[Federal Register Volume 87, Number 203 (Friday, October 21, 2022)]
[Proposed Rules]
[Pages 63985-63999]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-22958]


=======================================================================
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POSTAL SERVICE

39 CFR Part 111


Removal of Sacks--USPS Marketing Mail and Periodicals Flats

AGENCY: Postal ServiceTM.

ACTION: Proposed rule.

-----------------------------------------------------------------------

SUMMARY: The Postal ServiceTM proposes to revise Mailing 
Standards of the United States Postal Service, Domestic Mail Manual 
(DMM[supreg]) to remove references to sacks as a handling unit for USPS 
Marketing Mail[supreg] and Periodicals Flats.

DATES: Submit comments on or before November 21, 2022.

ADDRESSES: Mail or deliver written comments to the manager, Product 
Classification, U.S. Postal Service[supreg], 475 L'Enfant Plaza SW, 
Room 4446, Washington, DC 20260-5015. You may inspect and photocopy all 
written comments at USPS[supreg] Headquarters Library, 475 L'Enfant 
Plaza SW, 11th Floor N, Washington, DC by appointment only between the 
hours of 9 a.m. and 4 p.m., Monday through Friday by calling 1-202-268-
2906 in advance. Email comments, containing the name and address of the 
commenter, may be sent to: [email protected], with a 
subject line of ``Network Redesign--Removal of Sacks.'' Faxed comments 
are not accepted.

FOR FURTHER INFORMATION CONTACT: Dale Kennedy at (202) 268-6592 or 
Doriane Harley at (202) 268-2537.

SUPPLEMENTARY INFORMATION: As part of its network redesign efforts, the 
Postal Service is proposing to eliminate the use of sacks as containers 
for Flats acceptance/entry but will continue to allow Flat trays as 
acceptable containers for acceptance and entry along with bundles on 
pallets for USPS Marketing Mail and Periodicals Flat Mail. The 
exception to this proposal is that carrier route, 5-digit scheme 
carrier routes and 5-digit carrier routes flat mail will continue to be 
allowed to use sacks as a handling unit.
    Although exempt from the notice and comment requirements of the 
Administrative Procedure Act (5 U.S.C. 553(b), (c)) regarding proposed 
rulemaking by 39 U.S.C. 410(a), the

[[Page 63986]]

Postal Service invites public comments on the following proposed 
revisions to Mailing Standards of the United States Postal Service, 
Domestic Mail Manual (DMM), incorporated by reference in the Code of 
Federal Regulations. See 39 CFR 111.1.
    We will publish an appropriate amendment to 39 CFR part 111 to 
reflect these changes.

List of Subjects in 39 CFR Part 111

    Administrative practice and procedure, Postal Service.

    Accordingly, 39 CFR part 111 is proposed to be amended as follows:

PART 111--[AMENDED.]

0
1. The authority citation for 39 CFR part 111 continues to read as 
follows:

    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.

0
2. Revise the Mailing Standards of the United States Postal Service, 
Domestic Mail Manual (DMM) as follows:

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

* * * * *

200 Commercial Letters, Cards, Flats, and Parcels

* * * * *

203 Basic Postage Statement, Documentation, and Preparation Standards

* * * * *

3.0 Standardized Documentation for First-Class Mail, Periodicals, USPS 
Marketing Mail, and Flat-Size Bound Printed Matter

* * * * *

3.4 Sortation Level

* * * * *

------------------------------------------------------------------------
                Sortation level                       Abbreviation
------------------------------------------------------------------------
 
                              * * * * * * *
[Revise the item beginning with ``Merged 5-
 Digit '' to read as follows:]
Merged 5--Digit [flat trays and pallets         M5D
 (Periodicals and USPS Marketing Mail flats);
 sacks and pallets (irregular parcels)].
[Revise the item beginning with ``Merged 5-
 Digit Scheme'' to read as follows:]
Merged 5--Digit Scheme [flat trays and pallets  M5DS
 (Periodicals and USPS Marketing Mail flats);
 sacks and pallets (irregular parcels)].
 
                              * * * * * * *
[Revise the item beginning with ``Merged 3-
 Digit '' to read as follows:]
Merged 3-Digit [flat trays (Periodicals         M3D
 flats); sacks (irregular parcels)].
 
                              * * * * * * *
[Revise the item beginning with ``SCF '' to
 read as follows:]
SCF [flat trays and pallets (Periodicals flats  SCF
 and USPS Marketing Mail); sacks and pallets.
(Bound Printed Matter and irregular parcels
 less than 6 ounces)]
------------------------------------------------------------------------

* * * * *

4.0 Bundles

* * * * *
    [Revise the title of 4.4 to read as follows:]

4.4 Exception to Bundle Preparation--Full Letter and Flat Trays

* * * * *

4.6 Address Visibility for Flats and Parcels

* * * * *
    [Revise the items 4.6b and 4.6c to read as follows:]
    b. Bundles placed in or on 5-digit or 5-digit scheme (L001) flat 
trays or pallets.
    c. Bundles placed in carrier route and 5-digit carrier routes flat 
trays or sacks.
* * * * *
    [Revise the title of 4.8 to read as follows:]

4.8 Preparing Bundles in Sacks and Flat Trays

    [Revise the introductory text of 4.8 to read as follows:]
    In addition to the standards in 4.5 through 4.7, mailers must 
prepare bundles placed in flat trays and sacks as follows:
* * * * *
    [Revise the title of 4.10 to read as follows:]

4.10 Additional Standards for Unsacked/Untrayed Bundles Entered at DDU 
Facilities

    [Revise the introductory text of 4.10 to read as follows:]
    Mailers may enter unsacked, untrayed, or nonpalletized bundles of 
carrier route, Periodicals, or USPS Marketing Mail flats and unsacked 
bundles of Bound Printed Matter (BPM) flats or irregular parcels (BPM 
only) at destination delivery units (DDUs) if all the following 
conditions are met:
* * * * *

4.11 Pieces With Simplified Address

    [Revise the last sentence of the introductory text of 4.11 to read 
as follows:]
    * * * Bundles must be secure and stable subject to weight limits in 
705.8.0 if placed on pallets, and weight and height limits in 4.8 if 
placed in flat trays.
* * * * *

5.0 Letter and Flat Trays

5.1 General Standards

    [Revise the last sentence of the introductory text of 5.1 to read 
as follows:]
    * * * Periodicals and USPS Marketing Mail flat-size mailings must 
be prepared in flat trays with green lids under 207.22.7, 207.25.5, 
245.8.7, and 245.10.4.3 (see also 5.6.2j).
* * * * *

5.6.2 Preparation for Flats in Flat Trays

* * * * *
    [Add an item (j) to read as follows:]
    j. Flat trays used in a Periodicals or USPS Marketing Mail flat-
size mailing may be nested into each other on a pallet without lids and 
the pallet then shrink-wrapped.
* * * * *

204 Barcode Standards

* * * * *

3.0 Standards for Barcoded Tray Labels, Sack Labels, and Container 
Labels

* * * * *

[[Page 63987]]

3.2 Specifications for Barcoded Tray and Sack Labels

* * * * *

3.2.4 3-Digit Content Identifier Numbers

* * * * *

Exhibit 3.2.4 3-Digit Content Identifier Numbers

* * * * *
    [Revise Exhibit 3.2.4 to read as follows:]

----------------------------------------------------------------------------------------------------------------
                    Class and mailing                       CIN             Human-readable content line
----------------------------------------------------------------------------------------------------------------
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------
[Revise the text of ``Per Flats--Carrier Route,'' ``Per Flats--Barcoded,'' ``Per Flats--Nonbarcoded,'' ``Per
 Flats--Cosacked Barcoded and Nonbarcoded,'' and ``Per Flats--Merged Carrier Route, Barcoded, and Nonbarcoded ''
 to read as follows:]
----------------------------------------------------------------------------------------------------------------
PER Flats--Carrier Route:
    car. rt. sacks or flat trays--saturation............      387  PER FLTS WSS \1\
    car. rt. sacks or flat trays--high density..........      388  PER FLTS WSH \1\
    car. rt. sacks or flat trays--basic.................      385  PER FLTS CR \1\
    5-digit carrier routes sacks or flat trays..........      386  PER FLTS 5D CR-RTS
    5-digit scheme carrier routes sacks or flat trays...      371  PER FLTS CR-RTS SCH
    3-digit carrier routes flat trays...................      351  PER FLTS 3D CR-RTS
PER Flats--Barcoded:
    5-digit flat trays..................................      372  PER FLTS 5D BC
    5-digit scheme flat trays...........................      372  PER FLTS 5D SCH BC
    3-digit flat trays..................................      373  PER FLTS 3D BC
    SCF flat trays......................................      377  PER FLTS SCF BC
    ADC flat trays......................................      374  PER FLTS ADC BC
    mixed ADC flat trays................................      375  PER FLTS BC WKG
    Origin mixed ADC flat trays.........................      381  PER FLTS WKG W FCM
PER Flats--Nonbarcoded:
    5-digit scheme flat trays...........................      378  PER FLT 5D SCH NON BC
    5-digit flat trays..................................      378  PER FLTS 5D NON BC
    3-digit flat trays..................................      379  PER FLTS 3D NON BC
    SCF flat trays......................................      384  PER FLTS SCF NON BC
    ADC flat trays......................................      380  PER FLTS ADC NON BC
    mixed ADC flat trays................................      382  PER FLTS NON BC WKG
    origin mixed ADC flat trays.........................      381  PER FLTS WKG W FCM
PER Flats--Co-trayed Barcoded and Nonbarcoded:
    5-digit scheme flat trays...........................      321  PER FLT 5D SCH BC/NBC
    5-digit flat trays..................................      321  PER FLTS 5D BC/NBC
    3-digit flat trays..................................      322  PER FLTS 3D BC/NBC
    SCF flat trays......................................      329  PER FLTS SCF BC/NBC
    ADC flat trays......................................      331  PER FLTS ADC BC/NBC
    mixed ADC flat trays................................      332  PER FLTS BC/NBC WKG
    origin mixed ADC flat trays.........................      381  PER FLTS WKG W FCM
PER Flats--Merged Carrier Route, Barcoded, and
 Nonbarcoded:
    merged 5-digit sacks or flat trays..................      339  PER FLTS CR/5D
    merged 5-digit scheme sacks or flat trays...........      349  PER FLTS CR/5D SCH
    merged 3-digit flat trays...........................      352  PER FLTS CR/5D/3D
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------
[Revise the text of ``NEWS Flats--Carrier Route,'' ``NEWS Flats--Barcoded,'' ``NEWS Flats--Nonbarcoded,'' ``NEWS
 Flats--Cosacked Barcoded and Nonbarcoded,'' and ``NEWS Flats--Merged Carrier Route, Barcoded and Nonbarcoded ''
 to read as follows:]
----------------------------------------------------------------------------------------------------------------
NEWS Flats--Carrier Route:
    car. rt. sacks or flat trays--saturation............      487  NEWS FLTS WSS \1\
    car. rt. sacks or flat trays--high density..........      488  NEWS FLTS WSH \1\
    car. rt. sacks or flat trays--basic.................      485  NEWS FLTS CR \1\
    5-digit carrier routes sacks or flat trays..........      486  NEWS FLTS 5D CR-RTS
    5-digit scheme carrier routes sacks or flat trays...      471  NEWS FLTS CR-RTS SCH

