Move Update Assessment Charges for Automation and Presort First-Class Mail and All Standard Mail Mailings, 68538-68541 [E9-30619]
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68538
Federal Register / Vol. 74, No. 247 / Monday, December 28, 2009 / Rules and Regulations
the public interest, to make this final
rule effective upon publication.
PART 285—DEBT COLLECTION
AUTHORITIES UNDER THE DEBT
COLLECTION IMPROVEMENT ACT OF
1996
Regulatory Planning and Review
The rule does not meet the criteria for
a ‘‘significant regulatory action’’ as
defined in Executive Order 12866.
Therefore, the regulatory review
procedures contained therein do not
apply.
Regulatory Flexibility Act Analysis
It is hereby certified that the rule will
not have a significant economic impact
on a substantial number of small
entities. The rule only affects the time
that a delinquent nontax debt may be
collected. Accordingly, a regulatory
flexibility analysis under the Regulatory
Flexibility Act (5 U.S.C. 601 et seq.) is
not required.
Unfunded Mandates Act
Section 202 of the Unfunded
Mandates Reform Act of 1995, 2 U.S.C.
1532 (Unfunded Mandates Act),
requires that the agency prepare a
budgetary impact statement before
promulgating any rule likely to result in
a Federal mandate that may result in the
expenditure by State, local, and tribal
governments, in the aggregate, or by the
private sector, of $100 million or more
in any one year. If a budgetary impact
statement is required, section 205 of the
Unfunded Mandates Act also requires
the agency to identify and consider a
reasonable number of regulatory
alternatives before promulgating the
rule. We have determined that the rule
will not result in expenditures by State,
local, and tribal governments, in the
aggregate, or by the private sector, of
$100 million or more in any one year.
Accordingly, we have not prepared a
budgetary impact statement or
specifically addressed any regulatory
alternatives.
erowe on DSK5CLS3C1PROD with RULES
Administrative practice and
procedure, Black lung benefits, Child
support, Claims, Credit, Debts,
Disability benefits, Federal employees,
Garnishment of wages, Hearing and
appeal procedures, Loan programs,
Privacy, Railroad retirement, Railroad
unemployment insurance, Salaries,
Social Security benefits, Supplemental
Security Income (SSI), Taxes, Veteran’s
benefits, Wages.
For the reasons set forth in the
preamble, 31 CFR part 285 is amended
as follows:
VerDate Nov<24>2008
10:44 Dec 24, 2009
Jkt 220001
Authority: 5 U.S.C. 5514; 26 U.S.C. 6402;
31 U.S.C. 321, 3701, 3711, 3716, 3719,
3720A, 3720B, 3720D; 42 U.S.C. 664; E.O.
13019, 61 FR 51763, 3 CFR, 1996 Comp., p.
216.
2. In § 285.2, remove paragraph
(d)(1)(ii), redesignate paragraphs
(d)(1)(iii) through (d)(1)(v) as paragraphs
(d)(1)(ii) through (d)(1)(iv), respectively,
and add paragraph (d)(6) as follows:
■
§ 285.2 Offset of tax refund payments to
collect past-due, legally enforceable nontax
debt.
*
*
*
*
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(d) * * *
(6)(i) Creditor agencies may submit
debts to FMS for collection by tax
refund offset irrespective of the amount
of time the debt has been outstanding.
Accordingly, all nontax debts, including
debts that were delinquent for ten years
or longer prior to January 27, 2010 may
be collected by tax refund offset.
(ii) For debts outstanding more than
ten years on or before January 27, 2010,
creditor agencies must certify to FMS
that the notice of intent to offset
described in paragraph (d)(1)(ii)(B) of
this section was sent to the debtor after
the debt became ten years delinquent.
This requirement will apply even in a
case where notice was also sent prior to
the debt becoming ten years delinquent,
but does not apply to any debt that
could be collected by offset without
regard to any time limitation prior to
January 27, 2010.
*
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*
*
Dated: December 18, 2009.
Richard L. Gregg,
Acting Fiscal Assistant Secretary.
[FR Doc. E9–30550 Filed 12–24–09; 8:45 am]
BILLING CODE 4810–35–P
List of Subjects in 31 CFR Part 285
■
1. The authority citation for part 285
continues to read as follows:
■
POSTAL SERVICE
39 CFR Part 111
Move Update Assessment Charges for
Automation and Presort First-Class
Mail and All Standard Mail Mailings
Postal ServiceTM.
Final rule, revised.
AGENCY:
ACTION:
SUMMARY: The Postal Service issues this
notice to revise the final rule that was
published in the Federal Register on
Tuesday, October 27, 2009 providing
new Move Update assessment
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procedures, and to clarify the
Performance-Based Verification process.
