[Federal Register Volume 60, Number 245 (Thursday, December 21, 1995)]
[Rules and Regulations]
[Pages 66142-66149]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-30989]



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POSTAL SERVICE

39 CFR Part 111


Revisions to Standards for Palletization

AGENCY: Postal Service.

ACTION: Final rule.

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SUMMARY: On July 31, 1995, the Postal Service published a proposed rule 
for public comment in the Federal Register (60 FR 39080-39088) to 
revise current makeup standards in the Domestic Mail Manual (DMM) for 
second-, third-, and fourth-class mail prepared on pallets. The final 
rule adopts proposed changes that pertain only to the physical 
characteristics of pallet loads (such as minimum/maximum height and 
weight limits and provisions for triple-stacking). These changes will 
not be affected by the Postal Service's classification reform proposal 
currently under consideration before the Postal Rate Commission (Docket 
No. MC95-1). The Postal Service has decided not to adopt, at this time, 
those elements of the proposed rule that would be affected by 
implementation of classification reform to avoid burdening software 
developers and mailers with the need to make changes that will be 
supplanted shortly after their implementation. Instead, the standards 
for levels of pallet sortation and preparation, along with other 
related issues, will be addressed with the standards that the Postal 
Service proposes to implement with the pending classification reform 
filing. The Postal Service expects to publish a proposed rule on 
classification reform for public comment in December 1995.

EFFECTIVE DATE: January 1, 1996.

FOR FURTHER INFORMATION CONTACT:
Cheryl Beller, (202) 268-5166.

SUPPLEMENTARY INFORMATION: The July 31 proposed rule discussed in 
detail the efforts by the Postal Service to establish certain basic 
preparation standards that mailers must meet to ensure that pallets, 
and the mail placed on them, maintain their integrity throughout 
transportation and postal processing and allow safe handling by postal 
employees. At the same time, these standards allow mailers flexibility 
to prepare pallets by using recognized industry practices based on 
their specific production and service needs.

    The 30-day comment period ended on August 30, 1995, and 16 written 
comments were received from publishers, mailer associations, printers 
and mailers, transportation companies, and presort software developers. 
After thorough consideration of these comments, the Postal Service is 
publishing its final rule. This final rule removes sections in DMM MO42 
through MO48 relating to pallet size and revises and consolidates them 
into MO41 under one section on general pallet standards. The final rule 
also revises standards related to stacking and top-capping pallets and 
to identifying and notifying nonconforming mailers whose preparation 
methods result in pallets that fail to meet basic pallet integrity and 
safety standards. The final rule also establishes standards for 
palletizing trays of letter-size mail. DMM E333 and E416 are also 
revised to clarify the availability of third-class carrier route rates 
and special fourth-class level A and B rates for mail on pallets; these 
revisions also stipulate that the Postal Service will not unload 
containerized drop shipment loads that have not maintained their 
integrity in transit or that arrive in an unsafe manner. DMM MO33 is 
revised to require all trays on BMC, ASF, SDC, and mixed BMC pallets to 
be both sleeved and strapped to facilitate processing on sack and 
parcel sorters.
    The revised DMM standards are set forth after the discussion of 
comments to the proposed rule. Many commenters commended the Postal 
Service for listening to its customers in developing standards that 
were fair and in accord with industry practices. Such comments are not 
summarized below.

[[Page 66143]]


