[Federal Register Volume 63, Number 50 (Monday, March 16, 1998)]
[Proposed Rules]
[Pages 12864-12928]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-6553]



[[Page 12863]]

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Part II





Postal Service





_______________________________________________________________________



39 CFR Part 111



Domestic Mail Manual Changes to Implement the Rate, Fee, and 
Classification Changes Proposed in Docket No. R97-1; Proposed Rule

  Federal Register / Vol. 63, No. 50 / Monday, March 16, 1998 / 
Proposed Rules  

[[Page 12864]]



POSTAL SERVICE

39 CFR Part 111


Proposed Domestic Mail Manual Changes to Implement the Rate, Fee, 
and Classification Changes Proposed in Docket No. R97-1

AGENCY: Postal Service.

ACTION: Proposed rule.

-----------------------------------------------------------------------

SUMMARY: On July 10, 1997, the Postal Service, acting under sections 
3622 and 3623 of the Postal Reorganization Act (39 U.S.C. 3622, 3623), 
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. R97-1. A notice of filing, 
with a description of the Postal Service's proposals, was published by 
the PRC on July 23, 1997, in the Federal Register (62 FR 39660-39708). 
This document provides information on the implementing rules for the 
rate, fee, and classification changes that the Postal Service proposes 
to adopt if the PRCs recommended decision on R97-1 is consistent with 
the Postal Service's request and the Governors of the Postal Service, 
acting pursuant to 39 U.S.C. 3625, approve that recommended decision.

DATES: Comments must be received on or before April 15, 1998.

ADDRESSES: Mail or deliver written comments to the Manager, Mail 
Preparation and Standards, USPS Headquarters, 475 L'Enfant Plaza SW, 
Room 6800, Washington, DC 20260-2405. Copies of all written comments 
will be available for inspection and photocopying between 9 a.m. and 4 
p.m., Monday through Friday, at the above address.

FOR FURTHER INFORMATION CONTACT: Lynn M. Martin, 202-268-6351 (all 
topics except delivery confirmation and prepaid reply mail), Paul 
Lettman, 202-268-6261 (information on Standard Mail (B)), Thomas 
DeVaughan, 202-268-4491 (information on business reply mail and prepaid 
reply mail), John Gullo, 202-268-7322 (information on delivery 
confirmation).

SUPPLEMENTARY INFORMATION: The Postal Service's request in Docket No. 
R97-1 included 17 major classification changes and increases in most 
existing rate and fee categories. The major classification changes 
would (1) for First-Class Mail, eliminate the additional ``heavy 
piece'' presort discount for mailpieces weighing more than 2 ounces; 
(2) for First-Class Mail, add a prepaid reply mail category with 
discounted first-ounce rates; (3) for First-Class Mail, add a qualified 
business reply mail category with discounted first-ounce rates; (4) for 
Priority Mail, eliminate the Presorted Priority Mail rate; (5) for 
Periodicals, provide separate per-piece rates for 5-digit presort and 
3-digit presort in all rate categories and for all mail processing 
categories; (6) for Periodicals, apply the 3-digit presort rate to 
pieces sorted to all 3-digit ZIP Code prefixes (unique and nonunique 3-
digits); (7) for Standard Mail (A), eliminate the single-piece rate 
category and provide for the mailing of keys and identification devices 
as First-Class Mail or Priority Mail plus fees; (8) for Standard Mail 
(A), apply a residual shape surcharge on pieces that are prepared as 
parcels or are not letter-size or flat-size; (9) for Express Mail, 
Priority Mail, First-Class Mail (other than cards), Standard Mail (A), 
Parcel Post, and Library Mail, apply a surcharge to those pieces 
containing mailable hazardous medical material and apply a higher 
surcharge to those pieces containing other mailable hazardous material; 
(10) for Standard Mail (B), provide a barcoded discount for mailings 
meeting certain volume and preparation criteria; (11) for Parcel Post, 
add discounts for entry at destination sectional center facilities 
(DSCFs) and destination delivery units (DDUs); (12) for inter-BMC 
Parcel Post, add two levels of discount (Origin BMC and BMC Presort) 
for sorting mailings to bulk mail centers (BMCs); (13) for Parcel Post, 
allow 10% or fewer of the pieces in a mailing to measure over 108 
inches in combined length and girth, not to exceed 130 inches in 
combined length and girth, and subject to a rate equal to that for a 
70-pound parcel for the zone to which the parcel is addressed; (14) for 
Parcel Post, add a balloon rate provision so that pieces exceeding 84 
inches (but not exceeding 108 inches) in length and girth combined and 
weighing less than 15 pounds would be subject to a rate equal to that 
for a 15-pound parcel for the zone to which the parcel is addressed; 
(15) for registered mail, would provide insurance for all articles 
having a value of $0.01 or more under the current indemnity maximums 
and restrictions (mail with no value ($0.00) would be excluded from 
insurance coverage); (16) for insured mail, make available a new bulk 
insurance service category; and (17) for Priority Mail and Standard 
Mail (B), add a delivery confirmation service.
    Part A of this document summarizes the proposed revisions to the 
Domestic Mail Manual (DMM) necessary to implement R97-1 by class, 
subclass, and special service category. Part B summarizes proposed 
changes to the DMM by module, followed by the proposed revisions to the 
DMM standards.
    Comments are solicited on the implementing DMM standards in Part B. 
The proposed rates and proposed new rate categories and rate structures 
are included in Part B. However, the existence of the new categories 
and structures and the amount of the corresponding rates or fees 
attached to them and the proposed rate and fee changes for existing 
categories are outside the scope of this rulemaking process, because 
they are currently subject to evaluation by the Postal Rate Commission. 
For example, comments indicating delivery confirmation service should 
not be offered or should be offered at a different rate would not be 
appropriate, whereas comments suggesting changes in the proposed 
implementing rules for this service in DMM S918 would be appropriate.

A. Summary of Proposed DMM Revisions

1. Express Mail

Rate Highlights
    Except for a $0.05 decrease in the 2-pound rate to $14.95, moderate 
rate increases are proposed for all Express Mail rates. The fee for 
pickup service is proposed to increase from $4.95 to $8.25 per 
occurrence.
Rate Structure
    Surcharges for mailable hazardous material are proposed. Separate 
per-piece surcharges are proposed for hazardous medical material 
($0.50) and for other hazardous material ($1.00).

2. Priority Mail

Rate Highlights
    Increases are proposed for all Priority Mail rates. The fee for 
pickup service is proposed to increase from $4.95 to $8.25 per 
occurrence.
Rate Structure
    Delivery Confirmation. It is proposed to offer delivery 
confirmation service with Priority Mail. This service would be obtained 
in two forms: (1) an electronic option at no additional fee for mailers 
who themselves apply the identifying barcodes to each piece, provide an 
electronic manifest, and retrieve confirmation information 
electronically; and (2) a retail (manual) option for a $0.35 fee, with 
delivery information provided through a USPS Internet address or a 
toll-free telephone number. See DMM S918 in Part B for

[[Page 12865]]

details on preparing delivery confirmation mail.
    Keys and Identification Devices. It is proposed that keys and 
identification devices that weigh more than 11 ounces but no more than 
2 pounds are subject to the 2-pound Priority Mail rate plus a $0.30 
fee.
    Elimination of Presort Category. It is proposed to eliminate the 
Presorted Priority Mail rate category.
    Hazardous Material Surcharges. Surcharges for mailable hazardous 
material are proposed. Separate per-piece surcharges are proposed for 
hazardous medical material ($0.50) and for other hazardous material 
($1.00).

3. First-Class Mail

Rate Highlights
    It is proposed that the single-piece first-ounce letter rate 
increase only one cent from $0.32 to $0.33, and that the rate for 
additional ounces remain the same at $0.23. The nonstandard surcharge 
for one-ounce or less single-piece rate mail would increase from $0.11 
to $0.16, and the nonstandard surcharge for one-ounce or less presorted 
pieces would increase from $0.05 to $0.11. Small increases are proposed 
for Automation and Presorted rates. The annual presort mailing fee is 
proposed to increase from $85.00 to $100.00.
Rate Structure
    Heavy Piece Discount. It is proposed to eliminate the additional 
presort discount for the first ounce of mailpieces weighing more than 2 
ounces.
    Keys and Identification Devices. It is proposed that keys and 
identification devices that weigh 11 ounces or less are subject to the 
applicable single-piece letter rate, plus a $0.30 fee, and if 
applicable, the nonstandard surcharge.
    Hazardous Material Surcharge. Surcharges for mailable hazardous 
material are proposed. Separate per-piece surcharges are proposed for 
hazardous medical material ($0.50) and for other hazardous material 
($1.00).
    Prepaid Reply Mail. It is proposed to add a new classification 
category and corresponding rate structure for prepaid reply mail. The 
rate structure includes lower first-ounce First-Class Mail rates. There 
are also proposed permit fees and monthly accounting fees. Requirements 
for this new classification are described under ``Special Services'' 
below.
    Qualified Business Reply Mail. It is proposed to add a new 
classification category and rate structure for qualified business reply 
mail, which will replace the business reply mail accounting system 
(BRMAS). The rate structure includes a lower first-ounce rate. The fee 
structure requires an annual permit fee and an annual accounting fee 
for an advance deposit account. Requirements for this new 
classification category are described under ``Special Services'' below.
Mail Preparation
    Rate Markings. It is proposed to allow the ``Presorted'' marking to 
be abbreviated ``PRSRT.''

4. Periodicals

Rate Highlights
    It is proposed that delivery office and SCF pound rates will 
decrease, zones 1 through 3 advertising pound rates will decrease, 
zones 5 through 8 advertising pound rates will increase, the editorial 
pound rate will increase, and the editorial per-piece discount will 
increase. Authorization fees will not change, except that the 
additional entry fee will decrease from $85.00 to $50.00.
Rate Structure
    Per-Piece Rates. Separate 5-digit and 3-digit presort per-piece 
rates are proposed for Regular, Nonprofit, Classroom, and In-County 
subclasses. It is further proposed that the 3-digit rates will apply to 
both unique and nonunique 3-digit ZIP Code prefixes.
    To qualify for the nonautomation 5-digit rates, mail must be 
prepared in a 5-digit package of six or more pieces and must be 
containerized as follows: for letter mail, be placed in a 5-digit tray; 
for nonautomation flat mail, be placed in a 5-digit sack or on any 
level of pallet. To qualify for automation 5-digit rates for letters, 
mail must be part of a group of 150 pieces for the same 5-digit or 5-
digit scheme, properly placed in a 5-digit or 5-digit scheme tray. To 
qualify for automation 5-digit rates for flats, mail must be prepared 
in a 5-digit package of six or more pieces and placed in any level of 
sack or on any level of pallet.
    To qualify for the nonautomation 3-digit rates, sacked flat-sized 
mail must be prepared in a 5-digit or 3-digit package of six or more 
pieces each and must be placed in a 3-digit sack; trayed letter-size 
mail must be prepared in a 5-digit or 3-digit package of six or more 
pieces each, and must be placed in a 3-digit tray. Palletized flat-
sized mail must be prepared in a 3-digit package of six or more pieces 
and placed on a 3-digit or higher level of pallet.
    To qualify for automation 3-digit rates for letters, mail must be 
part of a group of 150 pieces for the same 3-digit or 3-digit scheme 
and be properly placed in a 3-digit or 3-digit scheme tray. To qualify 
for automation 3-digit rates for flats, mail must be prepared in a 3-
digit package of six or more pieces and placed in a 3-digit or higher 
level of sack or on a 3-digit or higher level of pallet.
Mail Preparation
    Automation Letters. It is proposed that preparation of the 5-digit 
or 5-digit scheme sort for letter-size automation rate mailings be 
revised from a required level of sort to an optional level of sort.
    SCF Sack. It is proposed that the preparation of an SCF sack for 
nonletter mail be revised from an optional level of preparation to a 
required level of preparation. SCF packages will not be permitted. 
Preparation of an optional origin/required entry 3-digit sack will be 
eliminated and preparation of an optional origin/required entry SCF 
sack will be required.
Forwarding and Return
    Charges for the return of Periodicals mail bearing the ``Address 
Service Requested'' endorsement will be paid at the First-Class Mail 
rates for pieces weighing 11 ounces or less and at the Priority Mail 
rates for pieces weighing over 11 ounces. This is due to the 
elimination of the Standard Mail (A) single-piece rates discussed 
below.

5. Standard Mail (A)

Rate Highlights
    Reductions are proposed for most of the pound rates. A change in 
the relationship between the basic Enhanced Carrier Route rates and the 
5-digit Automation letter rates is proposed. The 5-digit Automation 
letter rates would be lower than the basic Enhanced Carrier Route 
rates. The proposed basic Enhanced Carrier Route rates are the same for 
letter-size and for nonletter-size pieces. A $0.032 (regular) and 
$0.008 (nonprofit) per-piece rate (in addition to the pound rate) is 
proposed for saturation Enhanced Carrier Route mailings subject to the 
piece/pound rates. The annual presort mailing fee is proposed to 
increase from $85.00 to $100.00.
Rate Structure
    Elimination of Single-Piece Rates. It is proposed to eliminate the 
single-piece Standard Mail (A) rates. If the single-piece Standard Mail 
(A) subclass were kept, its proposed rates would exceed the First-Class 
Mail rates. Standard Mail (A) rates are designed to be bulk or 
presorted rates. The elimination of single-piece Standard Mail (A) 
rates will eliminate the current dual system for processing and 
transporting individual

[[Page 12866]]

lightweight pieces (pieces weighing less than 16 ounces). The 
elimination of single-piece Standard Mail (A) rates will affect the 
treatment of pieces in mailing jobs that remain after preparing an 
Enhanced Carrier Route and/or an Automation rate mailing. See ``Mail 
Preparation'' below for further information. It also will affect the 
fees for forwarding and return of Standard Mail (A) as described under 
``forwarding and return'' below. With one exception, single pieces that 
weigh less than 16 ounces will be subject to return postage at single-
piece First-Class or Priority Mail rates (multiplied by 2.472). The 
exception is that single pieces weighing less than 16 ounces that could 
qualify for single-piece Special Standard Mail or Library Mail rates 
will continue to be eligible for those rates upon return if properly 
endorsed because there are no minimum weight requirements for those two 
subclasses of Standard Mail (B).
    Residual Shape Surcharge. A $0.10 per-piece residual shape 
surcharge is proposed (in addition to the applicable nonletter postage) 
for pieces that are prepared as parcels or that are not letter size or 
flat size. This surcharge will apply to such pieces mailed at all 
Standard Mail (A) subclasses (Regular, Enhanced Carrier Route, 
Nonprofit, Nonprofit Enhanced Carrier Route).
    Hazardous Material Surcharges. Surcharges for mailable hazardous 
material are proposed. Separate per-piece surcharges are proposed for 
hazardous medical material ($0.50) and for other hazardous material 
($1.00).
Mail Preparation
    Rate Markings and Nomenclature. Many mailers have indicated a 
preference for ``Presorted Standard'' over ``Bulk Rate'' as the basic 
rate marking for their mail. The Postal Service also prefers this 
marking because it indicates the mail class and is consistent with the 
rate markings for First-Class Mail. Accordingly, the Postal Service 
proposes revising the basic rate marking requirements for regular rate 
mailings (including Enhanced Carrier Route) from ``Bulk Rate'' or 
``Blk. Rt.'' to ``Presorted Standard'' or ``PRSRT STD.'' Mailers will 
be given one year from the date of implementation of the R97-1 rate 
case to change their markings. During the one-year transition period, 
either the ``Bulk Rate'' or the ``Presorted Standard'' markings or 
their authorized abbreviations will be acceptable. For simplicity, July 
1, 1999, is used in the proposed DMM language to represent the date 
that is one year after implementation of the R97-1 rate case. This date 
will be revised in the final rule to give effect to the actual date of 
implementation as decided by the Postal Service Board of Governors.
    To provide further consistency, the DMM will use the term 
``Presorted Standard Mail (A)'' or ``Presorted Standard'' when 
referring to the mailings and rates now referred to in the DMM as 
``nonautomation presort (3/5 and basic) Standard Mail (A).''
    It also is proposed that pieces subject to the $0.10 residual shape 
surcharge be required to have the marking ``RSS'' printed on each piece 
either in the postage area or on the line immediately above or two 
lines above the address.
    ``Residual'' Pieces to a Mailing Job. Currently, Standard Mail (A) 
Enhanced Carrier Route, Automation, and nonautomation 3/5 and basic 
presort (to be renamed Presorted) rate mailings must each meet a 
separate 200-piece or 50-pound minimum quantity per mailing 
requirement. Pieces that cannot meet the minimum quantity per mailing 
requirement must be mailed at the single-piece Standard Mail (A) rates.
    Since it is proposed to eliminate the single-piece Standard Mail 
(A) rates, the Postal Service proposes a limited exception to the 
minimum volume requirements for mailings at Presorted (3/5 and basic) 
rates for ``residual'' pieces in a Standard Mail (A) mailing job. These 
residual pieces are groups of fewer than 200 pieces that remain after 
preparing an Enhanced Carrier Route or Automation mailing (or both).
    Specifically, the Postal Service proposes that these ``residual'' 
pieces be subject to the applicable Presorted Standard Mail (A) rates 
(nonautomation 3/5 and basic rates). Under this proposal, pieces in an 
Enhanced Carrier Route rate mailing and/or in an Automation rate 
mailing that have each separately met a 200-piece or 50-pound minimum 
quantity requirement may be counted toward the minimum quantity 
requirement for a Presorted (3/5 and basic) rate mailing, provided that 
(1) the Enhanced Carrier Route rate mailing and/or the Automation rate 
mailing, and the Presorted rate mailing are part of the same mailing 
job, and (2) the mailings are all reported on the same postage 
statement. Under no circumstances may pieces mailed at the Presorted 
Standard (nonautomation 3/5 and basic) rates be counted toward the 
minimum volume requirements for an Enhanced Carrier Route or an 
Automation rate mailing. Furthermore, the pieces mailed at the 
Presorted Standard rates must not bear any Enhanced Carrier Route or 
Automation markings. Only ``Presorted Standard'' (or until July 1, 
1999, ``Bulk Rate''), ``Nonprofit Organization,'' or applicable 
authorized abbreviations may appear on pieces mailed at the Presorted 
Standard rates.
    The alternative of subjecting these ``residual'' pieces to First-
Class Mail rates raises problems for both mailers and the Postal 
Service: mailers would have to submit two postage statements and the 
Postal Service would have to enter information from two postage 
statements into its Permit System. Also, the forwarding and return 
rules are different for the two classes of mail. Ancillary service 
endorsements intended for the majority of the mailing job that is being 
mailed as Standard Mail (A) might not be appropriate for the 
``residual'' portion of the job that is mailed as single-piece First-
Class Mail. For example, ``Change Service Requested'' is available to 
all Standard Mail (A), whereas for First-Class Mail it is available 
only to mailers participating in the electronic address change service 
(ACS). To ensure that ``residual'' pieces mailed at the First-Class 
Mail rates receive the correct forwarding and return services, mailers 
would have to use envelopes that bear First-Class Mail rate markings 
but did not bear the Standard Mail (A) markings ``Bulk Rate,'' 
``Presorted Standard,'' or ``Nonprofit Organization'' or inappropriate 
ancillary service endorsements. However, re-enveloping the ``residual'' 
mailpieces would be time consuming, expensive, and impractical for most 
Standard Mail (A) mailers. If the Postal Service allowed mailers simply 
to add a ``single-piece'' or a ``First-Class single-piece'' marking to 
their ``residual'' mailpieces, mail processing and delivery personnel 
would have to visually verify the postage and address areas of each 
mailpiece to ensure proper handling and delivery--a costly and 
inefficient process. Furthermore, there are different service standards 
for First-Class Mail and Standard Mail (A). This would pose a 
significant complicating factor for mailers with time-sensitive 
advertising such as that for sales on certain dates. If the 
``residual'' portion of a Standard Mail (A) mailing job were required 
to be mailed at First-Class Mail rates, it could arrive too early to 
have the intended effect on the recipient. It also would pose 
difficulties for mailers attempting to schedule follow-up activities, 
such as telemarketing, staffing, etc., around in-home delivery dates. 
The option to mail the ``residual'' portion at a later date so that its 
First-Class Mail delivery dates would better coincide with the Standard 
Mail (A) delivery dates for the major portion of the mailing job would 
not be possible for permit imprint mailers because the ``residual'' 
mail would not

[[Page 12867]]

meet the minimum quantity requirement of 200 pieces necessary to submit 
a single-piece rate permit imprint mailing.
Forwarding and Return
    With two exceptions, charges for the forwarding and return of 
Standard Mail (A) will be paid at the First-Class Mail rates for pieces 
weighing 11 ounces or less and at the Priority Mail rates for pieces 
weighing over 11 ounces. This is due to the elimination of the single-
piece Standard Mail (A) rates discussed above. The exceptions are (1) 
matter returned under Bulk Parcel Return Service (BPRS) and (2) matter 
that qualifies for a single-piece Special Standard Mail or Library Mail 
rate under DMM E630 and is endorsed to show that forwarding and return 
is requested at one of those rates.

6. Standard Mail (B)

Rate Highlights
    Because of cost increases, Parcel Post as a whole is proposed to 
have higher than average rate increases. Increases are proposed to most 
Bound Printed Matter and Library Mail rates. On average, proposed 
Special Standard Mail rates will be about the same as current rates. 
The annual fees for destination bulk mail center (DBMC) rates and 
presorted Special Standard Mail have increased from $85.00 to $100.00. 
The fee for pickup service for Parcel Post is proposed to increase from 
$4.95 to $8.25 per occurrence. (Pickup service is not available for 
mailings claiming Parcel Post destination entry rates or Origin Bulk 
Mail Center (OBMC) discounts.)
Rate Structure
    All Standard Mail (B). a. Barcoded Discount. A discount of $0.04 
per piece is proposed for machinable pieces bearing a correct and 
properly prepared barcode representing the 5-digit ZIP Code of the 
address on the mailpiece. To be eligible, the pieces must be part of a 
mailing containing at least 50 pieces of Parcel Post. The Postal 
Service is investigating a process to certify the quality of barcodes. 
This barcoded discount would be available for all Standard Mail (B) 
rates except Parcel Post mail at the destination sectional center 
facility (DSCF) or destination delivery unit (DDU) rates, Parcel Post 
DBMC rate mail entered at an auxiliary service facility (ASF), Bound 
Printed Matter at the Carrier Route rates, and presorted Special 
Standard Mail at the 5-digit rate.
    b. Delivery Confirmation. It is proposed to offer delivery 
confirmation service with Standard Mail (B). This service would be 
obtained in two forms: (1) an electronic option for a $0.25 fee for 
mailers who apply the identifying barcodes to each piece, provide an 
electronic manifest, and retrieve confirmation information 
electronically; and (2) a retail option for a $0.60 fee, with delivery 
information provided through a USPS Internet address or a toll-free 
telephone number. Mailers using the electronic option must have the 
quality of their printed barcodes certified by the USPS. See DMM S918 
in Part B for details on preparing delivery confirmation mail.
    Parcel Post. a. Presort Discounts for Inter-BMC Rates. An Origin 
BMC (OBMC) discount of $0.57 per piece is proposed for mail entered at 
a BMC that is sorted to BMCs if machinable parcels or sorted to BMCs 
and ASFs if nonmachinable parcels. A BMC Presort discount of $0.12 per 
piece is proposed for pieces sorted to BMCs if machinable parcels or 
sorted to BMCs and ASFs if nonmachinable parcels and entered at any 
postal facility other than a BMC that accepts bulk mailings. To qualify 
for either of these rates, pieces must be part of a mailing of at least 
50 pieces mailed at Parcel Post rates. See ``Mail Preparation'' below 
for more details.
    b. Drop Shipment Rates. A new rate schedule is proposed for pieces 
entered at the delivery unit from which the parcels are delivered 
(destination delivery unit (DDU) rate). DDU rate pieces must be part of 
a mailing of at least 50 pieces mailed at Parcel Post rates. A new rate 
schedule also is proposed for pieces entered at the destination 
sectional center facility (DSCF). DSCF rate pieces must be part of a 
mailing of at least 50 pieces mailed at Parcel Post rates. DSCF rate 
pieces must be sorted to 5-digit ZIP Codes as described under ``Mail 
Preparation'' below.
    c. Balloon Rate. It is proposed that any item weighing less than 15 
pounds and measuring over 84 inches (but less than 108 inches) in 
combined length and girth be charged the applicable Parcel Post rate 
for a 15-pound parcel.
    d. Oversized Pieces. It is proposed to allow up to 10% of the 
pieces in each Parcel Post mailing to measure over 108 inches, but not 
more than 130 inches, in combined length and girth. Such oversized 
pieces would be charged the applicable Parcel Post rate for a 70-pound 
parcel.
    e. Hazardous Material Surcharges. Surcharges for mailable hazardous 
material are proposed. Separate per-piece surcharges are proposed for 
hazardous medical material ($0.50) and for other hazardous material 
($1.00).
    Library Mail. Hazardous Material Surcharges. Surcharges for 
mailable hazardous material are proposed. Separate per-piece surcharges 
are proposed for hazardous medical material ($0.50) and for other 
hazardous material ($1.00).
Mail Preparation
    Markings. a. General. It is proposed to require that the current 
subclass markings ``Bound Printed Matter,'' ``Special Standard,'' and 
``Library Rate'' or ``Library Mail'' (or authorized abbreviations) be 
placed in the postage area on each mailpiece (i.e., be printed or 
produced as part of, or directly below or to the left of, the permit 
imprint indicia, meter stamp or impression, or adhesive or precanceled 
stamp). In addition, it is proposed that Standard Mail (A) mailed at 
one of these Standard Mail (B) rates under the exception in DMM 
E612.4.6 would be required to bear the appropriate Standard Mail (B) 
rate marking rather than the applicable Standard Mail (A) rate marking.
    b. Parcel Post. It is proposed that all Parcel Post rate mail bear 
a ``Parcel Post'' or ``PP'' rate marking in the postage area. This 
would include Standard Mail (A) mailings paid at Parcel Post rates 
under the exception in DMM E612.4.6. Mailings qualifying for drop 
shipment rates must bear an additional marking. A new generic drop 
shipment marking is proposed, which will be required on each piece 
mailed at a DBMC, DSCF, or DDU rate. The proposed marking ``Drop 
Shipment'' or its abbreviation ``D/S'' must be printed or produced as 
part of, or directly below or to the left of, the permit imprint or 
meter indicia, or may appear in the line above or two lines above the 
address. The drop shipment marking would be in addition to the ``Parcel 
Post'' marking or abbreviation.
    Because of the new generic drop shipment marking, the requirement 
for the marking ``DBMC Parcel Post'' or ``DBMC PP'' is eliminated for 
DBMC rate mail. Also eliminated is the requirement to show the 5-digit 
or 3-digit ZIP Code of the post office of mailing in the drop shipment 
marking if the postage for the piece is paid with a permit imprint and 
the office of mailing is in a different 3-digit ZIP Code area from the 
post office in the return address. For Parcel Post, the requirement for 
a ``Bulk Rate'' marking also has been eliminated. Mailpieces bearing 
the ``DBMC Parcel Post,'' the 3-digit ZIP Code of the office of 
mailing, and ``Bulk Rate'' markings will be accepted for one year after 
implementation of the R97-1 rate case.

[[Page 12868]]

    c. Bound Printed Matter. It is proposed to change the marking 
``Bulk Rate'' or ``Blk. Rt.'' to ``Presorted'' or ``PRSRT'' for bulk 
Bound Printed Matter mailings. The ``Presorted'' portion of the marking 
will be permitted to appear in either the postage area or in the line 
above or two lines above the address. The name of the rate category 
also will change from bulk Bound Printed Matter to presorted Bound 
Printed Matter. For carrier route Bound Printed Matter, the need for 
the ``Bulk Rate'' marking in addition to the ``Carrier Route Presort'' 
marking is eliminated. Carrier route Bound Printed Matter mailings must 
show ``Bound Printed Matter'' in the postage area and ``Carrier Route 
Presort'' or ``CAR-RT SORT'' in the postage area or in the line above 
or two lines above the address. Mailers will be permitted, but not 
required, to show the ``Presorted'' or ``PRSRT'' marking on carrier 
route Bound Printed Matter in addition to the required ``Bound Printed 
Matter'' and ``Carrier Route Presort'' or ``CAR-RT SORT'' markings. The 
``Catalog'' or ``Catalog Rate'' marking is eliminated for Bound Printed 
Matter. Pieces bearing the ``Bulk Rate'' or ``Blk. Rt.'' and 
``Catalog'' or ``Catalog Rate'' markings will be accepted for one year 
after implementation of the R97-1 rate case.
    d. Special Standard. For Presorted Special Standard mail, it is 
proposed to allow the ``Presorted'' portion of the current marking to 
be abbreviated ``PRSRT'' and to allow it to appear either in the 
postage area or in the line above or two lines above the address. The 
``Special Standard'' marking will be required to be placed in the 
postage area.
    Origin BMC Discount. To qualify for the Origin BMC (OBMC) discount, 
a piece must be part of a mailing of at least 50 Parcel Post rate 
pieces. Pieces eligible for the Origin BMC rate must be entered at a 
BMC. Machinable parcels: (1) must be sorted to BMCs using DMM labeling 
list L601, (2) must be prepared in pallet boxes, each labeled to a BMC 
and each containing a minimum of 54 inches of mail, and (3) must not be 
sorted into overflow pallet boxes or sacks. Nonmachinable parcels: (1) 
must be sorted to BMCs and ASFs using new DMM labeling list L605, (2) 
must be placed directly on pallets (no pallet boxes are allowed), each 
labeled to a BMC or ASF and each pallet measuring at least 48 inches 
high from the floor (mail and pallet), and (3) must not be sorted into 
overflow pallets or sacks. Pallets and pallet boxes also must meet the 
provisions of M041.
    BMC Presort Discount. To qualify for the BMC Presort discount, a 
piece must meet the same rules for sorting machinable parcels to BMCs 
and nonmachinable parcels to BMCs and ASFs as required for the Origin 
BMC discount above, except that BMC Presort mail may be entered at any 
postal facility (other than a BMC) that has a business mail entry unit.
    DSCF Rate. To qualify for the DSCF rate, a piece must be part of a 
mailing of at least 50 Parcel Post rate pieces. Pieces eligible for the 
DSCF rate must be entered at an SCF listed in DMM L005 and must be for 
delivery within the service area of the entry SCF. To qualify, the 
pieces must be presorted and labeled to 5-digit sacks or pallets as 
follows. Machinable and nonmachinable parcels may be combined in the 
same sack or pallet to meet the minimum sortation requirements. If 
sacked, each 5-digit sack must contain a minimum of 10 pieces. If 
palletized, each 5-digit pallet must meet one of the following minimum 
preparation requirements: (1) contain at least 50 pieces and 250 pounds 
of mail, or (2) be at least 42 inches high (height of mail and pallet). 
Pallet boxes are not permitted.
    If palletized, the following additional requirements or 
restrictions could apply. Currently, many BMCs transport mail for 
certain 5-digit ZIP Code areas directly to the 5-digit associate post 
office. A draft list of these 5-digit areas is found in DMM Exhibit 
E652.5.0 in Part B. It is likely that this list will be revised in the 
final rule. Five-digit pallets prepared for the DSCF rate for the 5-
digit ZIP Codes listed in this exhibit will be required to be entered 
at the BMC rather than at the SCF to obtain the DSCF rate. This will 
avoid incurring additional handling and transportation of this mail at 
the affected SCFs. However, sacked mail for the 5-digit ZIP Codes 
listed in Exhibit E652.5.0 must always be entered at the SCF (not at 
the BMC). In addition, there are certain associate post offices that 
cannot unload pallets. A list of these facilities may be found in the 
Drop Shipment Product that is currently available from the National 
Customer Support Center (NCSC) in Memphis, TN, 1-800-238-3150. For 
these 5-digit ZIP Codes, the DSCF rate will be available only for mail 
that can be presented in 5-digit sacks containing a minimum of 10 
pieces (i.e., the DSF rate will not be available for palletized mail). 
For DSCF mail, the Postal Service will unload palletized loads. Mailers 
must unload sacked and bedloaded mailings. Except for local mailings, 
appointments for dropping mail at an SCF must be scheduled through the 
appropriate district control center (see DMM E652 in Part B). Pallets 
also must meet the provisions of M041.
    DDU Rate. To qualify for the DDU rate, a piece must be part of a 
mailing of at least 50 Parcel Post rate pieces. Pieces eligible for the 
DDU rate must be entered at the postal facility where the carrier who 
delivers the parcel is located. There are no specific sortation 
requirements other than the requirement that mail must be separated by 
5-digit ZIP Code when unloaded at the DDU facility, and the mail must 
not be prepared in pallet boxes. If a mailer chooses to sack or 
palletize, there are no minimum sack or pallet requirements, but the 
sack or pallet must be labeled as a 5-digit sack or pallet. The mailer 
is responsible for unloading all DDU loads (even if palletized). 
Appointments must be made by contacting the DDU at least one day in 
advance. Mailers desiring electronic confirmation of DDU mail entry 
also must schedule the appointment through the district control center. 
A list of delivery unit facilities and their telephone numbers is 
available through the NCSC in the Drop Shipment Product.
    Plant-Verified Drop Shipment (PVDS). Pieces must be part of a 
mailing of at least 50 Parcel Post rate pieces in order to qualify for 
DDU, DSCF, and DBMC rates, and to qualify for OBMC, BMC Presort, and 
barcoded discounts. When Parcel Post rate pieces 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 
minimum 50-piece volume requirement. This means a mailer may enter 
fewer than 50 pieces at an individual destination, provided there are 
at least 50 Parcel Post rate pieces for the total of all the entry 
points for that single mailing job listed on the PVDS register or PVDS 
postage statement.
    Bulk Parcel Post. Bulk Parcel Post is a separate subclass of 
Standard Mail (B). Currently, there are no rates in effect for this 
subclass, and no rates for this subclass were proposed by the Postal 
Service in Docket No. R97-1. DMM E620.2.4e currently states that ``the 
bulk Parcel Post rate is the rate applicable to each piece in a bulk 
Parcel Post rate mailing at the single-piece rate or DBMC rate for that 
zone for an item equal to the average weight per piece for all parcels 
in the mailing to that zone, rounded up to the next whole pound.'' This 
DMM section therefore establishes a method of computing postage at 
Parcel Post rates. For mailings of identical weight pieces, this 
averaging method is inconsequential, because the average weight of all 
the pieces to a zone will always be the weight of a single piece.

[[Page 12869]]

For mailings of nonidentical weight pieces, DMM E620.2.2b currently 
states that this method of postage payment can be used only if 
authorized by the rates and classification service center (RCSC) 
serving the post office of mailing. The Postal Service is proposing to 
remove sections E620.2.2 and E620.2.4e from the DMM. Postal Service 
Headquarters is not aware of any mailer that is currently authorized to 
use this method of postage payment. If in fact there are mailers using 
this method, they may request that their RCSC issue an authorization 
for continuation of their postage payment procedure as an alternate 
mailing system under DMM P730. This measure promotes clarity in the 
DMM. The Postal Service is proposing various new rates and discounts 
for Parcel Post that could be considered ``bulk rates'' because they 
require a minimum volume of 50 pieces per mailing. Therefore, removing 
references to ``Bulk Parcel Post rates'' in DMM E620 will reduce 
confusion with the eligibility section for Parcel Post rates in new DMM 
E630. As indicated above, the Postal Service also is proposing to 
remove the requirement to mark pieces with a ``Bulk Parcel Post'' rate 
marking. New DMM E630.6.0 is reserved for any future rates and 
requirements for the Bulk Parcel Post subclass.

7. Special Services

Address Correction
    No change is proposed to address correction service fees ($0.50 
manual, $0.20 automated, per notice issued).
Address Changes for Election Boards
    The fee is proposed to increase from $0.17 to $0.20. See DMM 
R900.10.3 in Part B.
Business Reply Mail (BRM)
    It is proposed that the annual permit fee increase from $85.00 to 
$100.00, and the annual accounting fee increase from $205.00 to 
$300.00. For regular BRM, mailers will pay the applicable First-Class 
Mail rates plus a per-piece charge. The per-piece charge for regular 
BRM with an advance deposit account will decrease from $0.10 to $0.08. 
The per-piece charge for regular BRM without an advance deposit account 
will decrease from $0.44 to $0.30.
    It is proposed that a new category of BRM, Qualified Business Reply 
Mail (QBRM), replace the current Business Reply Mail Accounting System 
(BRMAS) category. For QBRM, mailers also will pay postage plus a fee; 
however, a lower first-ounce rate of postage of $0.30 for letters and 
$0.18 for cards is proposed for QBRM. Mailers of QBRM also will pay a 
$0.06 per-piece charge and be required to use a business reply mail 
advance deposit account.
    Mailpiece design and barcoding requirements are revised for both 
regular BRM and QBRM. Regular BRM and QBRM pieces that bear a barcode 
will be required to meet the automation letter mailpiece design 
requirements in DMM C810 and the barcoding standards in C840, so that 
there are uniform requirements for mail that is processed on barcode 
sorters. This will result in revised standards for preparation of 
barcode window envelopes, including the placement of barcodes as they 
appear through the windows. It also will allow a company logo to appear 
beneath the delivery address line, provided that it is placed no lower 
than \5/8\ inch from the bottom edge of the mailpiece and does not 
interfere with the barcode clear zone. For barcoded and nonbarcoded 
BRM, references to mailpiece design requirements in DMM C810 and C830 
will replace current BRM standards relative to reflectance 
requirements, paper weight, and self-mailers. This will lower paper 
basis weight requirements for envelopes from 20-pound paper to 16-pound 
paper and add basis weight, tabbing, and other requirements for self-
mailers. It is likely that self-mailers will be processed on automated 
equipment. Meeting these requirements will ensure their ability to be 
processed without damage.
    The minimum thickness requirements for cards that are not barcoded 
will not change. However, cards that bear a barcode under either 
regular BRM or QBRM will be required to meet the thickness requirements 
in DMM C810, to bring the barcoded BRM standards in line with 
automation standards for other mail. For barcoded pieces, this will 
increase the minimum thickness for cards measuring greater than 4\1/4\ 
inches high by 6 inches long from .007 inch to .009 inch. These larger 
cards are subject to the rate for ``other than cards'' (now and under 
the proposed standards). The minimum thickness for barcoded cards that 
are eligible for the card rate (measuring 4\1/4\ inches by 6 inches or 
less) will continue to be .007 inch.
Carrier Sequencing of Address Cards
    The fee is proposed to increase from $0.17 to $0.20. See DMM 
R900.1.1 in Part B.
Certificate of Mailing
    Fees are proposed to increase. See DMM R900.4.0 in Part B.
Certified Mail
    The fee is proposed to increase from $1.35 to $1.55. See DMM 
R900.5.0 in Part B.
Collect on Delivery (COD)
    Fees are proposed to increase. See DMM R900.6.0 in Part B. It also 
is proposed to revise COD by removing its applicability to single-piece 
Standard Mail (A), and to allow it to be used in conjunction with 
delivery confirmation service (with Priority Mail and Standard Mail (B) 
only).
Correction of Mailing Lists
    The per-correction and minimum per-list fees are proposed to 
increase. See DMM R900.10.1 in Part B.
Delivery Confirmation
    A new delivery confirmation service is proposed for Priority Mail 
and Standard Mail (B). This service will provide the mailer with 
information about the date of delivery or attempted delivery. It is 
anticipated that a signature (electronic return receipt) service also 
will be available in early 1999. Until then, return receipt service 
under DMM S915 may be used with delivery confirmation only if purchased 
in connection with insurance for over $50.00, COD, or registry service. 
Delivery confirmation service will be available at the time of mailing 
only. This service will be obtained in two forms: (1) an electronic 
option for mailers who apply identifying barcodes to each piece, 
provide an electronic manifest, and retrieve confirmation information 
electronically; and (2) a retail (manual) option, for which delivery 
information would be provided through a USPS Internet address or a 
toll-free telephone number. It is proposed that delivery confirmation 
may be combined with insured mail, registered mail, COD, or special 
handling. Delivery Confirmation also may be combined with restricted 
delivery only if purchased along with insurance for over $50.00, COD, 
or registry service. See DMM S918 in Part B for further details on 
preparing delivery confirmation mail and R900.7.0 for fees.
Express Mail Insurance
    Fees for merchandise insured for $500.01 to $5,000.00 are proposed 
to increase. See DMM R900.8.0 in Part B.
Insured Mail
    Fees for existing insurance service are proposed to increase. See 
DMM R900.9.0 in Part B. The applicability of insurance to single-piece 
Standard Mail (A) is deleted. Pieces formerly mailed at

[[Page 12870]]

single-piece Standard Mail (A) rates will be mailed as First-Class Mail 
or Priority Mail and therefore will retain eligibility for insurance. 
The proposal contains provisions for providing delivery confirmation 
service in conjunction with insurance (for Priority Mail and Standard 
Mail (B) only). In addition, a bulk insurance discount of $0.40 per 
piece is proposed. To qualify for the bulk insurance discount, mailers 
will be required to (1) enter mailings of insured articles under an 
approved manifest mailing system agreement, (2) mail a minimum of 
10,000 insured articles annually (a total of all insured articles 
mailed at multiple locations), (3) provide a hard copy of Form 3877, 
Firm Mailing Book for Accountable Mail, or facsimile (4) effective 
early 1999, also provide a soft (electronic) copy of Form 3877, in an 
approved format. Mailers will be required to request authorization from 
the manager of Claims and Processing at the St. Louis Accounting 
Service Center (ASC) to mail at the bulk insured rates and to file 
claims under the alternative procedures for bulk insured mail. It is 
anticipated that in early 1999 programming changes will have been made 
at the St. Louis ASC that will tie in to the anticipated completion of 
systems to electronically capture information on accountable mail at 
delivery units. When or before these changes and systems are completed, 
bulk insurance mailers will be provided with instructions for 
electronically filing claims. The bulk insurance discount will be 
available when rates are implemented and is not dependent on electronic 
claim filing.
Merchandise Return Service
    It is proposed that the annual permit fee increase from $85.00 to 
$100.00. There is no proposed increase in the charge per returned 
mailpiece. Revisions are made to the postage that is applicable to 
pieces returned that weigh less than 16 ounces and to the marking 
requirements that specify the return rate of postage. These changes are 
necessary due to the proposed elimination of single-piece Standard Mail 
(A) rates. The proposed postage and marking requirements are as 
follows. If the permit holder desires matter weighing over 16 ounces to 
be returned at a rate other than Parcel Post, the permit holder must 
preprint the appropriate rate marking on the label (``Priority'' or 
``Priority Mail,'' ``Bound Printed Matter,'' ``Special Standard,'' or 
``Library Mail'' or ``Library Rate''). Pieces weighing more than 11 
ounces and less than 16 ounces may be returned only at Priority Mail 
rates, or, if the contents meet the applicable standards, at the 
Special Standard or Library Mail rates. The permit holder must preprint 
the applicable rate marking on matter weighing more than 11 ounces and 
less than 16 ounces. Pieces weighing 11 ounces or less may be returned 
only at First-Class Mail or Priority Mail rates, or, if the contents 
meet the applicable standards, at the Special Standard or Library Mail 
rates. The permit holder must preprint the applicable rate marking on 
matter weighing 11 ounces or less returned at the Priority Mail, 
Special Standard, or Library Mail rates. It is recommended but not 
required that matter weighing 11 ounces or less to be mailed at the 
First-Class Mail rates bear the preprinted marking ``First-Class'' or 
``First-Class Mail.''
Money Orders
    No changes are proposed for money orders.
On-Site Meter Settings
    The Postal Service is proposing to increase two of the on-site 
meter setting fees. The current fee of $3.25 for additional meter 
setting will increase to $4.00, and the fee for checking a meter in and 
out of service is proposed to increase from $7.50 to $8.50. No 
increases are proposed to the scheduled appointment setting fee for the 
first meter or to the unscheduled or emergency setting fee for the 
first meter.
Parcel Airlift
    Individual parcel airlift fees are proposed to increase from $0.40 
to $0.45 for up to two pounds, from $0.75 to $0.85 for over two up to 
three pounds, from $1.15 to $1.30 for over three to up to four pounds, 
and from $1.55 to $1.75 for over four pounds.
Permit Imprint
    The application fee for permit imprints is proposed to increase 
from $85.00 to $100.00.
Post Office Boxes, Caller Service, and Reserve Call Numbers
    Post office box fees (except the $0 fee for all box sizes in Group 
E) are proposed to increase. Fees for caller service and reserve call 
numbers are also proposed to increase (see DMM R900.16.0 and R900.3.0 
in Part B).
Prepaid Reply Mail
    A proposed new classification, Prepaid Reply Mail (PRM), will allow 
businesses or other organizations to provide their correspondents with 
Postal Service-approved envelopes or cards that have postage prepaid. 
This will allow a PRM permit holder's customers to return mail such as 
bill payments without affixing postage. Mailers who participate in PRM 
must use automation-compatible and prebarcoded letters and cards. A 
new, reduced first-ounce rate of postage of $0.30 for letters and $0.18 
for cards that is prepaid by the envelope or card provider prior to or 
at the time of original mailing is proposed. Mailers prepay postage on 
PRM pieces based on an estimated number of returns through the mail. 
The mailer (permit holder) must keep records of the actual number of 
returns. The actual postage owed is reconciled by the mailer and the 
USPS through a periodic audit. A yearly $100.00 permit fee is proposed. 
In addition, the permit holder will pay a monthly fee of $1,000.00 to 
cover Postal Service auditing and administrative activities. PRM 
mailers will have to obtain authorization to distribute PRM pieces from 
the post office where the PRM pieces are initially distributed.
Registered Mail
    The maximum value level for registered mail without postal 
insurance is decreased from $100.00 to $0.00. All registered mail with 
a value of $0.01 or more will be automatically provided with insurance 
(up to a maximum indemnity of $25,000 per piece). Insurance coverage is 
included in the applicable registered mail fee. Only mail of no value 
may be mailed as uninsured registered mail. In addition, registered 
mail fees are proposed to increase (see DMM R900.18.0 in Part B). 
Proposed DMM revisions will allow the use of delivery confirmation 
service with registered mail.
Restricted Delivery
    No changes are proposed to restricted delivery fees. Proposed DMM 
revisions will allow the use of restricted delivery with delivery 
confirmation service provided it is purchased along with insurance for 
more than $50.00, COD, or registry service.
Return Receipt
    Fees for return receipt are proposed to increase (see DMM R900.20.0 
in Part B). Proposed revisions are made to the DMM to allow use of 
return receipt service with delivery confirmation service only if 
purchased in connection with insurance for over $50, COD, or registry 
service. In 1999, signature (electronic return receipt) service will be 
offered with delivery confirmation service, without a requirement to 
purchase any other special service to receive it.

