[Federal Register Volume 88, Number 77 (Friday, April 21, 2023)]
[Rules and Regulations]
[Pages 24483-24490]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-08479]


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POSTAL SERVICE

39 CFR Part 111


Electronic Indicators for the Mailing of Hazardous Materials

AGENCY: Postal ServiceTM.

ACTION: Final rule.

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SUMMARY: The Postal Service revises Publication 52, Hazardous, 
Restricted, and Perishable Mail (Pub 52) to incorporate new 
requirements, for mailers to use unique service type codes and extra 
service codes within the tracking barcodes and electronic data 
submission for package shipments containing hazardous materials 
(HAZMAT) or dangerous goods (DG). This rule standardizes the acceptance 
and handling of package shipments containing HAZMAT/DG by collecting 
electronic data to ensure these items are handled appropriately with 
regards to the category of HAMZAT/DG contained within the package and 
to create electronic manifests for the Postal Service's air carrier 
suppliers. The Postal Service also amends the Mailing Standards of the 
United States Postal Service Domestic Mail Manual (DMM) to alter refund 
eligibility of Priority Mail Express containing HAZMAT.

DATES: This rule is effective July 9, 2023, except section 323.3 of Pub 
52, which will be effective January 21, 2024.

FOR FURTHER INFORMATION CONTACT: Jennifer Cox at (202) 268-2108, 
Juliaann Hess at (202) 268-7663, or Dale Kennedy at (202) 268-6592.

SUPPLEMENTARY INFORMATION: The Postal Service hereby amends Publication 
52, Hazardous, Restricted, and Perishable Mail (Pub 52), with the 
provisions set forth herein. While not codified in Title 39, Code of 
Federal Regulations (CFR), Publication 52 is a regulation of the Postal 
Service, and changes to it may be published in the Federal Register. 39 
CFR 211.2(a)(2). Moreover, Pub 52 is incorporated by reference into 
Mailing Standards of the United States Postal Service, Domestic Mail 
Manual (DMM) section 601.8.1, which is incorporated by reference, in 
turn, into the Code of Federal Regulations. 39 CFR 111.1, 111.3. Pub 52 
is publicly available, in a read-only format, via the Postal 
Explorer[supreg] website at https://pe.usps.com. In addition, links to 
Postal Explorer are provided on the landing page of USPS.com, the 
Postal Service's primary customer-facing website, and on Postal Pro, an 
online informational source available to postal customers.
    The following items are clarified in this rule:
     When shipping HAZMAT internationally, dangerous goods (DG) 
terminology is used rather than HAZMAT.
     HAZMAT and DG are not eligible to be mailed in letter or 
flat-sized mailpieces.
     These new requirements are in addition to current Pub 52 
regulations and do not exempt mailers from complying with existing 
standards.
     When shipping to Army Post Office (APO), Fleet Post Office 
(FPO) or Diplomatic Post Office (DPO) destinations, mailers must follow 
international DG regulations. This mail is only treated as domestic for 
pricing purposes.
     Packages being sent domestically containing new electronic 
devices, in original unopened packaging or manufacturer certified new 
or refurbished devices, that are not required to, and do not bear a 
lithium battery marking are exempt from applying service type codes and 
extra service type codes. This exemption does not apply to packages 
being sent internationally.
    These packages must meet the following:
    (a) only button cell batteries installed in equipment; or
    (b) no more than 4 lithium cells; or
    (c) 2 lithium batteries installed in the equipment they operate, 
(i.e., cell phones, tablets, digital readers, or glucose monitors 
etc.); or
    (d) when there are no more than two mailpieces in a single 
consignment, per Pub 52, Section 349.
     The Federal Register Notice, 87 FR 73459 published on 
November 30, 2022, required mailers to provide physical separation of 
HAZMAT/DG from non-HAZMAT/DG packages. Upon full implementation of the 
electronic indicators on July 9, 2023, mailers may submit a request for 
a release from the requirement to separate HAZMAT/DG from non-HAZMAT/DG 
when tendering to the Postal Service. Internal Postal Service data will 
be utilized to validate compliance with this rule prior to approving 
customer release of the separation requirement. The requests can be 
submitted to the Director, Product Classification, 475 L'Enfant Plz. 
SW, Rm. 4446, Washington, DC 20260-5015.
    On November 30, 2022, the Postal Service published a notice of 
proposed rulemaking (87 FR 73510) requiring mailers to use specific 
HAZMAT Service Type Codes (STC) within their shipping barcode and to 
transmit electronic data through a Shipping Services File (SSF) to the 
Postal Service before, or concurrent with, the tendering of hazardous 
materials shipments with an original effective date of April 30, 2023. 
The proposal included Extra Service Codes (ESC) to correspond with the 
specific category of HAZMAT the Postal Service permits and encouraged 
adoption of a 2D barcode on shipping labels. In addition, the proposal 
also included insurance, adult signature over 21, and restricted 
delivery as the only eligible Extra Service options for shipments of 
HAZMAT and altered the refund eligibility of Priority Mail Express 
containing HAZMAT within the DMM.
    After review and evaluation of comments received, the following 
substantiative changes are being incorporated into the final rule:
     Requirement for mailers to incorporate the use of 
electronic indicators within their tracking barcodes and shipping 
service files has been moved to July 9, 2023.
     Addition of Signature Confirmation as an approved Extra 
Service option for use with domestic HAZMAT shipments.