Discussion of Comments

I. Maximum Height

A. Single and Stacked Pallets
    Eight commenters opposed various parts of the proposal related to 
the maximum heights for a single pallet and for stacked pallets. Six 
commenters opposed limiting the height of a single pallet of sacks, 
parcels, or packages to 77 inches (or letter mail in trays to 12 
layers) and asked why the Postal Service proposed a different maximum 
height for stacked pallets of 84 inches. They expressed concern over 
the possible loss of trailer cube capacity that might result from the 
77-inch limit for drop shipments. Two commenters indicated that because 
different characteristics of products on pallets affect the stability 
of a load, the rule should be amended to allow for taller loads based 
on specific product characteristics; one commenter suggested that the 
weight limit of 2,200 pounds per pallet or stack of pallets be used as 
the controlling maximum rather than the total height of pallet loads.
    The maximum height of 77 inches for a single pallet is derived from 
the general acceptance throughout the Postal Service of the Postal-PAK 
and pallet (with a height of 75 inches), plus allowance for packing 
material. Pallet loads exceeding a 77-inch height are a problem when 
loaded onto and unloaded from many smaller trucks and vehicles used to 
transport mail between postal facilities and when handled within many 
smaller postal facilities. The type of transportation used to move 
pallet loads and the facilities through which they are processed vary, 
depending on the level of pallet sortation and the office of entry. Low 
dock-door heights and limited ceiling heights within some facilities, 
as well as low door and internal heights of many Postal Service 
trailers and vehicles, were factors in establishing this maximum 
height. By establishing a maximum height of 77 inches for all single 
pallets, the Postal Service is promoting consistency in preparation 
standards while ensuring that postal employees can handle pallets 
safely and efficiently on all transportation and at all facilities, 
regardless of office of entry or level of sortation. The higher maximum 
of 84 inches for stacked pallets allows mailers to take advantage of 
trailer cube capacity for lighter weight pallets and allows the Postal 
Service to unstack the pallets where necessary to ensure compatibility 
with Postal Service equipment, transportation, or facilities. The 
maximum heights of 77 inches for a single pallet and 84 inches for 
stacked pallets are adopted in the final rule.
    The Postal Service has also determined to limit the number of 
layers of trays of letter mail to 12, which is equivalent to the 
maximum height of 77 inches for a single pallet. Mailers will need to 
monitor their loads carefully to ensure that fuller trays are placed on 
the bottom and interspersed nearer the top to avoid crushing. As the 
height and weight of the pallet load increase, so does the likelihood 
of the lower trays being crushed and causing the entire load to 
collapse, particularly if the trays are older cardboard managed mail 
(MM) trays. If a mailing consists of many less-than-full trays, mailers 
should consider building loads containing less than the maximum number 
of layers.
B. Pallet Boxes
    A maximum height of 84 inches was proposed for a single pallet box 
on a pallet, with a possible 60-inch maximum height restriction at some 
non-BMC facilities. Two commenters suggested that the Postal Service 
publish a listing of facilities that cannot handle the taller pallet 
boxes so that software developers can build varying height restrictions 
into their sortation programs. Ideally, the commenters preferred that 
all postal facilities be modified to handle pallet boxes that are 84 
inches tall (pallet, box, and mail). The Postal Service was in error 
when it proposed a maximum height of 84 inches for any pallet box 
because the pallet unloaders being deployed by the Postal Service in 
bulk mail centers (BMCs) and many processing and distribution centers 
(P&DCs) can accommodate only pallets with pallet boxes that do not 
exceed a total height of 77 inches. The Postal Service must cut taller 
boxes or otherwise alter them to remove the contents manually, 
resulting in slower service for customers, additional handlings, and 
inefficient use of newly deployed mechanized equipment. Accordingly, 
the Postal Service has determined to adopt a 77-inch maximum, which is 
also consistent with the height of the Postal-PAK and pallet. Because 
the Postal Service proposed a maximum height of 84 inches and some 
mailers might have a stock of pallet boxes designed to meet the 
proposed maximum, the mandatory compliance date will be July 1, 1996, 
to allow mailers to deplete current stocks of these taller boxes.

II. Pallet Boxes

A. Providing Boxes
    One commenter stated that the Postal Service should provide a 
pallet box ``for sack mail shippers that would conform to the specifics 
outlined in the revisions'' to facilitate uniformity and unloading at 
BMCs. The Postal Service has no plans to purchase additional equipment 
to provide to sack mailers. The Postal Service is purchasing additional 
trays and pallets, however, to meet customer demand in preparation for 
implementation of classification reform.
B. Securing Pallet Boxes
    One commenter requested that the proposed requirement that mailers 
secure boxes to the pallet be optional and indicated that mailers had 
been entering unsecured boxes on pallets for many years, without any 
negative comment from the Postal Service. The proposed standard is 
modified in the final rule to require securing a pallet box to the 
pallet only if the pallet requires transportation by the Postal Service 
to move it from the entry office to another postal facility for 
distribution of the contents and the weight of the mail in the box is 
insufficient to hold the box in place on the pallet during 
transportation and processing. This modification is consistent with how 
the Postal Service prepares and processes mail in its own Postal-PAKs 
on pallets and ensures that pallets can be loaded and transported 
safely on Postal Service vehicles and processed as a single unit to the 
point where the contents are distributed.
C. Construction of Pallet Boxes
    No comments were received on the proposal to allow mailers to use 
pallet boxes constructed of single-, double-, or triple-wall corrugated 
fiberboard. Single-wall corrugated fiberboard may be used only for 
light loads (such as lightweight parcels) that do not require 
transportation beyond the entry office. The Postal Service will monitor 
mailings presented in pallet boxes to ensure that the box construction 
maintains its integrity to the point of distribution of the contents.

III. Pallet Load Integrity

    Failure of pallets to meet basic DMM standards negates efforts to 
ensure safe and efficient handling of palletized loads. Accordingly, 
all pallets presented to the Postal Service for acceptance, whether the 
pallets are provided by the Postal Service or the mailer, must meet the 
basic standards in the DMM pertaining to pallet labels, physical 

