package

would, for a 10-pound mailpiece,

actually result in a minimum package

size of 20 pounds rather than 10

pounds.

To eliminate this discrepancy, the

cut-off weight for preparing irregular

parcels in packages in DMM M722 has

been changed from ‘‘weighing 10

pounds or less’’ to ‘‘weighing less than

10 pounds.’’

To keep the packaging requirements

parallel, this change also has been made

for carrier route irregular parcels in

sacks (DMM M723) and for all packages

on pallets (DMM M045).

g. Revised Sacking Criteria for Presorted

Irregular Parcels Weighing 10 or More

Pounds

DMM M722.4.0, Required

Preparation—Irregular Parcels Weighing

10 Pounds or More, has been revised to

remove the sacking criterion of 10 or

more pieces. The proposed rule stated

that irregular parcels each weighing

over 10 pounds were to be sacked

whenever there were at least 10 pieces

or 20 pounds, whichever occurs first, for

a presort destination. Under the stated

‘‘whichever occurs first’’ rule, pieces

that weigh over 2 pounds would always

be sacked under the minimum 20-

pound rule. Since this section pertains

to only pieces that individually weigh

10 or more pounds, the option to sack

based on the criterion of at least 10

pieces for a presort destination would

never be used and it is therefore deleted.

h. Exception to Packaging for Presorted

Rate Irregular Parcels in 5-Digit Sacks

An exception has been added to the

packaging requirement in DMM M722

for Presorted rate irregular parcels that

are prepared in 5-digit sacks. Mailers of

Presorted rate irregular parcels prepared

in 5-digit sacks, may at their option,

prepare such pieces loose in sacks

without physical packaging provided

the number of pieces in the sack meets

the minimum package size and sack size

requirements and the pieces in the 5-

digit sack(s) are individually wrapped

or enveloped.

i. Clarification of Mixed ADC Sack

Preparation to Qualify for DBMC Rates

Mailers who opt to claim the DBMC

rates for mail in mixed ADC sacks are

required to prepare separate mixed ADC

sacks for pieces eligible for and claimed

at the DBMC rate and for pieces not

claimed at the DBMC rate (one set of

mixed ADC sacks containing packages

qualifying for DBMC rates and one set

of mixed ADC sacks for packages that do

not qualify for DBMC rates). For this

purpose, DMM E650 and E752 have

been clarified to specify that mailers

must assign ADC packages to the

respective qualifying or nonqualifying

mixed ADC sacks based on the ‘‘label

to’’ ZIP code for the ADC (DMM L804).

For mixed ADC packages, separate

mixed ADC packages must be prepared

based on the individual addresses on

the pieces. That is, a mixed ADC

package(s) for pieces within the ASF or

BMC entry point must be prepared and

a separate mixed ADC package(s) for

pieces outside the entry ASF or DBMC

area must be prepared (using either

Exhibit E650.5.1 or Exhibit E751.1.3).

j. Correction of Eligibility of Presorted

Rate Machinable Parcels for DSCF Rates

DMM E752.3.3 has been amended to

remove the requirement that was

incorrectly published in the proposed

rule that stated mailers of palletized

machinable parcels at Presorted rates

would be required to determine if the 5-

digit facility was able to handle pallets

using the Drop Shipment Product

maintained by the National Customer

Support Center (NCSC) and that pallets

could not be prepared if the 5-digit

facility was unable to handle pallets.

k. Maximum Height for Pallet Boxes at

DSCF and DDU Rates

DMM M041.4.2 has been revised to

add a requirement that for mailings

prepared in pallet boxes to qualify for

the DSCF or DDU rate, the height of the

pallet box may not exceed 60 inches

(excluding the pallet) as is currently

required for Parcel Select DSCF and

DDU rate mail (DMM M041.4.2).

8. Parcel Post

Some of the standards for Parcel Post

have been reorganized for clarity since

the publication of the proposed rule.

Specifically, the criteria for

nonmachinable parcels for purposes of

applicability of the nonmachinable

surcharges for inter-BMC, Intra-BMC,

and DBMC rate parcels have been

moved from E711 to C700.

There have been no substantive

changes to the standards for Parcel Post

since publication of the proposed rule.

9. Media Mail and Library Mail

DMM M045.3.6 has been corrected to

show that pallets of Presorted Media

Mail and Presorted Library Mail must

show ‘‘PSVC’’ on Line 2 to indicate the

class of mail.

10. Special Services

a. Business Reply Mail

Effective November 5, 2000, the Postal

Service completely rewrote DMM

standards for business reply mail (see

Postal Bulletin 22035 (10–19–00),

available via www.usps.com). This

rewrite was done for clarity and

consistency. Therefore, standards for

business reply mail in this final rule

have been reorganized to reflect the new

structure of DMM units E150, P014,

R900, and S922.

A provision in the DMCS that

required permit holders to maintain an

advance deposit account solely for the

use of business reply mail has been

deleted. Therefore, DMM S922.3.3 is

revised to show that permit holders will

be able to maintain a single advance

deposit account from which multiple

items can be deducted (e.g., BRM,

QBRM, merchandise return service,

incoming shortpaid mail, address

correction notices, etc.). If permit

holders request separation of charges,

then they must pay an annual

accounting fee for each separation, as

appropriate.

b. Insurance

DMM S913.1.5 was rewritten to

clarify the additional services that can

be added to insurance.

c. Registered Mail

A sentence was added to the DMM to

clarify that registered items receive

registered treatment while they are

being forwarded or returned (DMM

F010.5.4e). DMM S911.1.5 was

rewritten to clarify the additional

services that can be added to registered

mail.

d. Return Receipt

Editorial changes were made to DMM

S915.1.2 to clarify that certain special

services can be combined with return

receipt only at the time of mailing.

DMM S915.1.7 was revised to allow

Delivery Confirmation and Signature

Confirmation services to be added as

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78541

additional services, provided that one of

the prerequisite services in DMM

S915.1.2 is purchased first. DMM

S915.2.2 was amended to remove

instructions related to activation of the

signature capture process. DMM

S915.4.2 was amended to clarify

procedures for requesting delivery

information.

e. Return Receipt for Merchandise

Proposed DMM S917.1.2 is revised to

remove First-Class Mail as eligible

matter. Return receipt for merchandise

service is not currently an option for

First-Class Mail that is 13 ounces or

less; the reference to First-Class Mail

was included in the proposed rule in

error. Return receipt for merchandise

service is available only for Priority

Mail, Standard Mail parcels that are

subject to the residual shape surcharge,

and Package Services.

f. Signature Confirmation

Minor changes were made to the

DMM language to clarify how delivery

information can be retrieved and to

clarify requirements for the package

identification code. In addition, mailers

who have previously received

certification for label printing under the

Delivery Confirmation program are not

required to obtain any additional

certification to use Signature

Confirmation (DMM S919.3.3).

Standards were added to allow mailers

to use an integrated barcode to combine

Delivery Confirmation or Signature

Confirmation and insurance services

(DMM S919.1.7, 3.4, and 4.0). Waiver of

signature is not available when

Signature Confirmation is combined

with other special services (DMM

S919.1.10). DMM C850.1.4 was

amended to include information about

concatenated and integrated barcodes

with Signature Confirmation service.

Language was added to F020.3.7 to

show that pieces with Signature

Confirmation are forwarded without

payment of additional special service

fees. P014.2.34f was amended to add

language for refunds for Signature

Confirmation service. S913.2.5 was

amended to add information about

integrated barcodes with Signature

Confirmation and insurance.

g. Mailing List Services

DMM A910.2.2 was revised to show

that the minimum fee ($7.50) for

correcting a mailing list applies to lists

with fewer than 30 names or addresses.

This revision was omitted from the

proposed rule.

h. Merchandise Return Service

DMM S923.3.4 was amended to

clarify that a separate accounting fee

must be paid for each separate

withdrawal (billing) requested by a

permit holder. This change is consistent

with current standards for business

reply mail.

i. Payment Period for Fee Renewals

On December 14, 2000, the Postal

Service revised current DMM sections

E100.4.1, E612.4.7, E630.1.5, S922.2.3,

S922.3.3, S923.3.1, and S924.3.1 to

allow customers to renew fee payments

any time during the last 60 days of the

current period (see Postal Bulletin

22039 (12–14–00)). Affected sections in

this final rule have been revised

accordingly to be consistent with the 60-

day payment period.

B. Summary by Class of Mail and

Special Service of All DMM Revisions

for R2000–1

1. Express Mail

a. Express Mail Rate Highlights

Overall, Express Mail rates will

increase by an average of 3.6%.

Moderate increases will occur for all

Express Mail rates, except for a $0.30

decrease in the 1⁄2-pound rates for

Custom Designed Service and for Next

Day and Second Day Post Office to Post

Office Service. The fee for pickup

service will increase from $8.25 to

$10.25 per occurrence. The fee for

delivery stops (Custom Designed

Service only) will increase from $8.25 to

$10.25. The fee for every $100

increment of additional insurance

desired above the standard $500 of

coverage will increase from $0.95 to

$1.00.

b. Express Mail Rate Structure

There are no changes to the rate

structure of Express Mail. Same Day

Airport Service is still suspended.

c. Express Mail Preparation Changes

There are no changes to mail

preparation requirements for Express

Mail.

2. Priority Mail

a. Priority Mail Rate Highlights

Overall, Priority Mail rates will

increase by an average of 16%. The fee

for pickup service will increase from

$8.25 to $10.25 per occurrence.

b. Priority Mail Rate Structure

(1) One Pound or Less Priority Mail Rate

A unique Priority Mail rate has been

implemented for pieces weighing 1

pound or less. Prior to this change all

Priority Mail pieces weighing 2 pounds

or less were charged the 2-pound rate.

Mail that is placed in a Priority Mail

flat-rate envelope will continue to be

charged the 2-pound rate regardless of

the actual weight of the piece.

(2) Keys and Identification Devices

Keys and identification devices that

weigh more than 13 ounces but not

more than 1 pound will be eligible for

the new 1-pound Priority Mail rate plus

the fee. The fee for keys and

identification devices will increase from

$0.30 to $0.35.

c. Priority Mail Preparation Changes

There are no changes to mail

preparation requirements for Priority

Mail.

3. First-Class Mail

a. First-Class Mail Rate Highlights

Overall, First-Class Mail rates will

increase by an average of 1.8%. The

single-piece first-ounce letter rate

increases by only one cent, from $0.33

to $0.34, and the rate for each additional

ounce reduces by one cent from $0.22

to $0.21. The single-piece card rate

remains at $0.20.

The first-ounce letter rate for

Qualified Business Reply Mail (QBRM)

increases from $0.30 to $0.31, and the

card rate for QBRM reduces from $0.18

to $0.17.

The nonstandard surcharge for singlepiece rate mail weighing one ounce or

less will remain the same at $0.11. The

nonstandard surcharge for Presorted rate

and Automation rate pieces will remain

the same at $0.05.

The basic automation flat rate will

increase from $0.30 to $0.31 for the first

ounce. The combined 3/5-digit rate

category for automation flats will be

eliminated. New and separate

automated rate categories for 3-digit

automation flats and for 5-digit

automation flats will be implemented.

The annual presort mailing fee will

increase from $100 to $125.

b. First-Class Mail Rate Structure

The current automation flats 3/5-digit

rate will be split into two separate rates:

a 3-digit automation rate and a 5-digit

automation rate.

c. First-Class Mail Preparation Changes

(1) Maximum Weight Limit for

Automation Heavy Letters (C810.2.3)

The maximum weight for heavy

letters that may qualify for automation

letter rates also will be 3.3 ounces (.2063

pound).

78542 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

(2) Automation Flats (DMM M011,

M030, M033, M820, M910)

The Postal Service will change the

standards for the preparation of 5-digit

packages and 5-digit trays of automation

flats under DMM 820 from required

levels of sortation to optional levels of

sortation. This is supported by the new

rate structure that provides separate 5-

digit and 3-digit rates for automation

flats. All other current mail preparation

requirements will remain the same.

The Postal Service will also add a

new tray-based presort option for

automation flats. When using this

option, mailers will not need to prepare

automation flats in 5-digit, 3-digit, ADC,

and mixed ADC packages. Instead,

mailers will prepare flat trays to 5-digit

(optional), 3-digit, and ADC destinations

whenever there are 90 or more pieces to

a presort destination, and place

remaining pieces in mixed ADC tray(s)

that have no minimum tray quantity.

Ninety is the average number of pieces

that fills a flat tray up to the bottom of

the handholds when at least a single

stack of mail is lying flat on the bottom

of the tray. When there are 90 or more

pieces for a presort destination (other

than mixed ADC), mailers will be

required to physically fill flat tray(s) for

that destination and will be allowed one

less-than-full tray or one overflow tray

per 5-digit, 3-digit, and ADC

destination. Preparation of 5-digit trays

also will be optional under this traybased preparation option. Rates will be

based on the sortation level of the tray

to which a piece is sorted. Mailers

choosing to prepare their mail using this

option will not be eligible to prepare

their mail as outlined in new M910

which will also go into effect when the

rates resulting from the R2000–1 rate

case are implemented. (M910 will

permit co-traying of packages from

automation rate mailings and packages

from Presorted rate mailings that are

part of the same mailing job and meet

other criteria.)

(3) Tray Containers (DMM M033)

For clarification, new information has

been added to M033.1.2 to show that the

lids required to be placed on First-Class

Mail flat trays must be placed on the

tray green side up prior to strapping

under M033.1.5b.

(4) Application of Two POSTNET

Barcodes for Automation Flats (DMM

C840.3.0)

Mailers have requested the ability to

qualify flat-size mailpieces that bear two

POSTNET barcodes for the automation

flat rates. Mailers indicate that a

mailpiece bearing a barcode that is not

CASS-certified can in some instances be

upgraded to contain a second delivery

point barcode that meets the CASS- or

MASS-certification criterion for

eligibility for automation flat rates if it

is subsequently processed through an

MLOCR or other barcoding system.

However, unlike automated

processing of letter mail, FSM barcode

readers will read the first barcode it

recognizes. Therefore, which barcode is

read depends on the orientation of the

mailpiece when fed through the flat

sorter and the location of the barcodes

on the mailpiece.

A cooperative effort between the

Postal Service and MLOCR vendors led

to the development of standards that

will allow mailers to submit mailpieces

that bear two POSTNET barcodes to

qualify for automation flat-rates. The

Postal Service believes these standards

meet both the interest of the mailers in

qualifying for the most advantageous

postage rate discounts at the lowest

possible mailing costs and the interest

of the Postal Service to generate more

barcoded flat-size mailpieces. In

addition, MLOCR vendors plan to offer

FASTforwardsm to their clients in the

future to meet the First-Class Mail

requirement for move update in DMM

E140.

The Postal Service will allow the

application of two POSTNET barcodes

on the addressed side of flat-size

automation rate pieces providing certain

requirements are met. The presence of

two POSTNET barcodes on a flat-size

mailpiece will be permitted only when

the first barcode is applied in the

address block and that barcode is either

a 5-digit barcode or it is a ZIP+4 or

delivery point barcode that is not CASScertified. The second barcode must be a

delivery point barcode and must be

CASS- or MASS-certified. It is preferred,

but not required, that the second

barcode be applied in the lower right

area of the mailpiece parallel to and in

the same direction as the delivery

address. A greater than one-inch

separation between the two barcodes is

required. The second POSTNET barcode

must not be placed near the return

address. A no-spray clear zone of at

least one inch below the return address

is required. This is because OCRs on

Postal Service flat sorting machines use

the location of the POSTNET barcode to

determine the location of the

destination address block. If a

POSTNET barcode is applied close to

the return address and is scanned first,

it is highly probable that the OCR will

encode the return address and

inadvertently return the mailpiece to the

sender. The preferred location of the

lower right area of the mailpiece will

increase the likelihood that the CASSor MASS-certified delivery point

barcode is the first one read by the

FSMs.

The application of two POSTNET

barcodes is a temporary solution and

may be revised subsequent to

implementation of planet codes and/or

testing and implementation of other

options. At that time, MLOCR vendors

and or mailers will be given a 90-day

transition period to comply with the

new requirements.

4. Periodicals

a. Periodicals Rate Highlights

The overall proposed average rate

increase for Periodicals decreased from

12.7% to 9.5%. Outside-County

Periodicals will have an average

increase of 9.5% while Within-County

Periodicals will have an average

increase of 6.8%. Regular, Nonprofit

and Classroom will have average

increases of 9.9%, 7.2% and 9.6%,

respectively.

Two of the preferred subclasses

(Nonprofit and Classroom) will be

combined with the Regular subclass to

form an Outside-County subclass with

one set of rates. Nonprofit and

Classroom publications will receive a

5% discount on total Outside-County

postage, excluding the postage for

advertising pounds. The Within-County

subclass will remain a separate subclass

with a separate set of rates.

The nonadvertising percentage per

piece discount, the delivery unit

(Outside-County and In-County) per

piece discounts, and the SCF per piece

discount will increase. The OutsideCounty (except delivery unit, which

decreases), Science-of-Agriculture

(except delivery unit, which decreases),

and In-County pound rates will increase

along with all per piece rates for both

subclasses (Outside-County and Within

County). See DMM R200 for individual

rates and discounts.

The fee for original entry will increase

from $305 to $350. The re-entry and

newsagents’ fees will decrease from $50

to $40. The fee for additional entry will

remain unchanged at $50.

DMM changes will provide for DDU

rates for Periodicals entered under

exceptional dispatch authorizations.

The change will limit DDU rates under

exceptional dispatch to mail destined to

zones 1 and 2 and will generally restrict

eligibility to publications with

circulation of 25,000 and under.

b. Periodicals Rate Structure

Regular, Nonprofit, and Classroom

publications will use the same OutsideCounty rate schedule. Nonprofit and

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78543

Classroom publications will receive a

5% discount on total Outside-County

postage, excluding the postage for

advertising pounds. The 5% discount

does not apply to commingled

nonsubscriber copies in excess of the

10% allowance provided under DMM

E215. In-County rates will remain a

separate rate schedule.

c. Periodicals Mail Preparation Changes

(1) Bundles on Pallets

The current DMM describes a

‘‘bundle’’ as a group of packages secured

together as a unit that equates to a sack.

The current DMM provides both for

preparation of packages on pallets under

DMM M045.2.0 and for preparation of

bundles on pallets under DMM

M045.3.0. The Postal Service is not

aware of any mailers that currently opt

to prepare bundles on pallets.

Accordingly, the Postal Service will

delete the option to prepare bundles on

pallets under current DMM M045.3.0.

The provisions for preparing packages

on pallets will remain in DMM

M045.2.0.

(2) Maximum Weight Limit for

Automation Heavy Letters (C810.2.3)

The maximum weight for heavy

letters that may qualify for automation

letter rates also will be 3.3 ounces (.2063

pound).

(3) Other Rulemakings

Mailers are reminded that three final

rule Federal Register notices have

previously been published that set forth

required and optional preparation

requirements for Periodicals that also

will be effective on January 7, 2001.

These are: (1) ‘‘Sack Preparation

Changes for Periodicals Nonletter-Size

Pieces and Periodicals Prepared on

Pallets’’ published on July 28, 2000 (65

FR 46361), (2) ‘‘Line-of-Travel

Sequencing for Basic Carrier Route

Periodicals’’ published on July 28, 2000

(65 FR 46363), and (3) ‘‘Domestic Mail

Manual Changes for Sacking and

Palletizing Periodicals Nonletters and

Standard Mail (A) Flats, for Traying

First-Class Flats, and for Labeling

Pallets’’ published August 16, 2000 (65

FR 50054). In addition, a final rule has

been published concerning ‘‘Sack

Preparation Changes for Periodicals

Nonletter-Size Mailing Jobs that Include

Automation Flat Rate and Presorted

Rate Mailings.’’ This final rule requires,

effective January 7, 2001, use of the cosacking preparation method in DMM

M910 for Periodicals nonletter-size

mailing jobs that include both an

automation flats mailing and a Presorted

flats mailing. Information concerning

optional use of DMM M910 and its

associated preparation criteria was

published in Postal Bulletin 22036 (11–

2–00). Information concerning required

use of DMM M910 by Periodicals

mailers will be published in Postal

Bulletin 22039 (12–14–00) as

‘‘Preparation Changes for Periodicals

Nonletter-Size Mailing Jobs.’’

5. Standard Mail (Formerly Standard

Mail (A))

a. Standard Mail Rate Highlights

Regular rates will increase by an

average of 8.8%. Rates for commercial

Enhanced Carrier Route (ECR) mail will

increase by an average of 4.5%. Rates for

Nonprofit mail will increase by an

average of 4.8%. Rates for Nonprofit

Enhanced Carrier Route will increase by

an average of 18.3%.

Discounts for destination entry rate

mail (DBMC, DSCF, and DDU) have

increased. The annual presort mailing

fee increases from $100 to $125.

b. Standard Mail Rate Structure

All Standard Mail letters and nonletters are subject to a weight limit of 3.3

ounces (.2063 pound) for the minimum

per piece rate.

A new machinable parcel barcoded

discount of $0.03 will apply to Standard

Mail machinable parcels that are subject

to the residual shape surcharge and that

meet other preparation requirements.

This machinable parcel barcoded

discount is available only for the

Regular and Nonprofit Standard Mail

subclasses (it will not be available for

pieces mailed at the Enhanced Carrier

Route and Nonprofit Enhanced Carrier

Route subclasses).

There are two different residual shape

surcharges: Enhanced Carrier Route and

Nonprofit Enhanced Carrier Route mail

have a residual shape surcharge of

$0.15, and Regular and Nonprofit mail

have a residual shape surcharge of

$0.18.

Return receipt for merchandise, bulk

insurance, and electronic option

Delivery Confirmation are available for

Standard Mail parcels that are subject to

the residual shape surcharge.

c. Standard Mail Preparation Changes

(1) Name Change and DMM

Restructuring

The name of the mail class ‘‘Standard

Mail (A)’’ will change to ‘‘Standard

Mail.’’ Throughout this final rule,

‘‘Standard Mail’’ is used consistently in

the DMM text to indicate the class

formerly known as ‘‘Standard Mail (A).’’

For brevity, not all DMM sections for

which only name changes apply were

reproduced in this final rule. This

change will, however, be implemented

throughout all of DMM Issue 56, which

will transmit the final implementing

rules for R2000–1.

DMM sections C600, D600, E600,

M600, P600, and R600 now contain

standards for only Standard Mail.

Matter in these sections that formerly

contained standards for Package

Services mail have been moved into

new sections under C700, D700, E700,

M700, P700, and R700, respectively.

(Former P700, which contains

information on special postage payment

systems, is renumbered as P900.)

Matter pertaining only to Standard

Mail in former E611 and E612 is

consolidated and reorganized into new

E610. DMM E620 and E630 are

reorganized so that E620 pertains to

Presorted rate Standard Mail and E630

pertains to Enhanced Carrier Route

Standard Mail.

(2) Sack and Pallet Labels (DMM M031,

M032, M045, M600)

Currently, the contents line of sack

and pallet labels for irregular parcel and

machinable parcel mailings must show

‘‘STD A’’ or ‘‘STD B’’ as applicable for

the class being mailed. Because of the

name changes of ‘‘Standard Mail (A)’’ to

‘‘Standard Mail’’ and of ‘‘Standard Mail

(B)’’ to ‘‘Package Services,’’ the use of

‘‘STD A’’ on ‘‘Standard Mail’’ sack and

pallet labels for irregular parcel and

machinable parcel mailings is changed

to ‘‘STD’’ (Package Services labels will

use ‘‘PSVC’’).

(3) Dimensions for Machinable Parcels

(DMM C050)

The minimum dimensions for a

machinable parcel in DMM C050.4.1a

are changed to not less than 6 inches

long, 3 inches high, 1⁄4 inch thick, and

6 ounces in weight. (A mailpiece exactly

1⁄4 inch thick is subject to the 31⁄2-inch

height minimum under C010.) Some

parcels may be successfully processed

on BMC parcel sorters although they do

not conform to the new machinability

standards in DMM C050.4.1. If this is

the case, a BMC plant manager may

authorize a mailer to enter such parcels

as machinable parcels if the parcels are

tested on BMC parcel sorters and prove

to be machinable. Such an authorization

will apply only to mail that is both

entered at a post office within the

service area of the authorizing BMC area

and is for delivery to an address within

the service area of that BMC. These

changes also apply to Package Services

mail.

(4) Preparation of Bundles (DMM M045,

M600)

The current DMM describes a

‘‘bundle’’ as a group of packages secured

78544 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

together as a unit that equates to a sack.

Because the Postal Service is not aware

of any mailers that currently opt to

prepare bundles on pallets, the

provision in M045.3.0 that contains an

option to prepare bundles on pallets is

removed. The provisions for preparing

packages on pallets will remain in DMM

M045.2.0.

The current DMM also provides for

preparation of bedloaded bundles of

Presorted and Carrier Route rate mail

under DMM M610.6.0 and M620.6.0,

respectively. Such preparation requires

Rates and Classification Service Center

(RCSC) authorization. The records of the

Postal Service currently indicate that

there are no mailers authorized to

prepare bedloaded bundles in the

manner described in the DMM. Because

of this, and because bedloaded bundles

are generally not cost-efficient for the

Postal Service to handle and process,

the Postal Service is removing the

options to prepare bedloaded bundles

under DMM M610.6.0 and M620.6.0.

(5) Machinable Parcel Barcoded

Discount (DMM C850, E610, E620,

P600)

The new machinable parcel barcoded

discount of $0.03 will apply to

machinable parcels (as defined in DMM

C050) for which the residual shape

surcharge (RSS) surcharge is paid and

that bear a correct, readable 5-digit

barcode under C850 for the ZIP Code

shown in the delivery address and are

prepared as machinable parcels under

M045 or M610. Machinable parcels

prepared in 5-digit sacks or on 5-digit

pallets entered at DSCF rates may

qualify for the barcoded discount even

though such pieces will not be

processed using BMC barcode scanning

equipment. Otherwise, rates for 5-digit

sorted machinable parcels entered at

DSCF rates could be higher than for

BMC sorted machinable parcels that

were entered at DBMC rates and which

also qualified for the barcoded discount.

Machinable parcels entered at DBMC

rates may claim the machinable parcel

barcoded discount only if they are

entered at a BMC. An exception is that

properly prepared machinable pieces of

DBMC rate mail entered at the Phoenix,

Arizona, ASF may claim the barcoded

discount because that facility uses

barcode scanning equipment. The

machinable parcel barcoded discount is

not available for pieces mailed at the

Enhanced Carrier Route or Nonprofit

Enhanced Carrier Route subclasses.

If all pieces in a mailing are eligible

for the machinable parcel barcoded

discount under E610 and E620, then the

mailing may be paid with meter stamps,

permit imprint, or precanceled stamps

under the applicable standards. If fewer

than 100 percent of the pieces in the

mailing are eligible for the machinable

parcel barcoded discount, then payment

with precanceled stamps is not

permitted; use of metered postage is

permissible only if exact postage is

affixed to each piece in the mailing; and

use of permit imprints is permitted only

under a manifest mailing system (P910).

(6) Special Services With Standard Mail

(DMM E610, P600)

Standard Mail that is subject to the

residual shape surcharge (pieces

prepared as parcels or that are not lettersize or flat-size as defined in DMM

C050) may receive the following

additional special services upon

payment of the appropriate fees: bulk

insurance, return receipt for

merchandise, and electronic option

Delivery Confirmation. Other Standard

Mail is not eligible for any special

services. Mail prepared with detached

address labels under A060 and mail

using Bulk Parcel Return Service (BPRS)

also are not eligible for any special

services.

Mailpieces for which one or more of

these special services are requested

must bear a return address under A010

and must bear an ancillary service

endorsement that results in return of the

mailpiece to the sender if undeliverable

as addressed (Address Service

Requested, Forwarding Service

Requested, or Return Service

Requested).

Mailings for which bulk insurance is

requested must pay postage and fees

through a manifest mailing system

(P910).

For electronic option Delivery

Confirmation, the following postage

payment requirements apply. If

electronic option Delivery Confirmation

is requested for all the pieces in the

mailing and the mailing consists of

pieces of identical weight, then postage

may be paid with metered postage or

permit imprints under the existing

standards in P600.2.0 and P600.3.0 (as

restructured in this final rule). However,

if Delivery Confirmation is not

requested for all pieces in the mailing,

or if the pieces are not of identical

weight, then either the exact metered

postage must be affixed to each piece or

a manifest mailing system must be used

for permit imprint mail under P910.

Precanceled stamps may not be used for

postage payment on pieces with

Delivery Confirmation (see DMM

S918.1.5).

If return receipt for merchandise is

requested for all the pieces in the

mailing and the mailing consists of

pieces of identical weight, then postage

must be paid with metered postage or

permit imprints under the applicable

standards in DMM P600.2.0 and

P600.3.0. If return receipt for

merchandise is not requested for all of

the pieces in the mailing, or if the pieces

are not identical weight, then either the

exact metered postage must be affixed to

each piece, or a manifest mailing system

must be used for permit imprint mail

under P910. Precanceled stamps are not

permitted for use with return receipt for

merchandise.

(7) Maximum Weight Limit for

Automation Heavy Letters (DMM

C810.2.3)

The maximum weight for heavy

letters that may qualify for automation

letter rates also will be 3.3 ounces (.2063

pound).

(8) Barcodes on Automation Flats (DMM

C840.3.0)

DMM C840.3.0 has been revised to

allow application of two POSTNET

barcodes on the address side of flat-size

automation rate pieces provided certain

conditions are met.

(9) Permissible Use of Electronic Option

Delivery Confirmation With Standard

Mail Parcels Enclosed in an Express

Mail or Priority Mail Drop Shipment

(DMM S070 and S500.3.0)

DMM S070 and S500.3.0 are amended

to provide for use of electronic Delivery

Confirmation with Standard Mail

parcels enclosed in Priority Mail Drop

Shipment or Express Mail Drop

Shipment mailings.

6. Package Services (Formerly Standard

Mail (B))—General

a. Name Change and DMM

Restructuring

The name of this mail class will

change from ‘‘Standard Mail (B)’’ to

‘‘Package Services.’’ Package Services

includes Parcel Post (including Parcel

Select), Bound Printed Matter, Media

Mail (formerly Special Standard Mail),

and Library Mail.

The standards in current DMM

sections C600, D600, M600, E600, P600,

and R600 that pertain to Package

Services have been moved to new

sections under DMM C700, D700, E700,

M700, P700, and R700. Former P700,

which contains information on special

postage payment systems, is

renumbered as P900.

The standards for Package Services

contained in current DMM E611 and

E613 are consolidated and reorganized

into new E710. Current DMM E630 and

E650, which contain eligibility

standards for Package Services, are

moved into new DMM E700. Each of the

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78545

four subclasses of Package Services mail

has its own eligibility sections: DMM

E711 for Parcel Post; DMM E712 for

Bound Printed Matter; DMM E713 for

Media Mail (formerly Special Standard

Mail); and DMM E714 for Library Mail.

Information pertaining to eligibility of

Package Services mail for destination

entry rates is moved to DMM E750.

Current DMM M630 is moved and

reorganized into new DMM M710 for

Parcel Post, DMM M720 for Bound

Printed Matter, DMM M730 for Media

Mail, and DMM M740 for Library Mail.

b. Combining Different Subclasses of

Package Services to Qualify for DSCF

and DDU Rates

New provisions are added in DMM

E753 that allow mailers to combine

different subclasses of Package Services

machinable, irregular, and

nonmachinable parcels in the same 5-

digit sack or on the same 5-digit pallet

to qualify for DSCF and DDU rates. For

sack preparation, 10 or more parcels of

any combination of Package Services

subclasses, except for mail at Carrier

Route Bound Printed Matter rates, may

be placed in the same 5-digit sack and

entered at destination SCFs or at

destination delivery units. For pallet

preparation, 5-digit pallets that contain

either 50 pieces and 250 pounds or that

contain at least 36 inches of Package

Services parcels (any combination of

subclasses, except mail at Carrier Route

Bound Printed Matter rates) may be

prepared and entered at destination

SCFs or at destination delivery units.

Any Parcel Post pieces and any

Presorted Bound Printed Matter in such

sacks or on such pallets will be eligible

for the appropriate DSCF or DDU rate

provided all other eligibility

requirements for the applicable

destination entry rate are met. Media

Mail and Library Mail pieces are subject

to their respective single-piece or 5-digit

rates depending upon whether the 500-

piece minimum quantity requirement

for the 5-digit rates is met for each

subclass. Mailers must request

authorization to use this preparation

method and pay postage using permit

imprints under a manifest mailing

system agreement. See E753 for a full

description of the requirements and rate

applicability.

7. Parcel Post

a. Parcel Post Rate Highlights

Parcel Post rates will increase by an

average of 2.7%. The nonmachinable

surcharge for Inter-BMC Parcel Post will

increase from $1.65 to $2.00 per parcel.

The Parcel Post Origin BMC Presort and

BMC Presort discounts will increase

from $0.57 to $0.90 per piece and from

$0.22 to $0.23 per piece, respectively.

The barcoded discount for qualifying

Parcel Post (including Parcel Select)

machinable parcels will remain at $0.03

per piece. The annual destination entry

fee for Parcel Select will increase from

$100 to $125.

b. Parcel Post Rate Structure

Pieces weighing less than 16 ounces

are now eligible for Parcel Post

(including Parcel Select) rates. A onepound rate is added. The rates for a

piece weighing one pound or less and

the rates for a piece weighing more than

one pound but not more than 2 pounds

are the same. A $1.35 nonmachinable

surcharge for Intra-BMC Parcel Post and

a $1.45 nonmachinable surcharge for

DBMC Parcel Select are added.

c. Parcel Post Mail Preparation Changes

(1) Rate Markings (DMM M012 and

M710)

There are no changes to the marking

requirements for Parcel Post and Parcel

Select.

(2) Sack and Pallet Labels (DMM M031,

M032, M045, M710)

The abbreviation ‘‘STD’’ or ‘‘STD B’’

on the contents line of sack and pallet

labels for Parcel Post (including Parcel

Select) is changed to ‘‘PSVC’’ (an

abbreviation for Package Services).

Labels for 5-digit sacks and pallets

prepared to qualify for Parcel Select

DSCF and DDU rates are revised to add

the processing category ‘‘PARCELS’’ to

the contents line to read ‘‘PSVC

PARCELS 5D.’’ For containers of

combined Package Services parcels, line

2 will also read ‘‘PSVC PARCELS 5D.’’

(3) Dimensions for Machinable Parcels

(DMM C050)

The minimum dimensions for a

machinable parcel in DMM C050.4.1a

are changed to not less than 6 inches

long, 3 inches high, 1⁄4 inch thick, and

6 ounces in weight. (A mailpiece exactly

1⁄4 inch thick is subject to the 31⁄2-inch

height minimum under C010.) (The

previous minimum weight was 8 ounces

unless certain other conditions were

met.) Some parcels may be successfully

processed on BMC parcel sorters

although they do not conform to the

machinability standards in new DMM

C050.4.1. If this is the case, a BMC plant

manager may authorize a mailer to enter

such parcels as machinable parcels if

the parcels are tested on BMC parcel

sorters and prove to be machinable.

Such an authorization applies only to

mail that is both entered at a post office

within the authorizing BMC’s service

area and is for delivery to an address

within that BMC’s service area. These

changes also apply to Standard Mail.

(4) Machinable Parcel Preparation

Requirements (DMM M045 and M710)

The rules for sacking and palletizing

Parcel Post (including Parcel Select)

machinable parcels are clarified to point

out that they are optional preparation

methods for Parcel Post. In addition, the

sacking rules are modified to delete the

1,000 cubic inch option for preparing

sacks of machinable parcels. If Parcel

Post mailers choose to sack under the

machinable parcel preparation

standards, sacks for a 5-digit, ASF, or

BMC destination have a minimum

volume requirement of 10 pieces or 20

pounds.

(5) Postage Payment (P700)

P700 is clarified to indicate that

precanceled stamps must not be used

for postage payment of any Parcel Post

or Parcel Select mail, including matter

at single-piece rates.

8. Bound Printed Matter

a. Bound Printed Matter Rate Highlights

The Postal Service has calculated that

Bound Printed Matter (BPM) rates will

increase by an average of 9.8%. New

destination entry discounts for

Presorted rate and Carrier Route rate

mailings of Bound Printed Matter are

available to encourage the deposit of

mail at the destination BMC, SCF, or

delivery unit. There is an annual

destination entry mailing fee for mail

entered at destination entry rates of

$125. The barcoded discount for

qualifying Presorted Bound Printed

Matter machinable parcels will remain

at $0.03 per piece.

b. Bound Printed Matter Rate Structure

The local zone rate category has been

eliminated for Bound Printed Matter.

Destination entry rates for Presorted and

Carrier Route Bound Printed Matter

entered at destination BMCs, SCFs, and

delivery units are provided. To qualify

for destination entry rates mailers must

pay the annual destination entry

mailing fee described above and meet

the preparation requirements in DMM

E752 that are summarized below. There

are no destination entry rates for singlepiece Bound Printed Matter.

Another major change is that pieces

weighing less than 16 ounces are

eligible for Bound Printed Matter rates;

however, there are no rate categories for

pieces less than 1 pound for singlepiece, Presorted, and Carrier Route mail.

Therefore, single-piece Bound Printed

Matter that weighs less than 1 pound

will be charged the 1-pound rate (which

is the same as the 1.5-pound rate), and

78546 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Presorted and Carrier Route Bound

Printed Matter that weighs less than 1

pound will be charged the full 1-pound

rate, plus the applicable per piece

charge.

c. Bound Printed Matter Mail

Preparation Changes

(1) Rate Markings (DMM M012 and

M720)

There are two changes to the marking

requirements for Bound Printed Matter.

The first allows mailers to use the

abbreviation ‘‘BPM’’ as the basic

(subclass) marking that must appear in

the postage area on each piece. The

second prohibits mailers from using the

‘‘Presorted Standard’’ (or ‘‘PRSRT STD’’)

marking on Presorted and Carrier Route

Bound Printed Matter after a 1-year

grace period. Because of the renaming of

Standard Mail (B) to Package Services,

‘‘Standard’’ and ‘‘STD’’ are no longer

applicable as class of mail descriptions

for Bound Printed Matter. Mailers will

have until January 1, 2002 to

discontinue use of the ‘‘Presorted

Standard’’ (or ‘‘PRSRT STD’’) marking.

(2) Sack and Pallet Labels (DMM M031,

M032, M045, M700)

The abbreviations ‘‘STD’’ or ‘‘STD B’’

on the contents line of sack and pallet

labels for Bound Printed Matter are

changed to ‘‘PSVC’’ (an abbreviation for

Package Services).

(3) Address Matching Requirements for

Presorted Bound Printed Matter (DMM

E712)

A new requirement is added that all

5-digit ZIP Codes included in addresses

on pieces claimed at Presorted Bound

Printed Matter rates must be verified

and corrected within 12 months before

the mailing date using a USPS-approved

method. The mailer must certify on the

postage statement that this standard has

been met when the mail is presented to

the USPS. This standard applies to each

address individually, not to a specific

list or mailing. See E712.3.1.

(4) Dimensions for Machinable Parcels

(DMM M050)

The minimum dimensions for a

machinable parcel in DMM C050.4.1a

are changed to not less than 6 inches

long, 3 inches high, 1⁄4 inch thick, and

6 ounces in weight. (A mailpiece exactly

1⁄4 inch thick is subject to the 31⁄2-inch

height minimum under C010.) (The

previous minimum weight was 8 ounces

unless certain other conditions were

met.) Some parcels may be successfully

processed on BMC parcel sorters

although they do not conform to the

machinability standards in DMM

C050.4.1. If this is the case, a BMC plant

manager may authorize a mailer to enter

such parcels as machinable parcels if

the parcels are tested on BMC parcel

sorters and prove to be machinable.

Such an authorization applies only to

mail that is both entered at a post office

within the authorizing BMC’s service

area and is for delivery to an address

within that BMC’s service area. These

changes also apply to Standard Mail.

(5) Sortation for Sacked Presorted Rate

Bound Printed Matter (DMM M722)

(a) General. All flats and all irregular

parcels that weigh less than 10 pounds

must be prepared in packages prior to

sacking. Machinable parcels are still

placed directly in sacks without

packaging, and irregular parcels

weighing 10 pounds or more must be

placed into sacks without packaging.

Irregular parcels weighing 10 pounds or

more that are placed directly in sacks

must be individually enveloped, be

placed in a full-length sleeve or

wrapper, or be polywrapped. The

provisions for preparing sacks to a

particular presort destination based on a

1,000 cubic inch minimum are deleted.

(b) Flats. For flats prepared in sacks,

mailers are required to prepare packages

whenever there are at least 10 pieces or

10 pounds of mail, whichever occurs

first, for a presort destination (5-digit, 3-

digit, ADC), with remaining pieces

placed in mixed ADC packages.

‘‘Whichever occurs first’’ means a

mailing of identical-weight pieces

weighing one pound or less must be

packaged using the 10-piece package

minimum, and those that weigh more

must be prepared using the 10-pound

package minimum. (See M722 for

information concerning mailings of

nonidentical weight pieces.) The

maximum weight of any package is 20

pounds, except that 5-digit packages

placed in 5-digit sacks may weigh up to

40 pounds. This allows packages

prepared in other than 5-digit sacks to

be processed on small parcel and

bundle sorters (SPBSs). Each physical

package is required to contain at least 2

addressed pieces except for mixed ADC

packages.

These packages are required to be

placed in sacks whenever there are at

least 20 pieces or 20 pounds, whichever

occurs first, for a sack destination (5-

digit, 3-digit, optional SCF, ADC), with

remaining packages placed in mixed

ADC sacks. ‘‘Whichever occurs first’’

means that if the individual pieces in

the mailing weigh one pound or less

they must be sacked whenever there are

20 or more pieces to a sack destination,

and individual pieces that weigh more

than one pound must be sacked when

there are 20 or more pounds to a sack

destination. (See M722 for information

concerning mailings of nonidentical

weight pieces.)

(c) Irregular Parcels That Each Weigh

Less Than 10 Pounds. For Presorted

irregular parcels, mailers are required to

prepare the mail in packages if the

individual pieces weigh less than 10

pounds. Packages must be prepared

whenever there are at least 10 pieces or

10 pounds to a presort destination,

whichever occurs first. ‘‘Whichever

occurs first’’ means a mailing of

identical-weight pieces weighing one

pound or less must be packaged using

the 10-piece package minimum, and

those that weigh more must be prepared

using the 10-pound package minimum.

(See M722 for information concerning

mailings of nonidentical weight pieces.)

The package destinations are the same

as for flat-size pieces (5-digit, 3-digit,

ADC, and mixed ADC). Mixed ADC

packages may contain fewer than 10

pieces or 10 pounds of mail.

Sortation to ADCs is made using

DMM L004 instead of L603, and mixed

ADC sacks are labeled using DMM L004

instead of L604. The maximum weight

of any package is 20 pounds, except that

5-digit packages placed in 5-digit sacks

may weigh up to 40 pounds. Each

physical package is required to contain

at least 2 addressed pieces except for

mixed ADC packages.

There is one exception to the

packaging requirement. Mailers of

irregular parcel BPM prepared in 5-digit

sacks, may at their option, prepare such

pieces loose in sacks without physical

packaging provided the number of

pieces in the sack meets the minimum

package size and sack size requirements

and the pieces in the 5-digit sack(s) are

individually wrapped or enveloped.

Packages must be placed in 5-digit, 3-

digit, optional SCF, and ADC sacks

whenever there are 10 or more pieces or

20 or more pounds, whichever occurs

first, for a sack destination. Remaining

packages must be placed in mixed ADC

sacks. ‘‘Whichever occurs first’’ means

that if the individual pieces in the

mailing weigh two pounds or less they

must be sacked whenever there are 10

or more pieces to a sack destination, and

individual pieces weighing more than

two pounds must be sacked when there

are 20 or more pounds to a sack

destination. (See M722 for information

concerning mailings of nonidentical

weight pieces.)

(d) Irregular Parcels That Each Weigh

10 or More Pounds. Presorted irregular

parcels that each weigh 10 or more

pounds are not packaged, but must be

placed in 5-digit, 3-digit, optional SCF,

and ADC sacks whenever there are 20 or

more pounds for a sack destination.

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78547

Remaining pieces are placed in mixed

ADC sacks. Sortation to ADCs is made

using DMM L004 instead of L603, and

mixed ADC sacks are labeled using

DMM L004 instead of L604. Irregular

parcel-size pieces that each weigh 10 or

more pounds are required to be

individually enveloped, be placed in a

full-length sleeve or wrapper, or be

polywrapped prior to sacking.

(e) Machinable Parcels. For

machinable parcels, sacks are prepared

when there are at least 10 pieces or 20

pounds, whichever occurs first, for a

required or optional sack level. The

option to use 1,000 cubic inches as a

minimum sacking criterion is deleted.

The new ‘‘whichever occurs first’’

criterion means that if the individual

pieces in the mailing weigh two pounds

or less they must be sacked whenever

there are 10 or more pieces to a sack

destination, and individual pieces

weighing more than two pounds must

be sacked when there are 20 or more

pounds to a sack destination. (See M722

for information concerning mailings of

nonidentical weight pieces.) In addition,

an optional ASF sack sortation level

using DMM L602 is added for pieces

that are entered at DBMC rates.

(6) Sortation for Sacked Carrier Route

Rate Bound Printed Matter (DMM M020,

M723)

(a) Flats. For flat-size mail, the basic

eligibility requirement to qualify for

carrier route rates of a minimum of 10

pieces/20 pounds/1,000 cubic inches of

mail for the same carrier route is

changed to require a minimum of 10

pieces or 10 pounds of mail, whichever

occurs first, prepared in a package or

packages for the same carrier route.

‘‘Whichever occurs first’’ means a

mailing of identical-weight pieces

weighing one pound or less must be

packaged using the 10-piece package

minimum, and those that weigh more

than one pound must be prepared using

the 10-pound package minimum. (See

M722 for information concerning

mailings of nonidentical weight pieces.)

In addition, the maximum weight of

any flat-size package is 40 pounds. Each

physical package must contain a

minimum of two addressed pieces. The

only exception to a minimum two-piece

package is that the last physical package

to an individual carrier route

destination may consist of a single

addressed piece provided that all other

packages to that carrier route

destination contained at least two

addressed pieces and that the total

group of pieces to that carrier route

meets the applicable Carrier Route rate

eligibility minimum in E712 (for flats,

10 pieces or 10 pounds, whichever

occurs first).

Packages of flat-sized mail must be

sacked for an individual carrier route

whenever there are at least 20 pieces or

20 pounds of mail for a carrier route,

whichever occurs first. The new

‘‘whichever occurs first’’ criterion

means that if the individual pieces in

the mailing weigh one pound or less

they must be sacked whenever there are

20 or more pieces to a sack destination,

and individual pieces weighing more

than one pound must be sacked when

there are 20 or more pounds to a sack

destination. (See M722 for information

concerning mailings of nonidentical

weight pieces.)

Remaining carrier route packages

must be sacked in 5-digit carrier routes

sacks or, at the mailer’s option, sacked

to 5-digit scheme carrier routes sacks

using L001.

(b) Irregular Parcels Weighing Less

Than 10 Pounds Each. For mailings of

Carrier Route irregular parcels that each

weigh less than 10 pounds, mailers

must prepare the mail in packages prior

to sacking. A package must be prepared

whenever there are at least 10 pieces or

20 pounds of mail to an individual

carrier route, whichever occurs first.

The new ‘‘whichever occurs first’’

criterion means that if the individual

pieces in the mailing weigh two pounds

or less they must be packaged whenever

there are 10 or more pieces to a carrier

route destination, and individual pieces

weighing more than two pounds must

be packaged when there are 20 or more

pounds to a carrier route destination.

(See M722 for information concerning

mailings of nonidentical weight pieces.)

The maximum weight of any package

is 40 pounds. Each physical package is

required to contain a minimum of two

addressed pieces. The only exception to

a minimum two-piece package is that

the last physical package to an

individual carrier route destination may

consist of a single addressed piece

provided that all other packages to that

carrier route destination contain at least

two addressed pieces and that the total

group of pieces to that carrier route

meets the applicable Carrier Route rate

eligibility minimum in E712 (for

irregular parcels weighing less than 10

pounds, 10 pieces or 20 pounds,

whichever occurs first).

Carrier route packages of irregular

parcels must be placed in direct carrier

route sacks when there are 10 or more

pieces or 20 or more pounds to a carrier

route, whichever occurs first. The new

‘‘whichever occurs first’’ criterion

means that if the individual pieces in

the mailing weigh two pounds or less

they must be sacked whenever there are

10 or more pieces to a sack destination,

and individual pieces weighing more

than two pounds must be sacked when

there are 20 or more pounds to a sack

destination. (See M722 for information

concerning mailings of nonidentical

weight pieces.) Carrier route packages

that cannot be placed in direct carrier

route sacks must be placed in 5-digit

carrier routes sacks. Preparation of 5-

digit scheme carrier routes sacks for

irregular parcels is not permitted.

(c) Irregular Parcels That Each Weigh

10 or More Pounds. For mailings of

Carrier Route irregular parcels that each

weigh 10 or more pounds, the mail is

not prepared in packages, but must be

placed only in direct carrier route sacks

that each contain a minimum of 20

pounds of mail. Smaller volumes in a

carrier route sack are not permitted.

(d) Machinable Parcels. Machinable

parcels will be permitted to qualify for

Carrier Route Bound Printed Matter

rates if placed in direct carrier route

sacks that each contain a minimum of

10 pieces or 20 pounds of mail,

whichever occurs first. (Machinable

parcels prepared on pallets under M045

are not eligible for Carrier Route Bound

Printed Matter rates.) The new

‘‘whichever occurs first’’ criterion

means that if the individual pieces in

the mailing weigh two pounds or less

they must be sacked whenever there are

10 or more pieces to a sack destination,

and individual pieces that weigh more

than two pounds must be sacked when

there are 20 or more pounds to a sack

destination. (See M722 for information

concerning mailings of nonidentical

weight pieces.) Smaller volumes in a

sack are not permitted.

(e) Residual Pieces. The provisions for

marking and sortation of residual pieces

that do not qualify for the Carrier Route

Bound Printed Matter rates have

changed. Such pieces may no longer be

sorted to carrier routes and may not bear

the ‘‘Carrier Route Presort’’ marking.

Such residual pieces are required to be

marked and sorted in accordance with

the requirements for Presorted rate

mailings and will continue to qualify for

the Presorted rates (see M723.1.5).

(7) Preparation of Packages on Pallets

(DMM M040 and M045)

Flats prepared as packages on pallets

are permitted to use optional scheme

sort (DMM L001). For flat-size pieces

prepared in a copalletized mailing job

that contains both a Presorted rate

mailing and a Carrier Route rate

mailing, separate 5-digit pallets must be

prepared for carrier route mail (optional

5-digit scheme carrier routes and

required 5-digit carrier routes pallets),

and separate 5-digit pallets must be

78548 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

prepared for Presorted rate mail

(optional 5-digit scheme and required 5-

digit pallets).

For irregular parcels prepared as

packages on pallets, mailers must

prepare co-palletized Carrier Route and

Presorted mail on the same 5-digit

pallet. Scheme sortation is not

permitted for packages of irregular

parcels on pallets.

For flats and irregular parcels,

packages are required to be made to a

required package destination (carrier

route, 5-digit, 3-digit, ADC) whenever

there are 10 or more pieces or 10 or

more pounds for a presort destination,

whichever occurs first, except that the

last package to a presort destination may

weigh less than 10 pounds. ‘‘Whichever

occurs first’’ means a mailing of

identical-weight pieces weighing one

pound or less must be packaged using

the 10-piece package minimum, and

those that weigh more must be prepared

using the 10-pound package minimum.

(See M722 for information concerning

mailings of nonidentical weight pieces.)

When there are at least 10 pieces, but

fewer than 10 pounds for a presort

destination, the pieces must be prepared

in a single physical package.

ADC packages must be prepared using

DMM L004 instead of L603. The

maximum physical package size is 20

pounds except as follows. For Presorted

rate mail, 5-digit packages may weigh

up to 40 pounds if placed on a 5-digit

scheme (flats only) or 5-digit pallet. For

Carrier Route rate mail, flat-size carrier

route packages may weigh up to 40

pounds if they are placed on 5-digit

scheme carrier routes, or 5-digit carrier

routes pallets, and irregular parcel-size

carrier route packages may weigh up to

40 pounds if they are placed on a 5-digit

pallet. Each physical package is

required to contain at least 2 pieces.

When individual pieces weigh 10 or

more pounds, they cannot be prepared

as packages on pallets (except in those

instances where 40-pound packages are

permitted as described above). Such

pieces that weigh 10 or more pounds are

required to be prepared either as

machinable parcels on pallets (eligible

only for Presorted rates) or in sacks

under M722 (Presorted rates) and/or

M723 (Carrier Route rates). The new 20-

pound package weight limit for flats and

irregular parcels allows the packages to

be processed on small parcel and

bundle sorters (SPBSs).

(8) PAVE Certification and Package

Reallocation

A requirement for the use of

standardized documentation or Presort

Accuracy Validation and Evaluation

(PAVE)-certified software for Bound

Printed Matter has not been added to

the standards. However, the Postal

Service plans to develop PAVE tests for

Bound Printed Matter in the future. At

that time, standardized documentation

requirements will be developed and a

Federal Register proposed rule to

require either use of standardized

documentation or use of PAVE-certified

software for Presorted and Carrier Route

Bound Printed Matter will be published

for comment. Because use of optional

package reallocation to protect SCF and

BMC pallets requires use of PAVEcertified software, use of package

reallocation for Bound Printed Matter

flats is not available at this time. Use of

package reallocation will be offered for

Bound Printed Matter once use of

PAVE-certified software becomes

available.

(9) Bedloaded Bundles (DMM M722,

M723)

The provisions for preparing

bedloaded bundles in previous DMM

M630.7.0 have been removed. A

‘‘bundle’’ is described as a group of

packages secured together as a unit that

equates to a sack. The Postal Service

does not believe that any mailers are

currently preparing true bedloaded

‘‘bundles,’’ although some mailers do

prepare bedloaded ‘‘packages.’’ The

Postal Service is implementing

preparation rules for Bound Printed

Matter that are designed to reduce

handling and processing costs.

Bedloaded packages or bundles are

generally not cost-efficient for the Postal

Service to handle and process.

Therefore, these final sortation rules

eliminate the option to prepare

bedloaded bundles and allow mailers to

prepare bedloaded packages only for

mail that is prepared for and entered at

the DDU rates (because DDU rate mail

must be unloaded by the mailer). Such

bedloaded packages may weigh up to 40

pounds each. See M722 and M723.

(10) Destination Bulk Mail Center

(DBMC) Rates (DMM E752)

Destination Bulk Mail Center (DBMC)

rates apply to Presorted and Carrier

Route Bound Printed Matter mailings

that are prepared in any permissible

sack or pallet level and that are

deposited at a BMC or ASF, are

addressed for delivery to one of the 3-

digit ZIP Codes served by the BMC or

ASF where deposited that are listed in

Exhibit E751.1.3, and are placed in a

sack or pallet that is labeled to the BMC

or ASF where deposited, or labeled to

a postal facility within the service area

of that BMC or ASF under Exhibit

E751.1.3.

Flats or irregular parcels in an ADC

sack or in a palletized ADC package are

eligible for the DBMC rates if the ADC

facility ZIP Code (as shown in Line 1 of

the corresponding sack label or the ADC

facility that is the destination of the

palletized ADC package as would be

shown on an ADC sack label for that

facility using DMM L004, Column B) is

within the service area of the BMC or

ASF at which the sack is deposited.

Flats or irregular parcels in mixed

ADC sacks qualify for the DBMC rates

only if all the pieces in the sack are for

the service area of the DBMC or DASF

as shown in Exhibit E751.1.3. Mailers

who opt to claim the DBMC rates for

mail in mixed ADC sacks are required

to prepare separate mixed ADC sacks for

pieces eligible for and claimed at the

DBMC rate and for pieces not claimed

at the DBMC rate (one set of mixed ADC

sacks containing packages qualifying for

DBMC rates and one set of mixed ADC

sacks for packages that do not qualify

for DBMC rates). For this purpose, DMM

E650 and E752 specify that mailers

assign ADC packages to the respective

qualifying or nonqualifying mixed ADC

sacks based on the ‘‘label to’’ ZIP Code

for the ADC. For mixed ADC packages,

separate mixed ADC packages must be

prepared based on the individual

addresses on the pieces. That is, a

mixed ADC package(s) for pieces within

the ASF or BMC entry point must be

prepared and a separate mixed ADC

package(s) for pieces outside the entry

ASF or DBMC area (using either Exhibit

E650.5.1 or E751.1.3) must be prepared.

Machinable parcels palletized under

M045 or sacked under M722 may be

sorted to destination BMCs under L601

or to destination BMCs and ASFs under

L601 and L602. Sortation of machinable

parcels to ASFs is optional but is

required to be eligible for DBMC rates

for mail with a 3-digit ZIP Code prefix

within the ASF service area in Exhibit

E751.1.3. Mailers may opt to sort some

or all machinable parcels for ASF

service area ZIP Codes to ASFs only

when the mail will be deposited at the

respective ASFs where the DBMC rates

are claimed, under applicable volume

standards, using L602. Mailers may also

opt to sort machinable parcels only to

destination BMCs under L601. If

machinable parcels are sorted to only

destination BMCs under L601, then only

mail for 3-digit ZIP Codes served by a

BMC as listed in Exhibit E751.1.3 would

be eligible for DBMC rates (mail for 3-

digit ZIP Codes served by an ASF in

Exhibit E751.1.3 sorted to the BMC

pallet would not be eligible for DBMC

rates, nor would mail for 3-digit ZIP

Codes that do not appear in Exhibit

E751.1.3).

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78549

Machinable parcels in mixed BMC

sacks or on mixed BMC pallets that are

sorted to the origin BMC under M045 or

M722 are eligible for the DBMC rates

only if both of the following conditions

are met: (1) The mixed BMC sack or

pallet is entered at the origin BMC

facility to which it is labeled, and (2) the

pieces are for 3-digit ZIP Codes listed as

eligible destination ZIP Codes for that

BMC in Exhibit E751.1.3.

(11) Destination Sectional Center

Facility (DSCF) Rates (DMM E752)

Destination Sectional Center Facility

(DSCF) rates apply to Presorted and

Carrier Route Bound Printed Matter

mailings that meet all of the following

conditions:

(a) Are eligible for and prepared to

qualify for Presorted or Carrier Route

rates.

(b) Are deposited at an SCF listed in

L005, except that machinable parcels

prepared on pallets for the 5-digit ZIP

Codes listed in Exhibit E751.6.0 must be

entered at the corresponding BMC

facility shown in that Exhibit (not at the

SCF) unless an exception is requested

and granted. An exception to Exhibit

751.6.0 must be requested at least 15

days in advance of the mailing in

writing from the area manager of

operations support who has jurisdiction

over the BMC and SCF. Exceptions, if

granted, will be for a limited time.

(c) Are addressed for delivery to one

of the 3-digit ZIP Codes served by the

SCF where deposited under L005.

(d) Are placed in a sack or on a pallet

(subject to the standards for the rate

claimed) that is labeled to the DSCF

where deposited, or labeled to a postal

facility within the service area of that

SCF (see L005).

Flats in sacks for the carrier route, 5-

digit carrier routes scheme, 5-digit

carrier routes, 5-digit, 3-digit, and

optional SCF sort levels may claim

DSCF rates under the conditions

described above. Flats on 5-digit scheme

carrier routes, 5-digit carrier routes, 5-

digit scheme, 5-digit, 3-digit, SCF, and

ASF pallets may claim DSCF rates

under the conditions described above.