[[Page 63988]]

 
    3-digit carrier routes flat trays...................      451  NEWS FLTS 3D CR-RTS
NEWS Flats--Barcoded:
    5-digit flat trays..................................      472  NEWS FLTS 5D BC
    5-digit scheme flat trays...........................      472  NEWS FLTS 5D SCH BC
    3-digit flat trays..................................      473  NEWS FLTS 3D BC
    SCF flat trays......................................      477  NEWS FLTS SCF BC
    ADC flat trays......................................      474  NEWS FLTS ADC BC
    mixed ADC flat trays................................      475  NEWS FLTS BC WKG
    origin mixed ADC flat trays.........................      481  NEWS FLTS WKG W FCM
NEWS Flats--Nonbarcoded:
    5-digit scheme flat trays...........................      478  NEWS FLT 5D SCH NON BC
    5-digit flat trays..................................      478  NEWS FLTS 5D NON BC
    3-digit flat trays..................................      479  NEWS FLTS 3D NON BC
    SCF flat trays......................................      484  NEWS FLTS SCF NON BC
    ADC flat trays......................................      480  NEWS FLTS ADC NON BC
    mixed ADC flat trays................................      482  NEWS FLTS NON BC WKG
    origin mixed ADC flat trays.........................      481  NEWS FLTS WKG W FCM
NEWS Flats--Co-trayed Barcoded and Nonbarcoded:
    5-digit scheme flat trays...........................      421  NEWS FLT 5D SCH BC/NBC
    5-digit flat trays..................................      421  NEWS FLTS 5D BC/NBC
    3-digit flat trays..................................      422  NEWS FLTS 3D BC/NBC
    SCF and origin/entry SCF flat trays.................      429  NEWS FLTS SCF BC/NBC
    ADC flat trays......................................      431  NEWS FLTS ADC BC/NBC
    mixed ADC flat trays................................      432  NEWS FLTS BC/NBC WKG
    origin mixed ADC flat trays.........................      481  NEWS FLTS WKG W FCM
NEWS Flats--Merged Carrier Route, Barcoded, and
 Nonbarcoded:
    merged 5-digit......................................      439  NEWS FLTS CR/5D
    merged 5-digit scheme...............................      449  NEWS FLTS CR/5D SCH
    merged 3-digit flat trays...........................      452  NEWS FLTS CR/5D/3D
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------
[Revise the text of ``Enhanced Carrier Route Flats--Nonautomation,'' ``MKT Flats--Cosacked Automation and
 Nonautomation,'' ``MKT Flats--Merged Carrier Route, Automation, and Presorted,'' ``MKT Flats--Automation,''
 ``MKT Flats--Nonautomation,'' and ``MKT Flats--Residual Pieces Subject to FCM Single-Piece Prices'' to read as
 follows:]
----------------------------------------------------------------------------------------------------------------
Enhanced Carrier Route Flats--Nonautomation:
    saturation price sacks or flat trays................      587  MKT FLTS ECRWSS \1\
    high density or high density plus price sacks or....      588  MKT FLTS ECRWSH \1\
    flat trays..........................................
    basic price sacks or flat trays.....................      589  MKT FLTS ECRLOT \1\
    5-digit carrier routes sacks or flat trays..........      586  MKT FLTS CR-RTS
    5-digit scheme car. rts. sacks or flat trays........      529  MKT FLTS CR-RTS SCH
MKT Flats--Co-trayed Automation and Nonautomation:
    5-digit scheme flat trays...........................      521  MKT FLT 5D SCH BC/NBC
    5-digit flat trays..................................      521  MKT FLTS 5D BC/NBC
    3-digit and origin/entry 3-digit flat trays.........      522  MKT FLTS 3D BC/NBC
    ADC flat trays......................................      531  MKT FLTS ADC BC/NBC
    mixed ADC flat trays................................      532  MKT FLTS BC/NBC WKG
MKT Flats--Merged Carrier Route, Automation, and
 Presorted:
    merged 5-digit......................................      539  MKT FLTS CR/5D

[[Page 63989]]

 
    merged 5-digit scheme...............................      549  MKT FLTS CR/5D SCH
MKT Flats--Automation:
    5-digit flat trays..................................      572  MKT FLTS 5D BC
    5-digit scheme flat trays...........................      572  MKT FLTS 5D SCH BC
    3-digit flat trays..................................      573  MKT FLTS 3D BC
    ADC flat trays......................................      574  MKT FLTS ADC BC
    mixed ADC flat trays................................      575  MKT FLTS BC WKG
MKT Flats--Nonautomation:
    5-digit scheme flat trays...........................      578  MKT FLT 5D SCH NON BC
    5-digit flat trays..................................      578  MKT FLTS 5D NON BC
    3-digit flat trays..................................      579  MKT FLTS 3D NON BC
    ADC flat trays......................................      580  MKT FLTS ADC NON BC
    mixed ADC flat trays................................      582  MKT FLTS NON BC WKG
MKT Flats--Residual Pieces Subject to FCM Single-Piece
 Prices:
    residual flat trays.................................      582  MKT FLTS WKG
 
                                                  * * * * * * *
PACKAGE SERVICES
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------
BPM Flats--Co-sacked Barcoded and Presorted:
               [Revise the text of ``BPM--Co-sacked Barcoded and Presorted '' to read as follows:]
----------------------------------------------------------------------------------------------------------------
    5-digit scheme sacks................................      648  PSVC FLTS 5D SCH BC/NBC
    5-digit sacks.......................................      648  PSVC FLTS 5D BC/NBC
    3-digit sacks.......................................      661  PSVC FLTS 3D BC/NBC
    SCF sacks...........................................      667  PSVC FLTS SCF BC/NBC
    ADC sacks...........................................      668  PSVC FLTS ADC BC/NBC
    mixed ADC sacks.....................................      669  PSVC FLTS BC/NBC WKG
----------------------------------------------------------------------------------------------------------------

* * * * *

207 Periodicals

* * * * *

12.0 Nonbarcoded (Presorted) Eligibility

* * * * *

12.3 Prices--In-County

12.3.1 Five-Digit Prices

* * * * *
    [Revise the text of 12.3.1b to read as follows:]
    b. Nonletter-size pieces in 5-digit scheme bundles and 5-digit 
bundles of six or more addressed pieces each, placed in 5-digit scheme 
flat trays, or 5-digit flat trays, or palletized under 705.8.0 or 
705.10.0, 705.12.0, or 705.13.0.
* * * * *

12.3.2 Three-Digit Prices

* * * * *
    [Revise the text of 12.3.2b to read as follows:]
    b. Nonletter-size pieces in 5-digit scheme, 5-digit, 3-digit 
scheme, and 3-digit bundles of six or more addressed pieces each, 
placed in 3-digit flat trays; or 3-digit scheme and 3-digit bundles of 
six or more addressed pieces each, prepared under 705.8.0 or 705.10.0, 
705.12.0, or 705.13.0.
* * * * *

13.0 Carrier Route Eligibility

* * * * *

13.2 Sorting

13.2.1 Basic Standards

* * * * *
    [Revise the text of 13.2.1b(2) and 13.2.1b(3) to read as follows:]
    2. Bundles in carrier route, 5-digit scheme carrier routes, 5-digit 
carrier routes sacks/flat trays, or 3-digit carrier routes flat trays 
under 23.0. Sacks/flat trays may be palletized under 705.8.0.
    3. Unsacked/untrayed bundles entered at a destination delivery unit 
under 23.4.2 and 29.6.5.
* * * * *

18.0 General Mail Preparation

* * * * *

18.4 Mail Preparation Terms

* * * * *
    [Revise the text of 18.4j to read as follows:]
    j. A 5-digit scheme carrier routes sort for carrier route 
Periodicals flats prepared in sacks/flat trays and irregular parcels 
prepared in sacks or as bundles on pallets yields a 5-digit scheme 
carrier routes sack/flat tray or pallet for those 5-digit ZIP Codes 
listed in L001 and 5-digit carrier routes sacks/flat trays or pallets 
for other areas. The 5-digit ZIP Codes in each scheme are treated as 
one presort destination. Sacks/flat trays or pallets prepared for a 5-
digit scheme carrier routes destination that contain carrier route 
bundles for only one of the schemed 5-digit areas are still considered 
to be sorted to 5-digit scheme carrier routes. Preparation of 5-digit 
scheme carrier routes sacks/flat trays or pallets must be done for all 
5-digit scheme destinations.
* * * * *
    [Revise the text of 18.4s to read as follows:]
    s. An origin/entry SCF flat tray contains all 5-digit and 3-digit 
bundles (regardless of quantity) for the SCF in whose service area the 
mail is verified. At the mailer's option, such a flat tray

[[Page 63990]]

may be prepared for the SCF area of each entry Post Office. This 
presort level applies only to nonletter-size Periodicals prepared in 
flat trays.
* * * * *
    [Revise the text of 18.4y to read as follows:]
    y. A ``logical'' presort destination represents the total number of 
pieces that are eligible for a specific presort level based on the 
required sortation, but which might not be contained in one bundle or 
in one container (flat tray, sack or pallet) due to preparation 
requirements or the piece size. For example, there may be 42 mailpieces 
for ZIP Code 43112 forming a ``logical'' 5-digit bundle, and they are 
prepared in three physical 5-digit bundles because of the weight and 
height restrictions on bundles.
* * * * *

