[Federal Register Volume 65, Number 210 (Monday, October 30, 2000)]
[Proposed Rules]
[Pages 64643-64648]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-27706]


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POSTAL SERVICE

39 CFR Part 111


Sack Preparation Changes for Periodicals Nonletter-Size Mailing 
Jobs That Include Automation Flat Rate and Presorted Rate Mailings

AGENCY: Postal Service.

ACTION: Proposed rule.

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SUMMARY: This proposed rule would revise the standards for preparation 
of Periodicals nonletter-size mailing jobs that include both an 
automation flats mailing and a Presorted flats mailing to require use 
of the co-sacking preparation method in Domestic Mail Manual (DMM) 
M910.

DATES: Comments must be received on or before November 30, 2000.

ADDRESSES: Send written comments to the Manager, Mail Preparation and 
Standards, U.S. Postal Service, 1735 N. Lynn St, Room 3025, Arlington, 
VA 22209-6038. 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 Postal Service Library, 475 L'Enfant Plaza SW, Room 11-
N, Washington DC.

FOR FURTHER INFORMATION CONTACT: Lynn M. Martin, 703-292-3645.

SUPPLEMENTARY INFORMATION: The Postal Service and the Periodicals 
industry are concerned over recent upward trends in the costs 
associated with processing Periodicals mail and have been studying ways 
to reverse these trends. Several ideas have come out of mutual 
discussions involving representatives from the Postal Service and the 
Periodicals industry. Cost models suggest that we can reduce handling 
costs for Periodicals by requiring sacked nonletter-size mail to be 
prepared in a manner that will reduce the number of sacks prepared and 
handled, and

[[Page 64644]]

concurrently increase the number of more finely presorted sacks in the 
manner set forth as a presort option in Domestic Mail Manual (DMM) 
M910, to go into effect December 15, 2000. This presort option allows 
mailers of nonletter-size Periodicals (as well as flat-size First-Class 
Mail and Standard Mail (A)) to combine packages of automation rate mail 
and packages of Presorted rate mail in the same sack or, for First-
Class Mail, in the same tray.
    In order to reduce processing costs for the handling of Periodicals 
mail, the Postal Service is proposing that Periodicals mailers be 
required to prepare sacked mailing jobs of nonletter-size mail that 
include both an automation flats rate mailing and a Presorted rate 
mailing using the co-sacking preparation requirements in DMM M910.
    The proposed effective date of this change is the date of 
implementation of the rates resulting from the R2000-1 rate case. It is 
anticipated that this implementation date will be in January 2001.
    To help mailers identify the requirements for a Presorted rate 
mailing, this proposal also reorganizes Domestic Mail Manual E200 and 
M200 to separate the eligibility and presort requirements for 
Periodicals Presorted rate mailings from those of carrier route 
mailings. DMM E200 will now contain section E220 that pertains only to 
Presorted rate mailings and section E230 that pertains only to carrier 
route mailings. (The information published in proposed DMM E220 in the 
Federal Register proposed rule of August 29, 2000 (65 FR 52480), 
``Proposed Changes to the Domestic Mail Manual to Implement Docket No. 
R2000-1,'' will be redesignated as DMM E217 when a final rule regarding 
that proposal is published.) DMM M200 will now contain section M210 
that pertains only to Presorted rate mailings and section M220 that 
pertains only to carrier route mailings. Under current standards, 
Presorted and carrier route are two separate mailings with separate 
eligibility requirements and separate packaging and sacking 
requirements. This reorganization does not change current requirements, 
but reflects the separate mailing status of these two types of 
mailings. It also makes the DMM numbering for Periodicals consistent 
with the numbering system used for Standard Mail (A).
    As information, the DMM language in this proposed rule incorporates 
revisions to the DMM from three previously published Federal Register 
final rules that also will take effect on the date of implementation of 
the rates resulting from the R2000-1 rate case. These final rules are:
    1. ``Sack Preparation Changes for Periodicals Nonletter-Size Pieces 
and Periodicals Prepared on Pallets'' published on July 28, 2000 (65 FR 
46361).
    2. ``Line-of-Travel Sequencing for Basic Carrier Route 
Periodicals'' published on July 28, 2000 (65 FR 46363).
    3. ``Domestic Mail Manual Changes for Sacking and Palletizing 
Periodicals Nonletters and Standard Mail (A) Flats, for Traying First-
Class Flats, and for Labeling Pallets'' published on August 16, 2000 
(65 FR 50054).
    Accordingly, the numbering and the language of the DMM sections in 
this proposed rule have been synchronized with these final rules and 
may not match the numbering and language in current DMM Issue 55.
    Although exempt from the notice and comment requirements of the 
Administrative Procedure Act (5 U.S.C. 410(a)), the Postal Service 
invites comments on the following proposed revisions to the Domestic 
Mail Manual, incorporated by reference in the Code of Federal 
Regulations. See 39 CFR part 111.