[[Page 12871]]

Return Receipt for Merchandise
    Fees for return receipt for merchandise are proposed to increase 
(see DMM R900.21.0 in Part B). It also is proposed to delete the 
availability of this service with single-piece Standard Mail (A), 
because single-piece Standard Mail (A) will be eliminated.
Special Handling
    Substantial increases are proposed to the special handling fees, 
because the costs of providing this service have more than tripled 
since the last omnibus rate case proceeding (see R900.22.0 in Part B). 
In addition, the DMM is revised to conform to the Domestic Mail 
Classification Schedule (DMCS) by making it clear that special handling 
may be used with First-Class Mail and Priority Mail. Proposed DMM 
revisions also will allow the use of delivery confirmation service with 
special handling.
Stamped Cards
    It is proposed to add a $0.02 fee per stamped card and a $0.04 fee 
per double stamped card to cover manufacturing and printing costs. 
Additionally, a fee of $0.80 would be added to the sale of a sheet of 
40 stamped cards. This is consistent with the existing fee structure 
for stamped envelopes, where customers are charged the postage plus a 
small fee for the envelope itself.
Stamped Envelopes
    It is proposed to increase fees for some stamped envelopes and 
decrease fees for others. In addition, the fee structure has been 
simplified: except for the hologram and banded stamped envelopes, all 
stamped envelopes are grouped together by size and whether they are 
plain or printed.
ZIP Coding of Mailing Lists
    Fees are proposed to increase from $60.00 to $70.00 per 1,000 
addresses or fraction thereof.

B. Summary of Domestic Mail Manual (DMM) Changes

    The following are proposed changes organized by DMM module. They 
are intended as an overview only and should not be viewed by commenters 
as defining every proposed revision.
A  (Addressing)
    A060.5.3 is amended to eliminate the option to pay postage for 
excess or undeliverable detached address labels (DALs) or items being 
returned at the single-piece Standard Mail (A) rates. Postage for 
excess or undeliverable DALs or items being returned is computed at the 
applicable single-piece rate (First-Class Mail, Priority Mail, or 
Standard Mail (B)) for the combined weight of the DAL and the 
accompanying item, regardless of whether both are being returned.
C  (Characteristics and Content)
    References to single-piece Standard Mail (A) are deleted 
throughout. C050 is revised to add ``Nonmachinable'' to the title of 
5.0 and 6.0 (Irregular and Outside Parcels). C100.4.0 is revised to 
include keys and identification devices as items that may be considered 
nonstandard mail. C600.1 is amended to allow Parcel Post mailings to 
include pieces measuring over 108 inches, but not exceeding 130 inches 
in combined length and girth, if the number of such pieces does not 
exceed 10% of each mailing, and a rate is paid equal to that for a 70-
pound parcel for the zone to which the parcel is addressed. C600.1 also 
is amended to require Parcel Post pieces that weigh less than 15 pounds 
but measure more than 84 inches in combined length and girth to pay a 
rate equal to that of a 15-pound parcel for the zone to which the 
parcel is addressed. C600.2 is amended to delete the nonstandard 
surcharge criteria that formerly applied to single-piece Standard Mail 
(A). C810 is amended to provide new maximum weights for automation 
``heavy'' letters. A new C850 is added to provide standards for 
barcodes on parcels.
D  (Deposit, Collection, and Delivery)
    D010.1 is amended to exclude Parcel Post pieces mailed at the DDU 
and DSCF rates, or claiming the Origin BMC discount, from obtaining 
pickup service. D042.1.7 is amended to reflect the operational 
conditions in plants that employ an automated delivery receipt system 
for processing accountable mail. D600.2 is amended to remove the 
sentence that allowed single-piece Standard Mail (A) bearing adhesive 
stamps to be placed in collection boxes.
E  (Eligibility)
    E060 is revised to remove single-piece Standard Mail (A) as a 
permissible rate for the return of items under penalty merchandise 
return service. E110 is revised to delete references to Presorted 
Priority Mail. E120 is revised to remove references to Presorted 
Priority Mail, to add information on rates and fees applicable to keys 
and identification devices, to add information on hazardous material 
surcharges, and to make minor organizational changes. E130 is revised 
to add information on rates and fees applicable to keys and 
identification devices, and surcharges for nonstandard sizes and for 
hazardous material. E200 is revised to provide for separate 5-digit and 
3-digit rates for Regular, Nonprofit, Classroom, and In-County 
subclasses, and to show that the applicable 3-digit rates will apply to 
both unique and nonunique 3-digit ZIP Code areas. E500 is revised to 
add information on hazardous material surcharges. E600 is revised to 
delete references to single-piece Standard Mail (A), and to change the 
name ``nonautomation presort'' to ``Presorted'' or ``Presorted 
Standard.'' E612 is revised to change the weight breakpoints for the 
Standard Mail (A) minimum per-piece rates, specify that delivery 
confirmation service may not be used with Standard Mail (A), and 
require Standard Mail (A) mailed at a Standard Mail (B) rate to show 
the applicable Standard Mail (B) marking. E620 and E630 are reorganized 
so that E620 contains standards for Standard Mail (A) and E630 contains 
standards for Standard Mail (B). E620 is revised to add new minimum 
volume requirements for Presorted Standard mailings and add provisions 
for the new residual shape surcharge and the hazardous material 
surcharges. E630 is revised to add provisions for new DSCF and DDU 
rates and new OBMC, BMC Presort discounts, the oversized parcel 
provisions, and balloon rate provisions. E630 is revised to add 
provisions for a barcoded discount and delivery confirmation for all 
Standard Mail (B). E630 is revised to add provisions for hazardous 
material surcharges for Parcel Post and Library Mail and to revise 
marking requirements for Parcel Post drop shipments, Bound Printed 
Matter, and Special Standard Mail. E640 is revised to add hazardous 
material surcharges for Standard Mail (A). E652 is revised to add 
provisions for DSCF and DDU Parcel Post rates.
F  (Forwarding and Related Services)
    F010 revises forwarding and related services for Periodicals and 
for Standard Mail (A) to show that return postage is subject to the 
First-Class or Priority Mail rates based on weight, except for 
machinable Standard Mail (A) parcels returned under Bulk Parcel Return 
Service (BPRS). F020 is revised to remove references to single-piece 
Standard Mail (A).
L  (Labeling Lists)
    Section L100, including labeling list L102, ADCs--Presorted 
Priority Mail, is deleted. New labeling list L605, BMCs--Nonmachinable 
Parcel Post, is added.
M  (Mail Preparation and Sortation)
    M011 is revised to amend the definition of a mailing. M012 is 
revised to change marking requirements for

[[Page 12872]]

Standard Mail (A) and (B). In M032, Exhibit 1.3 is revised to show 
headings for new Periodicals rate levels and for new Parcel Post rates. 
M041 is revised to reflect new Standard Mail (B) rate requirements. 
M045 is revised to add new Standard Mail (B) preparation requirements. 
M072 is amended for clarity. M073 is revised to add information about 
combining Standard Mail (A) and Standard Mail (B) parcels in mailings 
prepared under new Parcel Post rate preparation requirements. M120 is 
revised to delete the sections on Presorted Priority Mail. M200 is 
revised to require preparation of an SCF level of sack. M600 is revised 
to change ``nonautomation presort'' to ``Presorted,'' to revise 
references to E620 and E630, and to revise marking requirements. M810 
is reorganized and revised to add new rate categories for Periodicals 
and to make the 5-digit/scheme sortation level optional for Periodicals 
automation letters. M820 is revised to make the SCF sack a required 
level of presort for Periodicals automation flats.
P  (Postage and Payment Methods)
    P011 is revised to delete references to single-piece Standard Mail 
(A). P012 revises standardized documentation for Periodicals to add 
separate 5-digit and 3-digit rates for both automation and 
nonautomation and to add new rate abbreviations for nonautomation 5-
digit and 3-digit rates. P013 is revised to reflect payment for keys 
and identification devices at First-Class Mail and Priority Mail rates 
plus a $0.30 fee instead of single-piece Standard Mail (A) rates, to 
delete sections concerning computation of single-piece Standard Mail 
(A) rates, and to revise the breakpoints for Standard Mail (A) rates. 
P014 is revised to delete references to single-piece Standard Mail (A) 
and to indicate that a full refund may be given for delivery 
confirmation if no service is provided. P030.5.4 is revised to delete a 
reference to single-piece Standard Mail (A). P600 is revised to 
establish postage payment methods for Standard Mail (B) containing a 
combination of discounts, to delete information on payment and use of 
``SNGLP'' marking for single-piece Standard Mail (A), and to clarify 
that for mailings of identical weight, Standard Mail (A) postage may be 
affixed to all pieces in the mailing at the lowest rate in the mailing 
job. P710 is revised to require manifest information concerning limits 
on oversize Parcel Post. P750 is revised to include instructions on the 
new Parcel Post DSCF and DDU rates. P760 is revised to change 
``nonautomation'' to ``Presorted'' for Standard Mail (A) and to delete 
references to single-piece Standard Mail (A).
R  (Rates and Fees)
    The entire module is revised to reflect new rates and fees.
S  (Special Services)
    S010 is revised to reflect claims for the new bulk insurance 
service. S070 is revised to clarify applicability of Priority Mail Drop 
Shipment. S911 is revised to reflect changes to indemnity coverage for 
registered mail and to include delivery confirmation as an authorized 
additional service. S913 is revised to eliminate references to single-
piece Standard Mail (A), to provide clarification to matter eligible 
for insurance, to include rules for the new bulk insurance service, and 
to include delivery confirmation as an authorized additional service. 
S915 is amended to reflect limited use of return receipt with delivery 
confirmation service. S916 is amended to reflect limited use of 
restricted delivery together with delivery confirmation service. S917 
is amended to delete availability of return receipt for merchandise 
with single-piece Standard Mail (A). S918 is added to provide rules for 
the proposed new delivery confirmation service. S921 is amended to 
delete availability of COD with single-piece Standard Mail (A) and to 
reflect limited use of COD with delivery confirmation service. S922 is 
revised to include requirements for new QBRM service, to require all 
BRM bearing barcodes to meet the requirements of C810 and C840, and to 
replace current BRM standards relative to reflectance requirements, 
paper weight, and self-mailers with current mailpiece design 
requirements in C810 and C830. S923 is revised to eliminate the return 
of merchandise return service pieces at single-piece Standard Mail (A) 
rates, to prescribe new rates of return and corresponding markings, and 
to reflect new standards concerning registered mail used with that 
service. S924 is revised to eliminate references to single-piece 
Standard Mail (A). S925 is added to provide rules for the proposed new 
prepaid reply mail classification. S930 is amended to remove 
availability of special handling service for single-piece Standard Mail 
(A), to correct the rules to allow First-Class Mail and Priority Mail 
to receive special handling, and to reflect availability of delivery 
confirmation service with special handling for the applicable 
subclasses.
    Although exempt from the notice and comment requirements of the 
Administrative Procedure Act (5 U.S.C. 553(b), (c)) regarding proposed 
rulemaking by 39 U.S.C. 410(a), the Postal Service invites comments on 
the following proposed revisions of 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-
3011, 3201-3219, 3403-3406, 3621, 5001.

    2. Revise the following sections of the Domestic Mail Manual to 
read as follows:

A  ADDRESSING

A000  Basic Addressing

* * * * *

A060  Detached Address Labels (DALs)

* * * * *
5.0  POSTAGE
* * * * *

5.3  Returns

[Amend the first sentence of 5.3 by replacing ``Standard Mail'' with 
``First-Class Mail'' to read as follows:]
    Postage for excess or undeliverable DALs that are properly 
endorsed, or items being returned, is computed at the applicable 
single-piece rate (First-Class Mail, Priority Mail, or Standard Mail 
(B)) for the combined weight of the DAL and the accompanying item, 
regardless of whether both are being returned. * * *
* * * * *
    C  CHARACTERISTICS AND CONTENT

C000  General Information

C010  General Mailability Standards

1.0  MINIMUM AND MAXIMUM DIMENSIONS
* * * * *

1.6  Nonstandard Surcharge

[Amend 1.6 by removing ``C600'' and ``Single-Piece Standard Mail'' to 
read as follows:]
    Because of address placement (orientation) under C100, a mailable 
piece of First-Class Mail weighing 1 ounce or less can be subject to 
the corresponding nonstandard surcharge.
* * * * *

C024  Other Restricted or Nonmailable Matter

* * * * *

[[Page 12873]]

12.0  ODD-SHAPED ITEMS IN ENVELOPES

12.1  Nonmailable

[Amend 12.1 by removing ``Standard Mail (A) rate'' to read as follows:]
    Pens, bottle caps, and similar odd-shaped items are not acceptable 
in letter-size envelopes at the single-piece First-Class Mail rate.
* * * * *

C022  Perishables

* * * * *
3.0  LIVE ANIMALS

3.1  Day-Old Poultry

[Amend 3.1f by adding ``or Priority Mail'' for clarity as follows:]
    Day-old poultry vaccinated with Newcastle disease (live virus) is 
nonmailable. Live day-old chickens, ducks, geese, partridges, pheasants 
(mailable only from April through August), guinea fowl, quail, and 
turkeys are acceptable in the mail only if:
* * * * *
    f. The shipment bears special handling postage in addition to 
regular postage, unless sent at the First-Class Mail or Priority Mail 
rate.
* * * * *

C023  Hazardous Matter

* * * * *

12.0  Hazardous Material Surcharge

    Mailable hazardous material described and prepared under C023.10 is 
subject to a Hazardous Medical Material surcharge if mailed at the 
Priority Mail, First-Class Mail (other than cards), Standard Mail (A), 
Parcel Post, or Library Mail rates. Mailable hazardous material mailed 
under C023.1.0 through 6.0 and in C023.9.0 and prepared under C021 and 
C023 are subject to the other hazardous material surcharge if mailed at 
the Priority Mail, First-Class Mail (other than cards), Standard Mail 
(A), Parcel Post, or Library Rate. Both surcharges may apply to some 
material.
* * * * *

C050  Mail Processing Categories

* * * * *
[Amend 5.0 to add ``Nonmachinable'' to the title as follows:]
5.0  IRREGULAR PARCEL (NONMACHINABLE)
* * * * *
[Amend 6.0 to add ``Nonmachinable'' to the title as follows:]
6.0  OUTSIDE PARCEL (NONMACHINABLE)
* * * * *

C100  First-Class Mail

* * * * *
4.0  NONSTANDARD MAIL
[Revise 4.0 to include keys and identification devices as items subject 
to the nonstandard classification as follows:]
    Except for Priority Mail, any piece of First-Class Mail (including 
keys or identification devices) weighing 1 ounce or less and not 
claimed at a card rate is nonstandard and subject to the applicable 
surcharge if its thickness exceeds 1/4 inch or, if based on the 
placement (orientation) of the address, its length exceeds 11-1/2 
inches, its height exceeds 6-1/8 inches, or its aspect ratio (length 
divided by height) is less than 1.3 or more than 2.5.
* * * * *

C600  Standard Mail

1.0  DIMENSIONS

1.1  Standard Mail (A)

[Amend 1.1b to read as follows:]
    These dimensional standards apply to Standard Mail (A):
* * * * *
    b. Presorted (3/5 and basic rate) Regular and Nonprofit Standard 
Mail (A) are subject only to the basic mailability standards in C010.
* * * * *

1.2  Standard Mail (B)

[Amend and renumber 1.2 as follows to specify a 10% limit on oversize 
Parcel Post, and add a Parcel Post balloon rate:]
    These dimensional standards apply to Standard Mail (B):
    a. No piece may weigh more than 70 pounds, except matter at Bound 
Printed Matter rates may not weigh more than 15 pounds.
    b. Except for Parcel Post under 1.2c, the combined length and girth 
of a piece (i.e., the length of its longest side plus the distance 
around its thickest part) may not exceed 108 inches.
    c. Parcel Post pieces exceeding 108 inches in combined length and 
girth, but no greater than 130 inches in combined length and girth, are 
mailable provided that they constitute not more than 10% of the total 
number of Parcel Post pieces entered in a single mailing or included on 
an approved daily manifest prepared for mailings that originate at a 
single mailing location. The 10% limitation is applicable to all Parcel 
Post mailings regardless of mailing size or acceptance location. Such 
oversized Parcel Post pieces must be paid at a rate equal to that of a 
70 pound parcel for the zone to which the parcel is addressed.
    d. Parcel Post pieces exceeding 84 inches in combined length and 
girth, but not exceeding 108 inches in combined length and girth, and 
weighing less than 15 pounds are mailable at a rate equal to that of a 
15-pound parcel for the zone to which the parcel is addressed.
    e. Two or more packages may be mailed as a single parcel, if they 
are about the same size or shape or if they are parts of one article, 
if they are securely wrapped or fastened together, and if they do not 
together exceed the weight or size limits.
    f. Lower size or weight standards apply to mail claimed at certain 
rates, addressed to certain APOs and FPOs, or sent by the Department of 
State to U.S. government personnel abroad.
    g. Pieces might be subject to minimum weight or dimensions based on 
the standards for specific rates.
[Delete current 2.1, renumber current 2.2 as 2.0 and revise to read as 
follows:]
2.0  NONMACHINABLE SURCHARGE
    Items described in E630 and mailed at the inter-BMC/ASF Parcel Post 
rates are subject to a nonmachinable surcharge unless the applicable 
special handling fee is paid.
* * * * *

C800  Automation-Compatible Mail

* * * * *

C810  Letters and Cards

* * * * *
2.0  DIMENSIONS
* * * * *

2.3  Maximum Weight

[Amend 2.3c through 2.3f to amend the maximum ounce weights for heavy 
letters to read as follows:]
    Maximum weight limits are as follows:
* * * * *
    c. 3.2873 ounces: automation Nonprofit Standard Mail heavy letters, 
subject to 7.5.
    d. 3.2906 ounces: automation Enhanced Carrier Route heavy letters, 
subject to 7.5.
    e. 3.2914 ounces: automation Nonprofit Enhanced Carrier Route heavy 
letters, subject to 7.5.
    f. 3.2985 ounces: automation First-Class Mail, automation 
Periodicals, and automation Regular Standard Mail heavy letters, 
subject to 7.5.
* * * * *
[Add new C850 to provide parcel barcode requirements as follows:]

[[Page 12874]]

C850  Standard Mail (B) Barcode Standards

1.0  PARCEL BARCODE CHARACTERISTICS

1.1 Basic Standards

    Every addressed piece eligible for the Standard Mail (B) barcode 
discount described in E630 must bear the correct 6-digit barcode (a 5-
digit ZIP Code and a 1-digit verifier character) in an Interleaved 2 of 
5, Code 39, or Code 128 format. Technical specifications for these 
three barcode formats appear in Uniform Symbology Specification (USS) 
documents USS-I2/5, USS-39, and USS-128, respectively, available from 
Automatic Identification Manufacturers (AIM), Material Handling 
Institute, Inc., 1326 Freeport Rd., Pittsburgh, PA 15238-3131. Only one 
6-digit barcode ending in a ``9'' character may appear on the 
mailpiece. The barcode must be located as specified in 1.6. No printing 
may appear in an area 1/8 inch above and below the barcode regardless 
of location. A minimum clear zone equal to 10 times the average 
measured narrow element (bar or space) width must be maintained on 
either side of the barcode.

1.2  Dimensions

    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 no 
less than 0.013 inch and no greater than 0.021 inch.

1.3  Verifier

    The verifier character must be the last digit of the 6-digit 
barcode. The correct verifier digit is always 9. The verifier appears 
only as part of the barcode and is not printed as part of the human-
readable ZIP Code.

1.4  Reflectance

    When measured in the red spectral range between 630 nanometers and 
675 nanometers, the minimum white bar (space) reflectance (Rs) must be 
greater than 50%, and the maximum bar reflectance (Rb) must be less 
than 25%. The minimum print reflectance difference (Rs-Rb) is 40%. The 
measurements must be made using a USPS-specified reflectance meter or 
barcode verifier.

1.5  Barcode Quality

    At least 70% of the barcodes must measure American National 
Standards Institute (ANSI) grade A or B and none of the remaining 
portion can measure lower than ANSI grade C. Information concerning 
ANSI guidelines X3.182-1990 may be obtained from the American Standards 
Institute, Inc., 1430 Broadway, New York, NY 10018-3308.

1.6  Address and Barcode Placement

    The address and barcode must be on the mailpiece side with the 
largest surface area, except that the address and barcode must be on 
the top surface of the mailpiece when its shape requires specific 
orientation for stability during automated processing. The delivery 
address and/or the barcode may be printed on an attachment or on an 
enclosure in a window envelope, subject to the reflectance standards in 
1.4.

1.7  Numeric Barcode

    In addition to the ZIP Code, or ZIP+4 code included in the delivery 
address, human-readable characters representing the numeric equivalent 
of the barcode (omitting the verifier character) must be printed near 
the barcode but outside the barcode clear zone. These numeric 
characters must be preceded by the word ``ZIP.''

D  DEPOSIT, COLLECTION, AND DELIVERY

D000  Basic Information

D010  Pickup Service

1.0  BASIC STANDARDS

1.1  Availability

[Amend 1.1b to delete the term ``single-piece rate'' to read as 
follows:]
    Subject to the standards in D010, pickup service is available from 
designated post offices for:
* * * * *
    b. Priority Mail.
* * * * *

1.2  Not Available

[Amend 1.2c to include all destination entry rate pieces as follows:]
    Pickup service is not available for pieces:
* * * * *
    c. Claimed at the Parcel Post DBMC, DSCF, or DDU destination entry 
rates, or claiming the Parcel Post Origin BMC discount.
* * * * *

D042  Conditions of Delivery

1.0  BASIC STANDARDS
* * * * *

1.7  Express Mail and Accountable Mail

[Amend 1.7a and b to reflect the operational conditions in plants that 
employ automated delivery receipt system as follows:]
    The following specific conditions also apply to the delivery of 
Express Mail and accountable mail (registered, certified, insured for 
more than $50, or COD, as well as mail for which a return receipt or a 
return receipt for merchandise is requested or for which the sender has 
specified restricted delivery):
    a. The recipient (addressee or addressee's representative) may 
obtain the sender's name and address and may look at the mailpiece 
before accepting delivery and endorsing the delivery receipt.
    b. The mailpiece may not be opened or given to the recipient before 
the recipient signs and legibly prints his or her name on the delivery 
receipt (and return receipt, if applicable) and returns the receipt(s) 
to the USPS employee; or, for organizations such as the IRS, which 
receive large numbers of return receipts, before the recipient signs a 
manifest listing all the Express Mail and accountable mailpieces being 
delivered.
* * * * *

D600  Standard Mail

* * * * *
2.0  MAIL DEPOSIT
[Amend the heading and contents of 2.1 to read as follows:]

2.1  Single-Piece Standard Mail (B) Rates

    Single-piece rate Standard Mail (B) must be deposited at a time and 
place specified by the mailing post office postmaster. Metered mail 
must be deposited in locations under the jurisdiction of the licensing 
post office, except as permitted in D072. Permit imprint mail must be 
presented at the post office under P040 or P700. Precanceled stamp mail 
must be presented at the post office under P023.

E  ELIGIBILITY

E000  Special Eligibility Standards

* * * * *

E060  Official Mail (Penalty)

* * * * *
12.0  PENALTY MERCHANDISE RETURN SERVICE

12.1  Description

[Amend 12.1 by inserting ``(B)'' and by removing ``Single Piece 
Standard Mail'' to read as follows:]
    Merchandise return service allows a merchandise return permit 
holder to authorize individuals and organizations to send single-piece 
First-Class Mail (including Priority Mail) and single-piece Standard 
Mail (B) (Parcel Post, Special Standard Mail, and Bound Printed Matter) 
to the permit holder.

[[Page 12875]]

The permit holder pays the return postage and fees.
* * * * *

E100  First-Class Mail

E110  Basic Standards

* * * * *
4.0  FEES

4.1  Presort Mailing

[Amend the first sentence of 4.1 to delete the reference to Presorted 
Priority Mail to read as follows:]
    A First-Class Mail presort mailing fee must be paid once each 12-
month period at each office of mailing by any person or organization 
entering mailings at automation or Presorted First-Class Mail rates. 
Payment of one fee allows a mailer to enter mail at all those rates. 
Persons or organizations paying this fee may enter mail of their 
clients as well as their own mail. The fee may be paid in advance only 
for the next year and only during the last 30 days of the current 
service period. The fee charged is that which is in effect on the date 
of payment.
* * * * *

E120  Priority Mail

1.0  BASIC STANDARDS
* * * * *
[Delete current 1.4, renumber current 2.2 as new 1.4 to read as 
follows:]

1.4  Marking

    The marking ``Priority'' or ``Priority Mail'' must be placed 
prominently on the address side of each piece of Priority Mail.
[Amend 2.0 to read as follows:]
2.0  RATES

2.1  Application

    Priority Mail rates apply to pieces meeting the standards in 1.0.

2.2  Flat Rate Envelope

    Any amount of material that can be mailed in the special flat rate 
envelope available from the USPS is subject to the 2-pound Priority 
Mail rate, regardless of the weight of the material placed in the 
envelope.

2.3  Balloon Rate

    Items weighing less than 15 pounds but measuring more than 84 
inches in combined length and girth are charged a minimum rate equal to 
that for a 15-pound parcel for the zone to which it is addressed.

2.4  Keys and Identification Devices

    Keys and identification devices (identification cards or uncovered 
identification tags) that weigh more than 11 ounces but no more than 2 
pounds are returned at the 2-pound Priority Mail rate plus a $0.30 fee 
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.

[Delete current 3.0 pertaining to Presorted Priority Mail. Insert new 
3.0 as follows:]
3.0  HAZARDOUS MATERIAL SURCHARGES

3.1  Hazardous Medical Material

    Mailable medical material described in and prepared under C023.10 
(all Department of Transportation (DOT) division 6.2 material mailable 
under C023.10) are subject to the hazardous medical material surcharge.

3.2  Other Hazardous Material

    Mailable hazardous material described in C023.1.0 through 6.0 and 
in C023.9.0 and prepared under C021 and C023 are subject to the other 
hazardous material surcharge. This includes all DOT division 1-5, 
division 6.1, and class 7-9 material mailable under C023 except 
division 6.2 material mailable under C023.10.

3.3  Application of Surcharges

    Both surcharges may apply to some material.

E130  Nonautomation Rates

1.0  BASIC STANDARDS
[Delete 1.3.]
2.0 SINGLE-PIECE RATE
[Revise 2.1, renumber 2.2 as 2.5, and insert new 2.2 through 2.4 to 
read as follows:]

2.1  Rate Application

    The single-piece rates for First-Class Mail are applied as follows:
    a. The card rate applies to a card meeting the applicable standards 
in C100 that is not eligible for or claimed at the Presorted rate, an 
automation rate, or a qualified business reply mail (QBRM) or prepaid 
business reply mail (PRM) rate.
    b. The letter rate applies to any other (letter, flat, and parcel) 
First-Class Mail weighing 11 ounces or less that is not eligible for 
and claimed at the card rate, the Presorted rate, an automation rate, a 
qualified business reply mail (QBRM) or prepaid business reply mail 
(PRM) rate, or required to be paid at a rate for keys and 
identification devices.
    2.2  Prepaid Reply Mail (PRM) Rates The single-piece rates for PRM 
First-Class Mail are applied as follows:
    a. The PRM rate for cards applies to a card meeting the applicable 
standards in C100 and the applicable standards in S925, including 
automation compatibility and barcoding under C810 and C840.
    b. the PRM rate for letters applies to a letter meeting the 
applicable standards in S925, including automation compatibility and 
barcoding under C810 and C840, that is not eligible for and claimed at 
the PRM rate for cards.
    c. Fees described in S925 and R900 also apply

2.3  Qualified Business Reply Mail (QBRM) Rates

    The single-piece rates for QBRM First-Class Mail are applied as 
follows:
    a. The QBRM rate for cards applies to a card meeting the applicable 
standards in C100 and the applicable standards in S922, including 
automation compatibility and barcoding under C810 and C840.
    b. the PRM rate for letters applies to a letter meeting the 
applicable standards in S922, including automation compatibility and 
barcoding under C810 and C840, that is not eligible for and claimed at 
the QBRM rate for cards.
    c. Fees described in S922 and R900 also apply.

2.4  Keys and Identification Devices

    Keys and identification devices (identification cards or uncovered 
identification tags) that weigh no more than 11 ounces are mailed at 
the applicable single-piece letter rate, plus a $0.30 fee, and if 
applicable, the nonstandard surcharge. The keys and identification 
devices must 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.
* * * * *
[Insert new 4.0 to read as follows:]
4.0  SURCHARGES

4.1  Nonstandard Surcharge

    Single-piece (including keys and identification devices) and 
Presorted First-Class Mail is subject to a nonstandard surcharge if it 
is not mailed at the card rate, weighs 1 ounce or less, and meets the 
definition of nonstandard mail in C100.

4.2  Hazardous Material Surcharges

    a. Hazardous Medical Material. Single-piece and Presorted First-
Class

[[Page 12876]]

Mail is subject to the hazardous medical material surcharge if it is 
not mailed at the card rate, and if it consists of mailable medical 
material described in and prepared under C023.10 (all Department of 
Transportation (DOT) division 6.2 materials mailable under C023.10).
    b. Other Hazardous Material. Single-piece or Presorted First-Class 
Mail is subject to the other hazardous material surcharge if it is not 
mailed at the card rate, and if it consists of mailable hazardous 
material described in C023.1.0 through 6.0 and in C023.9.0 and prepared 
under C021 and C023. This includes all DOT hazard class 1-5, division 
6.1, and class 7-9 material mailable under C023 except division 6.2 
material mailable under C023.10.
    c. Application of Surcharges. Both surcharges may apply to some 
material.
* * * * *

E200  Periodicals

E210  Basic Standards

E211  All Periodicals

* * * * *
14.0  BASIC RATE ELIGIBILITY
* * * * *

14.4  Copies Mailed by Public

[Amend 14.4 to read as follows:]
    The applicable single-piece First-Class, Priority, or Standard Mail 
(B) 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.
* * * * *

E230  Nonautomation Rates

1.0  BASIC INFORMATION:
* * * * *

1.3  ZIP Code Accuracy

[In the first sentence, change ``3/5'' to ``5-digit, 3-digit,'' to read 
as follows:]
    All 5-digit ZIP Codes in addresses on pieces claimed at the 5-
digit, 3-digit, or basic rates must be verified and corrected within 12 
months before the mailing date by a USPS-approved method. * * *
* * * * *
[Replace current 3.0 through 5.0 with new 3.0 through 5.0 to read as 
follows:]
3.0  5-DIGIT RATES
    Subject to M200, 5-digit rates apply to:
    a. Letter-size pieces in 5-digit packages of six or more pieces 
each, placed in 5-digit trays.
    b. Flat-size pieces in 5-digit packages of six or more pieces each, 
placed in 5-digit sacks.
4.0  3-DIGIT RATES
    Subject to M200, 3-digit rates apply to:
    a. Letter-size pieces in 5-digit and 3-digit packages of six or 
more pieces each, placed in 3-digit trays.
    b. Flat-size pieces in 5-digit and 3-digit packages of six or more 
pieces each, placed in 3-digit sacks.
5.0  BASIC RATES
    Basic rates apply to pieces prepared under M200 that are not 
claimed at carrier route, 5-digit, or 3-digit rates.
* * * * *
7.0  COMBINING MULTIPLE PUBLICATIONS OR EDITIONS
* * * * *

7.4  Documentation Elements

[Amend the first sentence to read as follows:]
    Presort documentation required under P012 also must show the total 
number of addressed pieces and copies of each publication or edition 
mailed to each carrier route, 5-digit, and 3-digit destination. * * *
* * * * *

E240  Automation Rates

* * * * *
2.0  RATE APPLICATION
[Replace current 2.1 through 2.3 with new 2.1 through 2.3 to read as 
follows:]

2.1  5-Digit Rates

    a. Letters. 5-digit rates apply to groups of 150 or more pieces to 
the same 5-digit or 5-digit scheme placed in a 5-digit or 5-digit 
scheme tray or trays prepared under M810. (Preparation to qualify for 
the 5-digit rate is optional, and if performed, need not be done for 
all 5-digit or 5-digit scheme destinations.)
    b. Flats. 5-digit rates apply to pieces in 5-digit packages of six 
or more pieces each, prepared under M820 or M045.

2.2  3-Digit Rates

    a. Letters. 3-digit rates apply to groups of 150 or more pieces to 
the same 3-digit or 3-digit scheme placed in a 3-digit/scheme tray or 
trays under M810.
    b. Flats. 3-digit rates apply to pieces in 3-digit packages of 6 or 
more pieces each, prepared under M820 or M045.

2.3  Basic Rates

    a. Letters. Basic rates apply to pieces prepared under M810 that 
are not claimed at carrier route, 5-digit, or 3-digit rates.
    b. Flats. Basic rates apply to pieces prepared under M820 or M045 
that are not claimed at 5-digit, or 3-digit rates.
* * * * *

E500  Express Mail

[Renumber current 3.0 through 7.0 as 4.0 through 8.0, respectively. 
Insert new 3.0 to read as follows:]
3.0  HAZARDOUS MATERIAL SURCHARGES

3.1  Hazardous Medical Material

    Mailable medical material described in and prepared under C023.10 
(all Department of Transportation (DOT) division 6.2 material mailable 
under C023.10) are subject to the hazardous medical material surcharge.

3.2  Other Hazardous Material

    Mailable hazardous material described in C023.1.0 through 6.0 and 
in C023.9.0 and prepared under C021 and C023 are subject to the other 
hazardous material surcharge. This includes all DOT division 1-5, 
division 6.1, and class 7-9 material mailable under C023 except 
division 6.2 material mailable under C023.10.

3.3  Application of Surcharges

    Both surcharges may apply to some material.
* * * * *

E600  Standard Mail

E610  Basic Standards

E611  All Standard Mail

1.0  BASIC INFORMATION
* * * * *

1.8  Documentation

[Amend the reference to single-piece rate mail to specify single-piece 
Standard Mail (B) as follows:]
    A postage statement, completed and signed by the mailer, using the 
correct USPS form or an approved facsimile, must be submitted with each 
mailing except for single-piece rate Standard Mail (B) mailings in 
which the correct postage is affixed to each piece. Additional 
supporting documentation may be required by the standards for the rate 
claimed or postage payment method used.

E612  Additional Standards for Standard Mail (A)

* * * * *
4.0  RATES

4.1  General Information

[Revise the section numbers and the names of nonautomation rates, and

[[Page 12877]]

remove information about special services to read as follows:]
    All Standard Mail (A) rates are bulk rates (sometimes referred to 
as presort rates). Bulk rates apply to mailings meeting the basic 
standards in E611 and the corresponding standards for Enhanced Carrier 
Route, automation, Presorted, and destination entry in E620, E640, and 
E650 as appropriate for the rate claimed. Nonprofit rates may be used 
only by organizations authorized by the USPS under E670. Not all 
processing categories qualify for every bulk rate.

4.2  Minimum Per-Piece Rates

[In the first sentence, change ``nonautomation'' to ``Presorted'' and 
amend the weight breakpoints for the minimum per-piece rates as 
follows:]
    The minimum per-piece rates (i.e., the minimum postage that must be 
paid for each piece) apply to Enhanced Carrier Route rate pieces 
weighing no more than 0.2057 pound rounded (3.2906 ounces rounded); 
Regular Presorted and automation rate pieces weighing no more than 
0.2062 pound rounded (3.2985 ounces rounded); Nonprofit Enhanced 
Carrier Route rate pieces weighing no more than 0.2057 pound rounded 
(3.2914 ounces rounded); and Nonprofit Presorted and automation rate 
pieces weighing no more than 0.2055 pound rounded (3.2873 ounces 
rounded). * * *
* * * * *

4.6  Exception

[Amend 4.6 to read as follows:]
    When the postage computed at the bulk Standard Mail (A) rates is 
higher than a Standard Mail (B) rate for which the matter and the 
mailing could qualify except for its weight, the Standard Mail (B) rate 
may be paid without adding needless weight. When the Standard Mail (B) 
rate is paid, the pieces must bear the rate marking appropriate for the 
Standard Mail (B) rate at which postage is paid. All other standards 
for bulk Standard Mail (A) apply, including mail preparation.
* * * * *

4.9  Preparation

[Amend 4.9c to read as follows:]
    Each bulk rate mailing is subject to these general standards:
* * * * *
    c. The same mailing may not contain both automation and 
nonautomation rate pieces, except under E620.1.2.
* * * * *
[Add new 4.10 as follows:]

4.10  Special Services

    Bulk rate Standard Mail (A) may not use certified, collect on 
delivery (COD), insurance, registered, return receipt, return receipt 
for merchandise, special handling, or delivery confirmation services.
* * * * *
[Revise the title of E620. Delete current 1.0. Move current E620.2.0 
through 5.7 into E630. Renumber current E630.1.0 through E630.2.9 as 
E620.1.0 through E620.2.9, add new E620.1.5 and E620.16, add new 
E620.2.10 and E620.2.11, and revise to read as follows:]

E620  Nonautomation Standard Mail (A) Rates

1.0  PRESORTED REGULAR AND NONPROFIT RATES

1.1  Basic Standards

    All pieces in a Presorted Regular or Nonprofit Standard Mail (A) 
mailing must:
    a. Meet the basic standards for Standard Mail in E611 and E612.
    b. Except as provided in 1.2, be part of a single mailing of at 
least 200 pieces or 50 pounds of pieces qualifying for Presorted rate 
Standard Mail (A). Regular and Nonprofit mailings must meet separate 
minimum volumes.
    c. Bear a delivery address that includes the correct ZIP Code or 
ZIP+4 code, unless an alternative address format is used subject to 
A040. Upgradable pieces are subject to additional standards in M610. 
Pieces prepared with detached address labels are subject to additional 
standards in A060.
    d. Be marked, sorted, and documented as specified in M610.