20.0 Sacks and Trays

20.1 Basic Standards

20.1.1 General

    Mailings must be prepared in letter trays (letters), flat trays 
(flats) under 22.7 and 25.5, or sacks (carrier route, 5-digit scheme 
cr-rt and 5-digit cr-rt flats and all periodicals parcels). Palletized 
mail is subject to 705.8.0. See 203.5.0 and 203.6.0 for tray and sack 
standards.
* * * * *

22.0 Preparing Nonbarcoded (Presorted) Periodicals

* * * * *

22.4 Bundles With Fewer Than Six Pieces

* * * * *
    [Revise the text of 22.4a to read as follows:]
    a. Place bundles in only 5-digit, 3-digit, and SCF flat trays that 
contain at least 24 pieces, or in origin/entry SCF flat trays, as 
appropriate.
* * * * *
    [Revise the title of 22.5 to read as follows:]

22.5 Letter Tray Preparation--Letter-Size Pieces

* * * * *
    [Revise the title of 22.6 to read as follows:]

22.6 Sack Preparation--Parcels

    For mailing jobs that also contain a barcoded mailing, see 22.1.2. 
For other mailing jobs, preparation sequence, sack size, and labeling:
    [Delete item 22.6a in its entirety and renumber the remaining items 
as (a) through (g) respectively; revise the new items a through g to 
read as follows:]
    a. 5-digit, required at 72 pieces, optional at 24 pieces minimum.
    1. Line 1: use city, state, and 5-digit ZIP Code on mail (see 21.0 
for overseas military mail).
    2. Line 2: ``PER'' or NEWS'' as applicable; followed by ``IRREG'' 
as applicable; followed by ``5D''.
    b. 3-digit, required at 72 pieces, optional at 24 pieces minimum.
    1. Line 1: use L002, Column A.
    2. Line 2: ``PER'' or ``NEWS'' as applicable; followed by ``IRREG'' 
as applicable; followed by ``3D'.
    c. SCF, required at 72 pieces, optional at 24 pieces minimum.
    1. Line 1: use L002, Column C.
    2. Line 2: ``PER'' or ``NEWS'' as applicable; followed by ``IRREG'' 
as applicable; followed by ``SCF'.
    d. Origin/entry SCF, required for the SCF of the origin 
(verification) office, optional for the SCF of an entry office other 
than the origin office, (no minimum); for Line 1 use L002, Column C.
    1. Line 1: use L002, Column C.
    2. Line 2: ``PER'' or ``NEWS'' as applicable; followed by ``IRREG'' 
as applicable; followed by ``SCF'.
    e. ADC, required at 72 pieces, optional at 24 pieces minimum.
    1. Line 1: use L004, Column B.
    2. Line 2: ``PER'' or ``NEWS'' as applicable; followed by or 
``IRREG'' as applicable; followed by ``ADC'.
    f. Origin mixed ADC, required; no minimum; for any remaining 
bundles for destinations in L201, Column B, corresponding to the origin 
ZIP Code in Column A.
    1. Line 1: Use L201, Column C.
    2. Line 2: ``PER'' or ``NEWS'' as applicable, followed by ``IRREG'' 
as applicable, followed by ``WKG W FCM.''
    g. Mixed ADC, required (no minimum).
    1. Line 1: Use L009, Column B.
    2. Line 2: ``PER'' or ``NEWS'' as applicable; followed by ``IRREG'' 
as applicable; followed by ``WKG'' for irregular parcels.
    [Revise the title of 22.7 to read as follows:]

22.7 Tray Preparation--Flat-Size Pieces

    [Revise the Introductory text of 22.7 to read as follows:]
    Mailers must place flat sized pieces in flat trays (see 203.5.6) 
instead of sacks unless prepared as direct carrier route, 5-digit 
scheme carrier route, or 5-digit carrier route (see 23.4.1 and 705.9.0 
or 705.10.0). Mailers also may prepare nonmachinable (see 26.0) flats 
in flat trays. Bundling is not permitted unless a bundle is more finely 
presorted than the tray's presort destination. The trays are subject to 
a container charge, and any bundles are subject to a bundle charge. 
Tray preparation, sequence, and labeling: * * *
* * * * *

23.0 Preparing Carrier Route Periodicals

* * * * *

23.6 Bundles With Fewer Than Six Pieces

    [Revise the text of 23.6a to read as follows:]
* * * * *
    a. Place bundles in only 5-digit scheme carrier routes and 5-digit 
carrier routes sacks/flat trays that contain at least 24 pieces, or 3-
digit carrier routes or merged 3-digit flat trays that contain at least 
one six-piece carrier route bundle.
* * * * *

23.7 Multi-Box Section Bundles--Optional Preparation

    [Revise the text of 23.7e to read as follows:]
    e. Place bundles in existing carrier-route flat trays, 5-Digit 
scheme carrier routes, or 5-Digit carrier routes sacks/flat trays.
* * * * *

25.0 Preparing Flat-Size Barcoded (Automation) Periodicals

25.1 Basic Standards

* * * * *

25.1.7 Exception--Barcoded and Nonbarcoded Flats on Pallets

* * * * *
    [Revise the text of 25.1.7b and 25.1.7c to read as follows:]
    b. Mailing jobs prepared entirely in flat trays and claiming this 
exception must be cobundled under 705.11.0.
    c. As an alternative to 705.9.0 through 705.13.0, if a portion of 
the job is prepared as palletized barcoded flats, the nonbarcoded 
portion may be prepared as palletized flats and paid at nonbarcoded 
machinable and carrier route prices. The nonbarcoded price pieces that 
cannot be placed on ADC or finer pallets may be prepared as flats in 
flat trays and paid at the nonbarcoded prices.

25.1.8 Bundles With Fewer Than Six Pieces

* * * * *
    [Revise the text of 25.1.8a to read as follows:]
    a. Place 5-digit and 3-digit bundles in only 5-digit scheme, 5-
digit, 3-digit, and SCF flat trays, as appropriate, that contain at 
least 24 pieces, or in merged

[[Page 63991]]

3-digit flat trays that contain at least one six-piece carrier route 
bundle, or in origin/entry SCF flat trays.
* * * * *
    [Revise the text of 25.1.8c to read as follows:]
    c. Place 5-digit scheme and 3-digit scheme bundles in only 5-digit 
scheme, 3-digit, and SCF flat trays, as appropriate, that contain at 
least 24 pieces, or in merged 3-digit flat trays that contain at least 
one six-piece carrier route bundle, or in origin/entry SCF flat trays.
* * * * *
    [Revise the title of 25.1.9 to read as follows:]

25.1.9 Cotraying and Cobundling With Nonbarcoded and Carrier Route 
Price Mail

* * * * *
    [Revise the text of 25.1.9b and 25.1.9c to read as follows:]
    b. If the mailing job contains a machinable barcoded and 
nonbarcoded mailing, then it must be prepared under the cotraying 
standards in 705.9.0. Machinable barcoded and nonbarcoded pieces may be 
cobundled under the standards in 705.11.0.
    c. If the mailing job contains a carrier route mailing and a 
machinable barcoded mailing, then it must be separately trayed under 
23.0 and 25.0 or prepared using the merged flat tray option under 
705.10.0.
* * * * *

240 Commercial Mail USPS Marketing Mail

243 Prices and Eligibility

* * * * *

5.0 Additional Eligibility Standards for Nonautomation USPS Marketing 
Mail Letters, Flats, and Presorted USPS Marketing Mail Parcels

* * * * *

5.6 Nonautomation Price Application--Flats

5.6.1 5-Digit Prices for Flats

    [Revise item a to read as follows:]
    In a 5-digit/scheme bundle of 10 or more pieces, or 15 or more 
pieces, as applicable; properly placed in a 5-digit/scheme flat tray 
(see full flat tray 245.1.4).
* * * * *
    [Revise item c to read as follows:]
    c. In a 5-digit bundle of 10 or more pieces, or 15 or more pieces, 
as applicable; properly placed in a merged 5-digit/scheme or 5-digit 
flat tray under 705.10.0.

5.6.2 3-Digit Prices for Flats

    [Revise item a to read as follows:]
    a. In a 5-digit/scheme bundle of 10 or more pieces, or 15 or more 
pieces, as applicable, or in a 3-digit/scheme bundle of 10 or more 
pieces; properly placed in a 3-digit flat tray (see full flat tray 
245.1.4).

5.6.3 ADC Prices for Flats

    [Revise items a and b to read as follows:]
    a. In a 5-digit/scheme, 3-digit/scheme, or ADC bundle of 10 or more 
pieces properly placed in an ADC flat tray (see full flat tray 
245.1.4).
    b. In an optional 3-digit/scheme origin/entry flat tray.
* * * * *

5.6.4 Mixed ADC Prices for Flats

    [Revise the text of 5.6.4 to read as follows:]
    [Mixed ADC prices apply to flat-size pieces in bundles that do not 
qualify for 5-digit, 3-digit, or ADC prices; placed in mixed ADC flat 
trays or on ASF, NDC, or mixed NDC pallets under 705.8.0.
* * * * *

6.3 Basic Price Enhanced Carrier Route Standards

* * * * *

6.3.4 Basic Carrier Route Bundles on a 5-Digit/Direct Container (Basic-
CR Bundles/Container) Price Eligibility--Flats

    [Revise the text of 6.3.4 to read as follows:]
    The Basic-CR Bundles/Container discount applies to each piece in a 
carrier route bundle of 10 or more pieces that are palletized under 
705.8.0, 705.10.0, 705.12.0, or 705.13.0 on a 5-digit carrier route or 
5-digit scheme carrier route pallet entered at an Origin (None), DNDC, 
DSCF, or DDU entry or in a carrier route sack or flat tray under 
245.9.7a or 203.5.8 and entered at the DDU.
* * * * *

6.5 High Density and High Density Plus (Enhanced Carrier Route) 
Standards--Flats

* * * * *

6.5.3 High Density Carrier Route Bundles on a 5-Digit/Direct Container 
(High Density-CR Bundles/Container Discount Eligibility)--Flats

    [Revise the text of 6.5.3 to read as follows:]
    The High Density-CR Bundles/Container discount applies to 125 or 
more High Density-eligible pieces that are palletized under 705.8.0, 
705.10.0, 705.12.0, or 705.13.0 on a 5-digit carrier route, 5-digit 
carrier routes, or 5-digit scheme carrier route pallet entered at an 
Origin (None), DNDC, DSCF, or DDU entry or in a carrier route sack or 
flat tray under 245.9.7a or 203.5.8 and entered at the DDU.

