[Federal Register Volume 59, Number 92 (Friday, May 13, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-11685]


[[Page Unknown]]

[Federal Register: May 13, 1994]


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POSTAL SERVICE

39 CFR Part 20

 

International Surface Air Lift Service

AGENCY: Postal Service.

ACTION: Final Rule.

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SUMMARY: The Postal Service is adopting amendments to International 
Mail Manual, section 246, to allow customers to use International 
Surface Air Lift (ISAL) service to mail small packets, a type of 
international mail that can be used to send small quantities of 
merchandise. By allowing small packets to be sent in ISAL shipments, 
the Postal Service is responding to customer demand to provide a way of 
sending these items that is more economical than regular airmail 
service and faster than surface mail.

DATES: Effective on May 13, 1994.

FOR FURTHER INFORMATION CONTACT:
Walter J. Grandjean, (202) 268-5180.

SUPPLEMENTARY INFORMATION: On October 27, 1993, the Postal Service 
published in the Federal Register (58 FR 57742) an interim rule and 
request for comment on proposed amendment to section 246 of the 
International Mail Manual to allow small packets to be included in ISAL 
shipments to foreign countries where ISAL service is available.
    ISAL is a bulk mailing service for international shipment of 
publications, advertising mail, catalogs, directories, books, and other 
printed matter. The service is available from designated acceptance 
cities to approximately 125 countries. To use ISAL, a mailer must send 
at least 50 pounds of printed matter at one time, sorted and sacked by 
destination country. ISAL mail is transported by air to the destination 
country. Once in the foreign country, the mail is entered into that 
country's surface mail system for delivery. As a result, ISAL rates are 
lower than those for regular airmail, while service is faster than 
service for regular surface mail.
    Many customers have requested permission to include small packets 
in ISAL shipments. Frequently, these requests occur because the item 
being mailed is classified as third-class domestically. Yet, because 
the item contains something that is not classified internationally as 
printed matter, the item may not be sent through ISAL. Moreover, since 
there is no service comparable to ISAL for small packets, these 
customers are forced to choose between regular airmail service and 
regular surface mail service.
    The Postal Service invited public comment on the interim rule by 
November 26, 1993, and received one comment.
    The commenter asserts that the rates for ISAL will not cover the 
cost of carrying small packets and that dutiable small packets will 
cost the Postal Service more than printed matter, which is generally 
non-dutiable. The Postal Service disagrees. The Universal Postal 
Convention classifies printed matter and small packets as AO (Autres 
Objets) and considers them together for terminal dues purposes. In 
addition, all ISAL mail must be sorted and sacked by destination 
country when it is tendered, and the Postal Service processes ISAL 
sacks intact. Consequently, the Postal Service's costs to process a 
given weight of ISAL mail should be the same regardless of whether the 
sack contains printed matter, small packets, or a combination of both. 
The fact that a higher percentage of small packets may be dutiable does 
not affect the Postal Service's costs to provide the service. All U.S. 
origin mail entering another country is subject to customs examination 
whether it is subject to duty or not. This cost is absorbed by the 
country of destination and is not charged back to the Postal Service.
    The commenter also asserts that there has been no independent 
verification that the Postal Service's ISAL rates are adequate to cover 
the cost of the service and that the Postal Service should submit its 
international rates for oversight to a body such as the Postal Rate 
Commission. The Postal Service disagrees. The Postal Service alone is 
responsible for international mail services, and there is no legal 
requirement that its determinations be subject to verification by any 
other agency. The Postal Rate Commission, in particular, has no 
jurisdiction over international rates or services, so any study 
conducted by the Commission would have no legal significance.
    The Postal Service has concluded that the proposed amendments, as 
collected, would benefit users of United States mail. No persuasive 
reason has been put forward why implementation should be deferred. 
Accordingly, the Postal Service will not defer implementation of the 
final rule.
    The final text contains the correction of a citation which was 
incorrect in the original regulations. In section 246.941 of the 
International Mail Manual, the reference to section 244.5 for 
publishers' periodicals is changed to section 244.4. This reference 
refers to the makeup of individual pieces, not to sortation 
requirements for publishers' periodicals.

