Federal Register, Volume 88 Issue 108 (Tuesday, June 6, 2023)

[Federal Register Volume 88, Number 108 (Tuesday, June 6, 2023)]
[Rules and Regulations]
[Pages 36958-36960]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-11892]


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POSTAL SERVICE

39 CFR Part 111


New Mailing Standards for Domestic Mailing Services Products

AGENCY: Postal Service^TM.

ACTION: Final rule.

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SUMMARY: On April 10, 2023, the Postal Service (USPS[supreg]) filed a 
notice of mailing services price adjustments with the Postal Regulatory 
Commission (PRC), effective July 9, 2023. This final rule contains the 
revisions to Mailing Standards of the United States Postal Service, 
Domestic Mail Manual (DMM[supreg]) to implement the changes coincident 
with the price adjustments and other minor DMM changes.

DATES: Effective July 9, 2023.

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

SUPPLEMENTARY INFORMATION:

    On May 31, 2023, the PRC favorably reviewed the price adjustments 
proposed by the Postal Service. The price adjustments and DMM revisions 
are scheduled to become effective on July 9, 2023. Final prices are 
available under Docket No. R2023-2 (Order No. 6526) on the Postal 
Regulatory Commission's website at www.prc.gov.

Marketing Mail Flat-Shaped--New Pricing Structure

    Currently, the pricing structure for USPS Marketing Mail flat-
shaped pieces uses a two-tier pricing approach. For pieces weighing 4 
oz or less, only a per-piece price is charged. For pieces weighing over 
4 oz but less than 16 oz, both a per-piece and per-pound rate is 
charged.
    The Postal Service will change the way USPS Marketing Mail flats 
are priced. For each presort level, all pieces regardless of their 
weight will pay a piece price which will differ only by the entry 
level, i.e., Origin, DNDC, DSCF, and DDU. The pound price would be 
applicable only to the weight above 4 ounces. For example, if the piece 
weighs 6 ounces, the pound price will be charged only for the 2 ounces 
that are above 4 ounces.

Discount for USPS Marketing Mail Letter-Shaped Pieces on SCF Pallets

    Currently, the Postal Service offers discounts for USPS Marketing 
Mail flat-shaped pieces on SCF pallets. This discount would now be 
extended to letter-shaped USPS Marketing Mail pieces on SCF Pallets. 
This discount will be applicable to Automation and Nonautomation (AADC, 
3-Digit and 5-Digit Presort) Letters, Carrier Route Letters, High 
Density Letters, High Density Plus Letter and Saturation Letters on SCF 
Pallets regardless of the entry (None, DNDC, and DSCF).

Registered Mail Service Fees

    The Postal Service is revising the fee structure for Registered 
Mail[supreg] service. Currently, the fee structure includes the 
combined cost of handling and insurance, which incrementally increases 
in accordance with an item's declared value, up to $50,000.00--the 
maximum available amount of insurance reimbursement. For items with 
declared value over $50,000, there are incrementally increasing 
handling fees, although the maximum amount of insurance reimbursement 
remains capped at $50,000. The Postal Service is revising the fee 
structure to eliminate the additional handling fees for items with 
declared value over $50,000, and instead have a flat fee that will 
cover the cost of insurance (which remains capped at a maximum of 
$50,000, regardless of the declared value) and handling on all items 
with declared values over $50,000.00.

USPS Ground Advantage Insurance

    Currently, the Postal Service does not include insurance coverage 
with USPS Ground Advantage--Retail and USPS Ground Advantage--
Commercial (formerly First-Class Package Service--Retail and First-
Class Package Service--Commercial) pieces against loss, damage, or 
missing contents. Additionally, the Postal Service does not include 
insurance with USPS Ground Advantage Return service (formerly First-
Class Package Return Service) pieces.
    The Postal Service will include insurance, limited to a maximum 
liability of $100.00, with USPS Ground Advantage--Retail and USPS 
Ground Advantage--Commercial pieces.
    In addition, the Postal Service will include the $100.00 of 
insurance with USPS Ground Advantage Return service pieces. The 
inclusion of $100.00 of insurance with USPS Ground Advantage Return 
service pieces, along with Priority Mail Return service which already 
has insurance included, will eliminate the senders' option to purchase 
insurance.

Elimination of Service Type Code Combinations

    The Postal Service is eliminating certain service type code (STC)/
extra service code (ESC) combinations. The decision is based on those 
product and extra service code combinations with low use or low demand, 
and those that do not follow Postal Service compliance with Intelligent 
Mail package barcode rules. Mailers can speak with a USPS 
representative for details.

