[Federal Register Volume 63, Number 136 (Thursday, July 16, 1998)]
[Rules and Regulations]
[Pages 38309-38311]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-19017]


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POSTAL SERVICE

39 CFR Part 111


Use and Determination of Postage Value of Breast Cancer Research 
Semi-postal Stamp

AGENCY: Postal Service.

ACTION: Final rule; request for comments.

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SUMMARY: This rule amends the Domestic Mail Manual to establish the 
terms and conditions for use and determination of value of the Breast 
Cancer Research Semi-postal Stamp.

DATES: Effective July 29, 1998. Comments must be received on or before 
August 17, 1998.

ADDRESSES: Mail or deliver written comments to the Manager, Mail 
Preparation and Standards, 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 USPS Headquarters Library, 475 L'Enfant Plaza 
SW, 11th Floor N, Washington, DC.

FOR FURTHER INFORMATION CONTACT: Anne Emmerth, (202) 268-2363.

SUPPLEMENTARY INFORMATION: The Stamp Out Breast Cancer Act, Pub. L. No. 
105-41, 111 Stat. 1119 (1997), directs the Postal Service to make 
available a Breast Cancer Research Semi-postal Stamp at a special price 
to enable the public to make contributions to fund breast cancer 
research. The Act specifies that the price of the special postage stamp 
is the First-Class Mail single-piece first-ounce letter rate plus a 
differential not to exceed 25 percent of that rate category. The Act 
empowers the Governors of the United States Postal Service to establish 
the price for the stamp. Pursuant to the Act, the Governors have 
established a price of 40 cents for each Breast Cancer Research Semi-
postal Stamp.
    Mailers may use the Breast Cancer Research Semi-postal Stamp in 
place of First-Class Mail single-piece first-ounce letter rate stamps 
on their mail, if they so choose, in order to make a contribution. The 
difference between the purchase price of the stamp (40 cents) and the 
First-Class Mail single-piece first-ounce letter rate (currently 32 
cents) less associated costs will be used to fund breast cancer 
research. Pursuant to the Act, the Postal Service is directed to pay, 
after deduction for its reasonable costs, 70 percent of the revenue 
from the differential to the National Institutes of Health, and the 
remainder to the Department of Defense.
    The stamp's dual purposes, namely, as a means of payment of postage 
and as a device for raising funds for breast cancer research, require 
that special terms and conditions apply to the use of the stamp. In 
particular, because the stamp must be made available for a two-year 
period, and given that the Act does not require that the stamp's price 
be changed in the event that a change in the First-Class Mail single-
piece rate is implemented during the two-year period, the Postal 
Service has determined that the stamp will be non-denominated. This 
measure preserves the Governors' option of maintaining the price of the 
Breast Cancer Research Semi-postal Stamp at 40 cents, even after the 
First-Class Mail single-piece rate is raised to 33 cents after the 
stamp's issuance, without the need to reprint the stamp with a new 
numerical denomination. When the First-Class Mail single-piece rate is 
increased to 33 cents on January 10, 1999, the postage value of Semi-
postal stamps purchased before such change is effected will remain the 
same. Stamps purchased after a change in the First-Class Mail single-
piece rate is effected will have a postage value equivalent to that 
rate at the time of purchase. Thus, Semi-postal stamps purchased before 
the First-Class Mail single-piece rate is changed on January 10, 1999, 
will have a postage value of $0.32; Semi-postal stamps purchased after 
the rate change is implemented will have a postage value of $0.33.
    In lieu of a numerical denomination, the stamp will bear the words 
``First-Class.'' This measure is intended to inform mailers that the 
stamp's postage value is equal to the First-Class Mail single-piece 
letter rate in effect at the time of purchase. In addition, the 
Domestic Mail Manual distinguishes the price of the stamp from its 
postage value and establishes that the postage value of the stamp is 
determined by the First-Class Mail first-ounce single-piece letter rate 
in effect at the time of purchase.
    Conforming limitations on refunds and valuation for purposes of 
exchange or conversion are also included in the final rule. A 
conforming amendment is also made to DMM R000.4.0.
    Although exempt from the notice and comment requirements of the 
Administrative Procedure Act (5 U.S.C. 553(b), (c)) regarding 
rulemaking by 39 U.S.C. 410(a), the Postal Service is seeking comments 
on the following revisions of the Domestic Mail Manual (DMM), 
incorporated by reference in the Code of Federal Regulations. See 39 
CFR part 111.

[[Page 38310]]

List of Subjects in 39 CFR Part 111

    Postal Service.

    Accordingly, 39 CFR 111 is amended as follows:

PART 111--[AMENDED]

    1. The authority citation for 39 CFR part 111 is amended to read as 
follows:

    Authority: 5 U.S.C. 552(a); 39 U.S.C. 101, 401, 403, 414, 3001-
3011, 3201-3219, 3403-3406, 3621, 3626, 5001.