6.5.4 High Density Plus Carrier Route Bundles on a 5-Digit/Direct 
Container (High Density Plus-CR Bundles/Container Discount 
Eligibility)--Flats

    [Revise the text of 6.5.4 to read as follows:]
    The High Density Plus-CR Bundles/Container discount applies to 300 
or more High Density Plus-eligible pieces that are palletized under 
705.8.0, 705.10.0, 705.12.0, or 705.13.0 on a 5-digit carrier route, 5-
digit carrier routes, or 5-digit scheme carrier route pallet entered at 
an Origin (None), DNDC, DSCF, or DDU entry or in a carrier route sack 
or flat tray under 245.9.7a or 203.5.8 and entered at the DDU.
* * * * *

6.7 Saturation Enhanced Carrier Route Standards--Flats

* * * * *

6.7.2 Saturation Prices for Flats

* * * * *
    [Revise item c to read as follows:]
    c. Placed in a merged 5-digit scheme or merged 5-digit flat tray.
    [Add new item d to read as follows:]
    d. Placed in a 5-digit scheme carrier routes or 5-digit carrier 
routes sack/flat tray.

6.7.3 Saturation--(Including EDDM) Carrier Route Bundles on a 5-Digit/
Direct Container (Saturation-CR Bundles/Container Discount 
Eligibility)--Flats

    [Revise the text of 6.7.3 to read as follows:]
    The Saturation-CR Bundles/Container discount applies to at least 90 
percent or more of the active residential addresses or 75 percent or 
more of the total number of active possible delivery addresses on each 
carrier route that are palletized under 705.8.0, 705.10.0, 705.12.0, or 
705.13.0 on a 5-digit carrier route, 5-digit carrier routes, or 5-digit 
scheme carrier route pallet entered at an Origin (None), DNDC, DSCF, or 
DDU entry or in a carrier route sack or flat tray under 245.9.7a or 
203.5.8 and entered at the DDU.
* * * * *

245 Mail Preparation

* * * * *

[[Page 63992]]

1.0 General Information for Mail Preparation

* * * * *

1.3.2 Flats

* * * * *
    [Revise item c. to read as follows:]
    c. 5-digit scheme (bundles and flat trays) for flats meeting the 
automation-compatibility standards in 201.4.0: the ZIP Code in the 
delivery address on all pieces is one of the 5-digit ZIP Code areas 
processed by the USPS as a single scheme, as shown in L007.
* * * * *
    [Revise item e. to read as follows:]
    e. Merged 5-digit flat trays: the carrier route bundles and/or 
automation price 5-digit bundles and/or Presorted price 5-digit bundles 
in a flat tray are all for a 5-digit ZIP Code that has an ``A'' or 
``C'' indicator in the Carrier Route Indicators field in the City State 
Product that allows combining carrier route price bundles with 
automation price 5-digit bundles and Presorted price 5-digit bundles in 
the same 5-digit container.
* * * * *
    [Revise item g. to read as follows:]
    g. Merged 5-digit scheme flat tray: the 5-digit ZIP Codes on pieces 
in carrier route bundles and/or automation price 5-digit bundles and/or 
Presorted price 5-digit bundles in a flat tray are all for 5-digit ZIP 
Codes that are part of a single scheme as shown in L001, and the 
automation price 5-digit bundles and/or the Presorted price 5-digit 
bundles also are for 5-digit ZIP Codes that have an ``A'' or ``C'' 
indicator in the Carrier Route Indicators field in the City State 
Product that allows combining carrier route bundles with automation 
price 5-digit bundles and Presorted price 5-digit bundles in the same 
5-digit container.
* * * * *
    [Revise item q. to read as follows:]
    q. Residual pieces/bundles/flat trays: contain material remaining 
after completion of a presort sequence. Residual mail lacks the volume 
set by standard to require or allow preparation to a particular 
destination, and usually does not qualify for a presort price.
* * * * *

1.4 Preparation Definitions and Instructions

* * * * *
    [Add new item (e) to read as follows; renumber current items (e) 
through (y) as (f) through (z):]
    e. A full flat tray is one that is physically full. Although a 
specific minimum volume is required (at least a single stack of mail 
lying flat on the bottom of the tray and filling the tray to the bottom 
of the handholds) before a tray may or must be prepared to the 
corresponding presort destination, trays must be filled with additional 
available pieces (up to the reasonable capacity of the tray) when 
standards require preparation of full trays.
    [Revise new item f. to read as follows:]
    f. A full sack is defined in the standards for the class and price 
claimed.
* * * * *
    [Revise new item h. to read as follows:]
    h. A 5-digit scheme sort for flats meeting the automation-
compatibility standards in 201.3.0 yields 5-digit scheme bundles for 
those 5-digit ZIP Codes identified in L007 and 5-digit bundles for 
other ZIP Codes. When standards require 5-digit/scheme sort, mailers 
must prepare all possible 5-digit scheme bundles and flat trays of 
flats, then prepare all possible 5-digit bundles and flat trays. The 5-
digit ZIP Codes in each scheme are treated as a single presort 
destination subject to a single minimum volume, with no further 
separation required. Bundles prepared for a 5-digit scheme destination 
that contain pieces for only one of the schemed 5-digit ZIP Codes are 
still considered 5-digit scheme sorted and are labeled accordingly. 
Bundles must be labeled using an optional endorsement line (OEL) under 
203.7.0 or with a red ``5 SCH'' bundle label. Bundles are placed in 
appropriate containers using the OEL ``label to'' 5-digit ZIP Code or 
using L007 column B.
* * * * *
    [Revise new items k. through m. to read as follows:]
    k. A merged 5-digit sort for USPS Marketing Mail flats prepared in 
flat trays yields merged 5-digit flat trays that contain carrier route 
bundles and/or automation price 5-digit bundles, and/or Presorted price 
5-digit bundles that are all for a 5-digit ZIP Code that has an ``A'' 
or ``C'' indicator in the Carrier Route Indicators field in the City 
State Product that allows combining carrier route bundles, automation 
price 5-digit bundles, and Presorted price 5-digit bundles in the same 
5-digit flat tray or pallet. The merged 5-digit sort is optional for 
USPS Marketing Mail flats prepared in flat trays. Flat trays prepared 
for a merged 5-digit destination that contain only a single price level 
of bundle(s) (only carrier route bundle(s) or only automation price 5-
digit bundle(s) or only Presorted price 5-digit bundle(s)) or that 
contain only two price levels of bundle(s) are still considered to be 
merged 5-digit sorted and are labeled accordingly. If preparation of 
merged 5-digit flat trays is performed, it must be done for all 5-digit 
ZIP Code destinations with an ``A'' or ``C'' indicator in the Carrier 
Route Indicators field in the City State Product that allows combining 
carrier route bundles, automation price 5-digit bundles, and Presorted 
price 5-digit bundles in the same 5-digit container.
    l. A merged 5-digit sort for USPS Marketing Mail flats prepared as 
bundles on pallets yields merged 5-digit pallets that contain carrier 
route bundles and noncarrier route 5-digit bundles (automation price 5-
digit bundles and/or Presorted price 5-digit bundles). The merged 5-
digit sort is optional for USPS Marketing Mail flats prepared in flat 
trays under 705.10.0. Flat trays or pallets prepared for a merged 5-
digit destination that contain only a single price level of bundle(s) 
(only carrier route bundle(s) or only automation price 5-digit 
bundle(s) or only Presorted price 5-digit bundle(s)) or only two price 
levels of bundle(s) are still considered to be merged 5-digit sorted 
and must be labeled accordingly.
    m. A merged 5-digit scheme sort for USPS Marketing Mail flats 
prepared in flat trays under 705.10.0 yields merged 5-digit scheme flat 
trays that contain carrier route bundles and noncarrier route 5-digit 
bundles (automation price 5-digit bundles and/or Presorted price 5-
digit bundles) for those 5-digit ZIP Codes that are part of a single 
scheme as shown in L001. Flat trays prepared for a merged 5-digit 
scheme destination that contain only a single price level of bundle(s) 
(only carrier route bundle(s) or only automation price 5-digit 
bundle(s) or only presorted price 5-digit bundle(s)), or only two price 
levels of bundle(s), or bundles for only one of the schemed 5-digit ZIP 
Codes are still considered to be merged 5-digit scheme sorted and must 
be labeled accordingly. If preparation of merged 5-digit scheme flat 
trays is performed, it must be done for all 5-digit scheme destinations 
in L001.
* * * * *
    [Revise new item y. to read as follows:]
    y. A ``logical'' presort destination represents the total number of 
pieces that are eligible for a specific presort level based on the 
required sortation, but which might not be contained in a single bundle 
or in a single container (flat tray, sack, or pallet) due to applicable 
preparation requirements or the size of the individual pieces. For 
example, there may be 42 mailpieces for ZIP Code 43112 forming a USPS 
Marketing Mail ``logical'' 5-digit bundle,

[[Page 63993]]

and they are prepared in three physical 5-digit bundles because of the 
applicable weight and height restrictions on bundles. For pallets, 
2,800 pounds of mail may be destined to an SCF destination, and these 
would form the ``logical'' SCF pallet, but the mail is placed on two 
physical SCF pallets each weighing 1,400 pounds because of the 2,200 
pound maximum pallet weight requirement.
* * * * *

3.0 Letter Trays, Flat Trays, and Sacks

    [Revise the second sentence of 3.0 to read as follows:]
    * * * Flat mailings must be prepared in flat trays or sacks 
(carrier route, 5-digit scheme carrier route and 5-digit carrier route 
only) except when permitted to be prepared in letter trays under other 
applicable standards in this section. * * *
* * * * *

8.0 Preparing Nonautomation Flats

* * * * *

8.1 Basic Standards

* * * * *
    [Revise the text of 8.1b2 to read as follows:]
    2. Unless excepted by standard, all pieces must be in the flat-size 
processing category and must be prepared in flat trays, sacks or on 
pallets. Certain flat-size pieces may be prepared in letter trays under 
3.0.