List of Subjects in 39 CFR Part 111

    Administrative practice and procedure, Postal Service.

PART 111--[AMENDED]

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

    Authority: 5 U. S. C. 552(a); 39 U. S. C. 101, 401, 403, 404, 
414, 3001-3011, 3201-3219, 3403-3406, 3621, 3626, 5001.

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

Domestic Mail Manual (DMM)

E Eligibility

* * * * *

E200  Periodicals

* * * * *
    [Add heading E220 to read as follows:]

E220  Presorted Rates

    [Add new summary to read as follows:]
    Summary. E220 describes the eligibility standards for mailing 
Presorted rate mailings (5-digit, 3-digit, and basic rates). It also 
describes combining multiple publications or editions.
    [Add new 1.0 that copies information from E230 and deletes 
information pertaining to carrier route mail to read as follows:]
1.0  BASIC INFORMATION

1.1  Standards

    The standards for Presorted rates are in addition to the basic 
standards for Periodicals in E210, the standards for other rates or 
discounts claimed, and the applicable preparation standards in M045, 
M200, M910, M920, M930, or M940. Not all combinations of presort level, 
automation, and destination entry discounts are permitted.
    [Copy E230.1.2 as new E220.1.2 and amend to include references to 
new palletization options to read as follows:]

1.2  Palletized Mail

    A correctly prepared package is the equivalent of a sack when 
palletized under M045, M920, M930, or M940. Individual pieces qualify 
for the presort level rate appropriate for the palletized packages in 
which they are placed, regardless of the destination of the pallet. 
Eligibility for destination entry or other zoned rates depends on the 
point of entry.
    [Redesignate E230.1.3 as E220.1.3.]

1.4  Barcodes

    [Copy E230.1.4 as E220.1.4 and amend by changing ``nonautomation'' 
to ``Presorted'' to read as follows:]
    Any POSTNET barcode on a mailpiece in a Presorted Periodicals 
mailing must be correct for the delivery address and meet the standards 
in C840 and A950.

1.5  Documentation

    [Copy E230.1.5 to E220.1.5, amend by adding information on postage 
statements to read as follows:]
    A complete, signed postage statement, using the correct USPS form 
or an approved facsimile, must accompany each mailing, supported by 
standardized documentation meeting the basic standards in P012. 
Documentation of postage is not required if each piece in the mailing 
is of identical weight and the pieces are separated when presented for 
acceptance by rate, by zone (including separation by In-County and 
Outside-County rates), and by entry discount (e.g., DDU and DSCF).
    [Add new heading 2.0 to read as follows:]

2.0  Rates

    [Redesignate E230.3.0 through E230.5.0 as E220.2.1, 2.2, and 2.3, 
respectively.]
    [Copy E230.7.0 as E220.3.0.]
    [Revise the heading of E230 to read as follows:]

[[Page 64645]]

E230  Carrier Route Rates

    [Amend the summary to exclude non-carrier route rates to read as 
follows:]
    Summary. E230 describes the eligibility standards for mailing at 
carrier route rates. It also describes combining multiple publications 
or editions.
1.0  BASIC INFORMATION

1.1 Standards

    [Amend 1.1 to delete information on Presorted rate mail to read as 
follows:]
    The standards for carrier route rates are in addition to the basic 
standards for Periodicals in E210, the standards for other rates or 
discounts claimed, and the applicable preparation standards in M045, 
M200, M910, M920, M930, or M940. Not all combinations of presort level, 
automation, and destination entry discounts are permitted.
    [Amend 1.2 to include references to new palletization options to 
read as follows:]