List of Subjects in 39 CFR Part 20

    Foreign relations, incorporation by reference, international postal 
services.

    The Postal Service adopts the following amendments to the 
International Mail Manual, which is incorporated by reference in the 
Code of Federal Regulations. See 39 CFR 20.1.

PART 20--[AMENDED]

    1. The authority citation for 39 CFR part 20 continues to read as 
follows:

    Authority: 5 U.S.C. 552(a); 39 U.S.C. 401, 404, 407, 408.

    2. Chapter 2 of the International Mail Manual is amended by 
revising section 246 to read as follows:

CHAPTER 2--CONDITIONS FOR MAILING

* * * * *

246  International Surface Air Lift (ISAL) Service

246.1  Definition

    International Surface Air Lift (ISAL) is a bulk mailing system that 
provides fast, economical international delivery of publications, 
advertising mail, catalogs, directories, books, other printed matters, 
and small packets. The cost is lower than that of airmail, while the 
service is much faster than ordinary surface mail. Customers take ISAL 
shipments to designated U.S. acceptance cities, where the mail is flown 
to the foreign destinations and entered into that country's surface 
mail system for delivery.

246.2  Qualifying Mail and Minimum Quantities

    Only printed matter as defined in 241 and small packets as defined 
in 260 that meet all applicable mailing standards may be sent in this 
service. There is a minimum volume requirement of 50 pounds per 
shipment except for the direct shipment option, which requires a 
minimum of 750 pounds to a single country destination. Mailers may 
present sacks of pound-rate and piece-rate mail to meet minimum 
quantity requirements. Small packets may not be enclosed in M-Bags and 
do not qualify for the full service or gateway/direct shipment M-Bag 
rates.

246.3  General

    246.31  Availability. ISAL service is available to the foreign 
countries listed in Exhibit 246.71, through designated U.S. acceptance 
cities.
    246.32  Designated Acceptance Cities. Exhibit 246.32 shows cities 
designated to accept ISAL.

246.4  Special Services

    Special services provided for in Chapter 3 are not available for 
items sent by ISAL.

246.5  Customs Documentation

    See 244.6 and 264.5 for the requirements for customs forms.

246.6  Permit or Customer Identification Number

    Each mailer must have a 10-digit ISAL permit number or customer 
identification number. The first five digits are the ZIP Code of the 
post office where the permit or customer identification number is 
issued. The second five digits are separated from the first five by a 
hyphen and are either the customer's permit imprint number or a 
sequential number issued by the post office of account. If the permit 
imprint number has fewer than five digits, precede the permit number 
with enough zeros to make a five-digit number. For example, a mailer 
with a permit imprint number of 29 whose business location is in New 
York City (10010) is assigned an ISAL permit number of 10010-00029. 
This number must be used on Form 3650, Statement of Mailing-
International Surface Air Lift.

246.7  Postage

246.71  Rates

    246.711  Items Weighing Over 2 Ounces. Postage is paid on a per-
pound basis by rate group. M-Bags are also paid on a per-pound basis by 
rate group, even if they contain items weighing 2 ounces or less. Small 
packets are ineligible for the M-Bag rates and may not be included in 
M-Bags. Separate reduced rates are provided for mail transported by the 
mailer to the gateway airport mail facilities at New York (JFK); San 
Francisco, CA; and Miami, FL; or when direct shipment can be arranged 
from one of the acceptance cities (see Exhibit 246.32).

------------------------------------------------------------------------
                                        Full service     Gateway/direct 
                                     ------------------     shipment    
             Rate group                                -----------------
                                      Regular   M-Bag*  Regular   M-Bag*
------------------------------------------------------------------------
1...................................    $2.90    $2.32    $2.60    $2.08
2...................................     3.25     2.60     2.95     2.36
3...................................     3.40     2.72     3.10     2.48
4...................................     4.20     3.36     3.90     3.12
------------------------------------------------------------------------
See Exhibit 246.71 for network countries and individual postage rates.  
*Small packets may not be mailed at these rates.                        

