[Federal Register Volume 72, Number 72 (Monday, April 16, 2007)]
[Notices]
[Pages 19059-19060]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-7102]


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POSTAL REGULATORY COMMISSION

[Docket No. MC2007-2; Order No. 9]


Repositionable Notes Minor Classification Change

AGENCY: Postal Regulatory Commission.

ACTION: Notice and order.

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SUMMARY: This document establishes a formal docket to consider 
extending the provisional Repositionable Notes (RPN) service by one 
year. Shortly before the expiration date, the Postal Service filed a 
request seeking to maintain the status quo to allow time to determine 
how RPNs may be affected by the recent implementation of the Postal 
Accountability and Enhancement Act (PAEA). This document describes the 
requested change and identifies several initial procedural steps, 
including authorization of settlement negotiations.

DATES: April 20, 2007: Deadline for intervention, responses to request 
for consideration under rule 69, comments on suspension of this docket, 
answers to Conditional Motion for Waiver, and comments on 
appropriateness of authorizing settlement procedures.

ADDRESSES: Submit comments electronically via the Commission's Filing 
Online system at http://www.prc.gov.

FOR FURTHER INFORMATION CONTACT: Stephen L. Sharfman, General Counsel, 
202-789-6820 and [email protected].

SUPPLEMENTARY INFORMATION: 

Regulatory History

    71 FR 3894 (January 24, 2006).

I. Background

    Under the terms of the Domestic Mail Classification Schedule 
(DMCS), provisional Repositionable Notes (RPN) service expires April 3, 
2007, barring the Service's filing of a request to continue to test the 
service or to make it a permanent offering. See DMCS 221.336(a). Notice 
is hereby given that on April 2, 2007, the Postal Service filed with 
the Commission a Request, along with related pleadings, that tolls the 
scheduled expiration date by seeking establishment of a docket to 
consider a change which would extend expiration by one year, to April 
2, 2008.\1\
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    \1\ Request of the United States Postal Service for a 
Recommended Decision on Change of Expiration Date for Provisional 
Repositionable Notes Classifications and Rates, April 2, 2007 
(Request). The Request includes three attachments. Attachment A 
consists of the Service's proposed changes in the DMCS. Attachment B 
is an index of direct testimony. Attachment C is a statement of 
compliance with Commission rules 64, 69 and 69a.
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    The instant Request was filed pursuant to section 3623 of the 
Postal Reorganization Act, 39 U.S.C. 101 et seq. The Request identifies 
with specificity the requested change in the expiration date in 
affected DMCS classification provisions and in the associated rates 
specified in certain rate schedules. Related concurrent filings include 
the Direct Testimony of Broderick A. Parr (USPS-T-1); a separate Notice 
addressing, among other things, the Service's interest in settlement; 
and a pleading including a Conditional Motion for Waiver.\2\
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    \2\ Notice of Filing of Request of the United States Postal 
Service for a Recommended Decision on Change of Expiration Date for 
Provisional Repositionable Notes Classifications and Rates (Notice) 
and Statement of the United States Postal Service Concerning 
Compliance with Filing Requirements and Conditional Motion for 
Waiver (Conditional Motion for Waiver), both filed April 2, 2007.
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    The Service also suggests, in the alternative, that suspension of 
the docket might be appropriate. Request at 1-2. The rationale for this 
suggestion is the Service's belief that it might be advisable to wait 
until PAEA implementation matures sufficiently to illuminate other 
options for moving forward or until the Service files another request 
involving RPNs. Id. at 2.
    The Service asserts that the requested change conforms with the 
criteria of 39 U.S.C. 3623(c), and will further the general policies of 
efficient postal operations and reasonable rates and fees enunciated in 
the Postal Reorganization Act. Id. It states the requested change is 
intended to maintain status quo ante and avoid disruption for mailers 
currently using RPN service and those that may be considering such use.