1.2  Palletized Mail

    A correctly prepared package is the equivalent of a sack when 
palletized under M045, M920, M930, or M940. Individual pieces qualify 
for the presort level rate appropriate for the palletized packages in 
which they are placed, regardless of the destination of the pallet. 
Eligibility for destination entry or other zoned rates depends on the 
point of entry.
    [Redesignate the heading 2.1 as 1.3 and amend to read as follows:]

1.3  Carrier Route Code Accuracy

    [Redesignate the text of 2.1 as 1.3 and amend to add references to 
the sequencing requirements to read as follows:]
    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. The applicable 
sequencing requirements in 2.2, 3.0, and M050 must also be met.
* * * * *

1.5  Documentation

    [Amend 1.5 to add information on postage statement standards and to 
add a cross-reference to the documentation requirements in M050 for 
sequencing to read as follows:]
    A complete, signed postage statement, using the correct USPS form 
or an approved facsimile, must accompany each mailing, supported by 
standardized documentation meeting the basic standards in P012. 
Documentation of postage is not required if each piece in the mailing 
is of identical weight and the pieces are separated when presented for 
acceptance by rate, by zone (including separation by In-County and 
Outside-County rates), and by entry discount (e.g., DDU and DSCF). 
Documentation of sequencing and of density standards under M050 must be 
submitted with each mailing.
    [Revise the heading of 2.0 (as set forth in the final rule 
published in 65 FR 50054, August 16, 2000), and add new heading 2.1 to 
read as follows:]
2.0  Sortation and Sequencing

2.1  Sortation

    [Redesignate the contents of 2.2a (as set forth in the final rule 
published in 65 FR 50054, August 16, 2000) as 2.1a and b to separate 
letter mail standards from nonletter mail standards to read as 
follows:]
    Preparation to qualify eligible pieces for carrier route rates is 
optional and is subject to M045, M200, or (nonletter-size mail only) 
M920, M930, or M940. Carrier route sort need not be done for all 
carrier routes in a 5-digit area. Specific rate eligibility is subject 
to these standards:
    a. The carrier route rates for letter-size mail apply to copies 
that are prepared in carrier route packages of six or more pieces each 
that are sorted to carrier route, 5-digit carrier routes, or 3-digit 
carrier routes trays.
    b. The carrier route rates for nonletter-size mail apply to copies 
of flat-size or irregular parcel-size pieces prepared in carrier route 
packages of six or more pieces each, and that are sorted to pallets 
under M045 or M920, M930, or M940, or sacked in carrier route, 5-digit 
scheme carrier routes, or 5-digit carrier routes sacks, and, if 
prepared under M920, merged 5-digit scheme sacks or merged 5-digit 
sacks. Preparation of 5-digit scheme carrier routes sacks or pallets is 
required and must be done for all 5-digit scheme destinations. 
Preparation of merged 5-digit sacks and merged 5-digit scheme sacks is 
optional but if performed must be done for all 5-digit ZIP Codes for 
which there is an ``A'' or ``C'' indicator in the City State Product 
that permits co-containerization of carrier route and 5-digit packages. 
Preparation of merged 5-digit pallets and merged 5-digit scheme pallets 
is optional but if performed must be done for all 5-digit ZIP Codes or 
5-digit schemes for which those pallet levels are possible (under M920 
if there is an ``A'' or ``C'' indicator in the City State Product, 
under M930 if the 5% threshold standard is met, and under M940 if ZIP 
Codes have an ``A'' or ``C'' indicator in the City State Product and if 
ZIP Codes with a ``B'' or ``D'' indicator in the City State Product 
meet the 5% threshold standards). For merged 5-digit scheme sacks or 
pallets, preparation also must be done for all 5-digit scheme 
destinations. The applicable sequencing requirements in M050 and in 
2.2a or 2.2b also must be met.
    [Amend the heading of 2.2 and redesignate 2.2b and c (as set forth 
in the final rule published in 65 FR 50054, August 16, 2000) as 2.2a 
and b, to read as follows:]