DATES: Effective January 4, 2010.
FOR FURTHER INFORMATION CONTACT: Bill
Chatfield, 202–268–7278.
SUPPLEMENTARY INFORMATION:
In the Federal Register final rule
published October 27, 2009 (74 FR
55140–42), the Postal Service provided
notice of new Move Update assessment
charges to be applied during the
acceptance process. On November 25,
2009, the Postal Regulatory Commission
(PRC) issued Order No. 348 on Move
Update, which modified the Postal
Service’s requested Mail Classification
Schedule (MCS) language filed on
October 15, 2009. A change of address
error tolerance of 30 percent was added
to the MCS language, for determining
whether a mailing fails the Move
Update portion of the PerformanceBased Verification (PBV) test.
The Commission retained language
about a $0.07 Move Update
noncompliance charge for Standard
Mail ®, and stated that this charge,
rather than the difference between
postage paid and the First-Class Mail ®
single-piece price, would apply when
Standard Mail mailers do not comply
with the Move Update standard. The
Commission’s modifications affect the
Move Update procedures published in
the October 27, 2009 final rule. This
change is effective January 4, 2010, and
will be reflected in the next DMM
update on February 1, 2010.
Following are a background summary
and descriptions of the changes and
procedures for how Move Update
assessment charges will be handled at
the time of acceptance.
Background
Mailers who claim presorted or
automation prices for First-Class Mail,
or claim any Standard Mail prices, must
identify on the postage statement which
Move Update method was used to
ensure that the mailing meets the Move
Update standard. Additionally, on each
postage statement, mailers or their
agents, must also affix their signature
and certify that the mailing presented
for acceptance qualifies for the prices
claimed. The Move Update standard
requires that a mailer participate in an
approved Move Update process, and use
the change of address information
received through the approved Move
Update process, to correct the mailing
addresses in the mailing. This has been
a longstanding requirement for FirstClass Mail presort and automation
prices; however, prior to November
2008 the frequency with which a mailer
was required to participate in the Move
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Federal Register / Vol. 74, No. 247 / Monday, December 28, 2009 / Rules and Regulations
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Update process and make the requisite
address changes was within the 185
days immediately preceding the date of
mailing. In November 2008 the
frequency was reduced to the 95 days
immediately preceding the date of
mailing. The Move Update standard,
including the 95 day frequency, was
extended to include all Standard Mail in
November 2008. If a mailer does not
identify a Move Update method and
certify compliance, then the Postal
Service can reject the mailing, unless
the mailer agrees to pay the First-Class
Mail single-piece price.
The Move Update standard is
designed to reduce the number of
mailpieces that require forwarding,
return, or disposal as waste, thus
reducing Postal Service costs. The
standard also helps to assure that mail
reaches its intended recipients in a
timely manner.
Procedures
PBV procedures introduced in Spring
2009 allow the Postal Service to sample
mailings during the acceptance process
to compare mailpiece addresses within
the sample against the change of address
information in the National Change of
Address (NCOA ®) database. For the
Move Update portion of PBV, addresses
on the verification sample are compared
to the NCOA database. The ratio of the
number of failed changes of address
(COAs), addresses that should have
been updated per Postal Service records,
to the number of actual COAs (all
changed addresses for addresses in the
mailing) is calculated. If this ratio for
the sample is sufficiently high, as
detailed below, the mailing is subject to
an additional postage charge, called the
Move Update assessment charge.
Mailers are offered the option of taking
the mailing back and reworking it to
avoid the Move Update assessment
charge.
The Move Update standard is not
new. All known mailings of commercial
First-Class Mail pieces that did not
follow address updating requirements
have been subject to single-piece FirstClass Mail prices for each piece in the
mailing since 1997. When the Move
Update standard was first applied to
Standard Mail in 2008, the same
consequence would have applied to
Standard Mail mailings when addresses
were found not to have been updated.
This would have meant a substantial
increase in postage for Standard Mail
mailings. To mitigate this effect, the
Postal Service announced in 2008 that
it would charge $0.07 per piece for all
pieces in Standard Mail mailings which
fail the Move Update PBV test. In
addition, in its October 15, 2009 Notice
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10:44 Dec 24, 2009
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filed with the Postal Regulatory
Commission after extensive consultation
with mailers, the Postal Service
announced that the $0.07 charge would
apply to a portion of a mailing that fails
the Move Update PBV test, and that
samples with five or fewer pieces that
were not updated for a COA would not
be subject to the assessment, regardless
of the error rate.