8.4 Loose Packing

    [Revise the text to read as follows:]
    District managers may authorize loose packing of unbundled pieces 
in flat trays if no pieces in a flat tray would be more finely sorted 
if bundled. Pieces must be faced and packed to remain oriented in 
transit. Requests for loose packing must be made in advance through the 
Post Office of mailing.

8.5 Required Traying

    [Revise the text of 8.5 to read as follows:]
    Except as provided in 8.6, a flat tray, or a letter tray under 3.0, 
must be prepared when the quantity of mail for a required presort 
destination reaches a full flat tray (up to the handholds), 125 pieces 
or 15 pounds of pieces, subject to these conditions: * * *
    [Revise the text of 8.5b(2) to read as follows:]
    2. The actual piece count or mail weight for each tray is used, if 
documentation can be provided with the mailing that shows for each tray 
the number of pieces and the total weight.
* * * * *
    [Revise the title of 8.7 to read as follows:]

8.7 Traying, and Labeling

    [Revise the introductory sentence to read as follows:]
    Preparation sequence, flat tray and labeling:
* * * * *
    [Revise items 8.7a to read as follows:]
    a. 5-digit/scheme (required); scheme sort required (before 5-digit 
sort), only for pieces meeting the automation flats criteria in 
201.6.0, see definition in 1.4j; full flat tray, 125-piece, or 15-pound 
minimum; labeling: * * *
    [Revise items 8.7a(1) and 8.7a(2) to read as follows:]
    1. Line 1: For 5-digit scheme flat trays use L007, Column B. For 5-
digit flat trays, use city, state, and 5-digit ZIP Code destination on 
pieces. (See 203.5.11 for overseas military mail).
    2. Line 2: For 5-digit scheme flat trays, ``STD FLT 5D SCH NON 
BC.'' For 5-digit flat trays, ``STD FLTS 5D NON BC.''
    [Revise items 8.7b to read as follows:]
    b. 3-digit (required); full flat tray, 125-piece, or 15 pound 
minimum; labeling: * * *
* * * * *
    [Revise items 8.7d to read as follows:]
    d. ADC (required); full flat tray, 125-piece, or 15 pound minimum; 
labeling: * * *
* * * * *

8.8 Cotraying and Cobundling Flats With Automation Mail

* * * * *
    [Revise items b, c, and d to read as follows:]
    b. If the mailing job contains an automation mailing and a 
nonautomation mailing, then it must be prepared under the cotrayed 
standards in 705.9.0.
    c. If the mailing job contains a carrier route mailing and a 
nonautomation mailing, then it must be separately sacked or trayed 
under 5.0 and 9.0 or prepared using the merged sacking/traying option 
in 705.10.0.
    d. If the mailing job contains a carrier route mailing and an 
automation mailing, then it must be separately sacked or trayed under 
9.0 and 10.0 or prepared using the merged sacking/traying option in 
705.10.0.
* * * * *

8.9 Merged Containerization of Carrier Route, Automation, and 
Nonautomation Flats

    [Revise the text of 8.9 to read as follows:]
    Under the optional preparation in 705.10.0, nonautomation 5-digit 
bundles prepared under 5.2 through 8.8 are cotrayed with carrier route 
bundles prepared under 9.0 and with automation 5-digit bundles prepared 
under 10.0 in merged 5-digit scheme flat trays and merged 5-digit flat 
trays. Under the optional preparation in 705.10.0, 705.12.0, or 
705.13.0, nonautomation 5-digit bundles are copalletized with carrier 
route bundles prepared under 9.0 and with automation 5-digit bundles 
prepared under 10.0 on merged 5-digit scheme pallets and merged 5-digit 
pallets. See 8.8a for information on when preparation under 705.10.0 
may be required.

8.10 Residual Pieces

    [Revise the introductory text of 8.10 to read as follows:]
    Mailers entering USPS Marketing Mail residual pieces that do not 
qualify for USPS Marketing Mail prices, and paying the First-Class Mail 
prices (but prepared ``as is'' under 244.5.0), must separately bundle 
and flat tray residual pieces from the automation and presort pieces. 
Mailers must label flat trays under 204.3.0 using the CIN code 582 for 
use with residual flat trays. Label flat trays as follows: * * *
* * * * *

9.0 Preparing Enhanced Carrier Route Flats

* * * * *

9.6 Required Flat Tray/Sack Minimums

    [Revise the introductory text of 9.6 to read as follows:]
    When traying/sacking is required, mailers must prepare a flat tray/
sack when the quantity of mail for a required presort destination 
reaches either up to the handholds (see full flat tray 245.1.4), 125 
pieces or 15 pounds of pieces (sacks), whichever occurs first. The 
following conditions apply:
* * * * *
    [Revise item c. to read as follows:]
    c. Less than full flat trays (see 245.1.4) and sacks with fewer 
than 125 pieces or less than 15 pounds of pieces may be prepared to a 
carrier route when the saturation price is claimed for the contents and 
the applicable density standard is met.
* * * * *

9.8 Merged Containerization of Carrier Route, Automation, and Presorted 
Price Flats

    [Revise the first sentence of 9.8 to read as follows:]
    Under the optional preparation in 705.10.0, carrier route price 
bundles prepared under 9.3 and 9.4 are cotrayed

[[Page 63994]]

with Presorted price 5-digit bundles prepared under 8.0 and with 
automation price 5-digit bundles prepared under 10.0 in merged 5-digit 
scheme flat trays and merged 5-digit flat trays. * * *
* * * * *

10.0 Preparing Automation Flats

    [Revise the last sentence of 10.1 to read as follows:]

10.1 Basic Standards

    * * * Flat trays must bear the appropriate barcoded container 
labels under 4.0.
* * * * *
    [Revise the title of 10.4 to read as follows:]

10.4 USPS Marketing Mail Bundle and Flat Tray Preparation

* * * * *
    [Revise the title of 10.4.2 to read as follows:]

10.4.2 Required Traying

    [Revise the introductory text of 10.4.2 to read as follows:]
    A flat tray or a letter tray under 3.0, must be prepared when the 
quantity of mail for a required presort destination reaches either a 
full flat tray (1.4e), 125 pieces, or 15 pounds of pieces, whichever 
occurs first, subject to these conditions:
* * * * *
    [Revise the text of 10.4.2b to read as follows:]
    b. For nonidentical-weight pieces, mailers must either use the 
minimum that applies to the average piece weight for the entire mailing 
(divide the net weight of the mailing by the number of pieces; the 
resulting average single-piece weight determines whether the 125-piece 
or 15-pound minimum applies) or tray by the actual piece count or mail 
weight for each flat tray, if documentation can be provided with the 
mailing that shows (specifically for each flat tray) the number of 
pieces and their total weight.
    [Revise the title of 10.4.3 to read as follows:]

10.4.3 Traying and Labeling

    [Revise the first sentence of 10.4.3 to read as follows:]
    Preparation sequence, flat tray size, and labeling:
* * * * *
    [Revise the text of items 10.4.3a, 10.4.3a(1) and 10.4.3a(2) to 
read as follows:]
    a. 5-digit/scheme (required); scheme sort required before 5-digit 
sort; see definition in 1.4g.; full flat tray, 125-piece, or 15-pound 
minimum, labeling:
    1. Line 1: For 5-digit scheme flat trays use L007, Column B. For 5-
digit flat trays use city, state, and 5-digit ZIP Code on mail (see 
203.5.11 for overseas military mail).
    2. Line 2: For 5-digit scheme flat trays, ``STD FLTS 5D SCH BC.'' 
For 5-digit flat trays, ``STD FLTS 5D BC.''
    [Revise the text of items 10.4.3b to read as follows:]
    b. 3-digit (required); full flat tray, 125-piece, or 15-pound 
minimum; labeling: * * *
* * * * *
    [Revise the text of items 10.4.3d to read as follows:]
    d. ADC (required); full flat tray, 125-piece, or 15-pound minimum; 
labeling:
* * * * *

700 Special Standards

* * * * *

705 Advanced Preparation and Special Postage Payment Systems

* * * * *

8.0 Preparing Pallets

* * * * *

8.5 General Preparation

* * * * *

8.5.3 Minimum Load

* * * * *
    [Revise the text of 8.5.3a(1) to read as follows:]
    1. In a single mailing, the minimum load per pallet is 250 pounds 
of bundles, parcels, or sacks, except as provided in items 2 through 4 
below. When preparing letter trays on pallets, the minimum load is 36 
linear feet or three layers of trays, except as provided in items 2 and 
4 below. When preparing flat trays on pallets, the minimum load is 24 
linear feet or three layers of flat trays, except as provided in items 
2 and 4 below.
* * * * *

8.10 Pallet Presort and Labeling

* * * * *

8.10.2 Periodicals--Bundles, Sacks, Letter, or Flat Trays

* * * * *
    [Revise the text of 8.10.2f to read as follows:]
    f. 5-digit, required, except for letter trays; permitted for 
bundles, sacks, and trays. Pallet must contain only automation price 
and/or Presorted price mail for the same 5-digit ZIP Code or the same 
5-digit scheme under L007 (for automation-compatible flats only under 
201.6.0). Five-digit scheme bundles are assigned to pallets according 
to the ``label to'' 5-digit ZIP Code in L007. Labeling: * * *
* * * * *
    [Revise the text of 8.10.2h to read as follows:]
    h. SCF, required, permitted for bundles, sacks, and trays. Pallet 
may contain carrier route, automation price, and/or Presorted price 
mail for the 3-digit ZIP Code groups in L005. Mailers may place origin 
mixed ADC (OMX) sacks (parcels only) or flat trays on origin SCF 
pallets. Labeling: * * *
* * * * *
    [Revise the text of 8.10.2j to read as follows:]
    j. Origin Mixed ADC (OMX), optional for sacks and trays; allowed 
with no minimum and required at 100 pounds of mail for bundles of 
flats. Bundles of flats totaling less than 100 pounds in weight must be 
trayed if not palletized. Pallet may contain carrier route, automation 
price, and presorted price mail. Labeling: * * *
    [Revise the text of 8.10.2k to read as follows:]
    k. Mixed ADC, optional for sacks and trays; allowed with no minimum 
and required at 100 pounds of mail for bundles of flats. Bundles of 
flats totaling less than 100 pounds in weight must be trayed if not 
palletized. Pallet may contain carrier route, automation price, or 
presorted price mail. Pallets must not contain sacks, trays or bundles 
that should be properly placed on the origin mixed ADC (OMX) pallet. 
Labeling: * * *
* * * * *