    246.712  Items Weighing 2 Ounces or Less. These items are subject 
to a charge of 32 cents per piece to all countries where service is 
available. Pieces sent in M-Bags are subject to the pound rates in 
247.11. Small packets are ineligible for the M-Bag rates and may not be 
included in M-Bags. Mailings presented at one of the three gateway 
offices or under direct shipment arrangements receive a discount.
    246.713  Direct Shipment. Mailers may be authorized direct shipment 
rates from the designated acceptance cities listed in Exhibit 246.32 
(except Miami, FL; San Francisco, CA; and AMF-JFK, NY) when the Postal 
Service can arrange direct transportation to the destination country. 
To qualify, mailers must present a minimum of 750 pounds to each 
destination country. This 750-pound minimum may include piece-rate and 
pound-rate mail. Mailers should contact the postmaster at the 
designated acceptance city at least 14 days before the first desired 
mailing date. Postmasters must contact the distribution network office 
(DNO) to obtain a contract for transportation. If the DNO cannot 
arrange direct transportation, the direct shipment rate does not apply. 
The Postal Service may cancel direct shipment rates and service when 
direct transportation is no longer available.

246.72  Payment Methods

    246.721  Items Weighing 2 Ounces or Less. The following methods 
apply for the payment of postage for items that weigh 2 ounces or less:
    a. Permit Imprint. Mailers may use permit imprints only with 
mailings that contain identical-weight pieces. Any of the permit 
imprints for printed matter shown in Exhibit 152.3 are acceptable. The 
imprint must not denote ``Presort Rate,'' ``Bulk Rate,'' or ``Nonprofit 
Organization.'' The postage charges are computed on Form 3650, 
Statement of Mailing-International Surface Air Lift, and deducted from 
the advance deposit account.
    b. Postage Meter. If the mailing consists of nonidentical-weight 
pieces, postage for the mailing must be paid by postage meter stamp on 
each piece.
    c. Permit Imprints. Mailers may use permit imprint with non 
identical pieces if authorized under the postage mailing systems in DMM 
P710, P720, or P730.
    d. Precanceled Stamps. Mailers authorized to use precanceled stamps 
may use this payment method.
    246.722  Items Weighing Over 2 Ounces. Postage must be paid by a 
permit imprint subject to the standards in DMM P040. Any of the permit 
imprints for printed matter shown in Exhibit 152.3 are acceptable. The 
imprint must not denote ``Presort Rate,'' ``Bulk Rate,'' or ``Nonprofit 
Organization.'' The postage charges are computed on Form 3650 and 
deducted from the advance deposit account.
    246.723  Direct Sacks (M-Bags). For direct sacks to one addressee, 
Tag 158, M-Bag Addressee Tag, must be endorsed ``ISAL U.S. Postage 
Paid'' or show the permit imprint in the space reserved for postage. 
(If an M-Bag is presented with a mailing when all other postage is paid 
by meter, the postage on the M-Bag may be paid by a meter strip 
attached to the M-Bag tag.)
    246.73  Form 3650. Form 3650 is required for all ISAL mailings.

246.8  Weight and Size Limits

    Any item sent by ISAL must conform to the weight and size limits 
for the types of printed matter described in 243 or for small packets 
in 263.

246.9  Preparation

    246.91  Addressing. See 122.
    246.92  Marking. Items must be endorsed with the appropriate 
markings as shown in 244.2 for printed matter and in 264.2 for small 
packets. For publishers' periodicals (second-class publications), the 
imprint authorized under 244.21d(2) or 244.21d(3) may be used in place 
of the ``PRINTED MATTER-SECOND-CLASS'' endorsement.
    246.93  Sealing. Printed matter and small packets sent by ISAL may 
be sealed at the sender's option.