[[Page 24484]]

     Application of ESC 857 for all shipments of HAZMAT or DG, 
in lieu of the previous language indicating only APO, FPO and DPO 
destinations or mailers utilizing USPS API or Web Tool applications 
were required to apply ESC 857.
     Optional STCs are only required if one of the applicable 
Extra Services is selected when shipping domestic HAZMAT.
     Incorporation of 2D barcodes on shipping labels for 
domestic mailpieces containing HAZMAT will be required on January 21, 
2024.
    In this final rule, the Postal Service is clarifying:
     ESC 857 is required on all HAZMAT/DG packages.
     HAZMAT mailed to, from, and between APO/FPO/DPO locations 
must follow international rules for mailing.
     When shipping DG internationally or to APO/FPO/DPO 
destinations, mailers must use one of the ESCs from the International 
and APO/FPO/DPO list in addition to ESC 857.
     For domestic shipments, when a category-specific Extra 
Service Code is used, ESC 857 can be omitted only if there are not 
enough extra service code fields available for the package details.
     Domestic packages containing new lithium batteries that 
are not required to display a DOT mark or label, or any other type of 
text marking are exempt from applying HAZMAT STCs and ESCs if no 
markings are displayed on the package.
    The Postal Service is amending Pub 52 to reflect these changes.

Summary of New Measures

Domestic

    The Postal Service has provided a total of 25 STCs for domestic 
outbound mailpieces containing HAZMAT.
     Mailers are required to apply one of six product specific 
STCs based upon the shipping product chosen, for example, Priority Mail 
Express, Priority Mail, or Parcel Select that simply indicates the 
contents are HAZMAT. This is the minimum information the Postal Service 
will accept when a mailer ships HAZMAT.
     For mailers shipping HAZMAT with an Extra Service, the 
appropriate STC is to be used from the 20 additional outbound domestic 
STCs. The 20 are listed as optional because the mailer is not required 
to purchase an Extra Service to ship HAZMAT with the Postal Service. 
Therefore, if the mailer purchases an eligible Extra Service, such as 
insurance, adult signature over 21, signature confirmation or 
restricted delivery, one of the 20 applicable product specific STCs 
must be applied.
    For domestic returns, mailers must select one of 15 STCs when 
shipping HAZMAT.
     Mailers are required to apply one of eight product 
specific STCs based on the mail shipping product chosen, for example, 
Priority Mail Express, Priority Mail, or Parcel Select indicating the 
contents are HAZMAT. This is the minimum information the Postal Service 
will accept when a mailer ships HAZMAT.
     For mailers shipping HAZMAT returns with the Extra Service 
of insurance, one of the seven appropriate STCs are to be used. These 
STCs are not required to be used unless the mailer opts to purchase 
insurance. Insurance is the only available Extra Service option for 
Domestic Returns.

Extra Service Codes (ESC)

Domestic, International and APO/FPO/DPO
    ESC 857 is required for all domestic and international or APO/FPO/
DPO shipments containing HAZMAT/DG.
Domestic ESC
    The Postal Service has provided 23 Extra Service Codes (ESC) that 
indicate the specific category of HAZMAT contained within the package. 
These are currently optional for use at this time for domestic 
shipments and mailers are encouraged to adopt and use.
International and APO/FPO/DPO ESC
    There are three ESCs required for use if shipping DG to 
international or APO/FPO/DPO destinations to indicate the specific 
category of DG contained within the mailpiece.

Two-Dimensional (2D) Barcode

    Effective January 21, 2024, the Postal Service will require mailers 
to add two supplemental GS1-DataMatrix (2D) IMpbs to domestic shipping 
labels to improve package visibility; one in the address block to the 
left of the Delivery Address and one in the lower right corner of the 
shipping label.

Response to Comments

    In response to the proposed rule, the Postal Service received seven 
formal responses to the proposed changes to Pub 52 and no formal 
responses to the proposed changes to the DMM. The comments received are 
as follows:
    Comment: Several commenters asked how the flight-specific air 
carrier manifests will convey new HAZMAT information.
    Response: The Postal Service is developing the processes for 
generating flight-specific carrier manifests using this new data. This 
outcome will be addressed at a later date.
    Comment: One commenter asked if shipping papers will be required on 
each mail piece or if the manifest will have the copies attached.
    Response: When shipping papers are required, they will continue to 
be pursuant to the regulations in Pub 52 and attached to outer 
packaging of each mailpiece.
    Comment: One commenter questioned why the 23 ESCs are optional as 
they seem to be the reason for this proposal.
    Response: At this time, the Postal Service will require the 
electronic data file to indicate that HAZMAT is contained within the 
package for domestic packages. The inclusion of the optional ESC will 
be required in the future for domestic packages containing HAZMAT. 
International and APO/FPO/DPO packages must include one of the three 
applicable ESCs when mailing DG.
    Comment: One commenter also asked what STC/ESC will apply to the 
200 ZIP Codes in the state of Alaska that the Postal Service identifies 
as ``air transportation only.''
    Response: When shipping used, damaged, or defective electronic 
devices containing or packaged with lithium batteries, to, from, or 
within the remote Alaskan ZIP Codes listed in Appendix F of Pub 52, 
mailers should apply ESC 818.
    Comment: Several commenters requested that the Postal Service 
modify the lithium battery ESCs to indicate chemistry and whether a 
lithium battery is shipped alone, installed in the equipment, or packed 
with the equipment.
    Response: The Postal Service appreciates this valuable feedback but 
has determined to consider the expansion of the lithium battery ESCs in 
the future. Adding more complexity to the ESCs at this time could lead 
to unnecessary confusion in this final rule.
    Comment: One commenter recommended that the Postal Service add 
class 9 miscellaneous and UN3291 Regulated Medical Waste to the ESC 
codes and make various text changes to the ESC codes.
    Response: The ESC listing found in Appendix G of Pub 52 and Pub 199 
includes all mailable HAMZAT categories. The list includes ESC 829--
ID8000 Consumer Commodity Package, which applies to class 9 
miscellaneous materials and ESC 826--Division 6.2 Hazardous Materials, 
which applies to UN3291.
    Comment: Several commenters requested that the Postal Service 
consider an extension of the April 30, 2023 implementation date.