2.2  Sequencing Requirements

    Carrier route mail must be prepared in delivery sequence as 
follows:
    a. Basic carrier route rate mail must be prepared either in carrier 
walk sequence or in line-of-travel (LOT) sequence according to LOT 
schemes as prescribed by the USPS (M050).
    b. The high density and saturation rates apply to pieces that are 
eligible for carrier route rates under 2.1, are prepared in carrier 
walk sequence, and meet the applicable density standards in 3.0 for the 
rate claimed.
    [Redesignate 6.0 (as set forth in the final rule published in 65 FR 
50054, August 16, 2000) as 3.0; amend redesignated 3.1 by changing the 
reference ``2.2'' to ``1.0 and 2.0'' and by changing the reference 
``6.4'' to ``3.4'', amend redesignated 3.4 by changing all references 
to ``6.4'' to ``3.4.'']
    [Redesignate 7.0 as 4.0.]
* * * * *

M200  Periodicals (Nonautomation)

    [Add new heading M210 to read as follows:]

M210  Presorted Rate Periodicals

    [Redesignate the summary of M200 as the summary of M210 and amend 
to delete references to carrier route mail to read as follows:]
    Summary. M200 describes the basic standards for Periodicals 
Presorted rate mailings including package and tray preparation for 
letters, and package and sack preparation for flats and irregular 
parcels. Additional requirements for preparing mail on pallets are in 
M041 and M045, or M041 and M920, M930, or M940. For standards on 
automation rate Periodicals mailings see E240 and M810 (letters) or 
M820 (flats), as applicable. For standards on carrier route mailings 
see E230 and M220.
    [Redesignate M200.1.0 as M210.1.0.]

[[Page 64646]]

1.0  BASIC STANDARDS
    [Revise heading and text of redesignated M210.1.1 for clarity and 
to exclude Presorted rate sacked nonletter-size mailings that contain 
an automation rate mailing to read as follows:]

1.1 Basic Standards

    For all letter-size mailings, for sacked mailing jobs of nonletter-
size mail that do not contain an automation rate mailing or a carrier 
route mailing, and for all palletized mailing jobs the following 
standards must be met for the Presorted rate mailing:
    a. All pieces in each Presorted rate Periodicals mailing must be in 
the same processing category.
    b. Letter-size pieces must be packaged under 2.0 and prepared in 
trays under 3.0. Trays prepared under this section may subsequently be 
palletized under M041 and M045.
    c. Nonletter-size pieces must be packaged under 2.0. Packages 
placed on pallets must meet additional packaging criteria under M045.
    d. Packages of nonletter-size pieces must be sacked or palletized 
as follows:
    (1) sacked under 4.0, except that a Presorted rate mailing that is 
part of a mailing job that also contains an automation flats mailing 
must be sacked under M910 or M920 as described in 1.2; or
    (2) palletized under M041 and M045, M920, M930, or M940.
    e. Sacks prepared under 4.0 may subsequently be prepared on pallets 
under M041 and M045.
    f. All pieces must be sorted together to the finest extent required 
under the applicable sortation standards described above.
    g. Postmasters may authorize preparation of small mailings in non-
postal containers if they consist primarily of packages for local ZIP 
Codes, do not exceed 20 pounds, and do not require postal 
transportation for processing.
    [Redesignate 1.2 as 1.3 and add new 1.2 to read as follows:]

1.2  Additional Standards for Nonletter Sacked Mailing Jobs 
Containing More Than One Mailing

    The following standards apply:
    a. Flats and irregular parcel mailings prepared in sacks that are 
part of a mailing job that contains a carrier route rate mailing, an 
automation flat rate mailing, and a Presorted rate mailing must be 
prepared under one of the following options: (1) the carrier route 
mailing must be prepared under E230 and M220 and the automation rate 
and Presorted rate mailings must be prepared under M910; or (2) all 
three mailings in the mailing job must be prepared under M920.
    b. Flats and irregular parcel mailings prepared in sacks that are 
part of a mailing job that contain only an automation flats mailing 
under E240 and a Presorted rate mailing under E220 must be presorted 
under the co-sacking standards in M910.
    c. Sacked mailing jobs that contain only a carrier route mailing 
and a Presorted rate mailing may be separately sacked under M210 and 
M220, or may be prepared using the merged sacking option under M920.
* * * * *