1.2  Residual Volume Requirement

    Pieces in an Enhanced Carrier Route rate mailing that has 
separately met a 200 piece or 50 pound minimum quantity requirement may 
be counted toward the minimum quantity requirement for a Presorted rate 
mailing, provided that the Enhanced Carrier Route rate mailing and the 
Presorted rate mailing are part of the same mailing job and are 
reported on the same postage statement. Likewise, pieces in an 
automation rate mailing that has separately met a 200 piece or 50 pound 
minimum quantity requirement may be counted toward the minimum quantity 
requirement for a Presorted rate mailing, provided that the automation 
rate mailing and the Presorted Mailing are part of the same mailing job 
and are reported on the same postage statement. Pieces mailed at 
Presorted Standard Mail (A) rates must not be counted toward the 
minimum volume requirements for an Enhanced Carrier Route rate or an 
automation rate mailing.

1.3  ZIP Code Accuracy

    All 5-digit ZIP Codes included in addresses on pieces claimed at 
Presorted Regular and Nonprofit 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 to a specific list of 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.

1.4  Presorted Rates

    Presorted Regular or Nonprofit Standard Mail (3/5 and basic) rates 
apply to Regular or Nonprofit Standard Mail letters, flats, and 
machinable and irregular parcels weighing less than 16 ounces, that are 
prepared under M610 or palletized under M045. Basic rates apply to 
pieces that do not meet the standards for the 3/5 rates described 
below. Basic rate and 3/5 rate pieces prepared as part of the same 
mailing are subject to a single minimum volume standard. Pieces that do 
not qualify for the 3/5 rate must be paid at the basic rate and 
prepared accordingly. Pieces may qualify for the 3/5 rate if:
    a. In quantities of 150 or more letter-size pieces for a single 3-
digit area, prepared in 5-digit or 3-digit packages of 10 or more 
pieces each and placed in 5-digit or 3-digit trays.
    b. In quantities of 150 or more upgradable letter-size pieces (as 
defined in M610) for a single 3-digit area and placed in 5-digit or 3-
digit trays.
    c. In a 5-digit or 3-digit package of 10 or more flat-size pieces 
and placed in a 5-digit or 3-digit sack containing at least 125 pieces 
or 15 pounds of pieces.
    d. In a 5-digit or 3-digit package of 10 or more flat-size pieces 
palletized under M045.
    e. In a 5-digit, destination ASF (if required), or destination BMC 
sack containing at least 10 pounds of machinable parcels. (The 3/5 
rates are available only if all possible 5-digit sacks are prepared.)
    f. On a 5-digit, destination ASF (if required), or destination BMC 
pallet of machinable parcels. (The 3/5 rates are available only if all 
possible 5-digit pallets are prepared.)

[[Page 12878]]

    g. In a 5-digit or 3-digit sack of irregular parcels containing at 
least 125 pieces or 15 pounds of pieces.

1.5  Hazardous Material Surcharges

    a. Hazardous Medical Material. Mailable medical material described 
in and prepared under C023.10 (all Department of Transportation (DOT) 
division 6.2 material mailable under C023.10) are subject to the 
hazardous medical material surcharge.
    b. Other Hazardous Material. Mailable hazardous material described 
in C023.1.0 through 6.0 and in C023.9.0 and prepared under C021 and 
C023 are subject to the other hazardous material surcharge. This 
includes all DOT division 1-5, division 6.1, and class 7-9 material 
mailable under C023 except division 6.2 material mailable under 
C023.10.
    c. Application of Surcharges. Both surcharges may apply to some 
material.

1.6  Residual Shape (Parcel) Surcharge

    Presorted Standard Mail that is prepared as a parcel, or is not 
letter-size or flat-size as defined in C050, is subject to the residual 
shape surcharge.
2.0  ENHANCED CARRIER ROUTE RATES

2.1  All Pieces

    All pieces in an Enhanced Carrier Route Standard Mail mailing 
(letters, flats, or irregular parcels, including merchandise samples 
distributed with detached address labels) must:
    a. Meet the basic standards for Standard Mail in E611 and E612
    b. Be part of a single mailing of at least 200 pieces or 50 pounds 
of pieces of Enhanced Carrier Route Standard Mail, except that 
automation basic carrier route rate pieces are subject to a separate 
200-piece/50-pound minimum volume standard and may not be included in 
the same mailing as other Enhanced Carrier Route mail.
    c. Be sorted to carrier routes, marked, and documented under M045 
(if palletized) or M620.

2.2  Flats and Merchandise Samples

    Enhanced Carrier Route rate mail may not be more than 11-3/4 inches 
high, 14 inches long, or 3/4 inch thick. Merchandise samples with 
detached address labels may exceed these dimensions if the labels meet 
the standards in A060.

2.3  Preparation

    Preparation to qualify for any of the Enhanced Carrier Route rates 
is optional and need not be performed for all carrier routes in a 5-
digit area. An Enhanced Carrier Route mailing may include pieces at 
basic, high-density, and saturation Enhanced Carrier Route rates. 
Automation basic carrier route rate pieces must be prepared as a 
separate mailing, subject to the eligibility standards in E640.

2.4  Carrier Route Information

    Except for mailings prepared with a simplified address under A040, 
carrier route codes must be applied to mailings using CASS-certified 
software and the current USPS Carrier Route Information System (CRIS) 
scheme, hard copy CRIS files, or another AIS product containing carrier 
route information, subject to A930 and A950. Carrier route information 
must be updated within 90 days before the mailing date.

2.5  Sequencing

    Basic carrier route rate mail must be prepared either in carrier 
walk sequence or in line-of-travel (LOT) sequence according to LOT 
schemes prescribed by the USPS (see M050). High-density and saturation 
rate mailings must be prepared in carrier walk sequence according to 
schemes prescribed by the USPS.

2.6  Addressing

    Saturation rate mail may be prepared with detached address labels, 
subject to A060, or with an alternative addressing format, subject to 
A040. High-density pieces must have a complete delivery address or an 
address in occupant or exceptional format. Saturation pieces addressed 
for delivery on a city route must have a complete delivery address or 
an address in occupant or exceptional format, except that official mail 
from certain government entities also may use the simplified format. 
Saturation pieces for delivery on rural or highway contract routes, or 
through general delivery or a post office box, must have a complete 
delivery address or an alternative address format.

2.7  Density

    High-density and saturation rate mailings are subject to these 
density standards:
    a. There is no minimum volume per 5-digit ZIP Code delivery area. 
Pieces need not be sent to all carrier routes within a 5-digit delivery 
area.
    b. For the high-density rate, at least 125 pieces must be prepared 
for each carrier route for which that discount is claimed, except that 
fewer pieces may be prepared and the high-density rate may be claimed 
for carrier routes of 124 or fewer possible deliveries if a piece is 
addressed to every possible delivery on the route. Multiple pieces per 
delivery address can count toward this density standard.
    c. For the saturation rate, pieces must be addressed either to 90% 
or more of the active residential addresses or to 75% or more of the 
total number of active possible delivery addresses, whichever is less, 
on each carrier route receiving this mail, except that mail addressed 
in the simplified address format must meet the 100% coverage standard 
in A040. Multiple pieces per delivery address do not count toward this 
delivery standard. Sacks with fewer than 125 pieces and less than 15 
pounds of pieces may be prepared to a carrier route when the saturation 
rate is claimed for the contents and the applicable density standard is 
met.

2.8   Basic Rates

    Basic (nonautomation) carrier route rates apply to each piece that 
is sorted under M620 into the corresponding qualifying groups:
    a. Letter-size pieces in a full carrier route tray, or in a carrier 
route package of 10 or more pieces placed in a 5-digit carrier routes 
or 3-digit carrier routes tray.
    b. Flat-size pieces in a carrier route package of 10 or more pieces 
palletized under M045, or placed in a carrier route sack containing at 
least 125 pieces or 15 pounds of pieces or in a 5-digit carrier routes 
sack.
    c. Irregular parcels in a carrier route sack containing 125 pieces 
or 15 pounds of pieces, in a carrier route carton(s) of merchandise 
samples prepared with detached address labels under A060 containing a 
total of 125 pieces or 15 pounds of pieces, or in a 5-digit carrier 
routes sack or carton. (Pieces must be in packages of 10 or more 
irregular parcels each if packaging is required under M610.)

2.9  High-Density and Saturation

    High-density and saturation rates apply to pieces qualified for the 
basic rates that also meet the applicable addressing and density 
standards in 2.6 and 2.7.

2.10  Hazardous Material Surcharges

    a. Hazardous Medical Material. Mailable medical material described 
in and prepared under C023.10 (all Department of Transportation (DOT) 
division 6.2 material mailable under C023.10) are subject to the 
hazardous medical material surcharge.
    b. Other Hazardous Material. Mailable hazardous material described 
in C023.1.0 through 6.0 and in C023.9.0 and prepared under C021 and 
C023 are subject to the other hazardous material surcharge. This 
includes all DOT

[[Page 12879]]

division 1-5, division 6.1, and class 7-9 material mailable under C023 
except division 6.2 material mailable under C023.10.
    c. Application of Surcharges. Both surcharges may apply to some 
material.

2.11  Residual Shape (Parcel) Surcharge

    Enhanced Carrier Route mail that is prepared as a parcel, or is not 
letter-size or flat-size as defined in C050, is subject to the residual 
shape surcharge.

[Revise the title of E630 as follows:]

E630  Standard Mail (B)

[Delete current 630.1 through 630.2. Insert new 630.1 through 630.5.9 
which combines former E620.2 through E620.5, with former E630.3 and 
E630.4 to reorganize and separate standards for Standard Mail (A) from 
those for Standard Mail (B) and to include new Standard Mail (B) rate 
categories to read as follows:]
1.0  PARCEL POST

1.1  Basic Standards

    Parcel Post is Standard Mail weighing 16 ounces or more that is not 
mailed as Bound Printed Matter, Special Standard Mail, or Library Mail. 
Any Standard Mail (B) matter may be mailed at Parcel Post rates, 
subject to the basic standards in E611 and E613.

1.2  Enclosures

    Parcel Post may contain any printed matter mailable as Standard 
Mail (A), in addition to the enclosures and additions listed in E611.

1.3  Rate Eligibility

    There are five Parcel Post rate categories: Intra-BMC, Inter-BMC, 
destination bulk mail center (DBMC), destination sectional center 
facility (DSCF), and destination delivery unit (DDU). Intra-BMC, Inter-
BMC, and DBMC Parcel Post rates are calculated based on the zone to 
which the parcel is addressed and the weight of the parcel. DSCF and 
DDU 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 Inter-BMC 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 destination entry rates 
(DBMC, DSCF, DDU) mailers must enter their parcels at the destination 
BMC, SCF, or delivery unit postal facility that will process or deliver 
the parcels (see additional requirements in E652). Additional 
requirements for Parcel Post rates and discounts (other than 
destination entry rates) are set forth below.
    a. Intra-BMC rates apply to all Parcel Post originating and 
destinating in the service area of the same BMC or ASF. Intra-BMC rates 
also apply to Parcel Post originating and destinating in the same state 
for Alaska and Hawaii and in the same territory for Puerto Rico. See 
Exhibit 1.3.
    b. Inter-BMC rates for machinable parcels apply to all Parcel Post 
mail that weighs 35 pounds or less; is machinable; originates in the 
service area of a BMC/ASF, or in Alaska, Hawaii, or Puerto Rico, and 
destinates outside that area; and is not eligible for destination entry 
rates.
    c. Inter-BMC rates for nonmachinable Parcel Post include the 
nonmachinable surcharge and apply to all inter-BMC/ASF Parcel Post mail 
that weighs more than 35 pounds or otherwise is nonmachinable as 
defined in 1.4; originates in the service area of a BMC/ASF, or in 
Alaska, Hawaii, or Puerto Rico, and destinates outside that area; and 
is not eligible for destination entry rates.
    d. Parcel Post for which OBMC, BMC Presort, and/or barcoded 
discounts are claimed, or are mailed at a destination entry rate (DBMC, 
DSCF, DDU (E652)), must be part of a mailing of 50 or more Parcel Post 
rate pieces.
    e. The bulk mail center (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 and nonmachinable pieces must be placed on 
pallets under M041 and M045. The mail must be entered at a postal 
facility that is not a BMC, and be part of a mailing containing 50 or 
more Parcel Post rate pieces.
    f. The origin bulk mail center (OBMC) 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 and nonmachinable pieces must be placed on 
pallets under M041 and M045. The mail must be entered at a BMC listed 
in L601 and be part of a mailing containing 50 or more Parcel Post rate 
pieces.
    g. The barcoded discount applies to machinable pieces of Parcel 
Post mail that bear a correct, readable 6-digit barcode under C850 for 
the ZIP Code shown in the delivery address, are part of a mailing of 50 
or more Parcel Post rate pieces, and are not mailed at the DSCF or DDU 
rates, or entered at an ASF if claiming the DBMC rates.
    h. Pieces exceeding 108 inches in combined length and girth, but 
not greater than 130 inches in combined length and girth, are mailable 
at the applicable 70-pound Parcel Post rate provided that such pieces 
do not exceed 10% of all Parcel Post pieces in a mailing, or 10% of all 
Parcel Post pieces listed on an approved daily manifest (P710) for a 
single mailing operation. The 10% limitation is applicable to all 
Parcel Post mailings regardless of mailing size or acceptance location.
    i. Parcel Post pieces exceeding 84 inches (but not exceeding 108 
inches) in combined length and girth and weighing less than 15 pounds 
are subject to a rate equal to that of a 15-pound parcel for the zone 
to which the parcel is addressed.

Exhibit 1.3  BMC/ASF Service Areas

[Insert former E620 Exhibit 2.4 as Exhibit 1.3:]

1.4  Nonmachinable Surcharge

    The nonmachinable surcharge applies only to the items listed in 
1.4a through 1.4i if mailed at the Inter-BMC/ASF Parcel Post rates and 
no special handling fee is paid. The nonmachinable surcharge applies to 
items within these categories:
    a. A parcel more than 34 inches long, 17 inches wide, 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 metal-banded parcel.
    d. A can (paint, etc.), roll, or tube, or wooden or metal box.
    e. A shrub or tree.
    f. A perishable, such as eggs.
    g. Books, printed matter, or business forms weighing more than 25 
pounds.
    h. A high-density parcel weighing more than 15 pounds and exerting 
more than 60 pounds per-square-foot pressure on its smallest side.
    i. 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.

[Add new section 1.5 as follows:]

[[Page 12880]]

1.5  Hazardous Material Surcharges

    a. Hazardous Medical Material. Mailable medical material described 
in and prepared under C023.10 (all Department of Transportation (DOT) 
division 6.2 material mailable under C023.10) are subject to the 
hazardous medical material surcharge.
    b. Other Hazardous Material. Mailable hazardous material described 
in C023.1.0 through 6.0 and in C023.9.0 and prepared under C021 and 
C023 are subject to the other hazardous material surcharge. This 
includes all DOT division 1-5, division 6.1, and class 7-9 material 
mailable under C023 except division 6.2 material mailable under 
C023.10.
    c. Application of Surcharges. Both surcharges may apply to some 
material.

1.6  Fees

    Parcel Post mail is subject to these fees, as applicable:
    a. The fee for mailing at destination BMC (DBMC), destination 
sectional center facility (DSCF), and destination delivery unit (DDU) 
Parcel Post rates must be paid once each 12-month period at each post 
office of mailing by or for any person or organization that mails at 
the destination entry rates, except as provided otherwise for plant-
verified drop shipments. The fee may be paid in advance only for the 
next year and only during the last 30 days of the current service 
period. The fee charged is that which is in effect on the date of 
payment (R 600).
    b. The Parcel Post pickup fee must be paid every time pickup 
service is provided, subject to the corresponding standards in D010.
2.0  BOUND PRINTED MATTER

2.1  Description and Rate Categories

[Renumber former E620.3.1 as 2.1 and revise to include new rate 
categories as follows:]

    Bound Printed Matter is Standard Mail weighing at least 1 pound but 
not more than 15 pounds and meeting the standards in E611, E613, and 
E630. Bound Printed Matter rates are based on zones and on the weight 
of the piece. The rate categories are as follows:
    a. Single-Piece Rate. The single-piece rate applies to Bound 
Printed Matter not mailed at the presorted rate or carrier route rate.
    b. Presorted Rate. The presorted rate applies to Bound Printed 
Matter prepared in a mailing of at least 300 pieces, prepared and 
presorted as specified in M045 and M630.
    c. Carrier Route Rate. The carrier route rate applies to Bound 
Printed Matter prepared in a mailing of at least 300 pieces presorted 
to carrier routes, prepared and presorted as specified in M045 and 
M630.

2.2  Characteristics

[Renumber former E620.3.2 as 2.2.]
* * * * *

2.3  Combining Pieces

[Renumber former E620.3.3 as 2.3.]
* * * * *

2.4  Enclosures

[Renumber former E620.3.4 as 2.4.]
* * * * *
[Add new 2.5 to specify barcoded discount standards as follows:]

2.5  Barcoded Discount

    The barcoded discount applies to machinable pieces (C050) of 
single-piece and presorted rate Bound Printed Matter bearing a correct, 
readable 6-digit barcode under C850 for the ZIP Code shown in the 
delivery address, that are part of a mailing of at least 50 Bound 
Printed Matter pieces. The discount does not apply to carrier route 
Bound Printed Matter.

[Renumber E630.3.1 as 2.6 and revise to delete references to E620 and 
to add delivery confirmation service as follows:]

2.6  Preparation for Presorted Rates

    Presorted Bound Printed Matter must meet the basic standards in 
E630 and the applicable preparation standards in M630. Mailings may 
contain nonidentical-weight 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 P710, P720, 
or P730 or M630.8. Each mailing must contain 300 or more pieces of 
Bound Printed Matter. Insurance, special handling, delivery 
confirmation, and COD services may be used, but selective use of these 
services for individual parcels must be approved by the RCSC.

[Renumber former E630.3.2 as 2.7.]

2.7  Additional Standards for Carrier Route Rates

    Carrier route Bound Printed Matter is subject to these additional 
standards:
    a. Each mailing must contain 300 or more pieces sorted under M630 
into groups of at least 10 pieces, 20 pounds, or 1,000 cubic inches 
each for the same carrier route, rural route, highway contract route, 
post office box section, or general delivery unit.
    b. Residual pieces (not sorted as described in 2.7a) do not count 
toward the minimum specified in 2.7a, are ineligible for the carrier 
route Bound Printed matter rates, and must have postage paid at the 
appropriate presorted Bound Printed Matter rates. Residual pieces may 
be included in a carrier route Bound Printer Matter rate mailing and be 
endorsed ``Carrier Route Presort'' or ``CAR-RT SORT.'' The number of 
residual pieces to any single 5-digit ZIP Code area may not exceed 5% 
of the total qualifying carrier route pieces addressed to that 5-digit 
area. Residual pieces must be separated from the pieces that qualify 
for the carrier route rate and must be prepared under M630.
    c. Subject to A930, the mailer must apply carrier route codes to 
mailings using CASS-certified software and the current USPS Carrier 
Route Information System (CRIS) scheme or another AIS product 
containing carrier route information. The carrier route information 
must be updated within 90 days before the mailing date.
3.0  SPECIAL STANDARD MAIL
[Renumber former E620.4.0 as 3.0.]

3.1  Qualification

[Renumber former E620.4.1 as 3.1 and add rate categories as follows:]
    Special Standard Mail is Standard Mail matter meeting the standards 
in E611, E613, and those below. Special Standard Mail rates are based 
on the weight of the piece, without regard to zone. The rate categories 
are as follows:
    a. Single-Piece Rate. The single-piece rate applies to Special 
Standard Mail not mailed at a 5-digit or BMC rate.
    b. Presorted 5-Digit Rate. The 5-digit rate applies to Presorted 
Special Standard Mail mailings of at least 500 pieces prepared and 
presorted to 5-digit destination ZIP Codes as specified in M630 or M041 
and M045.
    c. Presorted BMC Rate. The BMC rate applies to Presorted Special 
Standard Mail mailings of at least 500 pieces prepared and presorted to 
destination bulk mail centers as specified in M630 or M041 and M045.

3.3  Qualified Items

[Renumber former E620.4.2 as 3.3.]
* * * * *

3.4  Loose Enclosures

[Renumber former E620.4.3 as 3.4.]
* * * * *

3.5  Enclosures in Books

[Renumber former E620.4.4 as 3.5.]
* * * * *

[[Page 12881]]

4.0  PRESORTED SPECIAL STANDARD MAIL
[Renumber former E630.4.0 as 620.4.0. Add new 4.7 as follows:]
* * * * *

4.7  Barcoded Discount

    The barcoded discount applies to machinable pieces (C050) mailed at 
single-piece rates and Presorted Special Standard Mail BMC rates that 
bear a correct, readable 6-digit barcode under C850 for the ZIP Code 
shown in the delivery address, and that are part of a mailing of at 
least 50 pieces of Special Standard Mail. The discount does not apply 
to pieces mailed at the Presorted Special Standard Mail 5-digit rates.
[Renumber former E620.5.0 and 5.1 as E630.5.0 and E630.5.1 as follows:]
5.0  LIBRARY MAIL

5.1  Qualification

    Library Mail is Standard Mail matter that meets the standards in 
E611, E613, and those below. Library Mail rates are based on the weight 
of the piece, without regard to zone. The basic rate category applies 
to all Library Mail.

[Renumber former E620.5.2 through E620.5.7 and add as E630.5.2 through 
E630.5.7.]

[Add new 5.8 and 5.9 as follows:]

5.8  Barcoded Discount

    The barcoded discount applies to machinable pieces (C050) of 
Library Mail bearing a correct, readable 6-digit barcode under C850 for 
the ZIP Code shown in the delivery address and that are part of a 
mailing of at least 50 Library Mail pieces.

5.9  Hazardous Material Surcharges

    a. Hazardous Medical Material. Mailable medical material described 
in and prepared under C023.10 (all Department of Transportation (DOT) 
division 6.2 material mailable under C023.10) are subject to the 
hazardous medical material surcharge.
    b. Other Hazardous Material. Mailable hazardous material described 
in C023.1.0 through 6.0 and in C023.9.0 and prepared under C021 and 
C023 are subject to the other hazardous material surcharge. This 
includes all DOT division 1-5, division 6.1, and class 7-9 material 
mailable under C023 except division 6.2 material mailable under 
C023.10.
    c. Application of Surcharges. Both surcharges may apply to some 
material.
6.0  BULK PARCEL POST
[Reserved]

[Revise the title of E640 and the first sentence of E640.1.1 to read as 
follows:]

E640  Automation Standard Mail (A) Rates

1.0  REGULAR AND NONPROFIT RATES

1.1  All Pieces

    All pieces in an automation rate Regular or Nonprofit Standard Mail 
(A) mailing must: * * *
* * * * *
[Add new E640.1.5 to read as follows:]

1.5  Hazardous Material Surcharges

    a. Hazardous Medical Material. Mailable medical material described 
in and prepared under C023.10 (all Department of Transportation (DOT) 
division 6.2 material mailable under C023.10) are subject to the 
hazardous medical material surcharge.
    b. Other Hazardous Material. Mailable hazardous material described 
in C023.1.0 through 6.0 and in C023.9.0 and prepared under C021 and 
C023 are subject to the other hazardous material surcharge. This 
includes all DOT division 1-5, division 6.1, and class 7-9 material 
mailable under C023 except division 6.2 material mailable under 
C023.10.
    c. Application of Surcharge. Both surcharges may apply to some 
material.
2.0  ENHANCED CARRIER ROUTE RATES
* * * * *
[Add new E640.2.6 to read as follows:]

2.6  Hazardous Material Surcharges

    a. Hazardous Medical Material. Mailable medical material described 
in and prepared under C023.10 (all Department of Transportation (DOT) 
division 6.2 material mailable under C023.10) are subject to the 
hazardous medical material surcharge.
    b. Other Hazardous Material. Mailable hazardous material described 
in C023.1.0 through 6.0 and in C023.9.0 and prepared under C021 and 
C023 are subject to the other hazardous material surcharge. This 
includes all DOT division 1-5, division 6.1, and class 7-9 material 
mailable under C023 except division 6.2 material mailable under 
C023.10.
    c. Application of Surcharges. Both surcharges may apply to some 
material.

E650  Destination Entry

* * * * *

E652  Parcel Post

1.0  BASIC STANDARDS
[Amend 1.1 through 1.4 to add information on DSCF and DDU destination 
entry rates to read as follows:]

1.1  Definitions

    Destination entry discounts apply to Parcel Post mailings prepared 
as specified in M041, M045 and M630 and addressed for delivery within 
the service area of a destination BMC (or auxiliary service facility), 
sectional center facility (SCF), or delivery unit (DU) where they are 
deposited by the mailer. For this standard, the following destination 
facility definitions apply:
    a. A destination bulk mail center (DBMC) includes all bulk mail 
centers (BMCs) and auxiliary service facilities (ASFs) under L602, and 
designated sectional center facilities (SCFs) under 4.0.
    b. A destination sectional center facility (DSCF) includes all 
processing and distribution centers or facilities under L005. Mail that 
is prepared on pallets for 5-digit ZIP Codes listed in Exhibit 5.0 must 
be entered at the BMC shown in the exhibit instead of at the SCF 
serving the 5-digit ZIP Codes of the delivery addresses appearing on 
mailpieces.
    c. A destination delivery unit (DDU) is a facility that delivers to 
the addresses appearing on the deposited pieces in a destination entry 
rate Parcel Post mailing.

1.2  General

    A destination entry mailing is a Parcel Post mailing that:
    a. May be bedloaded, on pallets, or in pallet boxes, sacks, or 
other authorized containers depending on the facility at which the 
pieces are deposited and as specified in 2.0 through 5.0; and
    b. Is not plant-loaded.

1.3  DBMC, DSCF, and DDU Rates

    For DBMC, DSCF, or DDU rates, pieces must meet the applicable 
standards in 1.0 through 5.0 and meet the following criteria:
    a. Be part of a single mailing of 50 or more pieces, each eligible 
for and claimed at a Parcel Post rate.
    b. Be deposited at a destination BMC (DBMC) or auxiliary service 
facility, or other equivalent facility; destination sectional center 
(DSCF); or destination delivery unit (DDU) as applicable for the rate 
claimed and as specified by the USPS.
    c. Be addressed for delivery within the ZIP Code ranges that the 
applicable entry facility serves.
    d. For destination BMC (DBMC) rates, be part of a Parcel Post 
mailing that is deposited at a BMC or ASF under L602, or other 
designated facility under 4.0, addressed for delivery within the ZIP 
Code range of that facility; and prepared in accordance with M041 and 
M045 or M630.

[[Page 12882]]

    e. For destination sectional center facility (DSCF) rates, be part 
of a Parcel Post mailing deposited at a designated processing and 
distribution center or facility under L005 (or at a BMC under Exhibit 
5.0); addressed for delivery within the ZIP Code service area of that 
SCF facility under L005; and prepared in accordance with M041 and M045 
or M630. For 5-digit ZIP Code areas listed under Exhibit 5.0, mail 
prepared on pallets must be entered at the corresponding BMC facility 
shown in that Exhibit (not at the SCF). The DSCF rate is not available 
for parcels prepared on pallets for facilities 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. (There is a charge for 
this information.)
    f. For destination delivery unit (DDU) rates, be part of a Parcel 
Post mailing deposited at a designated destination delivery unit that 
delivers parcels to the addresses appearing on the deposited pieces and 
prepared in accordance with M041 and M045 or M630. There is no required 
minimum number of pieces that must be deposited for the DDU rate; 
however, they must be part of a mailing of at least 50 pieces and 
separated by 5-digit ZIP Codes.

1.4  Postage Payment

    Postage payment for DBMC, DSCF, and DDU rate mail is subject to the 
same standards as apply generally to Standard Mail (B). Except for 
plant-verified drop shipments (see P750) or metered mail drop shipment 
(see D072), the mailer must have a meter license or permit imprint 
authorization at the destination facility parent post office for 
mailings deposited for entry at a DBMC or ASF; at a destination 
sectional center facility; or at the parent post office of a 
destination delivery unit. Postage and fees (under E630) are paid to 
the post office that verifies the mailings. The mailer must ensure that 
Form 8125 accompanies all plant-verified drop shipments.

[Rename 1.5 to read as follows:]

1.5  BMC as Agent

    The DBMC may act as acceptance agent only for its parent post 
office (see Exhibit 1.5) and only if authorized by Form 4410 for each 
mailer depositing DBMC entry rate mail.

[Delete 1.6.]
2.0  PREPARATION
[Amend 2.0 to include new destination entry rates as follows:]

2.1  Bedloaded Parcels

[Revise 2.1 to limit bedloaded destination entry mailings to BMCs and 
DDUs as follows:]
    A mailer may present bedloaded DBMC parcels if the mailer's vehicle 
has a road-to-bed height of 50 (2) inches. If applicable, 
the mail to be entered at different destinations must be separated to 
prevent mixing of mailings for deposit at different destinations. If 
perishable and nonperishable items are transported together, they must 
be separated. DBMC and DDU destination rate mailings may be bedloaded 
for deposit at BMCs/ASFs or DDUs. Refer to the Drop Shipment Product 
available from the National Customer Support Center (NCSC) (see G043) 
to determine dock requirements for a DDU facility. (There is a charge 
for this information.)

2.2  Containers

[Reorganize and revise 2.2 to include DSCF and DDU mailings and delete 
use of BMC over-the-road containers for the DBMC rate as follows:]
    DBMC (if not bedloaded), DDU rate mailings (if not bedloaded), and 
all DSCF mailings must be prepared as follows:
    a. Machinable parcels for which a DBMC, DSCF, or DDU rate is 
claimed must be sacked under M630 unless prepared under M041 and M045.
    b. DSCF rate mail, if sacked, must contain at least 10 pieces per 
sack under M630 (machinable and nonmachinable pieces may be included in 
the same sack).
    c. For DDU rate mail, there are no sacking or palletizing minimums. 
DDU rate mail must be separated by 5-digit ZIP Code (even if 
bedloaded), and if sacked or palletized must be properly labeled to the 
5-digit ZIP Code. Machinable and nonmachinable pieces may be included 
in the same sack or on the same pallet.
    d. For DBMC rate mail, nonmachinable parcels each weighing 35 
pounds or less must be sacked under M630 if the parcels do not contain 
perishables and the size of the parcels allows a sack to hold at least 
two pieces. DBMC rate nonmachinable parcels that cannot be sacked in 
this manner or weigh more than 35 pounds must be transported as outside 
(unsacked) pieces. If authorized in advance by the USPS, DBMC rate 
nonmachinable parcels may be palletized.
    e. For DSCF rate and DDU rate mail nonmachinable parcels may be 
palletized. Nonmachinable parcels may be combined with machinable 
parcels on 5-digit pallets claimed at DSCF or DDU rates under M041 and 
M045.
3.0  DEPOSIT
[Revise to include requirements for DSCF and DDU destination entry 
mailings as follows:]
* * * * *

3.2  Presentation

[Revise 3.2 as follows:]
    Destination entry rate mailings must be verified under a plant-
verified drop shipment authorization by a detached mail unit (DMU) in 
the mailer's plant or at the origin post office business mail entry 
unit (BMEU) serving the mailer's plant. They also may be deposited for 
verification at a business mail entry unit located at a destination 
BMC, destination sectional center facility, 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. Separation by zone for DBMC rate mailings is required only for 
permit imprint mailings of identical-weight pieces that are not mailed 
using a postage payment system under P710, P720, or P730 or mailed 
under M630.8.0.
    b. Each mailing must be separated from other mailings, and 
destination entry rate mailings for deposit at one destination postal 
facility must be separated from mailings for deposit at other 
facilities.
    c. Mail must be separated from freight transported on the same 
vehicle.
    d. Each piece of DBMC, DSCF, or DDU rate Parcel Post must be marked 
as specified in M012 and M630.
    e. The mailer must ensure that Form 8125 accompanies all plant-
verified drop shipments.

[Rename the title of 3.3 to read as follows:]

3.3  BMC as Agent

    The DBMC may verify and accept mail if authorized by Form 4410 to 
act as agent for the parent post office where the mailer's account or 
license is held.

3.4  Appointments

[Revise 3.4 to change and update appointment procedures as follows:]
    a. Except for mailings of perishable commodities and local mailers 
under 3.5, appointments for deposit of DBMC mail at ASFs and SCFs must 
be scheduled through the appointment control center at least a day in 
advance. Same day appointments may be granted by a control center on 
the basis of a

[[Page 12883]]

telephone request. All appointments for BMC loads must be scheduled by 
the appropriate BMC control center and appointments for SCFs must be 
scheduled through the appropriate district control center. Appointments 
may be made up to thirty (30) calendar days prior to a desired 
appointment date. Mailers must comply with the scheduled mail deposit 
time and location. The mailer must cancel any appointment by notifying 
the appropriate control center at least 12 hours in advance of a 
scheduled appointment time.
    b. Electronic appointments may be made by mailers/agents using a 
USPS-issued computer log-on ID. Electronic appointments must be made at 
least 12 hours prior to the desired time and date. All information 
required by the USPS appointment system regarding a mailing must be 
furnished.
    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, a mailer must notify the DDU at least a day in 
advance of a scheduled appointment. Mailers desiring electronic 
confirmation of DDU mail entry must also schedule the appointment 
through the district control center.
* * * * *

3.7  Deposit Conditions

[Revise 3.7a to clarify that rescheduling is permitted for refused 
mailings as follows:]
    Deposit of mail also is subject to these conditions:
    a. Destination facilities may refuse mailings that are unscheduled 
or late (i.e., if vehicles arrive more than 2 hours after the scheduled 
appointment at ASFs, BMCs, or SCFs and more than 1 hour late at 
delivery units). If a mailing is refused, a mailer is permitted to make 
a new appointment.
* * * * *

3.8  Vehicle Unloading

[Revise 3.8 to include DSCF and DDU rate mail as follows:]
    Unloading of destination entry mailings is subject to these 
conditions:
    a. Properly prepared containerize loads (e.g., pallets) are 
unloaded by the USPS at BMCs, ASFs, and SCFs that can handle pallets. 
The USPS does not unload or permit the mailer (or mailer agent) to 
unload palletized loads that are unstable or severely leaning or that 
have otherwise not maintained their integrity in transit.
    b. The driver must unload bedloaded shipments within 8 hours of 
arrival at BMCs, ASFs, and SCFs. Combination containerized and 
bedloaded drop shipment mailings are classified as bedloaded shipments 
for unload times. The USPS may assist in unloading.
    c. At delivery units, the driver must unload containerized 
(palletized), sacked, and bedloaded drop shipments (i.e., all DDU mail) 
within 1 hour of arrival.
    d. The driver or assistant must stay with and continue to unload 
the vehicle once at the dock. The driver must remove the vehicle from 
USPS property after unloading. The driver and assistant are not 
permitted in USPS facilities except the dock and designated driver rest 
area.

3.9  Charges

[Revise 3.9 to include all destination rate mailings as follows:]
    The USPS is not responsible for demurrage or detention charges 
incurred by a mailer who presents destination rate mailings.

3.10  Appeals

    Mailers who believe that they are denied equitable treatment may 
appeal to the manager, customer service (district), responsible for the 
destination postal facility.

3.11  Documentation

[Revise 3.11 to include DSCF and DDU mailings as follows:]
    A postage statement must accompany each destination entry rate 
mailing. Any other documentation must be submitted as required by the 
standards for the rate claimed or the postage payment method used.
* * * * *
[Add 5.0 to provide for deposit of some DSCF mail at a BMC:]
5.0  DSCF MAIL ENTERED AT A DESIGNATED BMC
    DSCF rate mail prepared on pallets that is for a 5-digit ZIP Code 
listed in Exhibit 5.0 must be entered at the corresponding BMC facility 
listed on that exhibit instead of at the DSCF. Sacked DSCF rate mail 
for the 5-digit ZIP Codes in Exhibit 5.0 must be entered at the DSCF.

           Exhibit E652.5.0, BMC Deposit of DSCF Rate Pallets           
------------------------------------------------------------------------
             BMC                          Destination ZIP code          
------------------------------------------------------------------------
ATLANTA......................  30006-08,30,32-36,60-69,71,80-90.        
                               30305-06,19,24,28-29,38,40-42,45-46,59,62
                                -63,66,76.                              
                               31101.                                   
                               39901.                                   
CHICAGO......................  53140-44.                                
                               53401-08.                                
                               60016-17,19,25,53,56,68,70,76-77.        
                               60103,05,07,20-23,26,31,53-54,60.        
                               60301-04,06-99.                          
                               60504-05,07,40,42,63-64,66-68,98.        
                               60601,05,08-60,67,81,90,93-94.           
                               60714.                                   
                               60803-05.                                
CINCINNATI...................  45207,12-13,15,18,22,36-37,40-42,46,49,62
                                .                                       
DALLAS.......................  75040-49.                                
                               76001-07,10-19,94,96.                    
DENVER.......................  69180,90.                                
                               80001-19,28,32,40-42,44,46-47.           
                               80110-15,20-29,50-56,60-62,64-67.        
                               80215,21-22,24,26-29,31-33,35-37,51.     
                               80401-19.                                
                               80521-28,53-54.                          
                               80631-39.                                
DES MOINES...................  None.                                    

[[Page 12884]]

                                                                        
DETROIT......................  48021,34,37,43-46,66-67,75-76,80-84,86,89
                                -93,98-99.                              
                               48103-04,06-09,11-12,20-28,41,50-54,61-62
                                ,70,80,83-84,92,97-98.                  
                               48204,21,27-28,35.                       
                               48310-14,50-54,97.                       
GREENSBORO...................  27101-02.                                
                               27408-10.                                
                               27514-16.                                
                               27701.                                   
JACKSONVILLE.................  31520-25,27.                             
                               32065,67,73,84-86,91-92,95.              
                               32173-76.                                
                               32205,07,10-11,16,20-22,24-25,30,36,38-39
                                ,44.                                    
                               32901-02,04,22-24,26-27,31-32,40-41,51,58
                                ,60-89.                                 
                               33427-29,31-34,60-67,81,86-87,96-98.     
                               33755-67,70-79.                          
                               33880-85.                                
                               34101-06,08-10,12-14,16,19.              
                               34470-82.                                
                               34945-51,54,79-82,94-97.                 
KANSAS CITY..................  64015,50-51,55-56,58.                    
                               64116,18-19,51,53-54,59,63-64,90.        
                               66002,27,44-49.                          
LOS ANGELES..................  90220-23,40-42,80.                       
MEMPHIS......................  38614.                                   
                               38732.                                   
MINNEAPOLIS/ST. PAUL.........  55014.                                   
                               55104-06,15,19-21,24.                    
                               55306,16,31,43.                          
                               55418,20-21,24,28-30,32-33,41,45.        
NEW JERSEY...................  None.                                    
PHILADELPHIA.................  19001-04,06-10,12-18,20-23,25-26,28-41,43
                                -44,46-50.                              
                               19052-53,61,63-67,70,72-76,78-91,93-96.  
                               19111,14-16,19-20,24,28,34-37,40,44,49,52
                                ,54-55,60.                              
PITTSBURGH...................  None.                                    
ST. LOUIS....................  62040.                                   
                               62202,20-23,26.                          
                               62521.                                   
                               62881.                                   
                               63005-06,11,17,21-22,24,31-34,42-45,74.  
                               63104-47,51,57-58.                       
                               63301-04.                                
SAN FRANCISCO................  93921-23.                                
                               94002-03,10-12,21-28,30,35,39,41-43,59,61
                                .                                       
                               94401-99.                                
                               94504,06,08,11-14,16-29,33,35-46,48.     
                               94555-56,58-63,67,70-71,73-74,76-81,83-85
                                ,89-99.                                 
                               96708,13,20-21,27,32,43,49.              
                               96753,55,58,60-61,67-68,71,72,78-79,81,84
                                -85,88,90,93.                           
                               97321,30.                                
                               97526.                                   
                               98002-04,23,31,35,63-64,92-93.           
                               98660-66,68,82-87.                       
                               99362.                                   
SEATTLE......................  97321,30.                                
                               97526.                                   
                               98002-04,23,31,35,63-64,92-93.           
                               98660-66,68,82-87.                       
                               99362.                                   
SPRINGFIELD..................  None.                                    
WASHINGTON...................  None.                                    
------------------------------------------------------------------------

E670 Nonprofit Standard Mail

* * * * *
9.0 MAILING WHILE APPLICATION PENDING
* * * * *

9.2 Postage Record

[Amend 9.2 by removing ``or Single-Piece Standard Mail'' in the last 
sentence to read as follows:]
    While an application is pending, postage must be paid at the 
applicable First-Class Mail or Regular or Enhanced Carrier Route 
Standard Mail rates. The USPS records the difference between postage 
paid at the Regular or Enhanced Carrier Route Standard Mail rates and 
the postage that would have been paid at the Nonprofit Standard Mail 
rates. No record is kept if postage is paid at First-Class Mail rates.

