[Federal Register Volume 70, Number 202 (Thursday, October 20, 2005)]
[Rules and Regulations]
[Pages 61037-61039]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-20924]


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POSTAL SERVICE

39 CFR Part 111


Address Visibility on Bundles of Flat-Size and Irregular Parcel 
Mail

AGENCY: Postal Service.

ACTION: Final rule.

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SUMMARY: The Postal Service\TM\ is adopting new mailing standards to 
ensure that address and presort information on bundles of flat-size and 
irregular parcel mail remains visible and readable during processing. 
The new standards apply only to bundles of Periodicals, Standard Mail, 
and Package Services mail intended for processing on our Automated 
Package Processing System equipment.

EFFECTIVE DATE: October 27, 2005.

FOR FURTHER INFORMATION CONTACT: Bill Chatfield, Mailing Standards, 
U.S. Postal Service, at (202) 268-7278 or Susan Hawes, Operational 
Requirements and Integration, U.S. Postal Service, at (202) 268-8980.

SUPPLEMENTARY INFORMATION:

Background

    The Postal Service uses automated equipment whenever possible to 
reduce mail processing costs and help maintain stable postage rates. 
Our new Automated Package Processing System (APPS) for bundles of flat-
size and irregular parcel mail has optical character reader (OCR) 
technology, enabling it to read delivery information and process mail 
more efficiently. APPS will replace many of our small parcel and bundle 
sorters.
    We published a proposed rule in the Federal Register on September 
2, 2004 (69 FR 53666), concerning address visibility on bundles of 
flat-size and irregular parcel mail. Our proposed rule included the 
following changes in mailing standards for bundles of Periodicals, 
Standard Mail, and Package Services mailpieces intended for processing 
on APPS equipment:

[[Page 61038]]

     Address and presort designation visibility,
     The use of optional bundle labels, and
     New bundle height restrictions.

Comments Received

    We received comments on the proposed rule from two publishers, ten 
printers, six mailer associations, six letter shops, two mail owners, 
one strapping manufacturer, and one individual. Based on these 
comments, we are not implementing new standards for the use of optional 
bundle labels or bundle height restrictions. Instead, our revised 
standards require the complete address on the top piece of each bundle 
to be visible and readable by the naked eye through the shrinkwrap or 
clear strapping.

Comments on Bundle-Securing Materials

    Several comments indicated a need to clarify our 
``recommendations'' versus ``requirements.'' Our proposal recommended 
the use of polywrap or strapping with a level of haze showing less than 
70 percent. The haze specification is meant as a helpful guideline for 
mailers and is a recommendation, not a requirement.
    Two comments were concerned with the cost and availability of clear 
strapping materials. Clear, smooth strapping is currently available in 
the marketplace. Using these materials may be the most effective way to 
comply with the new standard. Because mailers may need time to use up 
their stock of current materials and modify their processes, the 
mandatory compliance date is April 30, 2006--approximately six months 
after we publish the revised standards in Mailing Standards of the 
United States Postal Service, Domestic Mail Manual (DMM).

Comments on APPS and Address Visibility

    We received several comments suggesting a lack of data on the 
causes of APPS read failures. Our tests of APPS equipment revealed the 
three most significant causes of unreadable addresses: strapping 
obscuring addresses, shrinkwrap seams obscuring addresses, and poor 
bundle integrity. This data is the basis for our new standards 
requiring that address and presort information on bundles be ``visible 
and readable by the naked eye.''
    Several comments sought clarification about what address and 
presort elements APPS must read. To sort a bundle, APPS must read the 
delivery address information, as well as the optional endorsement line 
(OEL) or the bundle label.
    One comment expressed concern that the ``visible and readable by 
the naked eye'' standard is unsuitable for APPS readability. Generally, 
APPS can read addresses not obstructed by bundling materials. However, 
if APPS cannot read all the elements needed to sort a bundle, an 
employee at a remote encoding center should be able to read the address 
and presort marking if they meet the new standard, allowing us to sort 
the bundle within the APPS process.

Comments on Alternatives to the Visibility Standard

    Two comments asked us to explore alternative solutions for address 
visibility. One association recommended the application of the ``4-
state barcode'' as a substitute for a visible and readable address. 
Although there are many potential benefits of the 4-state barcode, a 
visible and readable address is necessary for efficient mail processing 
and delivery. One letter shop asked for alternatives to clear, smooth 
strapping. As an alternative, mailers may place the address in a 
quadrant of the mailpiece not obscured by strapping.

Comments About Verification and Acceptance

    We received several comments about verification and acceptance of 
bundles processed on APPS. We will incorporate verification for address 
visibility into our current acceptance procedures. For the first six 
months after we publish the new standards, we will provide feedback at 
acceptance and by using eMIR (Electronic Mail Improvement Report). We 
will not assess additional postage for readability failures until April 
30, 2006.

Comments About Increased Costs and Incentives for Compliance

    We received many comments concerning the potential increased costs 
to mailers to meet the new standards. Several comments recommended that 
we establish an industry workgroup to develop alternative solutions. We 
held several meetings with industry representatives to carefully 
consider comments and develop alternative solutions. We designed our 
final rule to minimize cost burdens by excluding new standards for 
plastic strapping or shrinkwrap or for an optional bundle label.
    We received five comments suggesting that we provide incentives to 
comply with the new standards. These comments are outside of the scope 
of this rule.