Irregular parcels in sacks for the

carrier route, 5-digit carrier routes, 5-

digit, 3-digit, and optional SCF sort

levels may claim DSCF rates under the

conditions described above. Irregular

parcels on 5-digit, 3-digit, SCF, and ASF

pallets may claim DSCF rates under the

conditions described above.

Machinable parcels in direct carrier

route sacks, in 5-digit sacks, or on 5-

digit pallets may claim DSCF rates

under the conditions described above.

Machinable parcels prepared to claim

Carrier Route rates are eligible for DSCF

rates only when prepared in direct

carrier route sacks (machinable parcels

qualify for Carrier Route rates only

when prepared in direct carrier route

sacks). Presorted rate machinable

parcels on 5-digit pallets may claim

DSCF rates under the conditions

described above. Note that palletized

machinable parcels for the 5-digit ZIP

Codes listed in Exhibit E751.6.0 must be

entered at the applicable BMC to claim

DSCF rates.

For mailings prepared for the DSCF

rate in pallet boxes, the height of the

pallet box may not exceed 60 inches

(excluding the pallet) as is currently

required for Parcel Select DSCF rate

mail (DMM M041.4.2).

(12) Destination Delivery Unit (DDU)

Rates (DMM E752)

New Destination Delivery Unit (DDU)

rates apply to Presorted and Carrier

Route rate Bound Printed Matter

mailings that are addressed for delivery

within the ZIP Code(s) served by the

destination delivery unit and are

deposited at the appropriate destination

delivery unit facility.

For flat-size Presorted Bound Printed

Matter, DDU rates may be claimed only

for individual pieces that weigh more

than one pound. (This minimum weight

may increase in the near future

dependent on AFSM 100 machinability

requirements.) To qualify for DDU rates,

Presorted rate flats must be prepared in

5-digit sacks, or on optional 5-digit

scheme or required 5-digit pallets, or be

prepared as bedloaded 5-digit packages.

The Drop Shipment Product must be

used to determine the correct

destination entry facility for the 5-digit

destination of the container. If the Drop

Shipment Product lists multiple

facilities for a single 5-digit ZIP Code,

the mailer must inquire about the

correct drop site when contacting the

DDU to schedule an appointment.

For flat-size Carrier Route Bound

Printed Matter, DDU rates may be

claimed for mail prepared in carrier

route, optional 5-digit carrier routes

scheme, and 5-digit carrier routes sacks;

on 5-digit scheme carrier routes scheme

and 5-digit carrier routes pallets; or in

bedloaded carrier route packages. There

is no minimum weight for individual

flat-size pieces to qualify for Carrier

Route rate flat-size pieces. Carrier Route

rate flat-size mail must be entered at the

facility where the carrier cases flat-size

mail as shown in the Drop Shipment

Product.

For irregular parcels of Carrier Route

Bound Printed Matter, DDU rates may

be claimed for mail prepared in carrier

route and, for pieces each weighing less

than pounds only, in 5-digit carrier

routes sacks. For irregular parcels of

Presorted Bound Printed Matter, DDU

rates may be claimed for mail prepared

in 5-digit sacks or on 5-digit pallets.

Irregular parcels prepared as bedloaded

carrier route packages or bedloaded 5-

digit packages also are eligible for DDU

rates.

For machinable parcels of Carrier

Route Bound Printed Matter, DDU rates

are available for carrier route parcels

prepared in direct carrier route sacks.

For machinable parcels of Presorted

Bound Printed Matter, DDU rates are

available for parcels prepared in 5-digit

sacks or on 5-digit pallets.

To claim the DDU rates, both irregular

and machinable parcels must be entered

at the facility that delivers parcels to the

addresses appearing on the deposited

pieces. Mailers must use the Drop

Shipment Product to determine the

location of the 5-digit delivery facility

and whether it can handle pallets. When

the Drop Shipment Product shows that

parcels for a single 5-digit ZIP Code area

is delivered out of more than one postal

facility, then the facility from which the

majority of city carrier routes are

delivered is the facility at which the

DDU mail must be entered, unless the

5-digit ZIP Code is listed in Exhibit

E751.7.0 or Exhibit E751.8.0. For ZIP

Codes in Exhibit E751.7.0 and Exhibit

E751.8.0, mailers would use the name of

the facility associated with the 5-digit

ZIP Code on the respective exhibit as

the facility at which DDU mail for that

5-digit ZIP Code mail must be entered.

Mailers who palletize machinable and

irregular parcels must also determine if

the 5-digit facility is able to handle

pallets using the Drop Shipment

Product. If the 5-digit facility is unable

to handle pallets, and a mailer

transports mail to the DDU facility on

pallets, the driver will have to unload

the pallets into a container specified by

the delivery unit.

(13) Destination Entry Mail

Preparation—Plant-Verified Drop

Shipment (PVDS) (DMM E752)

Pieces must be part of a mailing of at

least 300 pieces of Presorted Bound

Printed Matter or part of a mailing of at

least 300 pieces of Carrier Route Bound

Printed Matter to qualify for DBMC,

DSCF, and DDU rates. When Presorted

Bound Printed Matter or Carrier Route

Bound Printed Matter mailings are

submitted under PVDS procedures,

mailers may use the total of all line

items for all destinations on a PVDS

register or PVDS postage statement to

meet the respective 300-piece minimum

volume requirements. This means that a

mailer may enter fewer than 300 pieces

per Presorted or Carrier Route mailing at

78550 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

an individual destination, provided

there is a total of at least 300 Presorted

rate pieces and/or 300 Carrier Route rate

pieces for all of the entry points for that

single mailing job listed on the PVDS

register or PVDS postage statement.

(14) Detached Address Label Mailings

(DMM A060)

The preparation requirements for use

of DALs with Bound Printed Matter

mailings are revised. Mailers must

prepare Bound Printed Matter with

DALs either on pallets or in sacks as

described in DMM A060.

When prepared on pallets, mailers

may enter Bound Printed Matter

prepared with DALs at any post office

provided only 5-digit pallets are

prepared and if the following additional

requirements and restrictions are met.

The 5-digit pallets must meet the

minimum volume and other

requirements for pallet preparation

under M040 and M045, except that for

flat-size mail, separate 5-digit pallets for

Carrier Route rate and for Presorted rate

mail are not required. The mail must not

be prepared on pallets when the Drop

Shipment Product indicates that the

delivery unit that serves the 5-digit

pallet destination cannot handle pallets.

The destination delivery unit is

determined using the Drop Shipment

Product under the provisions for the

DDU rate in E752. (For delivery units

that cannot handle pallets, mail with

DALs is required to be prepared in

sacks.) The trays or cartons of DALs

must be prepared under A060.3.0 and

placed on the same pallet as the Bound

Printed Matter. In addition, the Bound

Printed Matter and the trays of DALs

must be stretch-wrapped together as one

unit on the pallet.

For mail prepared with DALs in

sacks, the matter must be prepared in 5-

digit sacks and must be entered at the

destination delivery unit. The

destination delivery unit must be

determined using the Drop Shipment

Product under the provisions for the

DDU rate in DMM E752. The DALs must

be packaged under A060.3.0 and

presented to the destination delivery

unit with the accompanying items to be

distributed with the DALs. The

standards for DALs are amended to

clarify that items mailed with DALs may

not be combined with any special

services (new A060.1.7). In addition, the

standards for DALs in A060.4.2 are

amended to specify that an

undeliverable-as-addressed DAL is

disposed of as waste, and the

accompanying item is treated as

specified by the mailer under A060.4.1.

(15) Ancillary Service Endorsements

The handling of undeliverable-asaddressed Bound Printed Matter pieces

that are not mailed with a special

service or an ancillary service

endorsement will be the same as for

Standard Mail. Undeliverable-asaddressed Bound Printed Matter pieces

mailed with no special service (e.g.,

Delivery Confirmation, insured), and

with no ancillary service endorsement,

will be disposed of by the USPS as

waste at the delivery unit. Mailers of

Bound Printed Matter who want to have

their undeliverable-as-addressed pieces

forwarded and returned must choose the

appropriate ancillary service

endorsement and print it on their pieces

to obtain such service. There are no

other changes to the treatment of

undeliverable-as-addressed Package

Services mail (except for Bound Printed

Matter prepared with detached address

labels under DMM A060.4.2 as

described earlier.)

(16) Postage Payment

DMM P700 is amended to clarify that

precanceled stamps may not be used for

payment of Bound Printed Matter

postage.

9. Media Mail (Formerly Special

Standard Mail)

a. Media Mail Rate Highlights

Media Mail (formerly Special

Standard Mail) rates will increase by an

average of 6.3%. The barcoded discount

for qualifying Media Mail remains at

$0.03 per piece. There are separate rate

schedules for Media Mail and Library

Mail as the shared rate structure is

discontinued. The annual presort

mailing fee for Media Mail increases to

$125.

b. Media Mail Rate Structure

There are separate rate schedules for

Media Mail and Library Mail.

c. Media Mail (formerly Special

Standard Mail) Preparation Changes

(1) Rate Marking (DMM M012 and

M730)

Special Standard Mail is renamed

‘‘Media Mail,’’ and the marking that is

required to appear on each piece is

changed from ‘‘Special Standard’’ to

‘‘Media Mail.’’ There is a phase-in

period until January 1, 2002, to give

mailers time to adjust to this change and

deplete any existing stocks of permit

imprints that may bear the ‘‘ Special

Standard’’ marking.

(2) Sack and Pallet Labels (DMM M031,

M045, and M730)

The abbreviation ‘‘STD’’ or ‘‘STD B’’

that currently appears on sack and

pallet labels for Package Services

mailings is changed to ‘‘PSVC’’ (an

abbreviation for Package Services).

(3) Clarification of Preparation

Requirements

Former M630.4.0 provided for

preparing Media Mail as bedloaded

bundles under former M630.7.0.

However, former M630.7.0 provided

only for preparation of Bound Printed

Matter as bedloaded bundles, and the

eligibility requirements for the Media

Mail rates in former E630.4.0 provided

only for preparation of Media Mail in

sacks, on pallets, or as outside parcels

prepared as prescribed by the

postmaster of the mailing office.

Accordingly, the provisions for

preparing bedloaded bundles of Media

Mail are deleted from M730 that

contains the requirements for presorted

Media Mail.

Former E630.4.0 (renumbered as

E713) provided for preparing 5-digit and

BMC bundles of Media Mail on pallets.

The terminology in new E713 is

changed to provide for ‘‘packages’’ of

Media Mail on pallets. Furthermore, the

reference in former M630.4.0 that

referred to preparing mail according to

the machinable parcel preparation rules

is not contained in new M730. There

were no provisions for such preparation

to qualify for presorted Media Mail rates

in former E630.4.0, and such provisions

were not added to new E713. The option

to prepare sacks and qualify for

presorted 5-digit or BMC rates based on

a minimum of 1,000 cubic inches of

mail is deleted; however, the eight-piece

or 20-pound minimum per 5-digit

sortation level and the four-piece or 20-

pound minimum per BMC sortation

level is retained.

(4) Postage Payment (DMM P700)

DMM P700 is amended to clarify that

precanceled stamps may not be used for

payment of Media Mail postage.

10. Library Mail

a. Library Mail Rate Highlights

Library Mail rates will increase by an

average of 4.9%. The barcoded discount

for qualifying Library Mail remains at

$0.03 per piece. Separate rate schedules

are implemented for Media Mail and

Library Mail as the shared rate structure

is discontinued. The annual presort

mailing fee for Library Mail is increased

to $125.

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78551

b. Library Mail Rate Structure

There are separate rate schedules for

Library Mail and Media Mail.

c. Library Mail Preparation Changes

(1) Rate Markings (DMM M012 and

M740)

The optional use of ‘‘Library Rate’’ as

a rate marking for Library Mail is being

discontinued. Matter mailed at Library

Mail rates will be required to use only

the marking ‘‘Library Mail.’’ There is a

phase-in period until January 1, 2002, to

give mailers time to adjust to this

change and deplete any existing stocks

of permit imprints that may bear the

‘‘Library Rate’’ marking.

(2) Sack and Pallet Labels (DMM M031,

M045, and M740)

The abbreviation ‘‘STD’’ or ‘‘STD B’’

that currently appears on sack and

pallet labels for Package Services

mailings is changed to ‘‘PSVC’’ (an

abbreviation for Package Services).

(3) Sack Preparation Minimums (DMM

M740)

The option to prepare sacks and

qualify for presorted 5-digit or BMC

rates based on a minimum of 1,000

cubic inches of mail is deleted (see

M740).

(4) Postage Payment (DMM P700)

DMM P700 is amended to clarify that

precanceled stamps may not be used for

payment of Library Mail postage.

11. Special Services and Other Services

a. Address Changes for Election Boards

(DMM A910)

The fee will increase from $0.17 to

$0.23 for each address card. There are

no classification changes for this

service. See DMM R900.12.3.

b. Address Correction Notifications

(DMM F030)

The manual (hard-copy) fee will

increase from $0.50 to $0.60 for each

notification. There is no change to the

automated (electronic) fee notification

(currently $0.20 each). There are no

classification changes for this service.

See DMM R900.1.0.

c. Bulk Parcel Return Service (DMM

S924)

The per piece charge will decrease

from $1.75 to $1.62 for each piece

returned under Bulk Parcel Return

Service (BPRS). The annual BPRS

permit fee will increase from $100 to

$125. A new annual accounting fee of

$375 will be required for BPRS. This fee

covers the costs of providing BPRS

account maintenance services to mailers

and is consistent with accounting fees

charged for other special services.

Current BPRS permit holders will have

until February 5, 2001, to pay their

initial annual accounting fee. See DMM

R900.3.0.

No special services are available for

pieces returned through BPRS.

d. Business Reply Mail

(1) Business Reply Mail (BRM) (DMM

S922)

The annual business reply mail (BRM)

permit fee will increase from $100 to

$125.

The per piece charge for basic BRM

(BRM without an annual accounting fee)

will increase from $0.30 to $0.35. This

per piece charge is in addition to singlepiece First-Class Mail (or Priority Mail)

postage. The per piece charge for highvolume BRM (BRM with an annual

accounting fee) will increase from $0.08

to $0.10. This per piece charge is in

addition to single-piece First-Class Mail

(or Priority Mail) postage. The annual

accounting fee, required for highvolume BRM, will increase from $300 to

$375.

A provision in the DMCS that

required permit holders to maintain an

advance deposit account solely for the

use of business reply mail has been

deleted. Therefore, permit holders will

be able to maintain a single advance

deposit account from which postage,

fees, and per piece charges for multiple

items can be deducted (e.g., BRM,

QBRM, merchandise return service,

incoming shortpaid mail, address

correction notices, etc.). If permit

holders request separation of charges,

then they must pay an annual

accounting fee for each separation.

(2) Qualified Business Reply Mail

(QBRM) (DMM E150, S922)

The discounted automation rate for

qualified business reply mail (QBRM)

letters will increase from $0.30 to $0.31

as described under the First-Class Mail

Summary. The discounted automation

rate for QBRM cards will decrease from

$0.18 to $0.17. The annual accounting

fee, required to participate in QBRM,

will increase from $300 to $375.

QBRM will be split into two

categories with different per piece

charges to mirror the current fee

structure of regular BRM. The first

category is the existing classification

and will be called ‘‘basic’’ QBRM. The

per piece charge for basic QBRM will

remain at $0.05. This per piece charge

is in addition to the lower QBRM FirstClass Mail postage listed in R100. See

DMM R900.4.3.

A new classification, called ‘‘highvolume’’ QBRM, recognizes that, for

large volume users, some costs are

relatively fixed, rather than varying with

marginal volume. High-volume QBRM

includes a lower per piece charge and

requires payment of a new quarterly fee

in addition to the annual accounting fee.

The per piece charge for high-volume

QBRM will be $0.01. This per piece

charge is in addition to the discounted

automation QBRM First-Class Mail rate

listed in R100. The quarterly fee will be

$1,800 per quarter (in addition to the

$375 annual accounting fee). Mailers

may ‘‘opt in’’ to high-volume QBRM by

paying the quarterly fee at any time as

their volume warrants, thereby paying

lower per piece charges when they

expect a larger volume of returned

pieces. See DMM R900.4.4.

Quarterly fees apply to any three

consecutive calendar months, beginning

with the first calendar day of the first

month and ending on the last calendar

day of the third month. If the quarterly

fee is paid on or before the 15th of the

month, then the quarterly fee is counted

as if it was paid on the first day of that

calendar month, but the lower per piece

charges begin on the day the fee is paid.

If the quarterly fee is paid after the 15th

of the month, then the lower per piece

charges begin immediately, but the

quarterly fee is credited as if it was paid

on the first day of the following

calendar month and continues through

three calendar months. Mailers may not

apply for ‘‘retroactive’’ refunds of per

piece charges for periods before the

quarterly fee was paid.

(3) Bulk Weight Averaged NonletterSize Business Reply Mail (DMM S922)

Language has been added to clarify

that the monthly maintenance fee

applies only to bulk weight averaged

nonletter-size BRM. The per piece

charge will remain at $0.01. The

maintenance fee will remain at $600 per

month. The annual business reply mail

permit fee will increase from $100 to

$125. The annual accounting fee,

required to participate in weight

averaged nonletter-size BRM, will

increase from $300 to $375. See DMM

R900.4.5.

e. Carrier Sequencing of Address Cards

(DMM A920)

The fee will increase from $0.20 to

$0.25 for each card removed due to an

incorrect or undeliverable address and

for each card added with a new address.

There are no classification changes for

this service. See DMM R900.2.0.

f. Certificate of Mailing (DMM S914)

For individual pieces, the fee for the

original certificate of mailing will

increase from $0.60 to $0.75. The firm

78552 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

mailing book fee will remain at $0.25;

the fee for an additional copy of a

certificate of mailing will increase from

$0.60 to $0.75.

For bulk quantities, the fee for one

certificate of mailing (for the first 1,000

pieces) will increase from $3.00 to

$3.50. There is no change to the fee for

a certificate for each additional group of

1,000 pieces (currently $0.40). The fee

for an additional copy of a bulk

certificate of mailing will increase from

$0.60 to $0.75.

There are no classification changes for

this service. See DMM R900.6.0.

g. Certified Mail (DMM S912)

The fee will increase from $1.40 to

$1.90 in order to cover newly estimated

costs for this service. See DMM

R900.7.0.

h. Collect on Delivery (COD) (DMM

S921)

Fees will increase by $.50 for every

$100 value level. The maximum COD

value level will increase from $600 to

$1,000, with a fee increment of $1.00 for

each $100 increment. The fees for

registered COD, the notice of

nondelivery, and the alteration of COD

charges (Form 3849–D) will remain at

current levels. The money order limit

will remain at $700; therefore, if a

recipient pays in cash for COD amounts

over $700, then the Postal Service will

send two postal money orders to the

mailer (and collect two money order

fees from the recipient). See DMM

R900.8.0.

i. Correction of Mailing Lists (DMM

A910)

The charge per correction will

increase from $0.20 to $0.25. In

conjunction, the minimum charge per

list for lists with fewer than 30

addresses will increase from $7.00 to

$7.50. There are no classification

changes for this service. See DMM

R900.12.0.

j. Delivery Confirmation (DMM S918)

The fee for retail option Priority Mail

Delivery Confirmation (i.e., purchased

by a customer over a retail counter) will

increase from $0.35 to $0.40. The fee for

retail option Package Services Delivery

Confirmation will decrease from $0.60

to $0.50. There will continue to be no

fee for electronic option Delivery

Confirmation for Priority Mail. The fee

for electronic option Delivery

Confirmation for Package Services will

decrease from $0.25 to $0.12.

Electronic option Delivery

Confirmation service will be extended

to Standard Mail parcels that are subject

to the residual shape surcharge (both

Regular and Nonprofit subclasses).

Delivery Confirmation service will not

be available for the Enhanced Carrier

Route or Nonprofit Enhanced Carrier

Route subclasses. No retail option will

be available for Standard Mail. The fee

for electronic option Delivery

Confirmation for Standard Mail will be

$0.12 per piece, which mirrors the new

fee for Package Services. See DMM

R900.9.0.

k. Express Mail Insurance (DMM S500)

Fees for Express Mail insurance will

increase. There are no classification

changes for this service. See DMM

R900.10.0.

l. Insurance (DMM S913)

Fees for insurance will increase for all

value levels. The fee for unnumbered

insurance (items valued at $50 or less)

will increase from $0.85 to $1.10.

Separate bulk discounts for

unnumbered and numbered insurance

have been added. In addition, bulk

insurance will be available for Standard

Mail parcels that are subject to the

residual shape surcharge (both Regular

and Nonprofit subclasses). Bulk

insurance will not be available for the

Enhanced Carrier Route or Nonprofit

Enhanced Carrier Route subclasses.

Regular insurance is not available for

Standard Mail. See DMM R900.11.0.

The Postal Service has removed the

requirement that insured pieces sent at

First-Class Mail and Priority Mail rates

be marked ‘‘Standard Mail Enclosed.’’ In

addition, merchandise return service

(MRS) customers (those who use MRS

labels to return a parcel to the permit

holder) will be permitted to add

insurance to an MRS parcel at their own

discretion and expense.

m. Mailing Fees

Presort mailing fees and destination

entry mailing fees for all classes of mail

will increase. Specific fees and

classification changes are included

under the separate summaries for each

class of mail.

n. Merchandise Return Service (DMM

S923)

The per piece (transaction) fee for

parcels returned to the permit holder via

merchandise return service (MRS) will

be eliminated. A new annual accounting

fee of $375 is established for MRS. This

fee covers the costs of accounting

services provided to permit holders and

is consistent with accounting fees

charged for other special services.

Current MRS permit holders have until

February 5, 2001, to pay their initial

annual accounting fee. A separate

annual accounting fee must be paid for

each separation of charges and separate

billing provided. This makes the

application of the new annual

accounting fee consistent with Business

Reply Mail. See DMM R900.13.0.

If the permit holder has not specified

insurance on the MRS label, then

customers (those who use merchandise

return service labels to return a parcel

to the permit holder) will be permitted

to add insurance to a MRS parcel at

their own discretion and expense. No

other special services may be added by

the sender. Previously, insurance could

be added to a parcel only if specified by

the permit holder. The Postal Service

has removed the requirement that MRS

parcels sent at First-Class Mail and

Priority Mail rates be marked ‘‘Standard

Mail Enclosed.’’

Parcels that do not bear a class or rate

marking, regardless of weight, will be

treated as Parcel Post and will be

charged Parcel Post Inter-BMC/ASF

rates.

These same changes apply to penalty

merchandise return service.

o. Money Orders (DMM S020)

The fee for domestic money orders

will decrease from $0.80 to $0.75 per

money order. The fee for APO/FPO

money orders will decrease from $0.30

to $0.25 per money order. The inquiry

fee will remain at $2.75. There are no

classification changes for this service;

the maximum amount for a single

money order remains at $700. See DMM

R900.15.0.

p. Parcel Airlift Service (PAL) (DMM

S930)

There are no fee or classification

changes for this service. See DMM

R900.16.0.

q. Permit Imprint Application Fee

(DMM P040)

The application fee for permit

imprints will increase from $100 to

$125. Other kinds of permit fees (e.g.,

business reply mail) are covered under

separate summary sections. See DMM

R900.17.0.

r. Pickup Service (DMM D010)

The pickup service fee will increase

from $8.25 to $10.25 per pickup. There

are no classification changes for this

service. See DMM R900.18.0.

s. Post Office Boxes, Caller Service, and

Reserve Call Numbers (DMM D910 and

D920)

The Postal Rate Commission has

approved the Postal Service’s proposal

to restructure post office box fee groups

and to establish fees for each of the new

groups. A nonrefundable fee for each

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78553

key, over two, requested by a customer

has been established at $4.00. In

addition, a $10.00 fee for a lock

replacement initiated by a customer as

been established.

The new structure for post office

boxes aligns post office box fees more

closely with costs by 5-digit ZIP Code.

These costs include estimated real estate

value of the space used to provide post

office boxes.

The Postal Service submits that this

post office box reclassification will

result in fairer, more equitable post

office box fees for all customers because

the fees will more accurately reflect the

true costs of providing that service. At

this time, box restructuring is

constrained based on current fee groups

in order to mitigate large fee increases

for customers.

Current post office box customers

would not pay the new fees until their

current box fee period ends. There are

no changes to free (Group E) box

service. Therefore, customers who

currently qualify for free box service

may continue to receive it. See DMM

R900.19.0.

Post offices will be notified of their

new cost group via a special publication

that will be distributed before

implementation of new rates and fees.

Customers will be able to find their new

post office box fees via their local post

office, the Postal Service web site

(www.usps.com), or by calling 1–800–

ASK–USPS and providing the 5-digit

ZIP Code.

The caller service fee will increase to

$375 for all customers at all postal

facilities. Caller service fees will no

longer be broken out according to post

office fee groups. The annual call

number reservation fee will decrease

from $36 to $30. See R900.5.0.

The Postal Service has deleted a

provision from the DMCS that allowed

customers with both a post office box

and a regular street delivery address

served by the same delivery unit to

redirect the delivery of all of their mail,

regardless of how it was addressed, to

the post office box. This redirection of

mail often depends on the memory of

specific individuals or on an ad hoc

handwritten note. The net result easily

can be delivery of mail in a fashion

contrary to a customer’s intent. The

Domestic Mail Manual currently does

not contain standards related to this

provision, although some local post

offices redirect mail as a favor to

customers. The policy of the Postal

Service, as contained in the Domestic

Mail Manual, is to deliver mail to the

address specified on the mailpiece.

Deleting section 921.222 of the DMCS is

desirable from the point of view of the

customer and the Postal Service.

Customers will still be able to have their

mail forwarded from one address to

another, including a post office box,

based on current forwarding procedures.

Because no standard currently exists in

the Domestic Mail Manual, no changes

are necessary to support this DMCS

change.

t. Registered Mail (DMM S911)

All registered mail fees will increase.

The incremental fee for registered mail

per value level will increase from $0.55

to $0.75. The handling charge per

$1,000 in value, or fraction thereof, for

items valued over $25,000 also will

increase from $0.55 to $0.75. There are

no classification changes for this

service. See DMM R900.20.0.

u. Restricted Delivery (DMM S916)

The restricted delivery fee will

increase from $2.75 to $3.20. There are

no classification changes for this

service. See DMM R900.21.0.

v. Return Receipt (DMM S915)

The regular return receipt fee will

increase from $1.25 to $1.50. The return

receipt for merchandise fee will increase

from $1.40 to $2.35. The fee for a return

receipt after mailing will decrease from

$7.00 to $3.50. These changes reflect

improved cost estimates and the impact

of electronic signature capture. See

DMM R900.22.0 and 23.0.

There are two classification changes

for return receipt service. The first

change allows return receipt for

merchandise to be combined with

unnumbered insurance. The second

change extends return receipt for

merchandise service to Standard Mail

parcels that are subject to the residual

shape surcharge (both Regular and

Nonprofit subclasses). Return receipt for

merchandise will not be available for

the Enhanced Carrier Route or Nonprofit

Enhanced Carrier Route subclasses.

w. Shipper Paid Forwarding (DMM

F010)

The Postal Service is establishing an

annual accounting fee of $375 for

shipper paid forwarding for customers

who choose to pay forwarding charges

through a postage due account. This fee

is consistent with accounting fees

charged for other special services. See

DMM R900.24.0.

x. Signature Confirmation (DMM S919)

The Postal Service is establishing a

new classification and fee schedule for

Signature Confirmation. Signature

Confirmation will capture and provide

access to all Delivery Confirmation data

and an image of the recipient’s

signature. Signature Confirmation will

be available only at the time of mailing

for Priority Mail and all subclasses of

Package Services. For Priority Mail

Signature Confirmation, the fees are

$1.25 for electronic option and $1.75 for

retail option. For Package Services

Signature Confirmation, the fees are

$1.25 for electronic option and $1.75 for

retail option. See DMM R900.25.0.

y. Special Handling (DMM S930)

There are no fee or classification

changes for this service. See DMM

R900.26.0.

z. ZIP Code Sortation of Mailing Lists

(DMM A910)

Fees for sorting mailing lists by 5-digit

ZIP Code for post offices with multiple

ZIP Codes will increase from $70.00 to

$73.00 per 1,000 addresses. There are no

classification changes for this service.

See DMM R900.12.0.

12. On-Site Meter Service (DMM P030)

The name of the service will change

from ‘‘on-site meter settings’’ to ‘‘on-site

meter service.’’ The ‘‘single meter’’ and

‘‘unscheduled appointment’’ categories

will be replaced with a new ‘‘meter

service’’ category. The ‘‘additional

meters’’ category will be replaced with

a ‘‘meter reset and/or examined’’

category. These categories will

consolidate similar fees and make the

service easier to understand and use.

New fees have been established for

these realigned categories. The fee for

meter service is $31.00. The fee for

getting a meter reset and/or examined is

$4.00 per meter. The fee for checking a

meter in or out of service will decrease

from $8.00 to $4.00 per meter. See DMM

R900.14.0.

The checking in/out fees will not

apply to ‘‘secured postage’’ meters. To

qualify as a secured postage meter, a

meter must: (1) include a USPSapproved postal security device; (2)

print information-based indicia; and (3)

be remotely set. Because of the

enhanced security that these meters

provide, they do not require labor

intensive activities during installation

or withdrawal. Therefore, these meters

do not have significant check-in/out

costs.

13. Stamps and Stationery (DMM P021)

a. Stamped Cards

The fee for a single stamped card will

increase from $0.01 to $0.02. The fee for

double stamped cards will increase from

$0.02 to $0.04, and the fee for a sheet

of 40 stamped cards will increase from

$0.40 to $0.80. These fees are in

addition to the postage that is

preprinted on the cards and covers the

78554 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

cost of printing and manufacturing

stamped cards. See DMM R000.3.0.

b. Stamped Envelopes

The fees for all categories of stamped

envelopes will increase. This fee is paid

in addition to the postage preprinted on

the envelopes. The following

classification changes will apply to

stamped envelopes:

(1) Merge the printed household 63⁄4

inch and 10 inch categories into a single

category called printed household

(basic).

(2) Eliminate the banded categories

for 63⁄4 inch and 10 inch envelopes.

(3) Expand the hologram category to

include all envelopes that have a

patched-in stamp and rename that

category ‘‘special’’ stamped envelopes.

See DMM R000.1.0 and R000.2.0.

C. Summary of Comments From the

August 29, 2000, Proposed Rule (65 FR

52479)

The Postal Service received nine

pieces of correspondence offering

comments on the August 29, 2000,

proposed rule. Commenters included

two major mailer associations, six

publishers, printers and/or mailers, and

one individual.

The specific points raised in the

comments are presented below,

organized by general comments and

then by class of mail and special

service.

1. General Comments

One commenter commended the

Postal Service on publishing a clear,

concise, and orderly proposed rule.

One commenter supported the change

of the minimum dimensions for a

machinable parcel.

One commenter indicated they are

pleased with the name change from

Standard Mail (B) to Package Services.

One commenter indicated that their

association had previously warned the

Postal Service that eliminating the

advertising requirement for Bound

Printed matter would change the nature

of that subclass and result in the entry

of higher cost materials that would

inevitably result in higher rates. This

commenter further stated that although

all mailers are concerned about rate

increases the effect is much greater for

catalog mailers than book mailers

because books generally cost a

substantial amount—$20.00 and more—

and that book publishers can more

easily absorb additional mailing costs.

This commenter indicated it may be

feasible to undo the damage by restoring

Bound Printed Matter to its previous

status by requiring it to contain

advertising. This comment is outside

the scope of this rulemaking and will

not be addressed.

One commenter indicated that their

association recommends that the Postal

Service give Standard and Package

Services mailers a grace period to

implement the new tray, sack, and

pallet labels for those classes. The Postal

Service will work with individual

mailers concerning any exceptions

needed concerning the requirements of

this final rule.

Two commenters indicated that the

rate incentive for drop shipping Bound

Printed Matter to a destination delivery

unit to claim the DDU rates was not

sufficient to compensate mailers for the

additional costs of preparing and

transporting the mail. These comments

are outside the scope of this rulemaking

process. The rates, rate structure, and

basic standards for rates in Docket No.

R2000–1 were subject to litigation

before the Postal Rate Commission and

cannot be revised unilaterally by the

Postal Service in a rulemaking process.

2. Express Mail

No comments were received regarding

Express Mail.

3. Priority Mail

No comments were received regarding

Priority Mail.

4. First-Class Mail

No comments were received regarding

First-Class Mail.

5. Periodicals

No comments were received regarding

Periodicals.

6. Standard Mail (Formerly Standard

Mail (A))

One commenter supported the change

that they believed allowed Delivery

Confirmation and ancillary service

endorsements to be used with Standard

Mail pieces subject to the residual shape

surcharge that are mailed using Priority

Mail Drop Shipment procedures. The

Postal Service did not specifically

propose use of electronic Delivery

Confirmation with Standard Mail

parcels entered under Priority Mail

Drop Shipment procedures, but has

added clarifying language to the final

rule DMM language to provide for such

use where appropriate.

7. Package Services—Combined

Mailings

One commenter supported the change

that allows the combining of any

subclass into common containers to

qualify for applicable DBMC, DSCF, and

DDU rates. The Postal Service

appreciates this comment but would

like to point out that the provisions for

Combined Package Services mailings in

DMM E753 apply only to matter sorted

to 5-digit containers for the purposes of

meeting eligibility requirements for

DSCF and DDU rates. There are no

provisions for Combined Package

Services mailings for DBMC rates.

One commenter requested that

overflow sacks be permitted in the

preparation standards for combined

package services mailings in DMM E753

that allows parcels from all Package

Services subclasses to be combined in 5-

digit sacks to qualify for Parcel Post and

Bound Printed Matter DSCF and DDU

rates. The proposed rule indicated that

each 5-digit sack must contain at least

10 pieces of any combination of Package

Services mail. This commenter

indicated that, if an overflow sack is not

permitted, the number of pieces

qualifying for this preparation option

would always need to be perfectly

divisible by 10 and that this is not a

practical scenario for mailers. The

Postal Service agrees that the standards

for combined package services mailings

should include the preparation of

overflow sacks and have incorporated

the preparation of overflow sacks into

the standards in E753. Preparation of

overflow sacks will be available both for

sacked mailings and for mailings

prepared on pallets.

This commenter also believed that

irregular parcels were required to be

prepared in packages under the

Combined Package Services option in

DMM E753. This commenter also

questioned why irregular parcels were

required to be packaged in 5-digit sacks

as he believes there appears to be no

operational reason for preparing

irregular parcel in packages when they

are in 5-digit containers. The Postal

Service has clarified that packaging is

not required for preparation of

Combined Package Services mailings

under DMM M753. In addition, the

Postal Service has added an option to

DMM M722 that will allow Presorted

Bound Printed Matter irregular parcels

prepared in 5-digit sacks to be prepared

loose in sacks without packaging if the

minimum package size requirement is

met and the pieces are individually

wrapped or enveloped.

This commenter also pointed out an

omission in the wording of proposed

DMM E753.2.1a(3). This section of the

DMM has been revised in the final rule.

8. Parcel Post (Including Parcel Select)

Two commenters expressed concern

that there would be inconsistencies in

acceptance practices from location to

location because of the proposed new

nonmachinable surcharges for intraVerDate 11<MAY>2000 14:03 Dec 14, 2000 Jkt 194001 PO 00000 Frm 00018 Fmt 4701 Sfmt 4700 E:\FR\FM\15DER2.SGM pfrm08 PsN: 15DER2
Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78555

BMC rate and DBMC rate parcels. These

commenters stated that the

inconsistencies could be caused by

differences in how parcels will be

measured at different acceptance points

around the country. The commenters

suggested training for acceptance

personnel and a transition period for

application and compliance with new

standards. Postal Service acceptance

personnel will receive training on the

new provisions in this final rule

including the new nonmachinable

surcharges for intra-BMC rate and

DBMC rate nonmachinable parcels.

Postal employees will use the

procedures currently in effect for

determining if an inter-BMC parcel is

nonmachinable when determining

whether the nonmachinable surcharges

apply to intra-BMC rate and DBMC rate

parcels. The Postal Service will make

every effort to ensure a smooth

transition into new procedures.

However, no transition or grace period

for application of the nonmachinable

surcharges can be granted.

One commenter indicated that use of

the term ‘‘Parcel Post’’ in proposed

DMM E711.2.2g pertaining to the

barcoded discount was incorrect and

that this term should be changed to

‘‘Parcel Select.’’ The term Parcel Post

used in the DMM encompasses all rate

categories of Parcel Post including the

destination entry rates, which have been

named Parcel Select. DMM E E711.2.2f

in this final rule now contains the

provisions for the barcoded rate. This

section has been amended to show that

the barcoded discount and its applicable

50-piece minimum mailing requirement

applies to all Parcel Post rate categories,

including Parcel Select.

One commenter pointed out that

Exhibit E711.2.2, BMC/ASF Service

Areas, that is used to determine

eligibility for intra-BMC rates had not

been updated to move ZIP Code 893

from the Salt Lake City ASF to the Los

Angeles BMC. This change was

published in Postal Bulletin 22038,

November 30, 2000.

9. Bound Printed Matter

One commenter expressed support for

the change to ancillary service marking

requirements for Bound Printed Matter.

Two commenters stated they were

opposed to the proposed requirement to

restrict DDU rates to carrier route mail.

One of these commenters, a mailer

association, indicated that the proposed

rule requirement that Bound Printed

Matter pieces would be eligible for

destination delivery unit (DDU) rates

only if prepared as part of a Carrier

Route Bound Printed Matter mailing

appears to be a ‘‘classification’’ rather

than a regulatory change. This

commenter indicated there was nothing

in the Postal Service’s proposal to the

PRC that indicated the DDU discount

would be limited to carrier route mail.

The commenter indicated its belief that

the Postal Service overstepped its

regulatory authority by adding such a

limit to the DDU rate. Another

commenter indicated that this

requirement does not make sense and

would add to costs for both the mailer

and the Postal Service.

The Postal Service submits that the

proposed rule did not prohibit all

Presorted Bound Printed Matter from

obtaining DDU rates. The proposed

restriction applied only to flat-size

pieces at Presorted rates. This restriction

contained in the proposed rule is

consistent with the Postal Service’s

treatment of flat-size mail of other

classes for eligibility for DDU rates.

Currently, Standard Mail and

Periodicals must be sorted to carrier

route to obtain DDU rates. Furthermore,

the Drop Shipment file also directs

mailers to the delivery unit where the

carrier is located that will deliver the

flats. This assumes that the mailer must

know the carrier route for flat-size

mailpieces. This restriction was

proposed in order to give the USPS the

ability to process Presorted rate flat-size

mail to carrier routes on Flat Sorting

Machines at the plant, rather than

manually sorting it to carrier routes at

the delivery unit.

However, the Postal Service has

reconsidered this requirement. The final

rule will provide that flat-size pieces of

Presorted Bound Printed Matter may

qualify for the DDU rates provided each

piece weighs over one pound, the pieces

are sorted in 5-digit sacks, or on

optional 5-digit scheme or required 5-

digit pallets, or prepared as bedloaded

5-digit packages. 5-digit containers or in

bedloaded 5-digit packages, and are

entered at the appropriate destination

delivery unit. The Drop Shipment

Product must be used to determine the

correct destination entry facility for the

5-digit sorted flat-size Presorted Bound

Printed Matter. If the Drop Shipment

Product lists multiple facilities for a

single 5-digit ZIP Code, the mailer must

inquire about the correct drop site when

contacting the DDU to schedule an

appointment. Mail weighing over one

pound is less likely to be worked on

AFSM 100s and is not processed on

FSM 881s. Heavier mail that is directed

to an FSM 1000 is less likely to be

processed to carrier routes on the FSM

at the current time, although that may

change after full deployment of AFSM

100s. Therefore, allowing DDU rates

currently makes sense for these heavier

flats. However, the Postal Service will

reassess this decision when it receives

the results of the AFSM 100

machinability tests.

One commenter opposed the

elimination of the marking ‘‘Presorted

Standard’’ on Presorted Bound Printed

Matter. This mailer has a customer that

currently uses the ‘‘Presorted Standard’’

marking in the permit imprint indicia of

pieces mailed at both Standard Mail (A)

and Standard Mail (B) rates. For the

portion of the mailing that is split off

into a Standard Mail (B) mailing, the

mailer ink-jets the ‘‘Bound Printed

Matter’’ marking on the mailpieces

directly to the left or below the permit

imprint indicia. The Postal Service

understands the concerns of the

customer in question. However, the

Postal Service In-Office Costing System

relies heavily on such markings to

appropriately attribute costs to classes

and subclasses of mail. Having markings

indicating two different classes of mail

on the same mailpiece is potentially

confusing to data collectors and could

result in inaccuracies in data collection.

Instructions as to which marking

overrides the other would be possible

but adds a level of complexity to an

already complex system. Furthermore,

such dual markings are also confusing

to delivery unit employees and

Computerized Forwarding System (CFS)

employees who rely on such markings

to correctly handle and process

undeliverable-as-addressed mail.

Accordingly, the Postal Service is

retaining the prohibition against using

the ‘‘Presorted Standard’’ marking on

Presorted Bound Printed Matter. Mailers

are reminded that they will have until

January 1, 2002, to discontinue use of

the ‘‘Presorted Standard’’ (or ‘‘PRSRT

STD’’) marking.

One commenter disagreed that Bound

Printed Matter weighing less than 1.5

pounds should be charged the rate equal

to a piece weighing 1.5 pounds. This

commenter recommended a piecepound calculation be used so that a 1-

pound item would be the minimum.

The Postal Service will not adopt this

suggestion. The instructions in the

proposed rule for calculating rates do

not differ from the current requirements

for calculating Bound Printed Matter

rates in DMM P013.5.0. It should be

noted that the 1.5-pound weight

category is contained in the single-piece

rate Bound Printed Matter rate chart.

The PRC recommended adding rate cells

for pieces weighing not more than one

pound to this rate schedule. The 1-

pound rates that the PRC recommended

are the same as the rates for the 1.5-

pound weight cells. Furthermore, the

column heading for the weights in rate

78556 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

schedule 522A, Domestic Mail

Classification Schedule and in DMM

R700 is ‘‘Weight not Exceeding

(pounds).’’ This means that all mail that

does not exceed the first weight category

on the schedule pays rates shown for

the first weight category. A piece and

pound calculation is not performed for

single-piece Bound Printed Matter.

One commenter supported the change

to the handling of undeliverable-asaddressed Bound Printed Matter pieces

that are not mailed with a special

service or an ancillary service

endorsement that will make it the same

as for Standard Mail. This change

provides that undeliverable-asaddressed (UAA) Bound Printed Matter

pieces mailed with no special service

(e.g., Delivery Confirmation, insured),

and with no ancillary service

endorsement, will be disposed of by the

USPS as waste at the delivery unit.

Mailers of Bound Printed Matter who

want to have their UAA pieces

forwarded and returned must choose the

appropriate ancillary service

endorsement for the service they desire.

Handling of mail for each ancillary

service endorsement is in DMM F010.

The commenter indicated that this

change will allow catalog mailers that

generally mail as Standard Mail to mail

heavier catalogs, over one pound,

without applying the ancillary service

endorsement. This commenter indicated

the previous requirement was confusing

and sometimes costly for such mailers,

who had no option for disposing of

pieces.

One commenter suggested that

packaging should not be required for

Presorted Bound Printed Matter

irregular parcels prepared in 5-digit

sacks. The Postal Service has added to

the final mail preparation standard the

option of forgoing packaging provided

the pieces in the sack meet the

minimum packaging volume and the

pieces are individually wrapped or

enveloped.

Three commenters expressed concern

regarding the proposed elimination of

the bedloaded bundle preparation

option for Bound Printed Matter. One of

these commenters suggested that the

Postal Service allow customers to

continue bedloading on an exception

basis or ‘‘grandfathering’’ of existing

products because a transition to product

palletization will require major changes

in some mailer facilities. Another

commenter also indicated they had a

client that currently bedloads bundles

for which the required pallet

preparation would be costly, slow down

their production process, and require at

least until March or April, 2002 to

install. That commenter requested that

the Postal Service waive the

requirements for this customer. The

third commenter also indicated that

requiring palletization for DSCF or

DBMC rates would incur large costs to

mailers and that they were not

convinced the benefits to the Postal

Service would be commensurate. This

commenter requested that the Postal

Service design a bedloaded entry option

for DSCF or DBMC entry that would be

subject to strict scheduling, advance

notice and other requirements that

would permit maximum Postal Service

efficiency.

The mail preparation standards that

were set forth in the proposed rule are

designed to lower the Postal Service

costs of handling Bound Printed Matter.

Generally, bedloaded packages or

bundles of Bound Printed matter are not

machinable on BMC parcel sorters and

are not cost-efficient for the Postal

Service to handle and process. The

requirement to sack or palletize mail is

designed to enable more mail to be

processed on sack sorters and to enable

pallets of mail to be cross-docked at

BMCs and processing plants, thereby

reducing the number of individual piece

handlings of Bound Printed Matter. The

Postal Service believes that permitting

bedloaded packages only when the mail

is entered by the mailer at the

destination delivery unit for the DDU

rates is critical to lowering the overall

costs of processing Bound Printed

Matter. Accordingly, the sortation

requirements in the final rule retain the

restriction on bedloaded packages to

mail prepared for the DDU rates. The

Postal Service will work with mailers on

a case-by-case basis to develop interim

solutions for those who need time to

convert their operations to pallet

preparation.

One commenter indicated that

lowering the maximum package weight

for Bound Printed Matter on pallets

from 40 pounds to 20 pounds will create

production throughput problems

because they will now be able to place

only four catalogs in each package. This

commenter indicated that this will

require slowing their production lines to

allow the production of the additional

packages.

The Postal Service proposed the 20-

pound maximum package size to allow

packages to be handled on Small Parcel

and Bundle Sorters (SPBSs). As

indicated above, most packages of

Bound Printed Matter are not prepared

to withstand handling on BMC parcel

sorting equipment. If packages exceed

20 pounds they cannot be processed on

SPBSs. Allowing heavier packages

would result in the Postal Service

having to process such packages

manually at a greater cost than

mechanized processing. These costs are

eventually reflected in the rates.

Accordingly, the Postal Service is

retaining the 20-pound package limit in

the final rule, except that the following

packages have a maximum weight limit

of 40 pounds: (1) Carrier route packages

in sacked mailings, (2) 5-digit packages

in 5-digit sacks, (3) carrier route

packages of flats on 5-digit scheme

carrier routes or 5-digit carrier routes

pallets, (4) carrier route packages of

irregular parcels on 5-digit pallets, (5) 5-

digit packages of flats on 5-digit scheme

pallets, (6) 5-digit packages of flats or

irregular parcels on 5-digit pallets, and

(7) carrier route bedloaded packages or

5-digit bedloaded packages prepared for

the DDU rate.

10. Special Services

The Postal Service received two

comments related to special services.

One commenter supported the proposal

to allow mailers to add special services

to Standard Mail (formerly Standard

Mail (A)) pieces. Another commenter

supported the proposal to add a new

‘‘high-volume’’ category for Qualified

Business Reply Mail.

D. Summary by DMM Module of All

R2000–1 Revisions

The following are changes organized

by DMM module. They are intended as

an overview only and should not be

viewed by readers as defining every

revision.

Global Name Changes

Throughout the DMM sections

included in this document, the

following name changes have been

made:

1. ‘‘Special Standard Mail’’ has been

changed to ‘‘Media Mail.’’

2. ‘‘Standard Mail (A)’’ has been

changed to ‘‘Standard Mail.’’

3. ‘‘Standard Mail (B)’’ has been

changed to ‘‘Package Services.’’ Package

Services includes all of the Standard

Mail (B) subclasses: Parcel Post

(including Parcel Select), Bound Printed

Matter, Media Mail, and Library Mail.

In addition, the current DMM 600

series, which contains combined rules

for Standard Mail (A) and Standard Mail

(B), has been split into a 600 series for

Standard Mail and a 700 series for

Package Services. Within these new

series, individual units and sections

have been split up and reorganized for

clarity. Current DMM P700, which

contains standards for special postage

payment systems, is renumbered as

P900. Throughout the language in the

DMM, references to ‘‘Standard Mail’’

have been retained as ‘‘Standard Mail’’

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78557

or changed to ‘‘Package Services’’ or

‘‘Standard Mail and Package Services,’’

as appropriate.

A Addressing

A010 is amended to change DMM

references to reflect new DMM module

numbering. A060.1.4 is amended to

incorporate new requirements for

preparation of Bound Printed Matter

mailings with DALs because of the

elimination of local zone rates. Also, it

is clarified that mailings made with

DALs may not contain any special

services or an ancillary service

endorsement. A new A060.1.7 is added

to exclude DALs on special services

mail. A910.2.2 is amended to show that

the minimum fee ($7.50) for correcting

a mailing list applies to lists with fewer

than 30 names or addresses.

C Characteristics and Content

C010 and C020 are revised to reflect

new DMM module numbering. C050 is

revised to decrease the machinable

parcel minimum piece weight from 8

ounces to 6 ounces, to clarify that

packaging requirements for soft goods

may be found in C010, and to clarify

that each destinating BMC manager may

authorize the entry of parcels as

machinable rather than as irregular if

they are tested for machinability and are

delivered within the service area of the

authorizing facility. C200.5.0 is added to

specify size and weight limitations for

Periodicals. C600 is revised to delete

sections 1.3 and 2.0, which pertain to

Package Services. Those sections have

been moved to new C700. C700 is added

to include characteristics and content

standards for Package Services (former

C600.1.3 and 2.0 are included in this

new section). C700.2.0 is amended to

provide for the addition of new

nonmachinable surcharges for intraBMC and Parcel Select DBMC parcels,

and to include the criteria for

nonmachinability from E630.1.4.

C810.2.3 is added to include

instructions for determining the length

and height for automation letters.

C810.2.4 (former C810.2.3) is amended

to provide for the revised maximum

weight of 3.3 ounces for heavy letters.

C840.3.0 is revised to include new

requirements under which mailers may

submit flat-size automation rate

mailings in which pieces contain two

POSTNET barcodes.

C850 is amended to add Standard

Mail machinable parcels as items

eligible for barcoded discounts.

C850.1.4 is amended to include

information about barcodes for

Signature Confirmation service.

D Deposit, Collection, and Delivery

D210 is revised to provide for DDU

rate eligibility for Periodicals mail

entered under exceptional dispatch

authorizations. The change will limit

DDU rates under exceptional dispatch to

mail destined to zones 1 and 2 and will

provide a restriction on eligibility to

publications with circulation of 25,000

and under.

D600 is revised to remove information

pertaining to Package Services, to add

information about deposit of mail under

plant-verified drop shipment

procedures, and to clarify language.

D700 is added to include deposit

information for Package Services

(formerly contained in D600).

D910.1.5 is amended to clarify that

post office box customers must pay the

correct fee for the box service they

receive. D910.1.7 is added to clarify that

post office box service is provided in 6-

month increments. D910.1.8 (formerly

D910.1.7) is amended to add

information about the new key

duplication fee and the new lock

resetting fee. D910.3.1 is amended for

clarity. D910.3.7 is amended to clarify

that a post office box may not be used

when the primary purpose is to have the

Postal Service redirect or transfer mail

to another address. D910.4.1 is amended

to change the basis of post office box

fees. D910.4.3 is deleted to remove

references to fee groups; subsequent

sections are renumbered. Renumbered

D910.4.3 is amended to specify the

conditions under which post office box

fees can change. D910.4.4 is amended to

clarify when post office box fees must

be paid. D910.4.7 is amended to show

that the exception for payment periods

is applicable to all offices with fewer

than 500 post office boxes, regardless of

fee group. D910.5.1 is amended to

explain the new system for grouping ZIP

Codes into fee groups. D910.5.2 and 5.3

are amended to clarify the conditions

under which a customer could qualify

for free (Group E) post office box

service. Exhibits D910.5.3a and 5.3b are

deleted because of the change to a new

fee system. D910.6.1 is amended to

clarify how refunds for post office box

fees are calculated. D910.7.0 is revised

to include the new fee for replacement

or duplicate keys and the new fee for

replacing post office box locks.

D920.1.4 is amended to move

information about reserved caller

numbers into new D920.1.5. D920.3.4 is

amended to clarify that caller service

may not be used when the primary

purpose is to have the Postal Service

redirect or transfer mail to another

address. D920.4.0 is amended and

Exhibit 4.1 is deleted to remove

references to caller service fee groups.

D920.4.2 is amended to clarify that

reserved number fees are not

refundable. D920.4.3 is amended to

remove references to deleted sections.

D920.4.5 is amended to clarify the

payment periods for caller service.

D920.4.8 is amended to show that the

exception for payment periods is

applicable to all offices with fewer than

500 post office boxes. D920.5.1 is

amended to clarify how refunds for

caller service fees are calculated.

D920.5.3 is added to show that the

reserve number fee is not refundable.

E Eligibility

Throughout the E module, references

to ‘‘Regular’’ are changed to ‘‘OutsideCounty,’’ as appropriate. E010.1.4 is

amended to change references from

‘‘C600’’ to ‘‘C700.’’ E010.1.6 is amended

to add clarity to the first sentence. The

first sentence of E020.1.4 is added to

clarify that Express Mail cannot be sent

through the Department of State.

E020.2.3 is amended to show that

Signature Confirmation is not available

for mail sent through the Department of

State. E040.4.1 is amended to change

references from ‘‘C600’’ to ‘‘C700.’’ E060

5.3 is amended to reflect the current

requirement for a ‘‘Parcel Post’’ rate

marking for single-piece rate Parcel

Post. E060.10.1 is amended to clarify

standards for penalty reply mail.

E060.11.1 is amended to add QBRM as

an option for penalty business reply

mail and to clarify when the annual

accounting fee is paid. E060.12.1 is

amended by adding a reference to S923.

A new E060.12.2 is added to clarify how

penalty merchandise return service

(MRS) parcels are charged postage and

fees. A new E060.12.3 is added to

require MRS permit holders to pay an

annual accounting fee. E060.12.7c is

added to indicate where the

recommended rate marking should

appear on the MRS label. E060.12.8 is

amended to clarify standards for permit

holders who choose to add insurance to

MRS parcels. E060.12.9 is renumbered

as E060.12.10, and new E060.12.9 is

added to allow senders to add insurance

to MRS parcels at their own discretion

and expense. E070.4.2 is amended to

change the reference from ‘‘E600’’ to

‘‘E700.’’ E070.6.2 is revised to specify

that if Presorted rates are claimed for

both Media Mail and Bound Printed

Matter, the mail must be prepared under

the standards for Bound Printed Matter

in M722.

E120.2.4 is revised to add provisions

for a new minimum Priority Mail rate

for pieces weighing 1 pound or less, and

to add information on rates applicable

to keys and identification devices.

78558 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

E130.2.2 is revised to clarify the fee for

keys and identification devices.

E130.2.3 is relocated to M110.1.0.

E140.2.2 and E140.2.3 is revised to add

separate 5-digit (optional) and 3-digit

(required) rate eligibility requirements

for automation flats. E150.2.0 is

amended by removing the last sentence.

E150.3.3 is amended by adding a

quarterly QBRM fee under E150.3.2c.

E211.13.1 is amended by revising

13.1d(3) to reference the preferred rate

discount. E211.13.2 is amended to

clarify that no fee is charged if reentry

is only to change eligibility to preferred

rates or the preferred rate discount.

E211.14.0 has been revised and

renumbered as E217.1.0. E212.2.4 has

been revised and renumbered as

E217.4.0. E215.2.3 is amended by

adding references to Preferred rate

discount and clarifying qualification

categories. New E215.2.4 is added for

Publications of Institutions and

Societies. E215.2.7 is amended by

replacing the second sentence and

deleting the third sentence. A new E217

is created that describes and clarifies

basic rate eligibility standards for

Periodicals including the new preferred

rate discount for Nonprofit and

Classroom publications that provides a

5% discount on total Outside-County

postage, excluding the postage for

advertising pounds. E250 is revised to

incorporate changes that provide for

DDU rates for Periodicals mail entered

under exceptional dispatch

authorizations. E270 is amended by

removing 1.0 and 6.0 and renumbering

2.0 through 9.0 as 1.0 through 7.0 and

replacing in 1.0 the word ‘‘RATES’’ with

the word ‘‘ELIGIBILITY.’’ Removing the

word ‘‘rates’’ and replacing the

reference 3.0 and 4.0 as 2.0 and 3.0

amends renumbered E270.1.1.

Removing the word ‘‘regular’’ amends

renumbered E270.1.3. E270.1.4 is

removed. Replacing the word ‘‘RATES’’

with the word ‘‘ELIGIBILITY’’ amends

renumbered E270.2.0 and 3.0. Sections

E270.2.1 and E270.2.2 are amended by

replacing the reference ‘‘3.3 through

3.10’’ with ‘‘2.3 through 2.10.’’

Removing the word ‘‘regular’’ in the last

sentence amends renumbered E270.4.0.

E270.5.1 is amended by adding a new

first sentence clarifying that the

Preferred rate discount is available only

after USPS authorization. E270.5.5, Rate

Anomaly, renumbered as E270.4.5 is

removed. In renumbered E270.5.0, 5.1 is

removed and E270 5.2 and 5.3 are

renumbered as 5.1 and 5.2. Renumbered

E270.5.1 is amended by adding a new

first sentence describing the Preferred

rate discount and revising the second

sentence applicable to authorization

procedures for Nonprofit and Classroom

publications. Adding reference to

preferred rate and replacing ‘‘Regular

Periodicals’’ with ‘‘Outside-County’’

amends renumbered E270.6.1 and

E270.6.2. Renumbered E270.7.4 is

amended by replacing ‘‘Regular’’ with

‘‘Outside-County,’’ and the reference

‘‘9.5’’ with ‘‘7.5.’’

E611 is amended to provide basic

eligibility requirements for only

Standard Mail and is renumbered as

E610. E610.1.0 is amended to show that

Standard Mail no longer includes matter

previously referred to as Standard Mail

(B) or fourth-class mail, and adds the

weight limit from former E612.1.0.

E610.4.6 is removed because this

section is no longer needed since all

Package Services mail may now weigh

less than 16 ounces. E610.5.0 (formerly

E612.4.0) is amended for clarity and

incorporates a revised maximum limit

for minimum per piece rates. E610.5.4 is

added to provide for the barcoded rate

for machinable parcels. E610.5.5 is

revised to provide for separate residual

shape surcharges for Presorted rates and

for Enhanced Carrier Route rates.

E612.4.9 is renumbered as E610.8.0, is

amended for clarity to provide for use

of detached address labels. E610.5.6

(previously E612.4.4) is amended to

provide for the residual shape surcharge

and to include the first sentence of

previously numbered E612.4.5. Former

E612.4.5 is deleted. Renumbered

E610.5.6 (previously E612.4.4) is

amended to remove the reference to 4.6,

to delete ‘‘bulk’’ and to change ‘‘pound

rates’’ to ‘‘piece/pound rate.’’ E612 is

removed and, except as noted above, its

information added to new E610. E620 is

amended to remove information

pertaining to Enhanced Carrier Route

Mail, and to add new 4.0, which

contains standards for the machinable

parcel barcoded discount. E630 is

revised to contain the eligibility criteria

for Enhanced Carrier Route Standard

Mail. (Information in former E630 has

been moved to new E700.) E640 is

amended to replace ‘‘Standard Mail (A)’’

with ‘‘Standard Mail’’ and to replace

‘‘E611 and E612’’ with ‘‘E610.’’ E650

contains the contents of previously

numbered E651 and has been amended

to change references from ‘‘E611 and

E612’’ to ‘‘E610.’’ E670 is amended to

change ‘‘P750’’ to ‘‘P950’’.