[[Page 12885]]

9.3 Refund

[Amend 9.3b by removing ``or Single-Piece Standard Mail'' to read as 
follows:]
    If an authorization to mail at Nonprofit Standard Mail rates is 
issued, the mailer may be refunded the postage paid at that office in 
excess of the Nonprofit Standard Mail rate since the effective date of 
the authorization. No refund is made:
* * * * *
    b. If postage was paid at First-Class Mail rates.
* * * * *

F  FORWARDING AND RELATED SERVICES

F000 Basic Services

F010 Basic Information

* * * * *
3.0 DIRECTORY SERVICE
[Amend 3.0d by removing ``or Single-Piece Standard Mail'' to read as 
follows:]
    USPS letter carrier offices give directory service to the types of 
mail listed below that have an insufficient address or cannot be 
delivered at the address given (the USPS does not compile a directory 
of any kind):
* * * * *
    d. Parcels mailed at any Standard Mail (B) rate or endorsed by the 
mailer.
* * * * *
5.0  CLASS TREATMENT FOR ANCILLARY SERVICES
* * * * *

5.2 Periodicals

[Amend 5.2e and 5.2g to read as follows:]
    Undeliverable Periodicals publications (including publications 
pending Periodicals authorization) are treated as described in the 
chart below and under these conditions:
* * * * *
    e. The publisher may request the return of copies of undelivered 
Periodicals publications by printing the endorsement ``Address Service 
Requested'' on the envelopes or wrappers, or on one of the outside 
covers of unwrapped copies, immediately preceded by the sender's name, 
address, and ZIP+4 or 5-digit ZIP Code. The per-piece rate charged for 
return is the appropriate single-piece First-Class Mail or Priority 
Mail rate as applicable for the weight of the piece. When the address 
correction is provided incidental to the return of the piece, there is 
no charge for the correction. This endorsement obligates the publisher 
to pay return postage.
* * * * *
    g. Periodicals matter is forwarded only to domestic addresses.

[Amend the ``Address Service Requested'' portion of 5.2g (chart) to 
read as follows:]

------------------------------------------------------------------------
      Mailer endorsement               USPS action on UAA pieces        
------------------------------------------------------------------------
``Address Service Requested''  First 60 days: piece forwarded; no       
 \1\.                           charge.                                 
                               After 60-day period, or if undeliverable:
                                piece returned with address correction  
                                or reason for nondelivery attached;     
                                single-piece First-Class or Priority    
                                rate as applicable for weight of piece  
                                charged.                                
``Forwarding Service           *        *        *        *        *    
 Requested''.                                                           
``Return Service Requested''.  *        *        *        *        *    
``Change Service Requested''.  *        *        *        *        *    
No endorsement \1\...........  *        *        *        *        *    
------------------------------------------------------------------------
\1\ Valid for all pieces, including Address Change Service (ACS)        
  participating pieces.                                                 

5.3  Standard Mail (A)

[Amend 5.3 by deleting 5.3a and renumbering 5.3b through 5.3i as 5.3a 
through 5.3h. Revise renumbered 5.3a and 5.3b, and 5.3f through 5.3h, 
to read as follows:]
    Undeliverable Standard Mail (A) is treated as described in the 
chart below and under these conditions:
    a. Mail that qualifies for a single-piece Special Standard or 
Library Standard Mail (B) rate under the applicable standards is 
forwarded and returned at that rate, if the mailer's endorsement 
includes the name of the applicable Standard Mail (B) rate.
    b. Mail that qualifies for Shipper Paid Forwarding (F020) under the 
applicable standards is forwarded at, and (if necessary) returned at, 
the single-piece First-Class or Priority Mail rate as applicable for 
the weight of the piece.
* * * * *
    f. The weighted fee is the appropriate single-piece First-Class or 
Priority Mail rate, as applicable for the weight of the piece, 
multiplied by 2.472 and rounded up to the next whole cent (if the 
computation yields a fraction of a cent). The weighted fee is computed 
(and rounded if necessary) for each piece individually. Neither the 
applicable postage, the factor, nor any necessary rounding is applied 
cumulatively to multiple pieces. The fee is charged when an 
unforwardable or undeliverable piece is returned to the sender and the 
piece is endorsed ``Address Service Requested'' or ``Forwarding Service 
Requested.'' These endorsements obligate the sender to pay the weighted 
fee on all returned pieces.
    g. Mail that qualifies for Bulk Parcel Return Service (BPRS) under 
the applicable standards in S924 is returned at the BPRS per piece fee 
if the mailer uses one of the endorsements that includes ``--BPRS.''

------------------------------------------------------------------------
      Mailer endorsement               USPS Action on UAA pieces        
------------------------------------------------------------------------
``Return Service Requested--   *        *        *        *        *    
 BPRS''.                                                                
``Address Service Requested--  Months 1 through 12: piece forwarded; no 
 BPRS''.                        charge to addressee; separate ACS notice
                                of new address provided; ACS address    
                                correction fee and postage at single-   
                                piece First-Class or Priority Mail rate 
                                as applicable for weight of piece       
                                charged via ACS participant code.       
                               *        *        *        *        *    
------------------------------------------------------------------------

    h. Standard Mail (A) is forwarded only to domestic addresses.

[[Page 12886]]



------------------------------------------------------------------------
      Mailer endorsement               USPS action on UAA pieces        
------------------------------------------------------------------------
``Address Service              *        *        *        *        *    
 Requested'\1\.                                                         
                               Months 13 through 18: piece returned with
                                new address attached; only weighted fee 
                                charged (address correction fee not     
                                charged).                               
                               After month 18, or if undeliverable:     
                                piece returned with reason for          
                                nondelivery attached; only weighted fee 
                                charged (address correction fee not     
                                charged).                               
``Forwarding Service           *        *        *        *        *    
 Requested''.                                                           
                               Months 13 through 18: piece returned with
                                new address attached; only weighted fee 
                                charged (address correction fee not     
                                charged).                               
                               After month 18, or if undeliverable:     
                                piece returned with reason for          
                                nondelivery attached; only weighted fee 
                                charged (address correction fee not     
                                charged).                               
``Return Service Requested''.  Piece returned with new address or reason
                                for nondelivery attached; only return   
                                postage at single-piece First-Class or  
                                Priority Mail rate as applicable for    
                                weight of piece charged (address        
                                correction fee not charged).            
``Change Service               *        *        *        *        *    
 Requested''\1\.                                                        
No endorsement...............  Piece disposed of by USPS.               
------------------------------------------------------------------------
\1\ Valid for all pieces, including Address Change Service (ACS)        
  participating pieces.                                                 

* * * * *
6.0  ENCLOSURES AND ATTACHMENTS
[Amend the first sentences of 6.1 and 6.2 to read as follows:]

6.1  Periodicals

    Undeliverable Periodicals publications (including publications 
pending Periodicals authorization) with a nonincidental First-Class 
Mail attachment or enclosure are returned at the single-piece First-
Class or Priority Mail rate as applicable for the weight of the piece. 
* * *

6.2  Standard Mail (A)

    Undeliverable, unendorsed Standard Mail (A) with a nonincidental 
First-Class Mail attachment or enclosure is returned at the single-
piece First-Class or Priority Mail rate as applicable for the weight of 
the piece.* * *
* * * * *
8.0  DEAD MAIL

8.1  Basic Information

[Amend 8.1 to read as follows:]
    Dead mail is matter deposited in the mail that is or becomes 
undeliverable and cannot be returned to the sender from the last office 
of address. Every reasonable effort is made to match articles found 
loose in the mail with the envelope or wrapper from which lost and to 
return or forward the articles.
    a. Nonmail matter (e.g., wallets and bank deposits) found in 
collection boxes or at other points within USPS jurisdiction is 
returned postage due at the single-piece First-Class Mail or Priority 
Mail rate for keys and identification devices that is applicable based 
on the weight of the matter.
* * * * *

F020  Forwarding

* * * * *
2.0  FORWARDABLE MAIL
* * * * *

2.3  Discontinued Post Office

[Amend 2.3 by removing ``and all Single-Piece Standard Mail'' to read 
as follows:]
    All Express Mail, First-Class Mail, Periodicals, and Standard Mail 
(B) addressed to a discontinued post office may be forwarded without 
added charge to a post office that the addressee designates as more 
convenient than the office to which the USPS ordered the mail sent.

2.4  Rural Delivery

[Amend 2.4 by removing ``and all Single-Piece Standard Mail'' to read 
as follows:]
    When rural delivery service is established or changed, a customer 
of any office receiving mail from the rural carrier of another office 
may have all Express Mail, First-Class Mail, Periodicals, and Standard 
Mail (B) forwarded to the latter office for delivery by the rural 
carrier without added charge, if the customer files a written request 
with the postmaster at the former office.
* * * * *

2.6  Mail for Military Personnel

[Amend the first sentence of 2.6 by removing ``and all Single-Piece 
Standard Mail'' to read as follows:]
    All Express Mail, First-Class Mail, Periodicals, and Standard Mail 
(B) addressed to persons in the U.S. Armed Forces (including civilian 
employees) serving where U.S. mail service operates is forwarded at no 
added charge when the change of address is caused by official orders. * 
* *
3.0  POSTAGE FOR FORWARDING
* * * * *

3.5  Standard Mail (A)

[Amend the second sentence of 3.5 to read as follows:]
    * * * Shipper Paid Forwarding, used in conjunction with Address 
Change Service (F030), provides mailers of Standard Mail (A) machinable 
parcels an option of paying forwarding postage at the single-piece 
First-Class or Priority Mail rate as applicable for the weight of the 
piece. * * *
* * * * *

L  LABELING LISTS

* * * * *
[Delete the heading ``L100 First-Class Mail'' and labeling list L102.]

L600  Standard Mail

* * * * *
[Insert new labeling list L605 as follows:]

L605  BMCs--Nonmachinable Parcel Post

    Mailers preparing BMC Presort and OBMC Parcel Post mailings of 
nonmachinable parcels must sort the parcels and label pallets according 
to this list.

------------------------------------------------------------------------
       Column A--Destination ZIP codes             Column B--Label to   
------------------------------------------------------------------------
005-007, 009, 068-079, 085-098, 100-119, 124-  BMC NEW JERSEY NJ 00102. 
 127, 340.                                                              
006-009......................................  SCF SAN JUAN PR 006\1\.  
008..........................................  BMC NEW JERSEY NJ        
                                                00102\2\.               
008..........................................  BMC JACKSONVILLE FL      
                                                32099\3\.               

[[Page 12887]]

                                                                        
010-067, 120-123, 128, 129...................  BMC SPRINGFIELD MA 05500.
130-136, 140-149.............................  ASF BUFFALO NY 140.      
150-168, 260-266, 439-447....................  BMC PITTSBURGH PA 15195. 
080-084, 137-139, 169-199....................  BMC PHILADELPHIA PA      
                                                19205.                  
200-212, 214-239, 244, 254, 267, 268.........  BMC WASHINGTON DC 20499. 
240-243, 245-249, 270-297, 376...............  BMC GREENSBORO NC 27075. 
298, 300-312, 317-319, 350-352, 354-368, 373,  BMC ATLANTA GA 31195.    
 374, 377-379, 399.                                                     
299, 313-316, 320-339, 341, 342, 344, 346,     BMC JACKSONVILLE FL      
 347, 349.                                      32099.                  
369-372, 375, 380-397, 700, 701, 703-705,      BMC MEMPHIS TN 38999.    
 707, 708, 713, 714, 716, 717, 719-729.                                 
250-253, 255-259, 400-418, 421, 422, 425-427,  BMC CINCINNATI OH 45900. 
 430-433, 437, 438, 448-462, 469-474.                                   
434-436, 465-468, 480-497....................  BMC DETROIT MI 48399.    
500-516, 520-528, 612, 680, 681, 683-689.....  BMC DES MOINES IA 50999. 
498, 499, 540-551, 553-564, 566..............  BMC MPLS/ST PAUL MN      
                                                55202.                  
570-577......................................  ASF SIOUX FALLS SD 570.  
565, 567, 580-588............................  ASF FARGO ND 580.        
590-599, 821.................................  ASF BILLINGS MT 590.     
463, 464, 530-532, 534, 535, 537-539, 600-     BMC CHICAGO IL 60808.    
 611, 613.                                                              
420, 423, 424, 475-479, 614-620, 622-631, 633- BMC ST LOUIS MO 63299.   
 639.                                                                   
640, 641, 644-658, 660-662, 664-679, 739.....  BMC KANSAS CITY KS 64399.
730, 731, 734-738, 740, 741, 743-746, 748,     ASF OKLAHOMA CITY OK 730.
 749.                                                                   
706, 710-712, 718, 733, 747, 750-799, 885....  BMC DALLAS TX 75199.     
690-693, 800-816, 820, 822-831...............  BMC DENVER CO 80088.     
832-834, 836, 837, 840-847, 893, 898, 979....  ASF SALT LAKE CTY UT 840.
850, 852, 853, 855-857, 859, 860, 863, 864...  ASF PHOENIX AZ 852.      
865, 870-875, 877-884........................  ASF ALBUQUERQUE NM 870.  
889-891, 900-908, 910-928, 930-935...........  BMC LOS ANGELES CA 90901.
894, 895, 897, 936-969.......................  BMC SAN FRANCISCO CA     
                                                94850.                  
835, 838, 970-978, 980-986, 988-999..........  BMC SEATTLE WA 98000.    
------------------------------------------------------------------------
\1\ Mailed from ZIP Code areas 006-009.                                 
\2\ If the entry post office is in ZIP Code areas 010-269, combine with 
  mail for ZIP Code areas 005-007, 009, 068-079, 085-098, 100-119, 124- 
  127, and 340, and label to BMC NEW JERSEY NJ 00102.                   
\3\ If the entry post office is in ZIP Code areas 270-999, combine with 
  mail for ZIP Code areas 299, 313-316, 320-339, 341, 342, 344, 346,    
  347, and 349, labeled to BMC JACKSONVILLE FL 32099.                   

* * * * *

M  MAIL PREPARATION AND SORTATION

M000  General Preparation Standards

M010  Mailpieces

M011  Basic Standards

1.0  TERMS AND CONDITIONS
* * * * *

1.4  Mailing

[Amend 1.4 to read as follows:]
    a. General. A mailing is a group of pieces within the same class of 
mail and, except for certain parcel rates, the same processing category 
that may be sorted together and/or may be presented under a single 
minimum volume mailing requirement under the applicable standards. 
Generally, types of mail that follow different flows through the postal 
processing system (e.g., automation, nonautomation carrier route, and 
other nonautomation) and mail for each separate class and subclass must 
be prepared as a separate mailing. Other specific standards may define 
whether separate mailings may be combined, palletized, reported, or 
deposited together.
    b. First-Class Mail. The following types of First-Class Mail may 
not be part of the same mailing despite being in the same processing 
category:
    (1) automation rate and any other type of mail;
    (2) nonautomation Presorted rate and any other type of mail;
    (3) nonautomation Presorted rate mail prepared under the optional 
upgradable preparation and nonautomation Presorted rate mail prepared 
under the required preparation;
    (4) single-piece rate and any other type of mail.
    c. First-Class Postcards. Postcards and letters must be prepared as 
separate mailings, or may be sorted together if each meets separate 
minimum volume mailing requirements.
    d. Standard Mail (A). Except as provided in E620.1.2, the following 
types of Standard Mail (A) may not be part of the same mailing:
    (1) automation Enhanced Carrier Route and any other type of mail;
    (2) non-carrier route automation and any other type of mail;
    (3) nonautomation Enhanced Carrier route and any other type of 
mail;
    (4) Presorted rate mail and any other type of mail;
    (5) Presorted rate mail prepared under the optional upgradable 
preparation and Presorted rate mail prepared under the required 
preparation;
    (6) except as provided by standard, Regular mail may not be in the 
same mailing as Nonprofit mail, and Enhanced Carrier Route mail may not 
be in the same mailing as Nonprofit Enhanced Carrier Route mail.
    e. Standard Mail (B). The following types of Standard Mail (B) may 
not be part of the same mailing despite being in the same processing 
category:
    (1) Parcel Post mail and any other type of mail;
    (2) Bound Printed Matter and any other type of mail;
    (3) Special Standard and any other type of mail;
    (4) Library Mail and any other type of mail.
* * * * *

M012  Markings and Endorsements

[Renumber current M012.3.0 and M012.4.0 as M012.4.0 and M012.5.0, 
respectively. Reorganize and revise M012.1.0 and M012.2.0 and insert 
new M012.3.0 to read as follows:]
1.0  MARKINGS--BASIC STANDARDS

1.1  Class and Rate

    Mailpieces must be marked under the corresponding standards to show 
the class of service and/or rate paid:
    a. First-Class Mail and Standard Mail (A) must be marked under 2.0;

[[Page 12888]]

    b. Standard Mail (B) must be marked under 3.0;
    c. Priority Mail must be identified under E120;
    d. Periodicals must be identified under E211;
    e. Express Mail is identified with the Express Mail mailing label 
(Label 11 or Form 5625) without any other required class or rate 
marking.
    f. All mailable hazardous material must be labeled and/or marked as 
required in C020.

1.2  Enclosures

    Enclosures, attachments, and mixed rate mailpieces must be marked 
under the applicable standards in E070, M070, and P070.

1.3  Printing and Designs

    Required markings may be printed by a postage meter, special slug, 
ad plate, or other means that ensures a legible marking. A marking may 
not include or be part of a decorative design or advertisement.
2.0  MARKINGS--FIRST-CLASS MAIL AND STANDARD MAIL (A)

2.1  Placement

    a. Basic Marking. The basic required marking that indicates the 
class or subclass--``First-Class;'' ``Presorted Standard'' or ``PRSRT 
STD'' (or, until July 1, 1999, ``Bulk Rate'' or ``Blk. Rt.''); or 
``Nonprofit Organization'' or ``Nonprofit Org.'' or ``Nonprofit'' must 
be printed or produced as part of, or directly below or to the left of, 
the permit imprint indicia, meter stamp or impression, or adhesive or 
precanceled stamp.
    b. Other Markings. Other rate-specific markings (``Presorted'' or 
``PRSRT,'' ``Single-Piece'' or ``SNGLP'' (First-Class Mail only); 
``AUTO'' and ``AUTOCR'' (First-Class Mail and Standard Mail (A)); 
``ECRLOT,'' ``ECRWSH,'' ``ECRWSS,'' and ``RSS'' (Standard Mail (A) 
only)), may be placed in the location specified in 2.1a; or 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. If preceded by two asterisks, the ``AUTO,'' ``AUTOCR,'' 
``Single-Piece,'' or ``SNGLP'' markings also may be placed on the line 
above or two lines above the address in a mailer keyline or a manifest 
keyline, or placed above the address and below the postage in an MLOCR 
ink-jet printed date correction/meter drop shipment line. 
Alternatively, the ``AUTO'' or ``AUTOCR'' may be placed to the left of 
the DPBC (subject to the barcode location and clear zone standards in 
C840).
    c. Additional Requirements for Carrier Route. ``AUTOCR,'' 
``ECRLOT,'' ``ECRWSH,'' and ``ECRWSS'' must appear in their entirety 
wherever placed, except ``ECR'' may be placed in the postage area if 
``LOT,'' ``WSH,'' or ``WSS,'' as applicable, is placed in the line 
above or two lines above the address, as specified in 2.1b.

2.2  Exceptions to Markings

    a. AUTO Marking. Non-carrier route automation rate First-Class and 
Standard Mail (A) pieces do not require an ``AUTO'' marking if they 
bear a DPBC in the address block or on an insert visible through a 
window in the address block or lower right corner. Non-carrier route 
automation rate First-Class pieces not marked ``AUTO'' must bear both 
the ``Presorted'' and ``First-Class'' markings.
    b. Manifest Mailings. The basic marking must appear in the postage 
area on each piece as required in 2.1a. The two-letter rate category 
code required in the keyline on manifest mailing pieces prepared under 
P710 meets the requirement for other rate markings (e.g., on a First-
Class piece mailed at automation carrier route rates, the ``AC'' code 
may replace the ``AUTOCR'' marking).
3.0  PLACEMENT OF MARKINGS--STANDARD MAIL (B)

3.1  Basic Markings

    The basic required marking that indicates the subclass--``Parcel 
Post'' or ``PP;'' ``Bound Printed Matter;'' ``Special Standard Mail'' 
or ``SPEC STD;'' ``Library Rate'' or ``Library Mail''--must be printed 
or produced as part of, or directly below or to the left of, the permit 
imprint indicia or meter stamp or impression.

3.2  Other Bound Printed Matter Markings

    The required markings ``Presorted'' (or ``PRSRT'') or ``Carrier 
Route Presort'' (or ``CAR-RT SORT'') may be placed in the location 
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.

3.3  Other Parcel Post and Special Standard Markings

    The required markings ``Drop Shipment'' or ``D/S'' for Parcel Post, 
or ``Presorted'' or ``PRSRT'' for Special Standard, may be placed in 
the location specified in 3.1. Alternatively, it may be placed in the 
address area on the line directly above or two lines above the address 
if the marking appears alone.
* * * * *

M032  Barcoded Labels

1.0  BASIC STANDARDS--TRAY AND SACK LABELS
* * * * *

1.3  Content Line (Line 2)

[Amend Exhibit 1.3a by deleting the following headings and all 
information under them: Priority Mail Letters--Presorted; Priority Mail 
Flats--Presorted; and Priority Mail Parcels--Presorted.]

[Amend Exhibit 1.3a, Periodicals (PER), by changing the heading ``PER 
Letters--3/5 and Basic'' to ``PER Letters--5-Digit, 3-Digit, and 
Basic.'']

[Amend Exhibit 1.3a, Periodicals (PER), by changing the heading ``PER 
Flats--3/5 and Basic'' to ``PER Flats--5-Digit, 3-Digit, and Basic.'']

[Amend Exhibit 1.3a, Periodicals (PER), by changing the heading ``PER 
Parcels--3/5 and Basic'' to ``PER Parcels--5-Digit, 3-Digit, and 
Basic.'']

[Amend Exhibit 1.3a, Periodicals (NEWS), by changing the heading ``NEWS 
Letters--3/5 and Basic'' to ``NEWS Letters--5-Digit, 3-Digit, and 
Basic.'']

[Amend Exhibit 1.3a, Periodicals (NEWS), by changing the heading ``NEWS 
Flats--3/5 and Basic'' to ``NEWS Flats--5-Digit, 3-Digit, and Basic.'']

[Amend Exhibit 1.3a, Periodicals (NEWS), by changing the heading ``NEWS 
Parcels--3/5 and Basic'' to ``NEWS Parcels--5-Digit, 3-Digit, and 
Basic.'']

[Amend Exhibit 1.3a, Standard Mail (B), by inserting a new Parcel Post 
category after Parcel Post Machinable Parcels, to read as follows:]

------------------------------------------------------------------------
                                                 Human-Readable         
           Class and mailing           ---------------------------------
                                          CIN          Content line     
------------------------------------------------------------------------
                                                                        
                  *        *        *        *        *                 
------------------------------------------------------------------------
                     Parcel Post DSCF and DDU Rates                     
------------------------------------------------------------------------
5-digit sacks.........................      688  STD B 5D               
                                                                        

[[Page 12889]]

                                                                        
                  *        *        *        *        *                 
------------------------------------------------------------------------

M041  General Standards

[Revise 4.1 and 5.3 and add 4.2b and 5.4. Renumber current 5.4 through 
5.7 as 5.5 through 5.8.]
4.0  PALLET BOXES

4.1  Use

    A mailer may use pallet boxes constructed of single-, double-, or 
triple-wall corrugated fiberboard placed on pallets to hold sacks or 
parcels prepared under M045. M045 requires the use of pallet boxes for 
machinable Parcel Post claiming OBMC and BMC Presort discounts. Pallet 
boxes may not be used for DSCF or DDU Parcel Post rate mailings and may 
not be used for nonmachinable Parcel Post claiming OBMC and BMC Presort 
discounts. (Single-wall corrugated fiberboard may be used only for 
light loads (such as lightweight parcels) that do not require 
transportation by the USPS beyond the entry office.) Pallet 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.
* * * * *
5.0  PREPARATION
* * * * *

5.3  Minimum Load

    A minimum load for the rate claimed may be stated in terms of 
weight, combined piece minimum and weight, or minimum height. M045 
specifies a minimum mail height for pieces claimed at OBMC and BMC 
Presort rates and for the DSCF rate offers a choice between either a 
piece and pound minimum or a minimum height requirement. In a single 
mailing, unless otherwise specified by the standards for the rate 
claimed, the minimum load per pallet is 250 pounds of Periodicals or 
Standard Mail packages, parcels, and sacks (or three tiers/layers of 
letter trays of Periodicals or Standard Mail (A)), except that, for 
mail not entered at a BMC, the processing and distribution manager of 
the facility where the mailing is entered may issue a written 
authorization to the mailer allowing preparation of 5-digit, 3-digit, 
or SCF pallets containing less volume if the mail on those pallets is 
for that facility's service area. In a mailing or mailing job presented 
for acceptance at a single postal facility, one overflow pallet may be 
prepared containing less than 250 pounds or three tiers/layers of 
letter trays if the mail is for the service area of the entry facility 
and the pallet is properly labeled under M045, based on its contents. 
No special authorization is required.

[Insert new 5.4 to read as follows:]

5.4  Minimum Height for Certain Parcel Post Rates

    a. Machinable Parcels at OBMC and BMC Presort Discounts. The 
minimum height of mail in a pallet box is the shortest vertical 
distance measured from the bottom of a pallet box to the top of the 
lowest mailpiece. The height of the pallet is not included in this 
measurement.
    b. DSCF Rates and Nonmachinable Parcels at OBMC and BMC Presort 
Discounts. The minimum height of mail on a pallet is the shortest 
vertical distance measured from the floor to the top of the lowest 
mailpiece. The height of pallet is included in this measurement.
* * * * *

M045  Palletized Mailings

* * * * *
* * * * *
[Add sections 9.0 through 12.0 to specify preparation requirements for 
the new BMC, OBMC, DSCF, and DDU rates as follows:]
9.0  PARCEL POST--BULK MAIL CENTER (BMC) PRESORT DISCOUNT

9.1  Machinable Parcels

    a. To qualify for the BMC Presort discount, machinable pieces must 
be sorted to BMCs in 72-inch pallet boxes. Each pallet box must contain 
at least 54 inches of mail (not including pallet) for a BMC (see M041). 
Overflow pallet boxes are not permitted. Preparation in sacks, directly 
on pallets, or in other containers is not permitted.
    b. Pallet Box preparation and Line 1 labeling: destination BMC 
(required); for line 1 use L601.
    c. Pallet Box Line 2 labeling: ``STD B MACH BMC.''

9.2  Nonmachinable Parcels

    a. To qualify for the BMC Presort discount, nonmachinable pieces 
must be sorted to BMCs and ASFs under L605 on pallets. Each pallet for 
a BMC or ASF destination must have a minimum height of 48 inches 
(pallet and mail) (see M041). Overflow pallets are not allowed. 
Preparation in sacks, pallet boxes, or in other containers is not 
permitted.
    b. Pallet preparation and Line 1 labeling: destination BMC or 
destination ASF (required); for line 1, use L601.
    c. Pallet Line 2 labeling: ``STD B NON MACH BMC'' or ``STD B NON 
MACH ASF,'' as appropriate.
10.0  PARCEL POST--ORIGIN BULK MAIL CENTER (OBMC) DISCOUNT

10.1  Machinable Parcels

    a. To qualify for the OBMC discount, machinable pieces must be 
sorted to BMCs in 72-inch pallet boxes. Each pallet box must contain at 
least 54 inches of mail (not including pallet) for a BMC (see M041). 
Overflow pallet boxes are not permitted. Preparation in sacks, directly 
on pallets, or in other containers is not permitted.
    b. Pallet Box preparation and Line 1 labeling: destination BMC 
(required); for Line 1, use L601.
    c. Pallet Box Line 2 labeling: ``STD B MACH BMC.''

10.2  Nonmachinable Parcels

    a. To qualify for the OBMC discount, nonmachinable pieces must be 
sorted to BMCs and ASFs under L605 on pallets. Each pallet for a BMC or 
ASF destination must have a minimum height of 48 inches (pallet and 
mail) (see M041). Overflow pallets are not allowed. Preparation in 
sacks, pallet boxes, or in other containers is not permitted.
    b. Pallet preparation and Line 1 labeling: destination BMC or 
destination ASF (required); for line 1, use L601.
    c. Pallet Line 2 labeling: ``STD B NON MACH BMC'' or ``STD B NON 
MACH ASF,'' as appropriate.
11.0  PARCEL POST DSCF RATES

11.1  Sortation

    a. To qualify for the DSCF rates, parcels for each SCF area must be 
sorted to 5-digit ZIP Codes on pallets (or in sacks under M630). Each 
5-digit pallet must meet a minimum volume requirement under one of the 
criteria in 11.1b. Machinable and nonmachinable pieces may be combined 
on the same pallet to meet the minimum pallet volume requirements.
    b. The minimum volume per 5-digit pallet can be met in either of 
the following ways:
    (1) pieces may be placed on 5-digit pallets containing at least 50 
pieces and 250 pounds, or
    (2) pieces can be placed on 5-digit pallets having a minimum height 
of 42 inches (pallet and mail combined) (see M041).
    c. No overflow pallets are permitted.
    d. Preparation in pallet boxes or in other containers (except for 
sacks under M630) is not permitted.

[[Page 12890]]

    e. 5-digit pallet labeling:
    (1) for Line 1, use city, state, and 5-digit ZIP Code destination 
of contents.
    (2) for Line 2 use: ``STD B 5D.''
    f. Refer to the Drop Shipment Product available from the National 
Customer Support Center (NCSC) (see G043) to determine if the facility 
serving the 5-digit destination can handle pallets. (There is a charge 
for this information.) If a facility cannot do so, the DSCF rate is not 
applicable unless the mail can be prepared under the sacking 
requirement in M630.
    g. Refer to Exhibit E652.5.0 for 5-digit destinations where 
palletized mail must be entered at the BMC that serves the SCF to 
obtain the DSCF rate.
12.0  PARCEL POST DDU RATES
    Parcels may be bedloaded, sacked, or palletized. No pallet boxes 
are allowed. There are no preparation or presort requirements for DDU 
rate mailings other than separation by 5-digit. 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 ``STD B 5D.'' Machinable and nonmachinable pieces may be 
combined. Refer to the Drop Shipment Product available from the 
National Customer Support Center (NCSC) (see G043) to determine if 
separation by 5-digit ZIP Codes is required and for other information 
on delivery unit facilities. (There is a charge for this information.)
* * * * *

M070  Mixed Classes

* * * * *

M072  Express Mail and Priority Mail Drop Shipment

1.0  BASIC STANDARDS

1.1  Standards

    The express Mail or Priority Mail portion of the shipment must meet 
the standards in M500 or M100 respectively, and the applicable 
standards in M072 and D071.
* * * * *
[Revise title of M073 to read as follows:]

M073  Combined Mailings of Standard Mail (A) and Standard Mail (B) 
Parcels

[Revise title of 1.0 to read as follows:]
1.0  COMBINED MACHINABLE PARCELS--RATES OTHER THAN PARCEL POST OBMC, 
BMC PRESORT, DSCF AND DDU
[Insert new 1.1 to read as follows:]

1.1  Qualification

    Machinable Standard Mail (A) and machinable Standard Mail (B) 
parcels may be combined under the sortation and other requirements in 
1.0 except when claiming the following Parcel Post rates or discounts: 
Origin BMC, BMC Presort, DSCF, and DDU. When claiming the Origin BMC, 
BMC Presort, or DSCF rates, machinable Standard Mail (A) and machinable 
Standard Mail (B) parcels may be combined under the sortation and other 
requirements in 2.0. Standard Mail (A) parcels must not be combined 
with Standard Mail (B) parcels prepared for DDU rates.

[Renumber existing 1.1 as 1.2 and revise section references to read as 
follows:]

1.2  Description

    Subject to 1.1 and authorization under 1.5, a mailer who is 
authorized plant load or plant-verified drop shipment privileges may 
prepare a combined mailing of Standard Mail (A) and Standard Mail (B) 
machinable parcels that have been merged and sorted together in sacks 
(under 1.5) or on pallets (under M040) to achieve the finest presort 
level. The combined mailing must meet the standards in 1.0 and those 
that apply to the rates claimed. Each parcel in a combined mailing is 
subject to the applicable Standard Mail rate, based on the 
corresponding standards. Required volume for bulk or presort rates is 
based solely on the quantity of pieces eligible for each rate at the 
required presort level. Pieces claimed at other rates in the same sack 
or on the same pallet do not count.

[Renumber existing 1.2 and 1.3 as 1.3 and 1.4, respectively.]

[Renumber existing 2.0 as 1.5. Renumber existing 2.1 through 2.3 as 
1.5a through 1.5c, respectively.]

[Renumber existing 3.0 as 1.6. Renumber existing 3.1 as 1.6a and 
existing 3.1a through d as 1.6a(1) through a(4), respectively. Renumber 
existing 3.2 as 1.6b and existing 3.2a through e as 1.6b(1) through 
(5), respectively.]

[Add 2.0 to read as follows:]
2.0  COMBINED PARCELS--PARCEL POST OBMC, BMC PRESORT, AND DSCF RATES

2.1  Qualification

    a. When claiming Parcel Post Origin BMC and BMC Presort discounts, 
and DSCF rates, machinable Standard Mail (A) parcels may be combined 
with machinable Standard Mail (B) parcels under 2.0.
    b. When claiming the Parcel Post DSCF rate, machinable and 
nonmachinable Standard Mail (A) may be combined with machinable and 
nonmachinable Standard Mail (B) parcels under 2.0.
    c. Standard Mail (A) parcels may not be combined with Standard Mail 
(B) parcels prepared for DDU rates.

2.2  Authorization

    Mailers must be authorized under 2.1 to prepare mailings that 
combine Standard Mail (A) and Standard Mail (B) parcels.

2.3  Postage Payment

    Postage for all pieces must be paid with permit imprint at the post 
office serving the mailer's plant under an approved manifest mailing 
system under P710. The applicable agreement must include procedures for 
combined mailings approved by the RCSC.

2.4  Preparation and Rates

    a. Minimum Mailing Volume. Separate minimum mailing volume 
requirements must be met for Standard Mail (A) parcels and for Standard 
Mail (B) parcels.
    b. Parcel Post Qualifying for DSCF Rates. The combined mailings 
must be prepared under the applicable 5-digit sack requirements in 
M630, or the applicable 5-digit pallet requirements in M040 for the 
Parcel Post DSCF rates. All other requirements for the Parcel Post DSCF 
rates and the Presorted Standard Mail (A) rates, as applicable must be 
met. The following additional requirements apply:
    (1) If sacked under M630, the minimum requirement of 10 pieces per 
sack must be met with only Standard Mail (B) parcels. After the minimum 
sack volume has been met, Standard Mail (A) parcels may be included in 
the sack.
    (2) If palletized under the option to prepare 5-digit pallets when 
there are at least 50 pieces and 250 pounds per pallet, the pallet 
minimum must be met with only Standard Mail (B) parcels. After the 
minimum pallet volume has been met, Standard Mail (A) parcels may be 
included on the pallet.
    (3) If palletized under the option to prepare 5-digit pallets under 
the 42-inch high pallet minimum, any combination of Standard Mail (A) 
and Standard Mail (B) parcels may be used to meet the minimum pallet 
height requirement.
    (4) Line 2 of 5-digit pallet and sack labels must read: ``STD A/B 
5D.''
    (5) Standard Mail (A) parcels are eligible for the Presorted 3/5 
rate.
    c. Parcel Post Qualifying for OBMC or BMC Presort rates. The 
combined mailings must be prepared under the M040 BMC pallet 
requirements for machinable parcels at Parcel Post OBMC or BMC Presort 
rates. All other

[[Page 12891]]

requirements for the Parcel Post OBMC or BMC Presort rates and the 
Presorted Standard Mail (A) rates must be met. The following additional 
requirements apply:
    (1) The minimum height requirement for each pallet may be met using 
any combination of Standard Mail (A) and Standard Mail (B) parcels.
    (2) Line 2 of BMC pallet box labels must read: ``STD A/B MACH 
BMC.''
    (3) Standard Mail (A) parcels are eligible for the Presorted 3/5 
rate only if it can be shown by documentation that there was 
insufficient volume of Standard Mail (A) parcels in the mailing to 
prepare separate 5-digit pallets required for Standard Mail (A) 
machinable parcels under M045. Otherwise, Presorted basic rates apply 
to the Standard Mail (A) parcels.

2.5  Documentation

    Presort documentation is required as applicable for each rate 
claimed if the manifest does not list pieces in presort order. Separate 
postage statements must be prepared for the Standard Mail (A) and 
Standard Mail (B) pieces. Within each group, combined forms may be 
prepared where the standards and the forms permit. All postage 
statements must be provided at the time of mailing.
* * * * *

M120  Priority Mail

[Delete 2.0.]

M130  Presorted First-Class Mail

* * * * *
[Revise the title of 2.0 to read as follows:]
2.0  REQUIRED PREPARATION--LETTER- AND CARD-SIZE PIECES
* * * * *
[Revise the title of 3.0 to read as follows:]
3.0  OPTIONAL UPGRADABLE PREPARATION--LETTER- AND CARD-SIZE PIECES
* * * * *

M200  Periodicals (Nonautomation)

* * * * *
3.0  SACK PREPARATION (FLAT-SIZE PIECES AND IRREGULAR PARCELS)

3.1  Sack Preparation

[Revise 3.1d and 3.1e to read as follows:]
    Sack size, preparation, and Line 1 labeling:
* * * * *
    d. 3-digit: required at 24 pieces, optional with one six-piece 
package minimum except under 1.5; for Line 1, use L002, Column A.
    e. SCF: required at 24 pieces (no minimum for required origin/
optional entry SCF), optional with one six-piece package minimum except 
under 1.5; for Line 1, use L002, Column C.
* * * * *

M600  Standard Mail (Nonautomation)

[Amend the title of M610. Delete 610.1.0 and renumber 610.2.0 through 
610.7.0 as 610.1.0 through 610.6.0, respectively. Make other revisions 
as shown below for clarity and to change ``nonautomation'' rate to 
``Presorted'' rate and change ``Bulk Rate'' to ``Presorted Standard.'']

M610  Presorted Standard Mail (A)

1.0  BASIC STANDARDS

1.1  All Mailings

    All mailings at Presorted rates (3/5 and basic) are subject to 
specific preparation standards in 2.0 through 6.0 and to these general 
standards (automation rate mail must be prepared under M810 or M820, as 
applicable):
    a. Each mailing must meet the applicable standards in E620 and in 
M010, M020, and M030.
* * * * *
    e. Subject to M012, all pieces eligible for and claimed at 
Nonprofit rates must be marked ``Nonprofit Organization'' (or 
``Nonprofit Org.'' or ``Nonprofit''); all other pieces must be marked 
``Presorted Standard'' (or ``PRSRT STD'') or, until July 1, 1999, 
``Bulk Rate'' (or ``Blk. Rt.''). Subject to M012, all pieces for which 
the residual shape surcharge applies under E620 also must bear the 
marking ``RSS.''
* * * * *

1.3  Exception--Standard Mail (A)

    When the size of the pieces in a Standard Mail (A) mailing job 
allows them to qualify for preparation as either letters or automation 
flats, if part of the job is prepared as palletized automation flats, 
the remainder may be prepared as palletized flats at Enhanced Carrier 
Route nonletter rates and Presorted nonletter rates if the number of 
Presorted rate pieces does not exceed 10% of the total number of pieces 
in the entire mailing job. Presorted rate pieces in the mailing job 
that exceed the 10% limit and therefore may not be palletized as flats 
must be prepared in trays as letter mail and be paid for at the letter 
rates.

1.4  Processing Instructions

[Change the phrase ``nonautomation rate'' to ``Presorted rate'' to read 
as follows:]
    If a mailer prefers that the USPS not upgrade (automate) letter-
size or card-size pieces presented at a Presorted rate, the mailer must 
identify each tray of such mail with a facing slip or other device 
marked ``DO NOT AUTOMATE'' and (for letter-size mail) a tray label on 
which Line 2 includes ``NON-OCR.''

