[Federal Register Volume 87, Number 42 (Thursday, March 3, 2022)]
[Notices]
[Pages 12210-12211]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-03711]


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POSTAL REGULATORY COMMISSION

[Docket No. MC2022-40; Order No. 6107]


Mail Classification Schedule

AGENCY: Postal Regulatory Commission.

ACTION: Notice.

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SUMMARY: The Commission is recognizing a recent Postal Service filing 
requesting the addition of Extended Mail Forwarding as a permanent 
offering on the market dominant product list. This notice informs the 
public of the filing, invites public comment, and takes other 
administrative steps.

DATES: Comments are due: March 7, 2022. Reply comments are due: March 
14, 2022.

ADDRESSES: Submit comments electronically via the Commission's Filing 
Online system at https://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: On February 14, 2022, the Postal Service 
filed a request pursuant to 39 U.S.C. 3642 and 39 CFR 3045.18 to modify 
the Mail Classification Schedule (MCS) by adding Extended Mail 
Forwarding as a permanent offering to the market dominant product list 
and establishing classification language and prices for Extended Mail 
Forwarding.\1\
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    \1\ United States Postal Service Request to Convert Extended 
Mail Forwarding to a Permanent Offering, February 14, 2022 
(Request).
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    The Postal Service explains that the Commission authorized the 
market test in Order No. 5591 on July 20, 2020.\2\ The test was 
initially introduced in nine postal districts, but on October 1, 2020, 
the test was expanded nationwide.\3\ The Postal Service states that the 
test proved successful and proposes to add Extended Mail Forwarding to 
its Market Dominant Products: Special Services: Address Management 
Services, under section 1515.1 of its MCS. Request at 1-2. The Postal 
Service states that Extended Mail Forwarding provides customers who 
submit a permanent change-of-address request the option of extending 
mail forwarding beyond the

[[Page 12211]]

12 months forwarding period. Id. at 2. It claims that the test 
demonstrated simple operational implementation providing customers who 
move greater control over their mail forwarding expiration dates. The 
Postal Service also indicates the addition provides a new revenue 
stream and has reduced Undeliverable as Addressed handling costs. Id.
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    \2\ Request at 1; Docket No. MT2020-2, Order Authorizing 
Extended Mail Forwarding Market Test, July 20, 2020 (Order No. 
5591).
    \3\ Request at 1; Docket No. MT2020-2, United States Postal 
Service Notice of Material Change to Market Test, September 18, 
2020.
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    According to the Postal Service, Extended Mail Forwarding meets the 
requirements of 39 CFR 3045.18(b) by offering the same services as the 
experimental product with the same distinct costs and market 
characteristics, and is based on the data collected during the market 
test. Id. at 2-3.
    The Postal Service also claims the proposed product complies with 
39 CFR 3045.18(c) because the product and price category is the same as 
the product at the heart of the market test. Id. at 3. The price points 
will be $19.95 for a 6-month extension, $29.95 for a 12-month 
extension, and $39.95 for an 18-month extension. Id. at 3.
    The Postal Service states that, as a new offering, Extended Mail 
Forwarding does not have price cap implications since it lacks volume 
history and billing determinants that could be used to calculate a 
price cap effect and that it is not a rate change subject to 39 U.S.C. 
3622(d).\4\ It also points out Extended Mail Forwarding is a new 
optional feature and does not divert volumes from an existing product 
by which volumes could be inferred. Request at 3-4. In addition, 
pursuant to the requirement in 39 CFR 3045.18(c)(3), the Postal Service 
claims that the market will remain stable into the permanent phase. Id. 
at 4. The Postal Service states that the market test generated 
cumulative total revenue of almost $42.2 million. Id. The Postal 
Service also claims the product-specific costs associated with the 
development of the Extended Mail Forwarding market test were 
$505,983.29, including program management and IT-related costs, and 
have been relatively stable from quarter to quarter. Id. at 4-5.
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    \4\ Request at 3 citing 39 CFR 3045.15; Docket No. MC2012-31, 
Order Approving Addition of Postal Service to the Mail 
Classification Schedule Product Lists, September 7, 2012 (Order No. 
1460).
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    Included as Attachment A to the Request is proposed MCS language. 
Included as Attachment B are data collection reports filed during the 
market test as required by 39 CFR 3045.18(c)(4). Included as Attachment 
C is the Governors' resolution authorizing the Request. The Postal 
Service explains that it would like to implement the product on July 
10, 2022, to align Extended Mail Forwarding with other IT programming 
changes, and thus requests the Commission issue a final order no later 
than May 16, 2022. Id. at 5.
    Pursuant to rule 3040.133, the Commission provides interested 
persons an opportunity to express views and offer comments on the 
proposed addition to the MCS. Comments are due no later than March 7, 
2022. Reply comments may be filed no later than March 14, 2022. The 
Postal Service's Request in Docket No. MC2022-40 can be accessed on the 
Commission's website (http://www.prc.gov).\5\
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    \5\ Additional information provided as part of the Postal 
Service's market test of the product at issue in Docket No. MT2020-2 
may also be accessed on the Commission's website.
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    Pursuant to 39 U.S.C. 505, Richard A. Oliver is appointed to serve 
as an officer of the Commission (Public Representative) to represent 
the interests of the general public in the above-captioned docket.
    It is ordered:
    1. The Commission establishes Docket No. MC2022-40 for 
consideration of the matters raised by the United States Postal Service 
Request to Convert Extended Mail Forwarding to a Permanent Offering, 
filed February 14, 2022.
    2. Comments are due no later than March 7, 2022.
    3. Reply comments are due no later than March 14, 2022.
    4. Pursuant to 39 U.S.C. 505, Richard A. Oliver is appointed to 
serve as an officer of the Commission (Public Representative) to 
represent the interests of the general public in this proceeding.
    5. The Secretary shall arrange for publication of this order in the 
Federal Register.

    By the Commission.
Erica A. Barker,
Secretary.
[FR Doc. 2022-03711 Filed 3-2-22; 8:45 am]
BILLING CODE 7710-FW-P