[Federal Register Volume 78, Number 54 (Wednesday, March 20, 2013)]
[Notices]
[Pages 17234-17235]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-06358]


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POSTAL REGULATORY COMMISSION

[Docket No. MC2011-19 and R2011-3; Order No. 1676]


Negotiated Service Agreement

AGENCY: Postal Regulatory Commission.

ACTION: Notice

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SUMMARY: The Commission is noticing a recent Postal Service filing 
concerning an amendment to Discover Financial Services Negotiated 
Service Agreement. This notice informs the public of the filing, 
invites public comment, and takes other administrative steps.

DATES: Comments are due: March 27, 2013.

ADDRESSES: Submit comments electronically via the Commission's Filing 
Online system at http://www.prc.gov. Those who cannot submit comments 
electronically should contact the person identified in the FOR FURTHER 
INFORMATION CONTACT section by telephone for advice on filing 
alternatives.

FOR FURTHER INFORMATION CONTACT: Stephen L. Sharfman, General Counsel, 
at 202-789-6820.

SUPPLEMENTARY INFORMATION:

Table of Contents

I. Introduction
II. Notice of Filings
III. Ordering Paragraphs

I. Introduction

    On January 14, 2011, the Postal Service filed a request pursuant to 
39 U.S.C. 3622 and 3642, as well as 39 CFR 3010 and 3020, et seq., to 
add a Discover Financial Services (DFS) Negotiated Service Agreement 
(NSA) to the market dominant product list.\1\ After a

[[Page 17235]]

comment period, the Commission approved the Request on March 15, 2011 
and added the product to the market dominant product list.\2\ On March 
8, 2013, the Postal Service filed an amendment to the DFS NSA with the 
Commission.\3\
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    \1\ Notice of the United States Postal Service of Filing 
Contract and Supporting Data and Request to Add Discover Financial 
Services Negotiated Service Agreement to the Market-Dominant Product 
List, January 14, 2011 (Request).
    \2\ Order No. 694, Order Adding Discover Financial Services 1 
Negotiated Service Agreement to the Market Dominant Product List, 
March 15, 2011.
    \3\ Letter from Brandy A. Osimokun, Attorney, United States 
Postal Service to Shoshana M. Grove, Secretary, Postal Regulatory 
Commission, Re: Docket No[s]. R2011-3/MC2011-19, March 8, 2013 
(Amendment).
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    Contract Amendment. The proposed Amendment seeks to modify how 
Discover's First-Class Mail revenue is calculated under the contract. 
Id. at 1. Discover has decided to utilize Priority Mail in lieu of a 
small amount of its First-Class Mail volume. Id. The Amendment is 
designed to adjust the threshold for qualifying for discounts to 
account for the Priority Mail volume. Id. The Amendment proposes that 
First-Class Mail revenue, for the purposes of achieving the revenue 
threshold, include ``a sum that represents the revenue value of the DFS 
Priority Mail piece volume, such sum to be calculated by multiplying 
DFS's priority Mail piece volume by DFS's average DFS Eligible First-
Class Mail postage per piece for the current contract year.'' Id. 
Attachment.
    The Postal Service states that the Amendment does not alter the 
structure or original intent of the agreement and benefits both parties 
because ``Discover will not be penalized for the upgrade, and the 
Postal Service will receive a higher contribution per piece from the 
Discover First-Class mail volume that Discover upgrades * * *.'' 
Amendment at 2. The Postal Service asserts that the Amendment meets the 
statutory requirements of improving the net financial position of the 
Postal Service, while not causing any unreasonable harm to the 
marketplace. Id.; see also 39 U.S.C. 3622(c)(10).

II. Notice of Filings

    The Commission reopens Docket Nos. MC2011-19 and R2011-3 to 
consider the Amendment.
    Interested persons may submit comments on whether the Postal 
Service's filings in the captioned dockets are consistent with the 
policies of 39 U.S.C. 3622, 3632, 3633, or 3642 and 39 CFR parts 3010 
and 3020. Comments are due no later than March 27, 2013. The Commission 
appoints Malin G. Moench to serve as Public Representative in these 
dockets.

III. Ordering Paragraphs

    It is ordered:
    1. Pursuant to 39 U.S.C. 505, Malin G. Moench is appointed to serve 
as an officer of the Commission to represent the interests of the 
general public in these proceedings (Public Representative).
    2. Comments by interested persons in these proceedings are due no 
later than March 27, 2013.
    3. The Secretary shall arrange for publication of this order in the 
Federal Register.

    By the Commission.
Ruth Ann Abrams,
Acting Secretary.
[FR Doc. 2013-06358 Filed 3-19-13; 8:45 am]
BILLING CODE 7710-FW-P