A provision for multi-client mailings
is also included for the first year after
implementation: a mailer submitting a
combined multi-client mailing that fails
the Move Update verification may have
additional postage attributed to
individual clients, given certain
conditions described in detail on the
ribbs.usps.gov website. If the conditions
are met, the Move Update Assessment
Charge of $0.07 could apply to a
different number of pieces, thus
affecting the overall assessment charge
for the mailing.
The Move Update assessment charge
was originally intended for May 2009
implementation. However, in response
to customer concerns, we deferred
implementation until January 4, 2010,
as announced in the April 6, 2009
Federal Register final rule notice. The
Postal Service also decided to apply a
$0.07 per piece additional postage
charge for First-Class Mail pieces found
in mailings with a Move Update error
rate of greater than 30 percent based on
Postal Service PBV samplings at
acceptance, with the five-piece
exception discussed above.
The PBV process does not establish
compliance or noncompliance with the
Move Update standard; it is a tool that
the Postal Service uses to test mailings.
It is designed to facilitate the acceptance
of mail in the event that the PBV Move
Update process determines that a
sample of the mailing has failed above
a given tolerance. Mailers who believe
the Move Update assessment charge was
applied to their mailing(s) in error may
appeal to the Pricing and Classification
Service Center.
The percentage of a mailing paying
the additional charge is based on the
percentage of failed sample pieces above
the tolerance. Each assessed piece pays
an additional $0.07. As examples, with
a tolerance of 30 percent exempted from
the charge:
• If 40% of COAs sampled are not
updated, the charge is applied to 10%
(= 40% ¥ 30%) of the total mailing.
• If 80% of COAs sampled are not
updated, the charge is applied to 50%
(= 80% ¥ 30%) of the total mailing.
Recap
The following Domestic Mail Manual
(DMM®) changes vary from the changes
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68539
published in the October 27, 2009
Federal Register final rule. The
application of the Move Update
assessment charge is described directly,
rather than by reference to the RIBBS
Web site. The application of the Move
Update noncompliance charge to a
failure to comply with the Move Update
standard would be determined outside
of the PBV test at acceptance.
Information about the noncompliance
charge will be provided separately.
The Postal Service adopts the
following changes 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.
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]
1. The authority citation for 39 CFR
part 111 continues to read as follows:
■
Authority: 5 U.S.C. 552(a); 39 U.S.C. 101,
401, 403, 404, 414, 416, 3001–3011, 3201–
3219, 3403–3406, 3621, 3622, 3626, 3632,
3633, and 5001.
2. Revise the following sections of
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)
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200 Commercial Mail Letters and
Cards
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230
First-Class Mail
233
Prices and Eligibility
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3.0 Basic Standards for First-Class
Mail Letters
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3.5
Move Update Standard
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[Add new 3.5.4 to read as follows:]
3.5.4 Basis for Move Update
Assessment Charge
Mailings are subject to a Move Update
assessment charge if more than 30
percent of addresses with a change of
address (COA) are not updated, based
on the error rate found in USPS
sampling at acceptance during
Performance-Based Verification.
Specifically, mailings for which the
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Federal Register / Vol. 74, No. 247 / Monday, December 28, 2009 / Rules and Regulations
sample contains greater than 30 percent
failed COAs out of the total COAs are
subject to additional postage charges as
follows:
a. The percentage of the mailing
paying the charge is based on the
percentage of failed pieces above 30
percent.
b. Each of the assessed pieces is
subject to the $0.07 per piece charge.
c. As an example, if 40% of COAs in
the sample are not updated, then the
charge is applied to 10% (= 40% ¥
30%) of the total mailing.
d. Mailings for which the sample has
five or fewer pieces that were not
updated for a COA are not subject to the
assessment, regardless of the failure
percentage.
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assessment, regardless of the failure
percentage.
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240
Standard Mail
243
Prices and Eligibility
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Mailings are subject to a Move Update
assessment charge if more than 30
percent of addresses with a change of
address (COA) are not updated, based
on the error rate found in USPS
sampling at acceptance during
Performance-Based Verification.
Specifically, mailings for which the
sample contains greater than 30 percent
failed COAs out of the total COAs are
subject to additional postage charges as
follows:
a. The percentage of the mailing
paying the charge is based on the
percentage of failed pieces above 30
percent.
b. Each of the assessed pieces is
subject to the $0.07 per piece charge.
c. As an example, if 40% of COAs in
the sample are not updated, then the
charge is applied to 10% (= 40% ¥
30%) of the total mailing.
d. Mailings for which the sample has
five or fewer pieces that were not
updated for a COA are not subject to the
assessment, regardless of the failure
percentage.