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

P  Postage and Payment Methods

* * * * *

P014  Refunds and Exchanges

1.0  STAMP EXCHANGES

1.1  USPS Fault

    [Amend to read:]
    The post office may correct mistakes in selling damaged, defective, 
or otherwise unserviceable stamps by exchanging stamps at full postage 
value.

1.2  Damaged in Customer's Possession

    [Amend the last sentence to read as follows:]
    * * * Each such transaction is limited to $100 worth of postage 
from each customer.
* * * * *

1.5  Purchase Error

    [Amend the first sentence to read as follows:]
    If a customer bought the wrong denomination stamps (or the wrong 
kind, size, or denomination envelope), they may be exchanged at full 
postage value. * * *
* * * * *
2.0  POSTAGE AND FEES REFUNDS
* * * * *
    [Add new 2.10 to read as follows:]

2.10  Breast Cancer Research Semi-postal Stamps

    Customers may exchange or convert Breast Cancer Research Semi-
postal Stamps for their postage value, i.e., the price of the stamps 
less the contribution amount, to the extent exchange or conversion of 
postage stamps is permitted under P014. The postage exchanged or 
converted is equivalent to the First-Class Mail single-piece rate in 
effect at the time of purchase (currently $0.32), as supported by the 
mailer's receipt. The contribution amount is not included in the 
exchange or conversion value. If the mailer cannot produce a receipt, 
the exchange or conversion value of each Breast Cancer Research Semi-
postal Stamp cannot exceed $0.32 per stamp, regardless of whether the 
First-Class Mail single-piece rate in effect at the time of purchase is 
$0.33 or higher.
* * * * *

P020  Postage Stamps and Stationery

P022  Adhesive Stamps

1.0  PURCHASE AND USE
* * * * *
    [Create 1.6 to read as follows:]

1.6  Breast Cancer Research Semi-postal Stamps

    Breast Cancer Research Semi-postal Stamps are subject to special 
limitations and conditions:
    a. Breast Cancer Research Semi-postal Stamps provide a means for 
customers to make contributions toward breast cancer research. Breast 
Cancer Research Semi-postal Stamps are offered for sale for a limited 
time as provided under 39 U.S.C. 414.
    b. The price of the Breast Cancer Research Semi-postal Stamp is 40 
cents. The postage value of the Breast Cancer Research Semi-postal 
Stamp is the First-Class Mail Nonautomation Single-Piece first-ounce 
letter rate in R100.1.2 that is in effect at the time of purchase. The 
difference between the purchase price and the First-Class Mail 
Nonautomation Single-Piece first-ounce letter rate in effect at the 
time of purchase constitutes a contribution to breast cancer research, 
and cannot be used to pay postage. Additional postage must be affixed 
to pieces weighing in excess of one ounce, pieces subject to the 
nonstandard surcharge, or pieces for which special services have been 
elected. The postage value of Breast Cancer Research Semi-postal Stamps 
is fixed according to the First-Class Mail Nonautomation Single-Piece 
first-ounce letter rate in effect at the time of purchase; the postage 
value of Breast Cancer Research Semi-postal Stamps purchased before any 
subsequent change in the First-Class Mail Nonautomation Single-Piece 
first-ounce letter rate is unaffected by any subsequent change in that 
rate.
    c. Contributions to breast cancer research made through purchase of 
Breast Cancer Research stamps are not refundable. The postage value of 
Breast Cancer Research stamps for purposes of exchange or conversion 
under P014 is determined by the First-Class Mail Nonautomation Single-
Piece rate in effect at the time of purchase, or as otherwise provided 
in P014.2.10.
* * * * *

R Rates and Fees

    R000  Stamps and Stationery
* * * * *
    [Amend the table in R000.4.0 to include the following line item:]

                                                                                                                
----------------------------------------------------------------------------------------------------------------
               Purpose                           Form                             Denomination                  
----------------------------------------------------------------------------------------------------------------
                                                                                                                
*                  *                  *                  *                  *                  *                
Breast Cancer Research...............  Panes of up to 20......  Purchase Price of $0.40; Postage Value          
                                                                 Equivalent to First-Class Mail Nonautomation   
                                                                 Single-Piece Rate (currently $0.32); remainder 
                                                                 is contribution to fund Breast Cancer Research.
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[[Page 38311]]

* * * * *
    An appropriate amendment to 39 CFR 111.3 will be published to 
reflect these changes.
Stanley F. Mires,
Chief Counsel, Legislative.
[FR Doc. 98-19017 Filed 7-15-98; 8:45 am]
BILLING CODE 7710-12-P