[[Page 24485]]

    Response: The Postal Service has considered these requests and 
determined that delaying implementation until July 9, 2023 is in the 
best interest of all parties.
    Comment: Several commenters suggested that the Postal Service 
include a reference in the final rule to indicate that recognized DG 
labels and markings for the six required STCs may not cover all DG 
items and could result in items being tendered to an air carrier that 
are ineligible for carriage on an aircraft.
    Response: The six STCs apply to domestic HAZMAT whether or not they 
require Department of Transportation (DOT) or International Air 
Transport Association (IATA) markings. Certain lithium battery operated 
devices are not required to display any marks or labels (no more than 4 
cells, 2 batteries, i.e., new personal electronic devices in new 
unopened packaging) and are exempt from the STC/ESC requirements.
    Comment: Several commenters suggested that the Postal Service 
include a reference to the Pipeline Hazardous Materials Safety 
Administration (PHMSA) because PHMSA promulgates the rules and 
requirements for certificated air carriers, which are then enforced by 
the Federal Aviation Administration (FAA).
    Response: The Postal Service is mindful that its air carriers may 
be subject to PHMSA and FAA regulations. In promulgating regulations 
for the acceptance of HAZMAT/DG in the mail, the Postal Service 
strives, to the extent possible, to harmonize its rules to PHMSA's 
requirements. This does not, however, imply that the Postal Service 
will refrain from further limiting the scope of air eligible HAZMAT/DG. 
The Postal Service may indeed determine that its processing environment 
and risk profile are such that greater restrictions are needed. As an 
illustration, the Postal Service recently imposed regulations on used, 
damaged, or defective electronic devices by requiring specific text 
markings prior to accepting them for ground transport and prohibiting 
them in air transportation.
    Comment: Several commenters proposed that the Postal Service add 
language to clarify that electronic indicators are required in addition 
to properly marking and labeling DG packages.
    Response: The rule does not change the existing Pub 52 requirements 
to apply appropriate markings and labels when HAZMAT/DG is mailed.
    Comment: Several commenters indicated concerns regarding re-used 
boxes for mailing, especially those with DG markings. One commenter 
suggested requiring mailers to identify when re-used boxes are being 
used and not to allow mailers to re-use packages with previous DG 
markings. Another commenter voiced concern that re-used packaging 
bearing previous DG marks/labels or remnants thereof, would continue to 
be accepted by the Postal Service and tendered to air carriers.
    Response: In accordance with Pub 52, section 227, the Postal 
Service will treat any re-used box as though it contains the material 
indicated by any HAZMAT/DG marks and/or labels on the re-used box if 
such marks and/or labels are not completely obliterated.
    Comment: Several commenters requested that the Postal Service 
provide detailed information as to what items/ESCs are not air-eligible 
and acknowledge that carriers may have different rules identifying what 
is or is not air eligible.
    Response: The following ESCs are not eligible for air 
transportation in domestic mail. 811 Class 1--Toy Propellant/Safety 
Fuse Package, 812 Hazardous Materials Class 3--Package, 813 Class 7 
Radioactive Materials Package (Domestic only), 816 Class 9--Lithium 
Battery Marked--Ground Only Package, 817 Class 9--Lithium Battery--
Returns Package, 822 Division 4.1--Mailable flammable solids and Safety 
Matches Package, 828 Ground Only Hazardous Materials, 830 Lighters 
Package, 831 LTD QTY Ground Package, and 832 Small Quantity Provision 
Package. The ESCs that are required for use when mailing to 
international or APO/FPO/DPO destinations are eligible for air 
transportation.
    Comment: Several commenters requested that the Postal Service 
clarify how it will determine which ESCs are air eligible, and which 
are not.
    Response: It is impossible for the Postal Service to list every air 
carrier's rules. Postal operations will direct, as appropriate, 
mailable HAZMAT/DG that is air-eligible to air carrier suppliers that 
accept such specific HAZMAT/DG.
    Comment: Several commenters requested that the Postal Service 
provide further clarity to ensure that it will not allow employees to 
place applicable markings on mail pieces and not tender any packages 
that are not properly marked/labeled.
    Response: Section 227 of Pub 52 states that Postal Service 
employees may not remove, cross out, or obliterate labels or markings, 
even if asked to do so by a mailer. Additionally, the Postal Service 
does not permit employees to apply any markings or labels on customer 
mail pieces other than those labels used as internal control measures. 
The FRN language that this comment related to indicates that the use of 
the electronic indicators will allow Postal Service employees to 
placard internal mail transport equipment with HAZMAT labels, not 
individual mailpieces tendered from customers.
    Comment: Several commenters indicated that the proposed rule is 
silent about what repercussions, if any, a shipper may be subject to in 
the event the shipper does not correctly communicate/label/mark a 
package. The commenters suggested that the Postal Service add language 
to the rule to specify to what penalties, if any, a mailer will be 
subject if the mailer fails to properly identify any DG in a package.
    Response: The Postal Service notes that 39 U.S.C. 3018(b)(2) 
prohibits any person from ``mail[ing] or caus[ing] to be mailed 
hazardous material in violation of any statute or Postal Service 
regulation restricting the time, place, or manner in which hazardous 
material may be mailed'' and 3018(c) provides for penalties in the 
event of violations of the Postal Service's regulations promulgated 
under 3018. As such, the Postal Service may seek civil penalties 
against persons who violate these regulations.
    Comment: Several commenters expressed concern that mailers and 
Postal Service acceptance personnel and individual mailers lack 
sufficient knowledge about DG and will only comply with the 
requirements in Pub 52 rather than also complying with the requirements 
in Title 49 of the Code of Federal Regulations and the International 
Civil Aviation Organization's Technical Instructions, with which air 
carriers must comply; and therefore, will not appropriately indicate 
the inclusion of HAZMAT in a shipment. These commenters suggested that 
the Postal Service incorporate language regarding ``applicable federal 
laws and regulations'' to acknowledge the Postal Service's 
responsibility to comply with such federal laws and regulations, 
especially those that may conflict with the proposed rule.
    Response: Although the Postal Service strives to achieve 
consistency with other regulatory agency rules, it is not bound to do 
so per 39 U.S.C. 3018(a), which provides that ``[t]he Postal Service 
shall prescribe regulations for the safe transportation of hazardous 
material in the mail.'' In this instance, the Postal Service has made 
determinations regarding safety of the mail based on its own experience 
and risk assessments.
    Comment: One commenter expressed concern that the proliferation of 
``electronic indicators,'' which cannot