1.5  Low-Volume Packages and Sacks

    [Amend redesignated 1.5 to change internal references and to 
correct the names of applicable pallet levels to read as follows:]
    As a general exception to 2.2a through 2.2c and 4.0a through 4.0d, 
nonletter-size Periodicals may be prepared in 5-digit and 3-digit 
packages containing fewer than six pieces when the publisher determines 
that such preparation improves service, provided those packages are 
placed in 5-digit, 3-digit, and SCF sacks. These low-volume packages 
may be placed on 5-digit scheme, 5-digit, 3-digit, and SCF pallets 
under M045, or on merged 5-digit scheme, 5-digit scheme carrier routes, 
5-digit scheme, merged 5-digit, 5-digit, 3-digit, or SCF pallets under 
M920, M930, and M940.
    [Delete 1.6.]
    [Redesignate 1.7 as 1.6 and amend by deleting ``or pallets'' from 
the end of the first sentence, by deleting ``sacks or'' from the end of 
the second sentence, by changing the section number references, and by 
adding a new last sentence to read as follows:]

1.6  Merged Palletization of Nonletter-Size Carrier Route, 
Automation Rate, and Presorted Rate Mail

    Under the standards in M920, nonletter-size firm and 5-digit 
packages that are prepared under 1.0 and under 2.2a and 2.2b may be co-
sacked with nonletter-size firm and carrier route packages prepared 
under M220 and with nonletter-size 5-digit packages at automation rates 
prepared under M820 in merged 5-digit sacks and in merged 5-digit 
scheme sacks. Under the standards in M920, M930, or M940, nonletter-
size firm and 5-digit packages that are prepared under 1.0, 2.2a, and 
2.2b may be copalletized with nonletter-size firm and carrier route 
packages prepared under M220 and with nonletter-size 5-digit packages 
at automation rates prepared under M820 on merged 5-digit pallets and 
on merged 5-digit scheme pallets. See 1.2a for information on when 
preparation under M920 may be required.
2.0 PACKAGE PREPARATION

2.1 General

    Package preparation is subject to M020 and the specific standards 
below.
    [Delete 2.2 and 2.3; redesignate 2.4 as 2.2 and amend to delete 
information on carrier route packages to read as follows:]

2.2  Package Preparation

    Package size, preparation sequence, and labeling:
    a. Firm: optional (two-piece minimum); blue Label F or optional 
endorsement line (OEL).
    b. 5-digit: required (six-piece minimum, fewer not permitted except 
under 1.5); red Label D or OEL; labeling optional for mail placed in 
full 5-digit trays.
    c. 3-digit: required (six-piece minimum, fewer not permitted except 
under 1.5); green Label 3 or OEL.
    d. ADC: required (six-piece minimum, fewer not permitted); pink 
Label A or OEL.
    e. Mixed ADC: required (no minimum); tan Label MXD or OEL.
    [Redesignate 3.0 as 4.0 and redesignate 4.0 as 3.0, amend 
redesignated 3.0 and 4.0, respectively, by consolidating former 
subsections into a single section for trays and a single section for 
sacks to read as follows:]
3.0  TRAY PREPARATION (LETTER-SIZE PIECES)
    Tray size, preparation sequence, and labeling (Line 1 and 2):
    a. 5-digit: required at 24 pieces, optional with one six-piece 
package minimum.
    (1) Line 1: use 5-digit ZIP Code destination of packages, preceded 
for military mail by the prefixes under M031.
    (2) Line 2: ``LTRS 5D NON BC.''
    b. 3-digit: required at 24 pieces (no minimum for required origin/
optional entry 3-digit(s)), optional with one six-piece package 
minimum.
    (1) Line 1: use L002, Column A.
    (2) Line 2: ``LTRS 3D NON BC.''
    c. ADC: required at 24 pieces, optional with one six-piece package 
minimum.
    (1) Line 1: use L004.
    (2)+ Line 2: ``LTRS ADC NON BC.''
    d. Mixed ADC: required (no minimum).
    (1) Line 1: use ``MXD'' followed by the city/state/ZIP of the ADC 
serving the 3-digit ZIP Code of the entry post office, as shown in 
L004.