A new E700 is created for Package

Services as part of the restructuring to

establish separate modules for Standard

Mail and Package Services mail. A new

description has been added above E710

to match the description in the new

E610 section. The appropriate

provisions of former E611 and E613 are

renumbered as the basic standards in

E710. Former E613.1.0 is renumbered as

E710.1.2 and amended to reflect that

minimum weights for subclasses of

Package Services mail have been

eliminated. Provisions in former

E630.1.0 are renumbered as E711 (Parcel

Post). E711.2.3 is revised to clarify that

certain parcels mailed at a balloon rate

may be subject to a nonmachinable

surcharge. Provisions in former E630.2.0

are renumbered as E712 (Bound Printed

Matter). Provisions in former E630.3.0

and E630.4.0 (Special Standard Mail)

are renumbered as E713 (Media Mail).

The definition of a full sack is revised

in E713 to eliminate the 1,000 cubic

inch volume sacking criteria. Provisions

in former E630.5.0 and E630.6.0 are

renumbered as E714 (Library Mail). The

definition of a full sack is revised in

E714 to eliminate the 1,000 cubic inch

volume sacking criteria. Provisions in

former E630.7.0 are renumbered as

E715. Former E630.1.4, that contains the

description of items subject to Parcel

Post nonmachinable surcharges, is

renumbered and moved to C700.2.0.

E652 is renumbered as E750 for

destination entry Package Services mail.

E751.4.4 and 4.5 are revised to clarify

that an exception to the appointment

requirement exists for destination entry

shipments containing 100 percent

Periodicals or shipments of perishables.

E752 is created that contains the

eligibility requirements for Bound

Printed Matter destination entry

discounts. An annual destination entry

fee for mail entered at destination entry

rates is added. E752 also explains

Destination Entry Mail Preparation

when mailing under plant-verified drop

shipment (PVDS). E753 has been added

to provide for the combining of Package

Services parcels in 5-digit sacks

(E753.2.0) and on 5-digit pallets

(E753.3.0) for destination entry at the

SCF and DDU levels if also presented

with an approved manifest. Sacks

containing at least 10 combined pieces

or a combined weight of 20 pounds and

pallets having at least 50 combined

pieces and a combined weight of 250

pounds of mail, or 36 inches of mail,

will be allowed. BPM parcels claimed at

a Carrier Route rate may not be

combined with the other Package

Services parcels under E753.

F Forwarding and Related Services

F010.4.5 is amended to add that

Standard Mail with insurance is

forwarded and returned and to show

that registered items are given registered

service while they are being forwarded

or returned. F010.4.6 is added to make

the standards for undeliverable metered

mail in this module consistent with

standards elsewhere in the DMM.

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78559

F010.5.3g is added and the chart in

F010.5.3 is amended to prohibit the use

of the ‘‘Change Service Requested’’

endorsement on Standard Mail with

special services. F010.5.4c is added and

the chart F010.5.4 is amended to allow

BPM with no ancillary service

endorsement and no special service to

be disposed of by the Postal Service.

F010.7.4 is amended to specify that

combination parcels are returned at

Parcel Post inter-BMC/ASF rates.

F020.3.7 is amended to show that

pieces with Delivery Confirmation and

Signature Confirmation are forwarded

without payment of additional special

service fees. F030.2.5 is amended to give

mailers participating in Shipper Paid

Forwarding the option of paying

forwarding charges through a postage

due account. If mailers choose this

option, then they must pay the annual

accounting fee. F030.4.2 is amended to

include information about forwarding

and return of Standard Mail.

G General Information

G091.3.0 is amended to reflect the

increase in the fee for certification of a

system as functionally equivalent to

Mailing Online from $100 to $125.

L Labeling Lists

L001 is amended to change the

introductory paragraph to show that this

labeling list may be used with Bound

Printed Matter flats. L002 is amended to

add ‘‘and per piece’’ to the rate

description for Periodicals SCF rates.

L004 is amended to show that it may be

used with Bound Printed Matter. L601

is amended to show that packages of

Bound Printed Matter irregular parcels

on pallets may use this list and to show

the instructions for labeling mixed BMC

containers that were inadvertently

omitted from the Federal Register

published August 8, 2000 (65 FR

48385). L602 is amended to remove the

term ‘‘bundles,’’ and to provide for use

of this list by Bound Printed Matter

machinable parcels when DBMC rates

are claimed.

M Mail Preparation and Sortation

M011.1.3 is amended to add

preparation instructions for less-thanfull and overflow flat trays and to revise

the preparation instructions for 5-digit/

scheme carrier routes sort and 5-digit/

scheme sort to provide for use of these

levels of sortation with BPM flats.

M012.3.1 is amended to eliminate the

use of ‘‘Library Rate’’ marking effective

January 1, 2002 (after which only

‘‘Library Mail’’ may be used as the

marking), and to change the marking

‘‘Special Standard’’ to ‘‘Media Mail’’

(‘‘Special Standard’’ or ‘‘SPEC STD’’

may be used only until January 1, 2002).

M012.3.2 is amended to add the

marking ‘‘Parcel Select.’’ M012.3.3 is

amended to eliminate use of the

marking ‘‘Presorted Standard’’ instead

of ‘‘Presorted’’ with Presorted BPM

effective January 1, 2002 (after which

only ‘‘Presorted’’ and ‘‘Bound Printed

Matter’’ may be used), and to add use of

the abbreviation ‘‘BPM’’ as an optional

marking for ‘‘Bound Printed Matter.’’

M013.1.1 is updated to include a carrier

route package optional endorsement

line information for Carrier Route BPM.

M013.2.5 is amended for clarity, to

change the labeling list used for ADC

sortation of BPM irregular parcels from

L603 to L004, and to change the labeling

list used for mixed ADC sortation from

L604 to L004. M020.1.4 is amended to

delete references to bundles. Current

M020.1.5 and 1.6 are renumbered 1.6

and 1.7 and a new M020.1.5 is added to

describe new physical preparation of

BPM packages. M020.2.2 is amended to

show that First-Class Mail automation

flats prepared under the new tray-based

preparation rules are not prepared in

packages and to show that the exception

in renumbered M020.1.7 also applies to

First-Class Mail flats in trays. M020.3.0

is amended to show that the

requirement for facing slips used to

label carrier route packages applies to

all classes of mail. M031.4.7 is amended

to specify that the words ‘‘CARRIER

ROUTES’’ must appear on 5-digit pallets

of BPM only when the pallet consists

entirely of irregular parcels eligible for

the carrier route rate and that the words

‘‘CARRIER ROUTES’’ must appear after

the ‘‘5D’’ pallet level description.

M031.4.12 is amended to delete the

term ‘‘bundle.’’ M031.5.0 is amended to

add new abbreviations for First-Class

Mail and Package Services mail. Exhibit

M032.1.3a is amended to reflect changes

in the content line and CIN numbers of

Package Services sack labels. M033.1.2

is amended to clarify that lids on FirstClass flat trays must be placed on the

trays green side up. M033 is amended

to provide for less-than-full and

overflow trays for First-Class Mail

automation rate mailings prepared

under the new tray-based option.

M041.5.6 is amended to require for

flat-size BPM that Presorted rate mail

must be placed on separate 5-digit

pallets (5-digit scheme and 5-digit

pallets) from Carrier Route rate mail (5-

digit carrier routes or 5-digit scheme

carrier routes pallets) and to remove

references to palletized bundles.

M045.2.0 is revised to clarify

requirements and to revise the package

minimums, maximums, and physical

packaging requirements for BPM.

Current M045.3.0, which provides for

optional preparation of bundles on

pallets for Periodicals and Standard

Mail, is deleted. M045.4.0 (as set forth

in the final rules published in 65 FR

50054 (August 16, 2000)) is renumbered

as M045.3.0. M045.3.0 is amended to

provide for separate pallet preparation

requirements for BPM flats in M045.3.3

and for irregular parcels in M045.3.4, to

renumber the remainder of that section,

and to revise the class abbreviation on

the contents lines for Package Services

mail from ‘‘STD’’ or ‘‘STD B’’ to

‘‘PSVC.’’ M045.3.5 (M045.4.4 as set

forth in the final rule published in 65

FR 50054 (August 16, 2000)) is revised

to provide for DBMC rates for Bound

Printed Matter and to revise line 2 pallet

labels to show ‘‘STD’’ instead of ‘‘STD

A’’ and to show ‘‘PSVC’’ instead of

‘‘STD B.’’ M045.3.6 (M045.4.5 as set

forth in the final rule published in 65

FR 50054 (August 16, 2000)) is revised

to change the line 2 pallet labels from

‘‘STD’’ or ‘‘STD B’’ to ‘‘PSVC.’’ M045.5.0

through M045.15.0 (as set forth in the

final rule published in 65 FR 50054

(August 16, 2000)) is renumbered as

M045.4.0 through M045.14.0.

Renumbered M045.6.4 and M045.9.2 are

amended by changing the reference

‘‘M630’’ to ‘‘M710 or M720.’’

Renumbered M045.10.0 and 11.0 are

amended by changing ‘‘STD’’ or ‘‘STD

B’’ to ‘‘PSVC.’’ Renumbered M045.12.1

is amended to change ‘‘M630’’ to

‘‘M710,’’ to change the pallet label

contents lines class abbreviation from

‘‘STD B’’ to ‘‘PSVC,’’ and to add

‘‘PARCELS’’ after the class abbreviation.

Renumbered M045.12.2 is amended to

change ‘‘M630’’ to ‘‘M710,’’ to change

the pallet label contents lines class

abbreviation from ‘‘STD B’’ to ‘‘PSVC’’

and to add ‘‘PARCELS’’ after the class

abbreviation. M045.12.3 is amended to

change ‘‘Exhibits E652.7.0 and

E652.8.0’’ to ‘‘Exhibits E751.7.0 and

E751.8.0.’’ M045.12.4 is amended to

change ‘‘E652.6.0’’ to ‘‘E751.6.0.’’

M045.13.0 is amended to change

‘‘M630’’ to ‘‘M710’’ and to change the

class abbreviation on the contents line

of the pallet label from ‘‘STD B’’ to

‘‘PSVC.’’ M045.14.0 is amended to

change the pallet label contents lines

class abbreviation from ‘‘STD B’’ to

‘‘PSVC,’’ and to add ‘‘PARCELS’’ after

the class abbreviation. M072.2.4 is

amended by changing ‘‘P710, P720, or

P730’’ to ‘‘P910, P920, or P930,’’ and by

changing ‘‘E652’’ to ‘‘E751.’’ M073.2.3 is

amended to change ‘‘P710’’ to ‘‘P910.’’

M110 is added to show the

preparation requirements for singlepiece First-Class Mail formerly located

in E130.2.3.

78560 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

M610.6.0, which provided for

preparation of Standard Mail bedloaded

bundles, is deleted. M620.1.1a is

amended by changing ‘‘E620’’ to

‘‘E630.’’ M630.1.0, pertaining to Parcel

Post, is renumbered in new M710.

M710.1.1 is added to describe general

requirements for Parcel Post. M710.1.3

(formerly M630.1.2) is revised to show

that DSCF and DDU rate mail need not

be separated by zone at the time of

acceptance and to change ‘‘P710, P720,

or P730’’ to ‘‘P910, P920, or P930.’’

M710.1.4 (formerly M630.8.0) is added

to contain standard for commingled

zones. M710.1.5 contains the

documentation information formerly in

M630.1.3 and is amended to clarify the

standards and to change ‘‘P710, P720, or

P730’’ to ‘‘P910, P920, or P930.’’

M710.2.1 contains standards, formerly

in M630.1.4, that are amended by

changing the reference ‘‘1.5’’ to ‘‘2.2,’’

by changing ‘‘Exhibit E652.6.0’’ to

‘‘Exhibit E751.6.0,’’ and by changing the

reference ‘‘Exhibit E652.7.0 and Exhibit

E652.8.0’’ to ‘‘Exhibit E751.7.0 and

Exhibit E751.8.0.’’ M710.2.2 (formerly

M630.1.5) contains standards that are

amended to replace ‘‘STD B 5D’’ on the

contents line of DSCF 5-digit sacks with

‘‘PSVC PARCELS 5D.’’ M710.4.0

(formerly M630.6.0) is added to contain

provisions for preparation of

machinable parcels and is amended to

show that this preparation is optional

for Parcel Post. M720 (formerly

M630.2.0 and 3.0) is added to contain

standards for BPM. M721 contains the

preparation standards for single-piece

rate BPM. M722 contains the

preparation standards for Presorted

BPM. M722.2.0 contains new packaging

and sacking requirements for Presorted

BPM flats, including new line 2 sack

labeling requirements that change the

abbreviation ‘‘STD B’’ to ‘‘PSVC.’’

M722.3.0 contains new packaging and

sacking requirements for Presorted BPM

irregular parcels weighing less than 10

pounds, including a requirement to use

L004 instead of L603 for preparation of

ADC sacks, to use L004 instead of L604

for mixed ADC sacks, and new line 2

sack labeling requirements that change

the abbreviation ‘‘STD B’’ to ‘‘PSVC.’’

M722.3.6 contains a provision to allow

preparation of bedloaded 5-digit

packages of Presorted BPM irregular

parcels weighing up to 40 pounds when

prepared for and entered at DDU rates.

M722.4.0 contains preparation

requirements for Presorted BPM

irregular parcels weighing 10 or more

pounds. M722.4.1 prohibits packaging

of such pieces and requires that each

individual piece must be enclosed in an

envelope, full-length sleeve, full-length

wrapper, or polywrap before being

placed in sacks. M722.4.2 through

M722.4.4 contains sacking requirements

for Presorted BPM irregular parcels

weighing 10 or more pounds including

a requirement to use L004 instead of

L603 for preparation of ADC sacks, to

use L004 instead of L604 for mixed ADC

sacks, and new sack labeling

requirements that change the

abbreviation ‘‘STD B’’ to ‘‘PSVC.’’

M722.4.5 contains a provision to allow

preparation of bedloaded 5-digit

packages of Presorted BPM irregular

parcels weighing up to 40 pounds when

prepared for and entered at DDU rates.

M722.5.0 contains provisions for

preparing Presorted BPM machinable

parcels. These provisions eliminate the

1,000 cubic inch sacking minimum

option, provide for preparation of an

ASF sack when DBMC rates are

claimed, and change the line 2 sack

labeling class abbreviation from ‘‘STD

B’’ to ‘‘PSVC.’’ M723 is added that

contains the provisions for preparing

Carrier Route BPM. M723.2.0 contains

the preparation requirements for Carrier

Route BPM flats. M723.2.1 contains new

packaging requirements. M723.2.2

through M723.2.4 contains new sacking

minimums, requires preparation of

carrier route sacks, provides for optional

preparation of 5-digit scheme carrier

routes sacks for Carrier Route BPM flats

and amends the Line 2 sack labels to

change the class abbreviation from

‘‘STD B’’ to ‘‘PSVC.’’ M723.2.5 contains

a provision to allow preparation of

bedloaded carrier route packages of

BPM flats weighing up to 40 pounds

when prepared for and entered at DDU

rates. M723.3.0 contains preparation

requirements for Carrier Route BPM

weighing less than 10 pounds. M723.3.1

sets forth new packaging requirements

for Carrier Route BPM irregular parcels

weighing less than 10 pounds. M723.3.2

through M723.3.4 contain sack

preparation requirements that change

the carrier route sack minimum, make it

a required level of sack, and amend line

2 sack labels to change the class

abbreviation from ‘‘STD B’’ to ‘‘PSVC.’’

M723.3.5 contains a provision to allow

preparation of bedloaded carrier route

packages of BPM irregular parcels

weighing up to 40 pounds when

prepared for and entered at DDU rates.

M723.4.0 contains requirements for

Carrier Route BPM irregular parcels

weighing 10 or more pounds. M723.4.1

requires Carrier Route BPM irregular

parcels weighing 10 or more pounds to

be prepared only in direct carrier route

sacks containing a minimum of 20

pounds of mail. M723.5.0 permits

machinable parcels to qualify for Carrier

Route BPM rates only if prepared in a

direct carrier route sack that contains a

minimum of 10 addressed pieces or 20

pounds. M730 is added to contain

standards for Media Mail (formerly in

M630.4.0) and is amended to reflect the

subclass name change to ‘‘Media Mail.’’

M730.1.0 contains basic standards.

M730.2.1 (formerly M630.4.4) contains

sack and package on pallet preparation

for 5-digit Media Mail rates. M730.2.1 is

amended to change ‘‘bundles’’ to

‘‘packages’’ and to remove ‘‘/1,000 cubic

inches.’’ M730.2.2 (formerly M630.4.5)

contains sack preparation for BMC

Media Mail rates and is amended to

remove ‘‘/1,000 cubic inches.’’ M730.2.3

contains line 2 sack label information

for Media Mail (formerly in M630.4.6)

amended to change ‘‘STD’’ and ‘‘STD B’’

to ‘‘PSVC.’’ M740 is added that contains

the standards for Library Mail in former

M630.5.0. M740.1.0 (formerly M630.5.1

through 5.3) contains basic standards for

Library Mail and is amended to

discontinue use of the ‘‘Library Rate’’

marking beginning January 1, 2002.

M740.2.1 (former M630.5.4) contains

sack preparation requirements for the 5-

digit Library Mail rates and is amended

to remove ‘‘/1,000 cubic inches’’ and to

change line 2 labels from ‘‘STD’’ and

‘‘STD B’’ to ‘‘PSVC.’’

M740.2.2 (formerly M630.5.5)

contains sack preparation requirements

for the BMC Library Mail rates and is

amended to remove ‘‘/1,000 cubic

inches.’’ M740.2.3 (formerly M630.5.6)

contains line 2 sack label information

for Library Mail and is amended to

change ‘‘STD’’ and ‘‘STD B’’ to ‘‘PSVC.’’

M820.1.2 is amended to incorporate

the separate rates for 5-digit and 3-digit

First-Class Mail automation flats.

M820.1.5 is amended to exclude FirstClass Mail automation flats prepared

under the new tray-based preparation

rules from package preparation

standards. M820.1.11 is added to

prohibit combining FSM 881 and FSM

1000 mailpieces in the same tray when

the new tray-based preparation option

for First-Class Mail automation flats is

used. M820.2.1 is amended to make

preparation of 5-digit packages for FirstClass automation flats optional.

M820.2.2 is amended to make

preparation of 5-digit trays for FirstClass automation flats optional.

M820.3.0 is added to provide for an

optional tray-based preparation for

First-Class automation flats. M910.1.2 is

amended to change the reference

‘‘M820’’ to the more specific reference

‘‘M820.2.1’’ so that it is clear the mail

must be packaged and must not be

prepared under the new option for FirstClass Mail automation flats in M820.3.0

for tray-based preparation.

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78561

P Postage and Payment Methods

P011.1.1 is amended by renumbering

1.1b through 1.1e as 1.1c through 1.1f

and by adding new 1.1b to include

prepayment conditions for merchandise

return service. P011.3.3 and 3.4 are

added to clarify standards for advance

deposit accounts and annual accounting

fees. A separate annual accounting fee

must be paid for each special service

deducted from the same account.

P012.2.2 is amended to require tray

levels and tray destinations in the body

elements of the standardized

documentation for the new tray-based

preparation option for First-Class Mail

automation flats. P012.2.3 is amended to

add the rate levels and abbreviations for

the new tray-based option for First-Class

Mail automation flats. P013.1.4 and 1.5

are amended to show how to properly

affix postage to single-piece rate

mailings and other-than-single-piece

rate mailings. P013.2.4 is revised to

reflect the new one-pound minimum

Priority Mail rate. P013.2.6 is amended

to reflect that keys and identification

devices weighing more than 13 ounces

but not more than one pound would be

charged the new one-pound rate.

P013.9.0 is amended to clarify how to

calculate Package Services postage for

pieces with postage affixed and for

pieces paid with permit imprint.

P014.2.4f is amended to show that

customers may receive a refund for

Signature Confirmation service.

P014.2.4i is amended to include

standards for when the destination entry

mailing fee for Package Services and

Bound Printed Matter is eligible for a

full (100%) refund. P014.2.11 is

amended to show that the QBRM

quarterly fee is not refundable. P022.1.2

is amended to show that postage due

stamps cannot be used to pay postage

due. P030.3.5 is amended to reflect the

new categories for on-site meter service

and to exclude secured postage devices

from the meter service fees. P070.5.4 is

amended to specify that unmarked

parcels are rated at the inter-BMC/ASF

postage rates. P600.4.0 and 5.0 are

added to clarify payment standards for

Standard Mail pieces that claim the

barcoded discount or are mailed with

special services. Current P700, Special

Postage Payment Systems, is

redesignated as P900. Current P710,

P720, P730, P750, and P760 are

redesignated as P910, P920, P930, P950,

and P960, respectively. A new P700 is

created to contain payment standards

for Package Services.

R Rates and Fees

The entire module is revised to reflect

new rates and fees for all classes of mail.

S Special Services

S010.2.1 is amended to show that the

sender of a merchandise return service

parcel may file a claim for loss if the

sender has purchased the insurance.

S911.1.5 is amended to clarify the

additional services that can be added to

registered mail and to add Signature

Confirmation as an additional service.

S912.1.4 is amended to specify the

additional services that may be

combined with certified mail and

S912.1.5 is amended to clarify the

standards for a delivery record.

S912.2.5a is amended to specify the

form number used by customers.

S913.1.2 and 1.3 are amended to show

that bulk insurance may be added to

Standard Mail pieces that are subject to

the residual shape surcharge and to

remove the required ‘‘Standard Mail

Enclosed’’ marking. S913.1.5 is

amended to clarify the additional

services that can be added to insurance

and to add Signature Confirmation as an

additional service. S913.1.6 is added to

clarify that customers may request a

delivery record after mailing. S913.2.5 is

amended to include information about

integrated barcodes with Signature

Confirmation and insurance. S913.4.0 is

amended to change ‘‘parcel’’ to ‘‘item.’’

S914.1.1 is amended to show that

certificate of mailing is evidence that

mail has been presented for mailing but

does not provide a record of delivery.

S914.1.2, 1.3, and 1.4 are rewritten for

clarity; there are no changes to these

standards for bulk certificate of mailing.

S914.1.7 is added to specify the

additional services that may be

combined with certificate of mailing.

S915.1.1 is amended to show that the

return receipt is mailed back to the

sender. S915.1.2 is amended to show

the classes of mail that are eligible for

return receipt service and the

prerequisite services. S915.1.7 is added

to specify the additional services that

may be combined with return receipt.

S915.2.2 is amended to clarify how to

apply for a delivery record after mailing.

S915.2.3 is added to specify the time

limit for requesting a delivery record

after mailing. S915.4.2 is amended to

clarify how to request delivery

information. S916.1.2 is amended to

clarify that restricted delivery cannot be

used with Standard Mail. S916.1.7 is

added to specify the additional services

that may be combined with restricted

delivery, including new Signature

Confirmation service. S917.1.1 is

amended to show that the return receipt

is mailed back to the sender. S917.1.2 is

amended to show that return receipt for

merchandise service is available for

Standard Mail pieces that are subject to

the residual shape surcharge. S917.1.3 is

amended to specify the special services

that may be combined with return

receipt for merchandise. S917.2.7 is

added to clarify how mailers may

request a delivery record if return

receipt service was not provided.

S917.3.0 is amended to remove

information about the delivery record.

S918.1.2 is amended to show that

electronic option Delivery Confirmation

is available for Standard Mail pieces

that are subject to the residual shape

surcharge. S918.1.3 is amended to show

that Delivery Confirmation service is not

available for Standard Mail cards,

letters, and flats (i.e., pieces that are not

subject to the residual shape surcharge).

The last sentence of S918.5.0a is deleted

to eliminate redundancy.

New unit S919 is added for Signature

Confirmation service.

S921.1.1 is amended to show the new

$1,000 limit for COD and to clarify that

recipients who pay CODs with cash will

be charged the applicable money order

fee(s). S921.1.4 is amended to specify

the additional services that may be

combined with COD.

Effective November 5, 2000, the Postal

Service completely rewrote DMM

standards for business reply mail (see

Postal Bulletin 22035 (10–19–00),

available via www.usps.com). This

rewrite was done for clarity and

consistency. Therefore, standards for

business reply mail in this final rule

have been reorganized to reflect the new

structure of DMM units E150, P014,

R900, and S922. There have been no

substantive changes to these standards

since publication in the proposed rule.

S922.3.3 is amended to delete the

requirement that BRM permit holders

maintain a unique advance deposit

account just for BRM. S922.7.7 and 7.8

are added to add a new classification of

high-volume qualified business reply

mail (QBRM) that includes a quarterly

fee and a lower per piece charge.

S923.1.1, 1.3, and 2.7 are amended to

remove references to the per piece fee

for pieces returned through

merchandise return service (MRS).

S923.1.11 is amended and 1.12 is

removed to show that unmarked MRS

pieces will be treated as Parcel Post.

S923.2.3 is amended to clarify

references to the annual accounting fee.

S923.2.7 is amended to remove

references to the per piece fee for items

returned via merchandise return service.

S923.3.0 is amended in its entirety to

clarify how postage is paid on returned

pieces, to remove references to the per

piece charge, and to add the annual

accounting fee for the required advance

deposit account. S923.4.1 and 4.2 are

amended to show that the sender (the

78562 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

person using the merchandise return

service label to return a parcel to the

permit holder) may add insurance to a

MRS parcel at their own discretion and

expense. S923.5.6c is amended to clarify

that rate markings are optional on MRS

labels. All of the exhibits in S923 are

amended to remove references to the per

piece fee.

S924.1.1 is amended to add a

sentence about payment information for

Bulk Parcel Return Service (BPRS).

S924.1.4 is added to show that no

special services can be added to pieces

sent through BPRS. S924.3.2, 3.3, and

3.4 are added to clarify the per piece

charges and to describe the new annual

accounting fee. S924.3.5 is added to

specify that the permit holder is

responsible for payment of all

applicable fees. Exhibit S924.5.0 is

amended to change the class marking to

‘‘Standard Mail.’’ S930.1.3 is amended

to specify that Signature Confirmation

service can be combined with special

handling. S930.1.7 is added to clarify

that the Parcel Post nonmachinable

surcharge is not added to parcels sent

special handling. S930.2.3 is amended

to specify the additional services that

may be combined with parcel airlift

service (PAL).

Although exempt from the notice and

comment requirements of the

Administrative Procedure Act (5 U.S.C.

553(b),(c)) regarding rulemaking by 39

U.S.C. 410(a), the Postal Service hereby

adopts the following amendments to the

Domestic Mail Manual (DMM), which is

incorporated by reference in the Code of

Federal Regulations. See 39 CFR part

111.

List of Subjects in 39 CFR Part 111

Administrative practice and

procedure, Postal Service.

PART 111—[AMENDED]

1. The authority citation for 39 CFR

Part 111 continues to read as follows:

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

401, 403, 404, 414, 3001–3011, 3201–3219,

3403–3406, 3621, 3626, 5001.

2. Revise the following sections of the

Domestic Mail Manual (DMM) as

follows:

A ADDRESSING

A000 Basic Addressing

A010 General Addressing Standards

1.0 ADDRESS CONTENT AND

PLACEMENT

* * * * *

[Amend 1.2 by replacing ‘‘and

Standard Mail (A), Standard Mail (B),’’

with ‘‘Standard Mail, Package Services,’’

no other changes to text.]

* * * * *

[Amend 1.6 by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail, and Package

Services’’; and by replacing ‘‘E600’’ with

‘‘E600, and E700’; no other changes to

text.]

* * * * *

4.0 RETURN ADDRESS

* * * * *

[Amend 4.3g by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’; no

other changes to text.]

* * * * *

A060 Detached Address Labels (DALs)

1.0 USE

[Amend 1.2 and 1.3 by changing

‘‘Standard Mail (A)’’ to ‘‘Standard Mail’;

no other changes to text.]

[Revise 1.4 to reflect the elimination

of the local zone and to add new 5-digit

preparation and entry standards to read

as follows:]

1.4 Bound Printed Matter

Unaddressed pieces of Bound Printed

Matter may be mailed with DALs when:

a. The mail is prepared on 5-digit

pallets meeting the standards in M040

and M045, except that for flat-size mail

separate 5-digit pallets of Carrier Route

and Presorted rate mail are not required.

The mail may not be prepared on pallets

when the Drop Shipment Product

indicates that the delivery unit that

serves the 5-digit pallet destination

cannot handle pallets. The destination

delivery unit is determined using the

Drop Shipment Product under the

provisions for the DDU rate in E752.

(For such delivery units, mail with

DALs must be prepared in sacks.) The

trays or cartons of DALs must be

prepared under 3.0 and placed on the

same pallet as the pieces and must be

stretch-wrapped together as one unit.

b. The mail is prepared in 5-digit

sacks and entered at the destination

delivery unit. The destination entry unit

is determined by using the Drop

Shipment Product under the provisions

for the DDU rate in E752. DALs must be

packaged under 3.0 and presented to the

destination delivery unit with the

accompanying items to be distributed

with the DALs.

* * * * *

[Add a new 1.7 to read as follows:]

1.7 Special Services

Items mailed with DALs may not be

combined with any special services.

* * * * *

3.0 MAIL PREPARATION

* * * * *

[Remove 3.7 and 3.8.]

* * * * *

4.0 DISPOSITION OF EXCESS OR

UNDELIVERABLE MATERIAL

* * * * *

[Amend 4.2 by adding additional

restrictions to undeliverable Bound

Printed Matter to read as follows:]

4.2 Undeliverable DAL

A DAL that is undeliverable as

addressed (UAA) is handled under

F010. A UAA Standard Mail or Bound

Printed Matter DAL is disposed of as

waste. The accompanying item is

treated as specified by the mailer under

4.1.

5.0 POSTAGE

* * * * *

[Amend 5.2b by changing ‘‘Standard

Mail (A)’’ to ‘‘Standard Mail’’; no other

changes to text.]

[Amend 5.3 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’; no

other changes to text.]

* * * * *

A900 Customer Support

A910 Mailing List Services

* * * * *

2.0 FEE ASSESSMENT

2.1 Corrections

[Amend 2.1 to show that the

minimum fee applies to lists with fewer

than 30 corrections:]

The fee for correcting name and

address lists or occupant lists is

assessed for each name or street address

on the list. Individual apartments are

considered separate addresses. The

minimum fee in R900 applies to lists

with fewer than 30 names or addresses.

(For assessing the fee, the USPS

considers a list to be all the addresses

sent at one time to the appropriate

postal facility.)

* * * * *

C Characteristics and Content

C000 General Information

C010 General Mailability Standards

1.0 MINIMUM AND MAXIMUM

DIMENSIONS

* * * * *

[Amend 1.3 by changing ‘‘(see C600)’’

to ‘‘(see C700)’’.]

* * * * *

C020 Restricted or Nonmailable

Articles and Substances

* * * * *

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78563

C023 Hazardous Materials

1.0 GENERAL

[Amend 1.1f by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail or Package

Services’’; no other changes to text.]

* * * * *

C050 Mail Processing Categories

1.0 BASIC INFORMATION

[Amend the second sentence of 1.0 to

reflect changes in class names to read as

follows:]

* * * Unless permitted by standard,

any mailing at other than the singlepiece Express Mail, Priority Mail, FirstClass Mail, or Package Services rates

may not contain pieces from more than

one processing category.

* * * * *

[Amend Exhibit 2.0 to show new

weight limit for machinable parcels.]

* * * * *

4.0 MACHINABLE PARCEL

4.1 Criteria

[Amend 4.1a to decrease the

minimum piece weight from 8 ounces to

6 ounces to read as follows:]

A machinable parcel (see Exhibit 2.0)

is any piece that is:

a. Not less than 6 inches long, 3

inches high, 1⁄4 inch thick, and 6 ounces

in weight. (A mailpiece exactly 1⁄4 inch

thick is subject to the 31⁄2-inch height

minimum under C010.)

* * * * *

[Remove 4.1c.]

4.2 Soft Goods

[Amend 4.2 to include reference to

C010 for packaging standards to read as

follows:]

Soft goods wrapped in paper or

plastic bags and enveloped printed

matter weighing up to 5 pounds are

machinable only if all applicable

packaging standards in C010 are met.

4.3 Exception

[Amend 4.3 to clarify the exception

authority for machinable parcels to read

as follows:]

Some parcels may be successfully

processed on BMC parcel sorters even

though they do not conform to the

general machinability criteria in 4.1. A

destinating BMC plant manager may

authorize a mailer to enter such parcels

as machinable parcels rather than as

irregular parcels if the parcels are tested

on BMC parcel sorters and prove to be

machinable. In addition, the following

requirements must be met: all mailed

pieces must be properly labeled, entered

at a post office within the service area

of the authorizing BMC, and bear

delivery addresses located within the

service area of the authorizing BMC.

* * * * *

C200 Periodicals

1.0 PERMISSIBLE MAILPIECE

COMPONENTS

[Amend 1.3, 1.8, and 1.10 to replace

‘‘Standard Mail (A)’’ with ‘‘Standard

Mail.’’]

* * * * *

2.0 IMPERMISSIBLE MAILPIECE

COMPONENTS

* * * * *

2.2 Prohibited Matter

[Amend 2.2c to replace ‘‘or Standard

Mail’’ with ‘‘Standard Mail, or Package

Services’; no other changes to text.]

* * * * *

[Amend heading and text of 2.4 by

replacing ‘‘Standard Mail (B)’’ with

‘‘Package Services’’; no other changes to

text.]

* * * * *

[Add new section 5.0 to read as

follows:]

5.0 PHYSICAL LIMITATIONS

Periodicals mail may not weigh more

than 70 pounds or measure more than

108 inches in length and girth

combined. Additional size limitations

apply to individual Periodicals rate

categories.

* * * * *

C600 Standard Mail

1.0 DIMENSIONS

[Revise the heading of 1.1 to read as

follows:]

1.1 Basic Standards

[Amend 1.1 and Exhibit 1.1d by

changing ‘‘Standard Mail (A)’’ to

‘‘Standard Mail.’’]

* * * * *

[Redesignate 1.3 as C700.1.0.]

[Redesignate current 2.0 as C700.2.0.]

[Add new 2.0 to read as follows:]

2.0 RESIDUAL SHAPE SURCHARGE

Mail that is prepared as a parcel or is

not letter-size or flat-size as defined in

C050 is subject to a residual shape

surcharge. There is one surcharge for

mail entered at Regular and Nonprofit

Presorted rates and a different surcharge

for mail entered at Enhanced Carrier

Route and Nonprofit Enhanced Carrier

Route rates.

* * * * *

[Add new

C700 as follows:]

C700 Package Services

[Redesignate C600.1.3 as C700.1.0 and

amend the heading by replacing

‘‘Standard Mail (B)’’ with ‘‘Package

Services’’; no other changes to text.]

[Redesignate C600.2.0 as C700.2.0.

Insert the criteria for nonmachinability

from E630.1.4 and amend to extend the

nonmachinable surcharge to intra-BMC

and Parcel Select-DBMC pieces to read

as follows:]

2.0 NONMACHINABLE PARCEL

POST PIECES

[Effective December 12, 2000, the

Postal Service amended the criteria for

nonmachinability (see Postal Bulletin

22038 (11–30–00), available via

www.usps.com)). Those changes are

reflected in the following paragraphs.]

Mailpieces described in this section

and mailed at the inter-BMC/ASF Parcel

Post, intra-BMC/ASF Parcel Post, and

DBMC Parcel Select rates are subject to

the applicable nonmachinable surcharge

in R700 unless the applicable special

handling fee is paid. An oversized

parcel as described in 1.0c is not subject

to the nonmachinable surcharge.

Mailpieces are nonmachinable if they

meet any of the following criteria:

a. A parcel more than 34 inches long,

17 inches wide, or 17 inches high, or

weighing more than 35 pounds.

b. A parcel containing more than 24

ounces of liquid in glass containers, or

1 gallon or more of liquid in metal or

plastic containers.

c. An insecurely wrapped or metalbanded parcel.

e. A can, roll, or tube, or wooden or

metal box.

f. A shrub or tree.

g. A perishable such as eggs.

h. Books, printed matter, or business

forms weighing more than 25 pounds.

i. A high-density parcel weighing

more than 15 pounds and exerting more

than 60 pounds per-square-foot pressure

on its smallest side.

j. A film case weighing more than 5

pounds or with strap-type closures,

except any film case the USPS

authorizes to be entered as a machinable

parcel under C050 and to be identified

by the words ‘‘Machinable in United

States Postal Service Equipment’’

permanently attached as a

nontransferable decal in the lower right

corner of the case.

k. Parcels with characteristics (such as

inadequate packaging) that could result

in damage to the contents or postal

machinery if mechanical sortation is

used.

[Add new 3.0 to read as follows:]

78564 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

3.0 POSTAL INSPECTION

Package Services mail is not sealed

against postal inspection. Package

Services mail may be prepared for

automated processing but must allow

easy examination.

C800 Automation-Compatible Mail

C810 Letters and Cards

* * * * *

2.0 DIMENSIONS

* * * * *

[Redesignate 2.3 as 2.4; amend

redesignated 2.4 by revising the

maximum weight limit for heavy letters

and by deleting 2.4d through f; and add

new 2.3 to read as follows:]

2.3 Determining Height and Length

The length of an automation letter

piece is the dimension parallel to the

address when the address is read. The

height is the dimension perpendicular

to the length.

2.4 Maximum Weight

Maximum weight limits are as

follows:

a. Upgradable Presorted First-Class

Mail and Upgradable Presorted

Standard Mail: 2.5 ounces (0.1563

pound).

b. Automation First-Class Mail,

automation Periodicals, and automation

Standard Mail: 3 ounces (0.1875

pound).

c. Automation First-Class Mail,

automation Periodicals, and automation

Standard Mail heavy letters, subject to

7.5: 3.3 ounces (0.2063 pound).

* * * * *

7.0 ADDITIONAL STANDARDS FOR

SPECIFIC TYPES OF PIECES

* * * * *

7.5 Heavy Letter Mail

[Amend 7.5 by changing the reference

‘‘2.3’’ to ‘‘2.4’’; no other changes to text.]

* * * * *

C820 Flats

* * * * *

3.0 DIMENSIONS FOR FSM 1000

PROCESSING

* * * * *

3.4 Maximum Weight

[Amend 3.4 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

* * * * *

C840 Barcoding Standards for Letters

and Flats

* * * * *

2.0 BARCODE LOCATION LETTER—

SIZE PIECE

2.1 Barcode Clear Zone

[Amend 2.1 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

* * * * *

[Revise 3.0 to read as follows:]

3.0 BARCODE APPLICATION—FLATSIZE PIECE

3.1 General Requirements

On any flat-size piece claimed at

automation rates, the piece may bear

one POSTNET barcode under 3.2, or

may bear two POSTNET barcodes under

3.3. Other mailer-applied nonPOSTNET barcodes may appear on the

address side of the piece if the barcode

format is not detectable or confusing to

automated postal equipment.

3.2 Applying One POSTNET Barcode

On any flat-size mailpiece claimed at

an automation rate, the barcode may be

anywhere on the address side as long as

it is at least 1⁄8 inch from any edge of

the piece. For FSM 1000 mailpieces, the

preferred location of the barcode is at

least 2 inches from the edge of the

dimension that is the length for that

type of automation piece (the longest

edge or, for pieces with a folded or

bound edge, the folded or bound edge).

The portion of the surface of the piece

on which the barcode is printed must

meet the barcode dimensions and

spacing requirements in 4.0 and the

reflectance standards in 5.0. Address

block barcodes are subject to the

standards in 2.5a through 2.5e.

3.3 Applying a Second POSTNET

Barcode

A second POSTNET barcode may be

applied to the piece at the mailer’s

option only if the first POSTNET

barcode on the piece is an address block

barcode prepared under 3.2 that is not

CASS-certified. In addition, the second

barcode must meet the following

requirements:

a. It must be a delivery point barcode

(DPBC).

b. The preferred placement is the

lower right corner of the mailpiece

parallel to and in the same direction as

the delivery address.

c. It must be placed at least 1 inch

below the return address.

d. The space between the two

POSTNET barcodes must be greater than

1 inch.

* * * * *

[Amend title of C850 by replacing

‘‘Standard Mail (B)’’ with ‘‘Standard

Mail and Package Services’’ to read as

follows:]

C850 Barcoding Standards for

Standard Mail and Package Services

Machinable Parcels

1.0 GENERAL

[Amend 1.1 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Standard Mail and

Package Services,’’ and replace ‘‘E630’’

with ‘‘E620, E720, E730, or E740’’; no

other changes to text.]

* * * * *

[Effective November 30, 2000, the

Postal Service revised DMM C850.1.4 to

include new information about

integrated barcodes. See Postal Bulletin

22038 (11–30–00).]

[Amend 1.4 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Standard Mail and

Package Services mail’’ and ‘‘E630’’

with ‘‘E620, E720, E730, or E740.’’

Amend 1.4c to add information about

Signature Confirmation to read as

follows:]

1.4 Use with Delivery Confirmation

and Signature Confirmation Services

A mailer may qualify for the

machinable parcel barcode discount and

may apply Delivery Confirmation and

Signature Confirmation barcodes

provided that the requirements in E600,

E700, and S900 are met and the

barcode(s) is prepared in one of the

following ways:

a. Separate Barcodes. Mailers may

place both a postal routing code

prepared under 1.0 through 4.0 and

separate Delivery Confirmation and

Signature Confirmation barcodes on the

same mailpiece.

b. Single Concatenated Barcode.

Mailers may print on the same

mailpiece a single concatenated barcode

that combines the postal routing code

and Delivery Confirmation and/or

Signature Confirmation information as

follows:

(1) Only the UCC/EAN Code 128

barcode symbology may be used.

(2) The barcode must be prepared

according to the barcode specifications

for the UCC/EAN Code 128 in S918,

S919, and Publication 91.

(3) The barcode must be prepared

according to the data format

requirements for concatenated barcodes

in Publication 91, Appendix G, Table

25. This format contains the start code,

function one code, the ‘‘420’’

application identifier, the 5-digit code of

the delivery address on the mailpiece,

the function one code, the ‘‘91’’

application identifier, the service type

code, the customer ID, the sequential

package ID, the MOD 10 check digit, the

MOD 103 check digit, and the stop code.

The MOD 10 check digit must be

calculated using only the Delivery

Confirmation barcode or Signature

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78565

Confirmation barcode elements. The

function one codes, the ‘‘420’’

application identifier, and the 5-digit

code of the delivery address are not

included in the MOD 10 check digit

calculation.

(4) Instead of the requirements in 3.0

and 4.0, mailers must use the format,

placement, and human-readable

information requirements found in

S918, S919, and Publication 91. The

human-readable numeric representation

of the concatenated barcode must show

the ‘‘420’’ application identifier, the 5-

digit code of the delivery address, the

‘‘91’’ application identifier, the service

type code, customer ID, sequential

package ID, and MOD 10 check digit.

The human-readable information also

must include the ‘‘USPS Delivery

Confirmation’’ or ‘‘USPS Signature

Confirmation’’ text and identification

bars.

(5) In addition to the human readable

requirements in S918, S919, and

Publication 91, the word ‘‘ZIP’’ must be

printed to the left of the barcode in 12

point or larger sans serif type. A clear

zone between the end of the word ‘‘ZIP’’

and the beginning of the barcode must

be maintained. The clear zone must be

no less than 10 times the average narrow

bar or space element width and no more

than 1⁄2 inch to the left of the barcode.

A clear zone of 0.25 inch is

recommended.

(6) If a mailpiece bears a concatenated

barcode, then no other barcodes that

appear on the mailpiece may contain

the postal routing code structure (see

1.5).

(7) All barcode symbols must be

printed on substrate material that

preserves the optical specification as

described in the AIM–USA Uniform

Symbology Specification documents.

Typically, white label stock commonly

used for barcode generation is suitable,

providing it is not glossy (causing

mirror-like (specular) reflection) nor

prone to smearing or smudging.

c. Integrated Barcode. An integrated

barcode may be used by mailers who

choose to combine Delivery

Confirmation or Signature Confirmation

with other special services on Priority

Mail and Package Services. This option

also is available for electronic option

Delivery Confirmation with other

special services on Standard Mail.

Mailers may combine multiple services

into a single barcode on the shipping

label to eliminate multiple labels and

barcodes on parcels. The only approved

combinations are Delivery Confirmation

combined with insurance and Signature

Confirmation combined with insurance.

Mailers printing their own barcodes and

using the electronic option must meet

existing specifications in S918 or S919.

Two required changes are:

1. Change the text above the barcode

to identify the service requested.

Exhibits are included in Publication 91,

Delivery Confirmation Technical Guide,

November 2000 edition (which includes

the addendum on Signature

Confirmation and integrated barcodes.)

2. Change the service type code in the

barcode to identify the class of mail

and/or type of special service combined

with Delivery Confirmation or Signature

Confirmation. Additional information

on the Service Type Code Matrix can be

found in Publication 91, Delivery

Confirmation Technical Guide,

November 2000 edition.

* * * * *

D DEPOSIT, COLLECTION, AND

DELIVERY

D000 Basic Information

D010 Pickup Service

* * * * *

2.0 POSTAGE AND FEES

* * * * *

[Amend 2.2 by changing ‘‘R600’’ to

‘‘R700’’.]

* * * * *

D200 Periodicals

D210 Basic Information

* * * * *

2.0 MAIL DEPOSIT

[Amend 2.0 by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Services mail’’; no other changes to

text.]

3.0 EXCEPTIONAL DISPATCH

* * * * *

3.2 Intended Use

[Revise 3.2 by amending the first

sentence and adding a new second

sentence to read as follows:]

The provision for exceptional

dispatch is intended for short-haul local

distribution (zones 1 and 2) of

publications with total circulation of no

more than 25,000 and is not to be used

to circumvent additional entry

standards. Applications for exceptional

dispatch for publications with over

25,000 total circulation may be

considered on a case-by-case basis for

possible waiver of the 25,000-

circulation limit.

* * * * *

3.4 Destination Rates

[Revise 3.4 by changing the second

sentence to read as follows:]

* * * Copies of Periodicals

publications deposited under

exceptional dispatch may be eligible for

and claimed at the SCF rates if eligible

for those rates at both the entry office

from which the zone rate postage for

those copies is computed and at the post

office of deposit by exceptional

dispatch. Copies of Periodicals

publications deposited under

exceptional dispatch may be eligible for

and claimed at the destination delivery

unit rates provided the applicable

standards in E250 are met. * * *

* * * * *

D600 Standard Mail

* * * * *

2.0 MAIL DEPOSIT

[Amend 2.0 by removing 2.1 and 2.3;

redesignating 2.2 and 2.4 as 2.1 and 2.2,

respectively; revising the heading and

amending the contents of redesignated

2.1 to remove the term ‘‘bulk rates,’’

provide for mail entered under plantverified drop shipment procedures, and

amending the text of redesignated 2.2

for clarity to read as follows:]

2.1 General

Standard Mail must be presented at

the post office where the permit or

license is held and the presort mailing

fee is paid. Mailings must be presented

at the locations and times specified by

the postmaster. Plant-verified drop

shipment (PVDS) mailings must be

presented for verification, acceptance,

and entry under P750. Plant-loaded

mailings must be presented, verified,

accepted, and entered as specified by

the plant load agreement and applicable

standards. Metered Standard Mail may

be deposited at other than the licensing

post office only as permitted under

D072. Nonprofit Standard Mail must be

presented only at post offices where the

organization producing the mailing has

an approved nonprofit authorization

(E670).

2.2 Separation of Mailings

Pieces at different rates (e.g., 3/5 and

basic) may be combined in the same

mailing as provided in M011. Separate

mailings may be reported on the same

postage statement if the pieces in the

mailings are in the same processing

category (C050), are part of the same

mailing job, and are presented for

verification at the same time.

[Add new D700 to read as follows:]

D700 Package Services

1.0 SERVICE OBJECTIVES

The USPS does not guarantee the

delivery of Package Services mail

(Parcel Post (including Parcel Select),

Bound Printed Matter, Media Mail, and

78566 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Library Mail) within a specified time.

Package Services mail might receive

deferred service. The local post office

can provide more information

concerning delivery times within its

area.

2.0 MAIL DEPOSIT

2.1 Single-Piece Rate Mailings

Single-piece rate Package Services

mail must be deposited at a time and

place specified by the postmaster or

designee at the office of mailing.

Metered mail may be deposited at other

than the licensing post office only as

permitted under D072. Permit imprint

mail must be presented at the post office

under P040 or P700.

2.2 Presorted, Carrier Route,

Destination Entry, and Barcoded

Discount Mailings

All presorted, carrier route,

destination entry, and barcoded

discount mailings must be presented for

verification and acceptance at the post

office where the permit or license is

held. All such mailings must be

deposited at locations and times

specified by the postmaster or designee

at the office that verifies and accepts the

mailing. Plant-verified drop shipment

(PVDS) mailings must be presented for

verification, acceptance, and entry

under P750.

Plant-loaded mailings must be

presented as specified by the applicable

standards and the plant load agreement.

Metered mail may be deposited at other

than the licensing post office only as

permitted under D072.

2.3 Zoned Rates

Pieces paid at zoned rates must be

entered at the post office from which the

applicable zoned rate postage is

computed unless an exception is

permitted under E710.

2.4 Drop Shipment Information

Essential information for entering

drop shipment Package Services

mailings at specific postal facilities can

be found in the Drop Shipment Product

maintained by the National Customer

Support Center (NCSC) (see G043).

There is a charge for the Drop Shipment

Product (E750).

D900 Other Delivery Services

D910 Post Office Box Service

1.0 BASIC INFORMATION

* * * * *

1.5 Box Availability

[Amend 1.5 by adding the following

sentence at the end of the paragraph:]

* * * Regardless of the box size

applied for, customers must pay the

correct fee for the service they receive.

* * * * *

[Redesignate current 1.7 as 1.8. Add

new 1.7 to read as follows:]

1.7 Service Period

Post office box service is provided in

6-month increments.

[Amend redesignated 1.8 to add the

new key duplication fee and the lock

resetting fee read as follows:]

1.8 Fees

Post office box fees for each 6-month

period are listed in R900. Each box

customer is charged a refundable

deposit for post office box keys.

Customers also are charged fees for

duplicate and replacement post office

box keys and for initiating lock changes

on post office boxes.

* * * * *

3.0 CONDITIONS OF USE

[Amend 3.1 by clarifying text to read

as follows:]

3.1 Receiving Mail

A box customer may receive through

the box any mail that is properly

addressed to that box number.

* * * * *

[Amend 3.7 by clarifying to read as

follows:]

3.7 Forwarding

A post office box may not be used

when the primary purpose is to have the

USPS forward or transfer mail to

another address free of charge.

* * * * *

4.0 BASIS OF FEES AND PAYMENT

[Amend 4.1 to change the basis of

post office box fees to read as follows:]

4.1 General

Post office box fees are based on the

size of box provided and the fee group

to which the box’s 5-digit ZIP Code is

assigned.

* * * * *

[Remove 4.3. Redesignate 4.4 through

4.11 as 4.3 through 4.10, respectively.

Amend redesignated 4.3 to read as

follows:]

4.3 Fee Changes

A change in post office box service

fees applicable to a given 5-digit ZIP

Code can arise from a general fee

change. In addition, the Manager,

Special Services, can assign a fee group

to a new ZIP Code, and may authorize

the reassignment of one or more 5-digit

ZIP Codes to the next higher or lower

fee group if the past fee group

assignments were in error. The Postal

Service also may regroup 5-digit ZIP

Codes. No ZIP Code may be moved

more than once a calendar year and a

ZIP Code may be moved only into the

next higher or lower fee group. Any

change in post office box service fees

takes effect on the date of the action that

caused the change unless an official

announcement specifies another date. If

post office box service fees are

increased, no customer must pay the

new rate until the end of the current

service period, and no retroactive

adjustment is to be made for a payment

received before the date of the change.

The fee charged is that in effect on the

date of payment.

4.4 Payment

[Amend 4.4 to specify when post

office box fees must be paid to read as

follows:]

All fees for post office box service are

for a 6-month period. Except under 4.6,

4.7, and 4.10, fees must be paid in

advance for each 6-month period. The

fee may be paid for two periods at a

time (i.e., up to one year in advance),

but not more. The fee that must be paid

is the one that is in effect on the day that

the fee is paid. Fees may be paid using

cash, credit or debit card, or check or

money order payable to the postmaster.

A mailed payment must be received by

the postmaster on or before the due

date.

* * * * *

[Amend the heading of 4.7 by

removing ‘‘for Group D Offices’’ to read

as follows:]

4.7 Exception

[Amend the first sentence of 4.7 by

removing reference to ‘‘Group D’’ to

read as follows:]

Postmasters at offices with fewer than

500 post office boxes may set April 1

and October 1 as the beginning of

payment periods for box customers in

their offices. * * *

* * * * *

[Amend 5.0 by revising 5.1 through

5.3 to show the new fee group

assignments:]

5.0 FEE GROUP ASSIGNMENTS

5.1 Regular Fee Groups

Post office boxes are assigned to fee

groups listed in R900 based upon

estimates of the facility space for post

office boxes in each 5-digit ZIP Code.

Local post offices can provide

information about fees for a particular

ZIP Code.

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78567

5.2 Free Box Service (Group E)

Customers may qualify for free (Group

E) post office box service if their

physical address or business location

meets all of the following criteria:

a. The physical address or business

location is within the geographic

delivery ZIP Code boundaries

administered by a post office.

b. The physical address or business

location constitutes a potential carrier

delivery point of service.

c. The USPS chooses not to provide

carrier delivery to the physical address

or business location.

d. The customer does not receive

carrier delivery via an out-of-bounds

delivery receptacle.

5.3 Additional Standards for Free Box

Service

Only one free (Group E) post office

box may be obtained for each potential

carrier delivery point of service.

Eligibility for Group E boxes does not

extend to individual tenants,

contractors, employees, or other

individuals receiving or eligible to

receive single-point delivery such as

delivery to a hotel, college, military

installation, or transient trailer park. A

customer must pay the applicable fee for

each additional box requested beyond

the initial box obtained at the Group E

fee.

[Remove Exhibits 5.3a and 5.3b.]

6.0 FEE REFUND

6.1 Calculation

[Amend 6.1 to clarify fee calculations

to read as follows:]

When post office box service is

terminated or surrendered by the

customer, the unused portion of the fee

may be refunded as follows:

a. If service is discontinued any time

within the first 3 months of the service

period, then one-half of the fee is

refunded.

b. If service is discontinued after the

beginning of the fourth month of the

service period, then none of the fee is

refunded.

c. If service is discontinued and the

customer has prepaid for the next semiannual service period, then the entire

fee for that next period is refunded.

* * * * *

[Amend the heading of 7.0 by adding

reference to ‘‘Locks’’ to read as follows:]

7.0 KEYS AND LOCKS

7.1 Key Deposit

[Amend 7.1 to clarify that customers

must pay the refundable key deposit for

all keys:]

Two post office box keys are initially

issued to each new box customer. Box

customers must pay a refundable key

deposit on each of these keys. The

refundable key deposit must be paid on

each additional key requested under 7.2.

When box service is terminated, the key

deposit is refunded to the customer for

each key (including additional or

replacement keys in 7.2) that is returned

to the post office where the box was

issued.

7.2 Additional Key Fee

[Revise 7.2 to add a reference to the

key fee to read as follows:]

A box customer may obtain additional

or replacement keys by submitting Form

1094 and paying the refundable key

deposit (see 7.1) and the key fee in

R900. The fee for additional or

replacement keys is not refundable.

Worn or broken keys are replaced

without charge when returned to the

post office where the box is located.

* * * * *

[Add new 7.4 to explain the lock

replacement fee to read as follows:]

7.4 Lock Replacement

The primary box customer (box

applicant) may request that the post

office box lock be changed. To change

the lock, the customer must first pay the

applicable lock fee in R900. Lock fees

are charged for replacing keyed locks

and combination locks and for re-setting

combination locks. Lock fees are not

refundable. Customers may turn in post

office box keys for the old lock and get

a refund of the key deposit. Two keys

are provided with the new lock, with a

refundable deposit for each key charged

under 7.1. Customers may obtain

additional keys for the new lock under

7.2.

* * * * *

D920 Caller Service

1.0 BASIC INFORMATION

* * * * *

1.4 Caller Number Service

[Remove the last two sentences of

1.4.]

[Redesignate current 1.5 through 1.9

as 1.6 through 1.10, respectively. Add

new 1.5 to read as follows:]

1.5 Reserving a Caller Number

Customers may reserve a caller

number for future use by paying the

caller number reservation fee in R900.

The postmaster determines the reserved

numbers and may restrict the

availability of this service.

* * * * *

3.0 CONDITIONS OF USE

[Amend 3.4 by clarifying to read as

follows:]

3.4 Forwarding

Caller service may not be used when

the primary purpose is to have the USPS

forward or transfer mail to another

address free of charge.

* * * * *

4.0 BASIS OF FEES AND PAYMENT

4.1 Caller Service Fee

[Amend 4.1 by clarifying text to read

as follows:]

Customers must pay the caller service

fee listed in R900. The fee must be paid

for each caller number or separation

used, with the following exceptions:

a. If a caller uses many caller numbers

but receives only a bulk delivery of mail

not separated to those numbers, either

because this mail is sorted to the

customer’s unique 5-digit ZIP Code or

because sortation is made by caller

name or other identification, then the

caller service fee is charged only for

each separation actually made. The

reserved number fee is charged for each

of the caller numbers to which mail

received by the caller is addressed.

b. When a post office box service

applicant is provided a single caller

service separation because of a shortage

in available post offices boxes, then the

fee charged is the fee for the largest

installed post office box. In this

instance, neither the caller service fee

nor the reserved number fee is charged.

[Remove Exhibit 4.1, Caller Service

Groups.]

4.2 Reserved Number

[Amend 4.2 to clarify that reserved

number fees are not refundable to read

as follows:]

The reserved caller number fee in

R900 is charged per calendar year or any

part of a calendar year for each number

reserved by a customer. Reserved caller

number fees are not prorated.

4.3 Fee Changes

[Amend 4.3 by removing references to

4.1b and 4.1 to read as follows:]

A change in caller service fees

(including reserved number fees) can

arise from a general fee change. Any

change in caller service fees takes effect

on the date of the action that caused the

change unless an official announcement

specifies another date. If a caller service

fee is increased, no customer must pay

at the new rate until the end of the

current service period, and no

retroactive adjustment is to be made for

a payment received before the date of

78568 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

the change. The fee charged is that in

effect on the date of payment.

* * * * *

4.5 Payment

[Amend 4.5 to clarify the payment

periods for caller service to read as

follows:]

The basic caller service fees are for a

6-month period. Fees must be paid in

advance for each 6–month period. The

fee may be paid for two periods at a

time (i.e., up to one year in advance),

but not more. The fee that must be paid

is the one that is in effect on the day that

the fee is paid. Fees may be paid using

cash, credit or debit card, or check or

money order payable to the postmaster.

A mailed payment must be received by

the postmaster on or before the due

date.