[[Page 24486]]

be read by carriers, will be used in lieu of DG labels and markings.
    Response: The new rule is supplemental, as the Postal Service has 
not excused mailers from any labeling and marking requirements.
    Comment: Several commenters indicated that the number of STCs is 
not consistent and needs to be clarified. Some sections reference ``six 
unique STCs,'' while other sections reference ``eight STCs'', ``six 
STCs'' or ``5 STCs.''
    Response: The different number of STC references were based upon 
individual mail products and allowable Extra Services. The Summary of 
New Measures section within this final rule provides additional 
clarification of the STC and ESC references.
    Comment: Several commenters expressed concern that DG may still be 
consigned to an air carrier when an ESC is not applied to a shipment 
but there is a DG label affixed to the package. These commenters 
suggested that the Postal Service add the following language to address 
this matter: ``In addition to hazardous material package labels, 
provide unique ESCs to identify categories of hazmat with specific 
relevance to segregation, handling, and identification in the Postal 
Service network.''
    Response: The Postal Service included language in the Summary 
section of this final rule indicating that this rule is in addition to 
the current regulations within Pub 52 and does not exempt mailers from 
complying with existing standards.
    Comment: One air carrier supplier commented that any package that 
does not meet an air carrier's acceptance requirements will still be 
rejected, regardless of the ZIP Code. If an air carrier determines a 
package to be ineligible for air carriage, then the rule cannot 
supersede the air carrier's safety program.
    Response: The Postal Service air carrier suppliers' contract with 
the Postal Service sets forth its obligations with respect to HAZMAT/
DG.
    Comment: Several commenters proposed that the Postal Service: (1) 
provide additional training opportunities for customers and Postal 
Service employees about HAZMAT requirements, and (2) enhance the 
availability of digital/electronic tools for customers (e.g., what 
falls under air-eligible hazardous classifications and how are 
``limited quantity'' non-continental shipments to be handled?).
    Response: The Postal Service understands and shares the view that 
further training and education is necessary to effectively implement 
these rules and help customers, suppliers, and employees to comply with 
them. The Postal Service has initiated numerous digital, electronic, 
and manual initiatives both internally and externally. These 
initiatives increase, enhance, and amplify educational and 
instructional materials. New resources, enhancements, and additional 
opportunities to inform and educate internal and external stakeholders 
will continue to be rolled out and revised, as necessary. In addition, 
some examples of existing digital/electronic resources that can be 
found at https://www.uspsdelivers.com/hazmat-shipping-safety/ and 
https://postalpro.usps.com/operations#cat-subsection-1.
    Comment: Several commenters indicated that the final rule should 
clarify that the category ``air eligible hazardous material'' excludes 
air-eligible shipments containing hazardous materials that do not 
require markings.
    Response: As stated in the Summary section of this final rule, the 
Postal Service excludes air-eligible mailings containing lithium 
batteries that do not require a HAZMAT marking from the STC and ESC 
requirement for domestic shipments.
    Comment: Several commenters indicated that the Postal Service 
should clarify that shipments that bypass Postal Service air 
transportation that do not require markings (e.g., lithium-ion 
batteries within a device), are exempt from separation requirements.
    Response: The Postal Service's separation requirements were 
addressed in New Mailing Standards for the Separation of Hazardous 
Materials FRN (87 FR 73459), issued on November 30, 2022.
    Comment: Several commenters stated that the proposed rule appears 
to require both STCs and ESCs in some cases. This may create redundant 
requirements that will create confusion and increase costs to shippers.
    Response: Mailers are required to use one of the HAZMAT STCs and 
ESC 857 for domestic mailings. Content specific ESCs are optional for 
domestic mail but are required for the three mailable DG categories 
when sent internationally or to or from APO/FPO/DPO destinations. The 
Summary of New Measures section within this final rule provides 
additional clarification of the STC and ESC requirements.
    Comment: Several commenters stated that the proposed rule allows 
ESCs to be used with optional STCs but is silent with regard to use of 
ESCs with required STCs.
    Response: The Postal Service recommends that mailers use the 
content specific ESCs in conjunction with the required STC, but mailers 
are required to indicate ESC 857 in addition to one of the six required 
STCs for all packages containing HAZMAT. The Summary of New Measures 
section within this final rule provides additional clarification of the 
STC and ESC requirements.
    Comment: Several commenters stated that the proposed rule does not 
specify that ESC 857 is required for shipments tendered with a 
manifest.
    Response: ESC 857 is required for every HAZMAT/DG shipment.
    Comment: Several commenters suggested the Postal Service vet the 
proposed rule with the industry and take the industry's expertise into 
consideration to ensure that the implementation costs of the final rule 
are minimized.
    Response: The Postal Service has vetted and taken industry 
expertise and associated comments into consideration through this 
notice and will continue to work with industry through Mailers 
Technical Advisory Committee (MTAC) and other associations.
    Comment: Several commenters stated that the 2D barcode 
recommendation included in the proposed rule may create confusion among 
shippers.
    Response: The Postal Service appreciates this valuable feedback. 
The recommendation was not intended to create confusion among shippers.
    The Postal Service has decided to require adoption of the 2D 
barcode within the shipping label of domestic mailpieces containing 
HAZMAT, effective January 21, 2024, as an additional measure to improve 
package visibility.
    Comment: One air carrier supplier indicated that until vetting 
shippers/recipients occurs, including a known shipper program, fire or 
heat-related incidents will continue.
    Response: The Postal Service continues to consider development of a 
Known Shipper/Trusted Shipper Program that would include eligibility 
and compliance criteria in the future. The Postal Service remains 
cognizant of developing requirements that could be cumbersome, costly, 
and possibly prohibitive to smaller mailers versus safety impacts to 
the public, industry, and Postal Service employees.
    Comment: One air carrier supplier indicated that it does not and 
will not accept used, damaged, or defective electronic devices and 
indicated that vetting shippers of these products and manufacturer 
assurances of safety would be required prior to accepting such 
shipments.
    Response: On June 6, 2022, the Postal Service issued an interim 
final rule that