[Revise the title of 2.0 to read as follows:]
2.0  LETTER-SIZE PIECES--REQUIRED PREPARATION
* * * * *
[Revise the title of 3.0 to read as follows:]
3.0  LETTER-SIZE PIECES--OPTIONAL UPGRADABLE PREPARATION
* * * * *
6.0  BEDLOADED BUNDLES OF FLAT-SIZE PIECES

6.1  Authorization

[In the first sentence of 6.1, change ``nonautomation rate'' to 
``Presorted rate.'']
    The RCSC manager serving the post office where the mailing is to be 
made may authorize preparation of Presorted rate Standard Mail (A) in 
bundles that are outside sacks if this preparation benefits the USPS. * 
* *
* * * * *

M620  Enhanced Carrier Route Standard Mail

1.0  BASIC STANDARDS

1.1  All Mailings

[Revise 1.1a and 1.1e to read as follows:]
    All nonautomation rate Enhanced Carrier Route mailings are subject 
to these general standards (automation rate Enhanced Carrier Route 
mailings must be prepared under M810):
    a. Each mailing must meet the applicable standards in E620 and in 
M010, M020, and M030.
* * * * *
    e. Subject to M012, all pieces eligible for and claimed at 
Nonprofit rates must be marked ``Nonprofit Organization'' (or 
``Nonprofit Org.'' or ``Nonprofit''); all other pieces must be marked 
``Presorted Standard'' (or ``PRSRT STD''), or, until July 1, 1999, 
``Bulk Rate'' (or ``Blk. Rt.''). In addition, basic, high-density, and 
saturation rate pieces must each be marked ``ECRLOT,'' ``ECRWSH,'' or 
``ECRWSS,'' respectively. Pieces not claimed at the corresponding 
Enhanced Carrier Route rate must not be marked ``ECRLOT,'' ``ECRWSH,'' 
or ``ECRWSS.'' Subject to M012, all pieces for which the residual shape 
surcharge applies under E620 also must bear the marking ``RSS.''
* * * * *

[[Page 12892]]

1.4  Exception--Standard Mail (A)

[In 1.4, change the phrase ``nonletter nonautomation rates'' to 
``Presorted rates,'' and make further clarifications to read as 
follows:]
    When the size of the pieces in a Standard Mail (A) mailing job 
allows them to qualify for preparation as either letters or automation 
flats, if part of the job is prepared as palletized automation flats, 
the remainder may be prepared as palletized flats at Enhanced Carrier 
Route nonletter rates and Presorted nonletter rates if the number of 
Presorted rate pieces does not exceed 10% of the total number of pieces 
in the entire mailing job. Presorted rate pieces in the mailing job 
that exceed the 10% limit and therefore may not be palletized as flats 
must be prepared in trays as letter mail and be paid for at the letter 
rates.
* * * * *

M630  Standard Mail (B)

[Amend 1.0 to add preparation requirements in 1.3-1.6 for new 
destination entry Parcel Post rates, introduce new dropship markings, 
eliminate the ``Catalog'' marking, and make other marking changes.]
1.0  PARCEL POST

1.1  Marking

[Amend 1.1 to provide for identifying Parcel Post pieces as follows:]
    Pieces mailed at the Parcel Post rates must be marked ``Parcel 
Post'' or ``PP'' under M012. Each piece mailed at the DBMC, DSCF, or 
DDU Parcel Post rates must also be marked ``Drop Ship'' or ``D/S'' 
under M012. Pieces not marked as required are treated as single-piece 
rate Parcel Post and are subject to additional postage as necessary.

1.2  Separation

[Amend 1.2 to add requirements for the DSCF and DDU rate categories as 
follows:]
    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 8.0, P710, P720, or P730. When 
prepared in sacks, pieces for more than one zone may not be placed in 
the same sack. Sacks must be separated by zone when presented to the 
USPS unless the mailing is documented according to 8.0, P710, P720, or 
P730.

1.3  Documentation

[Amend 1.3 to read as follows:]
    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). When presented for acceptance, 
documentation of postage is required under P710, P720, or P730, except 
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. In addition, at the time a mailing is presented for presort and 
postage verification, the mailer must submit presort documentation for 
pieces claimed at the OBMC and BMC Presort rates, unless a manifest 
submitted under P710 lists pieces in presort order. The presort 
documentation must show for each pallet box or pallet the destination 
and the number of pieces in each pallet box or on each pallet. A 
separate column that lists a running total of the number of pieces for 
each pallet or pallet box in the mailing must also be shown.

[Add 1.4 for DSCF mailings as follows:]

1.4  DSCF Rate

    To qualify for the DSCF rate, pieces for the same SCF area (L005) 
must be sorted to 5-digit ZIP Code destinations either in sacks under 
1.5 or on pallets under M041 and M045. Pieces must be part of a mailing 
of at least 50 Parcel Post pieces. They must be entered at the 
designated processing and distribution center or facility (SCF under 
L005) that serves the 5-digit ZIP Code destinations of the pieces 
except when palletized and entry is required at a BMC (see Exhibit 
E652.5.0). The DSCF rate is not available for mail prepared on pallets 
for facilities that are unable to handle palletized mailings. Refer to 
the Drop Shipment Product available from the National Customer Support 
Center (NCSC) (see G043) to determine if the facility serving the 5-
digit destination can handle pallets. (There is a charge for this 
information.)

[Add 1.5 to describe sacking requirements for DSCF mailings as 
follows:]

1.5  DSCF Sack Preparation

    Sacking requirements for DSCF rates are as follows:
    a. Only 5-digit sacks are permitted.
    b. Each 5-digit sack must contain a minimum of 10 pieces (smaller 
volume not permitted). Machinable and nonmachinable pieces may be 
combined in the same sack to meet this requirement.
    c. Sack Line 1 labeling: use city, state, and 5-digit ZIP Code 
destination of pieces, preceded for military mail by the prefixes under 
M031.
    d. Sack Line 2: ``STD B 5D.''

[Add 1.6 to describe preparation for DDU rate mailings as follows:]

1.6  DDU Rate

    The requirements for the DDU rate are as follows:
    a. For the DDU rate, pieces must be part of a mailing of at least 
50 Parcel Post pieces.
    b. The pieces must be entered by the mailer at the postal facility 
where the carrier delivers the parcels (delivery unit).
    c. There are no minimum sacking or pallet preparation standards. 
DDU rate mailings may be bedloaded, sacked, or palletized. (Pallet 
boxes are not allowed.) Machinable and nonmachinable pieces may be 
combined in the same sack or on the same pallet.
    d. If the delivery unit serves more than one 5-digit ZIP Code, the 
pieces must be separated by 5-digit ZIP Code when unloaded. Refer to 
the Drop Shipment Product available from the National Customer Support 
Center (see G043) to determine if the delivery unit serves more than 
one 5-digit ZIP Code. (There is a charge for this information.)
    e. If mail is sacked it must be labeled as follows: Line 1, 5-digit 
ZIP Code destination; Line 2, ``STD B 5D.''
2.0  BOUND PRINTED MATTER
* * * * *

2.3  Marking

[Revise 2.3 to provide for using new Bound Printed Matter markings as 
follows:]
    Each piece claimed at single-piece Bound Printed Matter rates must 
be marked ``Bound Printed Matter'' under M012. Each piece claimed at 
presorted Bound Printed Matter rates must be marked ``Presorted'' and 
``Bound Printed Matter'' or ``PRSRT'' and ``Bound Printed Matter under 
M012. Pieces not marked as required are treated as single-piece rate 
Parcel Post, subject to additional postage as necessary.

[Delete 2.4. Renumber existing 2.5 through 2.7 as 2.4 through 2.6, 
respectively.]
3.0  CARRIER ROUTE BOUND PRINTED MATTER
* * * * *

3.2  Marking

[Revise 3.2. to eliminate the markings ``Blk. Rt.'' and ``CATALOG'' as 
follows:]
    Each piece claimed at carrier route Bound Printed Matter rates must 
be marked ``Bound Printed Matter'' and ``Carrier Route Presort'' or 
``Bound Printed Matter'' and ``CAR-RT SORT''

[[Page 12893]]

under M012. The mailer also may opt to include the marking 
``Presorted'' or ``PRSRT'' with the above required markings. Residual 
pieces in a carrier route Bound Printed Matter mailing may have the 
``Carrier Route Presort'' or ``CAR-RT SORT'' marking if the number of 
residual pieces to any single 5-digit ZIP Code area does not exceed 5% 
of the total qualifying carrier route rate pieces addressed to that 5-
digit area. The residual pieces must be separated from the qualifying 
pieces when presented to the USPS. Pieces not marked as required are 
treated as single-piece rate Parcel Post and subject to additional 
postage as necessary.
* * * * *
4.0  SPECIAL STANDARD MAIL
* * * * *

4.2  Marking

[Revise 4.2 to add the marking ``PRSRT'' as follows:]
    Each piece claimed at Special Standard Mail rates must be marked 
``Special Standard Mail'' or ``SPEC STD'' under M012. Each piece 
claimed at presorted Special Standard Mail rates must also be marked 
``Presorted'' or ``PRSRT'' under M012. Pieces not marked as required 
are treated as single-piece Parcel Post, subject to additional postage 
as necessary.
* * * * *

M800  All Automation Mail

M810  Letter-Size Mail

1.0  BASIC STANDARDS
* * * * *
[Amend 1.2 to delete the reference to 3/5 rates and to include 
information on mail qualifying for carrier route automation rates. 
Amend 1.2 and 1.3 to move information about postage statements and 
documentation from 1.2 to 1.3.]

1.2 Mailings

    The requirements for mailings are as follows:
    a. General. All pieces in a mailing must meet the standards in C810 
and must be sorted together to the finest extent required. The 
definitions of a mailing and permissible combinations are in M011.
    b. First-Class. A single automation rate First-Class mailing may 
include pieces prepared at carrier route, 5-digit, 3-digit, and basic 
automation rates.
    c. Periodicals. A single automation rate Periodicals mailing may 
include pieces prepared at 5-digit, 3-digit, and basic automation 
rates.
    d. Standard Mail (A). Pieces prepared to qualify for carrier route 
automation rates must be prepared as a separate mailing (meet a 
separate minimum volume requirement) from pieces prepared to qualify 
for 5-digit, 3-digit, and basic automation rates.

1.3 Documentation

    A complete, signed postage statement, using the correct USPS form 
or an approved facsimile, must accompany each mailing, supported by 
documentation produced by PAVE-certified (or, except for Periodicals, 
MAC-certified) software or standardized documentation under P012. 
Mailers may use a single postage statement and a single documentation 
report for all rate levels in a single mailing. Standard Mail (A) 
mailers may use a single postage statement and a single documentation 
report for both an automation carrier route mailing and a mailing 
containing pieces prepared at 5-digit, 3-digit, and basic automation 
rates as applicable, submitted for entry at the same time. 
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 when presented for acceptance. Combined mailings 
of Periodicals publications also must be documented under M200.
* * * * *
3.0 PERIODICALS

3.1 Tray Preparation

[Amend 3.1a to read as follows:]
    Tray size, preparation sequence, and Line 1 labeling:
    a. 5-digit/scheme: optional, but 5-digit trays required for rate 
eligibility (150-piece minimum); overflow allowed; for Line 1, for 5-
digit trays, use 5-digit ZIP Code destination of pieces, preceded for 
military mail by the prefixes under M031; for Line 1, for optional 5-
digit scheme trays, use destination shown in the current City State 
File.
* * * * *

M820 Flat-Size Mail

1.0 BASIC STANDARDS
* * * * *
[Amend 1.2 to add a reference to 5-digit and 3-digit rates. Amend 1.2 
and 1.3 to move information about postage statements and documentation 
from 1.2 to 1.3.]

1.2 Mailings

    All pieces in a mailing must meet the standards in C820 and must be 
sorted together to the finest extent required. First-Class Mail and 
Standard Mail (A) mailings may include pieces prepared at automation 3/
5 and basic rates, as applicable. Periodicals mailings may include 
pieces prepared at automation 5-digit, 3-digit, and basic rates, as 
applicable. The definitions of a mailing and permissible combinations 
are in M011.

1.3 Documentation

[Insert the following after the first sentence in 1.3:]
    * * * Mailers may use a single postage statement and a single 
documentation report for all rate levels in a single mailing. * * *
* * * * *
3.0 PERIODICALS
* * * * *

3.2 Sack Preparation

[Revise 3.2b and 3.2c to read as follows:]
    Sack size, preparation sequence, and Line 1 labeling:
* * * * *
    b. 3-digit: required at 24 pieces, optional with one six-piece 
package minimum except under 1.7; for Line 1, use L002, Column A.
    c. SCF: required at 24 pieces (no minimum for required origin/
optional entry SCF), optional with one six-piece package minimum except 
under 1.7; for Line 1, use L002, Column C.

P POSTAGE AND PAYMENT METHODS

P000 Basic Information

P010 General Standards

P011 Payment

1.0 PREPAYMENT AND POSTAGE DUE

1.1 Prepayment Conditions

[Revise 1.1e 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:
* * * * *
    e. Keys and identification devices returned to owners (see E120 and 
E130).
* * * * *

1.5 Shortpaid Mail--Basic Standards

[Amend the first sentence of 1.5 by removing ``and nonstandard single-
piece Standard Mail (A)'' to read as follows:]
    Mail of any class, including mail indicating special services 
(except Express Mail, registered mail, and nonstandard First-Class 
Mail), that is received at either the office of mailing or office of 
address without enough postage is marked to show the total deficiency 
of postage and fees. * * *
* * * * *

[[Page 12894]]

1.8 Shortpaid Nonstandard Mail

[Amend 1.8 by removing ``nonstandard Single-Piece Standard Mail'' to 
read as follows:] Shortpaid nonstandard First-Class Mail is returned to 
the sender.
* * * * *
2.0 MAILABLE MATTER IN OR ON PRIVATE MAIL RECEPTACLES
* * * * *

2.3 Partial Distribution

[Amend 2.3 to read as follows:]
    If there is a distribution of pieces to some, but not all, 
addresses on a route, pieces are returned to the delivery unit for use 
in computing the postage due. First-Class Mail rates are applied to 
matter that would require First-Class Mail postage if mailed. For other 
matter, if the piece weighs less than 16 ounces, the applicable single-
piece First-Class Mail or Priority Mail rate based on the weight of the 
piece is applied, or an applicable Standard Mail (B) rate is applied, 
whichever is lower. If the piece weighs 16 ounces or more, the Standard 
Mail (B) rate is applied.
* * * * *

P012 Documentation

* * * * *
2.0  STANDARDIZED DOCUMENTATION--FIRST-CLASS MAIL, PERIODICALS, AND 
STANDARD MAIL (A)
* * * * *

2.3 Rate Level Column Headings

[Amend 2.3a and 2.3b to reflect the new separate 5-digit and 3-digit 
presort rate categories for Periodicals mail 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 (A):

------------------------------------------------------------------------
                     Rate                             Abbreviation      
------------------------------------------------------------------------
Carrier Route [First-Class Mail letters/       CB                       
 cards].                                                                
5-Digit [First-Class Mail letters/cards,       5B                       
 Periodicals letters and flats, and Standard                            
 Mail letters].                                                         
3-Digit [First-Class Mail letters/cards,       3B                       
 Periodicals letters and flats, and Standard                            
 Mail letters].                                                         
3/5 [First-Class Mail and Standard Mail        3/5B                     
 flats].                                                                
Basic [letters/cards and flats]..............  BB                       
------------------------------------------------------------------------

    b. Presorted First-Class Mail, nonautomation presorted Periodicals, 
and Standard Mail (A):

------------------------------------------------------------------------
                     Rate                             Abbreviation      
------------------------------------------------------------------------
Presorted [First-Class Mail letters/cards,     Presort                  
 flats, and parcels].                                                   
5-Digit [Periodicals letters, flats, and       5D                       
 parcels].                                                              
3-Digit [Periodicals letters, flats, and       3D                       
 parcels].                                                              
3/5 [Standard Mail letters, flats, and         3/5                      
 parcels].                                                              
Basic [letters/cards and flats]..............  BS                       
------------------------------------------------------------------------

* * * * *

2.4  Sortation Level

[Amend 2.4 by deleting row ``Unique 3-Digit [Periodicals]'' and 
``3DGU.''

[Amend 2.4 by revising the SCF sortation level to read as follows:]
    The actual sortation level (or corresponding abbreviation) is used 
for the package, tray, sack, or pallet levels required by 2.2 and shown 
below:

------------------------------------------------------------------------
               Sortation level                        Abbreviation      
------------------------------------------------------------------------
                                                                        
*                  *                  *                  *              
                  *                  *                  *               
SCF [pallets, and Periodicals flats and        n/a                      
 parcels].                                                              
                                                                        
*                  *                  *                  *              
                  *                  *                  *               
------------------------------------------------------------------------

* * * * *

P013  Rate Application and Computation

1.0  BASIC STANDARDS
* * * * *

1.4 Affixing Postage--Single-Piece Rate Mailings

[Amend the first sentence of 1.4 by removing ``or Standard Mail (A)'' 
to read as follows:]
    In a postage-affixed single-piece rate Express Mail, First-Class 
Mail, or Priority Mail mailing, or in any postage-affixed Standard Mail 
(B) mailing, the mailer must affix to each piece a value in adhesive 
stamps, precanceled stamps, or meter impressions equal to at least the 
postage required for the piece. * * *
* * * * *
2.0  RATE APPLICATION--EXPRESS MAIL, FIRST-CLASS MAIL, AND PRIORITY 
MAIL
* * * * *
[Insert new 2.6 to read as follows:]

2.6  Keys and Identification Devices

    Keys and identification devices weighing 11 ounces or less are 
charged the First-Class Mail rates per ounce or fraction thereof in 
accordance with 2.3, plus a $0.30 fee. Keys and identification devices 
weighing more than 11 ounces but no more than 2 pounds are mailed at 
the 2-pound Priority Mail rate in accordance with 2.4, plus a $0.30 
fee.
* * * * *
4.0 RATE APPLICATION--STANDARD MAIL (A)

[[Page 12895]]

[Remove 4.1 and 4.2 and redesignate current 4.3 as 4.1. Amend 4.1 to 
revise the breakpoints as follows:]

4.1  Bulk Rates

    Bulk rates are based on the weight of the pieces and are applied 
differently to pieces weighing less than or equal to a ``breakpoint'' 
(rounded to four decimal places) and those weighing more, as follows:
    a. The appropriate minimum per-piece rate applies to Enhanced 
Carrier Route rate pieces weighing 0.2057 pound (3.2906 ounces) or 
less; Regular Presorted and automation rate pieces weighing 0.2062 
pound (3.2985 ounces) or less; Nonprofit Enhanced Carrier Route rate 
pieces weighing 0.2057 pound (3.2914 ounces) or less; and Nonprofit 
Presorted and automation rate pieces weighing 0.2055 pound (3.2873 
ounces) or less.
    b. A rate determined by adding the appropriate fixed per-piece 
charge and the corresponding variable per-pound charge (based on the 
weight of the piece) applies to pieces weighing more than 0.2057 pound 
(3.2906 ounces) at Enhanced Carrier Route rates, weighing more than 
0.2062 pound (3.2985 ounces) at Regular Presorted and automation rates; 
weighing more than 0.2057 pound (3.2914 ounces) at Nonprofit Enhanced 
Carrier Route rates; and weighing more than 0.2055 pound (3.2873 
ounces) at Nonprofit Presorted and automation rates.
* * * * *
8.0  COMPUTING POSTAGE--STANDARD MAIL (A)
[Remove 8.1 and redesignate current 8.2 through 8.5 as 8.1 through 8.4, 
respectively; no other changes.]
* * * * *

P014  Refunds and Exchanges

* * * * *
2.0  POSTAGE AND FEES REFUNDS
* * * * *

2.3  Torn or Defaced Mail

[Amend 2.3 by removing ``Single-Piece Standard Mail'' as follows:]
    If First-Class Mail or Standard Mail (B) is torn or defaced during 
USPS handling so that the addressee or intended delivery point cannot 
be identified, the sender may receive a postage refund. This applies 
only when the failure to process and/or deliver is the fault of the 
USPS. Where possible, the damaged item is returned with the postage 
refund.

2.4  Full Refund

[Amend 2.4f to add delivery confirmation service as follows:]
    A full refund (100%) may be made when:
* * * * *
    f. Fees are paid for special handling, certified mail, or delivery 
confirmation, and the article fails to receive the special service for 
which the fee is paid.
* * * * *

P030  Postage Meters and Meter Stamps

* * * * *
5.0  MAILINGS
* * * * *

5.4  Place of Mailing

[Amend 5.4a by removing ``Standard Mail (A)'' to read as follows:]
    Except as noted below, metered mail must be deposited at a post 
office acceptance unit, retail unit, or other location designated by 
the postmaster of the licensing post office (i.e., the post office 
shown in the meter stamp) and may not be given to a delivery employee 
or deposited in a street collection box, mailchute, receiving box, 
cooperative mailing rack, or other mail collection receptacle. 
Exceptions to this general standard are:
    a. Express Mail, Priority Mail (in a weight category for which 
rates do not vary by zone), or single-piece rate First-Class Mail, may 
be deposited in any street collection box or such other place where 
mail is accepted and that is served by the licensing post office.
* * * * *

P600  Standard Mail

1.0  BASIC INFORMATION

1.1  Payment Method

[Amend 1.1 to read as follows:]
    a. Standard Mail (A). The mailer is responsible for proper postage 
payment. Postage for Standard Mail (A) must be paid with meters, permit 
imprints, or precanceled stamps. Postage-affixed pieces must bear the 
correct postage unless excepted by standard. A permit imprint may be 
used for mailings that contain nonidentical-weight pieces only if 
authorized by the RCSC serving the mailing office.
    b. Standard Mail (B). The mailer is responsible for proper postage 
payment. Subject to the corresponding standards, postage for single-
piece rate Standard Mail (B) may be paid by any method. Postage for 
bulk rate (rate has minimum mailing volume requirement) or presort rate 
Standard Mail (B) must be paid with meters or permit imprints. Postage-
affixed pieces must bear the correct postage unless excepted by 
standard. A permit imprint may be used for mailings that contain 
nonidentical-weight pieces only under P710, P720, or P730. Permit 
imprints may be used for identical weight pieces provided that the mail 
can be separated 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 barcode discount). 
Alternatively, identical weight permit imprint mail may be mailed under 
P710, P720, or P730.
* * * * *
[Delete 1.3.]

[Revise title of 2.0 and clarify the language in 2.1 to read as 
follows:]
2.0  STANDARD MAIL (A)--PRESORTED AND ENHANCED CARRIER ROUTE

2.1  Identical-Weight Pieces

    Mailings of identical-weight pieces in a Presorted or Enhanced 
Carrier Route mailing may have postage affixed to each piece at the 
exact rate for which the piece qualifies, or each piece in the mailing 
may have postage affixed at the lowest rate applicable to pieces in the 
mailing or in the mailing job. Alternatively, a nondenominated 
precanceled stamp may be affixed to every piece in the mailing or 
mailing job, or each piece may bear a permit imprint. If exact postage 
is not affixed, all additional postage must be paid at the time of 
mailing with an advance deposit account or with a meter strip affixed 
to the required postage statement. If exact postage is not affixed, 
documentation meeting the standards in P012 must be submitted to 
substantiate the additional postage, unless the pieces are separated by 
rate when presented for acceptance.
* * * * *
[Revise the heading of 3.0 to read as follows:]
3.0  STANDARD MAIL (A)--AUTOMATION RATES
* * * * *

P710  Manifest Mailing System (MMS)

* * * * *
2.0  BASIC STANDARDS
* * * * *

2.2  Mailer System

* * * * *
[Insert new 2.2d to read as follows:]
    d. If mailings include oversize Parcel Post (pieces exceeding 108 
inches but not more than 130 inches in combined length and girth--see 
C600), a manifest

[[Page 12896]]

must show that the number of oversize parcels does not exceed 10% of 
all Parcel Post entered in a single mailing, or 10% of the Parcel Post 
included on an approved daily manifest of mailings that originates from 
a single location. In addition to other required information, a 
manifest must identify each oversize parcel, the total number of 
oversize parcels in the mailing, and the percentage of oversize 
parcels. If a daily manifest is prepared, it must include a listing of 
the total number of all pieces for each mailing, the number of oversize 
pieces for each mailing, and the percentage of oversize pieces 
calculated on the basis of the combined total of all Parcel Post 
shipped for the day.
* * * * *

P750  Plant-Verified Drop Shipment (PVDS)

* * * * *
2.0  PROGRAM PARTICIPATION
* * * * *

2.11  Mailer Transport of PVDS Mailings

[Revise 2.11 to provide for additional DSCF and DDU rate Parcel Post 
mailings as follows:]
    Using any means of transportation, including Express Mail or 
Priority Mail drop shipment, the mailer must transport PVDS mailings 
from the origin plant to the destination postal facility or facilities. 
The mailer must not transport PVDS mailings on the same vehicle with 
shipments not entered as PVDS. For Standard Mail PVDS, the mailer must 
meet the scheduling standards for mail deposit at destination entry 
postal facilities. If a vehicle contains mail paid at the Parcel Post 
destination entry rates, the applicable standards for scheduling of 
deposits and unloading of vehicles apply to any other mail on the same 
vehicle for the same destination facility. Any material classified as 
hazardous under C023 may not be carried in the same vehicle as PVDS 
mailings.

2.12  Separation of PVDS Mailings

[Renumber 2.12d and e as 2.12e and f, respectively. Add new 2.12d to 
provide for separation of Parcel Post at different destination entry 
rates in the same shipment as follows:]
    PVDS mailings must be kept separate:
* * * * *
    d. If more than one destination entry discount is claimed within a 
single Standard Mail (B) shipment for deposit at the same postal 
facility, the mail eligible for each destination discount must be 
physically separated.
* * * * *
5.0  POSTAGE
* * * * *

5.3  Standard Mail (B)

[Revise 5.3 to explain zone-based postage computation as follows:]
    Postage for Standard Mail (B) PVDS must be paid with meter stamps 
or with a permit imprint under the applicable authorization at the post 
office serving the mailer's location. Postage for DBMC mailings is 
computed from the BMC parent post office.
* * * * *

P760  First-Class or Standard Mail Mailings With Different Payment 
Methods

* * * * *
2.0  POSTAGE
* * * * *

2.2 Metered Pieces--Standard Mail (A)

[Revise the first sentence of 2.2 to change the term ``nonautomation'' 
to ``Presorted.'' Delete the last sentence.]
    Metered pieces in a combined mailing must bear postage at a 
Presorted or automation rate for which the pieces are eligible. 
Additional postage due for metered pieces in a combined mailing is 
deducted from the mailer's postage due advance deposit account.
* * * * *

2.4  Precanceled Pieces--Standard Mail (A)

[Amend 2.4 by deleting the last sentence.]
* * * * *
3.0  PRODUCING THE COMBINED MAILING
* * * * *

3.3  Rejected Pieces

[In 3.3a, change the phrase ``Standard Mail (A) 3/5 presort rate'' to 
``3/5 Presorted Standard Mail (A) rate as follows:'']
    Pieces rejected for any reason by the mailer's automated sorting 
system and pulled out of the combined mailing stream must be identified 
by the mailer, specifically accounted for in documentation, and:
    a. If postage-affixed, bear postage or have additional postage 
affixed to equal a rate no lower than the correct Presorted First-Class 
rate or 3/5 Presorted Standard Mail (A) rate for letters, as 
applicable.
* * * * *
[Revise the entire R module to read as follows:]

R  RATES AND FEES

R000  Stamps and Stationery

1.0  PLAIN STAMPED ENVELOPES
    Plain stamped envelopes are priced as follows:

----------------------------------------------------------------------------------------------------------------
                                                                                     Quantity and price         
                                                             Denomination --------------------------------------
                     Type                         Size \1\     or value     Each (less                          
                                                                            than 500)       500         1,000   
----------------------------------------------------------------------------------------------------------------
Basic \2\.....................................       6\3/4\         $0.33        $0.40      $173.50      $347.00
                                                         10          0.33         0.40       176.50       353.00
Hologram......................................       6\3/4\                                                     
                                                         10          0.33         0.41       180.50       361.00
Bulk Rate Regular.............................       6\3/4\          0.10                     58.50       117.00
                                                         10          0.10                     61.50       123.00
Nonprofit Regular & Window....................       6\3/4\          0.05                     33.50        67.00
                                                         10          0.05                     36.50        73.00
----------------------------------------------------------------------------------------------------------------
\1\ Size 10 includes all intermediate sizes through 10.                                                         
\2\ Basic includes all types of envelopes other than those specifically listed.                                 

2.0  PERSONALIZED STAMPED ENVELOPES

[[Page 12897]]



----------------------------------------------------------------------------------------------------------------
                                                                                     Quantity and price         
                     Type                         Size \1\   Denomination --------------------------------------
                                                               or value         50          500         1,000   
----------------------------------------------------------------------------------------------------------------
Basic \2\.....................................       6\3/4\         $0.33        19.50       179.00       358.00
                                                         10          0.33        19.75       180.00       360.00
Hologram......................................       6\3/4\                                                     
                                                         10          0.33        20.00       184.00       368.00
Bulk Rate Regular.............................       6\3/4\          0.10                     64.00       128.00
                                                         10          0.10                     65.00       130.00
Nonprofit Regular & Window....................       6\3/4\          0.05                     39.00        78.00
                                                         10          0.05                     40.00        80.00
----------------------------------------------------------------------------------------------------------------
\1\ Size 10 includes all intermediate sizes through 10.                                                         
\2\ Basic includes all types of envelopes other than those specifically listed.                                 

3.0  STAMPED CARDS
    Stamped cards are priced as follows:

------------------------------------------------------------------------
          Configuration              Postage        Fee      Total price
------------------------------------------------------------------------
Cut single card..................        $0.21        $0.02        $0.23
Sheet of 40 cards................         8.40         0.80         9.20
Double reply-paid card...........         0.42         0.04         0.46
------------------------------------------------------------------------

4.0  POSTAGE STAMPS
    Postage stamps are available in the following denominations:

------------------------------------------------------------------------
          Purposes                    Form              Denomination    
------------------------------------------------------------------------
Regular Postage.............  Panes of up to 100..  $0.01, .02, .03,    
                                                     .04, .05, .10, .15,
                                                     .20, .21, .23, .25,
                                                     .28, .29, .30, .32,
                                                     .33, .40, .45, .46,
                                                     .50, .52, .56, .60,
                                                     .75, .79, $1, $2,  
                                                     $3.20, $5, $11.25. 
                              Booklets............  $0.21 ($2.10        
                                                     booklet).          
                                                    $0.33 ($3.30, 4.95, 
                                                     and $6.60          
                                                     booklets).         
                              Coils of 100........  $0.21, .23          
                                                     (additional ounce  
                                                     postage), .33.     
                              Coils of 500........  $0.01, .02, .03,    
                                                     .04, .05, .10, .21,
                                                     .23, .33, $1.      
                              Coils of 3,000......  $0.01, .02, .03,    
                                                     .04, .05, .10, .21,
                                                     .23, .33.          
                              Coils of 10,000.....  $0.05, .33.         
Precanceled Presort Rate      Coils of 500, 3,000,  Various             
 Postage--First-Class Mail     and 10,000.           nondenominated     
 and Standard Mail (A).                              (available only to 
                                                     permit holders).   
Commemorative...............  Panes of up to 50...  $0.33 and other     
                                                     denominations.     
                              20-Stamp Booklets...  $0.33 ($6.60        
                                                     booklets).         
------------------------------------------------------------------------

R100  First-Class Mail

1.0  NONAUTOMATION--SINGLE PIECES WEIGHING 11 OZ OR LESS

1.1  Cards

    Single and double stamped cards and postcards meeting the standards 
in C100 and E110:

------------------------------------------------------------------------
             Type                                 Rate                  
------------------------------------------------------------------------
Single.......................  $0.210.                                  
Double.......................  $0.420 ($0.210 each part).               
------------------------------------------------------------------------

1.2  Letters, Flats, and Parcels

    Letters, flats, and parcels (i.e., matter not eligible for card 
rates); surcharge might apply under 9.0:

------------------------------------------------------------------------
                      Weight Increment                           Rate   
------------------------------------------------------------------------
First ounce or fraction of an ounce........................      $0.330.
Each additional ounce or fraction of an ounce..............       0.230.
------------------------------------------------------------------------

2.0 AUTOMATION--SINGLE PIECES OF PRM AND QBRM

2.1  Cards

    Single and double stamped cards and postcards meeting the standards 
in C100, C810, C840, E110, and S922 (QBRM) or S925 (PRM):

----------------------------------------------------------------------------------------------------------------
                            Type                                                   Rate \1\                     
----------------------------------------------------------------------------------------------------------------
Prepaid Reply Mail (PRM): and Qualified Reply Mail (PRM):                                                       

[[Page 12898]]

                                                                                                                
    Single.................................................  $0.18.                                             
    Double.................................................  $0.36. ($0.18 each part).                          
----------------------------------------------------------------------------------------------------------------
\1\ QBRM is also subject to fees in S922 and R900. PRM is also subject to fees in S925 and R900.                

2.2  Letters

    Letter-size mail other than card rate meeting the standards in 
C810, C840, and S922 (QBRM) or S925 (PRM):

----------------------------------------------------------------------------------------------------------------
                            Type                                                   Rate \1\                     
----------------------------------------------------------------------------------------------------------------
Prepaid Reply Mail (PRM): and Qualified Reply Mail (PRM):                                                       
    Single.................................................  $0.18.                                             
    Double.................................................  $0.36 ($0.18 each part).                           
----------------------------------------------------------------------------------------------------------------
\1\ QBRM is also subject to fees in S922 and R900. PRM is also subject to fees in S925 and R900.                

3.0  NONAUTOMATION--PRESORTED

3.1  Cards

    Single and double postcards meeting the standards in C100 and E110: 
$0.190 each.

3.2  Letters, Flats, and Parcels

    Letters, flats, and parcels (i.e., matter not eligible for card 
rates); surcharge might apply under 9.0:

------------------------------------------------------------------------
                      Weight increment                           Rate   
------------------------------------------------------------------------
First ounce or fraction of an ounce........................      $0.310.
    Each additional ounce or fraction of an ounce..........       0.230.
------------------------------------------------------------------------

4.0  AUTOMATION--BASIC

4.1  Cards

    Single and double postcards meeting the standards in C100 and E110: 
$0.176 each.

4.2  Letters

    Letter-size pieces other than cards:

------------------------------------------------------------------------
                      Weight increment                           Rate   
------------------------------------------------------------------------
First ounce or fraction of an ounce........................      $0.275.
Each additional ounce or fraction of an ounce..............       0.230.
------------------------------------------------------------------------

4.3  Flats

    Flat-size pieces; surcharge might apply under 9.0:

------------------------------------------------------------------------
                      Weight increment                           Rate   
------------------------------------------------------------------------
First ounce or fraction of an ounce........................      $0.300.
Each additional ounce or fraction of an ounce..............       0.230.
------------------------------------------------------------------------

5.0  AUTOMATION--3-DIGIT

5.1  Cards

    Single and double postcards meeting the standards in C100 and E110: 
$0.170 each.

5.2  Letters

    Letter-size pieces other than cards:

------------------------------------------------------------------------
                      Weight increment                           Rate   
------------------------------------------------------------------------
First ounce or fraction of an ounce........................      $0.265.
Each additional ounce or fraction of an ounce..............       0.230.
------------------------------------------------------------------------

6.0  AUTOMATION--5-DIGIT

6.1  Cards

    Single and double postcards meeting the standards in C100 and E110: 
$0.159 each.

6.2  Letters

    Letter-size pieces other than cards:

[[Page 12899]]



------------------------------------------------------------------------
                      Weight increment                           Rate   
------------------------------------------------------------------------
First ounce or fraction of an ounce........................      $0.249.
Each additional ounce or fraction of an ounce..............       0.230.
------------------------------------------------------------------------

7.0  AUTOMATION--3/5 (FLAT-SIZE PIECES)

           Flat-size pieces; surcharge might apply under 9.0:           
------------------------------------------------------------------------
                      Weight increment                           Rate   
------------------------------------------------------------------------
First ounce or fraction of an ounce........................      $0.280.
Each additional ounce or fraction of an ounce..............       0.230.
------------------------------------------------------------------------

8.0  AUTOMATION--CARRIER ROUTE

8.1  Cards

    Single and double postcards meeting the standards in C100 and E110: 
$0.156 each.

8.2  Letters

    Letter-size pieces other than cards:

------------------------------------------------------------------------
                      Weight increment                           Rate   
------------------------------------------------------------------------
First ounce or fraction of an ounce........................       $0.246
Each additional ounce or fraction of an ounce..............        0.230
------------------------------------------------------------------------


                                                              Summary of First-Class Rates                                                              
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                        Nonautomation                                        Automation                                 
                                                 -------------------------------------------------------------------------------------------------------
   Letters, flats, and parcels weight not over                                                  Letter-Size                             Flat-Size       
                   (ounces)\1\                      Single-                -----------------------------------------------------------------------------
                                                     piece      Presorted                                            Carrier                            
                                                                               Basic       3-Digit      5-Digit       route        Basic         3/5    
--------------------------------------------------------------------------------------------------------------------------------------------------------
 1..............................................   \2\ $0.330   \2\ $0.310       $0.275       $0.265       $0.249       $0.246   \2\ $0.300   \2\ $0.280
 2..............................................        0.560        0.540        0.505        0.495        0.479        0.476        0.530        0.510
 3..............................................        0.790        0.770        0.735        0.725        0.709        0.706        0.760        0.740
 4..............................................        1.020        1.000    \3\ 0.965    \3\ 0.955    \3\ 0.939    \3\ 0.936        0.990        0.970
 5..............................................        1.250        1.230  ...........  ...........  ...........  ...........        1.220        1.200
 6..............................................        1.480        1.460  ...........  ...........  ...........  ...........        1.450        1.430
 7..............................................        1.710        1.690  ...........  ...........  ...........  ...........        1.680        1.660
 8..............................................        1.940        1.920  ...........  ...........  ...........  ...........        1.910        1.890
 9..............................................        2.170        2.150  ...........  ...........  ...........  ...........        2.140        2.120
 10.............................................        2.400        2.380  ...........  ...........  ...........  ...........        2.370        2.350
 11.............................................        2.630        2.610  ...........  ...........  ...........  ...........        2.600        2.580
Postcards and Stamped Cards \4\:                                                                                                                        
    Single......................................        0.210         0.19        0.176        0.170        0.159        0.156  ...........  ...........
    Double......................................        0.420  ...........  ...........  ...........  ...........  ...........  ...........  ...........
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.                                                
\2\ Nonstandard surcharge might apply, single piece $0.16; presort $0.11.                                                                               
\3\ Weight not to exceed 3.2985 ounces; pieces over 3 ounces subject to additional standards.                                                           
\4\ Rates shown apply to each single or double postcard when originally mailed; reply half of double postcard must bear postage at applicable rate when 
  returned unless prepared as business reply mail.                                                                                                      

9.0  KEYS AND IDENTIFICATION DEVICES

------------------------------------------------------------------------
                           Weight                              Rate \1\ 
------------------------------------------------------------------------
Not over 1 oz.\2\..........................................        $0.63
Over 1 oz., but not over 2 oz..............................         0.86
Over 2 oz., but not over 3 oz..............................         1.09
Over 3 oz., but not over 4 oz..............................         1.32
Over 4 oz., but not over 5 oz..............................         1.55
Over 5 oz., but not over 6 oz..............................         1.78
Over 6 oz., but not over 7 oz..............................         2.01
Over 7 oz., but not over 8 oz..............................         2.24
Over 8 oz., but not over 9 oz..............................         2.47
Over 9 oz., but not over 10 oz.............................         2.70
Over 10 oz., but not over 11 oz............................         2.93
Over 11 oz., but not over 2 pounds.........................         3.50
------------------------------------------------------------------------
\1\ Includes $0.30 fee.                                                 

[[Page 12900]]

                                                                        
\2\ Nonstandard surcharge might apply.                                  