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3.0 Basic Standards for Standard Mail
Letters
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3.9
Move Update Standard
3.9.1
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Basic Standards
* * * Addresses subject to the Move
Update standard must meet these
requirements:
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[Delete item 3.9.1.d in its entirety.]
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[Add new 3.9.4 to read as follows:]
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3.9.4 Basis for Move Update
Assessment Charge
Mailings are subject to a Move Update
assessment charge if more than 30
percent of addresses with a change of
address (COA) are not updated, based
on the error rate found in USPS
sampling at acceptance during
Performance-Based Verification.
Specifically, mailings for which the
sample contains greater than 30 percent
failed COAs out of the total COAs are
subject to additional postage charges as
follows:
a. The percentage of the mailing
paying the charge is based on the
percentage of failed pieces above 30
percent.
b. Each of the assessed pieces is
subject to the $0.07 per piece charge.
c. As an example, if 40% of COAs in
the sample are not updated, then the
charge is applied to 10% (= 40% ¥
30%) of the total mailing.
d. Mailings for which the sample has
five or fewer pieces that were not
updated for a COA are not subject to the
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300
Commercial Mail Flats
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330
First-Class Mail
333
Prices and Eligibility
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3.0 Eligibility Standards for FirstClass Mail Flats
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3.5
Move Update Standards
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[Add new 3.5.4 to read as follows:]
3.5.4 Basis for Move Update
Assessment Charge
340
Standard Mail
343
Prices and Eligibility
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3.0 Basic Standards for Standard Mail
Flats
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3.9
Move Update Standard
3.9.1
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Basic Standards
* * * Addresses subject to the Move
Update standard must meet these
requirements:
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[Delete item 3.9.1 d in its entirety.]
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[Add new 3.9.4 to read as follows:]
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3.9.4 Basis for Move Update
Assessment Charge
Mailings are subject to a Move Update
assessment charge if more than 30
percent of addresses with a change of
address (COA) are not updated, based
on the error rate found in USPS
sampling at acceptance during
Performance-Based Verification.
Specifically, mailings for which the
sample contains greater than 30 percent
failed changes of address (COAs) out of
the total COA are subject to additional
postage charges as follows:
a. The percentage of the mailing
paying the charge is based on the
percentage of failed pieces above 30
percent.
b. Each of the assessed pieces is
subject to the $0.07 per piece charge.
c. As an example, if 40% of COAs in
the sample are not updated, then the
charge is applied to 10% (= 40% ¥
30%) of the total mailing.
d. Mailings for which the sample has
five or fewer pieces that were not
updated for a COA are not subject to the
assessment, regardless of the failure
percentage.
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400
Commercial Parcels
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430
First-Class Mail
433
Prices and Eligibility
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3.0 Basic Standards for First-Class
Mail Parcels
*
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3.5
Move Update Standard
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[Add new 3.5.4 to read as follows:]
3.5.4 Basis for Move Update
Assessment Charge
Mailings are subject to a Move Update
assessment charge if more than 30
percent of addresses with a change of
address (COA) are not updated, based
on the error rate found in USPS
sampling at acceptance during
Performance-Based Verification.
Specifically, mailings for which the
sample contains greater than 30 percent
failed COAs out of the total COAs are
subject to additional postage charges as
follows:
a. The percentage of the mailing
paying the charge is based on the
percentage of failed pieces above 30
percent.
b. Each of the assessed pieces is
subject to the $0.07 per piece charge.
c. As an example, if 40% of COAs in
the sample are not updated, then the
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Federal Register / Vol. 74, No. 247 / Monday, December 28, 2009 / Rules and Regulations
charge is applied to 10% (= 40%¥
30%) of the total mailing.
d. Mailings for which the sample has
five or fewer pieces that were not
updated for a COA are not subject to the
assessment, regardless of the failure
percentage.
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ENVIRONMENTAL PROTECTION
AGENCY
440
Standard Mail
443
Prices and Eligibility
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AGENCY: Environmental Protection
Agency (EPA).
ACTION: Direct final rule.
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3.0 Basic Standards for Standard Mail
Parcels
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3.9
Move Update Standard
3.9.1
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Basic Standards
* * * Addresses subject to the Move
Update standard must meet these
requirements:
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[Delete item 3.9.1d in its entirety.]
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[Add new 3.9.4 to read as follows:]
erowe on DSK5CLS3C1PROD with RULES
3.9.4 Basis for Move Update
Assessment Charge
Mailings are subject to a Move Update
assessment charge if more than 30
percent of addresses with a change of
address (COA) are not updated, based
on the error rate found in USPS
sampling at acceptance during
Performance-Based Verification.