* * * * *

[Amend the heading of 4.8 by

removing ‘‘for Group D Offices’’ to read

as follows:]

4.8 Exception

[Amend the first sentence of 4.8 by

removing reference to Group D offices to

read as follows:]

Postmasters at offices with fewer than

500 post office boxes may set April 1

and October 1 as the beginning of

payment periods for caller service

customers in their offices. * * *

* * * * *

5.0 FEE REFUND

5.1 Discontinued Number

[Amend 5.1 to clarify when refunds

can be made to read as follows:]

When caller service is terminated or

surrendered by the customer, the

unused portion of the fee may be

refunded as follows:

a. If service is discontinued any time

within the first 3 months of the service

period, then one-half of the fee is

refunded.

b. If service is discontinued after the

beginning of the fourth month of the

service period, then none of the fee is

refunded.

c. If service is discontinued and the

customer has prepaid for the next semiannual service period, then the entire

fee for that next period is refunded.

* * * * *

[Add new 5.3 to show that the

reserved number fee is not refundable to

read as follows:]

5.3 Reserved Number Fee

The reserved number fee is not

refundable.

* * * * *

E ELIGIBILITY

E000 Special Eligibility Standards

E010 Overseas Military Mail

1.0 BASIC STANDARDS

* * * * *

[Amend 1.2 to change ‘‘Standard Mail

(B)’’ to ‘‘Package Services.’’]

* * * * *

1.4 Preparation

[Amend 1.4 by changing ‘‘C600’’ to

‘‘C700’’ and by changing ‘‘Standard Mail

(B)’’ to ‘‘Package Services’’ to read as

follows:]

Items sent by air or surface mail are

subject to the size and weight standards

in C100 or C700 unless limited further

by this standard. Mail must be

addressed under A010. Postage at the

applicable Priority Mail or Package

Services rates is charged for parcels sent

by air or surface transportation.

* * * * *

1.6 Restriction

[Amend the first sentence of 1.6 for

added clarity and to refer to the new

class and subclass names ‘‘Package

Services’’ and ‘‘Media Mail,’’

respectively, to read as follows:]

Regardless of the postage payment

method, the following types of mail

weighing 16 ounces or more must be

presented at a post office retail counter:

all single-piece rate Priority Mail and all

single-piece rate Package Services mail

(Parcel Post, Bound Printed Matter,

Media Mail, Library Mail).* * *

* * * * *

3.0 MILITARY ORDINARY MAIL

(MOM)

[Amend 3.0 by changing ‘‘Standard

Mail’’ to ‘‘Standard Mail and Package

Services.’’ Amend 3.0b by changing

reference to ‘‘Standard Mail (A), or

Standard Mail (B)’’ to ‘‘Standard Mail,

or Package Services mail’’; no other

changes to text.]

E020 Department of State Mail

1.0 AVAILABILITY

* * * * *

[Add new 1.4 to show that Express

Mail is not eligible to be mailed through

Department of State Mail to read as

follows:]

1.4 Express Mail

Express Mail may not be sent through

the Department of State.

2.0 CONDITIONS FOR AUTHORIZED

MAIL

* * * * *

2.3 Special Services

[Amend 2.3 by removing references to

Express Mail, which has been moved to

new 1.4, and by adding Signature

Confirmation to read as follows:]

The following special services are not

available for mail transmitted through

the Department of State: certified, COD,

Delivery Confirmation, insured,

registered, restricted delivery, return

receipt, return receipt for merchandise,

Signature Confirmation, and special

handling. If one of those services is

requested on this mail, it is returned to

the sender endorsed ‘‘Service Not

Available.’’

* * * * *

E040 Free Matter for the Blind and

Other Handicapped Persons

* * * * *

4.0 PREPARATION

4.1 Basic Standards

[Amend 4.1b by changing ‘‘C600’’ to

‘‘C700.’’]

* * * * *

E060 Official Mail (Penalty)

* * * * *

5.0 SERVICES, CLASSES, RATES,

PREPARATION, AND DETENTION

* * * * *

5.3 Basic Preparation

[Amend 5.3d to require the Parcel

Post marking to read as follows:]

Penalty mail must:

* * * * *

d. For all methods of payment, be

endorsed for class or rate except for

single-piece rate First-Class Mail not

exceeding 13 ounces.

* * * * *

7.0 PENALTY METER

* * * * *

[Amend 7.7 by changing title and

references from ‘‘On-Site Setting’’ to

‘‘Meter Service’’ to read as follows:]

7.7 Meter Service

An agency wanting on-site meter

service must pay the required fee in

cash or with a check when the meter is

set.

* * * * *

10.0 GENERAL STANDARDS FOR

PENALTY REPLY MAIL

[Amend 10.1 by deleting the last

phrase in the last sentence to read as

follows:]

10.1 Restriction to Approved Formats

An agency may distribute penalty

envelopes, cards, cartons, or labels to

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78569

any person, concern, or organization. To

distribute penalty reply mail, agencies

must use the penalty business reply

mail format, the penalty metered reply

format, penalty mail adhesive stamps or

penalty mail stamped stationery, or the

penalty merchandise return service

label.

* * * * *

11.0 PENALTY BUSINESS REPLY

MAIL (BRM)

11.1 General

[Amend 11.1 to add QBRM as an

option for penalty mailers and to clarify

payment of the annual accounting fee to

read as follows:]

An agency may participate in

business reply mail service (including

Qualified Business Reply Mail).

Standards for business reply mail are in

S922. Agencies can choose to pay

postage and per piece charges for BRM

with cash upon delivery or through an

advance deposit account. If an agency

chooses to pay through an advance

deposit account, then it must pay an

annual accounting fee, which is billed

through an OMAS account. The postage,

fees, and per piece charges are the same

as those for private-sector customers

(R900).

* * * * *

12.0 PENALTY MERCHANDISE

RETURN SERVICE

12.1 Description

[Amend 12.1 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services,’’

replacing ‘‘Special Standard Mail’’ with

‘‘Media Mail,’’ and adding a reference to

S923 to read as follows:]

Merchandise return service allows an

authorized permit holder to pay the

postage and special service fees on

single-piece rate First-Class Mail,

Priority Mail, and Package Services

(Parcel Post, Bound Printed Matter, and

Media Mail) that is returned by the

permit holder’s customers via a special

label produced by the permit holder as

specified by S923.

[Redesignate current 12.2 through

12.12 as 12.4 through 12.14,

respectively, add new 12.2 to show rate

and fee application, and add new 12.3

to show the required accounting fee to

read as follows:]

12.2 Postage and Special Service Fees

The standards for payment of postage

and fees are:

a. The permit holder guarantees

payment of the proper postage and

special service fees on all returned

merchandise return service articles

distributed under the permit holder’s

permit number. Postage is collected for

each article from an OMAS postage due

account.

b. Returned parcels are charged

single-piece rate postage and special

service fees based on the class or

subclass marking on the label. If a piece

is unmarked, then it is charged Parcel

Post rates. If the postage for the returned

piece is zoned and there is no way to

determine where it was sent from (i.e.,

no postmark or return address), then

postage is calculated at zone 4 (for

Priority Mail) or zone 4 inter-BMC rates

(for Parcel Post).

c. There is no per piece charge per

parcel returned.

12.3 Annual Accounting Fee

All MRS permit holders are required

to pay the annual accounting fee in

R900, which is assessed automatically

through OMAS.

* * * * *

12.7 Label Format

[Amend redesignated 12.7 by

changing ‘‘Exhibit 12.5a’’ to ‘‘Exhibit

12.7a’’ and ‘‘Exhibit 12.5b’’ to ‘‘Exhibit

12.7b’’ and to add new item c to

indicate the location of the optional rate

marking.]

* * * * *

c. Permit holders are encouraged, but

are not required, to put the rate marking

in the space to the right and above the

‘‘Merchandise Return Label’’ legend.

The marking must be at least 3⁄16 inch

high and be printed or rubber-stamped.

Only the permit holder may apply this

marking.

[Revise heading and amend content of

redesignated 12.8 by clarifying to read

as follows:]

12.8 Insurance Indicated by Permit

Holder

The permit holder may obtain insured

mail service with MRS. Indemnity

under penalty mail merchandise return

is limited to $100. Items requiring

insurance greater than $100 may not be

mailed under penalty merchandise

return service. Only Package Services

matter (i.e., matter not required to be

mailed at First-Class Mail rates under

E110) may be insured. Insured mail may

be combined with other special services

as listed in S913. To request insured

mail service, the permit holder must

preprint or rubber-stamp ‘‘Insurance

Desired by Permit Holder for

$lllll (value)’’ to the left of and

above the ‘‘Merchandise Return Label’’

legend and below the ‘‘Total Postage

and Fees Due’’ statement on the

merchandise return label. The value

part of the endorsement, showing the

dollar amount of insurance for the

article, may be handwritten by the

permit holder. If insurance is paid for by

the MRS permit holder, then only the

MRS permit holder may file a claim

(S010).

[Redesignate 12.9 through 12.14 as

12.10 through 12.15, respectively. Add

new 12.9 to show that MRS senders may

add insurance at their discretion to read

as follows:]

12.9 Insured Mail Added by Sender

If the permit holder has not indicated

insured mail service on the MRS label,

then the sender has the option of adding

insurance at the sender’s own expense.

There is no limit on the indemnity

coverage paid for by the sender. If

insurance is paid by the sender, then

only the sender may file a claim (S010).

[Amend redesignated 12.10,

Registered Mail, by changing ‘‘Exhibit

12.5b’’ to ‘‘Exhibit 12.7b’’; no other

changes to text.]

[Amend redesignated 12.11, Special

Handling, by changing ‘‘Exhibit 12.5a’’

to ‘‘Exhibit 12.7a’’ and by replacing

‘‘Standard Mail’’ with ‘‘Package

Services’’; no other changes to text.]

[Remove redesignated 12.12, Parcels,

and 12.13, Postage and Fees.

Redesignate 12.14, Permit Cancellation,

and 12.15, Later Receipt, as 12.12 and

12.13, respectively.]

* * * * *

15.0 CONTRACTORS

* * * * *

15.2 Preparation

[Amend 15.2a to add the term

‘‘Package Services’’ to read as follows:]

Preparation standards for a

contractor’s penalty mailings include

the following:

a. First-Class Mail, Standard Mail, and

Package Services penalty mailings must

be prepared with penalty permit

imprints or penalty meters. Single-piece

rate mailings may also be prepared with

penalty mail stamps.

* * * * *

E070 Mixed Classes

* * * * *

2.0 ATTACHMENTS OF DIFFERENT

CLASSES

[Amend the heading and contents of

2.1 to change ‘‘Standard Mail (A)’’ to

‘‘Standard Mail’’ and ‘‘Standard Mail’’

to ‘‘Standard Mail, or Package Services’’

to read as follows:]

2.1 First-Class Mail or Standard Mail

Letters or other pieces of First-Class

Mail or Standard Mail may be placed in

an envelope and attached to the address

side of a Periodicals, Standard Mail, or

Package Services piece. Combination

78570 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

envelopes or containers with separate

parts for the two classes of mail may be

used.

2.2 Rate Qualification

[Amend the introductory sentence of

2.2 by adding ‘‘Package Services’’ to

read as follows:]

If a Periodicals, Standard Mail, or

Package Services host piece qualifies

for:

[Amend 2.2a through 2.2d by

replacing ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’’; no other changes to

text.]

* * * * *

[Amend 3.2b by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

* * * * *

[Amend 3.3a through 3.3d by

replacing ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’’; no other changes to

text.]

* * * * *

[Amend title of 4.0 by replacing

‘‘Standard Mail’’ with ‘‘Standard Mail

and Package Services’’ to read as

follows:]

4.0 ENCLOSURE IN STANDARD

MAIL AND PACKAGE SERVICES

PARCELS

[Amend 4.1 by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Services’’; no other changes to text.]

[Amend 4.2 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; by

replacing ‘‘Standard Mail (B) with

‘‘Package Services’’; and by replacing

‘‘E600’’ with ‘‘E700’’; no other changes

to text.]

5.0 INCIDENTAL FIRST-CLASS MAIL

ATTACHMENT OR ENCLOSURE

[Amend 5.0 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’ and by

replacing ‘‘Standard Mail (B)’’ with

‘‘Package Services mail’’; no other

changes to text.]

[Amend the heading of 6.0 by

replacing ‘‘Special Standard Mail’’ with

‘‘Media Mail’’ to read as follows:]

6.0 COMBINED MAILING OF MEDIA

MAIL AND BOUND PRINTED MATTER

[Amend 6.1 by replacing ‘‘Special

Standard Mail’’ with ‘‘Media Mail’’; no

other changes to text.]

[Revise 6.2 to specify that Presorted

rate mail must be prepared under Bound

Printed Matter standards to read as

follows:]

6.2 Presorted Rates

Presorted rates may be claimed,

subject to the applicable preparation

standards. If presort rates are claimed on

both subclasses, the mail must be

prepared under the standards for Bound

Printed Matter (M722).

* * * * *

E100 First-Class Mail

E110 Basic Standards

1.0 CLASSIFICATION AND

DESCRIPTION

* * * * *

[Amend 1.2 by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Services’’ and by replacing ‘‘Special

Standard Mail’’ with ‘‘Media Mail’’; no

other changes to text.]

* * * * *

E120 Priority Mail

* * * * *

2.0 RATES

* * * * *

2.4 Keys and Identification Devices

[Amend 2.4 by adding reference to the

1-pound rate to read as follows:]

Keys and identification devices

(identification cards or uncovered

identification tags) that weigh more than

13 ounces but not more than 2 pounds

are returned at the applicable 1- or 2-

pound Priority Mail rate plus the fee as

shown in R100 if they bear, contain, or

have securely attached the name and

complete address of a person,

organization, or concern, with

instructions to return the piece to that

address and a statement guaranteeing

payment of postage due on delivery.

* * * * *

E130 Nonautomation Rates

* * * * *

2.0 SINGLE-PIECE RATE

* * * * *

2.2 Keys and Identification Devices

[Amend the first sentence of 2.2 by

replacing ‘‘$0.30’’ with a reference to

R100 to read as follows:]

Keys and identification devices

(identification cards or uncovered

identification tags) that weigh 13 ounces

or less are mailed at the applicable

single-piece letter rate plus the fee as

shown in R100 and, if applicable, the

nonstandard surcharge. * * *

[Redesignate current E130.2.3 as

M110.1.0. Add new 2.3 to read as

follows:]

2.3 Preparation

Single-piece rate mail must be

prepared under M110.

* * * * *

E140 Automation Rates

* * * * *

2.0 Rate Application

* * * * *

[Revise heading of 2.2 to read as

follows:]

2.2 Flats—Package-Based Preparation

[Amend 2.2 to provide for separate 5-

digit and 3-digit rates to read as

follows:]

First-Class Mail automation rates

apply to each piece that is sorted under

M820.2.0 or M910.2.0 into the

corresponding qualifying groups:

a. Pieces in 5-digit packages of 10 or

more pieces qualify for the 5-digit

automation rate. (Preparation to qualify

for that rate is optional and need not be

done for all 5-digit destinations.)

b. Pieces in 3-digit packages of 10 or

more pieces qualify for the 3-digit

automation rate.

c. Pieces in ADC and mixed ADC

packages qualify for the basic

automation rate.

[Add new 2.3 to read as follows:]

2.3 Flats—Optional Tray-Based

Preparation

First-Class Mail automation rates

apply to each piece that is sorted under

M820.3.0 into the corresponding

qualifying groups:

a. Groups of 90 or more pieces in 5-

digit trays (and all pieces in one lessthan-full overflow tray) qualify for the 5-

digit automation rate. (Preparation to

qualify for that rate is optional and need

not be done for all 5-digit destinations.

b. Groups of 90 or more pieces in 3-

digit trays (and all pieces in one lessthan-full overflow tray) qualify for the 3-

digit automation rate.

c. Groups of fewer than 90 pieces in

origin 3-digit trays and all pieces in

ADC and mixed ADC trays qualify for

the basic automation rate.

E150 Qualified Business Reply Mail

[Effective November 5, 2000, the

Postal Service rewrote and reorganized

standards for business reply mail and

qualified business reply mail (see Postal

Bulletin 22035 (10–19–00), available via

www.usps.com). The numbering in this

final rule reflects those changes.]

* * * * *

2.0 AUTHORIZATION

[Amend 2.0 by removing the last

sentence.]

3.0 POSTAGE, PER PIECE CHARGES,

AND FEES

* * * * *

3.3 Fees

[Revise 3.3 to add new item c for the

QBRM quarterly fee to read as follows:]

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78571

The following fees apply to QBRM

First-Class Mail:

* * * * *

c. At the mailer’s option, a quarterly

fee.

E200 Periodicals

E210 Basic Standards

E211 All Periodicals

* * * * *

6.0 ELIGIBLE FORMATS

[Amend 6.1 by replacing ‘‘First-Class

Mail or Standard Mail’’ with ‘‘FirstClass Mail, Standard Mail, or Package

Services’’; no other changes to text.]

* * * * *

9.0 BACK NUMBERS AND REPRINTS

[Amend 9.0 by replacing ‘‘First-Class

Mail or Standard Mail’’ with ‘‘FirstClass Mail, Standard Mail, or Package

Services’’; no other changes to text.]

* * * * *

13.0 FEES

1.1 Fee Required

[Amend 13.1 by revising 13.1d(3) to

read as follows:]

The required fee must accompany an

application for:

* * * * *

d. Reentry (unless excepted in 13.2 or

13.3) to request a:

* * * * *

(3) Change in eligibility from

preferred rates or the preferred rate

discount to regular Outside-County

rates.

* * * * *

13.2 No Fee

[Amend 13.2 for clarity to read as

follows:]

No fee is charged if reentry is only to

change eligibility to preferred rates or

the preferred rate discount.

* * * * *

[Remove 14.0.]

E212 Qualification Categories

* * * * *

2.0 PUBLICATIONS OF

INSTITUTIONS AND SOCIETIES

* * * * *

[Remove 2.4.]

* * * * *

4.0 REQUESTER PUBLICATIONS

[Amend 4.1 by replacing ‘‘Regular’’

with ‘‘Outside-County’’; no other

changes to text.]

* * * * *

6.0 NEWS AGENT REGISTRY

* * * * *

[Amend 6.4 by replacing ‘‘Regular’’

with ‘‘Outside-County’’; no other

changes to text.]

[Amend 6.5 by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail or Package

Services’’; no other changes to text.]

E213 Periodicals Mailing Privileges

* * * * *

2.0 MAILING WHILE APPLICATION

PENDING

[Amend 2.1 by replacing ‘‘First-Class

Mail or Standard Mail’’ with ‘‘FirstClass Mail, Standard Mail, or Package

Services’’; no other changes to text.]

[Amend 2.2 by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail or Package

Services’’; no other changes to text.]

* * * * *

E214 Reentry

* * * * *

3.0 APPLICATION FOR REENTRY

* * * * *

[Amend 3.9a, 3.9c, and 3.10 by

replacing ‘‘Standard Mail’’ with

‘‘Standard Mail or Package Services’’; no

other changes to text.]

* * * * *

E215 Copies Not Paid or Requested by

Addressee

* * * * *

2.0 NONSUBSCRIBER AND

NONREQUESTER COPIES

[Amend 2.1 and 2.2 by replacing

‘‘Regular’’ with ‘‘Outside-County’’; no

other changes to text.]

[Amend heading of 2.3 by adding

‘‘and the Preferred Rate Discount’’ to

read as follows:]

2.3 Preferred Rates and the Preferred

Rate Discount

[Amend 2.3 by adding references to

Preferred rate discount and clarifying

qualification categories to read as

follows:]

For In-County rates, and Nonprofit,

Classroom, and Science-of-Agriculture

publications, nonsubscriber copies up to

10% of the total number of copies

mailed to subscribers during the

calendar year may be mailed at the

applicable Preferred rates or Preferred

rate discount, provided that the

nonsubscriber copies would qualify as

Preferred rate or Preferred rate discount

publications if mailed to subscribers

and if the copies are presorted under

applicable standards. Nonsubscriber

copies mailed over the 10% limit are

not eligible for Preferred rates or the

Preferred rate discount. To qualify for

Outside-County rates, the nonsubscriber

copies over the 10% limit must be part

of a presorted commingled mailing (one

that includes subscriber copies). Subject

to E217.4.0, nonsubscriber copies may

be mailed at In-County rates up to a

10% limit of the total number of

subscriber copies of the publication

mailed at In-County rates during the

calendar year. Once the 10% calendar

year limit is exceeded for the number of

nonsubscriber copies that may be

mailed at Preferred rates or the Preferred

rate discount, nonsubscriber copies may

not then be mailed at In-County rates

even if the 10% limit separately applied

to those rates (under E217.4.0) is not

exceeded.

[Redesignate 2.4 through 2.7 as 2.5

through 2.8, respectively; add new

section 2.4 to read as follows:]

2.4 Publications of Institutions and

Societies

For publications of institutions and

societies that are not authorized to

contain general advertising under

E212.2.3, all circulated copies are

considered subscriber copies and the

total number of such copies is the total

paid circulation.

[Amend redesignated 2.5 and 2.6 by

replacing ‘‘Regular’’ with ‘‘OutsideCounty’’; no other changes to text.]

[Amend the heading of redesignated

2.7 by adding ‘‘noncommingled’’ to read

as follows:]

2.7 Excess Noncommingled Mailing

[Amend redesignated 2.7 by replacing

the second sentence and deleting the

third sentence to read as follows:]

A mailing is not eligible for

Periodicals rates if it consists entirely of

nonsubscriber or nonrequester copies

over the 10% limit of the total number

of copies mailed to subscribers or

requesters during the calendar year.

These copies are subject to the

appropriate Express Mail, First-Class

Mail, Standard Mail, or Package

Services rate.

[Amend redesignated 2.8 by replacing

‘‘Express Mail, First-Class Mail, or

Standard Mail’’ with ‘‘Express Mail,

First-Class Mail, Standard Mail, or

Package Services’’; no other changes to

text.]

* * * * *

[Add new DMM section E217.0.]

E217 Basic Rate Eligibility

1.0 OUTSIDE-COUNTY RATES

Outside-County rates apply to all

copies of an authorized Periodicals

publication mailed by a publisher or

news agent that are not eligible for InCounty rates, except nonrequester and

nonsubscriber copies under E215 for

excess noncommingled mailings, unless

78572 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

the publication is authorized under

E212.2.0 and is not authorized to

contain general advertising.

Nonrequester and nonsubscriber copies

in excess of the 10% allowance under

E215 are subject to Outside-County rates

when commingled with requester or

subscriber copies as appropriate.

Publications authorized for Science-ofAgriculture rates under 3.0 are subject

to separate Delivery Unit, SCF, and

Outside-County zones 1 & 2 rates.

Nonprofit and Classroom publications

are subject to the Preferred rate discount

under 2.0. Outside-County rates consist

of a per piece charge, a zoned charge for

the weight of the advertising portion of

the publication, and a charge for the

weight of the nonadvertising portion.

Each piece rate requires specific

preparation.

2.0 OUTSIDE-COUNTY PREFERRED

RATE DISCOUNT

Periodicals publications qualifying as

Nonprofit or Classroom Periodicals

under E270 receive a 5% discount off

the total Outside-County postage,

excluding the postage for advertising

pounds. Requester publications are not

eligible for the Preferred rate discount.

Nonsubscriber copies claiming the

Preferred rate discount are subject to the

standards in E215.

3.0 OUTSIDE-COUNTY SCIENCE-OFAGRICULTURE RATES

3.1 Authorization

To be mailed at the Science-ofAgriculture Periodicals rates, a

publication must be granted Periodicals

entry in other than the requester

category and granted a Science-ofAgriculture rate authorization.

3.2 Eligibility

Science-of-Agriculture rates apply to

Outside-County copies of authorized

Periodicals publications mailed by

publishers or news agents when the

total copies provided during any 12-

month period to subscribers residing in

rural areas are at least 70% of the total

number of copies distributed by any

means for any purpose.

3.3 Other Rates

All Outside-County rates and

discounts apply except for separate rates

for Delivery Unit, DSCF, and zones 1 &

2. Each piece must meet the standards

for rates or discounts claimed.

Nonsubscriber copies are subject to

E215. Subject to E250, the DDU or DSCF

piece rate applies to each piece claimed

in the pound rate portion at the

corresponding rate.

3.4 Nonadvertising Discount

The nonadvertising discount applies

to Outside-County piece rate postage.

3.5 Application Procedures

The Science-of-Agriculture rate is

available only after USPS authorization.

An application or written request for

Science-of-Agriculture rates must be

filed at the publication’s original entry

post office. Application may be made by

submitting a written request when

applying for Periodicals mailing

privileges (on Form 3501), by

completing the relevant part of an

application for Periodicals mailing

privileges (on Form 3502), or by filing

for reentry (on Form 3510) after

Periodicals mailing privileges are

authorized. The applicant must submit

evidence to show eligibility under the

corresponding standards in E217.

4.0 IN-COUNTY RATES

4.1 Subscriber Copies

In-County rates apply to subscriber

copies of any issue of a Periodicals

publication (except a requester

publication) when they are entered

within the county in which the post

office of original entry is located for

delivery to addresses within that

county, if one of the following is met:

a. The total paid circulation of such

issue is less than 10,000 copies.

b. The number of paid copies of such

issue distributed within the county of

publication is more than 50% of the

total paid circulation of such issue.

4.2 Exceptional Conditions

The standard in 4.1 also is applied

under any of these exceptional

conditions:

a. If an entry office postmaster directs

the publisher to deposit copies of the

publication at a postal facility serving

that office, those copies are considered

as mailed at the entry office for

purposes of In-County rates.

b. A copy addressed to a destination

within the county of publication is

eligible for In-County rates when the

entry post office serving that address is

outside the county.

c. Each Periodicals publication

(except a requester publication or

commingled nonsubscriber copies above

the 10% allowance) having original

entry at an incorporated city situated

entirely within a county or contiguous

to one or more counties in the same

state, but politically independent of

such county or counties, is considered

within a part of the county with which

it is principally contiguous. Copies

mailed into that county are charged

postage at the In-County rates. Where

more than one county is involved, the

publisher selects the principal county

and notifies the postmaster.

4.3 Nonsubscriber Copies

During a calendar year, the total

number of nonsubscriber copies mailed

at In-County rates may not exceed 10%

of the number of subscriber copies

mailed at In-County rates. The number

of nonsubscriber copies mailed at InCounty rates must be included in the

determination of the overall 10%

allowance under E215. Effectively, the

allowance for nonsubscriber copies

mailable at the In-County rates is the

10% allowed under this standard or the

overall 10% limit under E215,

whichever occurs first.

4.4 Other Rates

Each piece also must meet the

standards for the rates and discounts

claimed. Subject to E250, the Delivery

Unit piece rate applies to each piece

claimed in the pound rate portion at the

Delivery Unit rate.

5.0 DISCOUNTS

Postage for Periodicals is reduced by

all applicable discounts. The

nonadvertising discount applies to the

Outside-County piece rate charges and

is computed under P013. Presort and

automation discounts are available

under E230 and E240, respectively.

Destination entry discounts are

available under E250 for copies entered

at specific USPS facilities.

6.0 COPIES MAILED BY PUBLIC

The applicable single-piece FirstClass Mail, Priority Mail, or Package

Services rate is charged on copies of

publications mailed by the general

public (i.e., other than publishers or

registered news agents) and on copies

returned to publishers or news agents.

* * * * *

E250 Destination Entry

* * * * *

2.0 DDU RATE

2.1 Eligibility

[Amend 2.1 by replacing sentence one

and two with new sentences one, two

and three to read as follows:]

The destination delivery unit (DDU)

rate applies to pieces, including

exceptional dispatch pieces, entered at

the facility where the carrier cases mail

for the carrier route serving the delivery

address on the mailpiece. Letter-size

copies claimed at DDU rates must be

part of a carrier route package placed in

a carrier route tray or a 5-digit carrier

routes tray, prepared under M200, and

otherwise eligible for and claimed at a

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78573

carrier route rate. Flat-size or irregular

parcel-size copies claimed at DDU rates

must be part of a carrier route package

placed in a carrier route sack; a 5-digit

carrier routes sack, a 5-digit scheme

carrier routes sack, a merged 5-digit

sack, or a merged 5-digit scheme sack

prepared under M200 or M920, or

palletized on a 5-digit carrier routes, 5-

digit scheme carrier routes, merged 5-

digit, or merged 5-digit scheme pallet

prepared under M045, M920, M930, or

M940, and otherwise eligible for and

claimed at a carrier route rate. Except

for the standards for preparing basic

carrier route or walk-sequence carrier

route rate mail, there is no additional

minimum volume required for a DDU

rate mailing.

* * * * *

2.4 Deposit Schedule

[Amend 2.4 by adding a new last

sentence and by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail or Package

Services mail’’ to read as follows:]

The mailer may schedule deposit of

DDU rate mailings at least 24 hours in

advance by contacting the district office

in whose service area the destination

facility is located. The mailer must

follow the scheduled deposit time

provided. The mailer may request

standing appointments for renewable 6-

month periods by written application to

the district office in whose service area

the destination facility is located. Mixed

loads of Periodicals and Standard Mail

or Package Services mail require

advance appointments for deposit. For

DDU rate mail entered under

exceptional dispatch, the application for

exceptional dispatch required under

D210 serves as a request for standing

appointments.

* * * * *

E270 Preferred Periodicals

[Remove 1.0 and 6.0 and redesignate

2.0, 3.0, 4.0, 5.0, 7.0, 8.0, and 9.0 as 1.0

through 7.0, respectively.]

[Amend the heading in redesignated

1.0 by replacing the word ‘‘RATES’’

with the word ‘‘ELIGIBILITY’’ to read as

follows:]

1.0 NONPROFIT ELIGIBILITY—BASIC

INFORMATION

1.1 Authorization

[Amend redesignated 1.1 by removing

the word ‘‘rates’’ and replacing the

reference ‘‘3.0 or 4.0’’ with ‘‘2.0 or 3.0’’

to read as follows:]

To be mailed as a Nonprofit

Periodical, a publication must be

granted Periodicals entry in other than

the requester category and a Nonprofit

authorization for which eligibility was

established under 2.0 or 3.0.

* * * * *

[Amend redesignated 1.3 by removing

the word ‘‘regular’’ in the last sentence.]

[Remove 1.4.]

* * * * *

[Amend the heading in redesignated

2.0 by replacing the word ‘‘RATES’’

with the word ‘‘ELIGIBILITY’’ to read as

follows:]

2.0 NONPROFIT ELIGIBILITY—

QUALIFIED ORGANIZATIONS

2.1 Types of Organizations

[Replace the reference ‘‘3.3 through

3.10’’ with ‘‘2.3 through 2.10.’’]

2.2 Primary Purpose

[Replace the reference ‘‘3.3 through

3.10’’ with ‘‘2.3 through 2.10.’’]

* * * * *

[Amend the heading in redesignated

3.0 by replacing the word ‘‘RATES’’

with the word ‘‘ELIGIBILITY’’ to read as

follows:]

3.0 NONPROFIT ELIGIBILITY—

OTHER QUALIFIED ORGANIZATIONS

3.1 Basic Eligibility

[Replace the reference ‘‘4.2’’ with

‘‘3.2.’’]

3.2 Eligibility Limitation

[Replace the reference ‘‘4.1c or 4.1d’’

with ‘‘3.1c or 3.1d.’’]

[Amend the heading in redesignated

4.0 by replacing the word ‘‘RATES’’

with the word ‘‘ELIGIBILITY’’ to read as

follows:]

4.0 CLASSROOM ELIGIBILITY

* * * * *

[Amend redesignated 4.4 by removing

the word ‘‘regular’’ in the last sentence.]

[Remove 4.5.]

* * * * *

5.0 APPLICATION

[In redesignated 5.0, remove 5.1 and

redesignate 5.2 and 5.3 as 5.1 and 5.2.]

5.1 Procedures

[Amend redesignated 5.1 by adding a

new first sentence and revising the

second sentence (former first sentence)

to read as follows:]

The Preferred rate discount is

available only after USPS authorization.

An application or written request for

authorization as a Nonprofit or

Classroom publication must be filed at

the publication’s original entry post

office. Application may be made by

submitting a written request when

applying for Periodicals mailing

privileges (on Form 3501), by

completing the relevant part of an

application for Periodicals mailing

privileges (on Form 3502), or by filing

for reentry (on Form 3510) after

Periodicals mailing privileges are

authorized.* * *

* * * * *

6.0 MAILING WHILE APPLICATION

PENDING

[Amend redesignated 6.1 by adding

reference to preferred rate and replacing

‘‘Regular Periodicals’’ with ‘‘OutsideCounty’’ and ‘‘Standard Mail’’ with

‘‘Standard Mail, or Package Services’’ to

read as follows:]

6.1 Mailing Before Approval

A publisher or news agent may not

mail at a Periodicals Preferred rate or

deduct the Preferred rate discount until

the RCSC manager approves the

application for such privilege. Until

approval is given, postage must be paid

at the Outside-County rates (if the

publication is authorized), or at the

applicable First-Class Mail, Standard

Mail, or Package Services rates (if the

publication or news agent is in a

pending status for Periodicals mailing

privileges).

[Amend redesignated 6.2 by replacing

‘‘Standard Mail’’ with ‘‘Standard Mail or

Package Services’’ and replacing

‘‘regular’’ with ‘‘Outside-County’’; no

other changes to text.]

7.0 DECISION ON APPLICATION

* * * * *

[Amend redesignated 7.4 (formerly

9.4) by replacing ‘‘Standard Mail’’ with

‘‘Standard Mail or Package Services’’;

replacing ‘‘Regular’’ with ‘‘OutsideCounty’’; and the reference ‘‘9.5’’ with

‘‘7.5’’; no other changes to text.]

7.5 No Refund

[Amend 7.5c (formerly 9.5c) by

removing the word ‘‘Regular’’; no other

changes to text.]

* * * * *

E600 Standard Mail

E610 Basic Standards

[Matter pertaining only to Standard

Mail (formerly Standard Mail (A)) in

current E611 and E612 has been

consolidated and reorganized into new

E610. Unless otherwise indicated by the

amend/revise instructions below, there

are no changes to the content of these

sections.]

[Remove the heading ‘‘E611, All

Standard Mail.’’]

1.0 BASIC INFORMATION

[Redesignate E611.1.1 as E610.1.1,

amend the heading and contents to

show that Standard Mail no longer

78574 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

includes matter previously referred to as

Standard Mail (B) or fourth-class mail,

and add the weight limit from former

E612.1.0 to read as follows:]

1.1 Definition and Weight

Standard Mail consists of mailable

matter that is neither mailed or required

to be mailed as First-Class Mail nor

entered as Periodicals (unless permitted

or required by standard) and that weighs

less than 16 ounces. Standard Mail

includes matter formerly classified as

Standard Mail (A) and third-class mail.

[Redesignate E611.1.2 as E610.1.2.]

* * * * *

[Redesignate E612.2.0 as E610.2.0;

amend redesignated 2.1 and 2.2 by

changing ‘‘Standard Mail (A)’’ to

‘‘Standard Mail’’; no other changes to

text.]

[Redesignate E611.1.3 as E610.3.0,

amend redesignated 3.0j by replacing

‘‘Standard Mail (A)’’ with ‘‘Standard

Mail’’; no other changes to text.]

[Redesignate the heading of E612.3.0

as E610.4.0 to read as follows:]

4.0 ENCLOSURES AND

ATTACHMENTS

[Redesignate E611.1.4 as E610.4.1; no

other changes in text.]

[Redesignate E611.1.5 as E610.4.2,

replace ‘‘Standard Mail (A)’’ with

‘‘Standard Mail,’’ and ‘‘Standard Mail

(B) with ‘‘Package Services mail’’; no

other changes to text.]

[Redesignate E612.3.1 as E610.4.3 and

amend by changing ‘‘Standard Mail (A)’’

to ‘‘Standard Mail’’; no other changes to

text.]

[Redesignate E612.3.2 as E610.4.4 and

amend by changing ‘‘Standard Mail (A)’’

to ‘‘Standard Mail’’; no other changes to

text.]

[Redesignate E612.3.3 as E610.4.5 and

amend to change ‘‘Standard Mail (A)’’ to

‘‘Standard Mail’’; no other changes to

text.]

[Redesignate E612.4.0 as E610.5.0 to

read as follows:]

5.0 RATES

[Redesignate E612.4.1 through 4.3 as

E610.5.1 through 5.3, amend for clarity,

amend to incorporate new maximum

limits for minimum per piece rates, and

revise references to DMM section

numbers, to read as follows:]

5.1 General Information

All Standard Mail rates are presorted

rates (including all nonprofit rates).

These rates apply to mailings meeting

the basic standards in E610 and the

corresponding standards for Presorted,

Enhanced Carrier Route, or automation,

under E620, E630, or E640. Destination

entry discounted rates are available

under E650 and barcoded discounts are

available for machinable parcels in

E620. A residual shape surcharge also is

charged for pieces that are prepared as

a parcel or that are not letter-size or flatsize. Nonprofit rates may be used only

by organizations authorized by the

USPS under E670. Not all processing

categories qualify for every rate. Pieces

are subject to either a single minimum

per piece rate or a combined piece/

pound rate, depending on the weight of

the individual pieces in the mailing

under 5.2 or 5.3.

5.2 Minimum Per Piece Rates

The minimum per piece rates (i.e., the

minimum postage that must be paid for

each piece) apply as follows.

a. Basic Requirement. Pieces mailed at

Regular, Enhanced Carrier Route,

Nonprofit, and Nonprofit Enhanced

Carrier Route rates are subject to

minimum per piece rates when they

weigh no more than 3.3 ounces (.2063

pound).

b. Letters and Nonletters. In applying

the minimum per piece rates, mail is

categorized as either letters or

nonletters, based on whether the mail

meets the letter-size standard in C050,

without regard to placement of the

address on the mailpiece. There are two

exceptions to this rule: (1) Mailers that

have pieces that meet both the

definition of a letter in C050 and the

definition of an automation flat in C820

may choose to prepare and enter mail at

an automation flat (nonletter) rate; (2)

address placement is used to determine

the length when applying the size

standards and aspect ratio requirements

to qualify for automation letter rates

under C810. For this purpose, the length

is considered to be the dimension

parallel to the address.

c. Individual Rates. There are separate

minimum per piece rates for each

subclass (Regular, Enhanced Carrier

Route, Nonprofit, and Nonprofit

Enhanced Carrier Route) and within

each subclass for the type of mailing

and the level of presort within each

mailing under E620, E630, and E640.

Discounted per piece rates also may be

claimed for destination entry mailings

(destination bulk mail center (DBMC),

destination sectional center facility

(DSCF), and destination delivery unit

(DDU)) under E650. DDU rates are

available only for mail entered at

Enhanced Carrier Route or Nonprofit

Enhanced Carrier Route rates. See R600

for individual per piece rates.

5.3 Piece/Pound Rates

Pieces that exceed 3.3 ounces (.2063

pound) are subject to a two-part piece/

pound rate that includes a fixed charge

per piece and a variable pound charge

based on weight. There are separate per

piece rates for each subclass (Regular,

Enhanced Carrier Route, Nonprofit, and

Nonprofit Enhanced Carrier Route) and

within each subclass for the type of

mailing and the level of presort within

each mailing under E620, E630, and

E640. There are separate per pound

rates for each subclass (Regular,

Enhanced Carrier Route, Nonprofit, and

Nonprofit Enhanced Carrier Route)

under E620, E630, and E640.

Discounted per pound rates also may be

claimed for destination entry mailings

(destination bulk mail center (DBMC),

destination sectional center facility

(DSCF), and destination delivery unit

(DDU)) under E650.

[Add new 5.4 and 5.5 to read as

follows:]

5.4 Machinable Parcel Barcoded

Discount

Machinable parcels (C050) mailed at

Regular or Nonprofit rates that are

prepared with barcodes under C850 and

meet the eligibility requirements in

E620 may qualify for a barcoded

discount. Pieces eligible for a barcoded

discount are also subject to a residual

shape surcharge under 5.5. Pieces

mailed at Enhanced Carrier Route or

Nonprofit Enhanced Carrier route rates

are not eligible for a barcoded discount.

5.5 Residual Shape Surcharge

Mail that is prepared as a parcel or is

not letter-size or flat-size as defined in

C050 is subject to a residual shape

surcharge. There is one surcharge for

mail entered at Regular or Nonprofit

rates and a different surcharge for mail

entered at Enhanced Carrier Route or

Nonprofit Enhanced Carrier Route rates.

[Redesignate E612.4.4 as 5.6, amend

to provide for the residual shape

surcharge, and to add as the first

sentence the first sentence of previous

E612.4.5 to read as follows:]

5.6 Net Postage

Postage is computed at the applicable

rates on the entire mailing to be mailed

at one time. The net postage rate that

must be paid is either the applicable

minimum per piece rate or the piece/

pound rate, as reduced by any discounts

for which the piece is eligible, and/or as

increased by any surcharge to which the

piece is subject. The net postage rate is

commonly designated by the name of

the primary rate category or discount

(e.g., Enhanced Carrier Route rate,

automation letter rate, automation flat

rate, Presorted rate).

[Remove E612.4.5.]

[Remove E612.4.6. This section is no

longer needed because all Package

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78575

Services mail may now weigh less than

16 ounces.]

[Add new heading 6.0 to read as

follows:]

6.0 FEES

[Redesignate E612.4.7 as E610.6.1 and

amend to change ‘‘Standard Mail (A)’’ to

‘‘Standard Mail’’; no other changes to

text.]

[Redesignate E611.1.6 as 6.2; and

amend by adding ‘‘(R900)’’ at the end of

the sentence; no other changes to text.]

[Remove current E611.1.7 and 1.8.]

[Redesignate E612.4.8 as E610.7.0 and

amend to change ‘‘Standard Mail (A)’’ to

‘‘Standard Mail’’; no other changes to

text.]

[Redesignate E612.4.9 as E610.8.0,

amend to change ‘‘Standard Mail (A)’’ to

‘‘Standard Mail,’’ amend redesignated

8.0c for clarity, amend redesignated 8.0e

to provide for use of detached address

labels as previously provided in

E611.1.7, amend redesignated 8.0g to

incorporate former E611.1.8, redesignate

8.0j as 8.0k, and add new 8.0j to read

as follows:]

8.0 PREPARATION

Each Standard Mail mailing is subject

to these general standards:

a. All pieces in a mailing must be of

the same processing category, except

that irregular and machinable parcels

may be commingled in 5-digit sacks or

on 5-digit pallets.

b. Each mailing must contain at least

200 pieces or 50 pounds of pieces. See

E620 for volume requirement eligibility

unique to Presorted Standard rate

mailings. Other volume standards also

can apply, based on the rate claimed.

c. For letter-size and flat-size mail, all

pieces in an automation mailing must be

eligible for an automation rate. Separate

automation and Presorted rate mailings

of flats may be co-sacked under M910.

Separate automation, Presorted, and

Enhanced Carrier Route mailings of flats

may be co-containerized under M920,

M930 or M940.

d. All pieces in a mailing must be

sorted together and marked under the

standards for the rate claimed.

e. Each piece must bear the

addressee’s name and delivery address,

including the correct ZIP Code or ZIP+4

code, unless an alternative address

format is used subject to A040.

Detached address labels may be used

subject to A060. Pieces in automation

rate mailings, upgradable

nonautomation rate pieces, or pieces

prepared with detached address labels

are subject to additional standards.

f. Postage must be paid under P600

with precanceled stamps, postage meter,

or permit imprint.

g. A postage statement, completed and

signed by the mailer, using the correct

USPS form or an approved facsimile,

must be submitted with each mailing. In

addition, mailings must be documented

under P012 and the standards for the

rate claimed.

h. Each piece must meet the standards

for any other rate or discount claimed.

i. Any POSTNET barcode on a

mailpiece must be correct for the

delivery address and must meet the

standards in C840 and A950.

j. Any postal routing code barcode on

a machinable parcel must be correct for

the delivery address and must meet the

standards in C850.

k. Mailings must be deposited at a

business mail entry unit of the post

office where the postage permit or

license is held and the annual bulk fee

paid, unless deposit elsewhere is

permitted by standard.

[Redesignate E612.4.10 as E610.9.0

and revise to allow use of certain special

services for matter subject to the

residual shape surcharge and to specify

the conditions for such use to read as

follows:]

9.0 SPECIAL SERVICES

9.1 Eligible Matter

Standard Mail that is subject to the

residual shape surcharge (pieces

prepared as parcels or that are not lettersize or flat-size as defined in C050) may

receive the following additional special

services subject to the standards for the

special service and upon payment of the

appropriate special service fees: bulk

insurance (S913), return receipt for

merchandise (S917), and electronic

option Delivery Confirmation (S918). No

other special services may be used with

Standard Mail. Standard Mail that is

letter-size or flat-size (C050) and is

prepared as letter-size or flat-size mail is

not eligible for any special services.

Machinable parcels using Bulk Parcel

Return Service are not eligible for any

special services. Pieces mailed with

detached address labels under A060 is

not eligible for any special services.

9.2 Additional Preparation

Requirements

Pieces prepared using special services

must bear a return address under A010

and must bear an ancillary service

endorsement (F010) that results in

return of the mailpiece to the sender if

undeliverable as addressed (Address

Service Requested, Forwarding Service

Requested, or Return Service

Requested).

[Revise the heading of E620 to read as

follows:]

E620 Presorted Rates

[Revise the heading of 1.0 to read as

follows:]

1.0 BASIC STANDARDS

[Revise the heading of 1.1 to read as

follows:]

1.1 General

[Amend 1.1 by replacing in the first

sentence of 1.1 and in 1.1b ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail,’’ and by

replacing in 1.1a ‘‘E611 and E612’’ with

‘‘E610’’; no other changes to text.]

* * * * *

[Amend 1.3 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes in text.]

* * * * *

[Redesignate 1.5 as 2.0 and amend the

heading by removing the word

‘‘Presorted’’; no other changes to text.]

[Redesignate 1.6 as 3.0; no other

changes to text.]

[Add 4.0 to read as follows:]

4.0 BARCODED DISCOUNT

The barcoded discount applies to

Presorted rate machinable parcels

(C050) that are subject to the residual

shape surcharge in 3.0, bear a correct,

readable barcode under C850 for the ZIP

Code shown in the delivery address;

and are prepared as machinable parcels

under M045 or M610. Machinable

parcels entered at the DSCF rates are

eligible for the barcoded discount only

if prepared in 5-digit sacks or on 5-digit

pallets (i.e., are not prepared in ASF,

BMC, or mixed BMC sacks or pallets).

Machinable parcels claiming the DBMC

rates that are entered at an ASF are not

eligible for the barcoded discount

except that mail entered at the Phoenix,

AZ, ASF may claim the barcoded

discount because that facility uses

barcode scanning equipment. See P600

for postage payment standards.

[Redesignate current E630.1.0 through

E630.7.0 as E711 through E715, as

directed later in this document.]

[Add new E630 to read as follows:]

E630 Enhanced Carrier Route Rates

1.0 BASIC STANDARDS

[Redesignate E620.2.1 as E630.1.1 and

amend 1.1a by changing ‘‘E611 and

E612’’ to ‘‘E610’’; no other changes to

text.]

[Redesignate E610.2.2 through 2.7 as

E630.1.2 through 1.7, respectively.]

[Add new heading 2.0 to read as

follows:]

2.0 Rates

[Redesignate E620.2.8 through

E620.2.10 as E630.2.1 through

E630.2.3,respectively and amend

78576 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

redesignated 2.3 by changing ‘‘2.6 and

2.7’’ to ‘‘1.6 and 1.7’’; no other changes

to text.]

* * * * *

[Amend the heading of E640 by

removing ‘‘Standard Mail (A)’’ to read as

follows:]

E640 Automation Rates

1.0 REGULAR AND NONPROFIT

RATES

1.1 All Pieces

[Amend the introductory sentence by

replacing ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’’; amend 1.1a by

replacing ‘‘E611 and E612’’ with

‘‘E610,’’ no other changes to text.]

* * * * *

2.0 ENHANCED CARRIER ROUTE

RATES

2.1 All Pieces

[Amend 2.1a by replacing ‘‘E611 and

E612’’ with ‘‘E610,’’ no other changes to

text.]

* * * * *

E650 Destination Entry

[Remove the heading ‘‘E651, Regular,

Nonprofit, and Enhanced Carrier Route

Standard Mail.’’]

1.0 BASIC STANDARDS

[Amend 1.1 by replacing ‘‘E611 and

E612’’ with ‘‘E610’; no other changes to

text.]

* * * * *

[Amend 1.4 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail.’’]

[Amend 1.5 by replacing ‘‘P750’’ with

‘‘P950.’’]

* * * * *

2.0 VERIFICATION

* * * * *

[Amend 2.2 by replacing ‘‘P750’’ with

‘‘P950.’’]

* * * * *

3.0 DEPOSIT

* * * * *

[Amend 3.3d by changing ‘‘Standard

Mail (A)’’ to ‘‘Standard Mail’’ and by

changing ‘‘Standard Mail (B)’’ to

‘‘Package Services mail.’’]

* * * * *

[Amend 3.10 by changing ‘‘Standard

Mail (A)’’ to ‘‘Standard Mail.’’]

* * * * *

7.0 DDU DISCOUNT

[Amend 7.1 by changing ‘‘Standard

Mail (A)’’ to ‘‘Standard Mail.’’]

* * * * *

[Redesignate E652 as E751. Amend

E751 as specified later in this

document.]

E670 Nonprofit Standard Mail

1.0 BASIC STANDARDS

* * * * *

[Amend 1.2 by replacing ‘‘P750’’ with

‘‘P950.’’]

[Amend 1.3 by replacing ‘‘E611 and

E612’’ with ‘‘E610.’’]

* * * * *

3.0 QUALIFIED POLITICAL

COMMITTEES AND STATE OR LOCAL

VOTING REGISTRATION OFFICIALS

* * * * *

[Amend 3.3 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail.’’]

* * * * *

5.0 ELIGIBLE AND INELIGIBLE

MATTER

* * * * *

[Amend 5.4d(2) by replacing

‘‘Standard Mail (A)’’ with ‘‘Standard

Mail.’’]

* * * * *

[Amend 5.6a by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail.’’]

* * * * *

[Amend 5.12 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail.’’]

* * * * *

9.0 MAILING WHILE APPLICATION

PENDING

* * * * *

[Amend 9.2 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail.’’]

* * * * *

[Add new E700 as follows:]

E700 Package Services Mail

[Matter pertaining to only Package

Services (formerly Standard Mail (B)) in

current E611 and E613 has been

consolidated, reorganized, and added as

new E710. Unless otherwise indicated

by the amend/revise instructions below,

there are no changes to the content of

these sections. They are reproduced

here to assist in understanding the new

organization.]

E710 Basic Standards

1.0 BASIC INFORMATION

[Redesignate E611.1.1 as E710.1.1 and

amend by replacing ‘‘Standard Mail’’

with ‘‘Package Services’’ and including

Package Services subclasses to read as

follows:]

1.1 Definition

Package Services mail consists of

mailable matter that is neither mailed or

required to be mailed as First-Class Mail

nor entered as Periodicals (unless

permitted or required by standard).

Package Services mail includes matter

formerly classified as Standard Mail (B).

There are four subclasses of Package

Services mail: Parcel Post, Bound

Printed Matter, Media Mail (formerly

Special Standard), and Library Mail.

Information on specific eligibility

requirements to qualify for rates under

each of the four subclasses is found in

E711, E712, E713, and E714.

[Redesignate E613.1.0 as E710.1.2 and

amend by eliminating the minimum

weight of 1 pound and replacing

‘‘Special Standard Mail’’ with ‘‘Media

Mail’’ to read as follows:]

1.2 Weight

There is no minimum weight for

Package Services. A single piece of

Parcel Post, Media Mail, and Library

Mail can weigh no more than 70

pounds. A single piece of Bound Printed

Matter can weigh no more than 15

pounds.

[Redesignate existing E611.1.2 as

E710.1.3 and amend by changing the

class name from ‘‘Standard Mail’’ to

‘‘Package Services’’ and by deleting

references to electronic documents to

read as follows:]

1.3 Postal Inspection

Package Services mail is not sealed

against postal inspection. Regardless of

physical closure, the mailing of articles

at Package Services rates constitutes

consent by the mailer to postal

inspection of the contents.

[Redesignate existing E611.1.3 as

E710.1.4 and amend by changing

‘‘Standard Mail (A)’’ to ‘‘Standard Mail’’

in 1.4j; no other changes to text.]

[Redesignate existing E611.1.4 as

E710.1.5 and amend by replacing

‘‘Standard Mail’’ with ‘‘Package

Services’’; no other changes to text.]

[Redesignate existing E611.1.5 as

E710.1.6 and remove references to

‘‘Standard Mail (A)’’ and ‘‘Standard

Mail’’ to read as follows:]

1.6 Incidental First-Class Attachments

and Enclosures

Incidental First-Class matter may be

enclosed in or attached to any Package

Services piece without payment of FirstClass postage. An incidental First-Class

attachment or enclosure must be matter

that, if mailed separately, would require

First-Class postage, is closely associated

with but secondary to the host piece,

and is prepared so as not to interfere

with postal processing. An incidental

First-Class attachment or enclosure may

be a bill for the product or publication,

a statement of account for past products

or publications, or a personal message

or greeting included with a product,

publication, or parcel. Postage at the

Package Services rate for the host piece

is based on the combined weight of the

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78577

host piece and the incidental First-Class

attachment or enclosure.

[Redesignate E613.2.0 as E710.2.0.]

2.0 ZONED RATES

[Redesignate existing E613.2.1 as

E710.2.1 and amend by replacing

‘‘Standard Mail’’ with ‘‘Package

Services’’; no other changes to text.]

[Redesignate existing E613.2.2 as

E710.2.2, amend by changing ‘‘Standard

Mail’’ to ‘‘Package Services’’ in the first

sentence, and amend 2.2c by inserting

‘‘Parcel Post Intra-BMC’’ to read as

follows:]

2.2 Redirected Mailings

A mailer who presents large mailings

of zoned Package Services mail may be

authorized or directed to deposit such

mailings at another postal facility when

processing or logistics make such an

alternative desirable for the USPS,

subject to these conditions:

a. Zoned postage need not be

recomputed if both the original post

office of mailing and the alternative

facility use the same zone chart for

computing zoned postage, based on the

3-digit prefix of their ZIP Codes.

b. Postage must be recomputed on

pieces in mailings redirected to a postal

facility that uses a different zone chart

for computing zoned postage.

c. Postage for pieces claimed at the

Parcel Post Intra-BMC local zone rates

must be recomputed at the applicable

zone rate for the alternative postal

facility. Postage also may be recomputed

for other pieces that are ineligible for

the Parcel Post Intra-BMC local zone

rates but could become eligible at the

postal facility to which the mailing is

redirected.

[Redesignate existing E613.2.3 as

E710.2.3 and amend by changing

‘‘Standard Mail’’ to ‘‘Package Services’’;

no other changes.]

[Redesignate E613.3.0 as E710.3.0 and

revise to read as follows:]

3.0 ADDRESSING

3.1 Delivery and Return Address

All Package Services mail must bear

a delivery address. Except for singlepiece rate Parcel Post, the delivery

address on each piece must include the

correct ZIP Code or ZIP+4 code.

Alternative address formats or detached

address labels may be used, subject to

A040 or A060. All Package Services

mail must bear the sender’s return

address.

[Redesignate E611.1.6 as E710.3.2 and

amend title by adding ‘‘Fees’’ to read as

follows:]

3.2 Address Correction Fees

The fee for manual or automated

address correction service is charged per

notice issued (R700).

[Redesignate E611.1.8 as E710.4.0 and

amend for clarity to read as follows:]

4.0 DOCUMENTATION

Each mailing must be accompanied by

a correct, completed USPS postage

statement form, or approved facsimile,

signed by the mailer. A postage

statement is not required for a Package

Services mailing when the correct

postage at the single-piece rate is affixed

to each piece. Additional supporting

documentation may be required by the

standards for the rate claimed or postage

payment method used.

[Add new E711 to read as follows:]

E711 Parcel Post

[Redesignate E630.1.0 as E711.1.0 and

revise to read as follows:]

1.0 DEFINITION

Parcel Post (including Parcel Select) is

Package Services mail that is not mailed

as Bound Printed Matter, Media Mail, or

Library Mail. Any Package Services

matter may be mailed at Parcel Post

rates, subject to the basic standards in

E710.

[Add new E711.2.0 to read as

follows:]

2.0 BASIC STANDARDS

[Redesignate E630.1.2 as E711.2.1 and

change ‘‘Standard Mail (A)’’ to

‘‘Standard Mail’’ and change reference

‘‘E611’’ to ‘‘E710’’ to read as follows:]

2.1 Enclosures

Parcel Post (including Parcel Select)

may contain any printed matter

mailable as Standard Mail, in addition

to the enclosures and additions listed in

E710.

[Redesignate E630.1.3 as E711.2.2 and

amend to add the Intra-BMC and Parcel

Select-DBMC nonmachinable surcharges

to read as follows:]

2.2 Rate Eligibility

There are five Parcel Post (including

Parcel Select) rate categories: Intra-BMC,

Inter-BMC, destination bulk mail center

(DBMC), destination sectional center

facility (DSCF), and destination delivery

unit (DDU). Destination entry rates are

named Parcel Select. Intra-BMC and

Inter-BMC Parcel Post rates and DBMC

Parcel Select rates are calculated based

on the zone to which the parcel is

addressed and the weight of the parcel.

DSCF and DDU Parcel Select rates are

calculated based on the weight of the

parcel. Generally, Intra-BMC rates apply

to parcels mailed and delivered within

the same BMC service area and InterBMC rates apply to parcels mailed in

one BMC service area and delivered in

a different BMC service area. Specific

standards for Inter-BMC and Intra-BMC

rates and applicable discounts are

described below. Generally, to qualify

for the Parcel Select DBMC, DSCF, or

DDU rates, mailers must enter their

parcels at the destination BMC, SCF, or

delivery unit postal facility that will

process or deliver the parcels. (See E750

for destination entry requirements.)

Inter-BMC, Intra-BMC, and Parcel

Select-DBMC Parcel Post is subject to a

nonmachinable surcharge if the criteria

specified in C050.4.1 for machinable

parcels are not met. Additional

requirements for Parcel Post rates and

discounts are as follows:

a. Intra-BMC rates apply to all Parcel

Post that originates and destinates in the

service area of the same BMC or ASF.

Intra-BMC rates also apply to Parcel

Post that originates and destinates in the

same state for Alaska and Hawaii and in

the same territory for Puerto Rico. See

Exhibit 2.2. Nonmachinable pieces

(C050.4.1 and C700) mailed at IntraBMC rates are subject to a

nonmachinable surcharge in addition to

the postage rate.

b. Inter-BMC rates apply to all Parcel

Post that originates in the service area

of a BMC or ASF or in Alaska, Hawaii,

or Puerto Rico and destinates outside

that area, state, or territory.

Nonmachinable pieces (C050.4.1 and

C700) mailed at Inter-BMC rates are

subject to a nonmachinable surcharge in

addition to the postage rate.

c. Parcel Post for which OBMC

Presort, BMC Presort, and barcoded

discounts are claimed and Parcel Post

that is mailed at a destination entry rate

(Parcel Select-DBMC, -DSCF, -DDU

(E751)) must be part of a mailing of 50

or more Parcel Post rate pieces.

