[Federal Register Volume 67, Number 90 (Thursday, May 9, 2002)]
[Proposed Rules]
[Page 31168]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-11506]


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POSTAL SERVICE

39 CFR Part 501


Authorization To Manufacture and Distribute Postage Meters

AGENCY: Postal Service.

ACTION: Proposed rule.

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SUMMARY: This proposed rule amends the regulations for inspecting 
postage meter production facilities that are located outside the 
continental United States. This proposed rule intends to require the 
manufacturer to reimburse the Postal Service for costs incurred by 
required inspections of production facilities located outside the 
continental United States.

DATES: The Postal Service must receive your comments on or before June 
10, 2002.

ADDRESSES: Mail or deliver written comments to the manager, Postage 
Technology Management, 1735 N Lynn Street, Room 5011, Arlington, 
Virginia 22209-6050. You can view and copy all written comments at the 
same address between 9 a.m. and 4 p.m., Monday through Friday.

FOR FURTHER INFORMATION CONTACT: Wayne Wilkerson, 703-292-3782, or by 
fax 703-292-4050.

SUPPLEMENTARY INFORMATION: Title 39, Code of Federal Regulations (CFR) 
part 501, Authorization to Manufacture and Distribute Postage Meters, 
requires the Postal Service to inspect meter production facilities to 
determine if the facilities satisfy Postal Service requirements for 
meter and component security and production quality. A manufacturer may 
have valid business reasons for selecting a particular location for its 
production facilities. However, when a manufacturer chooses to locate 
these facilities outside the continental United States, conducting the 
required inspections of such facilities places an undue cost burden on 
the Postal Service. The Postal Service is requiring the manufacturer to 
reimburse such costs.

Notice and Comment

    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 public 
comments on the following proposed amendments to the Code of Federal 
Regulations (CFR).

List of Subjects in 39 CFR Part 501

    Administrative practice and procedure, Postal Service.
    For the reasons set out in this document, the Postal Service is 
proposing to amend 39 CFR part 501 as follows:

PART 501--AUTHORIZATION TO MANUFACTURE AND DISTRIBUTE POSTAGE 
METERS

    1. The authority citation for part 501 continues to read as 
follows:

    Authority: 5 U.S.C. 552(a); 39 U.S.C. 101, 401, 403, 404, 410, 
2601, 2605; Inspector General Act of 1978, as amended (Pub. L. 95-
452, as amended), 5 U.S.C. App. 3.

    2. Amend Sec. 501.2 by revising the introductory paragraph and 
paragraphs (c) and (d) to read as follows:


Sec. 501.2  Manufacturer qualification.

    Any concern wanting authorization to manufacture and/or lease 
postage meters for use by licensees under Domestic Mail Manual P030 
must:
* * * * *
    (c) Have, or establish, and keep under its supervision and control 
adequate production facilities suitable to carry out the provisions of 
Secs. 501.15 through 501.21 to the satisfaction of the Postal Service. 
The production facilities must be subject to unannounced inspection by 
representatives of the Postal Service. If the provider's production 
facilities are located outside the continental United States, the 
provider shall be responsible for all reasonable and necessary costs 
incurred by the Postal Service to conduct the inspections.
    (d) Have, or establish, and keep under its active supervision and 
control adequate facilities for the control, distribution, and 
maintenance of meters and their replacement or secure disposal or 
destruction when necessary.

Stanley F. Mires,
 Chief Counsel, Legislative.
[FR Doc. 02-11506 Filed 5-8-02; 8:45 am]
BILLING CODE 7710-12-P