[[Page 24487]]

prohibited used, damaged, or defective electronic devices within air 
transportation except for the remote Alaskan ZIP Codes as outlined in 
Appendix F.
    Comment: One commenter indicated that the proposed rule puts an 
undue burden on shippers when the Postal Service could invest in its 
own systems to recognize required existing visual labels in automation. 
This commenter noted that the Postal Service appears to be attempting 
to solve one of its own operational problems by requiring industry to 
make costly changes.
    Response: The changes are designed to facilitate ease of use of the 
entire mail system by mailers while also promoting safety. By requiring 
the use of STCs/ESCs, the Postal Service is making possible simplified 
solutions for determining the mode of transportation to be used for 
mail, and this in turn helps mailers by reducing operational complexity 
and thereby cost.
    Comment: One commenter noted that the proposed rule appears to 
require specific STCs or alternatively, ESCs when used with optional 
STCs. Compliance with this complex requirement is dependent on the 
Postal Service's ability to make these nuances well-known and easy to 
follow for shippers and postal personnel alike. The proposed rule 
states that optional STCs may be used when mailing with an Extra 
Service such as Signature Conformation or Insurance. The commenter 
asked the Postal Service to clarify the use of STCs and ESCs. 
Specifically, the commenter asked whether the Postal Service meant to 
state that these STCs are required when mailing with Signature 
Confirmation or Insurance, or alternatively, whether the Postal Service 
meant that only the ESCs are required. Additionally, the commenter 
noted that the proposed rule states that the optional ESCs may be used 
with the `optional' STCs and asked whether it is also permissible to be 
used the optional ESCs in conjunction with the required STCs where 
possible.
    Response: The Summary and Summary of New Measures sections in this 
final rule and Appendix G in Pub 52 provide additional clarification 
about the STC and ESC requirements.
    Comment: One commenter noted that the proposed rule states that an 
857 ESC is required when using the Postal Service's API or Webtools to 
create a shipping label and asked if this also includes manifest 
mailings as well as PC Postage.
    Response: ESC 857 is required for all shipments containing HAZMAT/
DG.
    Comment: One commenter indicated that the Postal Service announced 
additional requirements for shipping labels for HAZMAT (National Meter 
Accounting and Tracking (NMATS) Release Notes dated September 30, 
2022). However, the proposed rule is silent with respect to those 
requirements. The additional requirements include the mandatory use of 
``H'' as the class of service indicator in the upper left of the label 
and require that ground only items must have Surface Transportation 
Only text. The commenter suggested that the mandatory implementation 
date for these changes should line up with the rest of the requirements 
in proposed rule.
    Response: The Postal Service strongly recommends the use of service 
icon ``H'' in the upper left corner when the package being shipped 
contains an item that is HAZMAT to further improve visual 
identification for domestic mail. Pub 199 found on PostalPro can be 
referenced for more information.
    Comment: One commenter noted its appreciation that the Postal 
Service made the content based ESCs optional, as most shippers are not 
familiar with these 23 content classifications and distinctions. The 
commenter indicated that requiring all shippers to be this informed 
would be unrealistic and would further complicate compliance without 
improving the Postal Service's ability to identify HAZMAT during 
automation. Making the content based ESCs optional still allows 
sophisticated shippers, and those who ship large quantities of such 
items, to provide the more granular information.
    Response: The Postal Service appreciates the commenter's support of 
initiatives to improve HAZMAT/DG identification and handling processes 
and its recognition of the Postal Service's sensitivity to the 
capability of customers to cope with complex requirements.
    Comment: One commenter recommended that the Postal Service create a 
dedicated HAZMAT landing page on USPS.com and/or PostalPro that has an 
easy-to-follow guide listing common consumer products/items and their 
necessary markings, ship method, etc. The commenter specifically noted 
that Appendix A in Pub. 52 is not sufficient for this purpose, as 
shippers unfamiliar with HAZMAT regulations (or that do not employ 