II. Application of Expedited Rules

    Rationale for filing under rules for expedited minor classification 
cases. The Postal Service denominates its request as a minor 
classification change,

[[Page 19060]]

in conformance with rule 69, and seeks to have it considered under the 
Commission's rules for expedited minor classification cases. Notice at 
1; 39 CFR 3001.69. In support of this treatment, it notes that the 
requested change is minor. It also observes that although no particular 
need for expedition exists, the proposed change meets the requirements 
set out in the expedited rules, as it does not involve a change in any 
rate or fee; does not impose any additional eligibility restrictions; 
and will not significantly change the estimated institutional cost 
contribution of the affected subclasses. Request at 3.

III. Suspension Option

    The Service asserts that the Commission has some discretion in 
handling the Request in light of current PAEA implementation activity. 
It observes:

    While the formal thrust of this Request would extend expiration 
of RPN provisional service until April 3, 2008, the Postal Service 
would also support another procedural option. The Commission could 
suspend all activity in this docket until PAEA implementation 
matures sufficiently to illuminate other options for moving forward, 
or until a further request involving RPNs is filed. The Postal 
Service is prepared to defer to the Commission's preference here.

    Id. at 2. The Service addresses additional issues related to 
suspension in the accompanying Notice. Notice at 2.

IV. Preliminary Procedural Steps

    The Commission's rules for expedited minor classification cases set 
out several pre-established deadlines designed to foster expedition. 
For example, rule 69 requires that the Commission issue notice of the 
proceeding within 5 days of the Service's filing. This notice, among 
other things, must afford interested persons 15 days after filing of 
the Postal Service's request to intervene and to respond to the Postal 
Service's proposal to have its Request considered under rule 69 
procedures. Consistent with this requirement, intervention shall be 
allowed until April 20, 2007. Intervenors seeking a hearing on issues 
raised in the Request shall identify the fact or facts in the Postal 
Service filing that require a hearing.
    To assist the Commission in determining an appropriate course of 
action, intervenors, in addition to addressing the appropriateness of 
using the expedited rules in this proceeding, are invited to address 
the Service's suggestion that suspension is an appropriate option; the 
Service's conditional Motion for Waiver; and the possibility of 
settlement. These pleadings, which may be combined, are due no later 
than April 20, 2007.
    Public participation. In conformance with section 3624(a) of title 
39, the Commission designates Shelley S. Dreifuss, director of the 
Commission's Office of the Consumer Advocate, to represent the 
interests of the general public in this proceeding. Pursuant to this 
designation, Ms. Dreifuss will direct the activities of Commission 
personnel assigned to assist her and, upon request, will supply their 
names for the record. Neither Ms. Dreifuss nor any of the assigned 
personnel will participate in or provide advice on any Commission 
decision in this proceeding.

V. Ordering Paragraphs

    It is ordered:
    1. The Commission establishes Docket No. MC2007-2 to consider the 
Postal Service Request referred to in the body of this order.
    2. The Commission will act en banc in this proceeding.
    3. Notices of intervention shall be filed no later than April 20, 
2007.
    4. Responses to the Service's request for consideration of its 
Request under rule 69 are due no later than April 20, 2007.
    5. Comments on the Service's suggestion that suspension of this 
docket is a procedural option are due no later than April 20, 2007.
    6. Answers to the Service's Conditional Motion for Waiver are due 
no later than April 20, 2007.
    7. Comments on the appropriateness of authorizing settlement 
procedures in this proceeding are due no later than April 20, 2007.
    8. Shelley S. Dreifuss, director of the Commission's Office of the 
Consumer Advocate, is designated to represent the interests of the 
general public.
    9. The Secretary shall cause this Notice and Order to be published 
in the Federal Register.

     Issued: April 10, 2007.

    By the Commission.
Garry J. Sikora,
Acting Secretary.
 [FR Doc. E7-7102 Filed 4-13-07; 8:45 am]
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