Eligibility for one of those rates or

discounts does not require a separate 50

qualifying pieces per rate or per

discount. Eligibility for more than one

of those rates or discounts in the same

Parcel Post mailing is possible, provided

there are a total of at least 50 pieces of

mail qualifying for any or all Parcel Post

rates in the mailing and all other

preparation and eligibility requirements

for the rates or discounts are met.

d. The BMC Presort per piece

discount applies to pieces of inter-BMC

Parcel Post sorted to BMC destinations

under L601 for machinable pieces and

sorted to BMC and ASF destinations for

nonmachinable pieces under L605. To

qualify, machinable pieces must be

placed in pallet boxes on pallets, and

nonmachinable pieces must be placed

directly on pallets under M041 and

78578 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

M045. The mail must be entered at a

postal facility that is not a BMC and

must be part of a mailing containing 50

or more Parcel Post rate pieces.

e. The origin bulk mail center (OBMC)

Presort per piece discount applies to

pieces of Inter-BMC Parcel Post sorted

to BMC destinations under L601 for

machinable pieces and sorted to BMC

and ASF destinations for

nonmachinable pieces under L605. To

qualify, machinable pieces must be

placed in pallet boxes on pallets; and

nonmachinable pieces must be placed

directly on pallets under M041 and

M045. The mail must be entered at a

BMC listed in L601 and must be part of

a mailing containing 50 or more Parcel

Post rate pieces.

f. The barcoded discount applies to

Parcel Post (including Parcel Select)

machinable parcels (C050.4.1) that bear

a correct, readable barcode under C850

for the ZIP Code of the delivery address;

are part of a mailing of 50 or more

Parcel Post (including Parcel Select) rate

pieces; are not mailed at the DSCF or

DDU rates; and, if claiming the DBMC

rates, are not entered at an ASF. An

exception is that properly prepared

machinable pieces of DBMC rate mail

entered at the Phoenix, AZ, ASF may

claim the barcoded discount because

that facility uses barcode scanning

equipment.

g. The applicable oversized rate

applies to pieces that measure over 108

inches but that are not more than 130

inches in combined length and girth.

h. The balloon rate applies to pieces

that measure over 84 inches but that are

not more than 108 inches in combined

length and girth and also weigh less

than 15 pounds; they are subject to the

rate equal to that of a 15-pound parcel

for the zone to which the parcel is

addressed.

EXHIBIT 2.2.—BMC/ASF SERVICE AREAS

Service area ZIP Code areas served

BMC:

New Jersey .................................................................... 005, 068–079, 085–098, 100–119, 124–127, 340.

Springfield ...................................................................... 010–067, 120–123, 128, 129.

Philadelphia ................................................................... 080–084, 137–139, 169–199.

Pittsburgh ....................................................................... 150–168, 260–266, 439–447.

Washington .................................................................... 200–212, 214–239, 244, 254, 267, 268.

Greensboro .................................................................... 240–243, 245–249, 270–297, 376.

Cincinnati ....................................................................... 250–253, 255–259, 400–418, 421, 422, 425–427, 430–433, 437, 438, 448–462,

469–474.

Atlanta ............................................................................ 298, 300–312, 317–319, 350–352, 354–368, 373, 374, 377–379, 399.

Jacksonville ................................................................... 299, 313–316, 320–339, 341, 342, 344, 346, 347, 349.

Memphis ........................................................................ 369–372, 375, 380–397, 700, 701, 703–705, 707, 708, 713, 714, 716, 717, 719–

729.

St. Louis ......................................................................... 420, 423, 424, 475–479, 614–620, 622–631, 633–639.

Detroit ............................................................................ 434–436, 465–468, 480–497.

Chicago .......................................................................... 463, 464, 530–532, 534, 535, 537–539, 600–611, 613.

Minneapolis/St. Paul ...................................................... 498, 499, 540–551, 553–564, 566.

Des Moines .................................................................... 500–516, 520–528, 612, 680, 681, 683–689.

Kansas City ................................................................... 640, 641, 644–658, 660–662, 664–679, 739.

Denver ........................................................................... 690–693, 800–816, 820, 822–831.

Dallas ............................................................................. 706, 710–712, 718, 733, 747, 750–799, 885.

Seattle ............................................................................ 835, 838, 970–978, 980–986, 988–994.

Los Angeles ................................................................... 889–891, 893, 900–908, 910–928, 930–935.

San Francisco ................................................................ 894, 895, 897, 936–966.

ASF:

Buffalo ............................................................................ 130–136, 140–149.

Fargo ............................................................................. 565, 567, 580–588.

Sioux Falls ..................................................................... 570–577.

Billings ........................................................................... 590–599, 821.

Oklahoma City ............................................................... 730, 731, 734–738, 740, 741, 743–746, 748, 749.

Salt Lake City ................................................................ 832–834, 836, 837, 840–847, 898, 979.

Phoenix .......................................................................... 850, 852, 853, 855–857, 859, 860, 863, 864.

Albuquerque .................................................................. 865, 870–875, 877–884.

Other:

Puerto Rico .................................................................... 006–009.

Hawaii ............................................................................ 967–969.

Alaska ............................................................................ 995–999.

[Redesignate E630.1.5 as E711.2.3 and

change the reference in the last sentence

to R700; no other changes to text.]

* * * * *

[Redesignate E630.2.0 as E712 and

revise in its entirety as follows:]

E712 Bound Printed Matter

1.0 BASIC STANDARDS

1.1 Description

Bound Printed Matter (BPM) is a

subclass of Package Services. BPM must:

a. Meet the basic standards for

Package Services mail in E710.

b. Weigh no more than 15 pounds.

c. Consist of advertising, promotional,

directory, or editorial material (or any

combination of such material).

d. Be securely bound by permanent

fastenings such as staples, spiral

binding, glue, or stitching. Loose-leaf

binders and similar fastenings are not

considered permanent.

e. Consist of sheets of which at least

90% are imprinted by any process other

than handwriting or typewriting with

words, letters, characters, figures, or

images (or any combination of them).

f. Not have the nature of personal

correspondence.

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78579

g. Not be stationery, such as pads of

blank printed forms.

1.2 Enclosures

In addition to the basic standards in

E710, BPM may have the following

additions and enclosures:

a. Any printed matter mailable as

Standard Mail.

b. A merchandise sample attached to

a bound page or to a permissible loose

enclosure, if the sample represents only

an incidental portion of the BPM piece

and if the sample is not provided

exclusively or primarily as a premium

or an inducement promoting the sale of

the BPM piece. The sample may be

identified as a ‘‘free gift’’ when it is

clear that the sample is offered to the

addressee to market the gift product;

such marketing may also promote the

sale of the BPM.

1.3 Nonidentical-Weight Pieces

Mailings may contain nonidenticalweight pieces only if the correct postage

is affixed to each piece or if the RCSC

serving the post office of mailing has

authorized payment of postage by

permit imprint under P910 or P930.

1.4 POSTNET Barcodes on Flats

Addresses on BPM flats may include

an accurate ZIP+4 or delivery point

barcode that meets the standards in

C840. There are no automation

discounts for BPM flats. Pieces within a

package must be either 100 percent

barcoded or nonbarcoded.

2.0 RATES

BPM rates are based on the weight of

a single addressed piece or 1 pound,

whichever is higher, and the zone

(where applicable) to which the piece is

addressed. Rate categories are as

follows:

a. Single-Piece Rate. The single-piece

rate applies to BPM not mailed at the

Presorted rate or Carrier Route rate.

b. Presorted Rate. The Presorted rate

applies to BPM prepared in a mailing of

at least 300 pieces, prepared and

presorted as specified in M045 and

M722.

c. Carrier Route Rate. The carrier

route rate applies to BPM prepared in a

mailing of at least 300 pieces presorted

to carrier routes, prepared and presorted

as specified in M045 and M723.

d. Barcoded Discount. The barcoded

discount applies to BPM machinable

parcels (C050.4.1) that bear a correct,

readable barcode under C850 for the ZIP

Code of the delivery address and are

part of a single-piece rate mailing of 50

or more BPM pieces or are part of a

Presorted rate mailing of at least 300

BPM pieces. Matter mailed at Presorted

rates must be prepared under the

machinable parcel preparation

standards in M045 and M720. The

barcoded discount is not available for

pieces mailed at Presorted DDU or DSCF

rates, or for Presorted DBMC rate

mailings entered at an ASF other than

Phoenix, AZ, ASF. Carrier Route rate

mail is not eligible for the barcoded

discount.

3.0 ADDITIONAL STANDARDS FOR

PRESORTED RATES

3.1 ZIP Code Accuracy

All 5-digit ZIP Codes included in

addresses on pieces claimed at

Presorted rates must be verified and

corrected within 12 months before the

mailing date using a USPS-approved

method. The mailer must certify that

this standard has been met when the

corresponding mail is presented to the

USPS. This standard applies to each

address individually, not a specific list

or mailing. An address meeting this

standard may be used in mailings at any

other rates to which the standard

applies during the 12-month period

after its most recent update.

3.2 Preparation

Pieces claiming the Presorted rates

must be prepared under the applicable

standards in M045 or M722.

4.0 ADDITIONAL STANDARDS FOR

CARRIER ROUTE RATES

4.1 Carrier Route Information

Except for mailings prepared with a

simplified address format under A040,

carrier route codes must be applied to

mailings using CASS-certified software

and the current USPS Carrier Route

Product, or another AIS product

containing carrier route information,

subject to A930 and A950. The carrier

route information must be updated

within 90 days before the mailing date.

4.2 Preparation

Pieces claiming the carrier route rates

must be prepared under the applicable

standards in M045 or M723.

5.0 ADDITIONAL STANDARDS FOR

DESTINATION ENTRY RATES

Eligibility standards for Presorted and

Carrier Route Destination Delivery Unit

(DDU) rates, Destination Sectional

Center Facility (DSCF) rates, and

Destination Bulk Mail Center (DBMC)

rates are in E752.

6.0 ADDITIONAL STANDARDS FOR

BEDLOADED MAILINGS

Bedloaded packages are permitted

only when prepared for and entered at

DDU rates. If prepared, bedloaded

packages of BPM are required to be

prepared under the sortation standards

for flats or irregular parcels, as

applicable, and are not eligible for

barcoded discounts.

* * * * *

[Add new E713 as follows:]

E713 Media Mail

[Redesignate E630.3.1 as E713.1.0 and

change the heading, class, subclass

names, section order, and references to

read as follows:]

1.0 RATE ELIGIBILITY

Media Mail is Package Services matter

that meets the standards in E710 and

those below. Media Mail rates are based

on the weight of the piece without

regard to zone. The rate categories and

discounts are as follows:

a. Single-Piece Rate. The single-piece

rate applies to Media Mail not mailed at

a 5-digit or BMC presort rate.

b. 5-Digit Presort Rate. The 5-digit

Presort rate applies to a mailing of at

least 500 pieces of Media Mail that

meets the other requirements of 4.0 and

that is prepared and presorted to 5-digit

ZIP Codes as specified in M730 or M041

and M045.

c. BMC Presort Rate. The BMC Presort

rate applies to a mailing of at least 500

pieces of Media Mail that meets the

other requirements of 4.0 and that is

prepared and presorted to bulk mail

centers as specified in M730 or M041

and M045.

d. Barcoded Discount. The barcoded

discount applies to Media Mail

machinable parcels (C050) that are

included in a mailing of at least 50

pieces of Media Mail. The pieces must

be entered either at single-piece rates or

BMC presort rates and bear a correct,

readable barcode for the ZIP Code

shown in the delivery address as

required by C850. The barcoded

discount is not available for pieces

mailed at Media Mail 5-digit Presort

rates.

[Add new E713.2.0 to read as

follows:]

2.0 QUALIFICATION

[Redesignate E630.3.2 as E713.2.1 and

change the subclass name to Media

Mail; no other changes to text.]

[Redesignate E630.3.3 as E713.2.2,

change the class name from ‘‘Standard

Mail (A)’’ to ‘‘Standard Mail’’ and the

subclass name to Media Mail; no other

changes to text.]

[Redesignate E630.3.4 as E713.2.3 and

change the subclass name and cross

references to read as follows:]

78580 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

2.3 Enclosures in Books

Enclosures in books mailed at Media

Mail rates are subject to these additional

standards:

a. Either one envelope or one

addressed postcard may be bound into

the pages of a book. If also serving as an

order form, the envelope or card may be

in addition to the order form permitted

by 2.3b.

b. One order form may be bound into

the pages of a book. If also serving as an

envelope or postcard, the order form

may be in addition to the envelope or

card permitted by 2.3a.

c. Announcements of books may

appear as book pages. These

announcements must be incidental and

exclusively devoted to books, without

extraneous advertising of book-related

or other materials or services.

Announcements may fully describe the

conditions and methods of ordering

books and may contain ordering

instructions for use with a separate

order form. Up to three of these

announcements may contain as part of

their format a single order form, which

may also serve as a postcard. The order

forms permitted with these

announcements are in addition to, and

not in place of, order forms that may be

enclosed under 2.3a or 2.3b.

[Redesignate E630.4.0 as E713.3.0 and

change the subclass name to read as

follows:]

3.0 PRESORTED MEDIA MAIL

[Redesignate E630.4.1 as E713.3.1 and

change the subclass name and change

the cross reference to M730 from M630;

no other changes to text.]

[Redesignate E630.4.2 as E713.3.2 and

change the subclass name; no other

changes to text.]

[Redesignate E630.4.3 as E713.3.3 and

change the subclass name; no other

changes to text.]

[Redesignate E630.4.4 as E713.3.4 and

eliminate 1,000 cubic inches as a

minimum quantity to read as follows:]

3.4 Definitions

For this standard:

a. Full sack means a sack containing

at least eight pieces or a quantity of

pieces weighing from 20 to 70 pounds.

b. Substantially full sack means either

at least four pieces or a quantity of

pieces weighing from 20 to 70 pounds.

[Redesignate E630.4.5 as E713.3.5,

change the subclass name, change

‘‘bundles’’ to ‘‘packages,’’ and remove

‘‘1,000 cubic inches’’ to read as follows:]

3.5 5-Digit Rate

To qualify for the Media Mail 5-digit

presort rate, a piece must be in a mailing

of at least 500 Media Mail pieces

prepared and sorted either under M730

to full 5-digit sacks or under M045 to 5-

digit pallets. These conditions also

apply:

a. Mailings of at least 500

nonmachinable outside parcels may

qualify for the Media Mail 5-digit

presort rate if prepared to preserve

sortation by 5-digit ZIP Code as

prescribed by the postmaster of the

mailing office. The postmaster may

require 24-hour notice before the

mailing is presented.

b. Mailings prepared as palletized

packages must consist of 5-digit

packages, each containing at least eight

pieces or weighing 20 pounds,

whichever occurs first. No package may

exceed 40 pounds. If there are more

than 20 pounds of mail to a 5-digit

destination, the mailer must prepare the

minimum number of packages that

weigh from 20 to 40 pounds each.

[Redesignate E630.4.6 as E713.3.6,

change the subclass name, change

‘‘bundles’’ to ‘‘packages,’’ and remove

‘‘1,000 cubic inches’’ to read as follows:]

3.6 BMC Rate

To qualify for the Media Mail BMC

presort rate, a piece must be in a mailing

of at least 500 pieces of Media Mail

prepared and sorted either under M730

to full or substantially full BMC sacks or

to BMC pallets under M045. These

conditions also apply:

a. Mailings of at least 500

nonmachinable outside parcels may

qualify for the Media Mail BMC presort

rate if prepared to preserve sortation by

BMC as prescribed by the postmaster of

the mailing office. The postmaster may

require 24-hour notice before the

mailing is presented.

b. Mailings prepared as palletized

packages must consist of BMC packages,

each containing at least eight pieces or

weighing 20 pounds, whichever comes

first. No package may exceed 40

pounds. If there are more than 20

pounds of mail to a BMC destination,

the mailer must prepare the minimum

number of packages that weigh from 20

to 40 pounds each.

[Add new E714 as follows:]

E714 Library Mail

[Redesignate E630.5.1 as E714.1.0 and

amend by changing the class name to

read as follows:]

1.0 RATE ELIGIBILITY

Library Mail is Package Services

matter meeting the standards in E710

and those below. Library Mail rates are

based on the weight of the piece without

regard to zone. The rate categories and

discounts are as follows:

a. Single-Piece Rate. The single-piece

rate applies to Library Mail not mailed

at a 5-digit or BMC rate.

b. 5-Digit Presort Rate. The 5-digit

Presort rate applies to a mailing of at

least 500 pieces of Library Mail that

meets the other requirements of 3.0 and

is prepared and presorted to 5-digit ZIP

Codes as specified in M740 or M041 and

M045.

c. BMC Presort Rate. The BMC Presort

rate applies to a mailing of at least 500

pieces of Library Mail that meets the

other requirements of 3.0 and is

prepared and presorted to bulk mail

centers as specified in M740 or M041

and M045.

d. Barcoded Discount. The barcoded

discount applies to Library Mail

machinable parcels (C050) that are

included in a mailing of at least 50

pieces of Library Mail. The pieces must

be entered either at single-piece rates or

BMC Presort rates and bear a correct,

readable barcode for the ZIP Code

shown in the delivery address as

required by C850. The barcoded

discount is not available for pieces

mailed at Library Mail 5-digit Presort

rates.

[Add new E714.2.0 that follows:]

2.0 QUALIFICATION

[Redesignate E630.5.2 as E714.2.1 and

amend the heading and references to

read as follows:]

2.1 Sender, Recipient, and Contents

Each piece must show in the address

or return address the name of a school,

college, university, public library,

museum, or herbarium or the name of

a nonprofit religious, educational,

scientific, philanthropic (charitable),

agricultural, labor, veterans, or fraternal

organization or association. For Library

Mail standards, these nonprofit

organizations are defined in E670. Only

the articles described in 2.2 and 2.3 may

be mailed at the Library Mail rate.

[Redesignate E630.5.3 as E714.2.2 and

revise the heading to read as follows; no

change to text:]

2.2 Qualified Mailings Between

Entities

[Redesignate E630.5.4 as E714.2.3 and

revise the heading to read as follows; no

change to text.]

2.3 Qualified Mailings ‘‘To’’ or

‘‘From’’

[Redesignate E630.5.5 as E714.2.4 and

change the cross reference from E611 to

E710; no other changes to text.]

[Redesignate E630.5.6 as E714.2.5 and

change the cross reference from E611 to

E710; no other changes to text.]

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78581

[Redesignate E630.6.0 as E714.3.0 and

change the cross reference from M630 to

M740; no other changes to text.]

* * * * *

[Redesignate E630.7.0 as new E715.]

E715 Bulk Parcel Post

[Reserved]

* * * * *

[Add new E750 as follows:]

E750 Destination Entry

[Add new heading E751 to read as

follows:]

E751 Parcel Select

[Redesignate E652.1.0 as E751.1.0.]

1.0 BASIC STANDARDS

1.1 Definitions

[Amend 1.1 to change cross reference

M630 to M710; no other changes to

text.]

[Amend 1.2c to add provisions for

PVDS mailings to read as follows:]

1.2 General

For Parcel Post mailings claimed at

DBMC, DSCF, or DDU rates, pieces must

meet the applicable standards in 1.0

through 6.0 and the following criteria:

* * * * *

c. Be part of a single mailing of 50 or

more pieces that are eligible for and

claimed at any Parcel Post rate or rates.

When Parcel Post mailings are

submitted under PVDS procedures,

mailers may use the total of all line

items for all destinations on a PVDS

register or PVDS postage statement to

meet the respective 50-piece minimum

volume requirement for destination

entry rate mailings. This means that a

mailer may enter fewer than 50 pieces

at an individual destination, provided

there is a total of at least 50 Parcel Post

pieces for all of the entry points for that

single mailing job listed on the PVDS

register or PVDS postage statement.

1.3 DBMC Rates

[Amend 1.3 to replace M630 with

M710; no other changes to text.]

1.4 DSCF and DDU Rates

[Amend 1.4a and b to replace M630

with M710; no other changes to text.]

1.5 Postage Payment

[Amend 1.5 to change class name

from ‘‘Standard Mail (B)’’ to ‘‘Package

Services’’ and change P750 to P950 as

cross reference for plant-verified drop

shipments; no other changes to text.]

* * * * *

[Redesignate E652.2.0 as E751.2.0.]

2.0 PREPARATION

* * * * *

2.2 Containers

[Amend 2.2a and b to replace the two

references to M630 with M710 and

M722, respectively; amend 2.2c to

replace M630 with M710; no other

changes to text.]

[Redesignate E652.3.0 as E751.3.0; no

change to text.]

[Redesignate E652.4.0 through 4.13 as

E751.4.0 through 4.13 and amend to

read as follows:]

4.0 DEPOSIT

* * * * *

4.2 Mail Separation and Presentation

[Amend 4.2 to change the reference

from P750 to P950; in 4.2a and b change

references from M630 to M710; and in

4.2b change the references from P710,

P720, and P730 to P910, P920, and

P930, respectively; no other changes to

text.]

* * * * *

4.4 Appointments

[Amend 4.4a to clarify that an

exception exists for shipments

containing 100% Periodicals and

shipments of perishables, and amend

4.4d by changing ‘‘Standard Mail (B)’’ to

‘‘Package Services’’ to read as follows:]

Appointments must be made for

destination entry rate mail as follows:

a. Except for local mailers, for

shipments containing 100% Periodicals

mail and for mailings of perishable

commodities (C022) under 4.5,

appointments for deposit of destination

entry rate mail at BMCs, ASFs, and

SCFs must be scheduled through the

appropriate appointment control center

at least one day in advance. * * *

* * * * *

d. When Periodicals are transported

together with Standard Mail or Package

Services mail as a mixed load (E250), an

appointment must be obtained for

deposit at a destination entry facility.

4.5 Exceptions to Scheduling

Standard

[Redesignate the text of current 4.5 as

4.5a and add new 4.5b and c to clarify

that scheduling exceptions are also

made for shipments containing 100%

Periodicals and shipments of

perishables to read as follows:]

a. The scheduling standard in 4.4

does not apply when a mailer deposits

mailings for verification and acceptance

at the local post office serving the

facility where the mail was prepared, if

the mailings are not verified under a

plant load authorization or plantverified drop shipment postage payment

system authorization. Under this

exception, the mailer may claim the

DBMC rates for mailings or portions of

such mailings deposited at the local

post office if the local post office is the

DBMC/ASF or designated SCF that

meets the application standards.

b. Exceptions to the scheduling

standard are made for shipments of

products recognized by the Postal

Service as perishables under C020.

While an appointment is not required

for shipments of perishables, the

destination facility must be notified at

least 24 hours in advance of deposit to

facilitate timely handling of the load.

c. No appointment is required for

shipments containing 100% Periodicals

mail, nor is notification to the

destination facility of their arrival

required. An advance notice of 24 hours

is recommended to facilitate the

development of facility unloading

schedules.

* * * * *

[Redesignate E652.5.0 as E751.5.0; no

changes to text.]

[Redesignate E652.6.0 and Exhibit

E652.6.0 as E751.6.0 and Exhibit

E751.6.0; no changes to text.]

[Redesignate E652.7.0 and Exhibit

E652.7.0 as E751.7.0 and Exhibit

E751.7.0 and change the class name to

Package Services; no other changes to

text.]

[Redesignate E652.8.0 and Exhibit

E652.8.0 as E751.8.0 and Exhibit

E751.8.0; no other changes to text.]

[Add new E752 to read as follows:]

E752 Bound Printed Matter

1.0 BASIC STANDARDS

1.1 General

Destination entry rates apply to

Presorted and Carrier Route Bound

Printed Matter (BPM) that is deposited

at a destination bulk mail center

(DBMC), destination sectional center

facility (DSCF), or destination delivery

unit (DDU) as specified below.

Eligibility for a destination entry rate is

determined by the sort level, processing

category of the mail, and the type of

container the mail is in (i.e., sacked or

palletized). Each piece can claim only

one destination entry rate; an individual

pallet may contain pieces claimed at

different destination entry rates. There

are no destination entry rates for singlepiece BPM.

1.2 Volume

Each destination entry rate mailing

must contain at least 300 pieces of

Presorted BPM or 300 pieces of Carrier

Route BPM. Each group of destination

entry rate pieces prepared for deposit at

different destination post offices must

be presented as separate mailings

meeting separate minimum volume

78582 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

requirements. Separate Presorted and

Carrier Route BPM mailings may be copalletized under M041 and M045.

Pieces deposited at the same postal

facility, but claimed at different

destination entry rates, may be included

in a single mailing and reported on the

same postage statement (subject to one

minimum volume requirement), if the

destination entry post office is the

proper facility for claiming each of the

destination entry discounts.

Alternatively, when Presorted BPM or

Carrier Route BPM mailings are

submitted under PVDS procedures,

mailers may use the total of all line

items for all destinations on a PVDS

register or PVDS postage statement to

meet the 300-piece minimum volume

requirements for Presorted and Carrier

Route mailings. This means that a

mailer may enter fewer than 300 pieces

per Presorted or Carrier Route mailing at

an individual destination, provided

there is a total of at least 300 Presorted

rate pieces and/or 300 Carrier Route rate

pieces for all of the entry points for that

single mailing job listed on the PVDS

register or PVDS postage statement.

1.3 Postage

Postage payment for destination entry

mailings is subject to the same

standards that apply generally to BPM.

Postage and fees are paid to the post

office that verifies the mailings.

1.4 Mailing Fee

A destination entry mailing fee (R700)

must be paid once each 12-month

period at each postal facility where the

mailing(s) are verified. The fee may be

paid in advance only for the next 12-

month period and only during the last

60 days of the current service period.

The fee charged is that in effect on the

date of payment.

1.5 Documentation

Each mailing must be accompanied by

the appropriate Form 3605 and, if

applicable, Form 8125. No additional

documentation is required for

destination entry rates.

1.6 Plant Loads

Plant load mailings, including

expedited plant load shipments, are not

eligible for destination entry discounts.

2.0 DESTINATION BULK MAIL

CENTER (DBMC) RATES

2.1 General Eligibility

Pieces in a mailing meeting the

standards in 1.0, 2.0, and 5.0 through

7.0 are eligible for the DBMC rate when

they meet all of the following

conditions:

a. Are eligible for and prepared to

qualify for Presorted or Carrier Route

rates, subject to the corresponding

standards for those rates.

b. Are deposited at a BMC or ASF.

c. Are addressed for delivery to one of

the 3-digit ZIP Codes served by the BMC

or ASF where deposited that are listed

in Exhibit E751.1.3.

d. Are placed in a sack or pallet that

is labeled to the BMC or ASF where

deposited, or labeled to a postal facility

within that BMC’s or ASF’s service area

(see Exhibit E751.1.3).

2.2 Presorted Flats

Presorted flats in sacks or on pallets

at all sort levels may claim DBMC rates.

Separate mixed ADC sacks must be

prepared for flats eligible for and

claimed at the DBMC rate and for flats

not claimed at the DBMC rate. Use the

‘‘label to’’ ZIP Code of the ADC to assign

ADC packages to the respective mixed

ADC sack. Use the address on the

mailpieces to assign pieces to the

respective mixed ADC package. All

pieces in an ADC sack or in a palletized

ADC package are eligible for the DBMC

discount if the ADC facility ZIP Code (as

shown in Line 1 of the corresponding

sack label or the ADC facility that is the

destination of the palletized ADC

package as would be shown on an ADC

sack label for that facility using DMM

L004, Column B) is within the service

area of the BMC or ASF at which the

sack is deposited. Mail must be entered

at the appropriate facility under 2.1.

2.3 Presorted Machinable Parcels

Presorted machinable parcels in sacks

or on pallets at all sort levels may claim

DBMC rates. Machinable parcels

palletized under M045 or sacked under

M722 may be sorted to destination

BMCs under L601 or to destination

BMCs and ASFs under L601 and L602.

Sortation of machinable parcels to ASFs

is optional but is required for the ASF

mail to be eligible for DBMC rates.

Mailers may opt to sort some or all

machinable parcels for ASF service area

ZIP Codes to ASFs only when the mail

will be deposited at the respective ASFs

where the DBMC rate are claimed,

under applicable volume standards,

using L602. Mailers also may opt to sort

machinable parcels only to destination

BMCs under L601. When machinable

parcels are sorted under L601, only mail

for 3-digit ZIP Codes served by a BMC

as listed in Exhibit E751.1.3 are eligible

for DBMC rates (i.e., mail for 3-digit ZIP

Codes served by an ASF in Exhibit

E751.1.3 are not eligible for DBMC rates,

nor are 3-digit ZIP Codes that do not

appear on Exhibit E751.1.3). Machinable

parcels prepared in mixed BMC sacks or

on mixed BMC pallets that are sorted to

the origin BMC under M045 or M722 are

eligible for the DBMC rates if both of the

following conditions are met: 1) the

mixed BMC sack or pallet is entered at

the origin BMC facility to which it is

labeled, and 2) the pieces are for 3-digit

ZIP Codes listed as eligible destination

ZIP Codes for that BMC in Exhibit

E751.1.3.

2.4 Presorted Irregular Parcels

Presorted irregular parcels in sacks or

on pallets at all sort levels may claim

DBMC rates. All pieces in an ADC sack

or in a palletized ADC package are

eligible for the DBMC discount if the

ADC facility ZIP Code (as shown in Line

1 of the corresponding sack label or the

ADC facility that is the destination of

the palletized ADC package as would be

shown on an ADC sack label for that

facility using DMM L004, Column B) is

within the service area of the BMC at

which the sack is deposited under

E751.5.6. Separate mixed ADC sacks

must be prepared for pieces eligible for

and claimed at the DBMC rate and for

parcels not claimed at the DBMC rate.

Use the ‘‘label to’’ ZIP Code for the ADC

to assign ADC packages to the respective

mixed ADC sack. Use the address on the

parcels to assign parcels to the

respective mixed ADC package or sack,

as appropriate. Mail must be entered at

the appropriate facility under 2.1.

2.5 Carrier Route Flats

Carrier Route flats in sacks or on

pallets at all sort levels may claim

DBMC rates. Mail must be entered at the

appropriate facility under 2.1.

2.6 Carrier Route Machinable Parcels

Carrier Route machinable parcels in

individual carrier route sacks may claim

DBMC rates. Mail must be entered at the

appropriate facility under 2.1.

2.7 Carrier Route Irregular Parcels

Carrier Route irregular parcels in

sacks at both sort levels or on pallets at

all sort levels may claim DBMC rates.

Mail must be entered at the appropriate

facility under 2.1.

3.0 DESTINATION SECTIONAL

CENTER FACILITY (DSCF) RATES

3.1 General Eligibility

Pieces in a mailing meeting the

standards in 1.0, 3.0, and 5.0 through

7.0 are eligible for the DSCF rate when

they meet all of the following

conditions:

a. Are eligible for and prepared to

qualify for Presorted or Carrier Route

rates, subject to the corresponding

standards for those rates.

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78583

b. Are deposited at an SCF listed in

L005, except that machinable parcels

prepared on pallets for the 5-digit ZIP

Codes listed in Exhibit E751.6.0 must be

entered at the corresponding BMC

facility shown in that Exhibit (not at the

SCF) unless an exception is requested

and granted. An exception to Exhibit

E751.6.0 must be requested at least 15

days in advance of the mailing in

writing from the Area Manager,

Operations Support, who has

jurisdiction over the BMC and SCF.

Exceptions, if granted, will be for a

limited time.

c. Are addressed for delivery to one of

the 3-digit ZIP Codes served by the SCF

where deposited under L005.

d. Are placed in a sack or pallet that

is labeled to the SCF where deposited,

or labeled to a postal facility within that

SCF’s service area (see L005).

3.2 Presorted Flats

Presorted flats in sacks for the 5-digit,

3-digit, and optional SCF sort levels or

on pallets at the optional 5-digit

scheme, 5-digit, optional 3-digit, SCF,

and ASF sort levels may claim DSCF

rates. Mail must be entered at the

appropriate facility under 3.1.

3.3 Presorted Machinable Parcels

Presorted machinable parcels in sacks

or on pallets at the 5-digit sort level may

claim DSCF rates. For palletized mail,

see 3.1b. Mail must be entered at the

appropriate facility under 3.1.

3.4 Presorted Irregular Parcels

Presorted irregular parcels in sacks at

the 5-digit, 3-digit, and optional SCF

sort levels, or on pallets at the 5-digit,

optional 3-digit, SCF, and ASF sort

levels may claim DSCF rates. Mail must

be entered at the appropriate facility

under 3.1.

3.5 Carrier Route Flats

Carrier route flats in sacks at all sort

levels or on pallets at optional 5-digit

scheme carrier routes, 5-digit carrier

routes, optional 3-digit, SCF, and ASF

sort levels may claim DSCF rates. Mail

must be entered at the appropriate

facility under 3.1.

3.6 Carrier Route Machinable Parcels

Carrier Route machinable parcels in

individual carrier route sacks may claim

DSCF rates. Mail must be entered at the

appropriate facility under 3.1.

3.7 Carrier Route Irregular Parcels

Carrier Route irregular parcels in

sacks at both sort levels or on pallets at

the 5-digit, optional 3-digit, SCF, and

ASF sort levels may claim DSCF rates.

Mail must be entered at the appropriate

facility under 3.1.

4.0 DESTINATION DELIVERY UNIT

(DDU) RATES

4.1 General Eligibility

Pieces in a mailing meeting the

standards in 1.0 and 4.0 through 7.0 are

eligible for the DDU rate when they

meet all of the following conditions:

a. Are eligible for and prepared to

qualify for Presorted or Carrier Route

rates, subject to the corresponding

standards for those rates.

b. Are addressed for delivery within

the ZIP Code(s) served by the

destination delivery unit.

c. Are deposited:

(1) For Carrier Route flats, at the DDU

where the carrier cases the mail, as

shown in the Drop Shipment Product.

(2) For Presorted flats, the Drop

Shipment Product must be used to

determine the correct destination entry

facility for the 5-digit sorted flats

entered at Presorted rates. If the Drop

Shipment Product lists multiple

facilities for a single 5-digit ZIP Code,

then the mailer must inquire about the

correct drop site when contacting the

DDU to schedule an appointment.

(3) For all irregular parcels and

machinable parcels, the Drop Shipment

Product must be used to determine the

5-digit destination. When the Drop

Shipment Product shows that mail for a

single 5-digit ZIP Code area is delivered

out of more than one postal facility, use

the facility from which the majority of

city carrier routes are delivered as the

facility at which the DDU parcels must

be entered and to determine whether

that facility can handle pallets, unless

the 5-digit ZIP Code is listed in Exhibit

E751.7.0 or Exhibit E751.8.0. For ZIP

Codes in Exhibit E751.7.0 and Exhibit

E751.8.0, use the name of the facility

associated with the 5-digit ZIP Code on

the respective exhibit as the facility at

which DDU mail must be entered for

that 5-digit ZIP Code. This facility name

should be used along with the Drop

Shipment Product to determine if that

facility can handle pallets. If a DDU

facility cannot handle pallets and a

mailer transports mail to the DDU

facility on pallets, the driver must

unload the pallets into a container

specified by the delivery unit.

4.2 Presorted Flats

Presorted flats that weigh more than

1 pound in 5-digit sacks, on optional 5-

digit scheme or required 5-digit pallets,

or prepared as bedloaded 5-digit

packages may claim DDU rates. Mail

must be entered at the appropriate

facility under 4.1. Presorted flats

weighing 1 pound or less are not eligible

for DDU rates.

4.3 Presorted Machinable Parcels

Presorted machinable parcels in 5-

digit sacks or on 5-digit pallets may

claim DDU rates. Mail must be entered

at the appropriate facility under 4.1.

4.4 Presorted Irregular Parcels

Presorted irregular parcels in 5-digit

sacks, on 5-digit pallets, or prepared as

bedloaded 5-digit packages may claim

DDU rates. Mail must be entered at the

appropriate facility under 4.1.

4.5 Carrier Route Flats

Carrier Route flats in sacks, on

optional 5-digit carrier routes scheme

and 5-digit carrier routes pallets, or

prepared as bedloaded carrier route

packages may claim DDU rates. Mail

must be entered at the appropriate

facility under 4.1.

4.6 Carrier Route Machinable Parcels

Carrier Route machinable parcels

sorted to carrier route sacks may claim

DDU rates. Mail must be entered at the

appropriate facility under 4.1.

4.7 Carrier Route Irregular Parcels

Carrier Route irregular parcels in

sacks at both sort levels, on 5-digit

pallets, or prepared as bedloaded

packages may claim DDU rates. Mail

must be entered at the appropriate

facility under 4.1.

5.0 VERIFICATION

5.1 Place

As directed by the postmaster, the

mailer must present destination entry

mailings to USPS employees for

verification either:

a. At the origin mailer’s plant or the

origin post office serving the mailer’s

plant under an authorized plant-verified

drop shipment system.

b. At the destination post office or

business mail entry unit.

5.2 Mail Separation and Presentation

Destination entry rate mail must be

verified under a PVDS system (P950) or

be presented for verification and

acceptance at a BMEU located at a

destination BMC, destination SCF, or

other designated destination postal

facility. Only plant-verified drop

shipments may be deposited at a

destination delivery unit not co-located

with a post office or other postal facility

having a business mail entry unit. When

presented to the USPS, destination entry

mailings must meet the following

requirements:

a. Each mailing must be separated

from other mailings for verification. For

PVDS, destination entry rate mailings

for deposit at one destination postal

78584 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

facility must be separated from mailings

for deposit at other facilities to allow for

reconciliation with each accompanying

Form 8125, 8125–C, or 8125–CD.

b. Mail must be separated from freight

transported on the same vehicle.

c. If Periodicals mail is on the same

vehicle as BPM, then the Periodicals

mail should be loaded toward the tail of

the vehicle so that, for each destination

entry, Periodicals mail can be offloaded

first.

d. Form 8125, 8125–C, or 8125–CD

must accompany all PVDS mailings.

5.3 Form 8125

When mailings are verified and paid

for at a postal facility different from the

one at which they are accepted as mail

and deposited into the mailstream, the

mailer must ensure that they are

accompanied by a Form 8125 completed

by the mailer and the verifying post

office.

5.4 At BMC

For a mailing to be verified at a BMC,

the post office where the mailer’s

account or license is held must be

within the service area of that BMC. The

post office must authorize the BMC to

act as its agent by sending Form 4410 to

the BMC.

5.5 PVDS Seal

The mailer may ask that a PVDS band

seal secure the vehicle containing

verified mailings before dispatch to the

destination facility.

5.6 Mailer Transport

The mailer must transport the PVDS

mailing from the place where it was

verified to the destination postal

facility.

5.7 Volume Standards

Except as permitted for a local mailer

under 7.0, destination entry mailings are

subject to these volume standards:

a. Regardless of total volume, the

pieces for which a destination rate is

claimed must represent more than 50%

of the mail (by weight or pieces,

whichever is greater) presented by the

same mailer within any 24-hour period.

For this standard, mailer is the party

presenting the material to the USPS (or

for whom a transportation company has

presented the material to the USPS).

b. The same mailer may not in a 24-

hour period present for verification and

acceptance more than four destination

rate mailings at the same destination

postal facility (or at another acting as its

agent). The mailer may ask for a waiver

of this limit when scheduling the

deposit of the mailings. There is no

maximum for plant-verified drop

shipments.

6.0 DEPOSIT

6.1 When, Where

Each mailing claimed at a destination

rate must be deposited at the time and

location specified by the USPS.

Mailings must be presented in vehicles

that are compatible with dock, yard, and

DDU operations, as applicable.

6.2 Freight

Drop shipments are freight until

deposited and accepted as mail at the

destination facility.

6.3 Appointments

Appointments must be made for

destination entry rate mail as follows:

a. Except for a local mailer under 7.0

and mailings of perishable commodities,

appointments for deposit of destination

entry rate mail at BMCs, ASFs, and

SCFs must be scheduled through the

appropriate appointment control center

at least one business day in advance.

Same-day appointments may be granted

by a control center only through a

telephone request. All appointments for

BMC loads must be scheduled by the

appropriate BMC control center.

Appointments for SCFs and ASFs must

be scheduled through the appropriate

district control center. Appointments

may be made up to 30 calendar days

before a desired appointment date. The

mailer must adhere to the scheduled

mail deposit time and location. The

mailer must cancel any appointment by

notifying the appropriate control center

at least 24 hours in advance of a

scheduled appointment.

b. Electronic appointments may be

made through the Dropship

Appointment System (DSAS) by a

mailer or agent using a USPS-issued

computer logon ID. Electronic

appointments or cancellations must be

made at least 12 hours before the

desired time and date. All information

required by the USPS appointment

system regarding a mailing must be

provided.

c. For deposit of DDU mailings, an

appointment must be made by

contacting the DDU at least 24 hours in

advance. If the appointment must be

canceled, the mailer must notify the

DDU at least one business day in

advance of a scheduled appointment.

Recurring appointments are allowed if

shipment frequency is once a week or

more often.

d. When Periodicals are transported

together with BPM as a mixed load

(E250), an appointment must be

obtained for deposit at a destination

entry facility.

6.4 Advance Scheduling

Except under 7.0, a mailer must

schedule deposit of destination entry

rate mailings at least 24 hours in

advance by contacting the proper

district or BMC control center or

destination delivery unit. Appointments

at delivery units must be made by

calling the delivery unit at least 24

hours in advance. Appointments for

ASFs, SCFs, or for any multistop loads

must be made through the USPS district

control center or DSAS in 6.3.

Appointments for BMC loads must be

scheduled by the proper BMC control

center. When making an appointment,

or as soon as available, the mailer must

provide the control center or DDU with

the following information:

a. Mailer’s name and address and,

when applicable, the name and

telephone number of the mailer’s agent

or local contact.

b. Description of what is being

mailed, product name, number of

mailings, volume of mail, how prepared

and whether containerized (e.g.,

pallets). For DDU entries, the mailer

also must provide the 5-digit ZIP

Code(s) of the mail being deposited.

c. Where the mailing was verified.

d. Postage payment method.

e. Requested date and destination

facility for mailing.

f. Vehicle identification number, size,

and type.

6.5 Adherence to Schedule

The mailer must follow the scheduled

deposit time or cancel the appointment

by notifying the designated control

center. Destination facilities may refuse

acceptance or deposit of unscheduled

mailings or shipments that arrive more

than 2 hours after the scheduled

appointment at ASFs, BMCs, or SCFs or

more than 20 minutes at delivery units.

6.6 Redirection by USPS

A mailer may be directed to transport

destination entry rate mailings to a

facility other than the designated DDU,

SCF, or BMC due to facility restrictions,

building expansions, peak season mail

volumes, or emergency constraints.

6.7 Redirection at Mailer’s Request

For service reasons, a mailer may ask

to transport destination SCF rate mail to

a facility other than the designated SCF.

This exception may be approved only

by the district control center serving the

destination facility. To qualify for the

SCF rate in this situation, mail

deposited at a facility other than the

SCF must destinate for processing

within that facility and must not require

backhauling to the SCF.

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78585

6.8 Recurring Appointments

Recurring appointments refer to a

drop shipment that is delivered to a

destination office with a frequency of at

least once a week on the same time and

day(s). Mailings must be of a

comparable product in terms of mail

class, size, volume, and containerization

(pallets, pallet boxes, etc.). A request to

establish recurring appointments must

be written on company letterhead to the

postal facility manager/postmaster. The

drop shipment appointment control

office/postmaster will respond to all

requests within 10 days. Recurring

appointments may be made for a period

not to exceed 6 months. Thereafter, a

new application must be submitted to

ensure that up-to-date mailer

information is on file. Written request

for an additional 6 months may be made

within 60 days prior to the expiration of

a current arrangement. Failure to adhere

to scheduled appointments or other

abuse of the procedures will result in

revocation of recurring appointment

privileges. Requests for recurring

appointments must include the

following:

a. Name, address, and telephone

number of the mailer.

b. Transportation agent’s name

(contact person) and telephone

number(s).

c. Mail volume and preparation

(trays/sacks/parcels).

d. Containerization.

e. Size and type of trailer(s)

transporting mail.

f. Frequency/schedule.

6.9 Vehicle Unloading

Unloading of destination entry

mailings is subject to these conditions:

a. Properly prepared containerized

loads (e.g., pallets) are unloaded by the

USPS at BMCs, ASFs, and SCFs. The

USPS does not unload or permit the

mailer (or mailer’s agent) to unload

palletized loads that are unstable or

severely leaning or that have otherwise

not maintained their integrity in transit.

b. At BMCs, and ASFs, the driver

must unload bedloaded shipments

within 8 hours of arrival. Combination

containerized and bedloaded mailings

are classified as bedloaded shipments

for unload times. The USPS may assist

in unloading.

c. At delivery units, the driver must

unload all mail within 1 hour of arrival.

If pallets (including pallet boxes on

pallets) are stacked, the driver is

required to unload, unstack, and

unstrap them. If a mailer transports

palletized mail (including sacks on

pallets) to a DDU facility that cannot

handle pallets, then the driver must

unload the pallets into a container

specified by the delivery unit.

d. When driver unloading is required,

the driver or assistant must stay with

and continue to unload the vehicle once

at the dock.

e. The driver must remove the vehicle

from USPS property after unloading.

The driver and assistant are not

permitted in USPS facilities except for

the dock and designated driver rest area.

6.10 Demurrage

The USPS is not responsible for

demurrage or detention charges

incurred by a mailer who presents

destination entry rate mailings.

6.11 Appeals

Mailers who believe they are denied

equitable treatment may appeal to the

manager, Customer Service (district),

responsible for the destination postal

facility.

7.0 EXCEPTION FOR LOCAL MAILER

The restrictions in 5.7 and 6.3 do not

apply when a mailer deposits mailings

for verification and acceptance at the

local post office serving the facility

where the mail was prepared, if the

mailings are not verified under a plant

load authorization or plant-verified drop

shipment postage payment

authorization. Under this exception, the

mailer may claim the destination entry

rates for mailings or portions of mailings

deposited at the local post office that

meet the standards in 2.0, 3.0, or 4.0.

[Add new E753 for combining

Package Services parcels to read as

follows:]

E753 Combining Package Services

Parcels for DSCF and DDU Entry 1.0

1.0 COMBINING PARCELS

Package Services parcels—Parcel Post,

Parcel Select, Bound Printed Matter,

Media Mail, and Library Mail—may be

combined, at the mailer’s option and

when authorized by the USPS, in the

same 5-digit sack(s) or pallet(s) for entry

either at a destination sectional center

facility (DSCF) or a destination delivery

unit (DDU). All applicable fees for

presort and drop shipment must be paid

and applicable minimum volume

requirements for Presort rates and Parcel

Select rates must be met. Combined

Package Services mailings must meet

the standards in E750, except as

provided by this section. Parcels may

not be combined for entry at a

destination bulk mail center (DBMC).

Carrier Route Bound Printed Matter may

not be combined with other parcels

under these standards. Presorted Media

Mail and Presorted Library Mail claimed

at BMC rates may not be combined with

other parcels under these standards.

Parcels combined under these standards

are not eligible for the barcoded

discount.

1.1 Basic Standards

Package Services parcels that qualify

as machinable, nonmachinable, and

irregular under C050 and meet the

following conditions may be combined

in the same 5-digit sack(s) or pallet(s)

under these conditions:

a. Minimum volume requirements for

Parcel Select, Presorted Bound Printed

Matter, Presorted Library Mail, and

Presorted Media Mail must be met

separately before combining.

b. Postage must be paid via permit

imprint under an approved manifest

mailing system as provided in P910.

c. All parcels must be prepared in

sacks under 2.0 or on pallets under 3.0.

For mail entered at the DSCF rates,

pallet preparation is not permitted for 5-

digit ZIP Codes that are unable to

handle pallets. Refer to the Drop Ship

Product maintained by the National

Customer Support Center (NCSC) (see

G043) to determine which 5-digit

delivery facilities can handle pallets. If

a DDU facility cannot handle pallets,

and a mailer transports mail to the DDU

facility on pallets, the driver will have

to unload the pallets into a container

specified by the delivery unit.

d. Pieces may be claimed at singlepiece rates, Presorted rates, and

destination entry rates under 2.1 or 3.1.

e. Separate postage statements must

be prepared for each subclass and

destination entry rate as appropriate.

f. The deposit of combined Package

Services mail at a DSCF or DDU must

be in accordance with applicable drop

shipment standards.

1.2 Authorization

Mailers apply for RCSC authorization

to combine parcels as part of a manifest

mailing agreement (P910). Current

manifest mailers can apply for

additional authorization to combine

parcels. This authorization may not

exceed two years.

2.0 COMBINED PARCELS PREPARED

IN SACKS

2.1 Rate Eligibility

In addition to the applicable

standards in E750 for destination entry

Package Services, the following

standards apply for combined Package

Services mail prepared in sacks:

a. Parcel Select DSCF rates apply to

parcels that are contained in 5-digit

sacks, each containing at least 10 pieces

of any combination of Package Services

mail, or contained in overflow sacks

78586 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

under 2.2, provided all other

requirements for the DSCF rate in E751

are met. Parcel Select DDU rates apply

to parcels that are contained in 5-digit

sacks, each containing at least 10 pieces

of any combination of Package Services

mail, or contained in overflow sacks

under 2.2, provided all other

requirements for the DDU rate in E751

are met.

b. Presorted Bound Printed Matter

DSCF rates apply to parcels that are

contained in 5-digit sacks, each

containing at least 10 pieces of any

combination of Package Services mail,

or contained in overflow sacks under

2.2, provided all other requirements for

the DSCF rate in E752 are met. Presorted

Bound Printed Matter DDU rates apply

to parcels that are contained in 5-digit

sacks, each containing at least 10 pieces

of any combination of Package Services

mail, or contained in overflow sacks

under 2.2, provided all other

requirements for the DDU rate in E752

are met.

c. Presorted Library Mail 5-digit rates

apply to parcels that are contained in 5-

digit sacks, each containing at least 10

pieces of any combination of Package

Services mail, or contained in overflow

sacks under 2.2.

d. Presorted Media Mail 5-digit rates

apply to parcels that are contained in 5-

digit sacks, each containing at least 10

pieces of any combination of Package

Services mail, or contained in overflow

sacks under 2.2.

e. Single-piece rate Parcel Post, Bound

Printed Matter, Library Mail, and Media

Mail parcels that are contained in 5-

digit sacks, each containing at least 10

pieces of any combination of Package

Service mail, or contained in overflow

sacks under 2.2, qualify for their

applicable single-piece rates.

2.2 Sack Preparation

Only 5-digit sacks may be prepared.

Each sack of combined Package Services

mail must contain at least 10 pieces.

One overflow sack containing fewer

than 10 pieces is permitted per 5-digit

destination.

2.3 Sack Labeling

Sack labels must be prepared as

follows:

a. For Line 1, use 5-digit ZIP Code on

mail.

b. For Line 2, use ‘‘PSVC PARCELS

5D.’’

3.0 COMBINED PARCELS PREPARED

ON PALLETS

3.1 Rate Eligibility

In addition to the applicable

standards in E750 for destination entry

Package Services, the following

standards apply for combined Package

Services mail prepared on pallets:

a. Parcel Select DSCF rates apply to

pieces that are prepared on 5-digit

pallets, each containing at least 50

pieces and 250 pounds or 36 inches of

Package Services mail, or contained in

overflow sacks under 3.3, and deposited

at a DSCF under E751. Parcel Select

DDU rates apply to pieces that are

prepared on 5-digit pallets, each

containing at least 50 pieces and 250

pounds or 36 inches of Package Services

mail, or contained in overflow sacks

under 3.3, and deposited at a DDU

under E751.

b. Presorted Bound Printed Matter

DSCF rates apply to pieces that are

prepared on 5-digit pallets, each

containing at least 50 pieces and 250

pounds or at least 36 inches of Package

Services mail, or contained in overflow

sacks under 3.3, and deposited at a

DSCF under E752. Presorted Bound

Printed Matter DDU rates apply to

pieces that are prepared on 5-digit

pallets, each containing at least 50

pieces and 250 pounds or at least 36

inches of Package Services mail, or

contained in overflow sacks under 3.3,

and deposited at a DDU under E752.

c. Presorted Library Mail 5-digit rates

apply to pieces that are prepared on 5-

digit pallets, each containing at least 50

pieces and 250 pounds or 36 inches of

Package Services mail, or contained in

overflow sacks under 3.3.

e. Presorted Media Mail 5-digit rates

apply to pieces that are prepared on 5-

digit pallets, each containing at least 50

pieces and 250 pounds or 36 inches of

Package Services mail, or contained in

overflow sacks under 3.3.

f. Single-piece rate Parcel Post, Bound

Printed Matter, Library Mail, and Media

Mail parcels that are prepared on 5-digit

pallets, each containing at least 50

pieces and 250 pounds or 36 inches of

Package Services mail, or contained in

overflow sacks under 3.3, qualify for

their applicable single-piece rates.

3.2 Pallet Preparation

Only 5-digit pallets may be prepared.

Each 5-digit pallet of combined Package

Services mail must contain at least: (1)

50 parcels and 250 pounds of mail, or

(2) 36 inches mail (excluding the height

of the pallet). Pallets prepared using

either minimum requirement may be

combined in the same mailing.

3.3 Overflow Sacks

If, after filling a pallet(s) to a 5-digit

destination, pieces remain that do not

meet the minimum pallet requirements,

they may be prepared in 5-digit

overflow sacks and labeled under 2.2.

3.4 Pallet Labeling

Pallet labels must be prepared as

follows:

a. For Line 1, use city, state, and 5-

digit ZIP Code on mail.

b. For Line 2, use ‘‘PSVC PARCELS

5D.’’

4.0 DOCUMENTATION

Separate postage statements are

required for each of the separate

mailings contained within the combined

mailing. All postage statements must be

provided at the time of mailing and

must be accompanied by a RCSC

approved manifest prepared in

accordance with P910 and this section.

F FORWARDING AND RELATED

SERVICES

F000 Basic Services

F010 Basic Information

* * * * *

3.0 DIRECTORY SERVICE

[Amend 3.0d by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’; no

other changes to text.]

4.0 BASIC TREATMENT

* * * * *

4.5 Special Services

[Amend 4.5 by revising 4.5b to add

instructions for treatment of insured

Standard Mail; revise 4.5c by deleting

the last sentence, and add new item e

to read as follows:]

Mail with special services is treated

according to the charts for each class of

mail in 5.0, except that:

* * * * *

b. All insured First-Class Mail is

forwarded and returned at no additional

cost. All insured Standard Mail and

Package Services mail is forwarded or

returned.

c. Parcels with special handling that

are undeliverable as originally

addressed and forwarded to the

addressee continue to receive special

handling service without an additional

special handling fee.

* * * * *

e. All registered mail items are treated

as registered while they are being

forwarded or returned.

* * * * *

[Add new 4.6 to read as follows:]

4.6 Metered Pieces

Mail paid by postage meter that does

not have a delivery address and a return

address is returned to the post office of

mailing. The reason for nondelivery is

attached but the address correction fee

is not charged. The piece is returned to

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78587

the meter licensee upon payment of the

applicable return postage.

5.0 CLASS TREATMENT FOR

ANCILLARY SERVICES

[Amend 5.1 by changing ‘‘E620’’ to

‘‘E620 and E630.’’]

* * * * *

[Amend heading of 5.3 by removing

‘‘(A)’’ to read as follows:]

5.3 Standard Mail

[Amend 5.3 by removing ‘‘(A)’’ from

‘‘Standard Mail (A)’’; amend 5.3a by

replacing ‘‘Standard Mail (B)’’ with

‘‘Package Services’’ and ‘‘Special

Standard Mail’’ with ‘‘Media Mail.’’

Redesignate current items g and h, as

h and i, respectively; amend

redesignated i by removing ‘‘(A)’’ from

‘‘Standard Mail (A)’’ add new g to read

as follows:]

Undeliverable Standard Mail is

treated as described in the chart below

and under these conditions:

* * * * *

g. Standard Mail with insurance,

return receipt for merchandise, or

Delivery Confirmation must be endorsed

‘‘Address Service Requested,’’

‘‘Forwarding Service Requested,’’ or

‘‘Return Service Requested.’’

* * * * *

[Amend the chart in 5.3 by adding the

following under ‘‘Change Service

Requested’’ to read as follows:]

Mailer endorsement USPS action on UAA pieces

Change service requested1 ............................... *****

This endorsement is not available for mail with special services (e.g., insured or delivery confirmation).

[Revise heading of 5.4 to read as

follows:]

5.4 Package Services

[Amend 5.4 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services.’’

Remove item 5.4c. Add new item 5.4c

to read as follows:]

Undeliverable Package Services is

treated as described in the chart below

and under these conditions:

* * * * *

c. Bound Printed Matter with no

ancillary service endorsement and no

special service is disposed of by USPS.

It is not forwarded or returned to

sender. Bound Printed Matter with no

ancillary service endorsement with a

special service is treated as if it is

endorsed ‘‘Forwarding Service

Requested.’’

* * * * *

[Amend chart in 5.4 by adding an

exception for Bound Printed Matter

under ‘‘No endorsement’’ to read as

follows:]

Mailer endorsement USPS action on UAA pieces

No endorsement ................................................ Same as USPS action for ‘‘Forwarding Service Requested.’’ Exception: Bound Printed Matter

with no special service added is disposed of by USPS.

* * * * *

6.0 ENCLOSURES AND

ATTACHMENTS

* * * * *

[Amend heading and text of 6.2 by

removing the ‘‘(A)’’ in Standard Mail; no

other changes to text.]

[Revise title of 6.3 to read as follows:]

6.3 Package Services

[Amend 6.3 by replacing references to

‘‘Standard Mail (B)’’ with ‘‘Package

Services’’; no other changes to text.]

7.0 MIXED CLASSES

[Amend introductory paragraph of

7.1, 7.1a, and 7.2 by replacing

‘‘Standard Mail’’ with ‘‘Standard Mail or

Package Services’’; no other changes to

text.]

* * * * *

7.4 Parcel

[Amend 7.4 to specify that

combination parcels are returned at the

Parcel Post Inter-BMC rate and by

replacing ‘‘Special Standard Mail’’ with

‘‘Media Mail’’ to read as follows:]

A combination parcel containing

Media Mail and Bound Printed Matter is

charged postage at the Parcel Post InterBMC rate when forwarded or returned.

8.0 DEAD MAIL

[Amend 8.1b by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail.’’ Amend

8.1e by replacing ‘‘Standard Mail (A)’’

with ‘‘Standard Mail’’ and ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Services’’; no other changes to text.]

* * * * *

F020 Forwarding

* * * * *

2.0 FORWARDABLE MAIL

* * * * *

[Amend 2.3, 2.4, and 2.6 by replacing

‘‘Standard Mail (B)’’ with ‘‘Package

Services’’; no other changes to text.]

* * * * *

3.0 POSTAGE FOR FORWARDING

* * * * *

[Amend the title and contents of 3.5

by replacing ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’; no other changes to

text.]

[Revise title of 3.6 to read as follows:]

3.6 Package Services

[Amend 3.6 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’; no

other changes to text.]

[Amend 3.7 by adding Delivery

Confirmation and Signature

Confirmation to read as follows:]

3.7 Special Services

Certified, collect on delivery (COD),

Delivery Confirmation, insured,

registered, Signature Confirmation, and

special handling mail is forwarded

without additional special service fees,

subject to the applicable postage charge

(to a domestic address only).

F030 Address Correction, Address

Change, FASTforward, and Return

Services

1.0 ADDRESS CORRECTION SERVICE

* * * * *

78588 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

[Amend 1.4 by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Services’’; no other changes to text.]

* * * * *

2.0 ADDRESS CHANGE SERVICE

(ACS)

[Amend 2.1 by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Services’’; no other changes to text.]