hazmat professionals) will not understand whether their products 
contain the regulated substances listed in the existing table.
    Response: The Postal Service appreciates this helpful feedback and 
will consider it for future HAZMAT/DG related customer outreach 
enhancements. Currently, the HAZMAT Shipping Safety Guide (https://www.uspsdelivers.com/hazmat-shipping-safety/) can be found on usps.com 
and additional content regarding shipping HAZMAT can be found in the 
Hazardous, Restricted, and Perishable Mail Instructions (https://postalpro.usps.com/operations#cat-subsection-1) on PostalPro under the 
Mailing and Shipping section dropdown menu.
    Comment: One commenter stated that outside of the final rule 
itself, the Postal Service is encouraged to generally align the 
requirements of Pub. 52 with the PHMSA's HAZMAT regulations (49 CFR100-
185). Pub. 52 is more restrictive than these regulations in a number of 
critical areas (e.g., package weight limits for lithium-ion batteries), 
which needlessly complicates HAZMAT compliance for shippers.
    Response: While the Postal Service strives to achieve consistency, 
it is not bound to do so per 39 U.S.C. 3018(a), which provides that 
``[t]he Postal Service shall prescribe regulations for the safe 
transportation of hazardous material in the mail.'' In this instance, 
the Postal Service has made determinations regarding safety of the mail 
based on its own experience and risk assessments.
    Comment: One air carrier supplier indicated that HAZMAT/DG 
permitted in international mail are restricted to specified subsets of 
the following DG classes:
     Division 6.2, Infectious Substances (permitted only by 
authorization from Product Classification, USPS[supreg] Headquarters);
     Class 7, Radioactive Materials; and
     Class 9, Lithium Batteries installed in equipment 
(unmarked).
    These categories may be air eligible for air cargo freighters; 
however, they are impermissible on the commenter's aircrafts.
    Response: The Postal Service researched the matter with the 
supplier through follow up and determined that the Postal Service's 
tendering practices are consistent with contractual obligations. The 
Postal Service also understands the limited categories of Dangerous 
Goods that are acceptable in international transportation and will 
continue to follow such guidelines. The Postal Service STC requirements 
will support appropriate routing and handling of Dangerous Goods.
    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 Postal Service invites public 
comment

[[Page 24488]]

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 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)

* * * * *

600 Basic Standards for All Mailing Services

* * * * *

604 Postage Payment Methods and Refunds

* * * * *

9.0 Exchanges and Refunds

* * * * *

9.5 Priority Mail Express Postage and Fees Refunds

* * * * *

9.5.5 Refunds Not Given

    Postage will not be refunded if the guaranteed service was not 
provided due to any of the following circumstances:
* * * * *
    [Revise the text of item g to read as follows:]
    g. The shipment contained live animals or hazardous materials and 
was delivered, or delivery was attempted within 3 days of the date of 
mailing.
* * * * *

0
3. Revise Publication 52 as follows:

Publication 52, Hazardous, Restricted and Perishable Mail

* * * * *

3 Hazardous Materials

* * * * *

32 General

* * * * *

323 Mailer Responsibility

    [Add new sections 323.1 through 323.6 to read as follows:]

323.1 Service Type Codes

    Mailers tendering packages containing hazardous materials to the 
Postal Service must use a unique Service Type Code (STC) for domestic 
outbound and return packages that correspond to the appropriate product 
being shipped (i.e., Priority Mail[supreg], First-Class Package 
Service[supreg], Parcel Select[supreg], Parcel Select 
Lightweight[supreg], and USPS Retail Ground[supreg]). The STC is 
required regardless of whether the mailpieces are entered at origin or 
for destination entry. If purchasing an eligible extra service, mailers 
must use the STC indicating the product and Extra Service. Extra 
Services permitted with hazardous materials mailings are:

a. Signature Confirmation
b. Insurance less than or equal to $500
c. Insurance over $500
d. Signature Requested for Priority Mail Express
e. Adult Signature over 21 for Priority Mail Express (tobacco/
Electronic Nicotine Delivery System (ENDS) products)
f. Adult Signature over 21 for Priority Mail (ENDS products)

    A list of HAZMAT STCs and ESCs can be found in Appendix G and Pub 
199.