Other Comments

    Two comments discussed a certification process. One printer opposed 
a shrinkwrap certification process, and one letter shop suggested using 
the APPS optical system to test for certification. We will not adopt a 
certification requirement. However, mailers may request testing of 
their clear, embossed strapping by contacting USPS Engineering (see DMM 
608.8.0 for contact information). Tests have demonstrated that clear, 
smooth strapping does not obstruct readability.
    One mailer association advocated the use of a modified label 
carrier, and another comment concerned the use of facing slips. One 
publisher said the new standards could affect preparation and 
addressing for cover wraps, attached mail, and similar items. It is not 
our intent to restrict creativity or marketing options for mail owners; 
we simply need to read the address and presort information on bundles 
to efficiently sort and deliver the mail.
    One association recommended that we let mailers use their own 
methods to satisfy the APPS requirements. The same association 
recommended a thorough review of the technical standards for polywrap 
and banding. We are not imposing specific technical standards for 
polywrap and banding.

Comments About the Implementation Date

    Five comments stated that mailers were not ready or could not 
comply with the proposed standards, and six other comments did not 
agree with the proposed effective date. We understand that mailers need 
time to comply with the new standards. For the first six months after 
publication of the new standards, we will notify mailers about related 
problems and work with them to improve readability of their address and 
presort information. During this time, we will not assess any 
additional postage on mailings that do not comply.

Recommendations Related to the Basic Requirement

    We recommend that strapping used for bundling be clear, smooth, and 
have less than 70 percent haze in accordance with the American Society 
for Testing and Materials (ASTM) standard D1003. Clear, smooth 
strapping that is tightly secured around the bundle does not obstruct 
visibility. Strapping should not contain any seams or texture marks 
that obscure address characters. We recommend that any shrinkwrap used 
to secure bundles show less than 70

[[Page 61039]]

percent haze after shrinkage. Seams, blisters, wrinkles or other 
protrusions on shrinkwrap material should not obscure addresses on the 
top pieces of bundles. We also recommend that any bundle with multiple 
layers of bundling materials show less than 70 percent haze through all 
combined layers. We encourage mailers to use USPS Publication 177, 
Guidelines for Optimizing Readability of Flat-Size Mail.

Summary of the New Standard

    Mailers preparing presort bundles must make the delivery address 
information and any presort label or optional endorsement line visible 
and readable by the naked eye. The new standard applies to mail 
processed on APPS equipment. The requirements do not apply to:
     Letter-size mailpieces,
     First-Class Mail flat-size pieces or parcels,
     Mail placed in or on 5-digit or 5-digit scheme sacks or 
pallets,
     Mail placed in carrier route or 5-digit carrier routes 
sacks,
     Carrier route mail entered at a destination delivery unit,
     Standard Mail flat-size pieces prepared in letter trays 
under DMM 345.3.4, and
     Customized MarketMail.

Effective Date

    We are revising these standards on October 27, 2005. Recognizing 
that the mailing industry may have to change some procedures to ensure 
address visibility, we will allow a six-month grace period for 
compliance. We will not assess penalties on bundles not meeting the 
standards until April 30, 2006. Until April 30, 2006, acceptance 
employees will randomly examine bundles for address visibility. We will 
provide feedback to mailers at acceptance and via eMIR from destination 
sites. We also will work closely with mailers to improve address 
readability on their bundles.

List of Subjects in 39 CFR Part 111

    Postal Service.

PART 111--[AMENDED]

0
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, 
416, 3001-3011, 3201-3219, 3403-3406, 3621, 3626, 5001.


0
2. Amend Mailing Standards of the United States Postal Service, 
Domestic Mail Manual (DMM) as listed below:

300 Discount Mail Flats

* * * * *

340 Standard Mail

* * * * *

345 Mail Preparation

* * * * *

2.0 Bundles

* * * * *
[Renumber current 2.2 through 2.13 as new 2.3 through 2.14. Add new 
2.2, ``Address Visibility,'' and revise new 2.11, as explained below. 
Make these same changes to 445.2.0 (for Standard Mail parcels), 365.2.0 
and 465.2.0 (for Bound Printed Matter flats and parcels), 375.2.0 and 
475.2.0 (for Media Mail flats and parcels), 385.2.0 and 485.2.0 (for 
Library Mail flats and parcels), 705.8.5 (for bundles on pallets), and 
707.19 (for Periodicals). Exception: Do not repeat items a through e 
for Media Mail or Library Mail; do not repeat items a and e for Bound 
Printed Matter and Periodicals.]

2.2 Address Visibility

    Mailers preparing presort bundles must ensure that the delivery 
address information on the top mailpiece in each bundle is visible and 
readable by the naked eye. Mailers using strapping that might cover the 
address can avoid obstructing visibility by using clear, smooth 
strapping tightly secured around the bundle. Mailers using barcoded 
pressure-sensitive bundle labels, optional endorsement lines, carrier 
route information lines, or carrier route facing slips also must ensure 
that the information in these presort designations is visible and 
readable by the naked eye. This standard does not apply to the 
following:
    a. Customized MarketMail.
    b. Bundles placed in or on 5-digit or 5-digit scheme (L001) sacks 
or pallets.
    c. Bundles placed in carrier route and 5-digit carrier routes 
sacks.
    d. Bundles of mailpieces at carrier route rates entered at a 
destination delivery unit (DDU).
    e. Bundles of Standard Mail flat-size pieces prepared in letter 
trays under 345.3.4.
* * * * *

2.11 Labeling Bundles

[Replace the third sentence in 2.11 with the following two sentences to 
clarify that the bundle label must not obscure the delivery address.]
    * * * Barcoded pressure-sensitive bundle labels must not obscure 
the delivery address block. Banding or shrinkwrap must not obscure any 
bundle label. * * *
* * * * *

Neva R. Watson,
Attorney, Legislative.
[FR Doc. 05-20924 Filed 10-19-05; 8:45 am]
BILLING CODE 7710-12-P