[Federal Register Volume 85, Number 203 (Tuesday, October 20, 2020)]
[Notices]
[Pages 66760-66868]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-23152]



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Vol. 85

Tuesday,

No. 203

October 20, 2020

Part II





Postal Service





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Change in Rates and Classes of General Applicability for Competitive 
Products; Notice

  Federal Register / Vol. 85, No. 203 / Tuesday, October 20, 2020 / 
Notices  

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POSTAL SERVICE


Change in Rates and Classes of General Applicability for 
Competitive Products

AGENCY: Postal ServiceTM.

ACTION: Notice of a change in rates of general applicability for 
competitive products.

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SUMMARY: This notice sets forth changes in rates of general 
applicability for competitive products.

DATES: This action begins January 24, 2021.

FOR FURTHER INFORMATION CONTACT: Christopher C. Meyerson, 202-268-7820.

SUPPLEMENTARY INFORMATION: On October 9, 2020, pursuant to their 
authority under 39 U.S.C. 3632, the Governors of the Postal Service 
established prices and classification changes for competitive products. 
The Governors' Decision and the record of proceedings in connection 
with such decision are reprinted below in accordance with section 
3632(b)(2).

Ruth Stevenson,
Chief Counsel, Federal Compliance.

Decision of the Governors of the United States Postal Service on 
Changes in Rates and Classes of General Applicability for Competitive 
International Products (Governors' Decision No. 20-4)

October 6, 2020

Statement of Explanation and Justification

    Pursuant to authority under section 3632 of title 39, as amended by 
the Postal Accountability and Enhancement Act of 2006 (``PAEA''), we 
(1) establish new prices of general applicability for the Postal 
Service's shipping services (competitive products) and such changes in 
classifications as are necessary to define the new prices; (2) 
establish changes in country groups in rate tables for Priority Mail 
Express International (PMEI), Priority Mail International (PMI), 
International Priority Airmail (IPA), International Surface Air Lift 
(ISAL), Outbound Single-Piece First-Class Package Service (FCPIS), as 
provided in sections 2305.6, 2315.6, 2320.6, 2325.6, and 2335.6, 
respectively, of the Mail Classification Schedule; (3) make changes to 
the country price lists for international mail that appear in Part D of 
the Mail Classification Schedule; (4) establish changes in 
classifications concerning the minimum size limits of small packets 
when sent as IPA, ISAL, and FCPIS, as set forth in sections 2320.2, 
2325.2, and 2335.2. The changes are described generally below, with a 
detailed description of the changes in the attachment. The attachment 
includes the draft Mail Classification Schedule sections with 
classification changes in legislative format, and new prices displayed 
in the price charts.
    As shown in the nonpublic annex being filed under seal herewith, 
the changes we establish should enable each competitive product to 
cover its attributable costs (39 U.S.C. 3633(a)(2)) and should result 
in competitive products as a whole complying with 39 U.S.C. 3633(a)(3), 
which, as implemented by 39 CFR 3035.107(c), requires competitive 
products collectively to contribute a minimum of 8.8 percent to the 
Postal Service's institutional costs. Accordingly, no issue of 
subsidization of competitive products by market dominant products 
should arise (39 U.S.C. 3633(a)(1)). We therefore find that the new 
prices and classification changes are in accordance with 39 U.S.C. 
3632-3633 and 39 CFR 3035.102.

I. International Expedited Services

    International expedited services include Global Express Guaranteed 
(GXG) and Priority Mail Express International (PMEI). Overall, GXG 
prices will be subject to a 0.9 percent increase, and PMEI will be 
subject to an overall 3.6 percent increase. Commercial Plus prices will 
be equivalent to Commercial Base; however, deeper discounting may still 
be made available to customers through negotiated service agreements. 
Also, three additional country price groups are being added for PMEI. 
In order to better align the country groupings for PMEI based on volume 
and geography, the country groupings for PMEI will be realigned.

II. Priority Mail International

    The overall increase for Priority Mail International (PMI) will be 
5.1 percent. Commercial Plus prices will be equivalent to Commercial 
Base; however, deeper discounting may still be made available to 
customers through negotiated service agreements. Also, three additional 
country price groups are being added for PMI. In order to better align 
the country groupings for PMI based on volume and geography, the 
country groupings for PMI will be realigned.

III. International Priority Airmail and International Surface Air Lift

    Published prices for International Priority Airmail (IPA) letters, 
flats and packets will increase by 74.1 percent. Published prices for 
International Surface Air Lift (ISAL) letters, flats, and packets will 
increase by 32.6 percent. One additional country price group is being 
added to both IPA and ISAL. In order to better align the country 
groupings for IPA and ISAL based on volume and geography, the country 
groupings for IPA and ISAL will be realigned. Also, the minimum size 
limits of small packets when sent as IPA or ISAL will be revised to 
conform to Universal Postal Union (UPU) standards. The minimum 
dimensions will be changed to 6 inches in length and 4 inches in 
height.

IV. Airmail M-Bags

    The published prices for Airmail M-Bags will increase by 5.0 
percent.

V. First-Class Package International ServiceTM

    The overall increase for First-Class Package International Service 
(FCPIS) prices will be 4.8 percent. Commercial Plus prices will be 
equivalent to Commercial Base; however, deeper discounting will still 
be made available to customers through negotiated service agreements. 
Eleven additional country price groups are being added for FCPIS. In 
order to better align the country groupings for FCPIS based on volume 
and geography, the country groupings for FCPIS will be realigned. Also, 
the minimum size limits of small packets when sent as FCPIS will be 
revised to conform to Universal Postal Union (UPU) standards. The 
minimum dimensions will be changed to 6 inches in length and 4 inches 
in height.

VI. International Ancillary Services and Special Services

    Prices for several international ancillary services will be 
increased, with an overall increase of 3.4 percent.

Order

    The changes in prices and classes set forth herein shall be 
effective at 12:01 a.m. on January 24, 2021. We direct the Secretary to 
have this decision published in the Federal Register in accordance with 
39 U.S.C. 3632(b)(2), and direct management to file with the Postal 
Regulatory Commission appropriate notice of these changes.

    By The Governors:

/s/

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Robert M. Duncan,
Chairman, Board of Governors.

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United States Postal Service

Office of the Board of Governors

Certification of Governors' Vote on Governors' Decision No. 20-4

    Consistent with 39 U.S.C. 3632(a), I hereby certify that, on 
October 6, 2020, the Governors voted on adopting Governors' Decision 
No. 20-4, and that a majority of the Governors then holding office 
voted in favor of that Decision.

    Date: October 6, 2020.

/s/

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Katherine Sigler,
Acting Secretary of the Board of Governors.
BILLING CODE 7710-12-P

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[FR Doc. 2020-23152 Filed 10-19-20; 8:45 am]
BILLING CODE 7710-12-C