[[Page 66144]]
pallet dimensions, pallet load integrity, stacking, and minimum/maximum 
loads and heights. The Postal Service will consider individual 
shipments that are presented for acceptance under the plant-verified 
drop shipment (PVDS) program at a destination entry postal facility to 
be bedloaded if the load integrity of the pallets or the safety of 
postal employees is compromised. Such loads might require driver 
unloading or may be refused by the destination facility. If a shipment 
is refused, the mailer or mailer's agent who is presenting the mail for 
acceptance at the destination entry facility has the option to rework 
the mail off-site to match its original preparation as verified, then 
resubmit it with the appropriate documentation when the entry facility 
can reschedule the shipment.
    The Postal Service will monitor load integrity of customers' 
pallets at mailers plants when mail is verified by on-site postal 
personnel and at postal facilities where mailings are entered, whether 
at business mail entry units under local verification and acceptance or 
a destination entry facilities where mailings are drop shipped under 
programs such as PVDS. The Postal Service may initially notify the 
transportation company presenting mail to the Postal Service for 
acceptance or the mail preparer, or both, when pallet load integrity 
problems are identified. The failure of pallet loads to maintain their 
integrity might be caused by poor preparation methods of the mailer 
(for example, the load exceeds maximum weight or height limits or the 
load is not secured to the pallet) or the improper loading and security 
of pallets onto the transportation used to move pallet loads to postal 
facilities for acceptance (for example, pallets are not secured with 
shoring equipment in vehicles to prevent pallets from toppling in 
transit, or heavier pallets are stacked onto lighter pallets and crush 
the mail on the bottom).
    After a mailer is notified of recurring pallet load integrity 
problems and allowed to make changes to improve load integrity, if the 
mailer's methods still do not work, the mailer will be considered 
nonconforming and required to meet the specifications developed by 
Postal Service Engineering for securing pallets, pallet box 
construction and dimensions, stacking of pallets, maximum height/layers 
of trays, and use of top caps. These specifications are included in the 
DMM language at the end of this discussion of comments. Mailers whose 
pallets continue to fail to meet minimum load integrity levels will be 
suspended from the pallet program.
    Three comments were received from two commenters concerning load 
integrity. One commenter wanted to know how damaged loads will be 
handled, who will be notified, whether the mailer/agent will be allowed 
to rework the mail, and how presentation of damaged loads will affect 
drop shipment appointments. This commenter also noted that ``in our 
business, it is common to refuse loads that have not maintained their 
integrity. At that point, it is the shipper's or carrier's 
responsibility to see that the load is taken to an alternative site for 
reworking.'' This same commenter wanted clarification about who will 
determine whether pallets are properly prepared to meet load integrity 
standards, at what point a mailer will be considered nonconforming, and 
whether the mailer will have an option to pay a penalty or fine at 
destination to have nonconforming pallets accepted for time-sensitive 
mailings. The commenter also expressed concern about possible 
inconsistencies in the determinations by different facilities about 
whether a pallet load meets the load integrity standards. The second 
commenter wanted feedback from the Postal Service about pallet load 
integrity problems, starting with the mail preparer and proceeding to 
the owner. The Postal Service will initially contact the mailer or 
mailer agent (such as a transportation company) when load integrity 
problems are identified.
    Training materials will be distributed to postal facilities that 
accept pallets from mailers to ensure consistent understanding and 
application of pallet load integrity guidelines and the procedures that 
apply when problems are identified. The Drop Shipment Appointment 
System (DSAS) will be used, where possible, to identify and track the 
mailers or their agents presenting problem pallet loads. The DSAS will 
also help to establish contact to ensure that corrective actions are 
taken to improve future load integrity. The Postal Service will also 
work with mailers to ensure that corrective actions are taken to 
prevent recurrence of problems and to provide training and other 
necessary tools that will communicate the responsibilities of all 
mailers or their agents who create or handle mail on pallets.
    Over the next few months, the Postal Service will formulate clear, 
objective criteria to identify pallet load integrity problems and to 
establish consistent feedback mechanisms for notifying mailers or their 
agents when problems are identified. Until those details are developed, 
load integrity will be monitored at origin and destination postal 
facilities as it is today, feedback will be provided to mailers, and 
mailers will be allowed to improve preparation methods for identified 
problems. However, during that interim, mailers will not be determined 
as nonconforming or suspended from the pallet program. Accordingly, the 
rules relating to nonconforming mailers and suspension will not take 
effect until July 1, 1996.

IV. Sleeving and Strapping of Trays

    No comments were received about the proposal to require mailers to 
sleeve and strap trays of letter mail placed onto BMC, ASF, SDC, and 
mixed BMC pallets; the proposed standards are adopted in the final 
rule. These standards provide an incentive to prepare pallets to finer 
levels of sortation, allowing for greater cross-dock opportunities at 
the BMCs and significant relief for BMC operations heavily affected by 
unstrapped trays. In addition, this rule adopts the proposal to extend 
the current requirement to sleeve all trays that contain letter-size 
automation rate mail and that may be processed at a BMC/ASF or AMF/AMC 
(that is, mail that does not originate and destinate in the delivery 
area of the same SCF) to include trays containing nonautomation rate 
letter-size mail.

V. Maximum Pallet Load

    One commenter requested clarification of how the proposed 2,200-
pound maximum for pallets applies to stacked pallets. The proposal to 
set 2,200 pounds as the maximum weight for any single pallet and as the 
maximum total weight for stacked pallets presented to the Postal 
Service is adopted in the final rule. When the weight of a single 
pallet or a stack of pallets is calculated, the weight of the mail and 
any tare placed on the bottom pallet are included in the calculation.
    The proposed maximum load for trays on pallets of 12 layers, not to 
exceed 2,200 pounds, is also adopted in the final rule.