Specifically, mailings for which the
sample contains greater than 30 percent
failed COAs out of the total COAs are
subject to additional postage charges as
follows:
a. The percentage of the mailing
paying the charge is based on the
percentage of failed pieces above 30
percent.
b. Each of the assessed pieces is
subject to the $0.07 per piece charge.
c. As an example, if 40% of COAs in
the sample are not updated, then the
charge is applied to 10% (= 40%¥
30%) of the total mailing.
d. Mailings for which the sample has
five or fewer pieces that were not
updated for a COA are not subject to the
assessment, regardless of the failure
percentage.
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We will publish an appropriate
amendment to 39 CFR part 111 to reflect
these changes.
Stanley F. Mires,
Chief Counsel, Legislative.
[FR Doc. E9–30619 Filed 12–22–09; 4:15 pm]
BILLING CODE 7710–12–P
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40 CFR Part 52
[EPA–R05–OAR–2008–0515; FRL–8985–4]
Approval and Promulgation of Air
Quality Implementation Plans; Indiana
SUMMARY: Indiana has requested that
EPA approve as revisions to its State
Implementation Plan (SIP) both its
continuous emission monitoring rule
and alternative monitoring requirements
for Alcoa Power Generating, Inc.—
Warrick Power Plant. The alternative
monitoring requirements allow the use
of a particulate matter (PM) continuous
emissions monitoring system (CEMS) in
place of a continuous opacity monitor
system (COMS).
DATES: This direct final rule will be
effective February 26, 2010, unless EPA
receives adverse comments by January
27, 2010. If adverse comments are
received, EPA will publish a timely
withdrawal of the direct final rule in the
Federal Register informing the public
that the rule will not take effect.
ADDRESSES: Submit your comments,
identified by Docket ID No. EPA–R05–
OAR–2008–0515, by one of the
following methods:
1. https://www.regulations.gov: Follow
the on-line instructions for submitting
comments.
2. E-mail: mooney.john@epa.gov.
3. Fax: (312) 692–2551.
4. Mail: John M. Mooney, Chief,
Criteria Pollutant Section, Air Programs
Branch (AR–18J), U.S. Environmental
Protection Agency, 77 West Jackson
Boulevard, Chicago, Illinois 60604.
5. Hand Delivery: John M. Mooney,
Chief, Criteria Pollutant Section, Air
Programs Branch (AR–18J), U.S.
Environmental Protection Agency, 77
West Jackson Boulevard, Chicago,
Illinois 60604. Such deliveries are only
accepted during the Regional Office
normal hours of operation, and special
arrangements should be made for
deliveries of boxed information. The
Regional Office official hours of
business are Monday through Friday,
8:30 a.m. to 4:30 p.m. excluding Federal
holidays.
Instructions: Direct your comments to
Docket ID No. EPA–R05–OAR–2008–
0515. EPA’s policy is that all comments
received will be included in the public
docket without change and may be
made available online at https://
www.regulations.gov, including any
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68541
personal information provided, unless
the comment includes information
claimed to be Confidential Business
Information (CBI) or other information
whose disclosure is restricted by statute.
Do not submit information that you
consider to be CBI or otherwise
protected through https://
www.regulations.gov or e-mail. The
https://www.regulations.gov Web site is
an ‘‘anonymous access’’ system, which
means EPA will not know your identity
or contact information unless you
provide it in the body of your comment.
If you send an e-mail comment directly
to EPA without going through https://
www.regulations.gov your e-mail
address will be automatically captured
and included as part of the comment
that is placed in the public docket and
made available on the Internet. If you
submit an electronic comment, EPA
recommends that you include your
name and other contact information in
the body of your comment and with any
disk or CD–ROM you submit. If EPA
cannot read your comment due to
technical difficulties and cannot contact
you for clarification, EPA may not be
able to consider your comment.
Electronic files should avoid the use of
special characters and any form of
encryption, and be free of any defects or
viruses.
Docket: All documents in the docket
are listed in the https://
www.regulations.gov index. Although
listed in the index, some information is
not publicly available, e.g., CBI or other
information whose disclosure is
restricted by statute. Certain other
material, such as copyrighted material,
will be publicly available only in hard
copy. Publicly available docket
materials are available either
electronically in https://
www.regulations.gov or in hard copy at
the Environmental Protection Agency,
Region 5, Air and Radiation Division, 77
West Jackson Boulevard, Chicago,
Illinois 60604. This Facility is open
from 8:30 a.m. to 4:30 p.m., Monday
through Friday, excluding Federal
holidays. We recommend that you
telephone Matt Rau, Environmental
Engineer, at (312) 886–6524 before
visiting the Region 5 office.