323.2 Extra Service Codes

    Mailers tendering packages containing hazardous materials to the 
Postal Service must use ESC 857 for all packages containing HAZMAT. 
Mailers may optionally use one of 22 unique content specific Extra 
Service Code (ESC) for domestic outbound and return packages that 
correspond to the specific category of HAZMAT contained within the 
mailpiece. If one of the content specific ESC is used, then ESC 857 can 
be omitted when there are not enough extra service code fields 
available for the package details. A list of ESCs can be found in 
Appendix G and Pub 199.

    Note:  while currently this is a recommended practice, the 
Postal Service may undertake to make this requirement mandatory in 
the future.

323.3 Additional GS1 DotMatrix (2D) IMpb

    In addition to including the appropriate STC in the one-dimensional 
GS1-128 IMpb barcode on the address label, the Postal Service requires 
adding two (2) supplemental GS1-DataMatrix (2D) IMpbs to domestic 
shipping labels for mailpieces containing hazardous materials effective 
January 21, 2024. One in the address block to the left of the Delivery 
Address and one in the lower right corner of the shipping label. For 
more information on the GS1-DataMatrix (2D) IMpbs, mailers can view GS1 
(2D) information and find barcode specifications at: https://www.gs1.org/docs/barcodes/GS1_DataMatrix_Guideline.pdf and https://postalpro.usps.com/shipping/impb/2d-impb-guide.

323.4 Shipping Service File

    Mailers shipping hazardous materials domestically utilizing PC 
Postage, eVS, USPS Ship, and/or ePostage platforms must incorporate the 
applicable Service Type Code (STC) and/or Extra Service Code (ESC) 
found in Appendix G and Pub 199 and transmit a Shipping Services File 
(SSF), Version 1.7 or higher, or Shipping Partner Event File (SPEF), 
using Version 5.0 or higher, to the Postal Service before, or 
concurrent with the tendering of any hazardous materials shipments.

323.5 Legacy Postage and Hard Copy Postage Statements

    Mailers using legacy postage meters or hard copy postage forms must 
present hazardous materials mailings to a Postal Service retail or 
business mail entry unit for acceptance.

323.6 USPS Generated Shipping Labels

    Mailers using a label generated by the USPS (including but not 
limited to USPS APIs, WebTools, Click-n-Ship, or Merchant Returns 
Application) must indicate whether the shipment contains hazardous 
materials at the time of label generation.
* * * * *

327 Transportation Requirements

327.1 General

    [Revise the last sentence in bullet b. to read as follows:]
    b. * * * A mailpiece containing mailable hazardous materials with 
postage paid at Marketing Mail, USPS Retail Ground, Parcel Select, or 
Package Service prices must not, under any circumstances, be 
transported on air transportation. This excludes those ZIP Codes that 
are only serviced by air transportation. See Appendix F for ZIP Codes 
serviced by air transportation only.
* * * * *

[[Page 24489]]

6 International Mail

62 Hazardous Materials: International Mail

621 General Requirements

* * * * *
    [Add new section 621.5 to read as follows:]

621.5 Extra Service Codes and Shipping Service Files

    Mailers shipping dangerous goods internationally, including to APO/
FPO/DPO destinations utilizing PC Postage, eVS, USPS Ship, and ePostage 
platforms, must include ESC 857 and incorporate the applicable content 
specific Extra Service Code (ESC) found in Appendix G and Pub 199 and 
transmit a Shipping Services File (SSF), Version 1.7 or higher, or 
Shipping Partner Event File (SPEF), using Version 5.0 or higher, to the 
Postal Service before, or concurrent with, the tendering of any 
dangerous goods shipments.
* * * * *
    [Add new Appendix G to read as follows:]

Appendix G

Hazardous Materials Service Type Codes (STCs) and Extra Service Codes 
(ESCs)

    This appendix contains a complete list of STCs and ESCs to be 
applied within the tracking barcodes and electronic data submission for 
shipments containing hazardous materials or dangerous goods. See 323.1

STCs Domestic Outbound (Required)

    The following STCs are required when shipping domestic hazardous 
materials, unless an STC from the ``Optional'' table is used.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
760..........................  Priority Mail Express Signature Waived--
                                Hazardous Materials.
116..........................  Priority Mail USPS Tracking--Hazardous
                                Materials.
184..........................  First-Class Package Service USPS
                                Tracking--Hazardous Materials.
395..........................  Parcel Select USPS Tracking--Hazardous
                                Materials.
785..........................  Parcel Select Lightweight USPS Tracking--
                                Hazardous Materials.
362..........................  USPS Retail Ground USPS Tracking--
                                Hazardous Materials.
------------------------------------------------------------------------

STCs Domestic Outbound (Optional)