* * * * *

2.5 Shipper Paid Forwarding

[Amend 2.5 by adding a reference to

the accounting fee for a postage due

account to read as follows:]

Shipper Paid Forwarding is an ACS

fulfillment vehicle. It allows mailers of

Standard Mail machinable parcels and

most Package Services mail to pay

forwarding charges via approved ACS

participant code(s). For information

about Shipper Paid Forwarding, contact

the National Customer Support Center

(see G043). Mailers have the option of

paying forwarding charges through a

postage due advance deposit account.

Mailers who choose to do so must pay

an annual accounting fee.

* * * * *

4.0 SENDER INSTRUCTION

* * * * *

4.2 Special Services

A change-of-address order covers

certified, collect on delivery (COD),

insured, registered, and return receipt

for merchandise mail unless the sender

gives other instructions or the addressee

moves outside the United States. This

mail is treated as follows:

[Amend 4.2d to read as follows:]

* * * * *

d. Insured Standard Mail is forwarded

and returned.

* * * * *

[Amend 4.2e by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’; no

other changes to text.]

* * * * *

G GENERAL INFORMATION

G000 The USPS and Mailing

Standards

* * * * *

G090 Experimental Classifications and

Rates

G091 NetPost Mailing Online

[In G091, change all references from

‘‘Standard Mail (A)’’ to ‘‘Standard

Mail.’’]

* * * * *

3.0 FUNCTIONALLY EQUIVALENT

SYSTEMS

[Amend the third sentence of 3.0 to

provide for an increase in the fee for

certification of a system as functionally

equivalent to Mailing Online from $100

to $125, to read as follows:]

* * * Certification of functional

equivalence requires payment of a $125

fee and demonstration that the service

in comparable to NetPost Mailing

Online service and capable of all of the

following as specified by the USPS:

***

* * * * *

G094 Ride-Along Rate for Periodicals

1.0 BASIC ELIGIBILITY

[Amend 1.1, 1.2, and 1.3 by changing

‘‘Standard Mail (A)’’ to ‘‘Standard

Mail,’’ no other changes to text.]

* * * * *

L LABELING LISTS

L000 General Use

[Amend the heading and introductory

paragraph of L001 to provide for class

of mail name changes and to allow use

of L001 with Bound Printed Matter flats

to read as follows:]

L001 5-Digit Scheme—Periodicals

Flats and Irregular Parcels, Standard

Mail Flats, and Bound Printed Matter

Flats

When 5-digit scheme sort is used for

Periodicals flats and irregular parcels,

Standard Mail flats, and Bound Printed

Matter flats, mail for the 5-digit ZIP

Codes shown in Column A must be

combined on pallets (packages on

pallets only on merged 5-digit scheme,

5-digit scheme carrier routes, or 5-digit

scheme pallets, as applicable) or in

sacks (merged 5-digit scheme or 5-digit

scheme carrier routes sacks, as

applicable) labeled to the corresponding

destination shown in Column B.

* * * * *

L002 3-Digit ZIP Code Prefix Matrix

This matrix provides information

about 3-digit ZIP Code prefixes as

follows:

[Amend the last sentence of L002d to

read as follows:]

d. * * * Destination SCF Standard

Mail rates, destination SCF Package

Services rates, or SCF zone and per

piece Periodicals rates are available only

to those ZIP Code areas for which an

SCF is shown.

* * * * *

L004 3-Digit Code Prefix Groups—ADC

Sortation

[Revise the next-to-last sentence of the

L004 introduction to read as follows:]

* * * To order labels from the USPS

Label Printing Center, use Form 1578-B

and indicate set number 008 (First-Class

Mail), set number 009 (Periodicals), or

set number 010 (Standard Mail and

Bound Printed Matter). * * *

[In L004, replace ‘‘[STD only]’’ with

‘‘[STD and BPM only],’’ replace ‘‘[PER

and STD only]’’ with ‘‘[PER, STD, and

BPM only],’’ and replace ‘‘[FCM and

STD only]’’ with ‘‘[FCM, STD, and BPM

only].’’]

* * * * *

[Amend the heading of L600 to

include Package Services to read as

follows:]

L600 Standard Mail and Package

Services

L601 BMCs

[Revise introductory paragraph to

read as follows:]

Use this list for:

(1) Standard Mail machinable parcels

except ASF mail prepared and claimed

at DBMC rates.

(2) Standard Mail packages, letter

trays, or sacks on pallets.

(3) Bound Printed Matter machinable

parcels.

(4) Bound Printed Matter packages or

sacks on pallets.

(5) Parcel Post except for ASF mail

prepared and claimed at DBMC rates

and non-machinable BMC Presort or

OBMC Presort rate mail.

(6) Presorted Media Mail and

Presorted Library Mail to BMC

destinations. For labeling mixed BMC

sacks and pallets, mailers must add

‘‘MXD’’ before the Column B

information of the BMC serving the 3-

digit ZIP Code prefix of the post office

at which the mail is entered.

* * * * *

[Revise the heading of L602 to read as

follows:]

L602 ASFs

[Revise the introductory paragraph to

read as follows:]

Use this list for:

(1) Standard Mail machinable parcels

if ASF mail is entered at the ASF and

claimed at DBMC rates.

(2) Standard Mail packages, letter

trays, or sacks on pallets.

(3) Bound Printed Matter machinable

parcels if ASF mail is entered at the

ASF and claimed at DBMC rates.

(4) Bound Printed Matter packages or

sacks on pallets.

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78589

(5) Parcel Post machinable parcels if

ASF mail is entered at the ASF and

claimed at DBMC rates.

* * * * *

[Amend the title of L603 by adding

‘‘Standard Mail’’ to read as follows:]

L603 ADCs—Irregular Standard Mail

Parcels

* * * * *

[Amend to title of L604 to indicate

that the list is used only for Standard

Mail irregular parcels to read as

follows:]

L604 Originating ADCs—Standard

Mail Irregular Parcels

* * * * *

L800 Automation Rate Mailings

* * * * *

[Amend the heading of L802 by

changing ‘‘Standard Mail (A)’’ to

‘‘Standard Mail’’ to read as follows:]

L802 BMC/ASF Entry—Periodicals

and Standard Mail

* * * * *

[Amend the heading of L803 by

changing ‘‘Standard Mail (A)’’ to

‘‘Standard Mail’’ to read as follows:]

L803 Non-BMC/ASF Entry—

Periodicals and Standard Mail

* * * * *

M MAIL PREPARATION AND

SORTATION

M000 General Preparation Standards

M010 Mailpieces

M011 Basic Standards

1.0 TERMS AND CONDITIONS

1.1 Presort Process

[Amend the third sentence of 1.1 by

replacing ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’’; no other changes to

text.]

* * * * *

1.3 Preparation Instructions

For purposes of preparing mail:

* * * * *

[M013.13 was amended in the

amended final rule published in 65 FR

50054 (August 16, 2000). The section

numbers in this final rule reflect those

changes.]

[Redesignate 1.3f through 1.3z as 1.3h

through 1.3ab, respectively, and add

new 1.3f and 1.3g to read as follows:]

For purposes of preparing mail:

* * * * *

f. A less-than-full flat tray is one that

contains First-Class Mail for the same

destination regardless of quantity or

whether a full tray was previously

prepared for that destination. Less-thanfull flat trays may be prepared only if

permitted by the standards for the rate

claimed.

g. An overflow flat tray is a less-thanfull First-Class Mail tray that contains

all pieces remaining after preparation of

one or more full trays for the same

destination. Overflow flat trays may be

prepared only if permitted by the

standards for the rate claimed.

* * * * *

[Amend redesignated 1.3j to provide

for 5-digit/scheme carrier routes

sortation for Carrier Route Bound

Printed Matter, and to change ‘‘Standard

Mail (A)’’ to ‘‘Standard Mail’’ to read as

follows:]

j. A 5-digit/scheme carrier routes sort

for carrier route rate Periodicals flats

and irregular parcels, Enhanced Carrier

Route rate Standard Mail flats, and

Carrier Route Bound Printed Matter

flats, prepared in sacks or as packages

on pallets yields a 5-digit scheme carrier

routes sack or pallet for those 5-digit ZIP

Codes listed in L001 and 5-digit carrier

routes sacks or pallets for other areas.

The 5-digit ZIP Codes in each scheme

are treated as a single presort

destination subject to a single minimum

sack or pallet volume, with no further

separation by 5-digit ZIP Code required.

Sacks or pallets prepared for a 5-digit

scheme carrier routes destination that

contain carrier route packages for only

one of the schemed 5-digit areas are still

considered 5-digit scheme carrier routes

sorted and are labeled accordingly. The

5-digit/scheme sort is required for

carrier route packages of flat-size and

irregular parcel Periodicals, is optional

for flat-size Enhanced Carrier Route rate

Standard Mail, and is optional for

Carrier Route Bound Printed Matter flats

prepared in sacks or as packages on

pallets. If preparation of 5-digit scheme

carrier routes sacks or pallets is

performed, they must be prepared for all

5-digit scheme destinations. A 5-digit/

scheme carrier routes sort may be

performed only for carrier route

packages prepared in sacks or as

packages on pallets.

[Amend redesignated 1.3k to provide

for 5-digit/scheme sortation for Bound

Printed Matter flats, and to change

‘‘Standard Mail (A)’’ to ‘‘Standard Mail’’

to read as follows:]

k. A 5-digit/scheme sort for

Periodicals flats and irregular parcels,

Standard Mail flats, and Bound Printed

Matter flats prepared as packages on

pallets yields 5-digit scheme pallets

containing automation rate (not

applicable to Bound Printed Matter) and

Presorted rate 5-digit packages for those

5-digit ZIP Codes listed in L001 and

yields 5-digit pallets containing

automation rate (not applicable to

Bound Printed Matter) and Presorted

rate 5-digit packages for other areas. The

5-digit ZIP Codes in each scheme are

treated as a single presort destination

subject to a single minimum pallet

volume, with no further separation by 5-

digit ZIP Code required. Pallets

prepared for a 5-digit scheme

destination that contain 5-digit packages

for only one of the schemed 5-digit areas

are still considered 5-digit scheme

sorted and are labeled accordingly. The

5-digit/scheme sort is required for flatsize and irregular parcel-size

Periodicals, and is optional for flat-size

Standard Mail and flat-size Bound

Printed Matter that is prepared as

packages on pallets and may not be used

for other mail prepared on pallets,

except for 5-digit packages of Standard

Mail irregular parcels that are part of a

mailing job that is prepared in part as

palletized flats at automation rates. If

preparation of 5-digit scheme pallets is

performed, it must be done for all 5-

digit scheme destinations.

* * * * *

[Amend the last sentence of 1.3p for

clarity to read as follows:]

p. * * * The 3-digit/scheme sort is

required for automation rate letter-size

First-Class Mail, Periodicals, and

Standard Mail and is not permitted to be

used for mail entered at another rate.

* * * * *

[Amend redesignated 1.3z by

replacing ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’’; no other changes to

text.]

[Amend the first and last sentences of

1.3aa by replacing ‘‘Parcel Post DSCF’’

with ‘‘Parcel Select (Parcel Post) DSCF,’’

and by changing ‘‘M630’’ to ‘‘M710’’; no

other changes to text.]

[Amend the first and second

sentences of 1.3ab by replacing ‘‘Parcel

Post DSCF’’ with ‘‘Parcel Select (Parcel

Post) DSCF’’; no other changes to text.]

1.4 Mailing

* * * * *

[Amend 1.4e by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

[Amend 1.4f by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’ and

‘‘Special Standard’’ with ‘‘Media Mail’’;

no other changes in text.]

* * * * *

M012 Markings and Endorsements

1.0 MARKINGS—BASIC STANDARDS

1.1 Class and Rate

[Amend 1.1b by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

78590 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

[Amend 1.1c by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’; no

other changes to text.]

* * * * *

[Revise the heading of 2.0 by

replacing ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’’; no other change.]

2.0 MARKINGS—FIRST-CLASS MAIL

AND STANDARD MAIL

2.1 Placement

* * * * *

[Amend 2.1b and 2.1c by replacing

‘‘Standard Mail (A)’’ with ‘‘Standard

Mail’’; no other changes to text.]

* * * * *

2.2 Exceptions to Markings

[Amend 2.2a and 2.2b by replacing

‘‘Standard Mail (A)’’ with ‘‘Standard

Mail’’; no other changes to text.]

* * * * *

[Amend the heading of 3.0 by

replacing ‘‘Standard Mail (B)’’ with

‘‘Package Services’’ to read as follows:]

3.0 MARKINGS—PACKAGE

SERVICES

3.1 Basic Markings

[Amend 3.1 by changing the subclass

name from ‘‘Special Standard Mail’’ to

‘‘Media Mail’’ and eliminating the

‘‘Library Rate’’ marking to read as

follows:]

The basic required Package Services

subclass marking—‘‘Parcel Post’’ or

‘‘PP,’’ ‘‘Bound Printed Matter’’ or

‘‘BPM,’’ ‘‘Media Mail,’’ or ‘‘Library

Mail’’—must be printed on each piece

claimed at the respective rate. (The

marking ‘‘Library Rate’’ may continue to

be used on Library Mail until January 1,

2002. The marking ‘‘Special Standard

Mail’’ (or ‘‘SPEC STD’’) may continue to

be used on Media Mail until January 1,

2002.) For Parcel Post destination entry

rate mail, the marking ‘‘Parcel Select’’

may be used as the basic required

marking instead of ‘‘Parcel Post.’’ The

basic required marking must be placed

in the postage area (i.e., printed or

produced as part of, or directly below or

to the left of, the permit imprint indicia

or meter stamp or impression).

[Amend the heading of 3.2 for clarity

to read as follows:]

3.2 Additional Parcel Select (Parcel

Post) Markings

[Amend the first sentence of 3.2 to

read as follows:]

Each piece in a Parcel Select

(destination entry Parcel Post) mailing

must bear a marking to indicate that it

was mailed at a destination entry rate.

***

[Amend the heading of 3.3 by

changing ‘‘Other’’ to ‘‘Additional’’ and

revise to read as follows:]

3.3 Additional Bound Printed Matter

Markings

Each piece of Bound Printed Matter

mailed at a Presorted rate must bear the

marking ‘‘Presorted’’ (or ‘‘PRSRT’’) in

addition to the basic marking in 3.1.

Until January 1, 2002, mailers may use

the marking ‘‘Presorted Standard’’ (or

‘‘PRSRT STD’’). Each piece of Bound

Printed Matter mailed at a Carrier Route

rate must bear the marking ‘‘Carrier

Route Presort’’ (or ‘‘CAR–RT SORT’’) in

addition to the basic marking in 3.1.

These additional markings may be

placed in the postage area as specified

in 3.1. Alternatively, these markings

may be placed in the address area on the

line directly above or two lines above

the address if the marking appears

alone, or if no other information appears

on the line with the marking except

postal optional endorsement line

information under M013 or postal

carrier route package information under

M014.

[Amend the heading of 3.4 to reflect

the new subclass name to read as

follows:]

3.4 Additional Media Mail Markings

[Amend 3.4 to reflect the new

subclass name to read as follows:]

Each piece of Media Mail mailed at a

presorted rate must bear the required

marking ‘‘Presorted’’ or ‘‘PRSRT’’ in

addition to the basic marking specified

in 3.1. This additional marking may be

placed in the postage area as specified

in 3.1. Alternatively, these markings

may be placed in the address area on the

line directly above or two lines above

the address if the marking appears

alone, or if no other information appears

on the line with the marking except

postal optional endorsement line

information under M013.

[Amend the heading of 3.5 by

changing ‘‘Other’’ to ‘‘Additional’’ and

revise to read as follows:]

3.5 Additional Library Mail Markings

Each piece of Library Mail mailed at

a presorted rate must bear the required

marking ‘‘Presorted’’ or ‘‘PRSRT’’ in

addition to the basic marking specified

in 3.1. This additional marking may be

placed in the postage area as specified

in 3.1. Alternatively, these markings

may be placed in the address area on the

line directly above or two lines above

the address if the marking appears

alone, or if no other information appears

on the line with the marking except

postal optional endorsement line

information under M013.

* * * * *

4.0 ENDORSEMENTS—DELIVERY

AND ANCILLARY SERVICES

* * * * *

4.5 OCR Read Area

[Amend 4.5 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

M013 Optional Endorsement Lines

1.0 USE

1.1 Basic Standards

[Amend the chart in 1.1 by adding the

sortation level and OEL example lines

for Carrier Route Bound Printed Matter

to read as follows:]

Sortation level OEL example

*******

Carrier Route—Bound Printed Matter ...................................................... * * * * * * * * * * * CAR-RT SORT**C–001

*******

* * * * *

2.0 FORMAT

* * * * *

2.5 ZIP Code

[Amend 2.5 by removing the second

sentence.]

[Amend the table in 2.5 by revising

the entries for ADC and mixed ADC

sortation levels to read as follows:]

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78591

Sortation level Mail class Labeling list

*******

ADC ..................... First-Class Mail (except automation letters), Periodicals (except automation letters), Standard Mail (except Presorted rate irregular and machinable parcels), Presorted Bound Printed Matter (except machinable parcels).L004

ADC ..................... Standard Mail irregular parcels .................................................................................................................... L603

Mixed ADC .......... First-Class Mail (except automation letters) ................................................................................................ L002, Colum C

Mixed ADC .......... Periodicals (except automation letters), Standard Mail (except Presorted rate irregular and machine

parcels), Presorted Bound Printed Matter (except machinable parcels).

L004

Mixed ADC .......... Standard Mail irregular parcels .................................................................................................................... L604

*******

* * * * *

M014 Carrier Route Information Lines

* * * * *

2.0 FORMAT AND CONTENT

* * * * *

2.3 Route Code

* * * * *

[Amend 2.3b by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

* * * * *

M020 Packages

1.0 BASIC STANDARDS

* * * * *

1.4 Palletization

[Amend 1.4 by removing all

references to bundles to read as

follows:]

Packages on pallets must be able to

withstand normal transit and handling

without breakage or incurring injury to

USPS employees. Heavy-gauge

shrinkwrap over plastic banding,

shrinkwrap alone, or banding material

alone is acceptable if the package can

stay together during normal processing.

Except for packages of individually

polywrapped pieces, packages on BMC

pallets must be shrinkwrapped and

machinable on BMC parcel sorters.

Packages of individually polywrapped

pieces may be secured with banding

material only. Machinability is

determined by the USPS. If used,

banding material must be applied at

least once around the length and once

around the girth; wire and metal

strapping are prohibited.

[Redesignate 1.5 and 1.6 as 1.6 and

1.7 and add new 1.5 to read as follows:]

1.5 Package Size—Bound Printed

Matter

Each ‘‘logical’’ package (the total

group of pieces for a package

destination) of Bound Printed Matter

must meet the applicable minimum

package size prescribed in M045 or

M722. The pieces in the ‘‘logical’’

package must then be secured in a

physical package or packages. Wherever

possible, each physical package for a

logical package destination should

contain at least the minimum package

size. The size of each physical package

for a specific logical package destination

may, however, contain the exact

package minimum, more pieces than the

package minimum, or fewer pieces than

the package minimum depending on the

size of the pieces in the mailing or the

total quantity of the pieces to that

destination. However, except for mixed

ADC packages and for carrier route

packages prepared in sacks, each

physical package of Bound Printed

Matter must contain at least two pieces.

For Carrier Route rate mail prepared in

sacks, the ‘‘last physical package’’ to an

individual carrier route destination may

consist of a single addressed piece,

provided that all other packages to that

carrier route destination contain at least

two addressed pieces, and that the total

group of pieces to that carrier route (the

‘‘logical’’ package) meets the Carrier

Route rate eligibility minimum in E712.

Packages prepared on pallets must meet

the additional packaging requirements

under M045 and each physical package,

including carrier route rate mail, must

always contain at least two pieces.

[Amend the heading and the

introductory phrase of redesignated 1.6

to read as follows:]

1.6 Package Size—Other Mail Classes

Except for Bound Printed Matter, an

individual physical package may be

prepared with fewer than the minimum

number of pieces required by the

standards for the rate claimed, without

loss of rate eligibility under either of

these conditions:

* * * * *

[Amend heading of 2.0 by replacing

‘‘Standard Mail (A)’’ with ‘‘Standard

Mail’’ to read as follows:]

2.0 ADDITIONAL STANDARDS—

FIRST-CLASS MAIL, PERIODICALS,

STANDARD MAIL, AND FLAT-SIZE

BOUND PRINTED MATTER FLATS

2.1 Cards and Letter-Size Pieces

[Amend 2.1c and 2.1d by changing

‘‘Standard Mail (A)’’ to ‘‘Standard

Mail.’’]

* * * * *

[Amend 2.2 by revising the second

sentence to read as follows:]

2.2 Flat-Size Pieces

* * * Flat-size pieces must be

prepared in packages except under 1.7

and, for First-Class Mail, under

M820.3.0.

* * * * *

[Amend the heading of 3.0 by adding

‘‘All,’’ and amend the opening text to

read as follows:]

3.0 FACING SLIPS—ALL CARRIER

ROUTE MAIL

All facing slips used on carrier route

packages must show this information:

* * * * *

M030 Containers

M031 Labels

* * * * *

2.0 ADDITIONAL STANDARDS—

SACK LABELS

2.1 Specifications

[Amend 2.1a to reflect changes in

mail class names to read as follows:]

A sack label must meet these

specifications:

a. Color: white or manila for Priority

Mail, First-Class Mail, Standard Mail,

and Package Services mail; pink for

Periodicals.

* * * * *

3.0 ADDITIONAL STANDARDS—

TRAY LABELS PLACEMENT

* * * * *

78592 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

3.2 SPECIFICATIONS

[Amend 3.2a to change ‘‘Standard

Mail (A)’’ to ‘‘Standard Mail’’ to read as

follows:]

A tray label must meet these

specifications:

a. Color: White or manila for FirstClass Mail and Standard Mail; pink for

Periodicals.

* * * * *

4.0 PALLET LABELS

* * * * *

4.2 Specifications

[Amend 4.2 to reflect changes in mail

class names to read as follows:]

Pallet labels must be pink for

Periodicals mail or white for Standard

Mail and Package Services mail. Pallet

labels must measure at least 8 inches by

11 inches.

* * * * *

[Amend the last sentence of 4.7 (as it

appeared in the final rule published in

65 FR 50054 (August 16, 2000)) to add

the word ‘‘irregular parcel’’ in front of

‘‘Bound Printed Matter,’’ and to change

‘‘processing category’’ to ‘‘5D pallet

level’’ to read as follows:]

4.7 5-Digit, 5-Digit Carrier Routes, and

5-Digit Scheme Carrier Routes Pallets

All 5-digit carrier routes or 5-digit

scheme carrier routes pallets must show

the words ‘‘CARRIER ROUTES’’ (or

‘‘CR-RTS’’) after the processing category

description on the content line under

M045, M920, M930, and M940. 5-digit

pallets of Bound Printed Matter

irregular parcels that contain only

carrier route rate mail also must show

the words ‘‘CARRIER ROUTES’’ (or

‘‘CR-RTS’’) after the ‘‘5D’’ pallet level

description on the contents line under

M045.

[Amend the heading of 4.8 to read as

follows:]

4.8 Automation/Nonautomation Status

[Amend 4.8 (as it appeared in Postal

Bulletin 22036, 11–2–00) by changing

‘‘Standard Mail (A)’’ to ‘‘Standard Mail’’

to read as follows:]

All Periodicals and Standard Mail 5-

digit, 5-digit scheme, 3-digit, SCF, ADC,

ASF, and BMC pallets must show

‘‘BARCODED’’ or ‘‘BC’’ on the contents

line if the pallet contains automation

rate mail as provided in M045, M920,

M930, and M940. Except for machinable

parcels, all Periodicals and Standard

Mail 5-digit and 5-digit scheme pallets

must show ‘‘NONBARCODED’’ or

‘‘NBC’’ on the contents line if the pallet

contains Presorted rate mail under

M045, M920, M930, and M940. Except

for machinable parcels, all Periodicals

and Standard Mail 3-digit, SCF, ADC,

ASF, BMC, Mixed ADC, and Mixed

BMC pallets must show

‘‘NONBARCODED’’ or ‘‘NBC’’ on the

contents line if the pallet contains

Presorted rate and/or carrier route mail

under M045, M920, M930, and M940. If

a pallet contains copalletized

automation rate and Presorted rate mail,

or, for 3-digit, SCF, ADC, ASF, BMC,

Mixed ADC, or Mixed BMC pallets,

contains copalletized automation rate,

Presorted rate, and carrier route mail,

the separate ‘‘BARCODED’’ and

‘‘NONBARCODED’’ designations may be

abbreviated ‘‘BC/NBC.’’ (Note: if one of

these pallets contains carrier route rate

mail, but not Presorted rate mail,

‘‘NONBARCODED’’ or ‘‘NBC’’ is not

required until July 15, 2001.)

[The following section was revised as

M031.4.10 in the final rule published in

65 FR 50054 (August 16, 2000).

Subsequent revisions to the DMM have

redesignated this section as 4.9.]

4.9 Extraneous Information

Extraneous information is permitted

no pallet labels if:

* * * * *

[Amend 4.9c to reflect changes in

mail class names to read as follows:]

c. It does not appear on or between

the lines reserved for USPS required

information (blank lines are permitted).

Exception: For combined mailings of

Standard Mail and Package Services

machinable parcels, mailer codes and

extraneous information may appear

between the content line and the post

office of mailing line.

* * * * *

[The following section was added as

M031.4.13 in the final rule published in

65 FR 50054 (August 16, 2000).

Subsequent revisions to the DMM have

redesignated this section as 4.12.

Amend the title of 4.12 to delete the

phrase ‘‘or Bundle’’ to read as follows:]

4.12 Pallet Package Information

* * * * *

5.0 SECOND LINE CODES

[Amend the chart in 5.0 to change

‘‘Standard Mail (A)’’ to ‘‘Standard

Mail,’’ add ‘‘First-Class Mail’’ and code

‘‘FCM,’’ and add ‘‘Package Services’’

and code ‘‘PSVC’’ to read as follows:]

The codes shown below must be used

as appropriate on Line 2 of sack, tray,

and pallet labels.

Content type Code

Barcoded .................................................................................................. BC

Barcoded and Nonbarcoded .................................................................... BC/NBC

Carrier Route ............................................................................................ C (type of route)

Carrier Routes .......................................................................................... CR–RTS (5-digit sack and pallet designation)

Digit ........................................................................................................... D

First-Class Mail ......................................................................................... FCM

Flats .......................................................................................................... FLTS

General Delivery Unit ............................................................................... G

Highway Contract Route .......................................................................... H

Irregular Parcels ....................................................................................... IRREG (Periodicals, Standard Mail, and Package Services only)

Letters ....................................................................................................... LTRS

Machinable Parcels .................................................................................. MACH (Standard Mail and Package Services only)

Mixed ........................................................................................................ MXD

Mixed Machinable and Irregular Parcels .................................................. MACH & IRREG (Standard Mail only)

Nonbarcoded ............................................................................................ NON BC (sacks)

NBC (pallets, and co-trayed or co-sacked mail under M910)

Package Services ..................................................................................... PSVC

Parcels ...................................................................................................... PARCELS (First-Class Mail and Package Services only)

Periodicals ................................................................................................ PER (see 1.7) NEWS (see 1.7)

Post Office Box Section ........................................................................... B

Rural Route .............................................................................................. R

Scheme ..................................................................................................... SCH (Periodicals, Standard Mail, and (flats only) Bound Printed Matter

5-digit scheme carrier routes sacks and 5-digit scheme pallets only)

Standard Mail ........................................................................................... STD

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78593

Content type Code

Working ..................................................................................................... WKG

M032 Barcoded Labels

1.0 BASIC STANDARDS—TRAY AND

SACK LABELS

1.1 Use

[Amend 1.1 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

* * * * *

[Amend Exhibit 1.3a, 3-Digit Content

Identifier Numbers, by replacing

headings ‘‘STANDARD MAIL (A)’’ with

‘‘STANDARD MAIL,’’ ‘‘STANDARD

MAIL (B)’’ with ‘‘PACKAGE SERVICES

MAIL,’’ ‘‘Special Standard Mail’’ with

‘‘Media Mail,’’ and making other

changes in content line information to

read as follows:]

Class and mailing CIN Human-readable content line

*******

STANDARD MAIL

*******

Enhanced Carrier Route Irregular Parcels—Nonautomation:

car. rt. sacks—saturation .................................................................................................................. 599 STD IRREG WSS1

car. rt. sacks—high density ............................................................................................................... 600 STD IRREG WSH1

car. rt. sacks—basic .......................................................................................................................... 601 STD IRREG LOT1

5-digit carrier routes sacks ................................................................................................................ 598 STD IRREG CR–RTS

STD Irregular Parcels—Presorted:

5-digit sacks ...................................................................................................................................... 590 STD IRREG 5D

3-digit sacks ...................................................................................................................................... 591 STD IRREG 3D

ADC sacks ......................................................................................................................................... 592 STD IRREG ADC

mixed ADC sacks .............................................................................................................................. 594 STD IRREG WKG

STD Machinable Parcels—Presorted:

5-digit sacks ...................................................................................................................................... 670 STD MACH 5D

ASF sacks ......................................................................................................................................... 672 STD MACH ASF

BMC sacks ........................................................................................................................................ 673 STD MACH BMC

mixed BMC sacks ............................................................................................................................. 674 STD MACH WKG

STD Machinable and Irregular Parcels—Presorted:

5-digit sacks ...................................................................................................................................... 603 STD MACH & IRREG 5D

PACKAGE SERVICES MAIL

Carrier Route Bound Printed Matter—Flats:

carrier route sacks ............................................................................................................................. 657 PSVC FLTS CR1

5-digit scheme carrier routes sacks .................................................................................................. 659 PSVC FLTS CR–RTS SCH

5-digit carrier routes sacks ................................................................................................................ 658 PSVC FLTS CR–RTS

Presorted Bound Printed Matter—Flats:

5-digit sacks ...................................................................................................................................... 649 PSVC FLTS 5D NON BC

3-digit sacks ...................................................................................................................................... 650 PSVC FLTS 3D NON BC

SCF sacks ......................................................................................................................................... 654 PSVC FLTS SCF NON BC

ADC sacks ......................................................................................................................................... 651 PSVC FLTS ADC NON BC

mixed ADC sacks .............................................................................................................................. 653 PSVC FLTS NON BC WKG

Carrier Route Bound Printed Matter—Irregular Parcels:

carrier route sacks ............................................................................................................................. 697 PSVC IRREG CR1

5-digit carrier routes sacks ................................................................................................................ 698 PSVC IRREG CR–RTS

Presorted Bound Printed Matter—Irregular Parcels:

5-digit sacks ...................................................................................................................................... 690 PSVC IRREG 5D

3-digit sacks ...................................................................................................................................... 691 PSVC IRREG 3D

SCF sacks ......................................................................................................................................... 696 PSVC IRREG SCF

ADC sacks ......................................................................................................................................... 692 PSVC IRREG ADC

mixed ADC sacks .............................................................................................................................. 694 PSVC IRREG WKG

Carrier Route Bound Printed Matter—Machinable Parcels:

carrier route sacks ............................................................................................................................. 687 PSVC MACH CR1

Presorted Bound Printed Matter—Machinable Parcels:

5-digit sacks ...................................................................................................................................... 680 PSVC MACH 5D

ASF sacks ......................................................................................................................................... 682 PSVC MACH ASF

BMC sacks ........................................................................................................................................ 683 PSVC MACH BMC

mixed BMC sacks ............................................................................................................................. 684 PSVC MACH WKG

Presorted Media Mail and Presorted Library Mail Flats—5-Digit and BMC:

5-digit sacks ...................................................................................................................................... 649 PSVC FLTS 5D NON BC

BMC sacks ........................................................................................................................................ 652 PSVC FLTS BMC NON BC

78594 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Class and mailing CIN Human-readable content line

Presorted Media Mail and Presorted Library Mail Irregular Parcels—5-Digit and BMC:

5-digit sacks ...................................................................................................................................... 690 PSVC IRREG 5D

BMC sacks ........................................................................................................................................ 693 PSVC IRREG BMC

Presorted Media Mail and Presorted Library Mail Machinable Parcels—5-Digit and BMC:

5-digit sacks ...................................................................................................................................... 680 PSVC MACH 5D

BMC sacks ........................................................................................................................................ 683 PSVC MACH BMC

Parcel Post Machinable Parcels:

5-digit sacks ...................................................................................................................................... 680 PSVC MACH 5D

ASF sacks ......................................................................................................................................... 682 PSVC MACH ASF

BMC sacks ........................................................................................................................................ 683 PSVC MACH BMC

mixed BMC sacks ............................................................................................................................. 684 PSVC MACH WKG

Parcel Post DSCF and DDU Rates:

5-digit sacks ...................................................................................................................................... 688 PSVC PARCELS 5D

Combined PSVC Parcels:

5-digit sacks ...................................................................................................................................... 688 PSVC PARCELS 5D

Combined STD & PSVC Machinable Parcels:

5-digit sacks ...................................................................................................................................... 660 STD/PSVC MACH 5D

ASF sacks ......................................................................................................................................... 662 STD/PSVC MACH ASF

BMC sacks ........................................................................................................................................ 663 STD/PSVC MACH BMC

mixed BMC sacks ............................................................................................................................. 664 STD/PSVC MACH WKG

* * * * *

2.0 ADDITIONAL STANDARDS—

BARCODED TRAY LABELS

2.1 Paper Stock, Size, and Color

[Amend 2.1a to replace the class name

‘‘Standard Mail (A)’’ with ‘‘Standard

Mail’’; no other changes to text.]

* * * * *

3.0 ADDITIONAL STANDARDS—

BARCODED SACK LABELS

[Amend 3.1a by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Services’’; no other changes to text.]

* * * * *

M033 Sacks and Trays

1.0 BASIC STANDARDS

* * * * *

1.2 Equipment

[Amend 1.2a and 1.2f by replacing

‘‘Standard Mail (A)’’ with ‘‘Standard

Mail’’ and amend 1.2a by adding a

second sentence to read as follows:]

a. First-Class Mail flat-size pieces

must be prepared in USPS flat trays

with lids. The lids to these flat trays

must be placed green side up.

[Amend the heading of 2.0 by

replacing ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’’ to read as follows:]

2.0 FIRST-CLASS MAIL,

PERIODICALS, AND STANDARD MAIL

* * * * *

2.2 Flat Tray Preparation (First-Class

Mail Only)

[Amend 2.2 by adding new f through

h to read as follows:]

All flat tray preparation is subject to

these standards:

* * * * *

f. For automation rate mailings

prepared under the optional tray-based

preparation rules in M820, one lessthan-full overflow tray may be prepared

for a presort destination when the total

number of pieces for that destination

meets the minimum for preparation of

the tray level under M820, and when

one or more full trays for that

destination are also prepared.

g. For automation rate mailings

prepared under the optional tray-based

preparation rules in M820, if the total

number of pieces for a presort

destination meets or exceeds the

minimum number of pieces required to

prepare a tray for that destination, but

the total volume does not physically fill

a single tray, then the mail for that

presort destination may be prepared in

a less-than-full tray.

h. Pieces prepared as automation flats

under the tray-based preparation option

in M820 do not have to be grouped by

3-digit ZIP Code prefix in ADC trays or

by ADC in mixed ADC trays if the

mailing is prepared using an MLOCR/

barcode sorter and standardized

documentation is submitted.

* * * * *

M040 Pallets

M041 General Standards

* * * * *

[M041.5.0 and 6.0 were amended in

the amended final rule published in 65

FR 48385 (August 8, 2000) and in the

final rule published in 65 FR 50054

(August 16, 2000). The language in this

final rule reflects those amendments.]

5.0 PREPARATION

5.1 Presort

[Amend 5.1 to change the class name

from ‘‘Standard Mail (A)’’ to ‘‘Standard

Mail’’ and to delete the phrase ‘‘and

bundles’’ to read as follows:]

Pallet preparation and pallet sortation

are subject to the specific standards in

M045, M920, M930, and M940. Pallet

sortation is generally intended to presort

the palletized portion of a mailing to at

least the finest extent required for the

corresponding class of mail and method

of preparation. Pallet sortation is

sequential from the lowest (finest) level

to the highest and must be completed at

each required level before the next

optional or required level is prepared.

Standard preparation terms for pallets

are defined in M011, standard presort

levels are defined in M045, and

advanced presort levels are defined in

M920, M930, and M940. For sacks,

trays, or machinable parcels on pallets,

the mailer must prepare all required

pallet levels before any mixed ADC or

mixed BMC pallets are prepared for a

mailing or job. Packages prepared under

M045 or M920, M930, or M940 must not

be placed on mixed ADC or mixed BMC

pallets. Packages that cannot be placed

on pallets must be prepared in sacks

under the standards for the rate claimed.

The standards for package reallocation

to protect the SCF or BMC pallet

(M045.5.0 and 6.0) are optional methods

of pallet preparation designed to retain

as much mail as possible at the SCF or

BMC level. These standards may result

in some packages of Periodical flats and

irregular parcels and Standard Mail (A)

flats that are part of a mailing job

prepared in part as palletized flats at

automation rates not being placed on

the finest level of pallet possible.

Mailers must use PAVE-certified presort

software to prepare mailings using

package reallocation (package

reallocation is optional, but if

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78595

performed, it must be done for the

complete mailing job).

5.2 Required Preparation

[Amend 5.2 to change the class name

from ‘‘Standard Mail (A)’’ to ‘‘Standard

Mail’’ to read as follows:]

These standards apply to:

a. Periodicals, Standard Mail, and

Package Services (except for Parcel Post

BMC Presort and OBMC Presort, and

except for Parcel Select DSCF and DDU

rate mail). A pallet must be prepared to

a required sortation level when there are

500 pounds of Periodicals, Standard

Mail, or Package Services mail in

packages or sacks, or 500 pounds of

parcels, or six layers of Periodicals or

Standard Mail letter trays. For packages

of Periodicals flats and irregular parcels

on pallets that are prepared under the

standards for package reallocation to

protect the SCF pallet (M045.5.0), not

all mail for a required 5-digit scheme

carrier routes, 5-digit scheme, 5-digit

carrier routes, or 5-digit pallet or for an

optional merged 5-digit scheme,

optional merged 5-digit, or optional 3-

digit pallet is required to be on that

corresponding pallet level. For packages

of Standard Mail flats on pallets that are

prepared under the standards for

package reallocation to protect the SCF

pallet (M045.5.0), not all mail for a

required 5-digit carrier routes or 5-digit

pallet or for an optional 5-digit scheme

carrier routes, merged 5-digit scheme, 5-

digit scheme, merged 5-digit pallet, or 3-

digit pallet is required to be on that

corresponding pallet level. For packages

of Standard Mail flats on pallets

prepared under the standards for

package reallocation to protect the BMC

pallet (M045.6.0), not all mail for a

required ASF pallet is required to be on

an ASF pallet. Mixed ADC or mixed

BMC pallets of sacks, trays, or

machinable parcels, as appropriate,

must be labeled to the BMC or ADC (as

appropriate) serving the post office

where mailings are entered into the

mailstream. The processing and

distribution manager of that facility may

issue a written authorization to the

mailer to label mixed BMC or mixed

ADC pallets to the post office or

processing and distribution center

serving the post office where mailings

are entered. These pallets contain all

mail remaining after required and

optional pallets are prepared to finer

sortation levels under M045, as

appropriate.

b. Parcel Post mailed at BMC Presort,

OBMC Presort, DSCF, and DDU rates.

Pallets must meet the requirements

specifically prescribed for these rates in

M045.

5.3 Minimum Load

[Amend 5.3a by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’ and by

changing ‘‘M630’’ to ‘‘M710’’; no other

changes to text.]

* * * * *

5.6 Mail on Pallets

[Amend 5.6 (as it appeared in the

final rule published in 65 FR 50054

(August 16, 2000)) to provide for

separation of flat-size Bound Printed

Matter Carrier Route mail from

Presorted mail on 5-digit level pallets, to

change ‘‘Standard Mail (A)’’ to

‘‘Standard Mail,’’ to remove references

to ‘‘bundles,’’ and to clarify and

reorganize to read as follows:]

These standards apply to mail on

pallets:

a. Pieces in trays, packages, and sacks

must be prepared under the standards

for the class of mail and rate claimed.

b. When two or more Periodicals

mailings, two or more Standard Mail

mailings, or two or more Bound Printed

Matter mailings are placed together on

pallets, the mailer must keep records for

each mailing as required by the

standards for the class of mail.

c. For letter-size Standard Mail and

Periodicals prepared in trays on pallets,

carrier route rate mail (including

automation carrier route) must be

prepared on separate 5-digit pallets (5-

digit carrier routes pallets) from noncarrier route automation rate or

Presorted rate mail (5-digit pallets).

d. Heavier, fuller trays must be placed

at the bottom of the load.

e. For Bound Printed Matter irregular

parcels, Presorted and Carrier Route rate

mail may be combined on all levels of

pallet. For Bound Printed Matter flats,

Presorted and Carrier Route rate mail

may be combined on all levels of pallet

except as provided in f and g.

f. For sacks of nonletter-size

Periodicals mail on pallets (except for

mail prepared with detached address

labels), for sacks of nonletter-size

Standard Mail on pallets (except for

mail prepared with detached address

labels and machinable parcels), and for

sacks of flat-size Bound Printed Matter,

carrier route rate mail must be prepared

on separate 5-digit pallets (5-digit

carrier routes pallets) from automation

rate or Presorted rate mail (5-digit

pallets).

g. For packages on pallets of

nonletter-size Periodicals, nonletter-size

Standard Mail, and flat-size Bound

Printed matter, carrier route rate mail

must be prepared on separate 5-digit

pallets (5-digit carrier routes or 5-digit

scheme carrier routes pallets) from

automation rate or Presorted rate mail

(5-digit pallets or 5-digit scheme

pallets). Exception: When nonletter-size

Periodicals and flat-size Standard Mail

is prepared under h, carrier route rate

mail, automation rate mail, and

Presorted rate mail may be copalletized

on the same merged 5-digit pallet or on

the same merged 5-digit scheme pallet

for applicable 5-digit ZIP Codes.

h. Mailers of nonletter-size

Periodicals and flat-size Standard Mail

that prepare packages on pallets may

copalletize carrier route rate mail,

automation rate mail, and Presorted rate

mail on the same merged 5-digit pallet

or on the same merged 5-digit scheme

pallet under the conditions in M920,

M930, or M940.

* * * * *

6.0 COPALLETIZED, COMBINED, OR

MIXED-RATE LEVEL MAILINGS OF

FLAT-SIZE PIECES

* * * * *

[Amend the heading and contents of

6.4 to change the class name from

‘‘Standard Mail (A)’’ to ‘‘Standard

Mail.’’]

* * * * *

M045 Palletized Mailings

1.0 BASIC USES

[Amend 1.0f by replacing ‘‘Standard

Mail (A) and (B)’’ with ‘‘Standard Mail

and Package Services’’ and 1.0i by

replacing ‘‘Standard Mail’’ with

‘‘Package Services’’ and by replacing

‘‘M630’’ with ‘‘M700’’; no other changes

to text.]

[Amend the heading of 2.0 to add

‘‘ON PALLETS’’ to read as follows:]

2.0 PACKAGES ON PALLETS

[Revise 2.1 to read as follows:]

2.1 Applicability

Only packages of flats and packages of

irregular parcels of Periodicals,

Standard Mail, and Bound Printed

Matter may be prepared in packages

placed directly on pallets under the

provisions of 2.2 through 2.5 and 3.0.

Mail that cannot be placed on pallets

under 2.0 and 3.0 must be prepared in

sacks under the applicable provisions of

M200, M600, and M700. Sacks

containing packages for mixed ADC

destinations, or containing packages

remaining after all pallets are prepared,

may be presented with the palletized

portion of the mailing job (and, subject

to 8.5, reported on the same postage

statement) if the sacks are set apart from

the palletized portion of the mailing job.

[Redesignate current 2.2 through 2.4

as 2.3 through 2.5, respectively. Delete

current 2.5 and 2.6. Insert new 2.2 to

read as follows:]

78596 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

2.2 Basic Packaging Standards

Package preparation for Periodicals,

Standard Mail, and Bound Printed

Matter must meet the general standards

in M010 and M020 and the applicable

packaging provisions of M200, M610,

M620, M720, and M820, except as noted

in 2.3 through 2.5. Packages must be

sorted to pallets under 3.0. The

palletized portion of a mailing may not

include packages sorted to mixed ADCs

or foreign destinations.

[Amend the heading of redesignated

2.3 by deleting ‘‘Size’’; to read as

follows:]

2.3 Periodicals

* * * * *

[Amend the heading of redesignated

2.4 by deleting ‘‘Size’’ and replacing

‘‘Standard Mail (A)’’ with ‘‘Standard

Mail’’ to read as follows:]

2.4 Standard Mail

* * * * *

[Revise the heading and contents of

redesignated 2.5 to read as follows:]

2.5 Bound Printed Matter

Bound Printed Matter on pallets must

be packaged as follows:

a. Presorted Bound Printed Matter:

(1) Only individual pieces of flats or

irregular parcels that weigh less than 10

pounds may be prepared as packages on

pallets. Pieces that individually weigh

10 or more pounds must be prepared

and palletized as machinable parcels

under 3.5 or prepared in sacks under

M722.

(2) Packages must be prepared to the

package destinations in M722. The

minimum package size is 10 addressed

pieces or 10 pounds, whichever occurs

first, except that the last package to a

presort destination may contain fewer

than 10 pieces or weigh less than 10

pounds. See 2.5c for a definition of the

‘‘whichever comes first’’ packaging

requirement. When there are at least 10

pieces but fewer than 10 pounds for a

presort destination, the pieces must be

prepared in a single physical package.

The maximum physical package size is

20 pounds, except that 5-digit packages

that will be placed on a 5-digit scheme

(flats only) or 5-digit pallet may weigh

up to 40 pounds. The total number of

physical packages for a single presort

destination must not exceed the number

of 10-pound increments to that

destination. Each physical package must

contain at least 2 addressed pieces. Each

physical package must be labeled using

optional endorsement lines or pressure

sensitive labels under M722.

b. Carrier Route Bound Printed

Matter:

(1) Only individual pieces of flats or

irregular parcels that weigh less than 10

pounds may be prepared as packages on

pallets. Pieces that individually weigh

10 or more pounds must either be

prepared and palletized as machinable

parcels under 3.5 and pay the Presorted

rates, or be prepared in sacks to qualify

for the Carrier Route rates under M723.

(2) The minimum package size is 10

addressed pieces or 10 pounds to a

carrier route, whichever occurs first,

except that the last package to a carrier

route destination may contain fewer

than 10 pieces or weigh less than 10

pounds. See 2.5c for a definition of the

‘‘whichever comes first’’ packaging

requirement. When there are at least 10

pieces but fewer than 10 pounds for a

presort destination, the pieces must be

prepared in a single physical package.

The maximum physical package size is

20 pounds, except that carrier route

packages of flats that will be placed on

a 5-digit scheme carrier routes or 5-digit

carrier routes pallet and carrier route

packages of irregular parcels that will be

placed on a 5-digit pallet may weigh up

to 40 pounds. The total number of

physical packages for a single carrier

route destination must not exceed the

number of 10-pound increments to that

destination. Each physical package must

contain at least 2 addressed pieces. Each

physical package must be labeled to the

carrier route with facing slips under

M723, optional endorsement lines

under M013, or carrier route

information lines under M014.

c. Minimum Package Size. Package

mail under the minimum package size

of ‘‘10 pieces or 10 pounds, whichever

comes first’’ according to these

standards:

(1) For identical-weight pieces, a

single-piece weight of one pound results

in 10 pieces weighing 10 pounds.

Identical-weight pieces weighing one

pound or less must be prepared using

the 10-piece minimum; those that weigh

more must be prepared using the 10

pound minimum.

(2) For nonidentical-weight pieces,

mailers must either use the minimum

that applies to the average piece weight

for the entire mailing (divide the net

weight of the mailing by the number of

pieces; the resulting average singlepiece weight determines whether the

10-piece or 10-pound minimum

applies). Alternatively, package by the

actual piece count or mail weight for

each package destination, provided

documentation can be provided with

the mailing that shows (specifically for

each package) the number of pieces and

their total weight.

(3) Mailers must note on the

accompanying postage statement

whether they applied the 10-piece or 10-

pound threshold, or both.

[Remove 3.0; redesignate 4.0 through

15.0 as 3.0 through 14.0, respectively.]

3.0 PALLET PRESORT AND

LABELING

[The following section, Pallet Presort

and Labeling, was originally revised as

M045.4.0 in the final rule published in

65 FR 50054 (August 16, 2000). The

revisions below are revisions to the

language in that final rule.]

* * * * *

[Delete redesignated 3.3 pertaining to

Bound Printed Matter (revised in the

final rule published in 65 FR 50054

(August 16, 2000)). Redesignate 3.4 and

3.5 as 3.5 through 3.6. Add new 3.3 and

3.4 to read as follows:]

3.3 Bound Printed Matter Flats—

Packages and Sacks on Pallets

Mailers must prepare pallets in the

sequence listed below. Mailers who do

not perform scheme sortation under 3.3a

and 3.3b using L001 must begin

preparing pallets under 3.3c. Pallets

must be labeled according to the Line 1

and Line 2 information listed below and

under M031.

a. 5-Digit Scheme Carrier Routes.

Optional. Permitted only for flat-size

packages on pallets. May contain only

Carrier Route rate packages for the same

5-digit scheme under L001. If scheme

sort is performed, it must be done for all

5-digit scheme destinations. For all 5-

digit destinations that are not part of a

scheme, prepare 5-digit carrier routes

pallets under 3.3c.

(1) Line 1: use L001, Column B.

(2) Line 2: ‘‘PSVC FLTS,’’ followed by

‘‘CARRIER ROUTES’’ or ‘‘CR–RTS’’ and

‘‘SCHEME’’ or ‘‘SCH.’’

b. 5-Digit Scheme. Optional.

Permitted only for flat-size packages on

pallets. May contain only Presorted rate

packages for the same 5-digit scheme

under L001. If scheme sort is performed,

it must be done for all 5-digit scheme

destinations. For all 5-digit destinations

that are not part of a scheme, prepare 5-

digit pallets under 3.3d.

(1) Line 1: use L001, Column B.

(2) Line 2: ‘‘PSVC FLTS 5D’’ followed

by ‘‘SCHEME’’ or ‘‘SCH.’’

c. 5-Digit Carrier Routes. Required for

sacks and packages (except for packages

prepared to 5-digit carrier route scheme

pallets under 3.3a). May contain only

Carrier Route rate mail for the same 5-

digit ZIP Code.

(1) Line 1: use city, state abbreviation,

and 5-digit ZIP Code destination (see

M031 for military mail).

(2) Line 2: ‘‘PSVC FLTS’’ followed by

‘‘CARRIER ROUTES’’ or ‘‘CR–RTS.’’

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78597

d. 5-Digit. Required for sacks and

packages (except for packages prepared

to 5-digit scheme pallets under 3.3b).

May contain only Presorted rate mail for

the same 5-digit ZIP Code.

(1) Line 1: use city, state abbreviation,

and 5-digit ZIP Code destination (see

M031 for military mail).

(2) Line 2: ‘‘PSVC FLTS 5D.’’

e. 3-digit: Optional. May contain

Carrier Route and/or Presorted rate mail.

(1) Line 1: use L002, Column A.

(2) Line 2: ‘‘PSVC FLTS 3D.’’

f. SCF. Required. May contain Carrier

Route and/or Presorted rate mail.

(1) Line 1: use L002, Column C.

(2) Line 2: ‘‘PSVC FLTS SCF.’’

g. ASF. Required. May contain Carrier

Route and/or Presorted rate mail. Sort

ADC packages or sacks to ASF pallets

based on the ‘‘label to’’ ZIP Code for the

ADC destination of the package or sack

in L004. See E752 for additional

requirements for DBMC rate eligibility.

(1) Line 1: use L602.

(2) Line 2: ‘‘PSVC FLTS ASF.’’

h. BMC. Required. May contain

Carrier Route and/or Presorted rate mail.

Sort ADC packages or sacks to BMC

pallets based on the label to ZIP Code

for the ADC destination of the package

or sack in L004. See E752 for additional

requirements for DBMC rate eligibility.

(1) Line 1: use L601.

(2) Line 2: ‘‘PSVC FLTS BMC.’’

i. Mixed BMC (for sacks on pallets

only). Optional. May contain Carrier

Route and/or Presorted rate mail.

(1) Line 1: ‘‘MXD,’’ followed by the

information in L601, Column B, for the

BMC serving the 3-digit ZIP Code prefix

of the entry post office (label to plant

serving entry post office if authorized by

the processing and distribution

manager).

(2) Line 2: ‘‘PSVC FLTS’’ followed by

‘‘WKG.’’

3.4 Bound Printed Matter Irregular

Parcels—Packages and Sacks on Pallets

Mailers must prepare pallets in the

sequence listed below. Pallets must be

labeled according to the Line 1 and Line

2 information listed below and under

M031.

a. 5-digit. Required. May contain

Carrier Route and/or Presorted rate mail.

(1) Line 1: use city, state abbreviation,

and 5-digit ZIP Code destination (see

M031 for military mail).

(2) Line 2: ‘‘PSVC IRREG 5D’’ and, if

the pallet contains only carrier route

mail, followed by ‘‘CARRIER ROUTES’’

or ‘‘CR-RTS’’.

b. 3-digit. Optional. May contain

Carrier Route and/or Presorted rate mail.

(1) Line 1: use L002, Column A.

(2) Line 2: ‘‘PSVC IRREG 3D.’’

c. SCF. Required. May contain Carrier

Route and/or Presorted rate mail.

(1) Line 1: use L002, Column C.

(2) Line 2: ‘‘PSVC IRREG SCF.’’

d. ASF. Required. May contain Carrier

Route rate and/or Presorted rate mail.

Sort ADC packages or sacks to ASF

pallets based on the ‘‘label to’’ ZIP Code

for the ADC destination of the package

or sack in L004.

(1) Line 1: use L602.

(2) Line 2: ‘‘PSVC IRREG ASF.’’

e. BMC. Required. May contain

Carrier Route and/or Presorted rate mail.

Sort ADC packages or sacks to BMC

pallets based on the ‘‘label to’’ ZIP Code

for the ADC destination of the package

or sack in L004.

(1) Line 1: use L601.

(2) Line 2: ‘‘PSVC IRREG BMC.’’

f. Mixed BMC (for sacks on pallets

only). Optional. May contain Carrier

Route and/or Presorted rate mail.

(1) Line 1: ‘‘MXD,’’ followed by the

information in L601, Column B, for the

BMC serving the 3-digit ZIP Code prefix

of the entry post office (label to plant

serving entry post office if authorized by

the processing and distribution

manager).

(2) Line 2: ‘‘PSVC IRREG’’ followed by

‘‘WKG.’’

3.5 Machinable Parcels—Standard

Mail, Bound Printed Matter, and Parcel

Post (Except BMC Presort, OBMC

Presort, and Parcel Select DDU and

DSCF)

Mailers must prepare pallets in the

sequence listed below. Mailers may

prepare Parcel Post other than BMC

Presort, OBMC Presort, and Parcel

Select DDU and DSCF on pallets under

this section as an option. If Parcel Post

is optionally sorted under this section,

it must meet all the requirements of this

section. Pallets must be labeled

according to the Line 1 and Line 2

information listed below and under

M031.

a. 5-digit. Required, except optional

for Standard Mail if 3/5 rates are not

claimed.

(1) Line 1: use city, state abbreviation,

and 5-digit ZIP Code destination (see

M031 for military mail).

(2) Line 2: ‘‘STD MACH 5D’’ or

‘‘PSVC MACH 5D,’’ as applicable.

b. If DBMC rates are not claimed:

BMC. Required.

(1) Line 1: use L601.

(2) Line 2: ‘‘STD MACH BMC’’ or

‘‘PSVC MACH BMC,’’ as applicable.

c. If DBMC rates are claimed: ASF/

BMC. Option 1: Mailers may opt to sort

mail to ASFs using L602 only when the

mail on the ASF pallet will be deposited

at the ASF to claim the DBMC rate.

After ASF pallets are prepared (mail

need not be sorted to all ASFs),

remaining mail must be sorted to BMCs

using L601. Mail on BMC pallets

deposited at the applicable BMC facility

will be eligible for DBMC rates only if

its 3-digit ZIP Code prefix is listed in

Exhibit E650.5.1 (Standard Mail) or

Exhibit E751.1.3 (Parcel Post and Bound

Printed Matter) for that entry BMC.

Option 2: Mailers may sort mail only to

BMCs using L601. Under option 2, only

mail for 3-digit ZIP Codes served by a

BMC listed in Exhibit E650.5.1 or

Exhibit E751.1.3 are eligible for DBMC

rates (i.e., mail for 3-digit ZIP Codes

served by an ASF in Exhibit E650.5.1 or

Exhibit E751.1.3 are not eligible for

DBMC rates, nor are 3-digit ZIP Codes

that do not appear on Exhibit E650.5.1

or Exhibit E751.1.3).

(1) Line 1: Option 1: use L602 for ASF

pallets; use L601 for BMC pallets.

Option 2: use L601.

(2) Line 2: ‘‘STD MACH’’ or ‘‘PSVC

MACH,’’ as applicable; followed by

‘‘ASF’’ or ‘‘BMC,’’ as applicable.

d. Mixed BMC. Optional.

(1) Line 1: ‘‘MXD,’’ followed by the

information in L601, Column B, for the

BMC serving the 3-digit ZIP Code prefix

of the entry post office (label to plant

serving entry post office if authorized by

the processing and distribution

manager).

(2) Line 2: ‘‘STD MACH’’ or ‘‘PSVC

MACH,’’ as applicable, followed by

‘‘WKG.’’

[Amend the title of 3.6 to read as

follows:]

3.6 Presorted Media Mail and Library

Mail

[Amend 3.6a(2) by changing ‘‘STD’’

and ‘‘STD B’’ to ‘‘PSVC.’’]

[Amend 3.6b by changing

‘‘Destination BMC’’ to ‘‘BMC’’ and by

changing ‘‘STD’’ and ‘‘STD B’’ to

‘‘PSVC.]

[Amend the heading of redesignated

4.0 by adding ‘‘To Protect SCF Pallet’’

and by replacing ‘‘Standard Mail (A)’’

with ‘‘Standard Mail’’ to read as

follows:]

4.0 PACKAGE REALLOCATION TO

PROTECT SCF PALLET FOR

PERIODICALS FLATS AND

IRREGULAR PARCELS AND

STANDARD MAIL FLATS ON

PALLETS

* * * * *

[The following section (M045.5.0) was

originally added as M045.6.0 in the

amended final rule published in 65 FR

48385 (August 8, 2000). The revisions

below are revisions to the language in

that final rule.]

[Amend the heading of redesignated

5.0 by replacing ‘‘Standard Mail (A)’’

with ‘‘Standard Mail’’ to read as

follows:]

78598 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

5.0 PACKAGE REALLOCATION TO

PROTECT BMC PALLET FOR

STANDARD MAIL FLATS ON

PALLETS

* * * * *

6.0 PALLETS OF PACKAGES, SACKS,

AND TRAYS

* * * * *

[Amend the heading of 6.2 to read as

follows:]

6.2 Standard Mail

[Amend 6.2 by replacing the class

name ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’’; no other changes to

text.]

* * * * *

6.4 Commingled Zones

[Amend 6.4 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services mail,’’

and by changing ‘‘M630’’ to ‘‘M710 or

M720’’ to read as follows:]

Pieces of Package Services mail for

different zones may be commingled

only under M710 or M720.