VI. Minimum Pallet Load

    For packages, parcels, and sacks on pallets, the final rule 
requires mailers who prepare mail on pallets to prepare a required 
level of pallet sortation when there are 500 pounds of mail for that 
destination (for example, for a 5-digit ZIP Code or an SCF). At their 
option, mailers may prepare pallets for any required or optional level 
of sortation when they prepare at least 250 pounds of mail for a 
destination.
    Palletization of trays of letter-size mail is based on the number 
of layers. Mailers may prepare a pallet when they 

[[Page 66145]]
have from three to five layers of 1- or 2-foot managed mail (MM) or 
extended managed mail (EMM) trays. Preparation of pallets to required 
levels of sortation is mandatory with six layers of trays to that 
destination (for example, SCF pallets).
    For improved service, the processing and distribution manager of 
the facility where a mailing is entered may issue a written 
authorization to the mailer, allowing preparation of 5-digit or 3-digit 
pallets containing less than the minimum volume (250 pounds of 
packages, parcels, or sacks or three layers of trays) if the mail on 
those pallets destinates in the service area of that facility.
    At the mailer's option, the minimum volume used to determine when a 
pallet is prepared may vary within a mailing, provided that pallets are 
prepared to required levels of sortation when there are at least 500 
pounds or six layers of mail to the destination.
    Mailers are reminded that under the Postal Service's Guidelines for 
the Plant-Verified Drop Shipment (PVDS) Program, the driver must unload 
mail entered at delivery units. In some instances, the driver must 
break down palletized loads because of the physical limitations of a 
delivery unit (for example, a small or congested office that cannot 
accommodate large or stacked pallets).

VII. Stacking Pallets

A. Double- and Triple--Stacking
    Several commenters responded favorably to the proposal to allow a 
mailer to double- or triple-stack pallets up to the maximum allowable 
height and weight (84 inches/2,200 pounds total for the stacked 
pallets); this proposal is adopted in the final rule. Such pallets must 
be presented for acceptance at the mailer's plant or a postal facility 
in a manner that ensures safe and efficient unloading, handling, and 
transporting. Triple-stacking allows a mailer to make better use of 
transportation for drop shipments when low-weight pallets are prepared.
    When stacking pallets, the mailer must place the heaviest pallet on 
the bottom and the lightest pallet on the top to prevent crushing or 
other damage to mail on the bottom. If part of the load is crushed, the 
entire load is likely to collapse.
B. Securing Stacked Pallets Together
    The proposed rule required that all stacked pallets be secured 
together with at least two straps at least \1/2\ inch wide. Several 
commenters were opposed to this requirement. Two commenters stated that 
they stretchwrap stacked pallets together and that the stacked loads 
maintain their integrity throughout transportation and processing. 
These commenters indicated that stretchwrapping stacked pallets is 
consistent with the stretchwrapping operation in their plants for 
single pallets and that a requirement to strap or band stacked pallets 
would add an unnecessary cost to their operations.
    The Postal Service proposed that mailers be required to secure 
stacked pallets with banding or strapping because this material is 
easier to remove than stretchwrap. Only one cut per band is required on 
no more than two sides of a banded pallet, whereas a stretchwrapped 
pallet must be cut around all four sides of the stacked pallets to 
separate the pallets and to insert a forklift or pallet jack. If 
pallets are triple-stacked, the stretchwrap must be cut on all four 
sides (two times between the bottom and middle pallets and between the 
middle and top pallets). Not only is this method time-consuming, it can 
be difficult to move around a tall pallet load in a full vehicle in 
order to cut the stretchwrap and remove the top pallet(s). The 
requirement to strap stacked pallets together is adopted in the final 
rule. The mandatory compliance date is July 1, 1996, to allow mailers 
who currently use other means of securing stacked pallets together to 
change their preparation methods.
C. Use of Top Caps
    Three commenters raised issues about top caps. Under the proposed 
rule, mailers would have been required to top-cap the lower pallets 
when pallets were stacked. Top caps have been found to be one of the 
key elements in ensuring the stability of stacked pallets. However, as 
one commenter noted, the characteristics of certain mail can provide a 
flat, stable, and protective surface on which to place a pallet (for 
example, cartons of books placed on a pallet), making top caps 
unnecessary. The Postal Service agrees. Therefore, the final rule is 
modified to make top caps optional on stacked pallets when the top 
surface of the pallet load provides a sturdy, flat surface parallel to 
the pallet base, that allows for safe and efficient stacking and for 
preventing damage to mail or crushing of the load from pallets placed 
on top. The Postal Service will monitor the preparation of all stacked 
pallets, particularly those that are triple-stacked, to ensure that the 
pallets can be handled safely and without damage to the mail.
    One commenter asked whether the Postal Service will provide top 
caps. Although the Postal Service does have a limited supply of top 
caps, it has no plans, at this time, to provide them to mailers on a 
general basis. By limiting the circumstances under which top caps are 
required, the Postal Service expects mailers to continue providing 
their own top caps to ensure the integrity of stacked mail loads.
    Two commenters indicated that top-capping pallets can create 
problems for consolidators who combine pallets and move them closer to 
destinating postal facilities. Because consolidators are not 
manufacturing plants, they do not have scrap material to sue for top-
capping stacked pallets. Mailers who prepare lightweight pallets that 
are likely to be stacked by consolidators for drop shipment must work 
out arrangements with their transportation agents about whose 
responsibility it is to top-cap those pallets. Regardless of the 
arrangements, stacked pallets must be top-capped when required to 
maintain load integrity.
D. Top Cap Construction
    Mailers may determine the best material for ensuring pallet 
integrity and may use manufacturing materials that come into their 
plants as top-capping material. Mailers must not use flimsy paper 
obtained from the ends of paper rolls or similar material for top caps 
because this material, used alone, can cause stack failure.