246.94  Makeup

    246.941  Sortation. All items must meet the makeup requirements in 
244.4 for printed matter and publishers' periodicals and 264 for small 
packets. Items must be sorted to the destination country. Items 
weighing 2 ounces or less may not be placed in sacks with items 
weighing over 2 ounces unless mailings are made under special mailing 
programs (see 247.213).
    246.942  Residue. Mail addressed to different countries may not be 
commingled. Consequently, no residual mail is allowed in an ISAL 
dispatch.
    246.943  Facing of Pieces and Packaging. All pieces must be faced 
in the same direction and packaged in bundles that are securely tied or 
rubber-banded across the length and width. Pieces that cannot be 
bundled because of their physical characteristics must be placed loose 
in the sack.
    246.944  Sacking. Mail to each country must be sacked in disposable 
gray plastic sacks and labeled to that particular country with Tag 155, 
Surface Airlift Mail. The three classifications of printed matter, as 
well as small packets, may be mixed in the same sack. The combined 
weight of the contents and the sack may not exceed 66 pounds. Tag 155 
must show the weight in kilograms. No minimum weight per sack applies.
    246.945  Direct Sacks to One Addressee (M-Bags) for ISAL. M-Bags 
may be sent in the ISAL service to all countries except Ethiopia. 
Weight, makeup, sacking, and sorting requirements must conform to part 
245. Tag 158 must show the complete address of the addressee and the 
sender and be attached securely to the neck of each sack. M-Bags may 
not contain small packets.
    246.95  Mailer Notification. Mailers wanting to mail shipments that 
weigh over 750 pounds but not eligible for direct shipment rates, must 
notify the ISAL coordinator at the acceptance city at least 4 days 
before the planned date of mailing. Specific country information and 
weight per country must be provided. No prior notification is required 
for mailers with 750 pounds or less.
Stanley F. Mires,
Chief Counsel, Legislative.

Exhibit 246.32, Designated ISAL Acceptance Cities

Akron, OH*
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    *Provisional Cities.
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Albany, NY
Albuquerque, NM
Anchorage, AK
Atlanta, GA
Austin, TX
Baltimore, MD
Bellmawr, NJ*
Billings, MT
Birmingham, AL
Bismarck, ND
Boise, ID
Boston, MA
Buffalo, NY
Burlington, VT
Charleston, SC
Charlotte, NC
Chicago, IL
Cincinnati, OH
Cleveland, OH
Colorado Springs, CO*
Columbia, SC
Columbus, OH
Dallas/Ft. Worth, TX
Dayton, OH
Denver, CO
Des Moines, IA
Detroit, MI
Duluth, MN
El Paso, TX
Erie, PA*
Eugene, OR
Florence, SC
Grand Rapids, MI
Greensboro, NC
Greenville, SC
Harrisburg, PA
Hartford, CT
Honolulu, HI
Houston, TX
Huntsville, AL*
Indianapolis, IN
Jackson, MS
Jacksonville, FL
Jersey City, NJ
Kalamazoo, MI*
Kansas City, MO
Knoxville, TN*
Las Vegas, NV
Little Rock, AR
Long Beach, CA*
Los Angeles, CA
Louisville, KY
Memphis, TN
Miami, FL
Midland, TX
Milwaukee, WI
Minneapolis/St. Paul, MN
Mount Vernon, NY*
Myrtle Beach, SC
Nashville, TN
New Haven, CT*
New Orleans, LA
New York, NY
Norfolk, VA
Oklahoma City, OK
Omaha, NE
Orlando, FL
Pittsburgh, PA
Philadelphia, PA
Providence, RI
Phoenix, AZ
Portland, OR
Raleigh, NC
Richmond, VA
Rochester, NY
Sacramento, CA
St. Louis, MO
Salt Lake City, UT
San Antonio, TX
San Diego, CA
San Francisco, CA
San Juan, PR
Santa Ana, CA*
Seattle, WA
Sioux Falls, SD
Spokane, WA*
Syracuse, NY
Tampa, FL
Toledo, OH*
Tucson, AZ
Tulsa, OK
Washington, DC
Wichita, KS

[FR Doc. 94-11685 Filed 5-12-94; 8:45 am]
BILLING CODE 7710-12-M