FOR FURTHER INFORMATION CONTACT: Matt
Rau, Environmental Engineer, Criteria
Pollutant Section, Air Programs Branch
(AR–18J), Environmental Protection
Agency, Region 5, 77 West Jackson
Boulevard, Chicago, Illinois 60604,
(312) 886–6524, rau.matthew@epa.gov.
SUPPLEMENTARY INFORMATION:
Throughout this document whenever
‘‘we,’’ ‘‘us,’’ or ‘‘our’’ is used, we mean
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]]>Agencies
[Federal Register Volume 74, Number 247 (Monday, December 28, 2009)]
[Rules and Regulations]
[Pages 68538-68541]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-30619]
=======================================================================
-----------------------------------------------------------------------
POSTAL SERVICE
39 CFR Part 111
Move Update Assessment Charges for Automation and Presort First-
Class Mail and All Standard Mail Mailings
AGENCY: Postal ServiceTM.
ACTION: Final rule, revised.
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SUMMARY: The Postal Service issues this notice to revise the final rule
that was published in the Federal Register on Tuesday, October 27, 2009
providing new Move Update assessment procedures, and to clarify the
Performance-Based Verification process.
DATES: Effective January 4, 2010.
FOR FURTHER INFORMATION CONTACT: Bill Chatfield, 202-268-7278.
SUPPLEMENTARY INFORMATION:
In the Federal Register final rule published October 27, 2009 (74
FR 55140-42), the Postal Service provided notice of new Move Update
assessment charges to be applied during the acceptance process. On
November 25, 2009, the Postal Regulatory Commission (PRC) issued Order
No. 348 on Move Update, which modified the Postal Service's requested
Mail Classification Schedule (MCS) language filed on October 15, 2009.
A change of address error tolerance of 30 percent was added to the MCS
language, for determining whether a mailing fails the Move Update
portion of the Performance-Based Verification (PBV) test.
The Commission retained language about a $0.07 Move Update
noncompliance charge for Standard Mail [supreg], and stated that this
charge, rather than the difference between postage paid and the First-
Class Mail [supreg] single-piece price, would apply when Standard Mail
mailers do not comply with the Move Update standard. The Commission's
modifications affect the Move Update procedures published in the
October 27, 2009 final rule. This change is effective January 4, 2010,
and will be reflected in the next DMM update on February 1, 2010.
Following are a background summary and descriptions of the changes
and procedures for how Move Update assessment charges will be handled
at the time of acceptance.
Background
Mailers who claim presorted or automation prices for First-Class
Mail, or claim any Standard Mail prices, must identify on the postage
statement which Move Update method was used to ensure that the mailing
meets the Move Update standard. Additionally, on each postage
statement, mailers or their agents, must also affix their signature and
certify that the mailing presented for acceptance qualifies for the
prices claimed. The Move Update standard requires that a mailer
participate in an approved Move Update process, and use the change of
address information received through the approved Move Update process,
to correct the mailing addresses in the mailing. This has been a
longstanding requirement for First-Class Mail presort and automation
prices; however, prior to November 2008 the frequency with which a
mailer was required to participate in the Move
[[Page 68539]]
Update process and make the requisite address changes was within the
185 days immediately preceding the date of mailing. In November 2008
the frequency was reduced to the 95 days immediately preceding the date
of mailing. The Move Update standard, including the 95 day frequency,
was extended to include all Standard Mail in November 2008. If a mailer
does not identify a Move Update method and certify compliance, then the
Postal Service can reject the mailing, unless the mailer agrees to pay
the First-Class Mail single-piece price.
The Move Update standard is designed to reduce the number of
mailpieces that require forwarding, return, or disposal as waste, thus
reducing Postal Service costs. The standard also helps to assure that
mail reaches its intended recipients in a timely manner.
Procedures
PBV procedures introduced in Spring 2009 allow the Postal Service
to sample mailings during the acceptance process to compare mailpiece
addresses within the sample against the change of address information
in the National Change of Address (NCOA [supreg]) database. For the
Move Update portion of PBV, addresses on the verification sample are
compared to the NCOA database. The ratio of the number of failed
changes of address (COAs), addresses that should have been updated per
Postal Service records, to the number of actual COAs (all changed
addresses for addresses in the mailing) is calculated. If this ratio
for the sample is sufficiently high, as detailed below, the mailing is
subject to an additional postage charge, called the Move Update
assessment charge. Mailers are offered the option of taking the mailing
back and reworking it to avoid the Move Update assessment charge.
The Move Update standard is not new. All known mailings of
commercial First-Class Mail pieces that did not follow address updating
requirements have been subject to single-piece First-Class Mail prices
for each piece in the mailing since 1997. When the Move Update standard
was first applied to Standard Mail in 2008, the same consequence would
have applied to Standard Mail mailings when addresses were found not to
have been updated. This would have meant a substantial increase in
postage for Standard Mail mailings. To mitigate this effect, the Postal
Service announced in 2008 that it would charge $0.07 per piece for all
pieces in Standard Mail mailings which fail the Move Update PBV test.
