[Federal Register Volume 78, Number 132 (Wednesday, July 10, 2013)]
[Rules and Regulations]
[Pages 41305-41307]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-16523]



39 CFR Part 111

Collect on Delivery (COD)--Service Features

AGENCY: Postal ServiceTM.

ACTION: Final rule.


SUMMARY: The Postal Service will revise Mailing Standards of the United 
States Postal Service, Domestic Mail Manual (DMM[supreg]) 503.13, 507.4 
and 508.1 to provide new standards for the automatic holding period for 
Collect on Delivery (COD) articles, expand the acceptable payment 
methods for COD articles, and provide current options for the 
redirecting of COD articles.

DATES: Effective date: July 28, 2013.

[[Page 41306]]

FOR FURTHER INFORMATION CONTACT: Grace Letto at 202-268-2282, or 
Suzanne Newman at 202-268-5581.

SUPPLEMENTARY INFORMATION: The Postal Service published a notice of 
proposed rulemaking on May 31, 2013 (78 FR 32612-32613) (available at 
www.gpo.gov), which included a 30-day comment period. Since no comments 
or objections to the proposed rule were received, the Postal Service 
will adopt the proposed changes to Collect on Delivery (COD) service 

Summary of Changes To Be Implemented

    The Postal Service will revise the DMM in various sections to 
redesign some of the features of COD service. In response to mailer's 
requests for the expedited return of their articles when COD shipments 
are unclaimed by the addressee, this revision will modify the holding 
period for COD articles from the current 30-day maximum to a maximum of 
10 days.
    Additionally, these revisions will retire the current manual PS 
Form 3849-D, Notice to Sender of Undelivered COD Mail. The primary 
function served by PS Form 3849-D can be provided by USPS Package 
Intercept[supreg] service, which allows mailers the option to redirect 
COD articles to a new address, to a designated Post OfficeTM 
for Hold For Pickup service, or back to the sender. Unlike PS Form 
3849-D, which entails sending of a notification to the mailer by mail 
and requiring the mailer to then send written instructions back to the 
Postmaster, which may take more than 10 days to complete, Package 
Intercept service provides mailers with an immediate avenue to request 
a COD article be redirected to a new address. Since items subject to 
Package Intercept requests are also held for a 10-day period, this 
option aligns with the proposed new holding period for COD articles. 
However, the ability for a mailer, after mailing, to adjust the COD 
amount to be collected will be eliminated when the Form 3849-D is 
retired. The USPS[supreg] will continue to return COD articles to the 
mailer at the end of the holding period if no other applicable request 
is received; and to return COD articles addressed to an addressee who 
moved and left no forwarding address.
    Additionally, payment options for COD articles will be expanded to 
allow money orders made payable to the mailer as an additional 
acceptable payment method for the addressee at the time of delivery. 
Payment remittance mailpieces will now include unique tracking barcodes 
affixed by USPS, allowing further visibility into the COD payment 
process through mail processing scans captured on the remittance en 
route to the recipient.
    As a result of these revisions, PS Form 3816, COD form, will be 
revised to reflect the changes.

List of Subjects in 39 CFR Part 111

    Administrative practice and procedure, Postal Service.

    Accordingly, 39 CFR part 111 is amended as follows:


1. The authority citation for 39 CFR part 111 continues to read as 

    Authority:  5 U.S.C. 552(a); 13 U.S.C. 301-307; 18 U.S.C. 1692-
1737; 39 U.S.C. 101, 401, 403, 404, 414, 416, 3001-3011, 3201-3219, 
3403-3406, 3621, 3622, 3626, 3632, 3633, and 5001.

2. Revise the following sections of the Mailing Standards of the United 
States Postal Service, Domestic Mail Manual (DMM):

Mailing Standards of the United States Postal Service, Domestic Mail 
Manual (DMM)

* * * * *

500 Additional Mailing Services

* * * * *

503 Extra Services

* * * * *

12.0 Collect on Delivery (COD)

* * * * *

12.2 Basic Information

12.2.1 Description

    * * * [Revise the first, second and fourth sentences of 12.2.1 as 
follows:] Any mailer may use collect on delivery (COD) service to mail 
an article for which the mailer has not been paid and have its price 
and the cost of the postage collected from the addressee (or 
addressee's agent). The recipient has the option to pay the COD charges 
using either cash, or a personal check or money order made payable to 
the mailer. * * * If the recipient pays the amount due by check or 
money order payable to the mailer, the USPS forwards the check or money 
order to the mailer. * * *
* * * * *
    [Revise the title and text of 12.2.7 as follows:]

12.2.7 Redirecting COD Article

    The mailer of a COD article may use USPS Package Intercept service 
to redirect the COD article to a new addressee, to a designated Post 
Office using Hold For Pickup service (508.7), or to the sender by 
paying the applicable fee and as provided in 507.5.
    [Delete 12.2.8, Notice to Mailer, in its entirety.]
* * * * *

507 Mailer Services

* * * * *

4.0 Address Correction Services

* * * * *

4.3 Sender Instruction

* * * * *

4.3.2 Extra Services

    * * * This mail is treated as follows: * * *
    [Revise item 4.3.2c as follows:]
    c. The mailer of a COD article also may use USPS Package Intercept 
service to redirect the COD article to a new addressee, to a designated 
Post Office using Hold for Pickup service (508.7.0), or to the sender 
by paying the applicable fee and as provided in 507.5. The USPS returns 
the article to the mailer at the end of the COD holding period if no 
other request is received. When COD articles are addressed to a person 
who moved and left no forwarding address, the article is returned to 
the mailer. The postage charge (but not registration or COD fees) for 
returning the mail, if any, is collected from the mailer.
* * * * *
    [Revise item 4.3.2g as follows:]
    g. The USPS holds undeliverable collect on delivery (COD) articles 
for no fewer than 3 days and no more than 10 days.
* * * * *

508 Recipient Services

1.0 Recipient Options

1.1 Basic Recipient Concerns

* * * * *

1.1.7 Priority Mail Express and Accountable Mail

    The following conditions also apply to the delivery of Priority 
Mail Express and accountable mail (Registered Mail, Certified Mail, 
insured for more than $200.00, or COD, as well as mail for which a 
return receipt or a return receipt for merchandise is requested or for 
which the sender has specified restricted delivery):
* * * * *
    [Revise item 508.1.1.7f as follows:]
    f. A notice is provided to the addressee for a mailpiece that 
cannot be delivered. If the piece is not called for or redelivery is 
not requested, the piece is returned to the sender after 15 days

[[Page 41307]]

(5 days for Priority Mail Express, 10 days for COD), unless the sender 
specifies fewer days on the piece.
* * * * *
    We will publish an amendment to 39 CFR part 111 to reflect these 

Stanley F. Mires,
Attorney, Legal Policy & Legislative Advice.
[FR Doc. 2013-16523 Filed 7-9-13; 8:45 am]