[[Page 64647]]

    (2) Line 2: ``LTRS NON BC WKG.''
4.0 SACK PREPARATION (FLAT-SIZE PIECES AND IRREGULAR PARCELS)
    For mailing jobs that also contain an automation rate mailing see 
1.2 and M910 or M920. For other mailing jobs, the following are the 
sack size, preparation sequence, and lines 1 and 2 labeling:
    a. 5-digit: required at 24 pieces, optional with one six-piece 
package minimum except under 1.5.
    (1) Line 1: use 5-digit ZIP Code destination of packages, preceded 
for military mail by the prefixes under M031.
    (2) Line 2: ``PER'' or NEWS,'' as applicable, followed by ``FLTS'' 
or ``IRREG,'' as applicable, and ``5D NON BC.''
    b. 3-digit: required at 24 pieces, optional with one six-piece 
package minimum except under 1.5.
    (1) Line 1: use L002, Column A.
    (2) ``PER'' or ``NEWS,'' as applicable, followed by ``FLTS'' or 
``IRREG,'' as applicable, and ``5D NON BC.''
    c. SCF: required at 24 pieces, optional with one six-piece package 
minimum except under 1.5.
    (1) Line 1: use L002, Column C.
    (2) Line 2: ``PER'' or ``NEWS,'' as applicable, followed by 
``FLTS'' or ``IRREG,'' as applicable, and ``SCF NON BC.''
    d. Origin/entry SCF: required for the SCF of the origin 
(verification) office, optional for the SCF of an entry office other 
than the origin office, (no minimum); for Line 1 use L002, Column C.
    (1) Line 1: use L002, Column C.
    (2) Line 2: ``PER'' or ``NEWS,'' as applicable, followed by 
``FLTS'' or ``IRREG,'' as applicable, and ``SCF NON BC.''
    e. ADC: required at 24 pieces, optional with one six-piece package 
minimum.
    (1) Line 1: use L004.
    (2) Line 2: ``PER'' or ``NEWS,'' as applicable, followed by 
``FLTS'' or ``IRREG,'' as applicable, and ``ADC NON BC.''
    f. Mixed ADC: required (no minimum).
    (1) Line 1: use ``MXD'' followed by the city/state/ZIP of the ADC 
serving the 3-digit ZIP Code of the entry post office, as shown in 
L004.
    (2) Line 2: ``PER'' or ``NEWS,'' as applicable, followed by 
``FLTS'' or ``IRREG,'' as applicable, and ``NON BC WKG.''
* * * * *
    [Add new M220 to read as follows:]

M220  Carrier Route Periodicals Mail

    Summary. M220 describes the basic standards for Periodicals carrier 
route mailings including package and tray preparation for letters, and 
package and sack preparation for flats and irregular parcels. 
Additional requirements for preparing mail on pallets are in M041 and 
M045, or M041 and M920, M930, or M940. For standards on automation rate 
Periodicals mailings see E240 and M810 (letters) or M820 (flats), as 
applicable. For standards on Presorted rate mailings see E220 and M210.
1.0  BASIC STANDARDS

1.1  General Preparation Standards

    The following standards must be met for carrier route mailings:
    a. All pieces in each carrier route Periodicals mailing must be in 
the same processing category.
    b. Letter-size pieces must be packaged under 2.0 and prepared in 
trays under 3.0. Trays prepared under this section may subsequently be 
palletized under M041 and M045.
    c. Nonletter-size pieces must be packaged under 2.0. Packages 
placed on pallets must meet additional packaging standards under M045.
    d. Packages of nonletter-size pieces must be sacked or palletized 
as follows:
    (1) sacked under 4.0 or, if eligible, under M920; or
    (2) palletized under M041 and M045, M920, M930, or M940.
    e. Sacks prepared under 4.0 may subsequently be prepared on pallets 
under M041 and M045.
    d. All pieces must be sorted together to the finest extent required 
under the applicable sortation standards described above.
    e. Postmasters may authorize preparation of small mailings in non-
postal containers if they consist primarily of packages for local ZIP 
Codes, do not exceed 20 pounds, and do not require postal 
transportation for processing.
    [Copy former M200.1.2 as M210.1.2 and add the following as the last 
sentence:]

1.2  Documentation

    * * * Documentation of sequencing and of density standards under 
M050 must be submitted with each mailing.
    [Change the title of redesignated 1.3 from ``Basic Carrier Route 
and Walk Sequence'' to ``Sequencing Standards.'']
    [Copy former M200.1.4 as M220.1.4.]