8.10.3 USPS Marketing Mail or Parcel Select Lightweight--Bundles, 
Sacks, or Trays

* * * * *
    [Revise the text of 8.10.3f to read as follows:]
    f. ASF, required unless bundle reallocation used under 8.13, 
permitted for bundles, sacks, and trays. Pallet may contain carrier 
route, automation price, and/or Presorted price mail for the 3-digit 
ZIP Code groups in L602. ADC bundles, sacks, or trays are assigned to 
pallets according to the ``label to'' ZIP Code in L004 as appropriate. 
AADC trays are assigned to pallets according to the ``label to'' ZIP 
Code in L801. At the mailer's option, appropriate mixed ADC bundles and 
trays of flats; and mixed ADC and mixed AADC trays of letters, may be 
sorted to ASF pallets according to the ``label to'' ZIP Code in L010. 
All mixed ADC bundles, sacks, and trays and mixed AADC trays must 
contain only pieces destinating within the ASF as shown in L602. 
Labeling: * * *
    [Revise the text of 8.10.3g to read as follows:]

[[Page 63995]]

    g. NDC, required, permitted for bundles, sacks, and trays. Pallet 
may contain carrier route, automation price, and/or Presorted price 
mail for the 3-digit ZIP Code groups in L601. ADC bundles, sacks, or 
trays are assigned to pallets according to the ``label to'' ZIP Code in 
L004 as appropriate. AADC trays are assigned to pallets according to 
the ``label to'' ZIP Code in L801. At the mailer's option, appropriate 
mixed ADC bundles and trays of flats; and mixed ADC trays and mixed 
AADC trays of letters, may be sorted to NDC pallets according to the 
``label to'' ZIP Code in L010. All mixed ADC bundles, sacks, and trays 
and mixed AADC trays must contain only pieces destinating within the 
NDC as shown in L601. Labeling: * * *
    [Revise the text of 8.10.3h to read as follows:]
    h. Mixed NDC, optional, permitted for sacks and trays only; allowed 
with no minimum and required at 100 pounds of mail for bundles of 
flats. Bundles of flats totaling less than 100 pounds in weight must be 
trayed if not palletized. Pallet may contain carrier route, automation, 
and/or Presorted mail. Mailers must place trays and sacks containing 
pieces paid at the single-piece price on the mixed NDC pallet (unless 
required to be presented separately by special postage payment 
authorization). Labeling: * * *
* * * * *

8.11 Bundle Reallocation To Protect SCF Pallet for Periodicals Flats 
and Irregular Parcels and USPS Marketing Mail Flats on Pallets

* * * * *

8.11.3 Reallocation of Bundles If Optional 3-Digit Pallets Are Prepared

* * * * *
    [Revise the text of 8.11.3d to read as follows:]
    d. If no single 5-digit level pallet within the SCF service area 
contains an adequate volume of mail to allow reallocation of a portion 
of the mail on a pallet as described in 8.11.3c, then no bundles will 
be reallocated and an SCF pallet will not be prepared; the mail that 
falls beyond the SCF pallet level must be placed on the next 
appropriate pallet (ADC, ASF, NDC or MNDC) or in the next appropriate 
sack (irregular parcels) or flat tray.

8.11.4 Reallocation of Bundles If Optional 3-Digit Pallets Are Not 
Prepared

* * * * *
    [Revise the text of 8.11.4b to read as follows:]
    b. If no single 5-digit level pallet within the SCF service area 
contains an adequate volume of mail to allow reallocation of a portion 
of the mail on a pallet as described in 8.11.4a, then no bundles will 
be reallocated and a SCF pallet will not be prepared; the mail that 
falls beyond the SCF pallet level must be placed on the next 
appropriate pallet (ADC, ASF, NDC, or MNDC) or in the next appropriate 
sack (irregular parcels) or flat tray.
* * * * *

8.12 Bundle Reallocation To Protect ADC Pallet for Periodicals Flats 
and Irregular Parcels on Pallets

8.12.1 Basic Standards

    [Revise the text of 8.12.1 to read as follows:]
    Bundle reallocation to protect the ADC pallet is an optional 
preparation method authorized for mailers using PAVE-certified presort 
software and may be used to create pallets under the standards in 
8.12.2 and 8.12.3. Presort software determines if mail for an ADC 
service area falls beyond the ADC level if all finer level pallets are 
prepared. Reallocation is performed only when there is mail for the ADC 
service area that falls beyond the ADC pallet level (e.g., to sacks or 
flat trays). Reallocate only the minimum number of bundles necessary to 
create an ADC pallet at the minimum required weight.
* * * * *
    [Revise the title of 705.9.0 to read as follows:]

9.0 Combining Bundles of Automation and Nonautomation Flats in Flat 
Trays

* * * * *

9.2 Periodicals

9.2.1 Basic Standards

    [Revise the text of the introductory paragraph of 9.2.1 to read as 
follows:]
    Bundles of flat-size pieces in a machinable barcoded (automation) 
price mailing must be cotrayed with bundles of flat-size pieces in a 
machinable nonbarcoded price mailing under the following conditions:
* * * * *
    [Revise the text of 9.2.1b through 9.2.1f to read as follows:]
    b. The machinable barcoded price mailing must meet the eligibility 
criteria in 207.14.0, except that the traying and documentation 
criteria in 9.2.1, 9.2.3, and 9.2.4 must be met rather than the traying 
and documentation criteria in 207.25.0.
    c. The machinable nonbarcoded price mailing must meet the 
eligibility criteria in 207.12.0, except that the traying and 
documentation criteria in 9.2.1, 9.2.3, and 9.2.4 must be met rather 
than the traying and documentation criteria in 207.25.0.
    d. The bundles prepared from the machinable barcoded price mailing 
and the bundles prepared from the machinable nonbarcoded price mailing 
must be sorted into the same flat trays as described in 9.2.3 and 
9.2.4.
    e. A complete, signed, appropriate postage statement(s), using the 
correct USPS form or an approved facsimile, must accompany each mailing 
job prepared under these procedures. In addition to the applicable 
postage statement, documentation produced by PAVE-certified software or 
standardized documentation under 203.3.0 must be submitted with each 
cotrayed mailing job that describes for each flat tray sortation level 
the number of pieces qualifying for each applicable price.
    f. Barcoded tray labels under 204.3.0 must be used to label flat 
trays.
* * * * *

9.2.3 Bundles With Fewer Than Six Pieces

    [Revise the text of 9.2.3 to read as follows:]
    5-digit and 3-digit bundles prepared under 207.22.0 and 207.25.0 
may contain fewer than six pieces when the publisher determines that 
such preparation improves service. These low-volume bundles may be 
placed in 5-digit, 3-digit, and SCF flat trays that contain at least 24 
pieces or on 5-digit, 3-digit, or SCF pallets. Pieces in low-volume 
bundles must claim the applicable mixed ADC price (Outside-County) or 
basic price (In-County).
    [Delete section 9.2.4 in its entirety and renumber 9.2.5 as 9.2.4:]
* * * * *
    [Revise the title of the new section 9.2.4 to read as follows:]

9.2.4 Flat Tray Preparation--Flat-Size Machinable Pieces

    [Revise the introductory text of the new 9.2.4 to read as follows:]
    See 207.20.0 for use of flat trays. Machinable pieces meeting the 
criteria in 201.6.0--Mailers must either bundle or group all pieces as 
specified in 207.25.0 and 207.22.0 for each 5-digit scheme, 5-digit, 3-
digit scheme, 3-digit, SCF, and ADC destination. Bundling is not 
permitted unless it achieves a finer presort than the presort 
destination of the tray. The trays are subject to a container charge, 
and any bundles are subject to a bundle charge. Tray preparation, 
sequence, and labeling:***
* * * * *

[[Page 63996]]

9.3 USPS Marketing Mail

9.3.1 Basic Standards

    [Revise the introductory text of 9.3.1 to read as follows:]
    Bundles of flats in an automation price mailing must be cotrayed 
with bundles of flats in a Presorted price mailing under the following 
conditions:
* * * * *
    [Revise the text of 9.3.1c through 9.3.1i to read as follows:]
    c. The automation price mailing must meet the eligibility criteria 
in 243.7.0, except that the traying and documentation criteria in 
9.3.1, 9.3.4, and 9.3.5 must be met rather than the traying and 
documentation criteria in 245.7.0.
    d. The Presorted price mailing must meet the eligibility criteria 
in 243.2.0 and 243.3.0, except that the traying and documentation 
criteria in 9.3.1, 9.3.4, and 9.3.5 must be met rather than the traying 
and documentation criteria in 245.5.0.
    e. The prices for pieces in the automation price mailing are 
applied based on the number of pieces in the bundle and the level of 
bundle to which they are sorted under 243.7.0. The prices for pieces in 
the Presorted price mailing are based on the number of pieces in the 
bundle and the level of flat tray in which they are placed under 
243.3.6 and 243.3.7.
    f. The pieces must be marked according to 202.
    g. The bundles prepared from the automation price mailing and the 
bundles prepared from the Presorted price mailing must be sorted into 
the same flat trays as described in 9.3.4 and 9.3.5.
    h. A complete, signed postage statement(s), using the correct USPS 
form or an approved facsimile, must accompany each mailing job prepared 
under these procedures. In addition to the applicable postage 
statement, documentation produced by PAVE-certified software or 
standardized documentation under 203.3.0 must be submitted with each 
cotrayed mailing job that describes for each flat tray sortation level 
the number of pieces qualifying for each applicable automation price 
and the number of pieces qualifying for each applicable Presorted 
price.
    i. Barcoded tray labels under 204.3.0 must be used to label the 
flat trays.
* * * * *
    [Revise the title of 9.3.4 to read as follows:]

9.3.4 Traying Rules--Less Than Full Flat Trays

    [Revise the text of 9.3.4 to read as follows:]
    When full trays are specified for a flat tray sortation level in 
9.3.5, the provisions of 245.7.4 (letters) and 245.1.4e (flats) apply.
    [Revise the title of 9.3.5 to read as follows:]