VIII. Securing Single Pallet Loads

    Depending on the characteristics of a mail load, strapping might 
not be the most effective method of ensuring load integrity of a single 
pallet throughout transportation and mail handling. Loads can compress 
during storage in a mailer's plant or while in transit, causing 
strapping to become loose. In those instances, stretchwrap can be more 
effective in securing loads on a single pallet. Therefore, in the final 
rule, the proposal allowing mailers to choose the most appropriate 
method of securing a single pallet load is adopted. Acceptable methods 
include strapping or wrapping with stretchable or shrinkable plastic 
wrap.

IX. Pallet Sortation Levels

    This final rule does not adopt any of the proposed changes related 
to levels of pallet sortation, including the proposed allowance for 
working pallets or the elimination of the ``courtesy pallet,'' by 
requiring that all mailings placed onto any pallet be sorted to the 
finest level of presort. Modified proposed standards will be included 
in the Federal Register notice containing proposed DMM 

[[Page 66146]]
language to implement the pending classification reform filing.
    The following revisions are made to the Domestic Mail Manual, 
incorporated by reference in the Code of Federal Regulations, See 39 
CFR part 111.

List of Subjects in 39 CFR Part 111

    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, 3001-
3201-3219, 3403-3406, 3621, 3626, 5001.

    2. Revise the following sections of the Domestic Mail Manual as set 
forth below:

E Eligibility

* * * * *

E300  Third-Class Mail

* * * * *

E333  Carrier Route Presort

* * * * *
3.0  PRESORT

3.1  Qualifying Mail

* * * * *
[Add the following at the end of the current section:]
    c. Correctly presorted carrier route packages that meet the package 
preparation standards in M043 and are sorted to the appropriate pallet 
level.
* * * * *

E350  Destination Entry Discounts

* * * * *
3.0  DEPOSIT
* * * * *

3.8  Unloading Vehicles

    The mailer is responsible for the unloading of vehicles, subject to 
these conditions:
    [Add new 3.8a and redesignate current 3.8a through 3.8c as 3.8b 
through 3.8d, respectively. Amend redesignated 3.8b.]
    a. Postal employees unload palletized and containerized loads at 
MBMCs/FSFs/SCFs, except that the USPS does not unload or permit the 
mailer (or mailer agent) to unload palletized or containerized loads 
that are unstable or severely leaning or that have otherwise not 
maintained their integrity in transit.
    b. [Remove the second sentence.]
* * * * *

E400  Fourth-Class Mail

* * * * *

E416  Special Fourth-Class Rates

* * * * *
2.0  SPECIAL FOURTH-CLASS PRESORT
* * * * *

2.6  Level A

[Revise the introductory text as follows:]
    To qualify for the special fourth-class presort level A rate, a 
piece must be in a mailing of at least 500 pieces receiving identical 
service, properly prepared and presorted under M404 in full 5-digit 
sacks or under M044 on 5-digit pallets. These conditions also apply:
* * * * *

2.7  Level B

[Revise the introductory text as follows:]
    To qualify for the special fourth-class presort level B rate, a 
piece must be in a mailing of at least 500 pieces receiving identical 
service, properly prepared and presorted under M404 in full or 
substantially full bulk mail center (BMC) sacks or under M044 on 
destination BMC pallets. These conditions also apply:
* * * * *

E450  Destination BMC/ASF Discount

* * * * *
3.0  DEPOSIT
* * * * *

3.8  Unloading Vehicles

* * * * *
    a. [Revise the second sentence as follows:]
    * * * The USPS does not unload or permit the mailer (or mailer 
agent) to unload palletized or containerized loads that are unstable or 
severely leaning or that have otherwise not maintained their integrity 
in transit.
* * * * *

M  Mail Preparation and Sortation

M000  General Preparation Standards

* * * * *

M030  Container Preparation

* * * * *

M033  Sacks and Trays

1.0  BASIC STANDARDS
* * * * *
[Add new 1.4 and 1.5 as follows:]

1.4  Sleeving and Strapping of Trays

    Except under 1.5, each letter mail tray must be sleeved. All 
nonpalletized trays of letter mail that are transported from the 
mailer's plant to a BMC/ASF or AMF/AMC on USPS or mailer transportation 
and all trays placed on BMC/SDC or mixed BMC/SDC pallets must also be 
secured with a plastic strap placed tightly around the length of the 
tray. The strap must not crush the tray or sleeve. Strapping is not 
required on trays placed on pallets prepared to finer levels of 
sortation.