In addition, in its October 15, 2009 Notice filed with the Postal
Regulatory Commission after extensive consultation with mailers, the
Postal Service announced that the $0.07 charge would apply to a portion
of a mailing that fails the Move Update PBV test, and that samples with
five or fewer pieces that were not updated for a COA would not be
subject to the assessment, regardless of the error rate.
A provision for multi-client mailings is also included for the
first year after implementation: a mailer submitting a combined multi-
client mailing that fails the Move Update verification may have
additional postage attributed to individual clients, given certain
conditions described in detail on the ribbs.usps.gov website. If the
conditions are met, the Move Update Assessment Charge of $0.07 could
apply to a different number of pieces, thus affecting the overall
assessment charge for the mailing.
The Move Update assessment charge was originally intended for May
2009 implementation. However, in response to customer concerns, we
deferred implementation until January 4, 2010, as announced in the
April 6, 2009 Federal Register final rule notice. The Postal Service
also decided to apply a $0.07 per piece additional postage charge for
First-Class Mail pieces found in mailings with a Move Update error rate
of greater than 30 percent based on Postal Service PBV samplings at
acceptance, with the five-piece exception discussed above.
The PBV process does not establish compliance or noncompliance with
the Move Update standard; it is a tool that the Postal Service uses to
test mailings. It is designed to facilitate the acceptance of mail in
the event that the PBV Move Update process determines that a sample of
the mailing has failed above a given tolerance. Mailers who believe the
Move Update assessment charge was applied to their mailing(s) in error
may appeal to the Pricing and Classification Service Center.
The percentage of a mailing paying the additional charge is based
on the percentage of failed sample pieces above the tolerance. Each
assessed piece pays an additional $0.07. As examples, with a tolerance
of 30 percent exempted from the charge:
If 40% of COAs sampled are not updated, the charge is
applied to 10% (= 40% - 30%) of the total mailing.
If 80% of COAs sampled are not updated, the charge is
applied to 50% (= 80% - 30%) of the total mailing.
Recap
The following Domestic Mail Manual (DMM[supreg]) changes vary from
the changes published in the October 27, 2009 Federal Register final
rule. The application of the Move Update assessment charge is described
directly, rather than by reference to the RIBBS Web site. The
application of the Move Update noncompliance charge to a failure to
comply with the Move Update standard would be determined outside of the
PBV test at acceptance. Information about the noncompliance charge will
be provided separately.
The Postal Service adopts the following changes 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.
List of Subjects in 39 CFR Part 111
Administrative practice and procedure, Postal Service.
0
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); 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 following sections of 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 Mail Letters and Cards
* * * * *
230 First-Class Mail
233 Prices and Eligibility
* * * * *
3.0 Basic Standards for First-Class Mail Letters
* * * * *
3.5 Move Update Standard
* * * * *
[Add new 3.5.4 to read as follows:]
3.5.4 Basis for Move Update Assessment Charge
Mailings are subject to a Move Update assessment charge if more
than 30 percent of addresses with a change of address (COA) are not
updated, based on the error rate found in USPS sampling at acceptance
during Performance-Based Verification. Specifically, mailings for which
the
[[Page 68540]]
sample contains greater than 30 percent failed COAs out of the total
COAs are subject to additional postage charges as follows:
a. The percentage of the mailing paying the charge is based on the
percentage of failed pieces above 30 percent.
b. Each of the assessed pieces is subject to the $0.07 per piece
charge.
c. As an example, if 40% of COAs in the sample are not updated,
then the charge is applied to 10% (= 40% - 30%) of the total mailing.
d. Mailings for which the sample has five or fewer pieces that were
not updated for a COA are not subject to the assessment, regardless of
the failure percentage.
* * * * *
240 Standard Mail
243 Prices and Eligibility
* * * * *
3.0 Basic Standards for Standard Mail Letters
* * * * *
3.9 Move Update Standard
3.9.1 Basic Standards
* * * Addresses subject to the Move Update standard must meet these
requirements:
* * * * *
[Delete item 3.9.1.d in its entirety.]