9.3.5 Flat Tray Preparation and Labeling

    [Revise the introductory text of 9.3.5 to read as follows:]
    Presorted price and automation price bundles prepared under 9.3.2 
and 9.3.3 must be presorted together into flat trays (cotrayed) in the 
sequence listed below. Flat trays must be labeled using the following 
information for Lines 1 and 2, and 245.4.0 for other flat tray label 
criteria.
* * * * *
    [Revise items 9.3.5a(1) and 9.3.5a(2) to read as follows:]
    1. Line 1: For 5-digit scheme flat trays, use L007, Column B. For 
5-digit flat trays, use city, state, and 5-digit ZIP Code destination 
on pieces.
    2. Line 2: For 5-digit scheme flat trays, ``STD FLT 5D SCH BC/
NBC''; for 5-digit flat trays, ``STD FLT 5D BC/NBC.''
    [Revise item 9.3.5b to read as follows:]
    b. 3-digit, required, full flat tray, 125-piece, or 15-pound 
minimum; labeling:* * *
* * * * *
    [Revise item 9.3.5d to read as follows:]
    d. ADC, required, full flat tray, 125-piece, or 15-pound minimum; 
use L004 to determine ZIP Codes served by each ADC; labeling:* * *
* * * * *
    [Revise the title of 9.3.6 to read as follows:]

9.3.6 Letter Tray Preparation and Labeling

* * * * *

10.0 Merging Bundles of Flats Using the City State Product

10.1 Periodicals

10.1.1 Basic Standards

    [Revise the introductory text of 10.1.1 to read as follows:]
    Carrier route bundles in a carrier route mailing may be placed in 
the same flat trays or on the same pallet as 5-digit bundles from 
machinable (barcoded or nonbarcoded) price mailings (including pieces 
cobundled under 11.0) under the following conditions:
    [Revise the text of 10.1.1a to read as follows:]
    a. A carrier route mailing must be part of the mailing job, unless 
cobundled under 11.0 using 5-digit scheme (L007) or 3-digit scheme 
(L008) bundle preparation, and trayed under 10.1.4.
* * * * *
    [Revise the text of 10.1.1c to read as follows:]
    c. Pieces in the machinable price mailing must meet the flats 
criteria in 201.6.0; pieces that meet the flats criteria in 207.26.0 
also may be trayed under this option. Pieces in the machinable 
nonbarcoded price mailing and the carrier route mailing must be flat-
size.
* * * * *
    [Revise the text of 10.1.1e through 10.1.1j to read as follows:]
    e. Carrier route bundles may be cotrayed or copalletized with 
machinable barcoded price 5-digit bundles, machinable nonbarcoded price 
5-digit bundles, and cobundled 5-digit bundles only for those 5-digit 
ZIP Codes that have an ``A'' or ``C'' indicator in the Carrier Route 
Indicators field in the City State Product indicating eligibility for 
such cotraying or copalletization. Containers of mail sorted in this 
manner are called ``merged 5-digit'' flat trays or pallets. Containers 
of mail sorted in this manner for which scheme (L001) sortation is also 
performed are called ``merged 5-digit scheme'' flat trays or pallets. 
Pieces in 5-digit scheme (L007) bundles may not be placed in merged 5-
digit containers.
    f. If sortation under this section is performed, merged 5-digit 
flat trays or pallets must be prepared for all 5-digit ZIP Codes with 
an ``A'' or ``C'' indicator in the City State Product that permits such 
preparation when there is enough volume for the 5-digit ZIP Code to 
prepare such a flat tray under 10.1.4 or such a pallet under 10.1.5. In 
addition, all possible merged 5-digit scheme flat trays must be 
prepared under 10.1.4, or all possible merged 5-digit scheme and 5-
digit scheme pallets must be prepared under 10.1.5.
    g. For mailings prepared in flat trays, mailers may not combine 
firm bundles and 5-digit scheme pieces in 5-digit scheme bundles or in 
5-digit scheme flat trays. Firm bundles must be placed in a separate 
individual 5-digit flat tray under 10.1.4g to maintain 5-digit price 
eligibility. Mailers may combine firm bundles with 5-digit scheme, 3-
digit scheme, and other presort destination bundles in carrier route, 
5-digit, 3-digit, SCF, ADC, and mixed ADC flat trays. Only an In-County 
firm bundle can contribute toward the six-piece minimum for price 
eligibility.
    h. The bundles from each separated mailing must be sorted together 
into flat trays (cotrayed) under 10.1.4 or on

[[Page 63997]]

pallets (copalletized) under 10.1.5 using presort software that is 
PAVE-certified.
    i. A complete, signed postage statement(s), using the correct USPS 
form or an approved facsimile, must accompany each mailing job prepared 
under these procedures. In addition to the postage statement(s), 
documentation prepared by PAVE-certified software must be submitted 
with each cotrayed or copalletized mailing job that describes for each 
flat tray sortation level and flat tray, or each pallet sortation level 
and pallet, the number of pieces qualifying for each applicable price.
    j. Barcoded tray labels under 204.3.0 must be used to label flat 
trays.
* * * * *

10.1.3 Bundles With Fewer Than Six Pieces

    [Revise the introductory text of 10.1.3 to read as follows:]
    Carrier route, 5-digit scheme, 5-digit, 3-digit scheme, and 3-digit 
bundles may contain fewer than six pieces when the publisher determines 
that such preparation improves service. Pieces in these low-volume 
bundles must be claimed at the applicable mixed ADC price (Outside-
County) or basic price (In-County). Low-volume bundles are permitted 
only when they are sacked (as applicable), trayed, or prepared on 
pallets as follows:
* * * * *
    [Revise the text of items 10.1.3a(1) through 10.1.3a(3) to read as 
follows:]
    1. Carrier route, merged 5-digit scheme, 5-digit scheme carrier 
routes, merged 5-digit, 5-digit carrier routes, 5-digit, 3-digit, and 
SCF sacks (5-digit scheme carrier routes and 5-digit carrier routes 
only) or flat trays that contain at least 24 pieces.
    2. Merged 3-digit flat trays that contain at least one six-piece 
carrier route bundle.
    3. Origin/entry SCF flat trays.
* * * * *
    [Revise the text of 10.1.3b to read as follows:]
    b. Place low-volume 5-digit scheme bundles in only 5-digit scheme, 
3-digit, and SCF flat trays that contain at least 24 pieces, or in 
origin/entry SCF flat trays, or on 3-digit or SCF pallets, as 
appropriate.
    [Revise the title of 10.1.4 to read as follows:]

10.1.4 Sack and Flat Tray Preparation and Labeling

    [Revise the introductory text of 10.1.4 to read as follows:]
    All carrier route bundles must be placed in sacks/flat trays under 
10.1.4a through 10.1.4e and 10.1.4h as described below. When sorting is 
performed under this section, mailers must prepare merged 5-digit 
scheme sacks (irregular parcels) or flat trays, 5-digit scheme carrier 
routes sacks/flat trays, and merged 5-digit sacks (irregular parcels) 
or flat trays for all possible 5-digit schemes or 5-digit ZIP Codes as 
applicable, using L001 (merged 5-digit scheme and 5-digit scheme 
carrier routes sort only) and the Carrier Route Indicators field in the 
City State Product when there is enough volume for the 5-digit scheme 
or 5-digit ZIP Code to prepare such sacks (irregular parcels) or flat 
trays under 10.1.4. Mailers must label sacks/flat trays according to 
the Line 1 and Line 2 information listed below and under 207.20.1. If, 
due to the physical size of the mailpieces, the barcoded pieces are 
considered flat-size under 207.26.0, and the carrier route pieces and 
nonbarcoded pieces are considered irregular parcels under 201.7.6, 
``FLTS'' must be shown as the processing category on the sack/tray 
label. If a mailing job does not contain barcoded price pieces and the 
carrier route pieces and the nonbarcoded pieces are irregular parcel 
shaped, use ``IRREG'' for the processing category on the contents line 
of the label. Mailers must prepare sacks/flat trays containing carrier 
route and 5-digit bundles from the carrier route, barcoded, and 
nonbarcoded mailings in the mailing job in the following manner and 
sequence:
* * * * *
    [Revise the text of item 10.1.4b to read as follows:]
    b. Merged 5-digit scheme, required at 72 pieces, optional at 24 
pieces minimum. Must contain at least one 5-digit ZIP Code in the 
scheme with an ``A'' or ``C'' indicator in the City State Product. May 
contain carrier route bundles for any 5-digit ZIP Code(s) in a single 
scheme listed in L001 as well as machinable barcoded price 5-digit 
bundles and machinable nonbarcoded price 5-digit bundles for those 5-
digit ZIP Codes in the schemes that have an ``A'' or ``C'' indicator in 
the City State Product. For 5-digit ZIP Code(s) in a scheme that has a 
``B'' or ``D'' indicator in the City State Product, prepare sack(s) 
(irregular parcels only) or flat tray(s) under 10.1.4g and 10.1.4h. For 
5-digit ZIP Codes not included in a scheme, prepare sacks (irregular 
parcels only) or flat trays under 10.1.4d through 10.1.4h. Labeling: * 
* *
* * * * *
    [Revise the text of item 10.1.4h to read as follows:]
    h. Merged 3-digit. Required for carrier route, 5-digit, and 5-digit 
scheme bundles remaining after preparing sacks (irregular parcels only) 
or flat trays under 10.1.4a through 10.1.4g, and any 3-digit and 3-
digit scheme bundles with a minimum of 24 pieces for a 3-digit area. 
Labeling: * * *
* * * * *