1.5  Sleeving Exception

    When all pieces in a mailing originate and destinate in the 
delivery area of the same SCF and the trays containing those pieces are 
not to be processed at a BMC or an AMF, the processing and distribution 
manager may (on request) issue a written authorization to the mailer to 
submit the mailing in trays without sleeves.
* * * * *
3.0  BASIC STANDARDS FOR TRAYS--AUTOMATION RATES
* * * * *
[Remove current 3.6 and 3.7.]

M040  Palletization

M041  General Pallet Standards

[Revise 1.0 through 3.0 as follows:]
1.0  PHYSICAL CHARACTERISTICS

1.1  Standards

    All pallets presented to the USPS, whether USPS- or mailer-
provided, must meet the standards in 1.2 through 1.4. Mail on such 
pallets must meet the standards applicable to the class and rate 
claimed.

1.2  Construction

    Pallets must be made of high-quality material that can hold loads 
equal to a gross weight of 2,200 pounds. Pallets must measure 48 by 40 
inches and allow for four-way entry by fork trucks and two-way entry by 
pallet jacks.

1.3  Securing

    Except for pallet boxes under 4.3, loaded pallets of mail must be 
wrapped with stretchable or shrinkable plastic strong enough to retain 
the integrity of the pallets during transportation and handling.

1.4  Nonconforming Mailers

    The USPS informs mailers or their agents who present palletized 
mailings, including plant-verified drop shipment (PVDS), when their 
pallets fail to meet basic pallet integrity and safety standards. After 
July 1, 1996, once a mailer is notified and allowed to make changes to 
improve load integrity, if the mailer's methods, or those of the 
mailer's agent presenting PVDS mailings, do not work, the mailer is 
considered nonconforming. A nonconforming mailer must meet the 

[[Page 66147]]
specifications for nonconforming mailers for use of top caps, stacking 
of pallets, pallet box construction, and maximum height/layers of trays 
in 2.0 through 4.0. After July 1, 1996, mailers will be suspended from 
the pallet program if their pallets continue to fail to meeting the 
minimum standards for load integrity levels.
2.0  TOP CAPS

2.1  Use

    Top caps are used as follows:
    a. Except under 2.1b and 2.1c, all pallets of sacks, letter mail 
trays, parcels, packages or bundles of mail, or pallet boxes must be 
top-capped if the pallets are double- or triple-stacked when presented 
to the USPS for acceptance.
    b. The top pallet need not be top-capped if the strapping or 
banding securing the stacked pallets together neither damages the mail 
on the top pallet nor allows the stack to shift.
    c. Lower pallet(s) containing either parcels or packages or bundles 
of mail need not be top-capped if the top surface of each pallet load 
provides a sturdy, flat surface, parallel to the pallet base, that 
provides safe and efficient stacking of pallets placed on top and 
prevents sliding of the top pallet(s), damage to the loaded mail, or 
crushing of the load.

2.2  Construction

    Any material may be used as a top cap if it provides a flat, level 
surface horizontal to the base pallet, protects the integrity of the 
mail below while supporting a loaded pallet above, and allows easy 
entry of a forklift to remove the upper pallet(s). Flimsy paper or 
fiberboard (e.g., the ends of paper rolls) or similar material is 
inadequate and may not be used as a top cap.

2.3  Securing

    A top cap must be secured to the pallet horizontal to the plane of 
the base pallet, with either stretchwrap or at least two crossed straps 
or bands, so that the top cap stays in place to protect the mail and 
maintain the integrity of the pallet load.

2.4  Nonconforming Mailers

    Nonconforming mailers (see 1.4) must use top caps on all pallets of 
sacks, letter mail trays, parcels, or packages or bundles of mail, 
regardless of weight, or on pallets containing pallet boxes 60 inches 
high or less. Top caps must be approximately 48 by 40 inches and meet 
one of these construction standards:
    a. Five-wood boards, with uniform edges and nine-leg pallet contact 
for stacking.
    b. Fiberboard box-end style, with a minimum 3-inch side and wall 
material of at least double-wall corrugated fiberboard C and/or B 
flute.
    c. Fiberboard honeycomb covered on both sides, with heavy 
linerboard at least \1/2\ inch thick.
    d. Corrugated fiberboard C flute sheet covering the entire top of 
the load, with standard pallet solid fiberboard corner edge protectors.
3.0  STACKING PALLETS

3.1  Double- or Triple-Stacking

    Pallets may be double- or triple-stacked if:
    a. The combined gross weight of the stacked pallets (pallets, top 
caps, and mail) does not exceed 2,200 pounds.
    b. The heaviest pallet is on the bottom and the lightest is on the 
top.
    c. The pallets are secured together with at least two straps or 
bands of appropriate material to maintain pallet integrity during 
transportation and handling. Stretchable or shrinkable plastic wrap be 
used to secure stacked pallets together until July 1, 1996.
    d. Pallets are top-capped under the standards in 2.0.
    e. The combined height of the stacked pallets and their loads does 
not exceed 84 inches.