Marriage Mail 2 oz Incentive Price

    Marriage Mail is a form of marketing mail in which marketing 
service companies combine advertisements from multiple businesses into 
a single mailpiece to reduce the cost of the mailing for individual 
customers.
    The Postal Service will provide marriage mailers an incentive price 
on Saturation USPS Marketing Mail letters and flats including EDDM (not 
EDDM Retail) that weigh 2 ounces or less, if they meet certain 
requirements.
    Among the requirements to be eligible to claim the incentive price 
are that qualifying Marriage Mail pieces must include at least 4 
advertisers and must be mailed at minimum 10 times every 12 months 
(starting with the month of first claiming the incentive price).
    Information on the requirements to claim the Marriage Mail 
Incentive price will be posted on PostalPro at postalpro.usps.com.

2024 Mailing Promotions

    The Postal Service has been incenting mailers to integrate mobile 
technology and use innovative print techniques in commercial mail since 
2012. These promotions have become an integral way for industry to try 
new things and innovate their mail campaigns. A 2024 Promotions 
Calendar is planned with opportunities for mailers to receive a postage 
discount by applying treatments or integrating technology in their mail 
campaigns.
    These revisions will provide consistency within postal products and 
add value for customers.
    Market Dominant comments on Proposed changes and USPS responses.
    The Postal Service did not receive any formal comments on the April 
2023 proposed rule (88 FR 22973-22975).
* * * * *
    The Postal Service adopts the described changes to Mailing 
Standards of the United States Postal Service, Domestic Mail Manual 
(DMM),

[[Page 36959]]

incorporated by reference in the Code of Federal Regulations. 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, 401-404, 414, 416, 3001-3018, 3201-3220, 3401-
3406, 3621, 3622, 3626, 3629, 3631-3633, 3641, 3681-3685, 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)

* * * * *

240 Commercial Mail USPS Marketing Mail

243 Prices and Eligibility

1.0 Prices and Fees

* * * * *

1.2 USPS Marketing Mail Prices

* * * * *
    [Renumber item (c) as (d) then add a new item (c) to read as 
follows:]
    c. For USPS Marketing Mail flats that weigh over 4 ounces, the 
pound price is applicable only to the weight above 4 ounces. For 
example, if the piece weighs 6 ounces, the pound price will apply 
only to the 2 ounces that are above 4 ounces.
* * * * *

1.5 Computing Postage for USPS Marketing Mail

* * * * *

1.5.4 Per Piece and Per Pound Charges

    [Add a sentence at the end of the paragraph to read as follows:]
    * * * For USPS Marketing Mail flats that weigh over 4 ounces, 
the pound price is applicable only to the weight above 4 ounces.

1.5.5 Computing Affixed Postage for Piece/Pound Price Mailpieces

    [Revise the text of 1.5.5 to read as follows:]
    To compute postage to be affixed to each piece/pound price 
piece, multiply the weight of the piece (in pounds) by the 
applicable price per pound (For USPS Marketing Mail flats, multiply 
the weight of the piece that exceeds 4 ounces by the applicable 
price per pound); add the applicable per piece charge and any 
surcharge; and round the sum up to the next tenth of a cent. See 
244.2.0 for affixing postage.
* * * * *

4.0 Price Eligibility for USPS Marketing Mail

* * * * *

4.3 Piece/Pound Prices

    [Revise the last sentence of 4.3 to read as follows:]
    Flats that exceed 4 ounces are subject to a two-part piece/pound 
price that includes a fixed charge per piece and a variable pound 
charge based on the weight above 4 ounces.
* * * * *

500 Additional Mailing Services

503 Extra Services

* * * * *

1.0 Basic Standards for All Extra Services

* * * * *

1.4 Eligibility for Extra Services

* * * * *

1.4.1 Eligibility--Domestic Mail

    [Revise the text of 1.4.1 to read as follows:]
    Exhibit 1.4.1 provides the eligibility of each extra service for 
domestic mail. The exhibit also provides the additional extra 
services that may be combined with each extra service. The combined 
extra services are subject to the eligibility of the mail listed for 
each extra service. Certain eligible extra service combinations may 
not be available for purchase (Mailers can speak with a USPS 
representative for details.). The following extra services or 
additional extra services may be added at the time of mailing, if 
available, when the standards for the services are met and the 
applicable fees are paid.
* * * * *

Exhibit 1.4.1 Eligibility--Domestic Mail

EXTRA SERVICE
ELIGIBLE MAIL
ADDITIONAL COMBINED EXTRA SERVICES
* * * * *
Insurance
Insurance Restricted Delivery

    [Revise the ``Note:'' under ``Insurance'' to read as follows:]
    Note: Priority Mail Express, Priority Mail, and USPS Ground 
Advantage includes $100.00 of insurance; see 503.4.0.
* * * * *

1.4.3 Eligibility--Domestic Returns

* * * * *

Exhibit 1.4.3 Eligibility--Domestic Returns

* * * * *
    [Delete the <=$500 and $500 insurance options columns 
under the ``Eligible Extra Services (Paid by Sender) section of the 
table.]''
    [Delete the [Delete footnote #4 in its entirety.]
* * * * *