10.0  PRIORITY MAIL\1\ \2\ \3\

----------------------------------------------------------------------------------------------------------------
                                                                      Zone\2\2                                  
                                   -----------------------------------------------------------------------------
    Weight not over (pounds)\1\      L, 1, 2, &                                                                 
                                         3            4            5            6            7            8     
----------------------------------------------------------------------------------------------------------------
 2 \3\............................        $3.20        $3.20        $3.20        $3.20        $3.20        $3.20
 3................................         4.40         4.40         4.40         4.40         4.40         4.40
 4................................         5.50         5.50         5.50         5.50         5.50         5.50
 5................................         6.60         6.60         6.60         6.60         6.60         6.60
 6................................         6.75         6.90         7.75         7.80         8.25         8.75
 7................................         7.05         7.60         8.60         9.10         9.85        11.15
 8................................         7.35         8.30         9.45        10.05        10.85        12.40
 9................................         7.65         9.00        10.25        11.00        11.90        13.65
10................................         8.10         9.75        11.10        11.90        12.80        14.85
11................................         8.55        10.45        11.90        12.85        13.85        16.10
12................................         9.00        11.15        12.75        13.80        14.85        17.35
13................................         9.45        11.85        13.60        14.70        15.90        18.60
14................................         9.90        12.60        14.40        15.65        16.90        19.85
15................................        10.35        13.30        15.25        16.60        17.95        21.05
16................................        10.80        14.00        15.50        17.50        18.95        22.30
17................................        11.25        14.75        16.30        18.45        20.00        23.55
18................................        11.70        15.45        17.10        19.40        21.00        24.80
19................................        12.15        16.15        17.90        20.30        22.05        26.05
20................................        12.55        16.85        18.70        21.25        23.05        27.25
21................................        12.95        17.60        18.75        22.20        24.10        28.50
22................................        13.35        18.30        19.50        23.10        25.10        29.75
23................................        13.75        19.00        20.25        24.05        26.15        31.00
24................................        14.15        19.75        21.05        25.00        27.15        32.25
25................................        14.55        20.45        21.80        25.90        28.20        33.45
26................................        14.95        21.15        22.55        26.85        29.20        34.70
27................................        15.35        21.85        23.35        27.80        30.25        35.95
28................................        15.75        22.60        24.10        28.70        31.25        37.20
29................................        16.15        23.30        24.90        29.65        32.30        38.45
30................................        16.40        24.00        25.65        30.60        33.30        39.65
31................................        16.85        24.75        26.40        31.55        34.35        40.90
32................................        17.30        25.45        27.20        32.45        35.35        42.15
33................................        17.75        26.15        27.95        33.40        36.40        43.40
34................................        18.25        26.85        28.70        34.35        37.40        44.65
35................................        18.70        27.60        29.50        35.25        38.40        45.85
36................................        19.15        28.30        30.25        36.20        39.45        47.10
37................................        19.60        29.00        31.05        37.15        40.45        48.35
38................................        20.05        29.75        31.80        38.05        41.50        49.60
39................................        20.55        30.45        32.55        39.00        42.50        50.85
40................................        21.00        31.15        33.35        39.95        43.55        52.10
41................................        21.45        31.85        34.10        40.85        44.55        53.30
42................................        21.90        32.60        34.85        41.80        45.60        54.55
43................................        22.35        33.30        35.65        42.75        46.60        55.80
44................................        22.85        34.00        36.40        43.65        47.65        57.05
45................................        23.30        34.75        37.20        44.60        48.65        58.30
46................................        23.75        35.45        37.95        45.55        49.70        59.50
47................................        24.20        36.15        38.70        46.45        50.70        60.75
48................................        24.65        36.85        39.50        47.40        51.75        62.00
49................................        25.15        37.60        40.25        48.35        52.75        63.25
50................................        25.60        38.30        41.00        49.25        53.80        64.50
51................................        26.05        39.00        41.80        50.20        54.80        65.70
52................................        26.50        39.75        42.55        51.15        55.85        66.95
53................................        26.95        40.45        43.35        52.05        56.85        68.20
54................................        27.45        41.15        44.10        53.00        57.90        69.45
55................................        27.90        41.85        44.85        53.95        58.90        70.70
56................................        28.35        42.60        45.65        54.85        59.95        71.90
57................................        28.80        43.30        46.40        55.80        60.95        73.15
58................................        29.25        44.00        47.15        56.75        62.00        74.40
59................................        29.75        44.75        47.95        57.65        63.00        75.65
60................................        30.20        45.45        48.70        58.60        64.05        76.90
61................................        30.65        46.15        49.50        59.55        65.05        78.10
62................................        31.10        46.85        50.25        60.45        66.10        79.35
63................................        31.55        47.60        51.00        61.40        67.10        80.60
64................................        32.05        48.30        51.80        62.35        68.15        81.85
65................................        32.50        49.00        52.55        63.25        69.15        83.10
66................................        32.95        49.75        53.30        64.20        70.20        84.30
67................................        33.40        50.45        54.10        65.15        71.20        85.55
68................................        33.85        51.15        54.85        66.05        72.25        86.80
69................................        34.35        51.85        55.65        67.00        73.25        88.05

[[Page 12901]]

                                                                                                                
70................................        34.80        52.60        56.40        67.95        74.30        89.30
----------------------------------------------------------------------------------------------------------------
\1\ Parcels weighing less than 15 pounds, but measuring over 84 inches in combined length and girth are         
  chargeable with a minimum rate equal to that for a 15-pound parcel for the zone to which addressed.           
\2\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.        
\3\ The 2-pound rate is charged for matter sent in a flat rate envelope provided by the Postal Service,         
  regardless of the actual weight of the piece.                                                                 

11.0  SURCHARGES

11.1  Nonstandard Surcharge

    Surcharge per piece:
    a. Single-piece rate: $0.16.
    b. Presorted and automation (flat-size) rate: $0.11.

11.2  Hazardous Material Surcharges

    Surcharge per piece:
    a. Hazardous Medical Material: $0.50.
    b. Other Hazardous Material: $1.00.
12.0  FEES

12.1  Mailing

    Presort fee, per 12-month period, per office of mailing: $100.00.

12.2  Address Correction Service

    Charge per notice issued:
    a. Manual: $0.50.
    b. Automated: $0.20.

12.3  Pickup

    Priority Mail only, per occurrence: $8.25.

R200  Periodicals

1.0  REGULAR

1.1  Pound Rates

    Per pound or fraction:
    a. For the nonadvertising portion: $0.174.
    b. For the advertising portion:

------------------------------------------------------------------------
                             Zone                                 Rate  
------------------------------------------------------------------------
Delivery Unit................................................     $0.158
SCF..........................................................      0.180
1 & 2........................................................      0.203
3............................................................      0.216
4............................................................      0.251
5............................................................      0.305
6............................................................      0.361
7............................................................      0.416
8............................................................      0.474
------------------------------------------------------------------------

1.2  Piece Rate

    Per addressed piece:

----------------------------------------------------------------------------------------------------------------
                                                                                          Automation \1\        
                          Presort level                            Nonautomation -------------------------------
                                                                                    Letter-size      Flat-size  
----------------------------------------------------------------------------------------------------------------
Basic...........................................................          $0.263          $0.182          $0.221
3-Digit.........................................................           0.217           0.166           0.188
5-Digit.........................................................           0.214           0.162           0.186
Carrier Route...................................................           0.128  ..............  ..............
High Density....................................................           0.116  ..............  ..............
Saturation......................................................           0.102  ..............  ..............
----------------------------------------------------------------------------------------------------------------
\1\ Lower maximum weight limits apply: letter-size at 3 ounces (or 3.2985 ounces for heavy letters); flat-size  
  at 16 ounces.                                                                                                 

1.3  Discounts

    Piece rate discounts:
    a. Nonadvertising adjustment for each 1% of nonadvertising content: 
$0.00059 per piece.
    b. Delivery unit zone piece discount for each addressed piece 
claimed in the pound rate portion at the delivery unit zone rate: 
$0.023.
    c. SCF zone piece discount for each addressed piece claimed in the 
pound rate portion at the SCF zone rate: $0.012.
2.0  PREFERRED--IN-COUNTY

2.1  Pound Rates

    Per pound or fraction:

------------------------------------------------------------------------
                             Zone                                 Rate  
------------------------------------------------------------------------
Delivery Unit................................................     $0.117
All Others...................................................      0.130
------------------------------------------------------------------------

2.2  Piece Rates

    Per addressed piece:

------------------------------------------------------------------------
                                                         Automation \1\ 
                                                       -----------------
             Presort level               Nonautomation  Letter-   Flat- 
                                                          size     size 
------------------------------------------------------------------------
Basic..................................      $0.090      $0.062   $0.077
3-Digit................................       0.079       0.060    0.066
5-Digit................................       0.076       0.058    0.062
Carrier Route..........................       0.044     .......  .......
High Density...........................       0.040     .......  .......
Saturation.............................       0.038     .......  .......
------------------------------------------------------------------------
\1\ Lower maximum weight limits apply: letter-size at 3 ounces (or      
  3.2985 ounces for heavy letters); flat-size at 16 ounces.             

2.3  Discount

    Delivery unit zone piece discount for each addressed piece claimed 
in the pound rate portion at the delivery unit zone rate: $0.004.
3.0  PREFERRED--NONPROFIT

3.1  Pound Rates

    Per pound or fraction:
    a. For the nonadvertising portion: $0.153.
    b. For the advertising portion:

------------------------------------------------------------------------
                             Zone                                 Rate  
------------------------------------------------------------------------
Delivery Unit................................................     $0.158
SCF..........................................................      0.180
1 & 2........................................................      0.203
3............................................................      0.216
4............................................................      0.251
5............................................................      0.305
6............................................................      0.361
7............................................................      0.416
8............................................................      0.474
------------------------------------------------------------------------


[[Page 12902]]

3.2  Piece Rates

    Per addressed piece:

----------------------------------------------------------------------------------------------------------------
                                                                                            Automation          
                          Presort level                            Nonautomation -------------------------------
                                                                                    Letter-size      Flat-size  
----------------------------------------------------------------------------------------------------------------
Basic...........................................................          $0.243          $0.164          $0.206
3-Digit.........................................................           0.184           0.155           0.158
5-Digit.........................................................           0.182           0.150           0.154
Carrier Route...................................................           0.112  ..............  ..............
High Density....................................................           0.092  ..............  ..............
Saturation......................................................           0.079  ..............  ..............
----------------------------------------------------------------------------------------------------------------
\1\ Lower maximum weight limits apply: letter-size at 3 ounces (or 3.2985 ounces for heavy letters); flat-size  
  at 16 ounces.                                                                                                 

3.3  Discounts

    Piece rate discounts:
    a. Nonadvertising adjustment for each 1% of nonadvertising content: 
$0.00044 per piece.
    b. Delivery unit zone piece discount for each addressed piece 
claimed in the pound rate portion at the delivery unit zone rate: 
$0.012.
    c. SCF zone piece discount for each addressed piece claimed in the 
pound rate portion at the SCF zone rate: $0.006.
4.0  PREFERRED--CLASSROOM

4.1  Pound Rates

    Per pound or fraction:
    a. For the nonadvertising portion: $0.153.
    b. For the advertising portion:

------------------------------------------------------------------------
                             Zone                                 Rate  
------------------------------------------------------------------------
Delivery Unit................................................     $0.158
SCF..........................................................      0.180
1 & 2........................................................      0.203
3............................................................      0.216
4............................................................      0.251
5............................................................      0.305
6............................................................      0.361
7............................................................      0.416
8............................................................      0.474
------------------------------------------------------------------------

4.2  Piece Rates

    Per addressed piece:

----------------------------------------------------------------------------------------------------------------
                                                                                            Automation          
                          Presort level                            Nonautomation -------------------------------
                                                                                    Letter-size      Flat-size  
----------------------------------------------------------------------------------------------------------------
Basic...........................................................          $0.243          $0.164          $0.206
3-Digit.........................................................           0.184           0.155           0.158
5-Digit.........................................................           0.182           0.150           0.154
Carrier Route...................................................           0.112  ..............  ..............
High Density....................................................           0.092  ..............  ..............
Saturation......................................................           0.079  ..............  ..............
----------------------------------------------------------------------------------------------------------------
\1\ Lower maximum weight limits apply: letter-size at 3 ounces (or 3.2985 ounces for heavy letters); flat-size  
  at 16 ounces.                                                                                                 

4.3  Discounts

    Piece rate discounts:
    a. Nonadvertising adjustment for each 1% of nonadvertising content: 
$0.00044 per piece.
    1. Delivery unit zone piece discount for each addressed piece 
claimed in the pound rate portion at the delivery unit zone rate: 
$0.012.
    c. SCF zone piece discount for each addressed piece claimed in the 
pound rate portion at the SCF zone rate: $0.006.
5.0  PREFERRED-SCIENCE-OF-AGRICULTURE

5.1  Pound Rates

    Per pound or fraction
    a. For the nonadvertising portion: $0.174.
    b. For the advertising portion:

------------------------------------------------------------------------
                             Zone                                 Rate  
------------------------------------------------------------------------
Delivery Unit................................................     $0.119
SCF..........................................................      0.135
1 & 2........................................................      0.152
3............................................................      0.216
4............................................................      0.251
5............................................................      0.305
6............................................................      0.361
7............................................................      0.416
8............................................................      0.474
------------------------------------------------------------------------

5.2  Piece Rates

    Per addressed piece:

----------------------------------------------------------------------------------------------------------------
                                                                                            Automation          
                          Presort level                            Nonautomation -------------------------------
                                                                                    Letter-size      Flat-size  
----------------------------------------------------------------------------------------------------------------
Basic...........................................................          $0.263          $0.182          $0.221
3-Digit.........................................................           0.217           0.166           0.188
5-Digit.........................................................           0.214           0.162           0.186
Carrier Route...................................................           0.128  ..............  ..............

[[Page 12903]]

                                                                                                                
High Density....................................................           0.116                                
Saturation......................................................           0.102  ..............  ..............
----------------------------------------------------------------------------------------------------------------
\1\ Lower maximum weight limits apply: letter-size at 3 ounces (or 3.2985 ounces for heavy letters); flat-size  
  at 16 ounces.                                                                                                 

5.3  Discounts

    Piece rate discounts:
    a. Nonadvertising adjustment for each 1% of nonadvertising content: 
$0.00059 per piece.
    b. Delivery unit zone piece discount for each addressed piece 
claimed in the pound rate portion at the delivery unit zone rate: 
$0.023.
    c. SCF zone piece discount for each addressed piece claimed in the 
pound rate portion at the SCF zone rate: $0.012.
6.0  FEES

6.1  Application

    Fees as appropriate, per application:
    a. Original entry: $305.00.
    b. News agent registry: $50.00.
    c. Additional entry: $50.00.
    d. Reentry: $50.00.

6.2  Address Correction Service

    Charge per notice issued:
    a. Manual: $0.50.
    b. Automated: $0.20.
[Revise R500 to read as follows:]

R500  Express Mail

1.0  EXPRESS MAIL--ALL SERVICE LEVELS\1\, \2\

----------------------------------------------------------------------------------------------------------------
                                                                              Service                           
                                                 ---------------------------------------------------------------
                                                                                                     Net day &  
            Weight not over (pounds)                 Same day         Custom        Next day &     seond day PO 
                                                    airport\1\      designed\1\    second day PO        to      
                                                                                     to PO\1\      addressee\1\ 
----------------------------------------------------------------------------------------------------------------
 \1/2\..........................................           $9.25           $9.50          $10.50          $11.25
 2 \2\..........................................           11.25           13.75           12.25           14.95
 3..............................................           12.25           15.50           14.00           18.00
 4..............................................           13.25           17.35           15.75           20.25
 5..............................................           14.25           19.75           17.75           22.00
 6..............................................           15.50           22.75           21.00           24.75
 7..............................................           16.50           24.25           22.50           27.00
 8..............................................           17.75           25.75           23.50           27.75
 9..............................................           19.00           27.25           24.50           28.50
10..............................................           20.25           28.75           25.75           30.00
11..............................................           21.50           29.50           26.75           30.75
12..............................................           22.75           30.25           27.75           31.50
13..............................................           24.00           31.00           29.00           32.25
14..............................................           25.25           31.75           31.00           33.50
15..............................................           26.50           32.50           32.00           34.25
16..............................................           27.75           34.00           33.10           35.50
17..............................................           29.00           34.50           34.55           37.00
18..............................................           30.25           36.00           36.00           38.50
19..............................................           31.50           37.50           37.45           40.00
20..............................................           32.75           38.50           38.25           40.75
21..............................................           34.00           40.50           40.00           42.00
22..............................................           35.25           41.00           41.00           43.00
23..............................................           36.50           43.00           42.00           44.25
24..............................................           37.75           44.00           43.00           45.70
25..............................................           39.00           45.00           44.00           47.20
26..............................................           40.25           46.50           45.20           48.65
27..............................................           41.50           47.50           46.65           50.10
28..............................................           42.75           48.50           48.10           51.55
29..............................................           44.00           50.00           49.55           53.00
30..............................................           45.25           50.80           51.00           54.50
31..............................................           46.50           52.25           52.50           55.95
32..............................................           47.60           53.70           53.95           57.40
33..............................................           48.70           55.15           55.40           58.85
34..............................................           49.80           56.65           56.85           60.30
35..............................................           50.90           58.10           58.30           61.75
36..............................................           52.00           59.55           59.80           63.25
37..............................................           53.10           61.00           61.25           64.70
38..............................................           54.20           62.45           62.70           66.15
39..............................................           55.30           63.95           64.15           67.60
40..............................................           56.40           65.40           65.60           67.70
41..............................................           57.50           66.85           66.50           69.15
42..............................................           58.60           68.30           67.20           70.60
43..............................................           59.70           69.75           68.60           72.00
44..............................................           60.80           71.20           70.05           73.45
45..............................................           61.90           72.70           71.45           74.85
46..............................................           63.00           74.15           72.90           76.25

[[Page 12904]]

                                                                                                                
47..............................................           64.10           75.60           73.50           76.55
48..............................................           65.15           77.05           74.60           77.95
49..............................................           66.15           78.50           76.00           79.35
50..............................................           67.15           79.95           77.40           80.75
51..............................................           68.15           80.25           78.80           82.15
52..............................................           69.15           81.70           80.20           83.55
53..............................................           70.15           83.10           81.65           85.00
54..............................................           71.15           84.55           83.05           86.40
55..............................................           72.15           85.95           84.45           87.80
56..............................................           73.15           87.45           85.85           89.20
57..............................................           74.15           88.85           87.25           90.60
58..............................................           75.15           90.30           88.65           92.05
59..............................................           76.15           91.75           90.10           93.45
60..............................................           77.15           93.15           91.50           94.85
61..............................................           78.15           94.60           92.90           96.25
62..............................................           79.15           96.05           94.30           97.65
63..............................................           80.15           97.50           95.70           99.05
64..............................................           81.15           98.90           97.15          100.50
65..............................................           82.15          100.35           98.55          101.90
66..............................................           83.15          101.80           99.95          103.30
67..............................................           84.15          103.20          101.35          104.70
68..............................................           85.15          104.70          102.75          106.10
69..............................................           86.15          106.10          104.15          107.50
70..............................................           87.15          107.55          105.60          108.95
----------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.        
\2\ The applicable 2-pound rate is charged for matter sent in a flat rate envelope provided by the Postal       
  Service, regardless of the actual weight of the piece.                                                        

2.0  FEES

2.1  Address Correction Service

    Charge per notice issued:
    a. Manual: $0.50.
    b. Automated: $0.20.

2.2  Pickup

    Per occurrence: $8.25.

2.3  Delivery Stops

    Custom Designed Service only, each: $8.25.
3.0  HAZARDOUS MATERIAL SURCHARGES
    a. Hazardous Medical Material: $0.50 per piece.
    b. Hazardous Other Material: $1.00 per piece.

R600  Standard Mail

1.0  REGULAR STANDARD MAIL (A)

1.1  Letter-Size Minimum Per-Piece Rates \1\

    Pieces 0.2062 pound (3.2985 ounces) or less:

----------------------------------------------------------------------------------------------------------------
                                           Nonautomation                          Automation \2\                
         Entry discount          -------------------------------------------------------------------------------
                                       Basic            3/5            Basic          3-Digit         5-Digit   
----------------------------------------------------------------------------------------------------------------
None............................          $0.247          $0.209          $0.189          $0.178          $0.160
DBMC............................           0.232           0.194           0.174           0.163           0.145
DSCF............................           0.229           0.191           0.171           0.160           0.142
DDU.............................  ..............  ..............  ..............  ..............  ..............
----------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.        
\2\ Pieces weighing over 3 ounces subject to additional standards.                                              

1.2  Nonletter-Size Minimum Per-Piece Rates \1\

    Pieces 0.2062 pound (3.2985 ounces) or less:

----------------------------------------------------------------------------------------------------------------
                                                         Nonautomation \2\                Automation \3\        
                 Entry discount                  ---------------------------------------------------------------
                                                       Basic            3/5            Basic            3/5     
----------------------------------------------------------------------------------------------------------------
None............................................          $0.300          $0.240          $0.243          $0.207
DBMC............................................           0.285           0.225           0.228           0.192
DSCF............................................           0.282           0.222           0.225           0.189
DDU.............................................  ..............  ..............  ..............  ..............
----------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.        
\2\ Add $0.10 per piece for items that are prepared as a parcel or are not flat-size.                           

[[Page 12905]]

                                                                                                                
\3\ Available only for automation-compatible flats.                                                             

1.3  Piece-Pound Rates \1\

    Pieces more than 0.2062 pound (3.2985 ounces):

----------------------------------------------------------------------------------------------------------------
                                                         Nonautomation \3\                Automation \4\        
              Piece/pound rate \2\               ---------------------------------------------------------------
                                                       Basic            3/5            Basic            3/5     
----------------------------------------------------------------------------------------------------------------
Per Piece Per Pound.............................          $0.166          $0.106          $0.109          $0.073
(includes entry discount if applicable).........            PLUS            PLUS            PLUS            PLUS
None............................................           0.650           0.650           0.650           0.650
DBMC............................................           0.578           0.578           0.578           0.578
DSCF............................................           0.562           0.562           0.562           0.562
DDU.............................................  ..............  ..............  ..............  ..............
----------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.        
\2\ Each piece is subject to both a piece rate and a pound rate. F\3\ Add $0.10 per piece for items that are    
  prepared as a parcel or are neither letter-size nor flat-size.                                                
\4\ Available only for automation-compatible flats.                                                             

2.0  ENHANCED CARRIER ROUTE STANDARD MAIL (A)

2.1  Letter-Size Minimum Per-Piece Rates \1\

    Pieces 0.2057 pound (3.2906 ounces) or less:

----------------------------------------------------------------------------------------------------------------
                                                                   Nonautomation                  Automation \2\
                 Entry discount                  ---------------------------------------------------------------
                                                       Basic       High density     Saturation         Basic    
----------------------------------------------------------------------------------------------------------------
None............................................          $0.164          $0.143          $0.134          $0.157
DBMC............................................           0.149           0.128           0.119           0.142
DSCF............................................           0.146           0.125           0.116           0.139
DDU.............................................           0.141           0.120           0.111          0.134 
----------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.        
\2\ Pieces weighing over 3 ounces subject to additional standards.                                              

2.2  Nonletter-Size Minimum Per-Piece Rates \1\\2\

    Pieces 0.2057 pound (3.2906 ounces) or less:

----------------------------------------------------------------------------------------------------------------
                         Entry discount                                Basic       High density     Saturation  
----------------------------------------------------------------------------------------------------------------
None............................................................          $0.164          $0.153          $0.141
DBMC............................................................           0.149           0.138           0.126
DSCF............................................................           0.146           0.135           0.123
DDU.............................................................           0.141           0.130          0.118 
----------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.        
\2\ Add $0.10 per piece for items that are prepared as a parcel or are not flat-size.                           

2.3  Piece/Pound Rates 1, 2

    Pieces more than 0.2057 pound (3.2906 ounces):

----------------------------------------------------------------------------------------------------------------
                      Piece/pound rates \3\                            Basic       High density     Saturation  
----------------------------------------------------------------------------------------------------------------
Per piece.......................................................          $0.055          $0.044          $0.032
Per pound (includes entry discount if applicable)...............            PLUS            PLUS            PLUS
None............................................................           0.530           0.530           0.530
DBMC............................................................           0.458           0.458           0.458
DSCF............................................................           0.442           0.442           0.442
DDU.............................................................           0.420           0.420          0.420 
----------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.        
\2\ Add $0.10 per piece for items that are prepared as a parcel or are neither letter-size nor flat-size.       
\3\ Each piece is subject to both a piece rate and a pound rate.                                                

3.0  NONPROFIT STANDARD MAIL (A)

3.1  Letter-Size Minimum Per-Piece Rates \1\

    Pieces 0.2055 pound (3.2873 ounces) or less:

----------------------------------------------------------------------------------------------------------------
                                           Nonautomation                          Automation \2\                
         Entry discount          -------------------------------------------------------------------------------
                                       Basic            3/5            Basic          3-Digit         5-Digit   
----------------------------------------------------------------------------------------------------------------
None............................          $0.160          $0.138          $0.119          $0.107          $0.090
DBMC............................           0.145           0.123           0.104           0.092           0.075

[[Page 12906]]

                                                                                                                
DSCF............................           0.142           0.120           0.101           0.089           0.072
DDU.............................  ..............  ..............  ..............  ..............  ..............
----------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.        
\2\ Pieces weighing over 3 ounces subject to additional standards.                                              

3.2  Nonletter-Size Minimum Per-Piece Rates \1\

    Pieces 0.2055 pound (3.2873 ounces) or less:

----------------------------------------------------------------------------------------------------------------
                                                         Nonautomation \2\                Automation \3\        
                 Entry discount                  ---------------------------------------------------------------
                                                       Basic            3/5            Basic            3/5     
----------------------------------------------------------------------------------------------------------------
None............................................          $0.234          $0.171          $0.185          $0.150
DBMC............................................           0.219           0.156           0.170           0.135
DSCF............................................           0.216           0.153           0.167           0.132
DDU.............................................  ..............  ..............  ..............  ..............
----------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.        
\2\ Add $0.10 per piece for items that are prepared as a parcel or are not flat-size.                           
\3\ Available only for automation-compatible flats.                                                             

3.3  Piece/Pound Rates \1\

    Pieces more than 0.2055 pound (3.2873 ounces):

----------------------------------------------------------------------------------------------------------------
                                                         Nonautomation \3\                Automation \4\        
              Piece/pound rate \2\               ---------------------------------------------------------------
                                                       Basic            3/5            Basic            3/5     
----------------------------------------------------------------------------------------------------------------
Per Piece.......................................          $0.121          $0.058          $0.072          $0.037
Per Pound (includes entry discount if                                                                           
 applicable)....................................            PLUS            PLUS            PLUS            PLUS
None............................................          $0.550          $0.550          $0.550          $0.550
DBMC............................................           0.478           0.478           0.478           0.478
DSCF............................................           0.462           0.462           0.462           0.462
DDU.............................................  ..............  ..............  ..............  ..............
----------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.        
\2\ Each piece is subject to both a piece rate and a pound rate.                                                
\3\ Add $0.10 per piece for items that are prepared as a parcel or are neither letter-size nor flat-size.       
\4\ Available only for automation-compatible flats.                                                             

4.0  NONPROFIT ENHANCED CARRIER ROUTE STANDARD MAIL (A)

4.1  Letter-Size Minimum Per-Piece Rates \1\

    Pieces 0.2057 pound (3.2914 ounces) or less:

----------------------------------------------------------------------------------------------------------------
                                                           Nonautomation                  Automation \2\        
                 Entry discount                  ---------------------------------------------------------------
                                                       Basic       High density     Saturation         Basic    
----------------------------------------------------------------------------------------------------------------
None............................................          $0.096          $0.073          $0.067          $0.087
DBMC............................................           0.081           0.058           0.052           0.072
DSCF............................................           0.078           0.055           0.049           0.069
DDU.............................................           0.073           0.050           0.044          0.064 
----------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.        
\2\ Pieces weighing over 3 ounces subject to additional standards.                                              

4.2  Nonletter-Size Minimum Per-Piece Rates 1 2

    Pieces more than 0.2057 pound (3.2914 ounces):

----------------------------------------------------------------------------------------------------------------
                         Entry discount                                Basic       High density     Saturation  
----------------------------------------------------------------------------------------------------------------
None............................................................          $0.096          $0.086          $0.080
DBMC............................................................           0.081           0.071           0.065
DSCF............................................................           0.078           0.068           0.062
DDU.............................................................           0.073           0.063          0.057 
----------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.        
\2\ Add $0.10 per piece for items that are prepared as a parcel or are not flat-size.                           

4.3  Piece/Pound Rates 1 2

    Pieces more than 0.2057 pound (3.2914 ounces):

[[Page 12907]]



----------------------------------------------------------------------------------------------------------------
                      Piece/Pound rate \3\                             Basic       High density     Saturation  
----------------------------------------------------------------------------------------------------------------
Per Piece.......................................................          $0.024          $0.014          $0.008
Per Pound (includes entry discount if applicable)...............            PLUS            PLUS            PLUS
None............................................................           0.350           0.350           0.350
DBMC............................................................           0.278           0.278           0.278
DSCF............................................................           0.262           0.262           0.262
DDU.............................................................           0.240           0.240          0.240 
----------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.        
\2\ Add $0.10 per piece for items that are prepared as a parcel or are neither letter-size nor flat-size.       
\3\ Each piece is subject to both a piece rate and a pound rate.                                                

5.0  PARCEL POST STANDARD MAIL (B)

5.1  Inter-BMC/ASF Single-Piece Machinable Parcel Post 
1 2 3 4 5 6 

    Inter-BMC/ASF ZIP Codes only, no discount, no surcharge:

--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                          Zone                                          
                   Weight not over (pounds)                   ------------------------------------------------------------------------------------------
                                                                  1 & 2          3            4            5            6            7            8     
--------------------------------------------------------------------------------------------------------------------------------------------------------
 2...........................................................        $3.15        $3.15        $3.15        $3.15        $3.15        $3.15        $3.15
 3...........................................................         3.59         3.85         4.23         4.35         4.35         4.35         4.35
 4...........................................................         3.73         4.16         4.80         5.45         5.45         5.45         5.45
 5...........................................................         3.86         4.39         5.31         6.22         6.55         6.55         6.55
 6...........................................................         3.99         4.62         5.71         6.83         7.75         8.20         8.70
 7...........................................................         4.11         4.82         6.07         7.41         8.93         9.80        11.10
 8...........................................................         4.24         5.01         6.38         7.94         9.60        10.80        12.35
 9...........................................................         4.33         5.19         6.71         8.43        10.25        11.85        13.60
10...........................................................         4.45         5.36         6.99         8.87        10.85        12.75        14.80
11...........................................................         4.54         5.53         7.27         9.30        11.39        13.80        16.05
12...........................................................         4.64         5.68         7.53         9.69        11.91        14.62        16.86
13...........................................................         4.73         5.81         7.77        10.07        12.39        15.25        17.21
14...........................................................         4.82         5.97         8.01        10.42        12.85        15.83        18.27
15...........................................................         4.90         6.10         8.24        10.74        13.26        16.37        19.25
16...........................................................         4.98         6.23         8.45        11.05        13.67        16.88        20.30
17...........................................................         5.07         6.34         8.66        11.35        14.05        17.36        21.35
18...........................................................         5.14         6.46         8.85        11.62        14.40        17.82        22.40
19...........................................................         5.23         6.58         9.04        11.88        14.74        18.26        23.25
20...........................................................         5.29         6.68         9.20        12.13        15.06        18.67        23.84
21...........................................................         5.36         6.80         9.37        12.37        15.36        19.06        24.41
22...........................................................         5.43         6.89         9.54        12.60        15.66        19.43        24.96
23...........................................................         5.50         7.01         9.71        12.82        15.93        19.78        25.47
24...........................................................         5.55         7.10         9.85        13.02        16.21        20.12        25.97
25...........................................................         5.62         7.19        10.01        13.21        16.46        20.43        26.45
26...........................................................         5.68         7.28        10.15        13.40        16.70        20.73        26.91
27...........................................................         5.75         7.37        10.28        13.59        16.93        21.03        27.34
28...........................................................         5.80         7.46        10.43        13.75        17.14        21.32        27.77
29...........................................................         5.86         7.55        10.56        13.92        17.35        21.58        28.17
30...........................................................         5.92         7.63        10.67        14.08        17.55        21.84        28.57
31...........................................................         5.98         7.70        10.80        14.23        17.75        22.08        28.94
32...........................................................         6.03         7.79        10.92        14.38        17.94        22.31        29.30
33...........................................................         6.08         7.87        11.04        14.52        18.11        22.54        29.66
34...........................................................         6.14         7.93        11.14        14.65        18.29        22.75        30.00
35...........................................................         6.19         8.01        11.26        14.79        18.46        22.96        30.33
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per piece for other hazardous material.                                                
\2\ For OBMC discount, deduct $0.57 per piece.                                                                                                          
\3\ For BMC Presort discount, deduct $0.12 per piece.                                                                                                   
\4\ For barcoded discount, deduct $0.04 per piece.                                                                                                      
\5\ Pieces with combined length and girth over 84 inches (but not exceeding 108''), and weighing less than 15 lbs. pay the applicable 15-lb. rate.      
\6\ For pieces weighing more than 35 pounds, see 5.2.                                                                                                   

5.2  Inter-BMC/ASF Single-Piece Nonmachinable Parcel Post 
1 2 3 4 5

    Inter-BMC/ASF ZIP Codes only, nonmachinable surcharge of $1.35 
included:

--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                          Zone                                          
                   Weight not over (pounds)                   ------------------------------------------------------------------------------------------
                                                                  1 & 2          3            4            5            6            7            8     
--------------------------------------------------------------------------------------------------------------------------------------------------------
 2...........................................................        $4.50        $4.50        $4.50        $4.50        $4.50        $4.50        $4.50
 3...........................................................         4.94         5.20         5.58         5.70         5.70         5.70         5.70
 4...........................................................         5.08         5.51         6.15         6.80         6.80         6.80         6.80
 5...........................................................         5.21         5.74         6.66         7.57         7.90         7.90         7.90
 6...........................................................         5.34         5.97         7.06         8.18         9.10         9.55        10.05
 7...........................................................         5.46         6.17         7.42         8.76        10.28        11.15        12.45

[[Page 12908]]

                                                                                                                                                        
 8...........................................................         5.59         6.36         7.73         9.29        10.95        12.15        13.70
 9...........................................................         5.68         6.54         8.06         9.78        11.60        13.20        14.95
10...........................................................         5.80         6.71         8.34        10.22        12.20        14.10        16.15
11...........................................................         5.89         6.88         8.62        10.65        12.74        15.15        17.40
12...........................................................         5.99         7.03         8.88        11.04        13.26        15.97        18.21
13...........................................................         6.08         7.16         9.12        11.42        13.74        16.60        18.56
14...........................................................         6.17         7.32         9.36        11.77        14.20        17.18        19.62
15...........................................................         6.25         7.45         9.59        12.09        14.61        17.72        20.60
16...........................................................         6.33         7.58         9.80        12.40        15.02        18.23        21.65
17...........................................................         6.42         7.69        10.01        12.70        15.40        18.71        22.70
18...........................................................         6.49         7.81        10.20        12.97        15.75        19.17        23.75
19...........................................................         6.58         7.93        10.39        13.23        16.09        19.61        24.60
20...........................................................         6.64         8.03        10.55        13.48        16.41        20.02        25.19
21...........................................................         6.71         8.15        10.72        13.72        16.71        20.41        25.76
22...........................................................         6.78         8.24        10.89        13.95        17.01        20.78        26.31
23...........................................................         6.85         8.36        11.06        14.17        17.28        21.13        26.82
24...........................................................         6.90         8.45        11.20        14.37        17.56        21.47        27.32
25...........................................................         6.97         8.54        11.36        14.56        17.81        21.78        27.80
26...........................................................         7.03         8.63        11.50        14.75        18.05        22.08        28.26
27...........................................................         7.10         8.72        11.63        14.94        18.28        22.38        28.69
28...........................................................         7.15         8.81        11.78        15.10        18.49        22.67        29.12
29...........................................................         7.21         8.90        11.91        15.27        18.70        22.93        29.52
30...........................................................         7.27         8.98        12.02        15.43        18.90        23.19        29.92
31...........................................................         7.33         9.05        12.15        15.58        19.10        23.43        30.29
32...........................................................         7.38         9.14        12.27        15.73        19.29        23.66        30.65
33...........................................................         7.43         9.22        12.39        15.87        19.46        23.89        31.01
34...........................................................         7.49         9.28        12.49        16.00        19.64        24.10        31.35
35...........................................................         7.54         9.36        12.61        16.14        19.81        24.31        31.68
36...........................................................         7.59         9.42        12.73        16.26        19.96        24.51        31.99
37...........................................................         7.64         9.49        12.82        16.39        20.12        24.70        32.29
38...........................................................         7.69         9.57        12.93        16.50        20.27        24.89        32.59
39...........................................................         7.75         9.63        13.02        16.62        20.41        25.06        32.88
40...........................................................         7.79         9.70        13.12        16.72        20.55        25.24        33.16
41...........................................................         7.85         9.77        13.21        16.85        20.68        25.41        33.42
42...........................................................         7.89         9.83        13.30        16.95        20.81        25.56        33.68
43...........................................................         7.93         9.89        13.40        17.04        20.93        25.72        33.93
44...........................................................         7.98         9.94        13.48        17.14        21.05        25.87        34.18
45...........................................................         8.02        10.01        13.57        17.23        21.16        26.01        34.41
46...........................................................         8.07        10.07        13.65        17.33        21.28        26.15        34.65
47...........................................................         8.12        10.13        13.73        17.41        21.38        26.28        34.87
48...........................................................         8.16        10.19        13.82        17.50        21.49        26.41        35.08
49...........................................................         8.20        10.24        13.90        17.59        21.59        26.53        35.30
50...........................................................         8.24        10.29        13.96        17.66        21.70        26.66        35.50
51...........................................................         8.29        10.35        14.05        17.74        21.79        26.77        35.70
52...........................................................         8.33        10.41        14.12        17.82        21.88        26.89        35.89
53...........................................................         8.37        10.46        14.18        17.89        21.97        26.99        36.09
54...........................................................         8.41        10.52        14.26        17.96        22.06        27.11        36.27
55...........................................................         8.45        10.55        14.34        18.04        22.14        27.20        36.45
56...........................................................         8.50        10.62        14.40        18.10        22.23        27.31        36.62
57...........................................................         8.54        10.67        14.47        18.17        22.30        27.40        36.79
58...........................................................         8.58        10.71        14.53        18.23        22.39        27.49        36.95
59...........................................................         8.62        10.76        14.60        18.30        22.47        27.59        37.11
60...........................................................         8.66        10.81        14.68        18.36        22.54        27.67        37.27
61...........................................................         8.71        10.87        14.73        18.42        22.61        27.75        37.42
62...........................................................         8.75        10.91        14.79        18.47        22.69        27.84        37.57
63...........................................................         8.77        10.96        14.86        18.54        22.75        27.93        37.72
64...........................................................         8.81        11.00        14.92        18.59        22.81        28.01        37.85
65...........................................................         8.85        11.05        14.97        18.64        22.87        28.09        37.99
66...........................................................         8.90        11.10        15.03        18.69        22.94        28.16        38.12
67...........................................................         8.94        11.14        15.09        18.74        23.00        28.23        38.26
68...........................................................         8.97        11.18        15.16        18.80        23.06        28.31        38.39
69...........................................................         9.01        11.22        15.21        18.85        23.11        28.37        38.50
70...........................................................         9.05        11.28        15.27        18.90        23.18        28.43        38.63
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 for other hazardous material.                                                          
\2\ For OBMC discount, deduct $0.57 per piece.                                                                                                          
\3\ For BMC Presort discount, deduct $0.12 per piece.                                                                                                   
\4\ Pieces between 108'' and 130'' in combined length and girth pay the applicable 70-lb. rate.                                                         
\5\ Pieces with combined length and girth over 84 inches (but not exceeding 108''), and weighing less than 15 lbs. pay the applicable 15-lb. rate.      


[[Page 12909]]

5.3  Local and Intra-BMC/ASF Single-Piece Parcel Post \1\ \2\ \3\ 
\4\

----------------------------------------------------------------------------------------------------------------
                                                                       Zone                                     
     Weight not over (lbs.)      -------------------------------------------------------------------------------
                                       Local           1 & 2             3               4               5      
----------------------------------------------------------------------------------------------------------------
 2..............................           $2.48           $2.70           $2.70           $2.70           $2.70
 3..............................            2.65            2.98            2.98            3.02            3.36
 4..............................            2.79            3.25            3.25            3.46            4.36
 5..............................            2.94            3.45            3.50            3.78            4.87
 6..............................            3.08            3.58            3.73            4.07            5.35
 7..............................            3.20            3.69            3.95            4.35            5.79
 8..............................            3.33            3.82            4.15            4.59            6.21
 9..............................            3.44            3.91            4.36            4.84            6.60
10..............................            3.55            4.03            4.54            5.06            6.97
11..............................            3.64            4.12            4.71            5.27            7.31
12..............................            3.71            4.23            4.88            5.47            7.64
13..............................            3.78            4.32            5.04            5.66            7.94
14..............................            3.84            4.41            5.18            5.84            8.23
15..............................            3.90            4.49            5.33            6.02            8.50
16..............................            3.97            4.56            5.47            6.18            8.77
17..............................            4.02            4.65            5.61            6.34            9.01
18..............................            4.07            4.72            5.74            6.49            9.26
19..............................            4.12            4.81            5.86            6.63            9.48
20..............................            4.19            4.88            5.98            6.76            9.69
21..............................            4.23            4.94            6.10            6.89            9.91
22..............................            4.28            5.02            6.20            7.02           10.11
23..............................            4.33            5.08            6.32            7.15           10.30
24..............................            4.38            5.14            6.42            7.26           10.48
25..............................            4.43            5.20            6.53            7.38           10.66
26..............................            4.47            5.27            6.62            7.49           10.83
27..............................            4.52            5.33            6.73            7.59           10.99
28..............................            4.56            5.38            6.82            7.70           11.15
29..............................            4.62            5.45            6.91            7.80           11.31
30..............................            4.67            5.50            7.01            7.89           11.46
31..............................            4.71            5.56            7.10            7.99           11.60
32..............................            4.75            5.62            7.18            8.08           11.74
33..............................            4.80            5.67            7.27            8.17           11.88
34..............................            4.84            5.72            7.35            8.25           12.00
35..............................            4.88            5.77            7.42            8.34           12.13
36..............................            4.91            5.82            7.51            8.43           12.26
37..............................            4.95            5.88            7.58            8.50           12.38
38..............................            4.99            5.93            7.65            8.59           12.49
39..............................            5.04            5.98            7.73            8.66           12.60
40..............................            5.08            6.02            7.80            8.73           12.72
41..............................            5.12            6.08            7.87            8.80           12.82
42..............................            5.16            6.12            7.95            8.87           12.92
43..............................            5.20            6.16            8.01            8.95           13.03
44..............................            5.25            6.21            8.08            9.01           13.12
45..............................            5.28            6.25            8.14            9.08           13.22
46..............................            5.32            6.31            8.21            9.14           13.31
47..............................            5.36            6.36            8.27            9.20           13.40
48..............................            5.40            6.40            8.33            9.27           13.50
49..............................            5.43            6.44            8.39            9.33           13.58
50..............................            5.47            6.47            8.46            9.38           13.67
51..............................            5.51            6.53            8.52            9.45           13.75
52..............................            5.54            6.57            8.57            9.50           13.83
53..............................            5.58            6.60            8.63            9.55           13.91
54..............................            5.62            6.64            8.69            9.61           13.99
55..............................            5.66            6.68            8.75            9.67           14.06
56..............................            5.69            6.73            8.80            9.72           14.13
57..............................            5.72            6.77            8.85            9.77           14.21
58..............................            5.76            6.81            8.91            9.82           14.28
59..............................            5.80            6.85            8.96            9.87           14.35
60..............................            5.82            6.89            9.01            9.93           14.42
61..............................            5.88            6.94            9.06            9.97           14.49
62..............................            5.90            6.98            9.11           10.02           14.55
63..............................            5.94            7.01            9.17           10.07           14.61
64..............................            5.97            7.05            9.22           10.12           14.68
65..............................            6.01            7.09            9.27           10.16           14.74
66..............................            6.03            7.14            9.31           10.20           14.81
67..............................            6.08            7.18            9.36           10.25           14.86
68..............................            6.11            7.20            9.41           10.30           14.92
69..............................            6.15            7.24            9.46           10.34           14.98
70..............................            6.18            7.28            9.50           10.39           15.03
----------------------------------------------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 for other hazardous material.                  