1.5  Low-Volume Packages and Sacks

    As a general exception to 2.4b and 4.0b and 4.0c, nonletter-size 
Periodicals may be prepared in carrier route packages containing fewer 
than six pieces when the publisher determines that such preparation 
improves service, provided those packages are placed in 5-digit scheme 
carrier routes, or 5-digit carrier routes sacks. Low-volume carrier 
route packages prepared under DMM M920 may also be placed in merged 5-
digit scheme, 5-digit scheme carrier routes, merged 5-digit, and 5-
digit carrier routes sacks. These low-volume packages also may be 
placed on 5-digit scheme carrier routes, 5-digit scheme, 5-digit 
carrier routes, 5-digit, 3-digit, and SCF pallets under M045, or on 
merged 5-digit scheme, 5-digit scheme carrier routes, 5-digit scheme, 
merged 5-digit, 5-digit carrier routes, 5-digit, 3-digit and SCF 
pallets under M041 and M920, M930, or M940.
    [Copy current M200.1.7 as M220.1.6 and amend by deleting ``or 
pallets'' from the end of the first sentence, by adding a new second 
sentence, by deleting ``sacks or'' from the end of the third sentence, 
and by changing the section number references, to read as follows:]

1.6  Merged Containerization of Nonletter-Size Carrier Route, 
Automation Rate, and Presorted Rate Mail

    Under the standards in M920, nonletter-size firm and carrier route 
packages that are prepared under 1.0 and 2.4 may be co-sacked with 
nonletter-size 5-digit packages prepared under M210 and with nonletter-
size 5-digit packages at automation rates prepared under M820 in merged 
5-digit sacks and in merged 5-digit scheme sacks or pallets. For sacked 
mailing jobs of nonletters that contain an automation and a Presorted 
rate mailing as well as a carrier route mailing, preparation under M920 
is required unless mailers elect to prepare the automation and 
Presorted rate mailings under M910 (see M210.1.2a) and prepare the 
carrier route mailing under M220. Under the standards in M920, M930, or 
M940, nonletter-size firm and carrier route packages that are prepared 
under 1.0 and 2.4 may be copalletized with nonletter-size 5-digit 
packages prepared under M210 and with nonletter-size 5-digit packages 
at automation rates prepared under M820 on merged 5-digit pallets and 
on merged 5-digit scheme pallets.
2.0  PACKAGE PREPARATION

2.1  General

    Package preparation is subject to M020 and the specific standards 
below.

[[Page 64648]]

2.2 Optional Higher Package Minimums

    A mailer may choose to prepare carrier route packages at a higher 
level of route saturation (for example, only if there are at least 15 
pieces per route). Under this option, smaller groups of six or more 
pieces per carrier route not prepared in carrier route packages for 
carrier route rates must be prepared for and paid at another applicable 
rate.

2.3  Walk-Sequence Identification

    In addition to the package label showing carrier route type and 
number under 2.4, each package of Periodicals walk-sequence mail must 
show that the mail is walk sequenced and the level of sequencing. A 
facing slip with the phrase ``HIGH DENSITY WALK-SEQUENCED CARRIER ROUTE 
MAIL'' or ``SATURATION WALK-SEQUENCED CARRIER ROUTE MAIL'' (as 
applicable) may be placed on the top of each package of walk-sequence 
mail. It may be an address label with the required information placed 
on a sample mailpiece that is the top piece in the package, or a slip 
of paper affixed to the top of the package. If packages are prepared 
without facing slips, an optional endorsement line or carrier route 
information line must be placed on each piece in the package to provide 
the equivalent information.