10.2 USPS Marketing Mail

10.2.1 Basic Standards

    [Revise the introductory text of 10.2.1 and item 10.2.1a to read as 
follows:]
    Carrier route bundles from a carrier route price mailing may be 
placed in the same flat tray or on the same pallet as 5-digit bundles 
from an automation price mailing and 5-digit bundles from a Presorted 
price mailing (including pieces cobundled under 11.0) under the 
following conditions:
    a. A carrier route mailing must be part of the mailing job, unless 
cobundled under 11.0 utilizing 5-digit scheme (L007) or 3-digit scheme 
(L008) bundle preparation and trayed under 10.1.4.
* * * * *
    [Revise the text of items 10.2.1e through 10.2.1g to read as 
follows:]
    e. Carrier route bundles may be cotrayed or copalletized with 
automation price 5-digit bundles, Presorted price 5-digit bundles, and 
cobundled 5-digit bundles only for those 5-digit ZIP Codes that have an 
``A'' or ``C'' indicator in the Carrier Route Indicators field in the 
City State Product indicating eligibility for such cotraying or 
copalletization. Containers of mail sorted in this manner are called 
``merged 5-digit'' flat trays or pallets. Containers of mail sorted in 
this manner for which scheme (L001) sortation is also performed are 
called ``merged 5-digit scheme'' flat trays or pallets. Pieces in 5-
digit scheme (L007) bundles may not be placed in merged 5-digit 
containers.
    f. If sortation under this section is performed, merged 5-digit 
flat trays or pallets must be prepared for all 5-digit ZIP Codes with 
an ``A'' or ``C'' indicator in the City State Product that permits such 
preparation when there is enough volume for the 5-digit ZIP Code to 
prepare that flat tray or pallet.
    g. For trayed mailings, the prices for pieces in the carrier route 
mailing are based on the criteria in 243.6.0, the prices for pieces in 
the automation price mailing are applied based on the number of pieces 
in the bundle and the level of bundle to which they are sorted under 
243.7.0, and the prices for pieces in the Presorted price mailing are 
based on the number of pieces in the bundle

[[Page 63998]]

and the level of flat tray to which they are sorted under 243.5.0.
* * * * *
    [Revise the text of 10.2.1j to read as follows:]
    j. The bundles from each separate mailing must be sorted together 
into flat trays (cotrayed) under 10.2.3 and 10.2.4 or on pallets 
(copalletized) under 10.2.5 using presort software that is PAVE-
certified.
* * * * *
    [Revise the text of items 10.2.1l and 10.2.1m to read as follows:]
    l. In addition to the applicable postage statement, documentation 
produced by PAVE-certified software must be submitted with each 
cotrayed or copalletized mailing job that describes for each sack/flat 
tray sortation level and flat tray, or each pallet sortation level and 
pallet, the number of pieces qualifying for each applicable carrier 
route price, each applicable automation price, and each applicable 
Presorted price.
    m. Barcoded tray labels under 204.3.0 must be used to label flat 
trays.
* * * * *

10.2.4 Sack/Flat Tray Preparation and Labeling

    [Revise the introductory text of 10.2.4 to read as follows:]
    Mailers must prepare sacks/flat trays in the following manner and 
sequence. All carrier route bundles must be placed in sacks/flat trays 
under 10.2.4a through 10.2.4e as described below. Mailers must prepare 
all merged 5-digit scheme flat trays, 5-digit scheme carrier routes 
sacks/flat trays, and merged 5-digit flat trays that are possible in 
the mailing based on the volume of mail to the destination using L001 
and the Carrier Route Indicators field in the City State Product. 
Mailers must label sacks/flat trays according to the Line 1 and Line 2 
information listed below and under 245.4.0.
* * * * *
    [Revise the text of 10.2.4b to read as follows:]
    b. Merged 5-digit scheme, required and permitted only when there is 
at least one 5-digit ZIP Code in the scheme with an ``A'' or ``C'' 
indicator in the City State Product. May contain carrier route bundles 
for any 5-digit ZIP Code(s) in a single scheme listed in L001 as well 
as automation price 5-digit bundles and Presorted price 5-digit bundles 
for those 5-digit ZIP Codes in the scheme with an ``A'' or ``C'' 
indicator in the City State Product. When preparation of this flat tray 
level is permitted, a flat tray must be prepared if there are any 
carrier route bundle(s) for the scheme. If there is not at least one 
carrier route bundle for any 5-digit destination in the scheme, 
preparation of this flat tray is required when there is at least a full 
flat tray (245.1.4), 125 pieces or 15 pounds of pieces in 5-digit 
bundles for any of the 5-digit ZIP Codes in the scheme that have an 
``A'' or ``C'' indicator in the City State Product (smaller volume not 
permitted). For a 5-digit ZIP Code(s) in a scheme with a ``B'' or ``D'' 
indicator in the City State Product, prepare flat tray(s) for the 
automation price and Presorted price bundles under 10.2.4g and 10.2.4h. 
For 5-digit ZIP Codes not included in a scheme, prepare flat trays 
under 10.2.4d through 10.2.4h. Labeling: * * *
* * * * *
    [Revise the text of 10.2.4d to read as follows:]
    d. Merged 5-digit, required. Must be prepared only for those 5-
digit ZIP Codes that are not part of a scheme and that have an ``A'' or 
``C'' indicator in the City State Product. May contain carrier route 
bundles, automation price 5-digit bundles, and Presorted price 5-digit 
bundles. Must be prepared if there are any carrier route bundles for 
the 5-digit destination. If there is not at least one carrier route 
bundle for the 5-digit destination, must be prepared when there is at 
least a full flat tray (245.1.4), 125 pieces or 15 pounds of pieces in 
5-digit bundles for the same 5-digit destination (smaller volume not 
permitted). Labeling: * * *
    [Revise the text of 10.2.4h to read as follows:]
    h. 3-digit through Mixed ADC flat trays. Any 5-digit scheme and 5-
digit bundles remaining after preparing flat trays under 10.2.4a 
through 10.2.4g, and all 3-digit, ADC, and Mixed ADC bundles, must be 
trayed and labeled according to the applicable requirements under 9.3 
for cosacking/cotraying of automation price and Presorted price 
bundles, except if there are no automation price bundles in the mailing 
job, tray and label under 245.5.0, or, if there are no Presorted price 
bundles in the mailing job, tray and label under 245.7.4.

10.2.5 Pallet Preparation and Labeling

* * * * *
    [Add a new item (j) to read as follows:]
    j. Mixed NDC, use 8.10.3h, as applicable, to prepare and label 
Mixed NDC pallets.
* * * * *

11.0 Combining Automation Price and Nonautomation Price Flats in 
Bundles

* * * * *

11.2 Periodicals

11.2.1 Basic Standards

    [Revise the third sentence of the introductory text of 11.2.1 to 
read as follows:]
    * * * Mailing jobs (for flats meeting the criteria in 201.6.0) 
prepared using the 5-digit scheme and/or the 3-digit scheme bundle 
preparation must be trayed under 9.0 or 10.0 or palletized under 10.0, 
12.0, or 13.0. * * *
* * * * *
    [Revise the text of 11.2.1b to read as follows:]
    b. Mailings prepared in flat trays must meet the basic standards in 
9.0 or 10.0.
* * * * *

11.2.3 Bundles With Fewer Than Six Pieces

    [Revise the last sentence of the introductory text of 11.2.3 to 
read as follows:]
    * * * Low-volume bundles are permitted only when they are trayed or 
prepared on pallets as follows:
    [Revise the text of items 11.2.3a and 11.2.3b to read as follows:]
    a. Place low-volume 5-digit and 3-digit bundles in only 5-digit 
scheme, 5-digit, 3-digit, and SCF flat trays that contain at least 24 
pieces; or in origin/entry SCF flat trays; or on merged 5-digit scheme, 
5-digit scheme, merged 5-digit, 5-digit, 3-digit, or SCF pallets, as 
appropriate.
    b. Place low-volume 5-digit scheme and 3-digit scheme bundles in 
only 5-digit scheme, 3-digit, and SCF flat trays that contain at least 
24 pieces, or in origin/entry SCF flat trays, or on 3-digit or SCF 
pallets, as appropriate.

11.3 USPS Marketing Mail

11.3.1 Basic Standards

    [Revise the introductory text of 11.3.1 to read as follows:]
    Mailers may choose to cobundle (see 245.1.4u.) automation price and 
nonautomation price flat-size pieces as an option to the basic bundling 
requirements in 245.5.0 and 245.7.0. All pieces in the same bundle must 
meet the standards in 201.6.0. 5-digit scheme and 3-digit scheme 
bundles must meet the additional standards in 245.1.4f. and 245.1.4m. 
Mailing jobs prepared using the 5-digit scheme and/or 3-digit scheme 
bundle preparation (for flats meeting the criteria in 201.6.0) must be 
trayed under 10.0 or palletized under 10.0, 12.0, or 13.0. All bundles 
are subject to the following conditions:
* * * * *
    [Revise the text of 11.3.1b to read as follows:]

[[Page 63999]]

    b. Mailings prepared in flat trays must meet the basic standards in 
9.0 or 10.0.
* * * * *

12.0 Merging Bundles of Flats on Pallets Using a 5% Threshold

12.1 Periodicals

12.1.1 Basic Standards

* * * * *
    [Revise the text of 12.1.1g to read as follows:]
    g. Portions of the mailing job that cannot be palletized must be 
prepared in sacks/flat trays.
* * * * *

12.2 USPS Marketing Mail

12.2.1 Basic Standards

* * * * *
    [Revise the text of 12.2.1l to read as follows:]
    l. Portions of the mailing job that cannot be palletized must be 
prepared in flat trays.
* * * * *

12.2.3 Pallet Preparation and Labeling

* * * * *
    [Add a new item (j) to read as follows:]
    j. Mixed NDC, use 8.10.3h, as applicable, to prepare and label 
Mixed NDC pallets.
* * * * *

13.0 Merging Bundles of Flats on Pallets Using the City State Product 
and a 5% Threshold

13.1 Periodicals

13.1.1 Basic Standards

* * * * *
    [Revise the text of 13.1.1h to read as follows:]
    h. Portions of the mailing job that cannot be palletized must be 
prepared in flat trays.
* * * * *

13.2 USPS Marketing Mail

13.2.1 Basic Standards

* * * * *
    [Revise the text of 13.2.1m to read as follows:]
    a. Portions of the mailing job that cannot be palletized must be 
prepared in flat trays.
* * * * *

13.2.4 Pallet Preparation and Labeling

    [Add a new item (j) to read as follows:]
    j. Mixed NDC, use 8.10.3h, as applicable, to prepare and label 
Mixed NDC pallets
* * * * *

Sarah Sullivan,
Attorney, Ethics & Legal Compliance.
[FR Doc. 2022-22958 Filed 10-19-22; 11:15 am]
BILLING CODE P