[[Page 12910]]

                                                                                                                
\2\ For barcoded discount, deduct $0.04 per piece (machinable parcels only).                                    
\3\ Pieces between 108'' and 130'' in combined length and girth pay the applicable 70-lb. rate.                 
\4\ Pieces with combined length and girth over 84 inches (but not exceeding 108''), and weighing less than 15   
  lbs. pay the applicable 15-lb. rate.                                                                          

5.4  Destination Entry Parcel Post (DDU/DSCF/DBMC) 
1, 2, 3, 4

    Destination facility ZIP Codes only, discount included:

----------------------------------------------------------------------------------------------------------------
                                                                      DBMC zone                                 
     Weight not over (pounds)      -----------------------------------------------------------------------------
                                        DDU          DSCF        1 & 2          3            4            5     
----------------------------------------------------------------------------------------------------------------
 2................................         1.37         1.60         2.01         2.26         2.70         2.70
 3................................         1.44         1.72         2.18         2.67         3.02         3.36
 4................................         1.48         1.84         2.34         2.99         3.46         4.36
 5................................         1.54         1.94         2.49         3.28         3.78         4.87
 6................................         1.59         2.04         2.63         3.56         4.07         5.35
 7................................         1.63         2.12         2.75         3.82         4.35         5.79
 8................................         1.69         2.22         2.88         4.06         4.59         6.21
 9................................         1.73         2.31         3.00         4.30         4.84         6.50
10................................         1.77         2.38         3.11         4.52         5.06         6.97
11................................         1.80         2.46         3.21         4.67         5.27         7.31
12................................         1.81         2.54         3.32         4.81         5.47         7.64
13................................         1.83         2.60         3.41         4.93         5.66         7.94
14................................         1.83         2.67         3.50         5.08         5.84         8.23
15................................         1.84         2.74         3.60         5.20         6.02         8.50
16................................         1.87         2.80         3.68         5.32         6.18         8.77
17................................         1.87         2.86         3.76         5.43         6.34         9.01
18................................         1.88         2.93         3.85         5.54         6.49         9.26
19................................         1.89         2.98         3.92         5.64         6.63         9.48
20................................         1.92         3.04         4.00         5.75         6.76         9.69
21................................         1.92         3.11         4.08         5.85         6.89         9.91
22................................         1.93         3.16         4.15         5.94         7.02        10.11
23................................         1.95         3.21         4.22         6.05         7.15        10.30
24................................         1.96         3.28         4.30         6.14         7.26        10.48
25................................         1.98         3.32         4.37         6.21         7.38        10.66
26................................         1.99         3.37         4.42         6.31         7.49        10.83
27................................         2.01         3.42         4.48         6.38         7.59        10.99
28................................         2.02         3.47         4.55         6.47         7.70        11.15
29................................         2.05         3.52         4.61         6.57         7.80        11.31
30................................         2.08         3.56         4.66         6.63         7.89        11.46
31................................         2.09         3.61         4.72         6.70         7.99        11.60
32................................         2.11         3.66         4.78         6.79         8.08        11.74
33................................         2.13         3.70         4.84         6.85         8.17        11.88
34................................         2.15         3.74         4.89         6.92         8.25        12.00
35................................         2.16         3.78         4.94         6.99         8.34        12.13
36................................         2.17         3.83         5.00         7.05         8.43        12.26
37................................         2.19         3.87         5.05         7.11         8.50        12.38
38................................         2.21         3.91         5.10         7.19         8.59        12.49
39................................         2.24         3.95         5.14         7.24         8.66        12.60
40................................         2.26         3.99         5.19         7.31         8.73        12.72
41................................         2.28         4.04         5.25         7.38         8.80        12.82
42................................         2.30         4.07         5.29         7.44         8.87        12.92
43................................         2.32         4.11         5.34         7.49         8.95        13.03
44................................         2.36         4.14         5.38         7.54         9.01        13.12
45................................         2.37         4.18         5.42         7.61         9.08        13.22
46................................         2.39         4.22         5.47         7.67         9.14        13.31
47................................         2.42         4.26         5.52         7.72         9.20        13.40
48................................         2.44         4.30         5.56         7.77         9.27        13.50
49................................         2.46         4.33         5.60         7.83         9.33        13.58
50................................         2.48         4.36         5.64         7.88         9.38        13.67
51................................         2.51         4.40         5.68         7.93         9.45        13.75
52................................         2.52         4.44         5.73         8.00         9.50        13.83
53................................         2.55         4.47         5.77         8.05         9.55        13.91
54................................         2.58         4.51         5.81         8.09         9.61        13.99
55................................         2.60         4.54         5.85         8.13         9.67        14.06
56................................         2.62         4.58         5.89         8.19         9.72        14.13
57................................         2.64         4.61         5.93         8.24         9.77        14.21
58................................         2.67         4.65         5.97         8.28         9.82        14.28
59................................         2.69         4.68         6.01         8.33         9.87        14.35
60................................         2.70         4.72         6.05         8.39         9.93        14.42
61................................         2.75         4.74         6.08         8.42         9.97        14.49
62................................         2.76         4.78         6.12         8.46        10.02        14.55
63................................         2.79         4.80         6.15         8.52        10.07        14.61
64................................         2.81         4.84         6.19         8.55        10.12        14.68
65................................         2.84         4.87         6.23         8.61        10.16        14.74
66................................         2.85         4.91         6.27         8.66        10.20        14.81

[[Page 12911]]

                                                                                                                
67................................         2.89         4.94         6.30         8.70        10.25        14.86
68................................         2.91         4.97         6.34         8.74        10.30        14.92
69................................         2.94         5.00         6.37         8.76        10.34        14.98
70................................         2.96         5.03         6.41         8.33        10.39       15.03 
----------------------------------------------------------------------------------------------------------------
\1\ For barcoded discount, deduct $0.04 per piece (machinable parcels only). Barcode discount is not available  
  for DDU, DSCF rates and DBMC mail entered at an ASF.                                                          
\2\ Add $0.50 per piece for hazardous medical material and $1.00 for other hazardous material.                  
\3\ Pieces between 108'' and 130'' in combined length and girth pay the applicable 70-lb. rate.                 
\4\ Pieces with combined length and girth over 84 inches (but not exceeding 108''), and weighing less than 15   
  lbs. pay the applicable 15-lb. rate.                                                                          

6.0  BOUND PRINTED MATTER STANDARD MAIL (B)

6.1  Single Piece

                                                      a. Base Bound Printed Matter Single Piece \1\                                                     
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                           Zone                                         
                              Rate                               ---------------------------------------------------------------------------------------
                                                                    Local      1 & 2        3          4          5          6          7          8    
--------------------------------------------------------------------------------------------------------------------------------------------------------
Per piece.......................................................     $1.050     $1.390     $1.390     $1.390     $1.390     $1.390     $1.390     $1.390
Per pound.......................................................      0.023      0.076      0.102      0.146      0.214      0.285      0.370     0.4431
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ For barcoded discount, deduct $0.04 per piece (machinable parcels only).                                                                            


                                                    b. Computed Bound Printed Matter Single Piece \1\                                                   
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                           Zone                                         
                    Weight not over (pounds)                     ---------------------------------------------------------------------------------------
                                                                    Local      1 & 2        3          4          5          6          7          8    
--------------------------------------------------------------------------------------------------------------------------------------------------------
 1.5............................................................      $1.08      $1.50      $1.54      $1.61      $1.71      $1.82      $1.95      $2.05
 2.0............................................................       1.10       1.54       1.59       1.68       1.82       1.96       2.13       2.28
 2.5............................................................       1.11       1.58       1.65       1.76       1.93       2.10       2.32       2.50
 3.0............................................................       1.12       1.62       1.70       1.83       2.03       2.25       2.50       2.72
 3.5............................................................       1.13       1.66       1.75       1.90       2.14       2.39       2.69       2.94
 4.0............................................................       1.14       1.69       1.80       1.97       2.25       2.53       2.87       3.16
 4.5............................................................       1.15       1.73       1.85       2.05       2.35       2.67       3.06       3.38
 5.0............................................................       1.17       1.77       1.90       2.12       2.46       2.82       3.24       3.61
 6.0............................................................       1.19       1.85       2.00       2.27       2.67       3.10       3.61       4.05
 7.0............................................................       1.21       1.92       2.10       2.41       2.89       3.39       3.98       4.49
 8.0............................................................       1.23       2.00       2.21       2.56       3.10       3.67       4.35       4.93
 9.0............................................................       1.26       2.07       2.31       2.70       3.32       3.96       4.72       5.38
10.0............................................................       1.28       2.15       2.41       2.85       3.53       4.24       5.09       5.82
11.0............................................................       1.30       2.23       2.51       3.00       3.74       4.53       5.46       6.26
12.0............................................................       1.33       2.30       2.61       3.14       3.96       4.81       5.83       6.71
13.0............................................................       1.35       2.38       2.72       3.29       4.17       5.10       6.20       7.15
14.0............................................................       1.37       2.45       2.82       3.43       4.39       5.38       6.57       7.59
15.0............................................................       1.40       2.53       2.92       3.58       4.60       5.67       6.94       8.04
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ For barcoded discount, deduct $0.04 per piece (machinable parcels only).                                                                            

6.2  Presorted Rate

    a. Base Bound Printed Matter Presorted Rate:

                                                                                                                                                        
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                           Zone                                         
                              Rate                               ---------------------------------------------------------------------------------------
                                                                    Local      1 & 2        3          4          5          6          7          8    
--------------------------------------------------------------------------------------------------------------------------------------------------------
Per Piece                                                                                                                                               
    Basic\1\....................................................     $0.523     $0.697     $0.697     $0.697     $0.697     $0.697     $0.697     $0.697
    Carrier.....................................................      0.456      0.630      0.630      0.630      0.630      0.630      0.630      0.630
    Route Per Pound.............................................      0.012      0.061      0.087      0.131      0.198      0.269      0.355      0.428
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ For barcoded discount, deduct $0.04 per piece (machinable parcels only). Barcoded discount not available for parcels mailed at the carrier route    
  bound printed matter rates.                                                                                                                           


[[Page 12912]]


                                                  b. Computed Basic Presorted Bound Printed Matter:\1\                                                  
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                           Zone                                         
                   Weight  not over  (pounds)                    ---------------------------------------------------------------------------------------
                                                                    Local      1 & 2        3          4          5          6          7          8    
--------------------------------------------------------------------------------------------------------------------------------------------------------
 1.5............................................................     $0.541     $0.789     $0.828     $0.894     $0.994     $1.101     $1.230     $1.339
 2.0............................................................      0.547      0.819      0.871      0.959      1.093      1.235      1.407      1.553
 2.5............................................................      0.553      0.850      0.915      1.025      1.192      1.370      1.585      1.767
 3.0............................................................      0.559      0.880      0.958      1.090      1.291      1.504      1.762      1.981
 3.5............................................................      0.565      0.911      1.002      1.156      1.390      1.639      1.940      2.195
 4.0............................................................      0.571      0.941      1.045      1.221      1.489      1.773      2.117      2.409
 4.5............................................................      0.577      0.972      1.089      1.287      1.588      1.908      2.295      2.623
 5.0............................................................      0.583      1.002      1.132      1.352      1.687      2.042      2.472      2.837
 6.0............................................................      0.595      1.063      1.219      1.483      1.885      2.311      2.827      3.265
 7.0............................................................      0.607      1.124      1.306      1.614      2.083      2.580      3.182      3.693
 8.0............................................................      0.619      1.185      1.393      1.745      2.281      2.849      3.537      4.121
 9.0............................................................      0.631      1.246      1.480      1.876      2.479      3.118      3.892      4.549
10.0............................................................      0.643      1.307      1.567      2.007      2.677      3.387      4.247      4.977
11.0............................................................      0.655      1.368      1.654      2.138      2.875      3.656      4.602      5.405
12.0............................................................      0.667      1.429      1.741      2.269      3.073      3.925      4.957      5.833
13.0............................................................      0.679      1.490      1.828      2.400      3.271      4.194      5.312      6.261
14.0............................................................      0.691      1.551      1.915      2.531      3.469      4.463      5.667      6.689
15.0............................................................      0.703      1.612      2.002      2.662      3.667      4.732      6.022      7.117
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ For barcoded discount, deduct $0.04 per piece (machinable parcels only).                                                                            

    c. Carrier Route Bound Printed Matter:

                                                                                                                                                        
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                           Zone                                         
                   Weight  not over  (pounds)                    ---------------------------------------------------------------------------------------
                                                                    Local      1 & 2        3          4          5          6          7          8    
--------------------------------------------------------------------------------------------------------------------------------------------------------
 1.5............................................................     $0.474     $0.722     $0.761     $0.827     $0.927     $1.034     $1.163     $1.272
 2.0............................................................      0.480      0.752      0.804      0.892      1.026      1.168      1.340      1.486
 2.5............................................................      0.486      0.783      0.848      0.958      1.125      1.303      1.518      1.700
 3.0............................................................      0.492      0.813      0.891      1.023      1.224      1.437      1.695      1.914
 3.5............................................................      0.498      0.844      0.935      1.089      1.323      1.572      1.873      2.128
 4.0............................................................      0.504      0.874      0.978      1.154      1.422      1.706      2.050      2.342
 4.5............................................................      0.510      0.905      1.022      1.220      1.521      1.841      2.228      2.556
 5.0............................................................      0.516      0.935      1.065      1.285      1.620      1.975      2.405      2.770
 6.0............................................................      0.528      0.996      1.152      1.416      1.818      2.244      2.760      3.198
 7.0............................................................      0.540      1.057      1.239      1.547      2.016      2.513      3.115      3.626
 8.0............................................................      0.552      1.118      1.326      1.678      2.214      2.782      3.470      4.054
 9.0............................................................      0.564      1.179      1.413      1.809      2.412      3.051      3.825      4.482
10.0............................................................      0.576      1.240      1.500      1.940      2.610      3.320      4.180      4.910
11.0............................................................      0.588      1.301      1.587      2.071      2.808      3.589      4.535      5.338
12.0............................................................      0.600      1.362      1.674      2.202      3.006      3.858      4.890      5.766
13.0............................................................      0.612      1.423      1.761      2.333      3.204      4.127      5.245      6.194
14.0............................................................      0.624      1.484      1.848      2.464      3.402      4.396      5.600      6.622
15.0............................................................      0.636      1.545      1.935      2.595      3.600      4.665      5.955      7.050
--------------------------------------------------------------------------------------------------------------------------------------------------------

    These amounts are correct for the corresponding weights. Compute 
postage exactly for items of intermediate weights as provided in P013.
7.0  SPECIAL STANDARD MAIL--STANDARD MAIL (B)\1\

----------------------------------------------------------------------------------------------------------------
                    Weight not over (pounds)                       Single-piece       5-digit           BMC     
----------------------------------------------------------------------------------------------------------------
 1..............................................................           $1.24           $0.90           $1.12
 2..............................................................            1.75            1.41            1.63
 3..............................................................            2.26            1.92            2.14
 4..............................................................            2.77            2.43            2.65
 5..............................................................            3.28            2.94            3.16
 6..............................................................            3.79            3.45            3.67
 7..............................................................            4.30            3.96            4.18
 8..............................................................            4.51            4.17            4.39
 9..............................................................            4.72            4.38            4.60
10..............................................................            4.93            4.59            4.81
11..............................................................            5.14            4.80            5.02
12..............................................................            5.35            5.01            5.23
13..............................................................            5.56            5.22            5.44
14..............................................................            5.77            5.43            5.65
15..............................................................            5.98            5.64            5.86
16..............................................................            6.19            5.85            6.07

[[Page 12913]]

                                                                                                                
17..............................................................            6.40            6.06            6.28
18..............................................................            6.61            6.27            6.49
19..............................................................            6.82            6.48            6.70
20..............................................................            7.03            6.69            6.91
21..............................................................            7.24            6.90            7.12
22..............................................................            7.45            7.11            7.33
23..............................................................            7.66            7.32            7.54
24..............................................................            7.87            7.53            7.75
25..............................................................            8.08            7.74            7.96
26..............................................................            8.29            7.95            8.17
27..............................................................            8.50            8.16            8.38
28..............................................................            8.71            8.37            8.59
29..............................................................            8.92            8.58            8.80
30..............................................................            9.13            8.79            9.01
31..............................................................            9.34            9.00            9.22
32..............................................................            9.55            9.21            9.43
33..............................................................            9.76            9.42            9.64
34..............................................................            9.97            9.63            9.85
35..............................................................           10.18            9.84           10.06
36..............................................................           10.39           10.05           10.27
37..............................................................           10.60           10.26           10.48
38..............................................................           10.81           10.47           10.69
39..............................................................           11.02           10.68           10.90
40..............................................................           11.23           10.89           11.11
41..............................................................           11.44           11.10           11.32
42..............................................................           11.65           11.31           11.53
43..............................................................           11.86           11.52           11.74
44..............................................................           12.07           11.73           11.95
45..............................................................           12.28           11.94           12.16
46..............................................................           12.49           12.15           12.37
47..............................................................           12.70           12.36           12.58
48..............................................................           12.91           12.57           12.79
49..............................................................           13.12           12.78           13.00
50..............................................................           13.33           12.99           13.21
51..............................................................           13.54           13.20           13.42
52..............................................................           13.75           13.41           13.63
53..............................................................           13.96           13.62           13.84
54..............................................................           14.17           13.83           14.05
55..............................................................           14.38           14.04           14.26
56..............................................................           14.59           14.25           14.47
57..............................................................           14.80           14.46           14.68
58..............................................................           15.01           14.67           14.89
59..............................................................           15.22           14.88           15.10
60..............................................................           15.43           15.09           15.31
61..............................................................           15.64           15.30           15.52
62..............................................................           15.85           15.51           15.73
63..............................................................           16.06           15.72           15.94
64..............................................................           16.27           15.93           16.15
65..............................................................           16.48           16.14           16.36
66..............................................................           16.69           16.35           16.57
67..............................................................           16.90           16.56           16.78
68..............................................................           17.11           16.77           16.99
69..............................................................           17.32           16.98           17.20
70..............................................................           17.53           17.19           17.41
----------------------------------------------------------------------------------------------------------------
\1\ For barcoded discount, deduct $0.04 per piece (machinable parcels only). Barcoded discount not available for
  parcels mailed at the 5-digit rate.                                                                           

8.0  LIBRARY MAIL \1\,\2\

                                                                        
------------------------------------------------------------------------
                                                                 Single 
                   Weight not over (pounds)                      Piece  
------------------------------------------------------------------------
 1...........................................................      $1.44
 2...........................................................       1.91
 3...........................................................       2.38
 4...........................................................       2.85
 5...........................................................       3.32
 6...........................................................       3.79
 7...........................................................       4.26
 8...........................................................       4.50
 9...........................................................       4.74
10...........................................................       4.98
11...........................................................       5.22
12...........................................................       5.46
13...........................................................       5.70
14...........................................................       5.94
15...........................................................       6.18
16...........................................................       6.42
17...........................................................       6.66
18...........................................................       6.90
19...........................................................       7.14
20...........................................................       7.38
21...........................................................       7.62
22...........................................................       7.86
23...........................................................       8.10
24...........................................................       8.34
25...........................................................       8.58
26...........................................................       8.82
27...........................................................       9.06
28...........................................................       9.30

[[Page 12914]]

                                                                        
29...........................................................       9.54
30...........................................................       9.78
31...........................................................      10.02
32...........................................................      10.26
33...........................................................      10.50
34...........................................................      10.74
35...........................................................      10.98
36...........................................................      11.22
37...........................................................      11.46
38...........................................................      11.70
39...........................................................      11.94
40...........................................................      12.18
41...........................................................      12.42
42...........................................................      12.66
43...........................................................      12.90
44...........................................................      13.14
45...........................................................      13.38
46...........................................................      13.62
47...........................................................      13.86
48...........................................................      14.10
49...........................................................      14.34
50...........................................................      14.58
51...........................................................      14.82
52...........................................................      15.06
53...........................................................      15.30
54...........................................................      15.54
55...........................................................      15.78
56...........................................................      16.02
57...........................................................      16.26
58...........................................................      16.50
59...........................................................      16.74
60...........................................................      16.98
61...........................................................      17.22
62...........................................................      17.46
63...........................................................      17.70
64...........................................................      17.94
65...........................................................      18.18
66...........................................................      18.42
67...........................................................      18.66
68...........................................................      18.90
69...........................................................      19.14
70...........................................................       1938
------------------------------------------------------------------------
\1\ Add $0.50 per piece for hazardous medical material and $1.00 per    
  piece for other hazardous material.                                   
\2\ For barcoded discount, deduct $0.04 per piece (machinable parcels   
  only).                                                                

9.0  FEES

9.1  Mailing

    Fee, as appropriate, per 12-month period:
    a. Standard Mail (A) (Regular, Enhanced Carrier Route, Nonprofit, 
and Nonprofit Enhanced Carrier Route): $100.00.
    b. Bulk Parcel Return Service Permit: $100.00.
    c. Parcel Post destination BMC: $100.00.
    d. Presorted Special Standard Mail: $100.00.

9.2  Address Correction Service

    Charge per notice issued:
    a. Manual: $0.50.
    b. Automated: $0.20.

9.3  Pickup

    Parcel Post only, per occurrence: $8.25.

9.4  Bulk Parcel Return Service Fee--Standard Mail (A)

    Machinable pieces only: fee per piece returned: $1.75.
10.0  SURCHARGES

10.1  Residual Shape Surcharge--Standard Mail (A)

    Items that are prepared as a parcel or are neither letter-size or 
flat-size: per piece: $0.10.

10.2  Hazardous Material Surcharges

    a. Hazardous Medical Material: $0.50 per piece.
    b. Other Hazardous Material: $1.00 per piece.

R900  Services

1.0  ADDRESS SEQUENCING SERVICE

1.1  Basic Service and Blanks for Missing Addresses Service

    Per card included by the mailer that was removed by the USPS for an 
incorrect or undeliverable address: $0.20.

1.2  Missing or New Addresses Service

    Per card included by the mailer that was removed by the USPS for an 
incorrect or undeliverable address, and for each address (possible 
delivery) that is added to the customer's list: $0.20.
2.0  BUSINESS REPLY MAIL (BRM)

2.1  Annual Fees

    Per 12-month period:
    a. BRM permit fee: $100.00.
    b. BRM accounting fee: $300.00.

2.2  Charges

    Each piece is charged the applicable postage plus the appropriate 
fee upon return to the permit holder.

----------------------------------------------------------------------------------------------------------------
                                                                                          Fee with   Fee without
                                                                                          advance      advance  
                                                                                          deposit      deposit  
                     Type                                 Postage (per piece)           account (in  account (in
                                                                                        addition to  addition to
                                                                                          postage)     postage) 
----------------------------------------------------------------------------------------------------------------
Regular BRM...................................  Letters: $0.33 first ounce or                 $0.08        $0.30
                                                 fraction, $0.23 each additional ounce                          
                                                 or fraction.                                                   
                                                Cards:                                                          
                                                Single: $0.21                                                   
                                                Double: $0.42 ($0.21 each part)                                 
Qualified BRM.................................  Letters: $0.30 first ounce or                  0.06          N/A
                                                 fraction, $0.23 each additional ounce                          
                                                 or fraction.                                                   
                                                Cards:                                                          
                                                Single: $0.18                                                   
                                                Double: $0.36 ($0.18 each part)                                 
----------------------------------------------------------------------------------------------------------------

3.0  CALLER SERVICE
    Fees are charged as follows:
    a. For service provided, per semiannual period:

------------------------------------------------------------------------
                         Fee Group                               Fee    
------------------------------------------------------------------------
A..........................................................      $275.00
B..........................................................       275.00
C..........................................................       275.00
D..........................................................       275.00
------------------------------------------------------------------------

    b. For each reserved call number, per calendar year (all post 
offices): $40.00.
4.0  CERTIFICATE OF MAILING

4.1  Individual Pieces

    For service provided (in addition to postage):
    a. For individual article listing (Form 3817 or facsimile), per 
article: $0.60.
    b. For additional copies of Form 3817 or mailing bill, per page: 
$0.60.

[[Page 12915]]

    c. For firm mailing books (Form 3877 or facsimile), per article 
listed: $0.25.

4.2  Bulk Quantities

------------------------------------------------------------------------
                                                                Fee (in 
                                                                addition
                     Service (form 3606)                           to   
                                                                postage)
------------------------------------------------------------------------
Up to 1,000 pieces (one certificate (Form 3606) for total               
 number).....................................................      $3.00
Each additional 1,000 pieces or fraction thereof.............       0.40
Duplicate copy...............................................       0.60
------------------------------------------------------------------------

5.0  CERTIFIED MAIL
    Fee, in addition to postage and other fees, per mailpiece: $1.55.
6.0  COLLECT ON DELIVERY (COD)

------------------------------------------------------------------------
   Amount to be collected or insurance coverage desired \1\       Fee   
------------------------------------------------------------------------
$0.01 to 50.00...............................................      $4.00
50.01 to 100.00..............................................       5.00
100.01 to 200.00.............................................       6.00
200.01 to 300.00.............................................       7.00
300.01 to 400.00.............................................       8.00
400.01 to 500.00.............................................       9.00
500.01 to 600.00.............................................      10.00
Restricted delivery \2\......................................      $2.75
Notice of nondelivery........................................       3.00
Alteration of COD charges or designation of new addressee....       3.00
Registered COD \3\...........................................      4.00 
------------------------------------------------------------------------
\1\ For Express Mail COD shipments, the fee charged is based on the     
  amount to be collected. Express Mail insurance automatically covers up
  to $500 merchandise insurance. If the amount to be collected for an   
  Express Mail COD shipment is between $500 and $600, the maximum COD   
  fee ($10.00) must be paid.                                            
\2\ Not available with Express Mail COD.                                
\3\ Fee for registered COD is as shown, regardless of insurance value.  

7.0  DELIVERY CONFIRMATION
    Fee, in addition to postage and other fees:

------------------------------------------------------------------------
                           Service                                Fee   
------------------------------------------------------------------------
Used in conjunction with Priority Mail:                                 
   Electronic................................................      $0.00
  Manual.....................................................       0.35
Used in conjunction with Parcel Post, Bound Printed Matter,             
 Library, and Special Standard Mail:                                    
  Electronic.................................................       0.25
  Manual.....................................................       0.60
------------------------------------------------------------------------

8.0  EXPRESS MAIL INSURANCE
    Fee, in addition to postage and other fees, for additional Express 
Mail insurance:

------------------------------------------------------------------------
  Insurance coverage desired                      Fee                   
------------------------------------------------------------------------
$0.01 to $500.00.............  None                                     
500.01 to 5,000.00...........  $1.00 for each $100 or fraction thereof  
                                over $500 in desired coverage.          
------------------------------------------------------------------------
          Express Mail merchandise maximum liability: $5,000.00         
------------------------------------------------------------------------

    b. Document reconstruction maximum liability: $500.00.
9.0  INSURED MAIL
    Fee, in addition to postage and other fees, for merchandise 
insurance liability:

------------------------------------------------------------------------
  Insurance coverage desired                     Fee 1                  
------------------------------------------------------------------------
$0.01 to $50.00..............  $0.95                                    
50.01 to 100.00..............  1.90                                     
100.01 to 200.00.............  2.90                                     
200.01 to 300.00.............  3.90                                     
300.01 to 400.00.............  4.90                                     
400.01 to 500.00.............  5.90                                     
500.01 to 600.00.............  6.90                                     
600.01 to 700.00.............  7.90                                     
700.01 to 800.00.............  8.90                                     
800.01 to 900.00.............  9.90                                     
900.01 to 1,000.00...........  10.90                                    
1,000.01 to 5,000.00.........  10.90 plus $1.00 for each $100 or        
                                fraction thereof over $1,000 in desired 
                                coverage.                               
------------------------------------------------------------------------
                Insured mail maximum liability: $5,000.00               
------------------------------------------------------------------------
1 For bulk insurance deduct $0.40 per piece.                            

10.0  MAILING LIST SERVICE

10.1  List Correction

    For correction of name and address lists and occupant lists:
    a. Per name on list: $0.20.
    b. Minimum per list: $7.00.

10.2  5-Digit ZIP Code Sortation

    For sortation of mailing lists on cards into groups labeled by 5-
digit ZIP Code (available only for multi-ZIP Code post offices), per 
1,000 addresses or fraction: $70.00.

10.3  Election Boards

    For address changes provided to election boards and voter 
registration commissions, for each Form 3575 or Form 3575-WWW: $0.20.
11.0  MERCHANDISE RETURN SERVICE
    For services provided:
    a. Fee, per 12-month period: $100.00.
    b. Charge (in addition to postage), per mailpiece returned: $0.30.

[[Page 12916]]

12.0  METER SERVICE

12.1  On-Site

    Fees for on-site meter setting or examination:

------------------------------------------------------------------------
                                                              Surcharge 
                                                               for each 
                                                    Each        meter   
              Basis                First meter   additional   checked in
                                                   meter      or out of 
                                                               service  
------------------------------------------------------------------------
Scheduled........................       $27.50        $4.00        $8.50
Unscheduled......................        31.00         4.00         8.50
------------------------------------------------------------------------

12.2  Applicability

    The fees apply to meters set or examined at a customer's place of 
business or at a meter manufacturer's offices. The surcharge must be 
paid in addition to the on-site fee.
13.0  MONEY ORDER
    Per money order issued or service provided:
    a. Postal military money order fee (issued by military facilities 
authorized by the Department of Defense): $0.30.
    b. Domestic money order fee (issued at other post offices, 
including those with branches or stations on military installations): 
$0.85.
    c. Inquiry fee (includes the issuance of a copy of a paid money 
order): $2.75.
14.0  PARCEL AIRLIFT (PAL)
    Fee, in addition to the regular surface rate of postage and other 
fees:

------------------------------------------------------------------------
                            Weight                                Fee   
------------------------------------------------------------------------
Not more than 2 pounds.......................................      $0.45
Over 2 but not more than 3 pounds............................       0.85
Over 3 but not more than 4 pounds............................       1.30
Over 4 pounds................................................       1.75
------------------------------------------------------------------------

15.0  PERMIT IMPRINT
    Application fee: $100.00.
16.0  POST OFFICE BOX SERVICE
    For service provided as described in D910:
    a. Deposit per key issued: $1.00.
    b. Box fee per semiannual (6-month) period:

----------------------------------------------------------------------------------------------------------------
                                                                         Box size and fee                       
                   Fee group                    ----------------------------------------------------------------
                                                      1            2            3            4            5     
----------------------------------------------------------------------------------------------------------------
A..............................................       $35.00       $52.50       $92.50      $162.50      $275.00
B..............................................        30.00        45.00        75.00       145.00       217.50
C..............................................        22.50        32.50        57.50        97.50       162.50
D..............................................         9.00        15.00        27.50        40.00        62.50
E..............................................         0.00         0.00         0.00         0.00         0.00
----------------------------------------------------------------------------------------------------------------

17.0  PREPAID REPLY MAIL

17.1  Annual Fee

    Per 12-month period: $100.00.

17.2  Monthly Audit Fee

    Per month: $1,000.00.

17.3  Postage

    Postage must be prepaid based on estimated number of returns and 
confirmed by audit procedures.
    Letters: $0.30 first ounce or fraction thereof, $0.23 each 
additional ounce or fraction thereof.
    Cards: Single: $0.18.
    Double: $0.36 ($0.18 each part).
18.0 REGISTERED MAIL

----------------------------------------------------------------------------------------------------------------
                                                                        Fee (in                                 
          Insurance status             Declared value (in dollars)    addition to   Handling charge (in addition
                                                                       postage)          to postage and fee)    
----------------------------------------------------------------------------------------------------------------
Without Insurance...................  $0.00.......................           $7.30  None.                       
With Insurance (for declared value).  0.01 to 100.00..............            7.45  None.                       
                                      100.01 to 500.00............            8.15  None.                       
                                      500.01 to 1,000.00..........            8.85  None.                       
                                      1,000.01 to 2,000.00........            9.55  None.                       
                                      2,000.01 to 3,000.00........           10.25  None.                       
                                      3,000.01 to 4,000.00........           10.95  None.                       
                                      4,000.01 to 5,000.00........           11.65  None.                       
                                      5,000.01 to 6,000.00........           12.35  None.                       
                                      6,000.01 to 7,000.00........           13.05  None.                       
                                      7,000.01 to 8,000.00........           13.75  None.                       
                                      8,000.01 to 9,000.00........           14.45  None.                       

[[Page 12917]]

                                                                                                                
                                      9,000.01 to 10,000.00.......           15.15  None.                       
                                      10,000.01 to 11,000.00......           15.85  None.                       
                                      11,000.01 to 12,000.00......           16.55  None.                       
                                      12,000.01 to 13,000.00......           17.25  None.                       
                                      13,000.01 to 14,000.00......           17.95  None.                       
                                      14,000.01 to 15,000.00......           18.65  None.                       
                                      15,000.01 to 16,000.00......           19.35  None.                       
                                      16,000.01 to 17,000.00......           20.05  None.                       
                                      17,000.01 to 18,000.00......           20.75  None.                       
                                      18,000.01 to 19,000.00......           21.45  None.                       
                                      19,000.01 to 20,000.00......           22.15  None.                       
                                      120,000.01 to 21,000.00.....           22.85  None.                       
                                      21,000.01 to 22,000.00......           23.55  None.                       
                                      22,000.01 to 23,000.00......           24.25  None.                       
                                      23,000.01 to 24,000.00......           24.95  None.                       
                                      24,000.01 to 25,000.00......           25.65  None.                       
With Insurance (maximum insurance     25,000.00 to 1,000,000.00...          $25.65  $0.70 per $1,000 or fraction
 liability: $25,000.00).                                                             over first $25,000.        
                                      1,000,000.01 to                      $708.15  $0.70 per $1,000 or fraction
                                       15,000,000.00.                                over first $1,000,000.     
                                      Over 15,000,000.00..........      $10,508.15  Amount determined by Postal 
                                                                                     Service based on weight,   
                                                                                     space, and value.          
----------------------------------------------------------------------------------------------------------------

19.0 RESTRICTED DELIVERY
    Fee, in addition to postage and other fees, per mailpiece: $2.75.
20.0 RETURN RECEIPT
    Fee, in addition to postage and other fees, per mailpiece:

------------------------------------------------------------------------
                            Type                                 Fee    
------------------------------------------------------------------------
Requested at time of mailing showing to whom, signature,                
 date, and addressee's address (if different)..............        $1.45
Requested after mailing showing only to whom and date                   
 delivered.................................................         7.00
------------------------------------------------------------------------

21.0 RETURN RECEIPT FOR MERCHANDISE
    Fee, in addition to postage and other fees, per mailpiece:

------------------------------------------------------------------------
                            Type                                 Fee    
------------------------------------------------------------------------
Showing to whom, signature, date, and addressee's address               
 (if different)............................................        $1.70
Delivery record............................................         7.00
------------------------------------------------------------------------

22.0 SPECIAL HANDLING
    Fee, in addition to postage and other fees, per mailpiece:

------------------------------------------------------------------------
                           Weight                                Fee    
------------------------------------------------------------------------
Not more than 10 pounds....................................       $17.25
More than 10 pounds........................................        24.00
------------------------------------------------------------------------

S Special Services

S000 Miscellaneous Services

S010 Indemnity Claims

* * * * *
2.0 GENERAL FILING INSTRUCTIONS

2.1 Who May File

[Insert new 2.1d to read as follows:]
    A claim may be filed by:
* * * * *
    d. Only the sender, for bulk insured mail.

2.2 When to File

[Amend the chart to add the following:]

------------------------------------------------------------------------
                                      When to file (from mailing date)  
       Mail type or service       --------------------------------------
                                     No sooner than      No later than  
------------------------------------------------------------------------
Bulk Insured.....................  30 days..........  6 months          
                                                                        
                  *        *        *        *        *                 
------------------------------------------------------------------------

* * * * *

2.11 Payable Claim

[Amend 2.11a and add new 2.11n to read as follows:]
    Insurance for loss or damage to insured, registered, or COD mail 
within the amount covered by the fee paid or within the indemnity 
limits for Express Mail as explained in 2.12 is payable for the 
following:
    a. Actual value of lost articles at the time and place of mailing 
(see 2.11n for bulk insured articles).
* * * * *

[[Page 12918]]

    n. For bulk insured articles, indemnity is provided for the lesser 
of (1) the actual value of the article at the time of mailing, or (2) 
the wholesale cost of the contents to the sender.
* * * * *

2.13 Payment

[Amend 2.13 to read as follows:]
    The USPS does not make payment for more than the actual value of 
the article (or, for bulk insurance, the wholesale cost of the contents 
to the sender if a lesser amount), nor make payment for more than the 
maximum amount covered by the fee paid.
* * * * *
4.0 ADJUDICATION

4.1 Initial

[Amend 4.1 to read as follows:]
    The St. Louis Accounting Service Center (ASC) adjudicates and pays 
or disallows all domestic claims except the initial adjudication of 
domestic unnumbered insured claims that are not bulk insured, and those 
appealed under 4.3. Domestic unnumbered insured claims, except for bulk 
insured, are adjudicated and paid locally at the post office accepting 
the claims.
* * * * *
[Insert new 6.0 to read as follows:]
6.0  BULK INSURED CLAIMS
    Mailers authorized to mail at bulk insured rates under S913 will 
receive instructions for filing claims from the manager of Claims and 
Processing at the St. Louis ASC. The Bulk Insurance Technical Guide 
provided to the mailer with the authorization to mail at the bulk 
insured rates includes the format instructions for the soft copy of 
Form 3877, Firm Mailing Book, and instructions for electronic filing of 
indemnity claims, which will become mandatory in early 1999.
* * * * *

S070  Mixed Classes

1.0  BASIC INFORMATION:
[Amend 1.1 and 1.2 to read as follows:]

1.1  Priority Mail Drop Shipment

    For a Priority Mail drop shipment, enclosed First-Class Mail may be 
sent certified or special handling; enclosed Standard Mail (B) may be 
sent special handling. Enclosed mail, regardless of class, may not be 
sent registered, insured, or collect on delivery (COD). No special 
services may be given to the Priority Mail segment of the drop 
shipment.

1.2  Special Handling

    A combination mailpiece sent as a Standard Mail (B) parcel may be 
sent using special handling; only one special handling fee applies to 
the parcel.
* * * * *

S900  Special Postal Services

S910  Security and Accountability

S911  Registered Mail

1.0  BASIC INFORMATION
* * * * *

1.5  Additional Services

[Insert new 1.5e to read as follows:]
    The following services may be combined with registered mail if the 
applicable standards for the services are met and the additional 
service fees are paid:
* * * * *
    e. Delivery confirmation service.
2.0  FEES AND LIABILITY
* * * * *
[Amend 2.3 to read as follows:]

2.3  Postal Insurance

    Postal insurance is provided for articles with a value of at least 
$0.01 up to a maximum insured value of $25,000. Insurance is included 
in the fee. For articles with no value ($0.00) postal insurance is not 
available.
* * * * *

S913  Insured Mail

1.0  BASIC INFORMATION:
[Amend 1.1 to read as follows:]

1.1  Description

    Retail insured mail provides up to $5,000 indemnity coverage for a 
lost, rifled, or damaged article, subject to the standards for the 
service and payment of the applicable fee. A bulk insurance discount is 
available for insured articles entered by authorized mailers who meet 
the criteria in 3.0. No record of insured mail is kept at the office of 
mailing. Insured mail service provides the sender with a mailing 
receipt. For mail insured for more than $50, a delivery record is kept 
at the post office of address. Insured mail is dispatched and handled 
in transit as ordinary mail.

1.2  Eligible Matter

[Amend 1.2 to read as follows:]
    The following types of mail matter may be insured:
    a. Standard Mail (B).
    b. First-Class Mail (including Priority Mail), only if it contains 
matter that would be eligible for mailing at a Standard Mail rate 
(i.e., is not matter described in E110 as required to be mailed as 
First-Class Mail). Sealed matter must be endorsed ``Standard Mail 
Enclosed,'' in addition to the First-Class Mail or Priority Mail 
endorsement.
    c. Official government mail endorsed ``Postage and Fees Paid.''

[Insert new 1.3f and g, to read as follows:]

1.3  Ineligible Matter

    The following items may not be insured:
* * * * *
    f. Matter mailed at Standard Mail (A) rates.
    g. Matter mailed at First-Class Mail rates (including Priority 
Mail) that consists of items described in E110 as required to be mailed 
at the First-Class rates.
* * * * *

1.5  Additional Services

[Amend 1.5 to add delivery confirmation service as follows:]
    Subject to applicable standards and fees, special handling, parcel 
airlift, merchandise return, and delivery confirmation services also 
may be used with insured mail. Restricted delivery and return receipt 
service (Form 3811) may be obtained for parcels insured for more than 
$50.
* * * * *
[Renumber current 3.0 as 4.0 and insert new 3.0 to read as follows:]
3.0  ADDITIONAL REQUIREMENTS--BULK INSURANCE

3.1  Eligibility

    To mail at the bulk insured rates, mailers must obtain an 
authorization under 3.2 and must meet the following criteria:
    a. Enter mailings of insured articles under an approved manifest 
mailing system agreement.
    b. Mail a minimum of 10,000 insured articles annually. To meet the 
minimum volume requirement, mailers may total all insured articles 
mailed at multiple locations.
    c. Provide a hard copy of Form 3877.
    d. Effective early 1999, also provide a soft (electronic) copy of 
Form 3877, Firm Mailing Book for Accountable Mail, in approved format.

