[Federal Register Volume 84, Number 214 (Tuesday, November 5, 2019)]
[Notices]
[Pages 59662-59663]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-24091]


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POSTAL REGULATORY COMMISSION

[Docket No. CP2019-155; Order No. 5288]


Competitive Postal Products

AGENCY: Postal Regulatory Commission.

ACTION: Notice.

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SUMMARY: The Commission is acknowledging a recent filing by the Postal 
Service of its intention to change prices not of general applicability 
to reflect a range of prices to take effect on a date determined by the 
Postal Service Governors. This notice informs the public of the filing, 
invites public comment, and takes other administrative steps.

DATES: Comments are due: November 6, 2019.

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: David A. Trissell, General Counsel, at 
202-789-6820.

SUPPLEMENTARY INFORMATION:

Table of Contents

I. Introduction
II. Background
III. Proposed Rates
IV. Initial Administrative Actions
V. Ordering Paragraphs

I. Introduction

    On October 29, 2019, the Postal Service filed a notice of specific 
per-item and per-kilogram self-declared prices for Inbound Letter Post 
Small Packets and Bulky Letters (E format) as well as a notice of price 
adjustment for certain Inbound Letter Post Small Packets and Bulky 
Letters pieces and associated Inbound Competitive International 
Registered Mail Service.\1\ The Postal Service intends for the prices 
to take effect on July 1, 2020. Notice at 1. The Postal Service's 
Notice requests prompt review and approval of new prices for Inbound 
Letter Post Small Packets and Bulky Letters to facilitate its efforts 
to commence bilateral negotiations with foreign postal operators. Id. 
at 8.
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    \1\ Notice of the United States Postal Service of Effective Date 
and Specific Rates Not of General Applicability for Inbound E-Format 
Letter Post, and Application for Non-Public Treatment, October 29, 
2019 (Notice).
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II. Background

    In Order No. 5152, the Commission approved a range of self-declared 
prices for Inbound Letter Post Small Packets and Bulky Letters from 
Universal Postal Union (UPU) group I, II, and III countries and from 
group IV countries with mail flows that exceed a certain annual tonnage 
threshold.\2\ The Commission also approved the application of default 
terminal dues established in the Universal Postal Convention to mail 
flows from group IV countries that do not exceed the annual tonnage 
threshold. Order No. 5152 at 5, 18. When approving the range of self-
declared rates, the Commission directed the Postal Service to provide 
notice of specific per-item and per-kilogram prices at least 15 days 
before the effective date of those prices. Id. at 19.
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    \2\ Order Approving Range of Rates for Inbound Letter Post Small 
Packets and Bulky Letters and Associated International Registered 
Mail Service, July 12, 2019, at 5, 18 (Order No. 5152). The Postal 
Service applied an annual tonnage threshold of 100 tonnes. See 
Responses of the United States Postal Service to Questions 1-10 of 
Chairman's Information Request No. 1, question 3.a, June 7, 2019.
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    In September 2019, members of the UPU held a Third Extraordinary 
Congress and adopted proposals to reform the current terminal dues 
system for Inbound Letter Post small packets and bulky letters.\3\ 
Specifically, the Third Extraordinary Congress adopted proposals that 
will allow the Postal Service to charge self-declared prices for 
Inbound Letter Post small packets and bulky letters beginning July 1, 
2020. Notice at 4. The Postal Service must provide notice of these 
self-declared prices to the UPU International Bureau by March 1, 2020. 
Id.
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    \3\ See Docket No. IM2019-1, Notice and Order Establishing 
Section 407 Proceeding, June 20, 2019, at 1 (Order No. 5127).
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III. Proposed Rates

    The Postal Service's Notice includes an application for non-public 
treatment of materials filed under seal (Attachment 1), redacted 
specific per-item and per-kilogram self-declared prices for Inbound 
Letter Post Small Packets and Bulky Letters (Attachment 2), a redacted 
copy of Governors' Decision No. 19-5 (Attachment 3), and a 
certification pursuant to 39 CFR 3015.5(c)(2) (Attachment 4). Id. 
Attachments 1-4. In addition, the Postal Service filed the proposed 
rates and underlying workpapers under seal in this docket. See Notice 
at 3. The Postal Service states that the specific per-item and per-
kilogram prices and supporting workpapers should remain confidential. 
Id. at 7. The Postal Service further explains its request for non-
public treatment of the specific self-declared prices in its 
application for non-public treatment, filed pursuant to 39 CFR part 
3007. Id. Attachment 1 at 1.
    The Postal Service notes that the proposals adopted by the Third 
Extraordinary Congress necessitate a different price structure from 
what the Commission approved in Order No. 5152. See Notice at 5. 
Specifically, it plans to combine self-declared prices for Inbound 
Letter Post Small Packets and Bulky Letters with applicable rates for 
Inbound Letter Post letters and flats to ``formulate blended rates for 
low volumes flows,'' which will be applicable to group I countries with 
mail flows below 50 tonnes, and to group II and III countries with mail

[[Page 59663]]

flows between 25 to 50 tonnes. Id. Furthermore, it plans to charge 
default terminal dues for certain low volume mail flows from group II, 
III, and IV countries. Id. at 6. Additionally, the default terminal 
dues for group IV countries are higher than those previously approved 
in Order No. 5152. Id. The Postal Service also notes that it adjusted 
the prices for associated Inbound Competitive International Registered 
Mail Service to conform more closely to the Universal Postal Convention 
and the Convention Regulations. Id. at 7.
    The Postal Service states that the proposed specific per-item and 
per-kilogram prices for Inbound Letter Post Small Packets and Bulky 
Letters fall within the range approved by the Commission in Order No. 
5152. Id. at 3. The Postal Service states that prices for the Inbound 
Letter Post Small Packets and Bulky Letters pieces and associated 
Inbound Competitive International Registered Mail Service would conform 
to the requirements for competitive products under 39 U.S.C. 3633. Id. 
at 3, 7. The Postal Service states that the proposed prices cover 
attributable costs, avoid cross-subsidization, and do not impede 
competitive products' collective ability to cover the appropriate share 
of institutional costs. Id. at 3, 7.

IV. Initial Administrative Actions

    The Commission invites comments on whether the planned changes are 
consistent with 39 U.S.C. 3632 and 3633 and 39 CFR part 3015. Comments 
are due no later than November 6, 2019. Pursuant to 39 U.S.C. 505, 
Katalin K. Clendenin continues to serve as Public Representative to 
represent the interests of the general public in this docket.

V. Ordering Paragraphs

    It is ordered:
    1. The Commission invites interested persons an opportunity to 
express views and offer comments on whether the planned changes are 
consistent with 39 U.S.C. 3632 and 3633 and 39 CFR part 3015.
    2. Comments are due no later than November 6, 2019.
    3. Pursuant to 39 U.S.C. 505, Katalin K. Clendenin continues to 
serve as an officer of the Commission (Public Representative) to 
represent the interests of the general public in this docket.
    4. The Secretary shall arrange for publication of this order in the 
Federal Register.

    By the Commission.
Darcie S. Tokioka,
Acting Secretary.
[FR Doc. 2019-24091 Filed 11-4-19; 8:45 am]
BILLING CODE 7710-FW-P