2.0 Registered Mail

2.1 Basic Standards

2.1.1 Description

    [Revise the ninth sentence in the introductory text of 2.1.1 to 
read as follows:]
    * * * Registered Mail articles valued over $50,000.00 are 
charged a flat fee that includes insurance up to $50,000.00 maximum 
insurance limit, and the handling cost.* * *
* * * * *

4.0 Insured Mail

* * * * *
    [Revise the heading of 4.2 to read as follows:]

4.2 Insurance Coverage Priority Mail, USPS Ground Advantage--Retail and 
USPS Ground Advantage--Commercial

    [Revise the introductory text of 4.2 to read as follows:]
    Priority Mail pieces (including Priority Mail Return service) 
and USPS Ground Advantage--Retail and USPS Ground Advantage--
Commercial (including USPS Ground Advantage Return service), are 
insured against loss, damage, or missing contents, up to a maximum 
of $100.00, subject to the following:
    [Revise the text of items a through c to read as follows:]
    a. Insurance coverage is provided against loss, damage, or 
missing contents and is limited to a maximum liability of $100.00 
when the pieces bear an Intelligent Mail package barcode (IMpb) or 
USPS retail tracking barcode (see 4.3.4) and the mailer pays retail 
or commercial prices.
    b. In addition to the insurance coverage under 4.2a, additional 
insurance may be purchased up to a maximum coverage of $5,000.00.
    c. Pieces meeting the requirements under 4.2, but not supported 
by a Shipping Services file must have a full acceptance scan in 
order to qualify for automatic insurance coverage.
* * * * *
    [Revise the first sentence of item e to read as follows:]
    e. Customers may file claims online for insured domestic items 
at www.usps.com/domestic-claims. * * *
* * * * *

505 Return Services

* * * * *

3.0 USPS Returns Service

3.1 Basic Standards

* * * * *

3.1.3 Postage and Prices

    Postage and prices are subject to the following:
* * * * *
    c. The account holder or mailer may obtain extra and additional 
services as follows:
    [Revise the text of item c1 to read as follows:]
    1. Insurance is available for USPS Returns service (see 503.4). 
Insurance is included with the postage for Priority Mail Return 
service and USPS Ground Advantage Return service (see 503.4.2). 
Additional insurance for Priority Mail Return service and USPS 
Ground Advantage Return service is available to the account holder 
for a fee on packages that have the applicable STC imbedded into the 
IMpb on the label, and for which the account holder has provided 
electronic data

[[Page 36960]]

that supports the value of the merchandise (see 503.4.3.1a). Only 
the account holder may file a claim (see 609). Mailers returning a 
USPS Returns service package may not obtain insurance at their own 
expense.
* * * * *

705 Advanced Preparation and Special Postage Payment Systems

* * * * *

8.0 Preparing Pallets

* * * * *

8.10 Pallet Presort and Labeling

* * * * *

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

* * * * *
    [Revise the text 8.10.3c to read as follows]
    c. 5-digit carrier routes, required except for trays, permitted 
for bundles, sacks, trays, and cartons. Allowed with no weight 
minimum for bundles. Pallet must contain only carrier route mail for 
the same 5-digit ZIP Code. The SCF Pallet discount applies to 5-
digit carrier routes USPS Marketing Mail letter trays on an SCF 
pallet entered at an Origin (None), DNDC, or DSCF entry. Labeling: * 
* *
* * * * *
    [Revise the last two sentences of 8.10.3d to read as follows]
    * * * The SCF Pallet discount applies to 5-digit/5-digit scheme 
USPS Marketing Mail letter trays and flat shaped bundles on an SCF 
pallet entered at an Origin (None), DNDC, or DSCF entry. SCF pallet 
discount does not apply to USPS Marketing Mail parcels. Labeling: * 
* *
* * * * *
    [Revise the last two sentences of 8.10.3e to read as follows]
    * * * The SCF Pallet discount applies to 3-digit, AADC, ADC, 5-
digit, 5-digit scheme, Carrier Route, High Density, High Density 
Plus, and Saturation (including EDDM flats--Not Retail) USPS 
Marketing Mail letter trays and flat shaped bundles on an SCF pallet 
entered at an Origin (None), DNDC, or DSCF entry. SCF pallet 
discount does not apply to USPS Marketing Mail parcels. Labeling: * 
* *
* * * * *
    [Revise the last two sentences of 8.10.3f to read as follows]
    * * * The SCF Pallet discount applies to 3-digit, AADC, ADC, 5-
digit, 5-digit scheme, Carrier Route, High Density, High Density 
Plus, and Saturation (including EDDM flats--Not Retail) USPS 
Marketing Mail letter trays and flat shaped bundles on an SCF pallet 
entered at an Origin (None), DNDC, or DSCF entry. SCF pallet 
discount does not apply to USPS Marketing Mail parcels. Labeling: * 
* *
* * * * *

Notice 123 (Price List)

    [Revise prices as applicable.]
* * * * *

Tram T. Pham,
Attorney, Ethics and Legal Compliance.
[FR Doc. 2023-11892 Filed 6-5-23; 8:45 am]
BILLING CODE P