[Federal Register Volume 66, Number 58 (Monday, March 26, 2001)]
[Proposed Rules]
[Page 16431]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-7415]



[[Page 16431]]

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POSTAL SERVICE

39 CFR Part 111


Eligibility Requirements for Attachments and Enclosures With 
Bound Printed Matter

AGENCY: Postal Service.

ACTION: Proposed rule.

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SUMMARY: This notice proposes a change to the standards in the Domestic 
Mail Manual governing permissible attachments and enclosures with Bound 
Printed Matter.

DATES: Comments must be received on or before April 25, 2001.

ADDRESSES: Written comments should be mailed or delivered to Manager, 
Mail Preparation and Standards, USPS Headquarters, 1735 N Lynn Street, 
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, in the Library, USPS Headquarters, 475 L'Enfant 
Plaza, SW., Washington, DC 20260-1540. Comments may be submitted via 
FAX at 703-292-4058, or Email at ([email protected]).

FOR FURTHER INFORMATION CONTACT: Jerome M. Lease, 703-292-4184.

SUPPLEMENTARY INFORMATION:
    Under current postal standards, the only attachments and enclosures 
authorized to be mailed with qualifying Bound Printed Matter (BPM) at 
BPM rates are printed matter mailable as Standard Mail and merchandise 
samples meeting prescribed conditions. Recently, representatives of the 
Postal Service and the Bound Printed Matter mailing industry have met 
to discuss the changing nature of Bound Printed Matter. These trends 
include children's books that may be partially constructed of materials 
other than paper such as plastic attachments, and books with 
``nonprint'' enclosures such as CDs. Additionally, when printed matter 
is sold and mailed to the purchaser, it is customary to include a 
``premium'' with the Bound Printed Matter. These attachments and 
enclosures do not qualify for BPM rates under current standards.
    There is support among the industry and the Postal Service for non-
print attachments and enclosures, not meeting today's standards, to be 
included with qualifying Bound Printed Matter at BPM rates. For one, as 
stated above, the nature of the book publishing industry is changing, 
especially concerning the publication of children's books. In many 
instances, there may be a closer relationship between the qualifying 
Bound Printed Matter and the ineligible attachments and enclosures than 
some of the ``merchandise samples'' that accompany Bound Printed Matter 
at BPM rates under today's standards and precedents. Further, the 
current standards are subjective and difficult to administer since they 
consider whether the merchandise sample is an incidental portion of the 
BPM and not provided exclusively or primarily as a premium or 
inducement for sale of the BPM. Both the Postal Service and the 
industry representatives desire objective standards that can be 
understood and consistently applied.
    Accordingly, the Postal Service proposes a change to the standards 
governing attachments and enclosures eligible to be mailed with 
qualifying Bound Printed Matter at BPM rates. The change would rescind 
the provision concerning merchandise samples. In its place, the Postal 
Service proposes the inclusion of nonprint attachments and enclosures 
so long as such attachments and enclosures are incidental to the 
qualifying Bound Printed Matter material and have minimal commercial 
value. In each case, objective standards would be adopted for 
application of the tests.
    The proposed rule will allow for the inclusion of nonprint 
attachments and enclosures so long as the combined weight of all 
nonprint attachments and enclosures in the mailpiece is less than or 
equal to 25% of the weight of the Bound Printed Matter in the 
mailpiece. In addition, the individual cost of each nonprint attachment 
or enclosure must be less than or equal to the cost of a ``low cost'' 
item as defined in DMM E670.5.11, and the combined cost of all nonprint 
attachments and enclosures may not exceed two times the cost of a low 
cost item as defined in DMM E670.5.11. (Currently, the cost of a low 
cost item is $7.60. This amount is determined by the Internal Revenue 
Service and is adjusted annually for inflation.)
    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 to the DMM, incorporated by reference 
in the Code of Federal Regulations (See CFR part 111).

List of Subjects in 39 CFR Part 111

    Administrative practice and procedure, and 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, 3626, 5001.

    2. Amend Domestic Mail Manual E712.1.2, as follows:

E  Eligibility

* * * * *

E712  Bound Printed Matter

* * * * *
1.0  BASIC STANDARDS
* * * * *

1.2  Enclosures and Attachments

    [Amend 1.2 to add new standards for attachments and enclosures:]
    In addition to the basic standards in E710, BPM may have the 
following attachments and enclosures:
    a. Any printed matter mailable as Standard Mail.
    b. Nonprint attachments and enclosures. The combined weight of all 
nonprint attachments and enclosures in the mailpiece must be less than 
or equal to 25% of the weight of the Bound Printed Matter in the 
mailpiece. The individual cost of each nonprint attachment or enclosure 
must be less than or equal to the cost of a ``low cost'' item as 
defined in E670.5.11. In addition, the combined cost of all nonprint 
attachments and enclosures must not exceed two times the cost of a 
``low cost'' item as defined in E670.5.11.
* * * * *
    An appropriate amendment to 39 CFR part 111.3 to reflect these 
changes will be published if the proposal is adopted.

Stanley F. Mires,
Chief Counsel, Legislative.
[FR Doc. 01-7415 Filed 3-23-01; 8:45 am]
BILLING CODE 7710-12-P