3.2  Nonconforming Mailers

    Nonconforming mailers (see 1.4) who stack pallets are subject to 
the conditions in 3.1, except that triple-stacking is allowed only for 
pallets of parcels and the combined height of stacked pallets may not 
exceed 77 inches.
4.0  PALLET BOXES
[Renumber current 4.0 through 6.0 as 5.0 through 7.0; add new 4.0 as 
follows:]

4.1  Use

    Mailers may use pallet boxes constructed of single-, double-, or 
triple-wall corrugated fiberboard placed on pallets to hold sacks or 
parcels prepared under M042, M043, or M044. Single-wall corrugated 
fiberboard may be used only for light loads (such as lightweight 
parcels) that do not require transportation by the Postal Service 
beyond the entry office. The boxes must protect the mail and maintain 
the integrity of the pallet loads throughout transportation, handling, 
and processing. The base of the boxes must measure approximately 40 by 
48 inches.

4.2  Maximum Height

    The combined height of the pallet, pallet box, and mail may not 
exceed 77 inches, except that until July 1, 1996, the combined height 
may be up to 84 inches. The contents of the box must not extend above 
the top rim of the box.

4.3  Securing

    Pallet boxes must be secured to pallets with strapping, banding, 
stretchable plastic, shrinkwrap, or other material that ensures that 
the pallets can be safely unloaded from vehicles, transported, and 
processed as single units to the point where the contents are 
distributed with the load intact if:
    a. The pallet and its contents are transported by the USPS from the 
office where the mail is accepted to another postal facility where the 
contents are distributed.
    b. The weight of the mail in the box is not sufficient to hold the 
box in place on the pallet during transportation and processing, a 
pallet box must be secured to the pallet base.

4.4  Nonconforming Mailers

    Nonconforming mailers (see 1.4) may use pallet boxes only if the 
boxes are constructed of triple-wall corrugated fiberboard (C and/or B 
flute material) with a maximum height of 77 inches.
5.0  PALLET PREPARATION
[Renumber 5.3 as 5.8; add new 5.3 through 5.7; revise renumbered 5.0 as 
follows:]

5.1  Presort

[Delete the ``s'' at the end of ``Pallets'' in the first sentence.]

5.2  Minimum Load

    In a single mailing, the minimum load per pallet is 250 pounds of 
second-class, third-class, or fourth-class packages and bundles of 
mail, parcels, or sacks (or three layers of letter trays of second-
class or third-class mail), except that the processing and distribution 
manager of the facility where a mailing is entered may issue a written 
authorization to the mailer allowing preparation of 5-digit or 3-digit 
pallets containing less volume if the mail on those pallets is for the 
service area of that facility.

5.3  Required Preparation

    A pallet must be prepared to a required level of sortation when 
there are 500 pounds of second-, third-, or fourth-class packages, 
bundles, sacks, or parcels (or six layers of letter trays of second-
class or third-class mail).

5.4  Maximum Weight

    The maximum weight (mail and pallet) is 2,200 pounds for a single 
pallet.

[[Page 66148]]


5.5  Maximum Height

    The combined height of a single pallet and its load may not exceed 
these limits:
    a. A maximum of 77 inches for packages, bundles, parcels, sacks, or 
fiberboard pallet boxes and their contents (sacks or parcels) on 
pallets, except that until July 1, 1996, the maximum for pallet boxes 
is 84 inches.
    b. A maximum of 12 layers of second-class or third-class letter 
trays.

5.6  Nonconforming Mailers

    For nonconforming mailers (see 1.4) of letter-size mail in trays, 
the combined height of a pallet and its load may not exceed six layers 
of MM or EMM trays.

5.7  Mail on Pallets

    Mailpieces in trays, packages, bundles, and sacks must be prepared 
under the standards applicable to the class of mail and rate claimed.
 * * * * *

M042  Second-Class Mail

 * * * * *
4.0  PREPARING PALLETS OF PACKAGES OR BUNDLES
[Remove current 4.1; renumber 4.2 through 4.5 as 4.1 through 4.4. Amend 
renumbered 4.4 as follows:]
 * * * * *

4.4  Sacking

[In the first sentence, change ``4.3'' to ``4.2.'']
5.0  PREPARING PALLETS OF COPALLETIZED FLAT-SIZE PUBLICATIONS
[Remove current 5.3; renumber 5.4 through 5.10 as 5.3 through 5.9. 
Amend renumbered 5.5 and 5.8 as follows:]
 * * * * *