* * * * *

[Amend the heading of 8.0 by

replacing ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’’ to read as follows:]

8.0 PALLETS OF COPALLETIZED

PERIODICALS OR STANDARD MAIL

FLAT-SIZE PIECES

* * * * *

[Amend the heading of 8.3 by

replacing ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’’ to read as follows:]

8.3 Standard Mail

[Amend the first sentence of 8.3 to

read as follows:]

Additional standards apply to

Standard Mail: * * *

* * * * *

8.5 Postage Statement

[Amend 8.5b by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

* * * * *

9.0 PALLETS OF MACHINABLE

PARCELS

[Amend the heading of 9.1 to remove

the ‘‘(A)’’ to read as follows:]

9.1 Standard Mail

* * * * *

[Revise the heading of 9.2 to read as

follows:]

9.2 Package Services

[Amend 9.2 by changing ‘‘M630’’ to

‘‘M710 and M720.’’]

* * * * *

10.0 PARCEL POST—BULK MAIL

CENTER (BMC) PRESORT DISCOUNT

10.1 Machinable Parcels

[Amend 10.1c by replacing the label

class designation ‘‘STD B’’ with ‘‘PSVC’’

to read as follows:]

To qualify for the BMC Presort

discount:

* * * * *

c. Pallet box Line 2 labeling: ‘‘PSVC

MACH BMC.’’

10.2 Nonmachinable Parcels

[Amend 10.2c by replacing the label

class designation ‘‘STD B’’ with ‘‘PSVC’’

to read as follows:]

* * * * *

c. Pallet Line 2 labeling: ‘‘PSVC NON

MACH BMC’’ or ‘‘PSVC NON MACH

ASF,’’ as applicable.

11.0 PARCEL POST—ORIGIN BULK

MAIL CENTER (OBMC) PRESORT

DISCOUNT

11.1 Machinable Parcels

[Amend 11.1c by replacing the label

class designation ‘‘STD B’’ with ‘‘PSVC’’

to read as follows:]

To qualify for the OBMC Presort

discount:

* * * * *

c. Pallet box Line 2 labeling: ‘‘PSVC

MACH BMC.’’

11.2 Nonmachinable Parcels

[Amend 11.2c by replacing the label

class designation ‘‘STD B’’ with ‘‘PSVC’’

to read as follows:]

To qualify for the OBMC Presort

discount:

* * * * *

c. Pallet Line 2 labeling: ‘‘PSVC NON

MACH BMC’’ or ‘‘PSVC NON MACH

ASF,’’ as appropriate.

12.0 PARCEL POST DSCF RATES—

PARCELS ON PALLETS

12.1 Basic Preparation, Parcels on

Pallets

[Amend the first sentence of 12.1 by

changing ‘‘M630’’ to ‘‘M710.’’]

* * * * *

[Amend 12.1d(2) by replacing the

label class designation ‘‘STD B’’ with

‘‘PSVC’’ and adding ‘‘PARCELS’’ to read

as follows:]

* * * * *

(2) For Line 2, use: ‘‘PSVC PARCELS

5D.’’

* * * * *

[Amend 12.1e by replacing ‘‘M630’’

with ‘‘M710.’’]

12.2 Alternate Preparation, Parcels on

Pallets

[Amend 12.2a by replacing ‘‘M630’’

with ‘‘M710.’’]

* * * * *

[Amend 12.2c by replacing ‘‘M630’’

with ‘‘M710.’’]

[Amend 12.2d(2) by replacing the

label class designation ‘‘STD B’’ with

‘‘PSVC’’ and adding ‘‘PARCELS’’ to read

as follows:]

* * * * *

(2) For Line 2, use: ‘‘PSVC PARCELS

5D.’’

* * * * *

12.3 5-Digit ZIP Codes For Which

Pallets May Not Be Prepared

[Amend 12.3 by changing ‘‘Exhibits

E652.7.0 and E652.8.0’’ to ‘‘Exhibits

E751.7.0 and E751.8.0’’ and by changing

‘‘M630’’ to ‘‘M710.’’]

12.4 5-Digit ZIP Codes Requiring BMC

Entry

[Amend 12.4 by changing ‘‘E652.6.0’’

to ‘‘E751.6.0.’’]

13.0 PARCEL POST DSCF RATES—

SACKS ON PALLETS

[Amend 13.0 by changing ‘‘M630’’ to

‘‘M710.’’]

[Amend 13.0b by replacing the label

class designation ‘‘STD B’’ with ‘‘PSVC’’

to read as follows:]

* * * * *

b. Line 2: ‘‘PSVC PP 5D SACKS’’.

14.0 PARCEL POST DDU RATES

[Amend 14.0 by replacing ‘‘STD B’’

with ‘‘PSVC’’ and adding ‘‘PARCELS’’

in the fourth sentence to read as

follows:]

* * * If pieces are sacked or

palletized, they must be prepared to 5-

digits and labeled as follows: Line 1

labeling, use city, state, and 5-digit ZIP

Code destination; Line 2, use ‘‘PSVC

PARCELS 5D.’’ * * *

* * * * *

M050 Delivery Sequence

* * * * *

4.0 DOCUMENTATION

4.1 General

[Amend 4.1 by changing the class

name ‘‘Standard Mail (A)’’ to ‘‘Standard

Mail’’ in the fifth sentence; no other

changes to text.]

4.2 High Density

[Amend 4.2a by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

* * * * *

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78599

M070 Mixed Classes

M071 Basic Information

1.0 MARKINGS

[Amend 1.1 and 1. 2 by replacing

‘‘Standard Mail (A)’’ with ‘‘Standard

Mail’’; no other changes to text.]

* * * * *

[Amend 1.3 by replacing ‘‘Standard

Mail (A) Enclosed’’ with ‘‘Standard Mail

Enclosed’’ and ‘‘Standard Mail parcel’’

with ‘‘Standard Mail and Package

Services parcel’’; no other changes to

text.]

M072 Express Mail and Priority Mail

Drop Shipment

* * * * *

2.0 ADDITIONAL STANDARDS FOR

ENCLOSED MAIL

* * * * *

[Revise the heading and contents of

2.3 by changing ‘‘Standard Mail (A)’’ to

‘‘Standard Mail.’’]

[Revise the heading of 2.4 to ‘‘Package

Services’’ to read as follows:]

2.4 Package Services

[Amend 2.4 by changing ‘‘P710, P720,

or P730’’ to ‘‘P910, P920, or P930’’ and

by changing ‘‘E652’’ to ‘‘E751.’’]

* * * * *

[Amend the heading of M073 to

reflect the new class of mail names to

read as follows:]

M073 Combined Mailings of Standard

Mail and Package Services Parcels

1.0 COMBINED MACHINABLE

PARCELS—RATES OTHER THAN

PARCEL POST OBMC PRESORT, BMC

PRESORT, DSCF, AND DDU

[Amend 1.1 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’ and by

replacing ‘‘Standard Mail (B)’’ with

‘‘Package Services’’; no other changes to

text.]

[Amend 1.2 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail,’’ by

replacing ‘‘Standard Mail (B)’’ with

‘‘Package Services mail,’’ and by

replacing ‘‘Standard Mail’’ with

‘‘Standard Mail and Package Services’’;

no other changes to text.]

[Amend 1.4 and 1.5c by replacing

‘‘Standard Mail (A)’’ with ‘‘Standard

Mail’’ and by replacing ‘‘Standard Mail

(B)’’ with ‘‘Package Services’’; no other

changes to text.]

[Amend 1.6a by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail,’’ by

changing ‘‘10 pieces/20 pounds/1,000

cubic inches’’ to ‘‘10 pieces or 20

pounds,’’ and by changing ‘‘Exhibits

E651.5.1 and E652.1.3’’ to ‘‘Exhibits

E650.5.1 and E751.1.3.’’]

Amend 1.6b by replacing ‘‘STD A/B’’

with ‘‘STD/PSVC’’; no other changes to

text.]

2.0 COMBINED PARCELS—PARCEL

POST OBMC PRESORT, BMC

PRESORT, AND DSCF RATES

2.1 Qualification

[Amend 2.1a, b, and c by replacing

‘‘Standard Mail (A)’’ with ‘‘Standard

Mail’’ and by replacing ‘‘Standard Mail

(B)’’ with ‘‘Package Services’’; no other

changes to text.]

2.2 Authorization

[Amend 2.2 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’ and by

replacing ‘‘Standard Mail (B)’’ with

‘‘Package Services’’; no other changes to

text.]

2.3 Postage Payment

[Amend 2.3 by replacing ‘‘P710’’ with

‘‘P910.’’]

2.4 Preparation and Rates

[Amend 2.4 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’ and by

replacing ‘‘Standard Mail (B)’’ with

‘‘Package Services’’; no other changes to

text.]

2.5 Documentation

[Amend 2.5 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’ and by

replacing ‘‘Standard Mail (B)’’ with

‘‘Package Services’’; no other changes to

text.]

* * * * *

M074 Plant Load Mailings

* * * * *

3.0 INTERSERVICE AREA PLANTLOADED SHIPMENTS

* * * * *

[Revise heading of 3.4 to reflect the

new mail class names to read as

follows:]

3.4 Standard Mail and Package

Services

[Amend 3.4 by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Services’’; no other changes to text.]

* * * * *

[Amend 3.7c by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Services’’; no other changes to text.]

* * * * *

M100 First-Class Mail

(Nonautomation)

[Add new headings M110 and 1.0 to

read as follows:]

M110 Single-Piece First-Class Mail

1.0 PREPARATION

[Redesignate E130.2.3 as M110.1.0; no

changes to text.]

* * * * *

M600 Standard Mail

[Amend the heading of M610 by

removing ‘‘(A)’’ to read as follows:]

M610 Presorted Standard Mail

1.0 BASIC STANDARDS

* * * * *

[Amend the heading and contents of

1.3 by replacing ‘‘Standard Mail (A)’’

with ‘‘Standard Mail’’; no other changes

to text.]

* * * * *

4.0 FLAT-SIZE PIECES AND

IRREGULAR PARCELS

* * * * *

[Amend 4.6 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

* * * * *

[Amend 4.8 by replacing ‘‘STD A

IRREG’’ with ‘‘STD IRREG’’ and by

replacing ‘‘STD A MACH’’ with ‘‘STD

MACH,’’ no other changes to text.]

5.0 MACHINABLE PARCELS

* * * * *

[Amend 5.3 by replacing ‘‘STD A

MACH’’ with ‘‘STD MACH,’’ no other

changes to text.]

[Delete 6.0 pertaining to preparation

of bedloaded bundles of flats.]

M620 Enhanced Carrier Route

Standard Mail

1.0 BASIC STANDARDS

1.1 All Mailings

[Amend 1.1a by replacing ‘‘E620’’

with ‘‘E630.’’]

* * * * *

[Revise the heading of 1.4 to read as

follows:]

1.4 Exception

[Amend 1.4 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail.’’]

* * * * *

4.0 SACK PREPARATION—FLATSIZE PIECES AND IRREGULAR

PARCELS

* * * * *

[Amend 4.3 by replacing ‘‘STD A

IRREG’’ with ‘‘STD IRREG,’’ no other

changes to text.]

5.0 RESIDUAL PIECES

[Amend 5.0 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

78600 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

[Delete 6.0 pertaining to preparation

of bedloaded bundles of flats.]

[Add new section M700 to read as

follows:]

M700 Package Services

[Redesignate M630.1.0 as M710 to

read as follows:]

M710 Parcel Post

[Add new heading 1.0 to read as

follows:]

1.0 BASIC REQUIREMENTS

[Add 1.1 to read as follows:]

1.1 General

All mailings at Parcel Post rates are

subject to these general standards:

a. Each mailing must meet the

applicable standards in E710, E711,

E751, and M010 and M030.

b. All pieces that are palletized must

be prepared under M045.

c. There are no presort, sacking, or

labeling standards for single-piece rate

Parcel Post.

[Redesignate M630.1.1 as M710.1.2,

no changes to text.]

[Redesignate M630.1.2 as M710.1.3,

amend to show DSCF and DDU rate

mail need not be separated by zone, and

amend for numbering revisions to read

as follows:]

1.3 Separation

Except for mail entered at DSCF or

DDU rates (which are not zoned rates),

Parcel Post pieces must be separated by

zones when presented for acceptance

unless either the correct postage is

affixed to each piece or the mailing is

prepared under 1.4, or the mailing is

presented under a special postage

payment system under P910, P920, or

P930. If DSCF sacks prepared under 2.2

are included in the same mailing as

DSCF pallets prepared under

M045.12.1e, then at the time of

acceptance the mailer must separate the

sacks that are overflow from palletized

mail from those sacks that were

prepared under the provisions of 2.2.

[Redesignate M630.8.0 as M710.1.4;

amend to delete references to Bound

Printed Matter to read as follows:]

1.4 Commingled Zones

Zoned Parcel Post pieces need not be

separated by zones when presented for

verification, other than as individual

pieces or with full correct postage

affixed to each piece, subject to this

section. Nonidentical-weight pieces not

bearing the full correct postage may not

be commingled unless authorized by the

RCSC manager serving the office of

mailing. The mail must be prepared and

documented under either of the

following:

a. P910 or P930; or

b. All of these conditions:

(1) A unique number is assigned to

each sack/pallet in the mailing and

printed on a separate line at the top of

the sack/pallet label (above the Line 1

information).

(2) A detailed list accompanies each

mailing or mailing segment, sequenced

numerically by the numbers assigned to

sacks/pallets in the mailing, that shows

the post office where the mail is to be

entered (entry post office), a unique

identifier for the mailing or mailing

segment that also appears on the

corresponding postage statement(s), the

name and address of the mailer, the

permit number (if applicable), the date

of mailing, individual line entries for

each sack/pallet, and the total number

of pieces to each zone and in the entire

mailing or mailing segment. Line entries

for sacks/pallets containing mail for

only one zone must show the sack/

pallet number, the sortation level, the

zone for which the mail is destined, and

the total number of pieces for the sack/

pallet. Entries for sacks/pallets

containing mail for more than one zone

must also show (by zone) the number of

pieces to each 3-digit ZIP Code area and

the total number of pieces for that zone

for the sack/pallet. Mailings are not

accepted if there are discrepancies

between the information in the detailed

listing or on the postage statement and

the results of USPS random verification

of piece counts and postage.

* * * * *

[Redesignate M630.1.3 as M710.1.5,

and amend by changing references from

‘‘P710, P720, or P730’’ to ‘‘P910, P920,

or P930,’’ and clarifying to read as

follows:]

1.5 Documentation

Parcel Post mailings must be

documented as follows:

a. Postage Statement. A complete,

signed postage statement, using the

correct USPS form or an approved

facsimile, must accompany each bulk

mailing (a mailing that includes pieces

qualifying for rates that require a 50-

piece minimum volume requirement).

b. Other Documentation. When

presented for acceptance,

documentation of postage by entry

office and presort level (e.g., by BMC for

DBMC, OBMC Presort, and BMC Presort

mail and by 5-digit ZIP Code for DSCF

and DDU rates) is required under P910,

P920, or P930. Except for DSCF rate

mail palletized under the alternate

preparation option that requires

separate documentation, other

documentation is not required when the

correct rate is affixed to each piece, or

when each piece is of identical weight

and the pieces are separated by zone

and within each zone are grouped by

pieces subject to the same combination

of rates. DSCF rate mail palletized under

the alternate preparation option in

M045 must submit the detailed

documentation required in M045.12.2.

[Add 2.0 to read as follows:]

2.0 DSCF RATE

2.1 General

[Redesignate contents of M630.1.4 as

M710.2.1; amend by changing the

reference ‘‘1.5’’ to ‘‘2.2,’’ by changing

the reference ‘‘Exhibit E652.6.0’’ to

‘‘Exhibit E751.6.0,’’ and by changing the

reference to ‘‘Exhibit E652.7.0 and

Exhibit E652.8.0’’ to ‘‘Exhibit E751.7.0

and Exhibit E751.8.0’’; no other changes

to text.]

2.2 DSCF Sack Preparation

[Redesignate M630.1.5 as M710.2.2;

amend redesignated 2.2d by replacing

‘‘STD B 5D’’ with ‘‘PSVC PARCELS 5D’’;

no other changes to text.]

3.0 DDU RATE

[Redesignate M630.1.6 as M710.3.0;

amend redesignated 3.0b by changing

‘‘E652’’ to ‘‘E751’’; amend redesignated

3.0d by changing ‘‘Exhibit E652.7.0 and

Exhibit E652.8.0’’ to ‘‘Exhibit E751.7.0

and Exhibit E751.8.0’’; amend

redesignated 3.0e(2) by changing ‘‘STD

B 5D’’ with ‘‘PSVC PARCELS 5D,’’ no

other changes to text.]

[Add 4.0 to read as follows:]

4.0 OPTIONAL MACHINABLE

PARCEL PREPARATION

4.1 Basic Standards

Mailers may opt to prepare Parcel

Post machinable parcels in sacks under

4.2 or on pallets under M045. Pieces

must be separated by zones when

presented to the USPS unless either the

correct postage is affixed to each piece

or the mailing is prepared under 1.4.

Pieces for more than one zone may not

be placed in the same sack, and sacks

must be separated by zone when

presented to the USPS.

4.2 Sack Preparation

Sack size, preparation sequence, and

Line 1 labeling:

a. 5-digit: required (minimum of 10

pieces/20 pounds, smaller volume not

permitted); for Line 1, use 5-digit ZIP

Code destination of pieces (see M031 for

military mail).

b. Destination ASF: optional; allowed

only for mail deposited at an ASF to

claim the DBMC rate (minimum of 10

pieces/20 pounds, smaller volume not

permitted); for Line 1, use L602. Exhibit

E751.1.3d determines DBMC rate

eligibility.

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78601

c. Destination BMC: required

(minimum of 10 pieces/20 pounds,

smaller volume not permitted); for Line

1, use L601. Exhibit E751.1.3d

determines DBMC rate eligibility.

d. Mixed BMC: required (no

minimum); for Line 1, use ‘‘MXD’’

followed by the Column B information

in L601 for the BMC serving the 3-digit

ZIP Code prefix of the entry post office.

4.3 Sack Line 2

Line 2:

a. 5-digit: ‘‘PSVC MACH 5D.’’

b. ASF: ‘‘PSVC MACH ASF.’’

c. Destination BMC: ‘‘PSVC MACH

BMC.’’

d. Mixed BMC: ‘‘PSVC MACH WKG.’’

* * * * *

[Add new M720 to read as follows:]

M720 Bound Printed Matter

M721 Single Piece Rates

1.0 BASIC STANDARDS

1.1 General

There are no presort, sacking, or

labeling standards for single-piece rate

Bound Printed Matter (BPM).

1.2 Markings

Each piece mailed at single-piece

BPM rates must be marked ‘‘Bound

Printed Matter’’ (or ‘‘BPM’’) subject to

M012.

M722 Presorted Bound Printed Matter

1.0 BASIC STANDARDS

1.1 General

All mailings of Presorted Bound

Printed Matter (BPM) are subject to the

standards in 2.0 through 4.0 and to

these general standards:

a. Each mailing must meet the

applicable standards in E710, E712,

E752, and in M010, M020, and M030.

b. All pieces in a mailing must be

within the same processing category as

described in C050. A BPM irregular

parcel is a piece that is not a machinable

parcel as defined in C050.4.1 or a flat as

defined in C050.3.1. Irregular parcels

also are pieces that meet the size and

weight standards for a machinable

parcel but are not individually boxed or

packaged to withstand processing on

BMC parcel sorters under C010.

c. All pieces must be sorted to the

finest extent possible under 2.0 through

4.0 or palletized under M045.

d. Subject to M012, pieces must be

marked ‘‘Bound Printed Matter’’ (or

‘‘BPM’’) and ‘‘Presorted’’ (or ‘‘PRSRT’’).

1.2 Documentation

A complete, signed postage statement,

using the correct USPS form or an

approved facsimile, must accompany

each mailing. Documentation of postage

is not required if the correct rate is

affixed to each piece or if each piece is

of identical weight and the pieces are

separated by rate (zone) when presented

for acceptance.

1.3 Separation

Pieces for each zone must be sacked

separately. When presented for

verification, sacks must be separated by

zone. Exception: Pieces for different

zones may be sacked together and the

sacks do not have to be separated by

zone for verification if any of the

following apply:

a. Full (exact) postage is affixed to

each piece in the mailing.

b. The mailing is prepared under

P910, P930, or 1.4.

1.4 Commingling Zones

Zone rated BPM need not be

separated by zones when presented

other than as individual pieces or with

full correct postage affixed to each

piece, subject to this section.

Nonidentical-weight pieces not bearing

the full correct postage may not be

commingled unless authorized by the

RCSC manager serving the office of

mailing. The mail must be prepared and

documented:

a. Under P910 or P930; or

b. Under all these conditions:

(1) A unique number is assigned to

each pallet in the mailing and printed

on a separate line at the top of the pallet

label (above the Line 1 information).

(2) A detailed list accompanies each

mailing or mailing segment, sequenced

numerically by the numbers assigned to

the pallets in the mailing, that shows

the post office where the mail is to be

entered (entry post office), a unique

identifier for the mailing or mailing

segment that also appears on the

corresponding postage statement, the

name and address of the mailer, the

permit number, the date of mailing,

individual line entries for each pallet,

and the total number of pieces to each

zone in the entire mailing or mailing

segment. Line entries for pallets

containing mail for only one zone must

show the pallet number, the sortation

level, the zone for which the mail is

destined, and the total number of pieces

for the pallet. Entries for pallets

containing mail for more than one zone

must also show (by zone) the number of

pieces to each 3-digit ZIP Code area and

the total number of pieces for that zone

for the pallet. Mailings are not accepted

if there are discrepancies between the

information in the detailed listing or on

the postage statement and the results of

USPS random verification of piece

counts and postage.

2.0 REQUIRED PREPARATION—

FLATS

2.1 Required Packaging

A package must be prepared when the

quantity of addressed pieces for a

required presort level reaches a

minimum of 10 pieces or 10 pounds,

whichever occurs first. Smaller volumes

are not permitted except for mixed ADC

packages. The maximum weight of each

physical package is 20 pounds, except

that 5-digit packages placed in 5-digit

sacks may weigh a maximum of 40

pounds each. Each physical package

must contain at least 2 addressed pieces

(except mixed ADC packages).

Packaging also is subject to these

conditions:

a. Identical-weight pieces that weigh

1 pound or less must be prepared using

the 10-piece minimum; those that weigh

more than 1 pound must be prepared

using the 10-pound minimum.

b. For nonidentical-weight pieces,

mailers must use either the minimum

that applies to the average piece weight

for the entire mailing (divide the net

weight of the mailing by the number of

pieces; the resulting average singlepiece weight determines whether the

10-piece or 10-pound minimum

applies), or package by the actual piece

count or mail weight for each package,

if documentation can be provided with

the mailing that shows the number of

pieces and their total weight.

c. Mailers must note on the

accompanying postage statement

whether they applied the piece count,

weight, or both.

2.2 Package Preparation

Packages must be prepared and

labeled in the following required

sequence:

a. 5-digit: required; red Label D or

optional endorsement line (OEL).

b. 3-digit: required; green Label 3 or

OEL.

c. ADC: required; pink Label A or

OEL.

d. Mixed ADC: required (no

minimum); tan Label MXD or OEL.

2.3 Required Sacking

A sack must be prepared when the

quantity of mail for a required presort

destination reaches either 20 addressed

pieces or 20 pounds, whichever occurs

first. Smaller are volumes not permitted

(except mixed ADC sacks). Optional

SCF sacks may only be prepared when

there are at least 20 addressed pieces or

20 pounds, whichever occurs first.

Smaller volumes are not permitted.

Sacking also is subject to these

conditions:

78602 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

a. Identical-weight pieces that weigh

1 pound or less must be prepared using

the 20-piece minimum; those that weigh

more than 1 pound must be prepared

using the 20-pound minimum.

b. For nonidentical-weight pieces,

mailers must use either the minimum

that applies to the average piece weight

for the entire mailing (divide the net

weight of the mailing by the number of

pieces; the resulting average singlepiece weight determines whether the

20-piece or 20-pound minimum

applies), or sack by the actual piece

count or mail weight for each sack, if

documentation can be provided with

the mailing that shows (specifically for

each sack) the number of pieces and

their total weight.

c. Mailers must note on the

accompanying postage statement

whether they applied the piece count or

weight.

2.4 Sack Preparation

Required sequence and Line 1 sack

labeling:

a. 5-digit: required; for Line 1, use 5-

digit ZIP Code destination of packages

(for military mail, the ZIP Code is

preceded by the prefixes under M031).

b. 3-digit: required; for Line 1, use

L002, Column A.

c. SCF: optional; for Line 1, use L005,

Column B.

d. ADC: required; for Line 1, use

L004, Column B.

e. Mixed ADC: required (no

minimum); for Line 1, use ‘‘MXD’’

followed by the city/state/ZIP Code of

the ADC serving the 3-digit ZIP Code of

the entry post office, as shown in L004,

Column B.

2.5 Sack Label Line 2

Line 2 information:

a. 5-digit: ‘‘PSVC FLATS 5D NON

BC.’’

b. 3-digit: ‘‘PSVC FLATS 3D NON

BC.’’

c. SCF: ‘‘PSVC FLATS SCF NON BC.’’

d. ADC: ‘‘PSVC FLATS ADC NON

BC.’’

e. Mixed ADC: ‘‘PSVC FLATS NON

BC WKG.’’

3.0 REQUIRED PREPARATION—

IRREGULAR PARCELS WEIGHING

LESS THAN 10 POUNDS

3.1 Required Packaging

Packaging is not required for pieces

placed in 5-digit sacks when such

pieces are enclosed in an envelope, fulllength sleeve, full-length wrapper, or

polybag, and the minimum package size

is met. Otherwise, a package must be

prepared when the quantity of

addressed pieces for a required presort

level reaches a minimum of 10 pieces or

10 pounds, whichever occurs first.

Smaller volumes are not permitted

(except mixed ADC packages). The

maximum weight of each physical

package is 20 pounds, except that 5-

digit packages placed in 5-digit sacks or

prepared for and entered at DDU rates

may weigh a maximum of 40 pounds

each. Each physical package must

contain at least 2 addressed pieces

(except mixed ADC packages).

Packaging also is subject to these

conditions:

a. Identical-weight pieces that weigh

1 pound or less must be prepared using

the 10-piece minimum; those that weigh

more than 1 pound must be prepared

using the 10-pound minimum.

b. For nonidentical-weight pieces,

mailers must either use the minimum

that applies to the average piece weight

for the entire mailing (divide the net

weight of the mailing by the number of

pieces; the resulting average singlepiece weight determines whether the

10-piece or 10-pound minimum

applies), or package by the actual piece

count or mail weight for each sack, if

documentation can be provided with

the mailing that shows the number of

pieces and their total weight.

c. Mailers must note on the

accompanying postage statement

whether they applied the piece count,

weight, or both.

3.2 Package Preparation

Packages must be prepared and

labeled in the following required

sequence:

a. 5-digit: required; red Label D or

optional endorsement line (OEL).

b. 3-digit: required; green Label 3 or

OEL.

c. ADC: required; pink Label A or

OEL.

d. Mixed ADC: required; (no

minimum): tan Label MXD or OEL.

3.3 Required Sacking

A sack must be prepared when the

quantity of mail for a required presort

destination reaches either 10 addressed

pieces or 20 pounds, whichever occurs

first. Smaller volumes are not permitted

(except mixed ADC sacks). Optional

SCF sacks may only be prepared when

there are at least 10 addressed pieces or

20 pounds, whichever occurs first.

Smaller volumes are not permitted.

Sacking also is subject to these

conditions:

a. Identical-weight pieces weighing

two pounds or less must be prepared

using the 10-piece minimum, those that

weigh more must be prepared using the

20-pound minimum.

b. For nonidentical-weight pieces,

mailers must use either the minimum

that applies to the average piece weight

for the entire mailing (divide the net

weight of the mailing by the number of

pieces; the resulting average singlepiece weight determines whether the

10-piece or 20-pound minimum

applies). Alternatively, sack by the

actual piece count or mail weight for

each package destination, provided that

documentation can be provided with

the mailing that shows (specifically for

each sack) the number of pieces and

their total weight.

c. Mailers must note on the

accompanying postage statement

whether they applied the piece count or

weight.

3.4 Sack Preparation

Required sequence and Line 1

labeling:

a. 5-digit: required; for Line 1, use 5-

digit ZIP Code destination of packages

(for military mail, the ZIP Code is

preceded by the prefixes under M031).

b. 3-digit: required; for Line 1, use

L002, Column A.

c. SCF: optional; for Line 1, use L005,

Column B.

d. ADC: required; for Line 1, use

L004, Column B.

e. Mixed ADC: required (no

minimum); for Line 1, use ‘‘MXD’’

followed by the city/state/ZIP Code of

the ADC serving the 3-digit ZIP Code of

the entry post office, as shown in L004,

Column B.

3.5 Sack Label Line 2

Line 2 information:

a. 5-digit: ‘‘PSVC IRREG 5D.’’

b. 3-digit: ‘‘PSVC IRREG 3D.’’

c. SCF: ‘‘PSVC IRREG SCF.’’

d. ADC: ‘‘PSVC IRREG ADC.’’

e. Mixed ADC: ‘‘PSVC IRREG WKG.’’

3.6 Exception to Sacking

Sacking is not required for 5-digit

packages when prepared for and entered

at DDU rates; such packages may be

bedloaded and may weigh up to 40

pounds.

4.0 REQUIRED PREPARATION—

IRREGULAR PARCELS WEIGHING 10

POUNDS OR MORE

4.1 Piece Preparation

Each piece must be enclosed in an

envelope, full-length sleeve, full-length

wrapper, or polybag. Packaging is not

permitted for pieces weighing 10

pounds or more except under 4.5.

4.2 Required Sacking

A sack must be prepared when the

quantity of mail for a required presort

destination reaches 20 pounds. Smaller

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78603

volumes are not permitted (except

mixed ADC sacks). Optional SCF sacks

may be prepared only when there are at

least 20 pounds. Smaller volumes are

not permitted.

4.3 Sack Preparation

Required sequence and Line 1

labeling:

a. 5-digit: required; for Line 1, use 5-

digit ZIP Code destination of packages

(for military mail, the ZIP Code is

preceded by the prefixes under M031).

b. 3-digit: required; for Line 1, use

L002, Column A.

c. SCF: optional; for Line 1, use L005,

Column B.

d. ADC: required; for Line 1, use

L004, Column B.

e. Mixed ADC: required (no

minimum); for Line 1, use ‘‘MXD’’

followed by the city/state/ZIP Code of

the ADC serving the 3-digit ZIP Code of

the entry post office, as shown in L004,

Column B.

4.4 Sack Label Line 2

Line 2 information:

a. 5-digit: ‘‘PSVC IRREG 5D.’’

b. 3-digit: ‘‘PSVC IRREG 3D.’’

c. SCF: ‘‘PSVC IRREG SCF.’’

d. ADC: ‘‘PSVC IRREG ADC.’’

e. Mixed ADC: ‘‘PSVC IRREG WKG.’’

4.5 Exception to Sacking

Pieces may be prepared only in 5-digit

packages when entered at DDU rates;

such packages may be bedloaded and

may weigh up to 40 pounds.

5.0 REQUIRED PREPARATION—

MACHINABLE PARCELS

5.1 Required Sacking DBMC Rates

Not Claimed

A sack must be prepared when the

quantity of parcels for a required presort

destination reaches either 10 addressed

pieces or 20 pounds, whichever occurs

first. Smaller volumes are not permitted

(except origin (mixed) BMC sacks).

Sacking also is subject to these

conditions:

a. Identical-weight pieces that weigh

two 2 pounds or less must be prepared

using the 10-piece minimum; those that

weigh more must be prepared using the

20-pound minimum.

b. For nonidentical-weight pieces,

mailers must use either the minimum

that applies to the average piece weight

for the entire mailing (divide the net

weight of the mailing by the number of

pieces; the resulting average singlepiece weight determines whether the

10-piece or 20-pound minimum applies)

or sack by the actual piece count or mail

weight for each package destination,

provided that documentation can be

provided with the mailing that shows

(specifically for each sack) the number

of pieces and their total weight.

c. Mailers must note on the

accompanying postage statement

whether they applied the piece count or

weight.

5.2 Sack Preparation DBMC Rates Not

Claimed

Required sequence and Line 1

labeling:

a. 5-digit: required; for Line 1, use 5-

digit ZIP Code destination of parcels (for

military mail, the ZIP Code is preceded

by the prefixes under M031).

b. BMC: required; for Line 1, use

L601, Column B.

c. Origin (mixed) BMC: required (no

minimum); for Line 1, ‘‘MXD’’ followed

by the information in L601, Column B,

for the BMC serving the 3-digit ZIP Code

of the entry post office.

5.3 Sack Label Line 2 DBMC Rates

Not Claimed

Line 2 information:

a. 5-digit: ‘‘PSVC MACH 5D.’’

b. BMC: ‘‘PSVC MACH BMC.’’

c. Mixed BMC: ‘‘PSVC MACH WKG.’’

5.4 Required Sacking for DBMC Rates

A sack must be prepared when the

quantity of parcels for a required presort

destination reaches either 10 addressed

pieces or 20 pounds, whichever occurs

first. Smaller volumes are not permitted

(except origin (mixed) BMC sacks).

Optional ASF sacks, if prepared, also

must meet the minimum sack volume

requirement. See E752 for DBMC rate

eligibility. Sacking also is subject to

these conditions:

a. Identical-weight pieces that weigh

two pounds or less must be prepared

using the 10-piece minimum; those that

weigh more must be prepared using the

20-pound minimum.

b. For nonidentical-weight pieces,

mailers must either use the minimum

that applies to the average piece weight

for the entire mailing (divide the net

weight of the mailing by the number of

pieces; the resulting average singlepiece weight determines whether the

10-piece or 20-pound minimum applies)

or sack by the actual piece count or mail

weight for each sack destination,

provided that documentation can be

provided with the mailing that shows

(specifically for each sack) the number

of pieces and their total weight.

c. Mailers must note on the

accompanying postage statement

whether they applied the piece count or

weight.

5.5 Sack Preparation for DBMC Rates

Required sequence and line 1

labeling:

a. 5-digit: required; for Line 1, use 5-

digit ZIP Code destination of parcels (for

military mail, the ZIP Code is preceded

by the prefixes under M031).

b. ASF: optional, allowed only for

mail deposited at an ASF to claim

DBMC rate; for Line 1, use L602. DBMC

rate eligibility is determined by E752

and Exhibit E751.5.0.

c. BMC: required; for Line 1, use

L601, Column B. DBMC rate eligibility

is determined by E752 and Exhibit

E751.5.0.

d. Origin (mixed) BMC: required (no

minimum); for Line 1, ‘‘MXD’’ followed

by the information in L601, Column B,

for the BMC serving the 3-digit ZIP Code

of the entry post office.

5.6 Sack Label Line 2 for DBMC Rates

Line 2 information:

a. 5-digit: ‘‘PSVC MACH 5D.’’

b. ASF: ‘‘PSVC MACH ASF.’’

c. BMC: ‘‘PSVC MACH BMC.’’

d. Mixed BMC: ‘‘PSVC MACH WKG.’’

M723 Carrier Route Bound Printed

Matter

1.0 BASIC STANDARDS

1.1 General

All mailings of Carrier Route Bound

Printed Matter (BPM) are subject to the

standards in 2.0 through 4.0 and to

these general standards:

a. Each mailing must meet the

applicable standards in E710, E712,

E752, and in M010, M020, and M030.

b. All pieces in a mailing must be

within the same processing category as

described in C050. A BPM irregular

parcel is a piece that is not a machinable

parcel as defined in C050.4.1 or a flat as

defined in C050.3.1. Irregular parcels

also are pieces that meet the size and

weight standards for a machinable

parcel but are not individually boxed or

packaged to withstand processing on

BMC parcel sorters under C010.

c. All pieces must be sorted to the

finest extent possible under 2.0 through

4.0 or palletized under M045.

d. Subject to M012, pieces must be

marked ‘‘Bound Printed Matter’’ (or

‘‘BPM’’) and ‘‘Carrier Route Presort’’ (or

‘‘CAR-RT SORT’’).

1.2 Documentation

A complete, signed postage statement,

using the correct USPS form or an

approved facsimile, must accompany

each mailing. Documentation of postage

is not required if the correct rate is

affixed to each piece or if each piece is

of identical weight and the pieces are

separated by rate (zone) when presented

for acceptance.

78604 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

1.3 Separation

Pieces for each zone must be sacked

separately. When presented for

verification, sacks must be separated by

zone. Exception: Pieces for different

zones may be sacked together and the

sacks do not have to be separated for

verification if any of the following

apply:

a. Full postage is affixed to each piece

in the mailing.

b. The mailing is prepared under

P910, P930 or 1.4.

1.4 Commingling Zones

Zone rated BPM need not be

separated by zones when presented

other than as individual pieces or with

full correct postage affixed to each

piece, subject to this section.

Nonidentical-weight pieces not bearing

the full correct postage may not be

commingled unless authorized by the

RCSC manager serving the office of

mailing. The mail must be prepared and

documented:

a. Under P910 or P930; or

b. Under all these conditions:

(1) A unique number is assigned to

each pallet in the mailing and printed

on a separate line at the top of the pallet

label (above the Line 1 information).

(2) A detailed list accompanies each

mailing or mailing segment, sequenced

numerically by the numbers assigned to

the pallets in the mailing, that shows

the post office where the mail is to be

entered (entry post office), a unique

identifier for the mailing or mailing

segment that also appears on the

corresponding postage statement, the

name and address of the mailer, the

permit number (if applicable), the date

of mailing, individual line entries for

each pallet, and the total number of

pieces to each zone and in the entire

mailing or mailing segment. Line entries

for pallets containing mail for only one

zone must show the pallet number, the

sortation level, the zone for which the

mail is destined, and the total number

of pieces for the pallet. Entries for

pallets containing mail for more than

one zone must also show (by zone) the

number of pieces to each 3-digit ZIP

Code area and the total number of

pieces for that zone for the pallet.

Mailings are not accepted if there are

discrepancies between the information

in the detailed listing or on the postage

statement and the results of USPS

random verification of piece counts and

postage.

1.5 Residual Pieces

Residual pieces not sorted under 2.0,

3.0, or 4.0 may be prepared as a

Presorted Bound Printed Matter mailing

under M722 provided that they are part

of the same mailing job and reported on

the same postage statement. Residual

pieces paid at the Presorted rate do not

need to meet a separate 300 piece

minimum. These pieces must be

separated from the Carrier Route portion

when presented to the USPS for

verification. Presorted flats weighing 1

pound or less are not eligible for DDU

rates.

2.0 REQUIRED PREPARATION—

FLATS

2.1 Required Packaging

A carrier route package (or packages)

must be prepared when there are 10 or

more addressed pieces or 10 or more

pounds, whichever occurs first, for an

individual carrier route. Smaller

volumes are not permitted. The

maximum weight of each physical

package is 40 pounds. Each package

must contain at least 2 addressed pieces

except for the last package for each

carrier route destination under M020.

Packages must be labeled with a facing

slip unless the package is labeled using

a carrier route information line (M014)

or an optional endorsement line (M013).

Packaging also is subject to these

conditions:

a. Identical-weight pieces that weigh

1 pound or less must be prepared using

the 10-piece minimum; those that weigh

more than 1 pound must be prepared

using the 10-pound minimum.

b. For nonidentical-weight pieces,

mailers must use either the minimum

that applies to the average piece weight

for the entire mailing (divide the net

weight of the mailing by the number of

pieces; the resulting average singlepiece weight determines whether the

10-piece or 10-pound minimum

applies), or package by the actual piece

count or mail weight for each package,

if documentation can be provided with

the mailing that shows the number of

pieces and their total weight.

c. Mailers must note on the

accompanying postage statement

whether they applied the piece count,

weight, or both.

2.2 Required Sacking

A direct carrier route sack must be

prepared when the quantity of mail for

an individual carrier route reaches a

minimum of 20 addressed pieces or 20

pounds, whichever occurs first. Smaller

volumes are not permitted. Remaining

packages must be placed in a 5-digit

scheme carrier routes sack and/or a 5-

digit carrier routes sack, which have no

minimum sack size. Carrier route

sacking also is subject to these

conditions:

a. Identical-weight pieces that weigh

1 pound or less must be prepared using

the 20-piece minimum; those that weigh

more than 1 pound must be prepared

using the 20-pound minimum.

b. For nonidentical-weight pieces,

mailers must use either the minimum

that applies to the average piece weight

for the entire mailing (divide the net

weight of the mailing by the number of

pieces; the resulting average singlepiece weight determines whether the

20-piece or 20-pound minimum

applies), or sack by the actual piece

count or mail weight for each sack, if

documentation can be provided with

the mailing that shows (specifically for

each sack) the number of pieces and

their total weight.

c. Mailers must note on the

accompanying postage statement

whether they applied the piece count or

weight.

2.3 Sack Preparation

Preparation sequence and Line 1 sack

labeling:

a. Carrier route: required; for Line 1,

use 5-digit ZIP Code destination of

packages (for military mail, the ZIP

Code is preceded by the prefixes under

M031).

b. 5-digit scheme carrier routes:

optional (no minimum); for Line 1, use

L001, Column B.

c. 5-digit carrier routes: required (no

minimum); for Line 1, use 5-digit ZIP

Code destination of packages (see M031

for military mail).

2.4 Sack Label Line 2

Line 2 information:

a. Carrier route: ‘‘PSVC FLATS CR,’’

followed by the route type and number.

b. 5-digit scheme carrier routes:

‘‘PSVC FLATS CR–RTS SCH.’’

c. 5-digit carrier routes: ‘‘PSVC

FLATS CR–RTS.’’

2.5 Exception to Sacking

Sacking is not required for packages

that are prepared for and entered at

DDU rates; such packages may be

bedloaded and may weigh up to 40

pounds each.

3.0 REQUIRED PREPARATION—

IRREGULAR PARCELS WEIGHING

LESS THAN 10 POUNDS

3.1 Package Preparation

Packaging is not required in direct

carrier route sacks. Otherwise, a carrier

route package (or packages) must be

prepared when the quantity of

addressed pieces for a carrier route

reaches a minimum of 10 pieces or 20

pounds, whichever occurs first. Smaller

volumes are not permitted. The

maximum weight of each physical

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78605

package is 40 pounds. Each package

must contain at least 2 addressed pieces

except for the last package for each

carrier route destination under M020.

Packages must be labeled with a facing

slip unless the package is labeled using

a carrier route information line (M014)

or an optional endorsement line (M013).

Packaging also is subject to these

conditions:

a. Identical-weight pieces that weigh

two pounds or less must be prepared

using the 10-piece minimum; those that

weigh more must be prepared using the

20-pound minimum.

b. For nonidentical-weight pieces,

mailers must either use the minimum

that applies to the average piece weight

for the entire mailing (divide the net

weight of the mailing by the number of

pieces; the resulting average singlepiece weight determines whether the

10-piece or 20-pound minimum

applies), or package by the actual piece

count or mail weight for each package

destination, provided that

documentation can be provided with

the mailing that shows (specifically for

each package) the number of pieces and

their total weight.

c. Mailers must note on the

accompanying postage statement

whether they applied the piece count,

weight, or both.

3.2 Required Sacking

A direct carrier route sack must be

prepared when the quantity of mail for

an individual carrier route reaches a

minimum of 10 addressed pieces or 20

pounds, whichever occurs first. Smaller

volumes are not permitted. Remaining

packages must be placed in 5-digit

carrier routes sacks, which have no

minimum sack size. Carrier route sacks

also are subject to these conditions:

a. Identical-weight pieces that weigh

two pounds or less must be prepared

using the 10-piece minimum; those that

weigh more must be prepared using the

20-pound minimum.

b. For nonidentical-weight pieces,

mailers must either use the minimum

that applies to the average piece weight

for the entire mailing (divide the net

weight of the mailing by the number of

pieces; the resulting average singlepiece weight determines whether the

10-piece or 20-pound minimum

applies), or sack by the actual piece

count or mail weight for each sack

destination, provided that

documentation can be provided with

the mailing that shows (specifically for

each sack) the number of pieces and

their total weight.

c. Mailers must note on the

accompanying postage statement

whether they applied the piece count or

weight.

3.3 Sack Preparation

Sack preparation sequence and Line 1

labeling:

a. Carrier route: required; for Line 1,

use 5-digit ZIP Code destination of

packages (for military mail, the ZIP

Code is preceded by the prefixes under

M031).

b. 5-digit carrier routes: required (no

minimum); for Line 1, use 5-digit ZIP

Code destination of packages (for

military mail, the ZIP Code is preceded

by the prefixes under M031).

3.4 Sack Label Line 2

Line 2 information:

a. Carrier route: ‘‘PSVC IRREG CR,’’

followed by the route type and number.

b. 5-digit carrier routes: ‘‘PSVC IRREG

CR–RTS.’’

3.5 Exception to Sacking

Sacking is not required for packages

when prepared for and entered at DDU

rates; such packages may be bedloaded

and may weigh up to 40 pounds.

4.0 REQUIRED PREPARATION—

IRREGULAR PARCELS WEIGHING 10

POUNDS OR MORE

4.1 Carrier Route Sack Preparation

Irregular parcels must be prepared

only in direct carrier route sacks. Each

carrier route sack must contain a

minimum of 20 pounds. Smaller

volumes not permitted. Required

preparation:

a. Line 1: use 5-digit ZIP Code

destination of the pieces.

b. Line 2: ‘‘PSVC IRREG CR,’’

followed by the route type and number.

5.0 REQUIRED PREPARATION—

MACHINABLE PARCELS

5.1 Required Carrier Route Sacking

Machinable parcels may be prepared

only in direct carrier route sacks. Each

carrier route sack must contain a

minimum of 10 addressed pieces or 20

pounds, whichever occurs first. Smaller

volumes are not permitted. Carrier route

sacks also are subject to these

conditions:

a. Identical-weight pieces that weigh

two pounds or less must be prepared

using the 10-piece minimum; those that

weigh more must be prepared using the

20-pound minimum.

b. For nonidentical-weight pieces,

mailers must use either the minimum

that applies to the average piece weight

for the entire mailing (divide the net

weight of the mailing by the number of

pieces; the resulting average singlepiece weight determines whether the

10-piece or 20-pound minimum

applies), or sack by the actual piece

count or mail weight for each sack

destination, provided that

documentation can be provided with

the mailing that shows (specifically for

each sack) the number of pieces and

their total weight.

c. Mailers must note on the

accompanying postage statement

whether they applied the piece count or

weight.

5.2 Sack Label

Required preparation:

a. Line 1: Use 5-digit ZIP Code

destination of the pieces.

b. Line 2: ‘‘PSVC MACH CR,’’

followed by the route type and number.

* * * * *

[Add new heading M730 to read as

follows:]

M730 Media Mail

[Add heading 1.0 to read as follows:]

1.0 BASIC STANDARDS

[Redesignate M630.4.1 through

M630.4.3 as M730.1.1 through

M730.1.3, respectively.]

[Amend the heading of redesignated

1.1 to read as follows:]

1.1 General

[Revise redesignated 1.1 to read as

follows:]

There are no presort, sacking, or

labeling standards for single-piece

Media Mail. Presorted Media Mail must

be prepared under 2.0 unless prepared

on pallets under M045, or as outside

parcels under E713. Mailings of

nonmachinable (outside) parcels eligible

for presort rates must be prepared to

preserve the required presort as

instructed by the mailing office

postmaster.

1.2 Marking

[Amend redesignated 1.2 by changing

‘‘Special Standard Mail’’ with ‘‘Media

Mail’’ and ‘‘SPEC STD’’ with ‘‘Media

Mail’’; no other changes to text.]

* * * * *

[Add new heading 2.0 to read as

follows:]

2.0 PREPARATION

[Redesignate M630.4.4 through

M630.4.6 as M730.2.1 through

M730.2.3, respectively.]

[Amend the heading of redesignated

2.1 to read as follows:]

2.1 Sacks or Packages on Pallet

Preparation (5-Digit Rate)

[Amend 2.1 to read as follows:]

Five-digit sack or package size (for

packages on pallets) and labeling: 5-

78606 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

digit (only); required (minimum of eight

pieces/20 pounds, smaller volume not

permitted); 40-pound maximum for

packages on pallets; no label required

on packages; on sacks, use 5-digit ZIP

Code destination of pieces for Line 1,

preceded for military mail by the

prefixes under M031.

2.2 Sack Preparation (BMC Rate)

[Amend redesignated M730.2.2 by

removing ‘‘/1,000 cubic inches.’’]

2.3 Sack Line 2

[Amend redesignated M730.2.3a and

2.3b by replacing ‘‘STD’’ and ‘‘STD B’’

with ‘‘PSVC’’; no other changes to text.]

* * * * *

[Add new heading M740 to read as

follows:]

M740 Library Mail

[Add heading 1.0 to read as follows:]

1.0 BASIC STANDARDS

[Redesignate M630.5.1 through

M630.5.3 as M7401.1 through M740.1.3,

respectively.]

1.1 General

[Amend redesignated M740.1.1 by

replacing ‘‘E630.5.0’’ with ‘‘E714’’; no

other changes to text.]

1.2 Marking

[Amend redesignated 1.2 to eliminate

‘‘Library Rate’’ as an optional marking

in the first sentence and delete the last

sentence to read as follows:]

Each piece claimed at Library Mail

rates must be marked ‘‘Library Mail’’

under M012. Each piece claimed at

presorted Library Mail rates also must

be marked ‘‘Presorted’’ or ‘‘PRSRT’’

under M012.

* * * * *

[Add new heading 2.0 to read as

follows:]

2.0 PREPARATION

[Redesignate M630.5.4 through

M630.5.6 as M740.2.1 through

M740.2.3, respectively.]

2.1 Sack Preparation (5-Digit Rate)

[Amend redesignated 2.1 by removing

‘‘/1,000 cubic inches’’.]

2.2 Sack Preparation (BMC Rate)

[Amend redesignated 2.2 by removing

‘‘/1,000 cubic inches’’.]

2.3 Sack Line 2

[Amend redesignated M740.2.3a and

M740.2.3b by replacing ‘‘STD’’ and

‘‘STD B’’ with ‘‘PSVC’’; no other

changes to text.]

* * * * *

M800 All Automation Mail

* * * * *

M820 Flat-Size Mail

1.0 BASIC STANDARDS

* * * * *

1.2 Mailings

[Amend 1.2 by revising the second

and third sentences to read as follows:]

* * * First-Class Mail and Periodical

mailings may include pieces prepared at

automation 5-digit, 3-digit, and basic

rates, as applicable. Standard Mail

mailings may include pieces prepared at

automation 3/5 and basic rates. * * *

* * * * *

1.5 Package Preparation

[Amend the first sentence of 1.5 by

adding the exception to read as follows;

and amend the fourth sentence by

replacing ‘‘3.1 or 4.1’’ with ‘‘4.1 or 5.1.’’]

Except for First-Class Mail prepared

under 3.0, all pieces must be prepared

in packages. * * *

* * * * *

[Add new 1.11 to read as follows:]

1.11 Tray-Based Preparation

For First-Class Mail prepared under

the tray-based option in 3.0, mailers

may not combine FSM 881 and FSM

1000 pieces in the same mailing.

* * * * *

[Revise 2.0 heading to read as

follows:]

2.0 FIRST-CLASS MAIL—REQUIRED

PACKAGE-BASED PREPARATION

2.1 Package Preparation

[Amend 2.1a to make preparation of

5-digit packages optional to read as

follows:]

Package size, preparation sequence,

and labeling:

a. 5-digit: optional, but required for 5-

digit rate eligibility (10-piece minimum,

fewer not permitted); red Label D or

optional endorsement line (OEL).

* * * * *

2.2 Tray Preparation

[Amend 2.2a to make preparation of

5-digit trays optional and to change

‘‘M031’’ to ‘‘M032’’ to read as follows:]

Tray size, preparation sequence, and

Line 1 labeling:

a. 5-digit: optional, but required for 5-

digit rate eligibility, full trays, no

overflow; for Line 1, use 5-digit ZIP

Code destination of packages, preceded

for military mail by the prefixes under

M032.

* * * * *

[Redesignate current 3.0 and 4.0 as 4.0

and 5.0, respectively, and add new 3.0

to read as follows:]

3.0 FIRST-CLASS MAIL—OPTIONAL

TRAY-BASED PREPARATION

Tray size, preparation sequence, and

Line 1 labeling:

a. 5-digit: optional, but 5-digit trays

required for rate eligibility (90-piece

minimum, fewer not permitted); one

less-than-full or overflow tray allowed;

for Line 1, use 5-digit ZIP Code

destination of pieces (for military mail

see M031). (Preparation to qualify for 5-

digit rate is optional and need not be

done for all 5-digit destinations.)

b. 3-digit: required (90-piece

minimum, fewer not permitted); one

less-than-full or overflow tray allowed;

for Line 1, use L002, Column A for 3-

digit destinations.

c. Origin 3-digit: required for each 3-

digit ZIP Code served by the SCF of the

origin (verification) office; no minimum;

for Line 1, use L002, Column A for 3-

digit destinations.

d. ADC: required (90-piece minimum,

fewer not permitted); one less-than-full

or overflow tray allowed; group pieces

by 3-digit ZIP Code prefix; for Line 1,

use L004 (ZIP Code prefixes in Column

A must be combined and labeled to the

corresponding ADC destination shown

in Column B). As an exception, pieces

do not have to be grouped by 3-digit ZIP

Code prefix in ADC trays if the mailing

is prepared using a MLOCR/barcode

sorter and standardized documentation

is submitted.

e. Mixed ADC: required (no minimum

for rate eligibility); group pieces by

ADC; for Line 1, use ‘‘MXD’’ followed

by the city/state/ZIP of the facility

serving the 3-digit ZIP Code of the entry

post office, as shown in L002, Column

C. As an exception, pieces do not have

to be grouped by ADCs in mixed ADC

trays if the mailing is prepared using a

MLOCR/barcode sorter and

standardized documentation is

submitted.

* * * * *

M900 Advanced Preparation Options

M910 Co-Traying and Co-Sacking

Packages of Automation and Presorted

Mailings

1.0 FIRST-CLASS MAIL

* * * * *

1.2 Package Preparation

[Amend 1.2 by changing ‘‘M820’’ to

‘‘M820.2.1’’ to read as follows:]

The automation rate mailing must be

packaged and labeled under M820.2.1.

The Presorted rate mailing must be

packaged and labeled under M130.

* * * * *

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78607

P POSTAGE AND PAYMENT

METHODS

P000 Basic Information

P010 General Standards

P011 Payment

1.0 PREPAYMENT AND POSTAGE

DUE

1.1 Prepayment Conditions

[Amend 1.1 by redesignating 1.1b

through 1.1e as 1.1c through 1.1f,

respectively. Add new item 1.1b to read

as follows:]

The mailer is responsible for proper

payment of postage. Postage on all mail

must be fully prepaid at the time of

mailing, except as specifically provided

by standard for:

* * * * *

b. Merchandise return service (S923).

* * * * *

3.0 COLLECTION OF POSTAGE DUE

* * * * *

[Add new 3.3 and 3.4 to clarify

standards for advance deposit accounts

and annual accounting fees to read as

follows:]

3.3 Advance Deposit Account

Mailers may choose to establish an

advance deposit account(s) from which

postage, per piece charges, and other

fees are deducted. For certain special

services, an advance deposit account is

required. Mailers may use a single

advance deposit account to pay postage

due charges for more than one special

service (e.g., business reply mail,

merchandise return service, and bulk

parcel return service).

3.4 Annual Accounting Fee

Except for accounts used solely to pay

postage due for shortpaid mail, address

correction notices, and undeliverableas-addressed pieces returned to sender

(e.g., return service requested), mailers

must pay a separate annual accounting

fee for each special service paid through

an advance deposit account. This fee

covers the administrative cost of

maintaining the account and provides

the mailer with the accounting of all

charges deducted from that account.

The accounting fee is charged once each

12-month period on the anniversary

date of the initial accounting fee

payment. The fee may be paid in

advance only for the next year and only

during the last 60 days of the current

service period. The fee charged is that

which is in effect on the date of

payment.

* * * * *

P012 Documentation

* * * * *

[Amend the heading of 2.0 by

replacing ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’’ to read as follows:]

2.0 STANDARDIZED

DOCUMENTATION—FIRST CLASS

MAIL, PERIODICALS AND STANDARD

MAIL

2.1 Basic Standard

[Amend 2.1 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail,’’ no

other changes to text.]

2.2 Format and Content

[Amend 2.2 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; add

new 2.2c(3)(c); and amend 2.2c(6) by

adding second sentence to read as

follows:]

* * * * *

c. For mail in trays or sacks, the body

of the listing reporting these required

elements:

* * * * *

(3) * * *; or (c) group destination for

automation flats prepared under the

tray-based option for each 3-digit in

ADC trays and for each ADC in mixed

ADC trays.

* * * * *

(6) * * * The tray identification

number is optional for tray-based

automation flats.

* * * * *

2.3 Rate Level Column Headings

* * * * *

[Amend 2.3 by replacing all

references to ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’’ and by revising 2.3a to

provide for separate 5-digit and 3-digit

rates for automation First-Class Mail

flats to read as follows:]

The actual name of the rate level (or

corresponding abbreviation) is used for

column headings required by 2.2 and

shown below:

a. Automation First-Class Mail,

Periodicals, and Standard Mail:

Rate Abbreviation

*******

5-Digit [First-Class Mail letters/cards and flats, Periodicals letters and flats, and Standard Mail letters] ....................................... 5B

3-Digit [First-Class Mail letters/cards and flats, Periodicals letters and flats, and Standard Mail letters] ....................................... 3B

*******

3/5 [Standard Mail flats] .................................................................................................................................................................... 3/5B

*******

* * * * *

P013 Rate Application and

Computation

1.0 BASIC STANDARDS

* * * * *

[Amend 1.3 by replacing ‘‘Special

Standard Mail’’ with ‘‘Media Mail’’; no

other changes to text.]

1.4 Affixing Postage—Single-Piece

Rate Mailings

[Amend 1.4 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’ and

amend the first sentence to read as

follows:]

In a postage-affixed Express Mail,

Priority Mail, single-piece First-Class

Mail, or Package Services mailing, the

mailer must affix to each piece a value

in adhesive stamps or meter stamps

equal to at least the postage required. A

mailer also may use precanceled stamps

on single-piece First-Class Mail. Less

than the correct amount of postage may

be affixed only when permitted by

standard or specific USPS authorization.

1.5 Affixing Postage—Other Than

Single-Piece Rate Mailings

[Amend 1.5 by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Services’’ and amending the

introductory paragraph to read as

follows:]

In a First-Class Mail postage affixed

mailing other than single-piece or a

Standard Mail presorted mailing, the

mailer must affix to each piece a value

in precanceled stamps or meter

impressions that equals at least the full

amount of postage at the applicable rate.

78608 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

In a Package Services postage affixed

mailing other than single-piece mailing,

the mailer must affix to each piece a

value in meter impressions that equals

at least the full amount of postage at the

applicable rate; or:

a. For First-Class Mail, the applicable

postage at the lowest rate claimed in the

mailing (or a lesser amount if authorized

under P760) if all additional postage is

paid at the time of mailing.

b. For Standard Mail, the minimum

per piece charge, with the pound rate

charge paid through an advance deposit

account under the applicable standards;

or the applicable postage at the lowest

rate claimed in the mailing (or a lesser

amount if authorized under P760) if all

additional postage is paid at the time of

mailing.