3.2  Authorization

    Mailers must request authorization from the manager of Claims and 
Processing at the St. Louis ASC to mail at the bulk insured rates and 
to file claims under the alternative procedures for bulk insured mail 
under S010 (see G043 for address). The request must include 
documentation to show that the mailer meets the requirements in 3.1.

[[Page 12919]]

The manager approves or denies the request. A claimant may appeal the 
manager's determination under S010.4.2 and 4.3. If approved, the 
manager of Claims and Processing provides the mailer with a copy of the 
Bulk Insurance Technical Guide with the authorization to mail at the 
bulk insured rates. The Technical Guide includes the format 
instructions for the soft copy of Form 3877, Firm Mailing Book for 
Accountable Mail, and instructions for electronic filing of indemnity 
claims, which will become mandatory in early 1999.
* * * * *

S915  Return Receipt

1.0  BASIC INFORMATION

1.1  Description

[Clarify 1.1 to read as follows:]
    Return receipt service provides a mailer with evidence of delivery 
(to whom the mail was delivered and date of delivery). A return receipt 
also supplies the recipient's actual delivery address if it is 
different from the address used by the sender. A return receipt may be 
requested before or after mailing.

1.2  Availability

Amend 1.2 to provide for use with delivery confirmation as follows:]
    The service is available only for Express Mail and mail sent 
certified, collect on delivery (COD), insured for more than $50, or 
registered. Return receipt service may be used with delivery 
confirmation only if purchased in connection with insurance for more 
than $50, COD, or registry service. After delivery, the return receipt 
is mailed to the sender.
* * * * *
2.0  OBTAINING SERVICE

2.1  At Time of Mailing

[Correct the first sentence by changing ``Form 3811 or marking the 
mail'' to ``Form 3811 and marking the mail'' as follows:]
    The mailer may request the service at the time of mailing by using 
Form 3811 and marking the mail with the appropriate endorsement in 1.3. 
* * *
* * * * *

S916  Restricted Delivery

1.0  BASIC INFORMATION
* * * * *

1.2  Availability

[Amend 1.2 to provide for availability with delivery confirmation:]
    Restricted delivery may be obtained only for COD mail, mail insured 
for more than $50, registered mail, or certified mail. Restricted 
delivery may be used in connection with delivery confirmation service 
only if purchased along with insurance for more than $50, COD, or 
registry service.
* * * * *

S917  Return Receipt for Merchandise

1.0  BASIC INFORMATION
* * * * *

1.2  Availability

[Amend 1.2 to delete ``Single-Piece Standard Mail'' as follows:]
    The service is available only for merchandise sent at the Priority 
Mail, Parcel Post, Bound Printed Matter, Special Standard Mail, or 
Library Mail rates. This service may not be used on international mail.

1.3  Additional Services

[Amend 1.3 to delete ``Single-Piece Standard Mail'' and add ``Priority 
Mail'' as follows:]
    Special handling is available for Priority Mail, Parcel Post, Bound 
Printed Matter, Special Standard Mail, or Library Mail, subject to 
payment of the applicable fee.
* * * * *
[Add new S918 as follows:]

S918  Delivery Confirmation

1.0  BASIC INFORMATION

1.1  Description

    Delivery confirmation service provides a mailer with the date that 
an article was delivered or that a delivery attempt was made. 
(Signature confirmation (electronic return receipt service) will become 
available in 1999.) There are two types of delivery confirmation: 
retail delivery confirmation and electronic (non-retail) delivery 
confirmation. No record of delivery confirmation is kept at the office 
of mailing for either type of delivery confirmation. Delivery 
confirmation does not include insurance, but insurance may be purchased 
as an additional service (see 1.5).

1.2  Availability

    The service is available only for Priority Mail and Standard Mail 
(B).

1.3  Service Options

    The two delivery confirmation service options are as follows:
    a. The retail option is available at post offices at the time of 
mailing. It provides a mailing receipt and access to information that 
is collected by the USPS and indicates the date of delivery, or 
attempted delivery, of a mailed item. Customers are able to access this 
information by calling 1-800-222-1811 toll-free or by accessing the 
USPS Web site at www.usps.gov and entering the article number.
    b. The electronic (non-retail) option provides the sender with 
access to information indicating the date of delivery or attempted 
delivery of a mailed item. Delivery information may be obtained either 
by downloading the entire file or making individual inquiries via the 
Internet. No mailing receipt is provided. A USPS-approved electronic 
manifest is required for this option which involves computer links 
between the mailer and the USPS both to identify delivery confirmation 
mail to the USPS and to determine delivery status. Mailers must follow 
the procedures contained in Publication 91, Delivery Confirmation 
Technical Guide, apply a delivery confirmation barcoded label to each 
mailpiece, and transmit an electronic file of all items in a mailing 
prior to or at the time of mailing. If an electronic file passes USPS 
edit checks, acceptance data is entered into the USPS database. If 
there are edit errors, the USPS will generate an Error Report file that 
can be downloaded by the mailer so that a manifest can be corrected and 
retransmitted. Mailers can obtain delivery information either by 
downloading the entire file or making individual inquiries via the 
Internet.

1.4  Fee and Postage

    The applicable delivery confirmation fee, if any (R900), must be 
paid in addition to the correct postage. Fees apply to all pieces 
except those mailed at Priority Mail rates using electronic (non-
retail) delivery confirmation. The fee and postage may be paid with 
ordinary postage stamps, meter stamps, or permit imprints. The fee and 
postage on official mail of federal government agencies and departments 
are collected under applicable reimbursement procedures.

1.5  Additional Services

    Delivery confirmation may be combined with insured mail, registered 
mail, COD, or special handling. Return receipt service under S915 may 
be used with delivery confirmation only if purchased in connection with 
insurance (over $50), COD, or registry service. Restricted delivery may 
be used in connection with delivery confirmation service only if 
purchased along with insurance (over $50), COD, or registry service. 
See Publication 91, Delivery Confirmation Technical Guide, for further 
details.

[[Page 12920]]

1.6  Where To Mail

    Mailers may mail a retail delivery confirmation item at a post 
office, branch, or station or give it to a rural carrier. Delivery 
confirmation mail may not be deposited in a post office drop slot or 
lobby collection box, street collection box, non-personnel unit, or any 
similar receptacle for the deposit of mail.
2.0  LABELS

2.1  Types of Labels

    Mailers may use one of three delivery confirmation label options:
    a. USPS printed Forms 152 obtained from the post office at no 
charge.
    b. When authorized by the USPS, privately printed Forms 152 
(labels) that are identical, or nearly identical, in design to Form 152 
(see Exhibit 3.1).
    c. Privately printed barcoded labels that meet the requirements of 
sections 2.0 and 3.0.
    d. Additional information may be found in Publication 91, Delivery 
Confirmation Technical Guide.

2.2  Barcoded Label Location

    The barcoded label section of Form 152 (see Exhibit 3.1) must be 
placed either above the delivery address and to the right of the return 
address, or to the left of the delivery address. The label must be 
placed on the address side of an item for mailing.

2.3  Use of Peelable Labels

    a. Mailers who privately print Forms 152 (2.1b) or their own labels 
(2.1c) must use a piggy-backed label with a permanent adhesive silicon 
liner and a die-cut paper surface. The barcode must be printed on the 
die-cut portion of the label. Human-readable characters printed to 
represent the barcode ID must appear directly under the barcode and 
again below the peel-off barcode. The peel-off barcode must have a 
pick-out corner and be easily removable while also able to withstand 
handling by USPS.
    b. Until data collection device/scanner deployment is completed in 
1999, USPS will periodically make available a listing of 3-digit ZIP 
Codes where peelable labels do not have to be used. This information 
will be furnished electronically and published in the Postal Bulletin.
3.0  BARCODES

3.1  Symbology

    a. Mailers using the retail service option (1.3a) must print their 
barcodes using Automatic Identification Manufacturers (AIM) Uniform 
Specifications for USS-Interleave 2 of 5.
    b. Mailers using the electronic (non-retail) service option (1.3b) 
must use one of the following barcode symbologies: USS Code Interleaved 
2 of 5, USS Code 3 of 9, USS Code 128, or UCC/EAN 128. Each barcode 
must contain a unique Package Identification Code as specified in 3.2. 
Mailers should follow the procedures contained in Publication 91, 
Delivery Confirmation Technical Guide, for barcode specifications.

Exhibit 3.1  Retail Delivery Confirmation Label 152

[Retail label will be available in late March 1998]

BILLING CODE 7710-12-P

[[Page 12921]]

[GRAPHIC] [TIFF OMITTED] TP16MR98.000



BILLING CODE 7710-12-C

[[Page 12922]]

3.2  Package Identification Code

    a. Each barcode must contain a unique PIC and be made up of four 
fields totaling twenty (20) characters in all. The four required data 
fields are:
    (1) Service Type Code (STC)--two characters long and identifies the 
type of product or service used for each item.
    (2) Customer ID-nine character long D-U-N-S number that 
uniquely identifies the originating customer. Customers may obtain a D-
U-N-S number by calling 1-800-323-0505 or via the Internet 
at www.dnb.com.
    (3) Package Sequence Number (PSN)--a fixed sequential number eight 
characters long.
    (4) Check Digit--one character long.
    (5) Additional information may be found in Publication 91, Delivery 
Confirmation Technical Guide.
    b. For barcode specifications mailers should consult Publication 
91, Delivery Confirmation Technical Guide.

203.3  Printing

    Labels printed by mailers must meet the following specifications:
    a. Each barcoded label must bear a unique delivery confirmation 
Package Identification Code (PIC) barcode as specified in 3.2 and have 
``USPS DELIVERY CONFIRMATION'' printed between \1/8\-inch and \1/2\-
inch above the barcode in bold letters having a minimal size of 12 
point non-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 bold non-serif type of no less than 10 point. 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 barcode range of widths of narrow bars and spaces is 
0.015 inch to 0.017 inch. The width of the narrow bars or spaces shall 
be no less than 0.013 inch, nor greater than 0.021 inch. All bars shall 
be at least 0.75 inch high. Bold (\1/16\th inch minimum) lines must 
appear between \1/8\-inch and \1/2\-inch above and below the human-
readable endorsements to segregate the delivery confirmation barcode 
from other areas of the shipping label. The line length must be equal 
to the length of the barcode. See Exhibit 3.2 for an example of a 
customer printed non-retail delivery confirmation label. Additional 
information may be found in USPS Publication 91.
    b. Each barcode must meet the requirements in 3.1 for the type of 
service.
    c. Each printer used to print barcoded labels must be certified by 
USPS before a mailer may print. For certification, a mailer must 
forward 20 barcoded labels/forms generated by each printer to the 
National Customer Support Center (NCSC) (see G043) for evaluation and 
approval. The samples must be mailed to the attention of ``Barcode 
Certification.'' All barcodes must be in accordance with 2.0 and 3.0. 
In the event that barcode print quality falls out of tolerance after 
approval has been granted, mailers will be contacted by USPS and an 
effort will be made to jointly resolve the problem. Should 
circumstances warrant, the printing and use of customer printed labels/
forms may be discontinued until a mailer's printer(s) can be re-
certified.
    d. Endorsements used with additional services that are combined 
with delivery confirmation service must be prepared in accordance with 
sample formats contained in Publication 91, Delivery Confirmation 
Technical Guide.
4.0  ELECTRONIC FILE TRANSMISSION

4.1  Electronic File Transmission

    Publication 91, Delivery Confirmation Technical Guide, contains 
electronic file transmission specifications. Mailers may contact the 
National Customer Support Center (NCSC) (see G043) or call 1-800-331-
5746 for a copy of this publication. To use electronic file procedures, 
a test file must be uploaded and approved before mailings begin. Should 
electronic file quality fall below a standard of 95 percent over a 30-
day period, USPS may withdraw authorization and require re-
authorization. Any delivery confirmation item submitted while re-
authorization is pending will be subject to the retail rate.
* * * * *

S920  Convenience

S921  Collect on Delivery (COD) Mail

1.0  BASIC INFORMATION
* * * * *

1.2  Eligible Matter

[Amend 1.2 by removing ``Single-Piece Standard Mail'' to read as 
follows:]
    COD service may be used for Express Mail, First-Class Mail, 
Priority Mail, and Standard Mail (B) (Parcel Post, Bound Printed 
Matter, Special Standard Mail, and Library Mail) if:
* * * * *

1.4  Other Services

[Amend 1.4 to read as follows:]
    Subject to applicable standards and fees, return receipt, 
restricted delivery, and delivery confirmation services are available 
for COD. Restricted delivery is not available with Express Mail COD.
* * * * *

S922  Business Reply Mail (BRM)

1.0  BASIC INFORMATION
* * * *
[Revise heading of 1.5 to read as follows:]

1.5  Qualified Business Reply Mail (Formerly Business Reply Mail 
Accounting System)

[Revise 1.5 to read as follows:]
    Any mailer may obtain a reduced fee and reduced postage for the 
return of BRM cards and letters under Qualified Business Reply Mail 
(QBRM). QBRM provides an automated means of processing and rating BRM. 
To participate in QBRM:
* * * * *
    e. The correctly prepared barcode corresponding to the unique ZIP+4 
code in the address must appear on each QBRM piece distributed.
    f. Each BRM card or letter under QBRM must have a facing 
identification mark (FIM) C and meet the size and paper stock standards 
in C810.
* * * * *
2.0  PERMITS
* * * * *
[Amend the heading and text of 2.2 to read as follows:]

2.2  QBRM Participation

    To participate in QBRM, the mailer must make a written request to 
open an account for QBRM. The request must be submitted to the 
postmaster or business mail entry manager at the post office to which 
the pieces are to be returned. If the mailer's request is approved, the 
USPS issues the mailer an authorization letter. The mailer also 
receives instructions on how to prepare BRM, including the ZIP+4 codes 
to be used. The mailer must have a valid BRM permit and pay the annual 
accounting fee to participate in QBRM. Preproduction samples, if 
provided with the request, are reviewed by the USPS for compliance with 
the relevant standards.
* * * * *
3.0  POSTAGE AND FEES

3.1  Permit Fee

[Amend 3.1 to read as follows:]
    An annual BRM permit fee is charged each 12-month period.
* * * * *
[Replace current 3.4 and 3.5 with new 3.4 to read as follows:]

[[Page 12923]]

3.4  Charges

    a. Postage. The applicable First-Class Mail or Priority Mail 
postage on each returned piece is collected from the addressee on 
delivery. A lower rate of First-Class Mail postage applies to QBRM 
(R900).
    b. Fee Per Piece. The applicable BRM fee must be collected for each 
returned piece of BRM in addition to the applicable single-piece First-
Class Mail or Priority Mail postage. Lower piece fees apply to mail 
paid through a BRM advance deposit account and to QBRM pieces (R900).
    c. Improperly Prepared QBRM. The appropriate non-QBRM First-Class 
Mail postage plus the non-QBRM per piece fee is charged for:
    (1) Business reply cards and letters returned under QBRM that were 
rejected by USPS barcode sorters and found not to meet the standards 
for QBRM.
    (2) QBRM pieces with the incorrect barcode (e.g., a barcode 
representing the card rate on a letter-size piece).

[Renumber current 3.6 through 3.11 as 3.5 through 3.10, respectively. 
Amend renumbered 3.6 to read as follows:]

3.6  Cash or Postage Due

    Payment may be paid in cash or by a regular postage-due account. 
The applicable BRM fee is collected, but no business reply accounting 
fee is charged when a regular postage-due account is used (P011). A 
postage-due account does not qualify the BRM for the lower per piece 
charge given permit holders with a business reply account.

3.7  Account Use

[Amend renumbered 3.7c and d to read as follows:]
    A BRM advance deposit account must be used only for payment of 
postage and fees on BRM, subject to these conditions:
* * * * *
    c. When a permit holder with a business reply account desires a 
separation of charges, payment of a business reply accounting fee is 
required for each billing prepared for each separation. If a business 
reply accounting fee is not paid for each separation, the permit holder 
pays the appropriate non-QBRM First-Class Mail postage, plus for each 
separation the per-piece charge applicable to any mailer without a 
business reply account.
    d. A sufficient balance must be maintained in the permit holder's 
advance deposit account for BRM. The permit holder is notified if funds 
are insufficient. After 3 days, if no funds are deposited, BRM on hand 
is charged at the fee for postage due or cash transactions.
* * * * *

3.8  Single Item

[Amend renumbered 3.8 to read as follows:]
    Except for QBRM, two or more BRM pieces may be mailed as a single 
piece, if the BRM pieces are identically addressed and prepared in 
accordance with C100. BRM postage-due calculations are based on the 
total weight of the piece and the appropriate First-Class Mail or 
Priority Mail postage, plus the BRM charge for one piece. If the 
combined pieces become separated, BRM postage and fee charges are 
calculated for each piece.
* * * * *
4.0  FORMAT
* * * * *

4.3  Print Reflectance

[Amend 4.3 to read as follows:]
    All ink colors are acceptable, if the piece meets the appropriate 
reflectance standards in C830 and C840.
* * * * *

4.8  Delivery Address

[Amend 4.8 to read as follows:]
    Unless printed on an address label or on an insert for a window 
envelope under 6.0, the complete address (including the permit holder's 
name, street address and/or post office box number, city, state, and 
ZIP Code) must be printed directly on the piece, subject to these 
conditions:
    a. For pieces distributed under QBRM, the address must include a 
unique ZIP+4 code that is preassigned for the BRM piece and that 
identifies the type of BRM, the applicable rate, and the individual 
permit holder.
    b. Preprinted labels with only delivery address information 
(including a ZIP+4 barcode under 5.0) are permitted for addressing BRM 
but the permit holder's name must still be printed directly on the BRM. 
Permit holders are liable for the postage and fees on BRM returned with 
improper addressing.
    c. The bottom line of the address must not be lower than \5/8\ inch 
or higher than 2\1/4\ inches from the bottom edge of the piece. A clear 
margin void of any extraneous matter (except for the horizontal bars 
specified in 4.9) of at least 1 inch is required between the left and 
right edges of the piece and the address.
* * * * *
    f. A company logo is permitted if placed no lower than \5/8\ inch 
from the bottom edge of the piece on prebarcoded BRM or the top of the 
street address or the post office box line on nonbarcoded BRM. The logo 
must not interfere with any required business reply endorsements.
* * * * *
5.0  PREBARCODED BRM
[Delete current 5.1 through 5.7, and insert new 5.1 through 5.3 to read 
as follows:]

5.1  General Format Standards

    Prebarcoding of BRM is optional except for letter-size BRM enclosed 
in automation rate mailings and for BRM processed under QBRM. 
Prebarcoded BRM must meet all general format standards in 4.0, the 
applicable barcoding standards in C840, the mailpiece design 
requirements in C810, and these standards:
    a. FIM C must be used (see C100).
    b. The ZIP+4 codes and barcodes assigned to the BRM permit holder 
by the USPS must be used. Delivery point barcodes are not permitted on 
BRM.
    c. Except as provided in d, the ZIP+4 barcode must be placed on the 
address side of the piece and positioned in one of the appropriate 
locations in C840.
    d. Until July 1, 1999, mailers may continue to use existing stocks 
of BRM envelopes and cards with the barcode placed in the lower right 
corner within these boundaries:
    (1) Left: 4\1/2\ inches from the right edge of the piece.
    (2) Right: right edge of the piece.
    (3) Top: \5/8\ inch from the bottom edge of the piece.
    (4) Bottom: bottom edge of the piece.

5.2  Samples

    Mailers are encouraged to submit preproduction samples of BRM to 
the USPS for approval.

5.3  Error Notification

    If the USPS discovers a BRM format error, the responsible permit 
holder or authorized permit user receives written notification of the 
error and applicable specification. The permit holder must correct the 
error and make sure that all future BRM pieces distributed by any means 
meet appropriate specifications. The repeated distribution of BRM with 
a format error, as determined by the USPS, is grounds for revoking a 
business reply permit. To obtain a new permit after a BRM permit is 
revoked for not following BRM format specifications, a former permit 
holder must complete a new application on Form 3615, pay the required 
BRM permit fee, pay a new business reply accounting fee if applicable, 
and submit

[[Page 12924]]

two samples of each BRM format to the appropriate post office for 
approval for the next 2-year period.

[Replace 6.0 with the following:]
6.0  MAILPIECE CHARACTERISTICS

6.1  Paper Weight

    Paper envelopes used for BRM must meet the basis weight 
requirements in C810.

6.2  Nonpaper Envelopes

    USPS Engineering must approve nonpaper envelopes for mailability.

6.3  Reflectance

    BRM pieces must meet the reflectance requirements in C830.

6.4  Sealing and Edges

    Any BRM piece is nonmailable if sealed with wax, clasps, string, 
staples, or buttons; if all edges are not straight; or if the piece is 
not rectangular.

6.5  Window Envelope

    The following standards apply to BRM prepared in a window or open-
panel envelope:
    a. The pieces must meet the standards in C830 for envelopes with an 
address windows and inserts.
    b. The endorsement ``NO POSTAGE NECESSARY IF MAILED IN THE UNITED 
STATES,'' horizontal bars, FIM, and the legend ``BUSINESS REPLY MAIL'' 
must be printed directly on the address side of the envelope. Other 
required elements, including ``FIRST-CLASS MAIL PERMIT NO.,'' city, 
state, ``POSTAGE WILL BE PAID BY ADDRESSEE,'' and the permit holder's 
name and complete delivery address, may appear either on the enclosure 
in the window or be printed directly on the envelope.
    c. The address showing through the window must be that of the 
permit holder or an authorized agent/dealer.

6.6  BRM Self-Mailer

    Self-mailers must meet the standards in C810 and must contain 
instructions to the user for folding and sealing.

6.7  BRM Card

    A BRM card must be rectangular, not less than 3\1/2\ by 5 inches or 
more than 4\1/4\ by 6 inches, and of uniform thickness not less than 
0.007 inch or more than 0.016 inch to qualify for the card postage 
rate. Any card larger than those dimensions is mailable but is charged 
at the First-Class Mail rate for matter other than cards. Additional 
standards in C810 apply to barcoded BRM, including QBRM.

6.8  BRM Label

    The following standards apply to BRM labels:
    a. For other than letter-size pieces, the minimum size of a label 
with the legend ``Business Reply Label'' is 2 inches high and 3 inches 
long. It is not necessary to print FIMs or barcodes on these labels, 
but all other BRM format standards must be met.
    b. For letter-size envelopes, the minimum size of a label with the 
legend ``Business Reply Label'' is 2\5/8\ inches high and 4\1/4\ inches 
long. A FIM must be printed on the label. The label must be coated with 
a permanent adhesive strong enough to firmly attach the label to an 
envelope. The labels must meet the standards in 4.8 and 4.9, except 
that the series of horizontal bars on labels must be at least \3/4\ 
inch high.
    c. For letter-size envelopes, the permit holder must supply the 
user with instructions describing how the label should be applied to an 
envelope and the precautions that must be observed when applying the 
label (see Exhibit 6.8). A pictorial diagram showing proper placement 
of the label must be included with the instructions. At a minimum, the 
instructions must include:
    (1) Place the label squarely on the upper right corner of the 
envelope.
    (2) Do not write on the envelope.
    (3) Do not use a window envelope, an envelope that is less than 1 
inch taller than the label, or an envelope with any printing other than 
the return address.
    (4) Do not use the label on an envelope more than 4\1/2\ inches 
high.
    (5) Do not use tape to affix the label.
    d. The address must be printed in the address block, and the 
envelope with label affixed must meet applicable OCR readability 
standards in C830.
    e. Business reply labels may not be distributed under QBRM.

[Renumber former Exhibit 6.10 as Exhibit 6.8.]

[Revise title and contents of 7.0 to read as follows:]
7.0  ADDITIONAL QBRM MAILPIECE CHARACTERISTICS

7.1  Letter-Size Mail

    Each letter-size QBRM piece (envelopes, cards, and self-mailers) 
must meet the applicable standards in 5.0, C810, and C840.

7.2  Large Card

    Any QBRM card larger than the maximum dimensions in C100 for the 
card rate is subject to postage at the QBRM single-piece First-Class 
Mail rate for matter other than cards and must meet the standards in 
7.1.

S923  Merchandise Return Service

1.0  BASIC INFORMATION

1.1  Description

[Delete the words ``Single-Piece Standard Mail in 1.1.'']
* * * * *

1.3  Payment Guarantee

[Amend 1.3 for clarification and to eliminate return of articles at the 
single-piece Standard Mail (A) rate to read as follows:]
    a. The permit holder guarantees payment of the proper postage and 
fees on all returned merchandise return service articles distributed 
under the permit holder's permit number. Charges are collected for each 
article as postage due at the time of delivery or from a centralized 
advance deposit account using Form 3582-C, Postage Due Invoice.
    b. Articles are charged the required fees and the proper single-
piece rate as follows:
    (1) The Priority Mail, First-Class Mail, Bound Printed Matter, 
Special Standard, or Library Mail rate as marked on the label.
    (2) If no rate marking appears on the label, pieces weighing less 
than 16 ounces are charged the applicable First-Class Mail or Priority 
Mail rates based on weight, and pieces weighing 16 ounces or more are 
charged the Parcel Post rate.
    (3) See 1.12 for postage on articles received without a return 
address or a postmark.
* * * * *

1.11  Mailer Markings and Endorsements

[Revise 1.11 to read as follows:]
    If the permit holder desires matter weighing over 16 ounces to be 
returned at a rate other than Parcel Post, the permit holder must 
preprint the appropriate rate marking on the label. Matter weighing 
more than 11 ounces and less than 16 ounces may be returned only at 
Priority Mail rates, or, if meeting the applicable standards, at the 
Special Standard or Library Mail rates. The permit holder must preprint 
the applicable rate marking on matter weighing more than 11 ounces and 
less than 16 ounces. Matter weighing 11 ounces or less may be returned 
only at First-Class Mail or Priority Mail rates, or, if meeting the 
applicable standards, at the Special Standard or Library Mail rates. 
The permit holder must preprint the applicable rate marking on matter 
weighing 11 ounces or less returned at the Priority, Special Standard, 
or Library Mail rates. It is recommended

[[Page 12925]]

but not required that such matter be mailed at the First-Class Mail 
rates bear the preprinted marking ``First-Class'' or ``First-Class 
Mail.''

1.12  No Return Address or Postmark

    Articles received without a return address or postmark are charged 
the required fees and the proper single-piece rate as follows:
    a. The Priority Mail, First-Class Mail, Bound Printed Matter, 
Special Standard, or Library Mail rate as marked on the label.
    b. If no rate marking appears on the label pieces weighing 11 
ounces or less are charged the First-Class Mail rates, pieces weighing 
over 11 ounces and less than 16 ounces are charged the Priority Mail 
rates, and pieces weighing 16 ounces or more are charged the Parcel 
Post rate.
    c. Zoned rates are calculated at zone 4.
* * * * *
3.0  POSTAGE AND FEES
* * * * *

3.2 Transaction Fee

[Change ``Standard Mail'' to ``Standard Mail (B)'' as follows:]
    The applicable transaction fee is assessed for each item returned, 
in addition to single-piece Priority Mail, First-Class Mail, or 
Standard Mail (B) rate postage and the fees for pickup or special 
services, as applicable.
* * * * *
4.0  ADDITIONAL FEATURES

4.1  Insured Mail

[Amend 4.1 to read as follows:]
    The permit holder may obtain insured mail service with direct 
merchandise return service but not with Priority Mail reshipment. The 
customer using a merchandise return label to return an article that 
does not have the appropriate postage due computation markings in 5.0 
or the endorsement specified in 4.2 may not obtain insured mail 
service. Only Standard Mail matter (i.e., matter not required to be 
mailed at First-Class Mail rates under E110) returned at the Standard 
Mail (B) rates or First-Class Mail or Priority Mail rates may be 
insured. If the matter is to be returned as First-Class Mail or 
Priority Mail, the endorsement ``Standard Mail Enclosed'' must appear 
below the class of mail endorsement on the merchandise return label.
* * * * *

4.7  Special Handling

[Revise the last sentence to read: ``Special handling service is 
available only for articles returned at First-Class Mail, Priority 
Mail, or Standard Mail (B) rates.'']
* * * * *

4.10  Combining Special Services

[Amend 4.10 to read as follows:]
    Standard Mail articles (i.e., matter not required to be mailed at 
First-Class Mail rates under E110) may be both insured and receive 
special handing if the permit holder meets the applicable standards. 
Registered merchandise return pieces cannot receive any other special 
service.
* * * * *
5.0  FORMAT
* * * * *

5.6  Format Elements

* * * * *
[Revise 5.6c to read as follows:]
    Format standards required for the merchandise return label are 
shown in Exhibit 5.6c, Exhibit 5.6b, and Exhibit 5.6a and described as 
follows:
* * * * *
    c. Rate Marking. If the matter to be returned requires a rate 
marking under 1.11, the rate marking must be placed in the space to the 
right and above the ``Merchandise Return Label'' rectangle. The marking 
must be at least \1/4\ inch high and printed or rubber-stamped. Only 
the permit holder may apply this marking.
* * * * *
[Revise 5.6e(3) to read as follows:]
    e. Registry Service. * * *
* * * * *
    (3) The appropriate insurance endorsement, below the ``TOTAL 
POSTAGE AND FEES DUE'' entry: if matter returned has value ($0.01 or 
greater), ``REGISTERED MAIL SERVICE WITH POSTAL INSURANCE DESIRED BY 
PERMIT HOLDER''; if matter returned has no value ($0.00), ``REGISTERED 
MAIL SERVICE WITHOUT POSTAL INSURANCE DESIRED BY PERMIT HOLDER.''
* * * * *

S924  Bulk Parcel Return Service

* * * * *
2.0  PERMITS

2.1  Application Process and Participation

[Revise 2.1a and 2.1b to read as follows:]
    To participate in BPRS, the mailer must make a written request to 
the postmaster at each post office where parcels are to be returned. 
The request must:
    a. At a given delivery point, demonstrate receipt of 10,000 
returned machinable parcels (originally mailed at Standard Mail (A) 
rates) during the previous 12 months, or
    b. At a given delivery point, demonstrate a high likelihood of 
receiving a minimum of 10,000 returned machinable parcels (originally 
mailed at Standard Mail (A) rates) in the coming 12 months. * * *
* * * * *

2.2  Permit Renewal

[In the last two sentences change ``single-piece Standard Mail (A) 
rate'' to ``single-piece First-Class Mail or Priority Mail rate as 
appropriate for the weight of the piece.'']
* * * * *
[Add new section S925 to read as follows:]

S925  Prepaid Reply Mail (PRM)

1.0  BASIC INFORMATION

1.1  Description

    Prepaid reply mail (PRM) service allows participating mailers to 
provide their customers with USPS approved postage-paid reply envelopes 
or postcards that allow bill payments and other matter to be returned 
via First-Class Mail without a stamp. PRM may only be used in the 
United States and its territories and possessions and must not be sent 
to foreign countries. Participating mailers prepay postage based on 
estimated number of returns. The actual postage owed is reconciled by 
the mailer and the USPS through a periodic audit.

1.2  Services

    Special services (e.g., certified, COD, insurance, registration, 
return receipt, delivery confirmation) are not permitted with PRM.

1.3  Address

    The address and barcode on PRM may not be altered to an address 
other than that of the permit holder. PRM may not be converted for any 
purpose other than return to the permit holder, even when postage is 
affixed.

1.4  Official Mail

    Authorized users of official (penalty) mail may distribute PRM in 
mailings subject to the standards in E060.
2.0  PERMITS

2.1  Application Process

    The applicant must make a written request to the postmaster at each 
post office where the mailpieces that contain the PRM are initially 
distributed. The request must contain:

[[Page 12926]]

    a. Historical data from the past 24 months documenting outgoing 
mail volumes.
    b. Historical data from the past 24 months documenting the number 
and percentage of returns (e.g., BRM, CRM) received through the mail.
    c. Description of billing (outgoing) and remittance (incoming) 
processes, including samples of records used to document outgoing and 
incoming mail volumes at each postage increment.
    d. Preproduction samples of PRM pieces that meet the standards 
listed in 4.0 and Exhibit 4.4.
    e. A copy of the quality control procedures to be used that 
document the distribution and receipt of PRM pieces by postage 
increment.

2.2  Permit Renewal

    An annual renewal notice is provided to each PRM permit holder. The 
notice must be returned with payment to the post office that issued the 
permit by the expiration date. If, after notice, the permit holder does 
not renew a PRM permit:
    a. PRM is returned to the sender.
    b. PRM without the sender's return address is endorsed ``Prepaid 
Reply Permit Canceled'' and forwarded to the nearest mail recovery 
center for handling.
    c. PRM qualifying for the card rate and of no obvious value is 
treated as waste.

2.3  Required Elements

    The permit holder's name, city, state, and permit number must be 
printed on the distributed PRM.

2.4  Fees

    A separate permit fee must be paid at each post office where PRM is 
distributed. A monthly accounting/administrative fee must also be paid 
at each post office.

2.5  Misuse

    In any case where PRM is used improperly (such as a label), the 
post office treats the item as waste.
3.0  POSTAGE AND FEES

3.1  Permit Fee

    An annual PRM permit fee is charged each 12-month period.

3.2  Monthly Accounting/Administrative Fee

    A monthly accounting/administrative fee is also required and 
payable at each post office where mail is returned. This fee must be 
deductible from a Centralized Automated Payment System (CAPS) account 
or at the option of the permit holder, other approved electronic funds 
transfer (EFT).

3.3  Schedule

    The annual permit fee must be paid once each 12-month period, based 
on the anniversary date of the permit's issuance or previous fee 
payment, whichever is later. The fee may be paid in advance only for 
the next year and only during the last 30 days of the current service 
period. The fee charged is that which is in effect on the date of 
payment.

3.4  Postage Payment

    Postage is prepaid based on the mailer's estimated returns when the 
PRM pieces are distributed in an outgoing mailing. Payment may be made 
only through a PRM advance deposit account, CAPS account, or other 
approved EFT. The actual postage owed by the mailer for PRM pieces is 
reconciled by the mailer and the USPS through a periodic audit. If a 
permit holder desires a separation of pieces, the pieces must be 
addressed in accordance with 4.8 to valid post office box or caller 
service numbers and appropriate post office box/caller service fees 
paid (D190).

3.5  With Stamps Affixed

    PRM with postage affixed by the customer is handled like other PRM. 
No effort is made to identify or separate PRM pieces with postage 
affixed. Neither the permit holder nor the customer may apply for a 
refund of any value of United States or foreign postage stamps affixed.
4.0  FORMAT

4.1  General

    All forms of printing are permissible if legible to the 
satisfaction of the USPS. Handwriting, typewriting, or hand-stamping 
may not be used.

4.2  Printed Borders

    Printed borders are not permitted on letter-size PRM.

4.3  Print Reflectance

    All ink colors are acceptable, provided the piece meets the 
applicable standards in C100 for FIM C and C840 for barcoding.

4.4  Elements

    All the format elements described in 4.5 through 4.10 must appear 
correctly on each PRM piece (see Exhibit 4.4).

BILLING CODE 7710-12-P

[[Page 12927]]

[GRAPHIC] [TIFF OMITTED] TP16MR98.001



BILLING CODE 7710-12-P

[[Page 12928]]

4.5 No Postage Stamp Necessary Endorsement

    The endorsement ``NO POSTAGE STAMP NECESSARY IF MAILED IN THE 
UNITED STATES'' must be printed in the upper right corner of the face 
of the piece. The endorsement must not extend more than 1\3/4\ inches 
from the right edge of the piece.

4.6 Prepaid Reply Mail Legend

    The legend ``PREPAID REPLY MAIL'' must appear on all PRM envelopes 
and cards above the address in capital letters at least \1/4\ inch 
high.

4.7 Permit Number and Postage Endorsement

    Directly below the prepaid reply legend, the words ``FIRST-CLASS 
MAIL PERMIT NO.'' followed by the permit number and name of the issuing 
post office (city and state) must be shown in capital letters. 
Immediately below the class and permit number information, the 
endorsement ``POSTAGE HAS BEEN PREPAID BY ADDRESSEE'' must appear.

4.8 Delivery Address

    Unless printed on an insert for a window envelope under 5.2, the 
complete address (including the permit holder's name, street address or 
post office box number, city, state, and ZIP Code) must be printed 
directly on the mailpiece, subject to these conditions:
    a. The address must include the ZIP+4 code that was preassigned for 
the PRM piece.
    b. The bottom line of the address must not be lower than \5/8\ inch 
or higher than 2\1/4\ inches from the bottom edge of the piece.
    c. A clear margin void of any extraneous matter of at least 1 inch 
is required between the left and right edges of the mailpiece and the 
address.
    d. Firm unique 5-digit ZIP Codes, unless assigned exclusively for 
PRM, must not be used. A 4-digit add-on to denote PRM may only be used 
with a firm unique 5-digit ZIP Code specifically assigned to PRM.
    e. A company logo is permitted, but must be placed no lower than 
\5/8\ inch from the bottom edge of the mailpiece. The logo must not 
interfere with any required PRM endorsements or barcode.
    f. The upper left corner of the address side of the piece is 
available for permit holder use.

4.9 Facing Identification Mark (FIM)

    A facing identification mark (FIM) C must be printed on all PRM 
pieces. The FIM C must meet the physical standards in C100.

4.10 Automation Compatibility Standards

    Prebarcoding of PRM is required. PRM must meet all general format 
standards in 4.0, the applicable barcoding standards in C840, and these 
standards:
    a. The ZIP+4 code(s) and corresponding barcode(s) assigned to the 
PRM permit holder by the USPS must be used.
    b. The barcode, as appropriate, must be placed on the address side 
of the piece and positioned in one of these locations:
    (1) As part of the delivery address block under C840 if printed on 
an insert placed in a window envelope or,
    (2) Within the barcode clear zone in the lower right corner of the 
piece.
5.0 ERROR NOTIFICATION
    If the USPS discovers a PRM format error, the permit holder will 
receive written notification of the error and applicable 
specifications. The permit holder must correct the error and make sure 
that all future PRM pieces meet appropriate specifications. The 
repeated mailing of PRM with a format error, as determined by the USPS, 
is grounds for revoking a prepaid reply mail permit. To obtain a new 
permit after a PRM permit is revoked for not following PRM format 
specifications, a former permit holder must wait 90 days, then complete 
a new application/authorization process, and pay the required PRM 
permit fee upon approval.
6.0 MAILPIECE CHARACTERISTICS

6.1 Paper Weight

    All letter-size envelopes and cards used for PRM must meet the 
applicable standards in C810 and C840.

6.2 Piece Weight

    PRM service may be used on all cards and envelopes weighing 2 
ounces or less.

6.3 Window Envelopes

    Additional standards that apply specifically to PRM prepared in a 
window or open-panel envelope are:
    a. The endorsement ``NO POSTAGE STAMP NECESSARY IF MAILED IN THE 
UNITED STATES,'' FIM C, and the legend ``PREPAID REPLY MAIL'' must be 
printed on the address side of the envelope. Other required elements 
include ``FIRST-CLASS MAIL PERMIT NO.,'' city, state, and ``POSTAGE HAS 
BEEN PREPAID BY ADDRESSEE.'' The permit holder's name and complete 
delivery address may appear on the enclosure in the window or be 
printed directly on the envelope.
    b. There must be at least a 1/8 inch clearance and no extraneous 
(non-address) printing around the edges of the address shown in the 
window, even when the address insert is moved to its full limits inside 
the window envelope.
    c. The window must not be lower than 5/8 inch from the bottom edge 
of the envelope. This area is reserved for addressing and barcodes 
(unless there is 4-3/4 inches of horizontal clear space for printing 
barcodes). The address showing through the window must be that of the 
permit holder and must be at least 1 inch from the left or right edge 
of the mailpiece.
    d. Materials covering windows must allow the address to be 
readable.

6.4 Large Cards

    Any PRM card larger than the maximum dimensions in C100 for the 
card rate is subject to postage at the First-Class Mail PRM rate for 
matter other than cards and must meet the applicable standards in 6.1.

6.5 PRM Self-Mailers

    Self-mailers are not permitted in PRM.

S930 Handling

1.0 SPECIAL HANDLING

1.1 Description

[In 1.1 change ``E620'' to ``E630.'']

[Amend 1.2 and 1.3 to read as follows:]

1.2 Availability

    Special handling service is available only for First-Class Mail, 
Priority Mail, and Standard Mail (B) (Parcel Post, Bound Printed 
Matter, Special Standard Mail, and Library Mail).

1.3 Additional Services

    Special handling can be combined with COD, insured, return receipt 
for merchandise, and delivery confirmation, if the applicable standards 
for the services are met and the additional service fees paid.

1.4 Bees and Poultry

    Unless sent at the First-Class or Priority Mail rates, special 
handling is required for parcels containing honeybees or baby poultry.
* * * * *
    An appropriate amendment to 39 CFR 111.3 to reflect these 
changes will be published if the proposal is adopted.
Stanley F. Mires,
Chief Counsel, Legislative.
[FR Doc. 98-6553 Filed 3-13-98; 8:45 am]
BILLING CODE 7710-12-P