5.5  Sacking

[In the first sentence, change ``under 5.4'' to ``under 5.3.'']
 * * * * *

5.8  Documentation

 * * * * *
    d. [Remove ``/650.'']
 * * * * *
[Revise the heading of 6.0 as follows:]
6.0  PREPARING PALLETS OF SACKS OR TRAYS
[Remove current 6.1; renumber 6.2 through 6.4 as 6.1 through 6.3. Amend 
renumbered 6.2 and 6.3 as follows:]
 * * * * *

6.2  Presort and Labeling

    Presort sequence and labeling:
    a. 5-digit (required for sacks, optional for trays); use 
destination of packages for Line 1.
    b. Multicoded city (optional); use L001 for Line 1.
    c. 3-digit (required for sacks, optional for trays); use L002, 
Column A, for Line 1.
    d. SCF (required); use L002, Column B, for Line 1.
    e. SDC (optional); use L201 for Line 1.
    f. Transfer hub (optional).

[Revise the heading of 6.3 as follows:]

6.3  Sacks and Trays

[Revise the first sentence as follows:]
    Mixed states sacks and residual trays may not be included in the 
palletized portion of a mailing. * * *

M043  Third-Class Mail

* * * * *
4.0  PREPARING PALLETS OF PACKAGES OR BUNDLES
[Remove current 4.1; renumber 4.2 through 4.6 as 4.1 through 4.5. Amend 
renumbered 4.5 as follows:]
* * * * *

4.5  Sacking

[In the first sentence, change ``4.3'' to ``4.2.'']
* * * * *
6.0  PREPARING PALLETS OF COPALLETIZED FLAT-SIZE MAILINGS
[Remove current 6.4; renumber 6.5 through 6.12 as 6.4 through 6.11. 
Amend 6.1 and 6.10 as follows:]

6.1  Standards

[Change ``4.2 through 4.6'' to ``4.1 through 4.5.'']
* * * * *

6.10  Sacking

[In the first sentence, change ``4.3'' to ``4.2.'']
* * * * *
7.0  PALLETIZING MACHINABLE THIRD-CLASS PARCELS
[Remove current 7.1; renumber 7.2 through 7.5 as 7.1 through 7.4. In 
renumbered 7.2 and 7.3, change all references from ``7.2'' to ``7.1.'']
* * * * *
8.0  PALLETIZING THIRD- AND FOURTH-CLASS MACHINABLE PARCELS
[Remove current 8.2; renumber 8.3 through 8.8 as 8.2 through 8.7. In 
renumbered 8.3 and 8.4, change all references from ``8.3'' to ``8.2''; 
revise 8.1 as follows:]

8.1  Standards

[Change ``4.2 through 4.6'' to ``4.1 through 4.5.'']
* * * * *
[Revise the heading of 9.0 as follows:]
9.0  PREPARING PALLETS OF SACKS OR TRAYS
[Remove current 9.1; renumber 9.2 through 9.4 as 9.1 through 9.3. Amend 
renumbered 9.1 and 9.2 as follows:]

9.1  Presort and Labeling

    Presort sequence and labeling:
    a. 5-digit (required for sacks, optional for trays); use 
destination of packages for Line 1.
    b. Multicoded city (optional); use L001 for Line 1.
    c. 3-digit (required for sacks, optional for trays); use L002, 
Column A, for Line 1.
    d. SCF (required); use L002, Column B, for Line 1.
    e. BMC (optional); use L705 (or L708 for BMC/ASF if DBMC rate is 
claimed) for Line 1.

9.2  Line 2

[Change ``9.2'' to ``9.1'' at the end of the section.]

9.3  Remaining Sacks and Trays

    All sacks and trays remaining after all pallets are prepared may be 
presented with the palletized mailing (on the same mailing statement), 
if the sacks or trays are segregated from the palletized portion of the 
mailing.

M044  Fourth-Class Mail

* * * * *
3.0  PREPARING PALLETS OF PACKAGES
[Remove current 3.1; renumber 3.2 through 3.5 as 3.1 through 3.4.]
* * * * *
4.0  PREPARING PALLETS OF MACHINABLE PARCELS
[Remove 4.1; renumber 4.2 through 4.6 as 4.1 through 4.5.]
* * * * *

4.2  Line 2

[Change ``4.2'' to ``4.1'' at the end of the section.]
* * * * *
5.0  PREPARING PALLETS OF SPECIAL FOURTH-CLASS PRESORT
[Remove 5.1; renumber 5.2 and 5.3 as 5.1 and 5.2.]
* * * * *

5.2  Line 2

[Change ``5.2'' to ``5.1'' at the end of the section.]

[[Page 66149]]


M048  Automation-Compatible Flats

* * * * *
2.0  PACKAGE PREPARATION
[Renumber 2.1 as 2.0 and remove the 2.1 section heading; remove 2.2.]
* * * * *
    An appropriate amendment to 39 CFR 111.3 to reflect these changes 
will be published.
Stanley F. Mires,
Chief Counsel, Legislative.
[FR Doc. 95-30989 Filed 12-20-95; 8:45 am]
BILLING CODE 7710-12-M