* * * * *

2.0 RATE APPLICATION—EXPRESS

MAIL, FIRST-CLASS MAIL, AND

PRIORITY MAIL

* * * * *

2.4 Priority Mail

[Amend 2.4 by revising the third

sentence to read as follows:]

* * * The minimum postage amount

per addressed piece is that for a piece

weighing 1 pound. * * *

* * * * *

2.6 Keys and Identification Devices

[Amend 2.6 by revising the second

sentence to read as follows:]

* * * Keys and identification

devices weighing more than 13 ounces

but not more than 1 pound are mailed

at the 1-pound Priority Mail rate plus

the fee in R100.9.0; keys and

identification devices weighing over 1

pound but not more than 2 pounds are

mailed at the 2-pound rate plus the fee

in R100.9.0.

3.0 RATE APPLICATION—

PERIODICALS

* * * * *

3.2 Applying Pound Rate

[Amend 3.2 by replacing ‘‘Regular and

Preferred outside-county’’ with

‘‘Outside-County and Science-ofAgriculture Outside-County’’ in the

second sentence to read as follows:]

* * * Outside-County and Scienceof-Agriculture Outside-County pound

rates are based on the weight of the

advertising portion of the mail sent to

each postal zone (as computed from the

entry office) and the weight of the

nonadvertising portion without regard

to zone.***

[Amend 3.3 by replacing ‘‘Classroom

rate’’ with ‘‘Classroom’’ in the fourth

and last sentences.]

* * * * *

[Amend the title of 5.0 by replacing

‘‘Standard Mail (B)’’ with ‘‘Package

Services’’ to read as follows:]

5.0 RATE APPLICATION—PACKAGE

SERVICES

* * * * *

[Revise the heading of 5.4 to read as

follows:]

5.4 Media Mail

[Amend 5.4 by replacing ‘‘Special

Standard Mail’’ with ‘‘Media Mail’’; no

other changes to text.]

* * * * *

[Amend the heading of 8.0 by

replacing ‘‘Standard Mail (A)’’ with

‘‘Standard Mail.’’]

[Amend the heading of 9.0 by

replacing ‘‘Standard Mail (B)’’ with

‘‘Package Services’’ to read as follows:]

9.0 COMPUTING POSTAGE—

PACKAGE SERVICES

[Revise 9.0 in its entirety to clarify

how to calculate postage for Package

Services to read as follows:]

9.1 Parcel Post (including Parcel

Select), Media Mail, Library Mail, and

Single-Piece Bound Printed Matter—

Permit Imprint

To compute the total postage for a

mailing, for each weight increment,

multiply the number of pieces by the

applicable rate per piece. Round each

product off to four decimal places. Add

the products and round up the total

postage to the nearest whole cent.

9.2 Parcel Post (including Parcel

Select), Media Mail, Library Mail, and

Single-Piece Bound Printed Matter—

Postage Affixed

For each piece, affix the postage for

the weight increment and, if applicable,

the zone to which the piece is

addressed, as shown in R700. To

calculate the total postage for the

mailing, add all of the affixed postage

amounts for each piece.

9.3 Presorted and Carrier Route

Bound Printed Matter—Permit Imprint

Presorted and Carrier Route Bound

Printed Matter mailings paid with

permit imprint are charged a per pound

rate and a per piece rate as follows:

a. Per pound rate:

(1) For pieces 1 pound or less,

compute the per pound rate by

multiplying the total number of

addressed pieces by the 1-pound rate for

the rate category and zone. Do not round

this result.

(2) For pieces weighing more than 1

pound, compute the per pound rate by

multiplying the unrounded total weight

of the addressed pieces by the pound

rate for the category and zone. Do not

round this result.

b. Per piece rate. Multiply the total

number of addressed pieces by the

applicable piece rate.

c. Total Postage. Calculate total

postage by adding the total per piece

calculation to the total per pound

calculation. Round off the total postage

to the nearest whole cent.

9.4 Presorted and Carrier Route

Bound Printed Matter—Postage Affixed

Presorted and Carrier Route Bound

Printed Matter mailings with postage

affixed are charged a per pound rate and

a per piece rate as follows:

a. For each addressed piece, calculate

the per pound rate:

(1) If the piece weighs 1 pound or

less, the per pound rate is the rate listed

in R700.2.0 for the rate category and

zone.

(2) If the piece weighs more than 1

pound, compute the per pound rate by

multiplying the unrounded weight of

the piece by the pound rate for the

category and zone. Do not round this

result.

b. Postage per piece. Compute the

postage for each piece by adding the

calculated per pound rate to the per

piece rate for the category and zone.

Round this number up to the next tenth

of a cent. Affix this amount of postage

to the piece.

c. Total Postage for Mailing. Add all

of the affixed postage amounts for each

piece in the mailing.

P014 Refunds and Exchanges

* * * * *

2.0 POSTAGE AND FEES REFUNDS

* * * * *

[Amend 2.3 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’; no

other changes to text.]

2.4 Full Refund

[Amend 2.4 by revising 2.4f and 2.4i

to read as follows:]

A full refund (100%) may be made

when:

* * * * *

f. Fees are paid for special handling,

certified mail, Delivery Confirmation, or

Signature Confirmation and the article

fails to receive the special service for

which the fee is paid.

* * * * *

i. An annual presort mailing fee is

paid for Presorted First-Class Mail,

Standard Mail, Presorted Media Mail, or

Presorted Library Mail or a destination

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78609

entry mailing fee is paid for destination

entry Parcel Post and Bound Printed

Matter and no mailings are made during

the corresponding 12-month period.

* * * * *

[Effective November 5, 2000, the

Postal Service added new P014.2.11 to

clarify procedures for refunds for

stamps affixed to business reply mail.]

[Amend the fourth sentence of 2.11 to

add the new quarterly fee for Qualified

Business Reply Mail:]

2.11 Business Reply Mail

A business reply mail (BRM) permit

holder may request a credit or refund for

postage stamps affixed to returned BRM

pieces. Only the value of the postage

stamps affixed may be credited or

refunded. Refunds are not given for

foreign postage stamps affixed to BRM.

To receive a refund for postage stamps

affixed to returned BRM pieces, the

permit holder must submit a completed

Form 3533 to the postmaster,

documenting the excess postage

payment for which a credit or refund is

desired. The permit holder also must

present to the designated office properly

faced and banded packages of 100

identical BRM pieces with identical

amounts of postage affixed. A charge of

$15 per hour, or fraction thereof, is

assessed for the workhours used to

process the refund. With permission

from the postmaster, a BRM permit

holder may submit a package with fewer

than 100 BRM pieces. Refunds are not

given for any BRM or QBRM per piece

charges, annual accounting fees,

quarterly fees, or monthly maintenance

fees.

* * * * *

4.0 REFUND REQUEST FOR EXCESS

POSTAGE (VALUE ADDED REFUND)—

AT TIME OF MAILING

[Amend 4.1, 4.13, 4.14c, 4.14d,

4.17a(5) and 4.17a(6) and by changing

‘‘Standard Mail (A)’’ to ‘‘Standard

Mail’’; no other changes to text.]

* * * * *

P021 Stamped Stationery

* * * * *

2.0 PERSONALIZED STAMPED

ENVELOPE

* * * * *

2.5 Optional information

[Amend 2.5b by changing ‘‘Standard

Mail (A)’’ to ‘‘Standard Mail’’; no other

changes to text.]

* * * * *

P022 Postage Stamps

1.0 PURCHASE AND USE

1.2 Postage Due

[Amend 1.2 by removing the second

sentence to read as follows:]

Postage due must be paid in cash.

* * * * *

P023 Precanceled Stamps

1.0 BASIC INFORMATION

* * * * *

1.2 Use

[Amend 1.2 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

* * * * *

3.0 MAILER PRECANCELLATION

* * * * *

3.5 Content of Postmark

[Amend 3.5a by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

* * * * *

P030 Postage Meters and Meter

Stamps

1.0 BASIC INFORMATION

* * * * *

[Amend 1.5 by replacing ‘‘Special

Standard Mail’’ with ‘‘Media Mail’’; no

other changes to text.]

* * * * *

3.0 METER SETTING

* * * * *

[Amend the title of 3.5 by replacing

‘‘Setting’’ with ‘‘Service’’ to read as

follows:]

3.5 On-Site Meter Service Program

[Amend the last sentence of 3.5 to

show the new categories for on-site

meter setting and add a new sentence to

exclude secured postage devices from

the meter service fees to read as

follows:]

* * * The licensee must pay

applicable on-site meter service fees in

R900 and postage by check or advance

deposit account at the time of the meter

service. Secured postage meters are not

subject to checking in/checking out fees.

* * * * *

4.0 METER STAMPS

* * * * *

[Amend 4.8 and 4.9 by replacing

‘‘Standard Mail’’ with ‘‘Standard Mail

and Package Services’’; no other changes

to text.]

* * * * *

5.0 MAILINGS

[Amend 5.1 by replacing ‘‘Special

Standard Mail’’ with ‘‘Media Mail’’ and

by replacing ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’’; no other changes to

text.]

* * * * *

P040 Permit Imprints

1.0 BASIC INFORMATION

[Amend 1.1 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’ and

‘‘Standard Mail (B)’’ with ‘‘Package

Services’’; no other changes to text.]

* * * * *

2.0 INDICIA PREPARATION

* * * * *

[Amend 2.5 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

3.0 INDICIA CONTENT

* * * * *

[Amend 3.2 by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Services’’ in the heading and content.]

* * * * *

[Amend 3.4a by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Services.’’]

[Amend 3.4b by replacing ‘‘Standard

Mail (A’’ with ‘‘Standard Mail’’; no

other changes to text.]

4.0 INDICIA FORMAT

* * * * *

[Amend heading of Exhibit 4.1a by

replacing ‘‘Standard Mail (A) Official

Mail’’ with ‘‘Standard Mail Official

Mail’’ and ‘‘Standard Mail (B) Official

Mail’’ with ‘‘Package Services Official

Mail’’; replace indicia example

‘‘SPECIAL STANDARD MAIL’’ with

‘‘MEDIA MAIL’’; no other changes to

exhibit.]

* * * * *

[Amend the title of Exhibit 4.1b to

read as follows:]

Exhibit 4.1b Indicia Formats for FirstClass Mail, Standard Mail, and Package

Services

[Amend Exhibit 4.1b by replacing

‘‘Standard Mail (A)’’ with ‘‘Standard

Mail,’’ ‘‘Special Standard Mail’’ with

‘‘Media Mail,’’ and ‘‘PP D/S’’ with

‘‘Parcel Select.’’]

* * * * *

P070 Mixed Classes

1.0 ATTACHMENTS OF DIFFERENT

CLASSES

[Amend 1.1 by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Service Mail’’; no other changes to text.]

78610 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

[Amend 1.2 and 1.3 by replacing

‘‘Standard Mail (A)’’ with ‘‘Standard

Mail’’; no other changes to text.]

* * * * *

2.0 ENCLOSURE IN PERIODICALS

PUBLICATION

[Amend 2.1 through 2.10 by replacing

‘‘Standard Mail (A)’’ with ‘‘Standard

Mail’’; no other changes to text.]

[Revise heading of 3.0 to read as

follows:]

3.0 ENCLOSURE IN STANDARD

MAIL AND PACKAGE SERVICES MAIL

[Amend 3.2 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

* * * * *

[Amend heading of 5.0 by replacing

‘‘Special Standard Mail’’ with ‘‘Media

Mail’’ to read as follows:]

5.0 COMBINED MAILINGS OF MEDIA

MAIL AND BOUND PRINTED MATTER

* * * * *

5.4 Rating of Unmarked Parcel

[Amend 5.4 by replacing ‘‘Special

Standard Mail’’ with ‘‘Media Mail’’ and

amend the introductory paragraph in 5.4

to include Inter-BMC/ASF rates to read

as follows:]

A parcel containing Bound Printed

Matter and Media Mail is charged

postage at the Inter-BMC/ASF Parcel

Post rates if it:

* * * * *

P200 Periodicals

1.0 BASIC INFORMATION

* * * * *

[Amend 1.4 by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Services’’; no other changes to text.]

* * * * *

[Amend 1.9 by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Services’; no other changes to text.]

* * * * *

P600 Standard Mail

1.0 BASIC INFORMATION

[Amend 1.1 by redesignating 1.1b as

P700.1.1, redesignating 1.1a as 1.1, and

replacing ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’’; no other changes to

text.]

* * * * *

[Amend the heading of 2.0 to delete

‘‘Standard Mail (A)’’ to read as follows:]

2.0 PRESORTED AND ENHANCED

CARRIER ROUTE RATES

* * * * *

[Amend the heading of 3.0 to delete

‘‘Standard Mail (A)’’ to read as follows:]

3.0 AUTOMATION RATES

* * * * *

[Add new 4.0 to read as follows:]

4.0 MACHINABLE PARCEL

BARCODED DISCOUNT

4.1 All Parcels in Mailing Eligible

If 100% of the pieces in a mailing are

eligible for the machinable parcel

barcoded discount under E610 and

E620, then the mailing may be paid with

meter stamps, permit imprint, or

precanceled postage under the

applicable standards.

4.2 Less than 100% Eligibility

If less than 100% of the parcels in the

mailing are eligible for the machinable

parcel barcoded discount, then the

following standards apply:

a. Payment with precanceled stamps

is not permitted.

b. Metered postage may be used only

if exact postage is affixed to each piece

in the mailing.

c. Payment with permit imprint is

permitted only under a manifest mailing

system (P910).

[Add new 5.0 to read as follows:]

5.0 MAIL WITH SPECIAL SERVICES

5.1 Bulk Insurance

Mailings on which bulk insurance is

requested must have postage and fees

paid with permit imprint under a

manifest mailing system (P910).

5.2 Electronic Option Delivery

Confirmation

If electronic option Delivery

Confirmation is requested for all of the

pieces in the mailing and the mailing

consists of pieces of identical weight,

then postage may be paid with metered

postage or permit imprint under the

applicable standards in 2.0. If electronic

option Delivery Confirmation is not

requested for all of the pieces in the

mailing, or if the pieces are not identical

weight, then either the exact metered

postage must be affixed to each piece or

postage must be paid with permit

imprint under a manifest mailing

system (P910). Use of precanceled

stamps is not permitted with Delivery

Confirmation.

5.3 Return Receipt for Merchandise

If return receipt for merchandise is

requested for all of the pieces in the

mailing and the mailing consists of

pieces of identical weight, then postage

may be paid with metered postage or

permit imprint under the applicable

standards in 2.0. If return receipt for

merchandise is not requested for all of

the pieces in the mailing, or if the pieces

are not identical weight, then either the

exact metered postage must be affixed to

each piece or postage must be paid with

permit imprint under a manifest mailing

system (P910). Use of precanceled

stamps is not permitted with return

receipt for merchandise.

[Redesignate the heading P700 as

P900. Redesignate the heading and

contents of P710, P720, P730, P750, and

P760 as P910, P920, P930, P950, and

P960, respectively.]

[Add new P700 to read as follows:]

P700 Package Services

1.0 BASIC INFORMATION

1.1 Payment Method

[Redesignate P600.1.1b as the

contents of 1.1 and amend for clarity to

read as follows:]

The mailer is responsible for proper

postage payment. Subject to the

corresponding standards, postage for

Package Services mail may be paid by

any method except precanceled stamps.

Pieces with postage affixed must bear

the correct postage unless excepted by

standard. Permit imprint may be used

for mailings that contain nonidenticalweight pieces only under P910, P920, or

P930. Permit imprint may be used for

identical weight pieces provided the

mail can be separated at acceptance into

groups that each contain pieces subject

to the same zone and same combination

of rates (e.g., all are zone 4, Inter-BMC,

with a BMC presort discount and a

barcoded discount). Identical weight

permit imprint mail also may be mailed

under P910, P920, or P930.

1.2 Postage Statement and

Documentation

A complete, signed postage statement,

using the correct USPS form or an

approved facsimile, must accompany

each presorted and/or destination entry

rate Package Services mailing, and any

mailing paid with permit imprint. The

postage statement must be supported by

documentation as required by P012 and

the rate claimed unless the correct rate

is affixed to each piece or if each piece

is of identical weight and the pieces are

separated by rate when presented for

acceptance.

P900 Special Postage Payment

Systems

* * * * *

P920 Optional Procedure (OP) Mailing

System

1.0 BASIC INFORMATION

[Amend 1.1 by replacing ‘‘Standard

Mail’’ with ‘‘Standard Mail and Package

Services Mail’’; no other changes to

text.]

* * * * *

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78611

P950 Plant-Verified Drop Shipment

(PVDS)

1.0 DESCRIPTION

* * * * *

[Amend 1.2c and 1.3b by replacing

‘‘Standard Mail’’ with ‘‘Standard Mail

and Package Services’’; no other changes

to text.]

* * * * *

2.0 PROGRAM PARTICIPATION

* * * * *

[Amend 2.3e and 2.5 by replacing

‘‘Standard Mail’’ with ‘‘Standard Mail

and Package Services’’; no other changes

to text.]

* * * * *

[Amend 2.7 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

[Revise heading of 2.8 to read as

follows:]

2.8 Postage Statement—Package

Services Mail

[Amend 2.8 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’; no

other changes to text.]

* * * * *

4.0 POSTAGE

* * * * *

[Amend 4.2 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’; no

other changes to text.]

[Revise heading of 4.3 to read as

follows:]

4.3 Package Services Mail

[Amend 4.3 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’; no

other changes to text.]

* * * * *

[Amend the heading of 5.0 by

replacing ‘‘Standard Mail (A)’’ with

‘‘Standard Mail’’; no other changes to

text.]

* * * * *

[Revise heading of 6.0 to read as

follows:]

6.0 PACKAGE SERVICES PVDS

OPTION

* * * * *

[Amend 6.2 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’; no

other changes to text.]

* * * * *

[Amend heading of P960 by removing

‘‘(A)’’ to read as follows:]

P960 First-Class or Standard Mail

Mailings With Different Payment

Methods

* * * * *

[Amend entire R module to read as

follows:]

BILLING CODE 7710–12–P

78612 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78613

78614 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78615

78616 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78617

78618 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78619

78620 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78621

78622 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78623

78624 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78625

78626 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78627

78628 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78629

78630 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78631

78632 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78633

78634 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78635

78636 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78637

78638 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78639

78640 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78641

78642 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78643

78644 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78645

78646 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

BILLING CODE 7710–12–C

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78647

S SPECIAL SERVICES

S000 Miscellaneous Services

S010 Indemnity Claims

* * * * *

2.0 GENERAL FILING

INSTRUCTIONS

2.1 Who May File

[Amend 2.1 by revising 2.1a and 2.1c

to read as follows:]

A claim may be filed by:

a. Only the sender, for the complete

loss of a registered, insured, COD, or

Express Mail item (including

merchandise return service parcels to

which special services were added and

paid for by the sender).

* * * * *

c. Only the merchandise return permit

holder, for merchandise return service

parcels that are registered or insured as

indicated by the permit holder on the

MRS label.

* * * * *

S070 Mixed Classes

1.0 BASIC INFORMATION

1.1 Priority Mail Drop Shipment

[Amend 1.1 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’; and

by providing for use of Delivery

Confirmation and Signature Service

with enclosed mail to read as follows:]

For a Priority Mail drop shipment,

enclosed First-Class Mail may be sent

certified or special handing; enclosed

Standard Mail may be sent with

electronic option Delivery Confirmation;

enclosed Package Services mail may be

sent special handling, electronic option

Delivery Confirmation, or electronic

option Signature Confirmation.

Enclosed mail may not be sent

registered, insured, or collect on

delivery (COD). No special services may

be added to the Priority Mail segment of

the drop shipment.

1.2 Special Handling

[Amend 1.2 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’; no

other changes to text.]

* * * * *

S500 Special Services for Express

Mail

* * * * *

[Amend 2.0 by changing ‘‘Standard

Mail’’ to ‘‘Package Services’’ and by

providing for use of electronic option

Delivery Confirmation and electronic

option Signature Service with enclosed

mail to read as follows:]

2.0 EXPRESS MAIL DROP SHIPMENT

Mail enclosed in an Express Mail

drop shipment may be sent certified (if

First-Class Mail) or special handling.

For an Express Mail drop shipment,

enclosed First-Class Mail may be sent

certified or, if Priority Mail, with

electronic option Delivery Confirmation

service; enclosed Standard Mail parcels

may be sent with electronic option

Delivery Confirmation service; enclosed

Package Services mail may be sent with

special handling, electronic option

Delivery Confirmation service, or

electronic option Signature

Confirmation service. The enclosed mail

may not be sent collect on delivery

(COD), insured, or registered. For

Express Mail indemnity coverage, the

content of each Express Mail pouch is

considered one mailpiece.

S900 Special Postal Services

S910 Security and Accountability

S911 Registered Mail

1.0 BASIC INFORMATION

* * * * *

1.5 Additional Services

[Amend 1.5 by clarifying the

additional services that can be used

with registered mail to read as follows:]

Purchasing registered mail service

allows customers to then purchase

restricted delivery service or a return

receipt. The following additional

services may be combined with

registered mail if the applicable

standards for the services are met and

the additional service fees are paid:

a. COD.

b. Delivery Confirmation.

c. Signature Confirmation.

* * * * *

S912 Certified Mail

1.0 BASIC INFORMATION

* * * * *

1.4 Additional Services

[Revise 1.4 to read as follows:]

Purchasing certified mail service

allows customers to then purchase

restricted delivery service or a return

receipt.

[Add new 1.5 to specify that mailers

may request a receipt after mailing to

read as follows:]

1.5 Delivery Record

Mailers may request a delivery record

after mailing under S915.

2.0 MAILING

* * * * *

2.5 Procedure

[Amend 2.5 by revising 2.5a to read as

follows:]

A mailer of certified mail must:

a. Enter on Form 3800 the name and

complete address of the person or firm

to whom the mail is addressed.

* * * * *

S913 Insured Mail

1.0 BASIC INFORMATION

* * * * *

1.2 Eligible Matter

[Amend 1.2 by changing the class

names, removing the ‘‘Standard Mail

Enclosed’’ marking requirement, and

adding bulk insurance to Standard Mail

to read as follows:]

The following types of mail matter

may be insured:

a. Package Services.

b. First-Class Mail (including Priority

Mail), if it contains matter that may be

mailed as Package Services.

c. Standard Mail pieces subject to the

residual shape surcharge (bulk

insurance only).

d. Official government mail endorsed

‘‘Postage and Fees Paid.’’

1.3 Ineligible Matter

[Amend 1.3 by revising 1.3f to read as

follows:]

The following types of mail may not

be insured:

* * * * *

f. Standard Mail cards, letters, and

flats (i.e., pieces that are not subject to

the residual shape surcharge).

* * * * *

1.5 Additional Services

[Revise 1.5 to read as follows:]

Insuring an item for more than $50

allows customers to then purchase

restricted delivery service or a return

receipt. The following additional

services may be combined with

insurance if the applicable standards for

the services are met and the additional

service fees are paid:

a. Delivery Confirmation.

b. Parcel airlift service (PAL).

d. Return receipt for merchandise (for

items insured for up to $50).

f. Signature Confirmation.

g. Special handling.

[Add new 1.6 to show that customers

may request a delivery record after

mailing to read as follows:]

1.6 Delivery Record

Mailers may request a delivery record

after mailing under S915.

* * * * *

2.0 MAILING

* * * * *

78648 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

[Effective November 30, 2000, the

Postal Service revised DMM S913.2.0 to

include new information about

integrated barcodes. See Postal Bulletin

22038 (11–30–00). The revisions below

reflect those changes.]

2.5 Integrated Barcodes

[Amend 2.5 to include information

about Signature Confirmation to read as

follows:]

There are two other options available

for mailers who print their own labels:

a. An integrated barcode may be used

by Delivery Confirmation electronic

option mailers who wish to combine

insurance with Delivery Confirmation or

insurance with Signature Confirmation

into a single barcode on the shipping

label to eliminate multiple labels and

barcodes on packages. Additional

information on the integrated barcode

solution can be found in Publication 91,

Delivery Confirmation Technical Guide,

November 2000 edition (which includes

the Addendum on Signature

Confirmation and integrated barcodes.)

b. Mailers have a third option for

privately printed labels with insurance.

The privately printed form must meet

the specifications described in

Publication 91 (see Exhibit 2.4).

Applicable certification procedures

must be followed, also as specified in

Publication 91.

* * * * *

4.0 DELIVERY

[Amend 4.0 by changing ‘‘parcel’’ to

‘‘item’’ to read as follows:]

An item insured for $50 or less is

delivered as ordinary mail. Delivery of

insured mail is subject to D042.

S914 Certificate of Mailing

1.0 BASIC INFORMATION

1.1 Description

[Amend 1.1 to read as follows:]

Certificate of mailing service provides

evidence that mail has been presented

to the Postal Service for mailing.

Certificate of mailing service does not

provide a record of delivery.

[Revise heading of 1.2 to read as

follows:]

1.2 Eligible Matter—Bulk Quantities

[Amend 1.2 by clarifying text to read

as follows:]

Form 3606 is used for a bulk mailing

as a certificate to specify the number of

pieces mailed. This certificate is

provided only for a mailing of identical

pieces of First-Class Mail, Standard

Mail, and Package Services. This

certificate states only the total number

of articles mailed and must not be used

as an itemized list. A certificate of

mailing cannot be issued for a bulk

mailing paid with a permit imprint.

[Revise heading of 1.3 to read as

follows:]

1.3 Eligible Matter—Single Pieces

[Amend 1.3 by clarifying text to read

as follows:]

Form 3817 is used for a certificate for

a single piece of First-Class Mail

(including Priority Mail) or Package

Services. Privately printed forms also

may be used.

[Revise heading of 1.4 to read as

follows:]

1.4 Eligible Matter—Three or More

Single Pieces

[Amend 1.4 by clarifying the first

sentence to read as follows:]

When requesting a certificate of

mailing for three or more pieces of

single-piece rate mail presented at one

time, a mailer may use Form 3877 (firm

mailing book) or a privately printed

facsimile, subject to payment of the

applicable fee for each item listed.

***

* * * * *

[Add new 1.7 to read as follows:]

1.7 Additional Services

The following services may be

combined with certificate of mailing on

single pieces if the applicable standards

for the services are met and the

additional service fees are paid:

a. Parcel airlift service (PAL).

b. Special handling.

* * * * *

S915 Return Receipt

1.0 BASIC INFORMATION

1.1 Description

[Revise 1.1 to show that the return

receipt is mailed back to sender:]

Return receipt service provides a

mailer with evidence of delivery (to

whom the mail was delivered and date

of delivery). After delivery, the return

receipt is mailed back to the sender. A

return receipt requested before mailing

also supplies the recipient’s actual

delivery address, if the delivery address

is different from the address used by the

sender. A return receipt may be

requested before or after mailing.

[Revise 1.2 to read as follows:]

1.2 Eligible Matter

Return receipt service is available for

Express Mail. It is available also for

First-Class Mail (including Priority

Mail) and Package Services when

purchased at the time of mailing with

one of the following services:

a. Certified mail.

b. COD.

c. Insurance (for more than $50).

d. Registered mail.

* * * * *

[Add new 1.7 to show additional

services to read as follows:]

1.7 Additional Services

If return receipt service has already

been purchased with one of the services

listed in 1.2, then one or more of the

following special services may be

combined with those services at the

time of mailing if the applicable

standards for the services are met and

the additional service fees are paid:

a. Delivery Confirmation (Priority

Mail and Package Services only).

b. Parcel airlift service (PAL) (Priority

Mail and Package Services only).

c. Restricted delivery.

d. Signature Confirmation (Priority

Mail and Package Services only).

e. Special handling.

2.0 OBTAINING SERVICE

* * * * *

2.2 After Mailing

[Revise 2.2 to clarify how to apply for

a delivery record after mailing:]

The mailer may request a delivery

record after mailing for Express Mail,

certified mail, registered mail, COD

mail, and mail insured for more than

$50. When a delivery record is

available, the USPS provides the mailer

information from that record, including

to whom the mail was delivered and the

date of delivery. The mailer requests a

delivery record by completing Form

3811–A, paying the appropriate fee in

R900, and submitting the request to one

of the following offices:

a. For items mailed to an APO/FPO,

U.S. territory or possession, or freely

associated state (with the exception of

Puerto Rico and the U.S. Virgin Islands),

the form should be sent to the office of

delivery.

b. For items delivered prior to

activation of the signature capture

process (August 1, 2000), send the form

to the office of delivery.

c. For items delivered on or after

activation of the signature capture

process (August 1, 2000), send the form

to any post office.

[Add new 2.3 to show the time limits

for requesting a delivery record after

mailing:]

2.3 Time Limit

A request for a return receipt after

mailing for Express Mail must be

submitted within 90 days after the date

of mailing. All other requests must be

submitted within 2 years from the date

of mailing.

* * * * *

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78649

4.0 REQUESTS FOR DELIVERY

INFORMATION

* * * * *

[Amend 4.2 to remove references to

the ‘‘actual delivery record’’ to read as

follows:]

4.2 Form 3811–A

The mailer must complete a Form

3811–A at any post office. The

applicable fee is waived if the mailer

can produce a receipt showing the

applicable return receipt fee was paid.

* * * * *

S916 Restricted Delivery

1.0 BASIC INFORMATION

* * * * *

[Revise the heading and text of 1.2 to

clarify that restricted delivery cannot be

used with Standard Mail to read as

follows:]

1.2 Eligible Matter

Restricted delivery service is available

for First-Class Mail (including Priority

Mail) and Package Services that is sent

COD, insured for more than $50,

registered, or certified.

* * * * *

[Add new 1.7 to read as follows:]

1.7 Additional Services

In addition to the prerequisites listed

in 1.2, the following services may be

combined with restricted delivery if the

applicable standards for the services are

met and the additional service fees are

paid:

a. Delivery Confirmation.

b. Parcel airlift service (PAL).

c. Signature Confirmation.

d. Special handling.

* * * * *

S917 Return Receipt for Merchandise

1.0 BASIC INFORMATION

1.1 Description

[Add the following sentence after the

first sentence:]

* * * After delivery, the return

receipt is mailed back to the

sender.***

* * * * *

[Revise heading of 1.2 to read as

follows:]

1.2 Eligible Matter

[Amend 1.2 to add return receipt for

merchandise service to Standard Mail:]

Return receipt for merchandise is

available for merchandise sent as

Priority Mail, Standard Mail pieces

subject to the residual shape surcharge,

and Package Services.

1.3 Additional Services

[Amend 1.3 by clarifying text to read

as follows:]

The following services may be

combined with return receipt for

merchandise if the applicable standards

for the services are met and the

additional service fees are paid:

a. Delivery Confirmation.

b. Insurance (for up to $50).

c. Parcel airlift service (PAL).

d. Special handling.

* * * * *

[Add new 2.7 to specify how a mailer

applies for a delivery record:]

2.7 Receipt Not Received

A mailer who does not receive return

receipt for merchandise service for

which the mailer has paid may request

information from the delivery record, at

no additional charge, by using Form

3811–A. Any request must be filed

within 2 years after the date of mailing.

Mailers cannot request a delivery record

unless the item originally was sent with

return receipt for merchandise.

3.0 DELIVERY

[Amend 3.0 to delete information

about delivery records to read as

follows:]

Delivery of return receipt for

merchandise mail is subject to D042.

S918 Delivery Confirmation

1.0 BASIC INFORMATION

* * * * *

1.2 Eligible Matter

[Amend 1.2 by adding availability of

electronic option to Standard Mail

subject to residual shape surcharge to

read as follows:]

Delivery Confirmation service is

available for Priority Mail, Standard

Mail pieces subject to the residual shape

surcharge (electronic option only), and

Package Services.

[Revise the heading and text of 1.3 to

read as follows:]

1.3 Ineligible Matter

Delivery Confirmation is not available

for the following:

a. Mail addressed to APO/FPO

destinations or to United States

territories, possessions, and freelyassociated states listed in G011 (except

for Puerto Rico and U.S. Virgin Islands,

to which service is available).

b. Mail paid with precanceled stamps.

c. Standard Mail cards, letters, and

flats (i.e., pieces that are not subject to

the residual shape surcharge).

* * * * *

3.0 BARCODES

* * * * *

[Effective November 30, 2000, the

Postal Service revised DMM S918.3.4

and S918.4.0c to include new

information about integrated barcodes.

See Postal Bulletin 22038 (11–30–00).

The revisions below reflect those

changes.]

3.4 Integrated Barcodes

An integrated barcode may be used by

mailers printing their own barcodes and

using the electronic service option.

Mailers may combine Delivery

Confirmation and insurance services

into a single barcode on the shipping

label and eliminate multiple labels and

barcodes on packages. Mailers must still

meet existing specifications in 3.1 and

3.2. Minor modifications allow users to

request multiple special services on

Priority Mail and Package Services. Two

required changes are:

a. Change the text above the barcode

to identify the service requested.

Exhibits are included in Publication 91,

Delivery Confirmation Technical Guide,

November 2000 edition (which includes

the Addendum on Signature

Confirmation and integrated barcode).

b. Change the service type code in the

barcode to identify the class of mail

and/or type of special services

combined with Delivery Confirmation.

Additional information on the Service

Type Code Matrix can be found in the

Publication 91, Delivery Confirmation

Technical Guide, November 2000

edition.

4.0 ELECTRONIC FILE

TRANSMISSION

* * * * *

c. Mailers using the electronic option

are required to include additional fields

in the electronic file when planning to

use the integrated barcode. For more

information consult Publication 91,

Delivery Confirmation Technical Guide,

November 2000 edition.

5.0 ACCEPTANCE

[Amend 5.0 by deleting the last

sentence in 5.0a.]

* * * * *

[Add new S919 for Signature

Confirmation to read as follows:]

S919 Signature Confirmation

1.0 BASIC INFORMATION

1.1 Description

Signature Confirmation service

provides the mailer with information

about the date and time an article was

delivered and, if delivery was attempted

but not successful, the date and time of

the delivery attempt. A delivery record,

including the recipient’s signature, is

maintained by the USPS and is

78650 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

available, via fax or mail, upon request.

No acceptance record is kept at the

office of mailing. Signature

Confirmation service is available only at

the time of mailing. Signature

Confirmation service does not include

insurance.

1.2 Eligible Matter

Signature Confirmation is available

for Priority Mail and Package Services.

1.3 Ineligible Matter

Signature Confirmation service is not

available for the following:

a. Mail addressed to APO/FPO

destinations or to United States

territories, possessions, and freelyassociated states listed in G011 (except

for Puerto Rico and U.S. Virgin Islands,

to which service is available).

b. Mail paid with precanceled stamps.

1.4 Service Options

The two Signature Confirmation

service options are:

a. Retail option: Available at post

offices at the time of mailing. A mailing

receipt is provided. Mailers can access

delivery information over the Internet at

www.usps.com or by calling 1–800–

222–1811 toll-free and providing the

article number.

b. Electronic option: Available to

mailers who apply identifying barcodes

to each piece, establish an electronic

link with the Postal Service to exchange

acceptance and delivery data, provide

an electronic file of Signature

Confirmation pieces that are entered for

mailing, and retrieve delivery status

information electronically. No mailing

receipt is provided. Mailers can access

delivery information over the Internet at

www.usps.com or through their

electronic file. Requests for delivery

records can be made over the Internet or

by calling 1–800–222–1811 toll-free and

providing the article number.

1.5 Fees and Postage

The applicable Signature

Confirmation fee in R900 must be paid

in addition to the correct postage. The

fee and postage may be paid with

postage stamps, meter stamps, or permit

imprint.

1.6 Additional Services

The following special services may be

combined with Signature Confirmation

if the applicable standards for the

services are met and the additional

service fees are paid:

a. Collect on delivery (COD).

b. Insurance.

c. Registered mail.

d. Restricted delivery (if purchased

with insurance for more than $50, COD,

or registry service).

e. Special handling.

1.7 Where to Mail

A mailer may mail articles with retail

option Signature Confirmation at a post

office, branch, or station, or give articles

to a rural carrier.

1.8 Firm Mailing Books

If three or more articles are presented

for mailing at one time, the mailer may

use Form 3877, Firm Mailing Book for

Accountable Mail, provided by the

Postal Service at no charge, or privately

printed firm mailing bills. Privately

printed or computer-generated firm

mailing bills that contain the same

information as Form 3877 may be used

if approved by the local postmaster. The

mailer may omit columns from Form

3877 that are not applicable to Signature

Confirmation mail. Required elements

are the package identification code

(PIC), 5-digit destination ZIP Code, and

applicable fees. If the mailer wants the

firm mailing bills receipted by the

Postal Service, the mailer must present

the books with the articles to be mailed

at a post office. The sheets of the books

are the mailer’s receipts. All entries

made in firm mailing books must be

made by typewriter or ink. Alterations

must be initialed by the mailer and

accepting postal employee. All unused

portions of the addressee column must

be obliterated with a diagonal line. A

receipt is required for refund requests.

1.9 Signature Waiver

Customers who waive the signature

requirement must accept the delivery

employee’s signature and date of

delivery as proof of delivery. Customers

who waive the signature requirement

will be provided only the date of

delivery in the delivery record, unless a

special request for the delivery

employee’s signature is made. For retail

labels, detach both parts of the gummed

label and attach to the mailpiece.

Waiver of signature is not available

when Signature Confirmation is

combined with other special services.

2.0 LABELS

2.1 Types of Labels

Mailers may use one of the three

Signature Confirmation label options

shown in Exhibit 2.1. Additional

information may be found in a

supplement to Publication 91, Delivery

Confirmation Technical Guide

(November 2000 edition):

a. Form 153 obtained from the post

office at no charge. This form may be

used only with the retail option (see

Exhibit 2.1a).

[Exhibit 2.1a, PS Form 153, will be

published at a later date.]

b. USPS Label 315, available at no

charge to electronic option mailers (see

Exhibit 2.1b).

[Exhibit 2.1b, Label 315, will be

published at a later date.]

c. Privately printed barcoded labels

that meet the requirements in 2.0 and

3.0 (see Exhibit 2.1c).

[Exhibit 2.1c, Privately Printed Label,

will be published at a later date.]

2.2 Label Placement

The barcoded label section of Label

315 or Form 153 must be placed either

above the delivery address and to the

right of the return address or to the left

of the delivery address. A privately

printed Signature Confirmation label

that is separate from a privately printed

address label must be placed in close

proximity to the address label. In all

cases, the entire Signature Confirmation

label must be placed on the address side

of the mailpiece and not overlap any

adjacent side.

3.0 BARCODES

3.1 Symbology

Labels printed by mailers must meet

the following symbology requirements:

a. Mailers printing their own barcodes

and using the retail option (1.4a) must

print their barcodes using Automatic

Identification Manufacturers’ (AIM)

Uniform Specifications for USS Code

Interleaved 2 of 5.

b. Mailers printing their own barcodes

and using the electronic option (1.4b)

must use one of the following barcode

symbologies: UCC/EAN 128, USS Code

Interleaved 2 of 5, USS Code 39, or USS

Code 128. Each barcode must represent

a unique Package Identification Code

(PIC) as specified in 3.2. The barcodes

must meet the specifications in

Publication 91.

3.2 Package Identification Code (PIC)

Each barcode symbology must

represent a unique PIC:

a. For UCC/EAN 128, each barcode

must represent a unique PIC and be

made up of five fields totaling from 16

to 22 characters. Additional information

and specifications can be found in

Publication 91. The five required data

fields are:

(1) Application Identifier (AI): two

characters; identifies the barcode as a

postal barcode.

(2) Service Type Code (STC): two

characters; identifies the type of product

or service used for each item.

(3) Customer ID: nine characters;

DUNS number that uniquely identifies

the customer.

(4) Package Sequence Number (PSN):

variable from 2 to 8 numbers.

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78651

(5) Modulus 10 Check digit: one

character. See Publication 91 for use of

the concatenated barcode for routing

purposes.

b. For USS Code Interleaved 2 of 5,

USS Code 39, and USS Code 128, each

barcode must contain a unique PIC and

be made up of four fields totaling 20

characters. The four required data fields

are fields 2 through 5 above with a fixed

sequential number of 8 digits.

Additional information and

specifications can be found in

Publication 91. These symbologies do

not use an Application Identifier (AI).

3.3 Printing

Labels printed by mailers must meet

the following specifications:

a. Each barcoded label must bear a

unique Signature Confirmation PIC

barcode as specified in 3.2 and have

‘‘USPS SIGNATURE CONFIRMATION’’

printed between 1⁄8 inch and 1⁄2 inch

above the barcode in minimum 12-point

bold sans serif type. Human-readable

characters that represent the barcode ID

must be printed between 1⁄8 inch and 1⁄2

inch under the barcode in minimum 10-

point bold sans serif type. These

characters must be parsed in accordance

with Publication 91. There must be a

minimum of 1⁄8-inch clearance between

the barcode and any printing. The

preferred range of widths of narrow bars

and spaces is 0.015 inch to 0.017 inch.

The width of the narrow bars or spaces

must be at least 0.013 inch but no more

than 0.021 inch. All bars must be at

least 3⁄4 inch high. Bold (1⁄16 inch

minimum) bars must appear between 1⁄8

inch and 1⁄2 inch above and below the

human-readable endorsements to

segregate the Signature Confirmation

barcode from other areas of the shipping

label. The line length must be equal to

the length of the barcode (see Exhibit

2.1b).

b. Each barcode must meet the

requirements in 3.1 for the type of

service requested.

c. Mailers must obtain Postal Service

certification for each printer used to

print barcoded Signature Confirmation

labels. For certification, a mailer must

forward for evaluation and approval 20

barcoded labels/forms generated by each

printer to the National Customer

Support Center (NCSC), Attention

Barcode Certification (see G043 for

address). The Postal Service will issue

the mailer a PS Form 3152, Delivery

Confirmation Certification, for each

printer certified. All barcodes must be

in accordance with 2.0 and 3.0. Further

certification instructions are included in

Publication 91.

d. Barcodes that do not meet

specifications will not be accepted by

the USPS. The USPS will contact the

mailer if problems with the barcodes are

found and will try to resolve the

problem. The USPS may suspend a

mailer’s certification if electronic file

quality does not meet specifications.

e. Mailers who have previously

received certification for label printing

under the Delivery Confirmation

program are not required to obtain any

additional certification to use Signature

Confirmation.

3.4 Integrated Barcodes

An integrated barcode may be used by

mailers printing their own barcodes and

using the electronic service option.

Mailers may combine Signature

Confirmation and insurance into a

single barcode on the shipping label and

eliminate multiple labels and barcodes

on packages. Mailers must still meet

existing specifications in 3.1 and 3.2.

Minor modifications allow users to

request multiple special services on

Priority Mail and Package Services. Two

required changes are:

a. Change the text above the barcode

to identify the service requested.

Exhibits are included in Publication 91,

Delivery Confirmation Technical Guide,

November 2000 edition (which includes

the Addendum on Signature

Confirmation and integrated barcode).

b. Change the service type code in the

barcode to identify the class of mail

and/or type of special services

combined with Signature Confirmation.

Additional information on the Service

Type Code Matrix can be found in the

Publication 91, Delivery Confirmation

Technical Guide, November 2000

edition.

4.0 ELECTRONIC FILE

TRANSMISSION

Mailers must meet the following

standards for electronic file

transmission:

a. Publication 91 contains

specifications for electronic file

transmission. A test file transmission

must be uploaded and approved before

mailings begin. Upon certification,

USPS will issue to the mailer a Form

3152, Delivery Confirmation

Certification.

b. Mailers using the electronic option

will be required to transmit a file with

a unique record for each article mailed.

The USPS may suspend a mailer’s

certification if the electronic file quality

does not meet specifications. In

addition, USPS acceptance units will be

notified to charge the customer the retail

option Signature Confirmation fee.

c. Mailers who have previously

received certification for electronic file

transmission under the Delivery

Confirmation program are not required

to obtain any additional certification for

Signature Confirmation service use.

d. Mailers using the electronic option

are required to include additional fields

in the electronic file when planning to

use the integrated barcode. For more

information, consult Publication 91.

5.0 ACCEPTANCE

Customers must meet the following

requirements when presenting

electronic option Signature

Confirmation mail for acceptance:

a. Presorted or permit imprint

mailings containing pieces for which

fees are paid for Signature Confirmation

service must be presented to a post

office business mail entry unit (BMEU),

detached mail unit (DMU) at the

mailer’s plant, bulk mail center or

auxiliary service facility business mail

entry unit, or other postal facility

capable of properly verifying the

mailing and at which the mailer has

obtained the necessary permits or

license and paid any applicable mailing

fee.

b. Mailers who use the electronic

option must submit a completed Form

3152 with each mailing. Each Form

3152 must contain the electronic file

number or barcode equivalent, date of

mailing, and, if available, the total

number of pieces by class of mail. The

barcode format must comply with

standards in Publication 91.

S920 Convenience

S921 Collect on Delivery (COD) Mail

1.0 BASIC INFORMATION

1.1 Description

[Amend 1.1 to show the new $1,000

limit for COD to read as follows:]

Any mailer may use collect on

delivery (COD) service to mail an article

for which the mailer has not been paid

and have its price and the cost of the

postage collected from the recipient. If

the recipient pays the amount due by

check payable to the mailer, the USPS

forwards the check to the mailer. If the

recipient pays the amount due in cash,

the USPS collects the money order fee(s)

from the recipient and sends a postal

money order(s) to the mailer. The

amount collected from the recipient

may not exceed $1,000. COD service

provides the mailer with a mailing

receipt, and a delivery record is

maintained by the Postal Service.

[Amend 1.2 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’ and

‘‘Special Standard Mail’’ with ‘‘Media

Mail’’; no other changes to text.]

* * * * *

78652 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

[Amend title of 1.4 by replacing

‘‘Other’’ with ‘‘Additional’’ to read as

follows:]

1.4 Additional Services

[Amend 1.4 by clarifying the text to

read as follows:]

Purchasing COD service allows

customers to then purchase restricted

delivery service or a return receipt. The

following additional services may be

combined with COD if the applicable

standards for the services are met and

the additional service fees are paid:

a. Delivery Confirmation (not

available with Express Mail COD).

b. Registered mail.

c. Signature Confirmation.

d. Special handling.

* * * * *

[Effective November 5, 2000, the

Postal Service completely rewrote DMM

standards for business reply mail (see

Postal Bulletin 22035 (10–19–00),

available via www.usps.com). This

rewrite was done for clarity and

consistency. Therefore, standards for

business reply mail in this final rule

have been reorganized to reflect the new

structure of DMM units E150, P014,

R900, and S922. There have been no

substantive changes to these standards

since publication in the proposed rule.]

S922 Business Reply Mail (BRM)

* * * * *

3.0 POSTAGE, PER PIECE CHARGES,

AND ACCOUNTING FEES

* * * * *

3.3 Annual Accounting Fee and

Advance Deposit Account

[Amend 3.3 to show that BRM no

longer requires a unique advance

deposit account:]

A permit holder may choose to pay an

annual accounting fee and establish an

advance deposit account, which

qualifies returned BRM pieces for the

high-volume per piece charge. The

accounting fee must be paid once each

12-month period at each post office

where a permit holder holds an advance

deposit account. Payment of the

accounting fee is based on the

anniversary date of the initial payment.

The fee may be paid in advance only for

the next 12-month period and only

during the last 60 days of the current 12-

month period. The fee charged is that

which is in effect on the date of

payment. An advance deposit account

can be used for BRM under these

conditions:

* * * * *

7.0 ADDITIONAL STANDARDS FOR

QUALIFIED BUSINESS REPLY MAIL

(QBRM)

* * * * *

[Add new 7.7 and 7.8 for the quarterly

fee to read as follows:]

7.7 Quarterly Fee for High-Volume

QBRM

Mailers may choose to pay a quarterly

fee in addition to the annual accounting

fee; payment of the quarterly fee entitles

mailers to a lower per piece charge (the

high-volume QBRM per piece charge

listed in R900.4.4). The quarterly fee

(and annual accounting fee) must be

paid at each post office where mail is

returned and for each separate billing

desired. Mailers are committed to the

‘‘quarterly fee system’’ only for the time

they pay the quarterly fee (i.e., mailers

can opt out of the quarterly fee and

high-volume QBRM per piece charges

by simply not paying the fee for the next

quarter). The quarterly fee cannot be

paid or renewed retroactively to receive

a lower per piece charge on pieces

already paid for and delivered. The

quarterly fee can be paid for any three

consecutive calendar months.

7.8 Payment Period for Quarterly Fee

The quarterly fee must be paid in

advance for at least one but no more

than four quarterly periods. A quarterly

period begins on either the first day of

the month (if a mailer pays on or before

the 15th of the month) or the first day

of the following month (if a mailer pays

after the 15th of the month) and

continues for three consecutive calendar

months. A mailer who pays the

quarterly fee is entitled to the highvolume QBRM per piece charge from

the date of payment through the end of

the quarterly period. The fee paid is that

which is in effect on the date of

payment.

* * * * *

S923 Merchandise Return Service

1.0 BASIC INFORMATION

1.1 Description

[Amend 1.1 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’ and

‘‘Special Standard Mail’’ with ‘‘Media

Mail’’ and by deleting references to the

per piece fee to read as follows:]

Merchandise return service allows an

authorized permit holder to pay the

postage and special service fees on

single-piece rate First-Class Mail,

Priority Mail, and Package Services

parcels that are returned to the permit

holder by the permit holder’s customers

via a special label produced by the

permit holder.

* * * * *

1.3 Payment Guarantee

[Revise 1.3 to read as follows:]

The permit holder guarantees

payment of the proper postage and

special service fees (except for

insurance purchased by the sender) on

all parcels returned via a special label

produced by the permit holder.

* * * * *

1.8 Priority Mail Reshipment

[Amend 1.8 by replacing ‘‘Standard

Mail’’ with ‘‘Package Services’’; no other

changes to text.]

* * * * *

1.11 Mailer Markings and

Endorsements

[Amend 1.11 to show that unmarked

pieces will be treated as Parcel Post to

read as follows:]

It is recommended but not required

that permit holders preprint a rate

marking on the merchandise return

service labels they distribute.

Preprinting a rate marking guarantees

that returned parcels will be given

service and charged postage according

to the wishes of the permit holder.

Regardless of weight, all unmarked

parcels will be treated as Parcel Post

and charged Parcel Post rates.

[Remove item 1.12.]

2.0 PERMITS

* * * * *

2.3 Multiple Accounts

[Amend 2.3 to clarify the reference to

the annual accounting fee:]

When an advance deposit account is

kept at each entry location, a separate

permit is needed and the annual

merchandise return service permit and

annual accounting fees must be paid at

each office.

* * * * *

2.7 Permit Cancellation

[Amend 2.7 to remove references to

the per piece fee and to delete the last

sentence to read as follows:]

The USPS may cancel a permit if the

permit holder refuses to accept and pay

postage and fees on merchandise return

service parcels, fails to keep sufficient

funds in the advance deposit account to

cover postage and fees, or distributes

merchandise return labels or tags that

do not meet USPS standards.

* * * * *

[Revise 3.0 to read as follows:]

Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations 78653

3.0 POSTAGE AND FEES

3.1 Postage

Merchandise return service parcels

are charged single-piece rate postage

and special service fees based on the

class or subclass marking on the label.

If a parcel is unmarked, then it is

charged Parcel Post rates. If the postage

for the returned parcel is zoned and

there is no way to determine where it

was sent from (i.e., no postmark or

return address), then postage is

calculated at zone 4 (for Priority Mail)

or zone 4 Inter-BMC/ASF rates (for

Parcel Post). Postage is deducted from

an advance deposit account.

3.2 Per Piece Charge

There is no per piece charge for

returned parcels.

3.3 Permit Fee

A permit fee is charged once each 12-

month period on the anniversary date of

the permit. The fee may be paid in

advance only for the next year and only

during the last 60 days of the current

service period. The fee charged is that

which is in effect on the date of

payment.

3.4 Advance Deposit Account and

Annual Accounting Fee

The permit holder must pay postage

and special service fees through an

advance deposit account and must pay

an annual accounting fee (see R900).

The accounting fee is charged once each

12-month period on the anniversary

date of the initial accounting fee

payment. The fee may be paid in

advance only for the next year and only

during the last 60 days of the current

service period. The fee charged is that

which is in effect on the date of

payment. A separate advance deposit

account for MRS is not required; the

annual accounting fee is charged if MRS

postage and fees are paid from an

existing account.

a. For each withdrawal, only one

statement is provided for each annual

accounting fee paid.

b. The permit holder must pay an

annual accounting fee for each separate

statement (accounting) requested. If

only one annual account fee is paid,

then the permit holder receives only one

statement.

4.0 ADDITIONAL FEATURES

[Amend heading of 4.1 by adding

‘‘Indicated by Permit Holder’’ to read as

follows:]

4.1 Insurance Indicated by Permit

Holder

[Amend 4.1 by clarifying text to read

as follows:]

The permit holder may obtain insured

mail service with MRS. Only Package

Services matter (i.e., matter not required

to be mailed at First-Class Mail rates

under E110) may be insured. Insured

mail may be combined with Delivery

Confirmation and special handling, or

both. To request insured mail service,

the permit holder must preprint or

rubber-stamp ‘‘Insurance Desired by

Permit Holder for $____(value)’’ to the

left of and above the ‘‘Merchandise

Return Label’’ legend and below the

‘‘Total Postage and Fees Due’’ statement

on the merchandise return label. The

value part of the endorsement, showing

the dollar amount of insurance for the

article, may be handwritten by the

permit holder. If insurance is paid for by

the MRS permit holder, then only the

MRS permit holder may file a claim

(S010).

[Remove current 4.2. Add new 4.2 to

read as follows:]

4.2 Insurance Added by Sender

If the permit holder has not indicated

insured mail service on the MRS label,

then the sender has the option of adding

insurance and paying the applicable

insured fee. If insurance is paid by the

sender, then only the sender may file a

claim (S010). The permit holder pays

postage upon receipt, but does not pay

the insured fee when insurance is added

by the sender.

[Revise the title of 4.3 to read

‘‘Insured Markings’’; no other changes to

text.]

* * * * *

5.0 FORMAT

* * * * *

5.6 Format Elements

[Amend 5.6 by revising 5.6c to clarify

that rate markings are optional on MRS

labels.]

Format standards required for the

merchandise return label are shown in

Exhibit 5.6a, Exhibit 5.6b, Exhibit 5.6c,

and Exhibit 5.6d, and described as

follows:

* * * * *

c. Rate Marking. If the rate marking

recommended in 1.11 is used, it must be

placed in the space to the right and

above the ‘‘Merchandise Return Label’’

legend. The marking must be at least 3⁄16

inch high and printed or rubberstamped. Only the permit holder may

apply this marking.

* * * * *

[Amend the postage and fee markings

shown in 5.6d(2) to remove the entry for

the merchandise return service fee.]

[Amend the postage and fee markings

shown in 5.6e(2) to remove the entry for

the merchandise return service fee.]

[Amend Exhibits 5.6a, 5.6b, 5.6d, and

5.6c to remove the entry for the

merchandise return service fee.]

* * * * *

S924 Bulk Parcel Return Service

1.0 BASIC INFORMATION

1.1 Description

[Amend 1.1 to change ‘‘Standard Mail

(A)’’ to ‘‘Standard Mail’’ and to add

payment information:]

Bulk parcel return service (BPRS)

allows mailers of large quantities of

Standard Mail machinable parcels that

are either undeliverable-as-addressed or

opened and remailed by addressees to

be returned to designated postal

facilities. The mailer has the option of

picking up all returned parcels from a

designated postal facility at a

predetermined frequency specified by

the Postal Service or having them

delivered by the Postal Service in a

manner and frequency specified by the

Postal Service. For this service a mailer

pays an annual permit fee and a per

piece charge for each parcel returned.

Payment for the returned pieces is

deducted from an advance deposit

account.

1.2 Availability

[Amend 1.2 by replacing ‘‘Standard

Mail (A)’’ with ‘‘Standard Mail’’ and

‘‘Standard Mail (B)’’ with ‘‘Package

Services’’ in 1.2i; no other changes to

text.]

* * * * *

[Add new 1.4 to indicate that bulk

parcel return service cannot be used

with special services to read as follows:]

1.4 Special Services

Special services cannot be added to

pieces returned via bulk parcel return

service.

* * * * *

[Amend 3.0 by replacing ‘‘Postage’’

with ‘‘Charges’’ to read as follows:]

3.0 CHARGES AND FEES

* * * * *

[Renumber current 3.2 as 3.5. Add

new 3.2 through 3.4 to clarify the per

piece charges and to describe the new

annual accounting fee to read as

follows:]

3.2 Per Piece Charge

Each piece returned through BPRS is

charged only the per piece charge in

R900. Postage is not charged for pieces

returned through BPRS.

3.3 Advance Deposit Account

The permit holder must pay BPRS

fees through an advance deposit account

and pay an annual accounting fee (see

78654 Federal Register / Vol. 65, No. 242 / Friday, December 15, 2000 / Rules and Regulations

R900). This fee covers the

administrative cost of maintaining the

account and provides the mailer with a

single accounting of all charges

deducted from that account. The

accounting fee is charged once each 12-

month period on the anniversary date of

the initial accounting fee payment. The

fee may be paid in advance only for the

next year and only during the last 60

days of the current service period. The

fee charged is that which is in effect on

the date of payment.

3.4 Existing Advance Deposit Account

A separate advance deposit account

for BPRS is not required; the annual

accounting fee is charged if BPRS

postage and fees are paid from an

existing account.

[Amend the title and content of

renumbered 3.5 to clarify the payment

guarantee to read as follows:]

3.5 Payment Guarantee

The permit holder guarantees

payment of all applicable fees. The post

office returns BPRS items to the permit

holder only when there are sufficient

funds in the advance deposit account to

pay the fees on returned pieces.

* * * * *

5.0 FORMAT

[Amend Exhibit 5.0 to change the

class marking to ‘‘Standard Mail.’’]

* * * * *

5.4 Class Endorsement

[Amend 5.4 to change ‘‘STANDARD

MAIL A’’ to ‘‘STANDARD MAIL.’’ No

other changes to text.]

* * * * *

S930 Handling

1.0 SPECIAL HANDLING

* * * * *

1.2 Availability

[Amend 1.2 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’ and

‘‘Special Standard Mail’’ with ‘‘Media

Mail’’; no other changes to text.]

1.3 Additional Services

[Amend 1.3 to clarify the opening

sentence, to change ‘‘Standard Mail (B)’’

to ‘‘Package Services,’’ and to add

Signature Confirmation to read as

follows:]

The following special services may be

combined with special handling if the

applicable standards for the services are

met and the additional service fees are

paid:

a. COD.

b. Delivery Confirmation.

c. Insurance.

d. PAL (for Package Services only).

e. Return receipt for merchandise.

f. Signature Confirmation.

* * * * *

[Add new 1.7 to clarify that the

nonmachinable surcharge is not charged

on pieces sent special handling:]

1.7 Nonmachinable Parcels

The Parcel Post nonmachinable

surcharge is not charged on parcels sent

special handling.

2.0 PARCEL AIRLIFT SERVICE (PAL)

* * * * *

[Amend 2.2 by replacing ‘‘Standard

Mail (B)’’ with ‘‘Package Services’’; no

other changes to text.]

2.3 Additional Services

[Amend 2.3 to clarify the opening

sentence to read as follows:]

The following special services may be

combined with PAL if the applicable

standards for the services are met and

the additional service fees are paid:

* * * * *

An appropriate amendment to 39 CFR

111 to reflect these changes will be

published.

Stanley F. Mires,

Chief Counsel, Legislative.

[FR Doc. 00–31357 Filed 12–14–00; 8:45 am]

BILLING CODE 7710–12–P