    The following STCs are optional unless one of the applicable Extra 
Services is selected when shipping domestic hazardous materials.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
761..........................  Priority Mail Express Signature
                                Requested--Hazardous Materials.
762..........................  Priority Mail Express Add Insurance
                                <=$500--Hazardous Materials.
763..........................  Priority Mail Express Insurance >$500
                                Restricted Delivery--Hazardous
                                Materials.
764..........................  Priority Mail Express Adult Signature
                                Over 21--Hazardous Materials.
120..........................  Priority Mail Insurance <=$500--Hazardous
                                Materials.
323..........................  Priority Mail Insurance >$500--Hazardous
                                Materials.
075..........................  Priority Mail Adult Signature Over 21--
                                Hazardous Materials.
063..........................  Priority Mail Signature Confirmation
                                Hazardous Materials.
185..........................  First-Class Package Service Insurance
                                <=$500--Hazardous Materials.
166..........................  First-Class Package Service Signature
                                Confirmation Hazardous Materials.
186..........................  First-Class Package Service Insurance
                                >$500--Hazardous Materials.
483..........................  Parcel Select Insurance <=$500--Hazardous
                                Materials.
628..........................  Parcel Select Insurance >$500--Hazardous
                                Materials.
646..........................  Parcel Select Signature Confirmation
                                Hazardous Materials.
786..........................  Parcel Select Lightweight Insurance
                                <=$500--Hazardous Materials.
787..........................  Parcel Select Lightweight Insurance
                                >$500--Hazardous Materials.
749..........................  Parcel Select Lightweight Signature
                                Confirmation Hazardous Materials.
363..........................  USPS Retail Ground Insurance <=$500--
                                Hazardous Materials.
365..........................  USPS Retail Ground Insurance >$500--
                                Hazardous Materials.
383..........................  USPS Retail Ground Signature Confirmation
                                Hazardous Materials.
------------------------------------------------------------------------

STCs Domestic Returns (Required)

    The following STCs for domestic hazardous materials returns 
packages are required, unless an STC from the ``Optional'' list is 
used.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
676..........................  PRS--Hazardous Materials.
187..........................  First-Class Package Return Service--
                                Hazardous Materials.
385..........................  Ground Return Service--Hazardous
                                Materials.
037..........................  Priority Mail Return Service--Hazardous
                                Materials.
217..........................  First-Class Package Return Service--
                                Division 6.2 Hazardous Materials.
218..........................  Ground Return Service--Division 6.2
                                Hazardous Materials.
219..........................  Priority Mail Return Service--Division
                                6.2 Hazardous Materials.
859..........................  PRS: HAZMAT--Division 6.2 Hazardous
                                Materials.
------------------------------------------------------------------------


[[Page 24490]]

STCs Domestic Returns (Optional)

    The following STCs are optional for domestic hazardous materials 
returns packages unless the applicable Extra Service is selected.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
678..........................  PRS Insurance >$500 Hazardous Materials.
190..........................  First-Class Package Return Service
                                Insurance <=$500--Hazardous Materials.
191..........................  First-Class Package Return Service
                                Insurance >$500--Hazardous Materials.
388..........................  Ground Return Service Insurance <=$500--
                                Hazardous Materials.
399..........................  Ground Return Service Insurance >$500--
                                Hazardous Materials.
515..........................  Priority Mail Return Service Insurance
                                <=$500--Hazardous Materials.
517..........................  Priority Mail Return Service Insurance
                                >$500--Hazardous Materials.
------------------------------------------------------------------------

ESCs Domestic (Optional)

    The following is a list of category specific ESCs that may be used 
in conjunction with an STC if the mailer chooses.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
810..........................  Air Eligible Ethanol Package.
811..........................  Class 1--Toy Propellant/Safety Fuse
                                Package.
812..........................  Hazardous Materials Class 3--Package.
813..........................  Class 7--Radioactive Materials Package.
814..........................  Class 8--Corrosive Materials Package.
815..........................  Class 8--Nonspillable Wet Battery
                                Package.
816..........................  Class 9--Lithium Battery Marked--Ground
                                Only Package.
817..........................  Class 9--Lithium Battery--Returns
                                Package.
818..........................  Class 9--Lithium batteries, marked
                                package.
819..........................  Class 9--Dry Ice Package.
820..........................  HAZMAT Class 9--Lithium batteries,
                                unmarked package.
821..........................  Class 9--Magnetized Materials Package.
822..........................  Division 4.1--Mailable flammable solids
                                and Safety Matches Package.
823..........................  Division 5.1--Oxidizers Package.
824..........................  Division 5.2--Organic Peroxides Package.
825..........................  Division 6.1--Toxic Materials Package
                                (with an LD50 of 50 mg/kg or less).
826..........................  Division 6.2 Hazardous Materials.
827..........................  Excepted Quantity Provision Package.
828..........................  Ground Only Hazardous Materials.
829..........................  ID8000 Consumer Commodity Package.
830..........................  Lighters Package.
831..........................  LTD QTY Ground Package.
832..........................  Small Quantity Provision Package.
------------------------------------------------------------------------

ESCs Domestic & International Including APO/FPO/DPO (Required)

    The following ESC must be provided for all shipments containing 
hazardous materials.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
857..........................  Hazardous Materials.
------------------------------------------------------------------------

ESCs International and APO/FPO/DPO (Required)

    The following is a list of ESCs required for use in the mailer's 
Shipping Service File, when tendering the following dangerous goods 
internationally with the Postal Service.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
813..........................  Class 7--Radioactive Materials Package.
820..........................  HAZMAT Class 9--Lithium batteries,
                                unmarked package.*
826..........................  Division 6.2 Hazardous Materials.
------------------------------------------------------------------------
* The batteries must be installed in the equipment being shipped and
  must not bear markings or labels identifying the contents as lithium
  batteries.

* * * * *

Sarah Sullivan,
Attorney, Ethics & Legal Compliance.
[FR Doc. 2023-08479 Filed 4-19-23; 11:15 am]
BILLING CODE P