2.4  Package Preparation

    Package size, preparation sequence, and labeling:
    a. Firm: optional (two-piece minimum); blue Label F or optional 
endorsement line (OEL).
    b. Carrier route: optional but required for rate eligibility (six-
piece minimum, fewer not permitted except under 1.5); labeling required 
except for packages placed in a direct carrier route tray or sack 
(facing slip, OEL, or CR information line).
3.0  TRAY PREPARATION (LETTER-SIZE PIECES)
    Tray size, preparation sequence, and Line 1 and 2 labeling:
    a. Carrier route: required for rate eligibility at 24 pieces, 
optional with one six-piece package minimum.
    (1) Line 1: use 5-digit ZIP Code destination of packages, preceded 
for military mail by the prefixes under M031.
    (2) Line 2: ``PER'' or ``NEWS,'' as applicable, followed by 
``LTRS,'' followed by ``WSS'' for saturation rate mail, or ``WSH'' for 
high density rate mail, or ``CR'' for basic rate mail, and followed by 
the route type and number.
    b. 5-digit carrier routes: required for rate eligibility if full 
tray, optional with minimum one six-piece package.
    (1) Line 1: use 5-digit ZIP Code destination of packages, preceded 
for military mail by the prefixes under M031.
    (2) Line 2: ``PER'' or ``NEWS,'' as applicable, followed by ``LTRS 
CR-RTS.''
    c. 3-digit carrier routes: optional with minimum one six-piece 
package for each of two or more 5-digit areas.
    (1) Line 1: use the city/state/ZIP shown in L002, Column A that 
corresponds to the 3-digit ZIP Code prefix of packages.
    (2) Line 2: ``PER'' or ``NEWS,'' as applicable, followed by ``LTRS 
3D CR-RTS.''
4.0  SACK PREPARATION (FLAT-SIZE PIECES AND IRREGULAR PARCELS)
    Sack size, preparation sequence, and Line 1 and 2 labeling:
    a. Carrier route: required for rate eligibility at 24 pieces, fewer 
pieces not permitted.
    (1) Line 1: use 5-digit ZIP Code destination of packages, preceded 
for military mail by the prefixes under M031.
    (2) Line 2: ``PER'' or ``NEWS'' as applicable, followed by ``FLTS'' 
or ``IRREG'' as applicable, followed by ``WSS'' for saturation rate 
mail, or ``WSH'' for high density rate mail, or ``CR'' for basic rate 
mail, and followed by the route type and number.
    b. 5-digit scheme carrier routes: required for rate eligibility (no 
minimum).
    (1) Line 1: use L001, Column B.
    (2) Line 2: ``PER'' or ``NEWS'' as applicable, followed by ``FLTS'' 
or ``IRREG'' as applicable, followed by ``CR-RTS SCH.''
    c. 5-digit carrier routes: required for rate eligibility (no 
minimum).
    (1) Line 1: use 5-digit ZIP Code destination of packages, preceded 
for military mail by the prefixes under M031.
    (2) Line 2: ``PER'' or ``NEWS'' as applicable, followed by ``FLTS'' 
or ``IRREG'' as applicable, followed by ``CR-RTS.''
    [Copy current M200.5.0 and add as M220.5.0.]
    [Copy current M200.6.0 and add as M220.6.0.]
* * * * *

M800  All Automation Mail

M820  Flat-Size Mail

1.0  Basic Standards
* * * * *


1.8  Exception--Periodicals Preparation

    [Amend 1.8 by replacing the last sentence with the following:]
    These low-volume packages may be placed on 5-digit scheme carrier 
routes, 5-digit scheme, 5-digit carrier routes, 5-digit, 3-digit, and 
SCF pallets under M041 and M045, or on merged 5-digit scheme, 5-digit 
scheme carrier routes, 5-digit scheme, merged 5-digit, 5-digit carrier 
routes, 5-digit, 3-digit, and SCF pallets under M041 and either M920, 
M930, or M940.

1.9  Co-Traying, Co-Sacking, or Copalletizing with Presorted Rate 
Mail

    Packages of First-Class and Standard Mail (A) prepared under 1.0 
and either 2.1 or 4.1, as applicable, may be co-trayed or co-sacked 
with Presorted rate mail that is part of the same mailing job and mail 
class at all levels of tray or sack under the provisions of M910. For 
sacked mailings of Periodicals nonletters, packages of Periodicals 
automation flats mail prepared under 1.0 and 3.1 that are part of the 
same mailing job as a Presorted rate mailing of nonletters must be co-
sacked under M910, unless the mailing job also contains a carrier route 
mailing and is eligible for and prepared under M920. See M210.
* * * * *
3.0  Periodicals
* * * * *

3.2  Sack Preparation

    [Revise the first sentence of 3.2 to read as follows:]
    For mailing jobs that also contain a Presorted rate mailing see 1.9 
and M910. For other mailing jobs, the following are the sack size, 
preparation sequence and line 1 labeling: * * *
* * * * *
    An appropriate amendment to 39 CFR to reflect these changes will be 
published if the proposal is adopted.

Stanley F. Mires,
Chief Counsel, Legislative.
[FR Doc. 00-27706 Filed 10-27-00; 8:45 am]
BILLING CODE 7710-12-U