* * * * *
[Add new 3.9.4 to read as follows:]
3.9.4 Basis for Move Update Assessment Charge
Mailings are subject to a Move Update assessment charge if more
than 30 percent of addresses with a change of address (COA) are not
updated, based on the error rate found in USPS sampling at acceptance
during Performance-Based Verification. Specifically, mailings for which
the sample contains greater than 30 percent failed COAs out of the
total COAs are subject to additional postage charges as follows:
a. The percentage of the mailing paying the charge is based on the
percentage of failed pieces above 30 percent.
b. Each of the assessed pieces is subject to the $0.07 per piece
charge.
c. As an example, if 40% of COAs in the sample are not updated,
then the charge is applied to 10% (= 40% - 30%) of the total mailing.
d. Mailings for which the sample has five or fewer pieces that were
not updated for a COA are not subject to the assessment, regardless of
the failure percentage.
* * * * *
300 Commercial Mail Flats
* * * * *
330 First-Class Mail
333 Prices and Eligibility
* * * * *
3.0 Eligibility Standards for First-Class Mail Flats
* * * * *
3.5 Move Update Standards
* * * * *
[Add new 3.5.4 to read as follows:]
3.5.4 Basis for Move Update Assessment Charge
Mailings are subject to a Move Update assessment charge if more
than 30 percent of addresses with a change of address (COA) are not
updated, based on the error rate found in USPS sampling at acceptance
during Performance-Based Verification. Specifically, mailings for which
the sample contains greater than 30 percent failed COAs out of the
total COAs are subject to additional postage charges as follows:
a. The percentage of the mailing paying the charge is based on the
percentage of failed pieces above 30 percent.
b. Each of the assessed pieces is subject to the $0.07 per piece
charge.
c. As an example, if 40% of COAs in the sample are not updated,
then the charge is applied to 10% (= 40% - 30%) of the total mailing.
d. Mailings for which the sample has five or fewer pieces that were
not updated for a COA are not subject to the assessment, regardless of
the failure percentage.
* * * * *
340 Standard Mail
343 Prices and Eligibility
* * * * *
3.0 Basic Standards for Standard Mail Flats
* * * * *
3.9 Move Update Standard
3.9.1 Basic Standards
* * * Addresses subject to the Move Update standard must meet these
requirements:
* * * * *
[Delete item 3.9.1 d in its entirety.]
* * * * *
[Add new 3.9.4 to read as follows:]
3.9.4 Basis for Move Update Assessment Charge
Mailings are subject to a Move Update assessment charge if more
than 30 percent of addresses with a change of address (COA) are not
updated, based on the error rate found in USPS sampling at acceptance
during Performance-Based Verification. Specifically, mailings for which
the sample contains greater than 30 percent failed changes of address
(COAs) out of the total COA are subject to additional postage charges
as follows:
a. The percentage of the mailing paying the charge is based on the
percentage of failed pieces above 30 percent.
b. Each of the assessed pieces is subject to the $0.07 per piece
charge.
c. As an example, if 40% of COAs in the sample are not updated,
then the charge is applied to 10% (= 40% - 30%) of the total mailing.
d. Mailings for which the sample has five or fewer pieces that were
not updated for a COA are not subject to the assessment, regardless of
the failure percentage.
* * * * *
400 Commercial Parcels
* * * * *
430 First-Class Mail
433 Prices and Eligibility
* * * * *
3.0 Basic Standards for First-Class Mail Parcels
* * * * *
3.5 Move Update Standard
* * * * *
[Add new 3.5.4 to read as follows:]
3.5.4 Basis for Move Update Assessment Charge
Mailings are subject to a Move Update assessment charge if more
than 30 percent of addresses with a change of address (COA) are not
updated, based on the error rate found in USPS sampling at acceptance
during Performance-Based Verification. Specifically, mailings for which
the sample contains greater than 30 percent failed COAs out of the
total COAs are subject to additional postage charges as follows:
a. The percentage of the mailing paying the charge is based on the
percentage of failed pieces above 30 percent.
b. Each of the assessed pieces is subject to the $0.07 per piece
charge.
c. As an example, if 40% of COAs in the sample are not updated,
then the
[[Page 68541]]
charge is applied to 10% (= 40%- 30%) of the total mailing.
d. Mailings for which the sample has five or fewer pieces that were
not updated for a COA are not subject to the assessment, regardless of
the failure percentage.
* * * * *
440 Standard Mail
443 Prices and Eligibility
* * * * *
3.0 Basic Standards for Standard Mail Parcels
* * * * *
3.9 Move Update Standard
3.9.1 Basic Standards
* * * Addresses subject to the Move Update standard must meet these
requirements:
* * * * *
[Delete item 3.9.1d in its entirety.]
* * * * *
[Add new 3.9.4 to read as follows:]
3.9.4 Basis for Move Update Assessment Charge
Mailings are subject to a Move Update assessment charge if more
than 30 percent of addresses with a change of address (COA) are not
updated, based on the error rate found in USPS sampling at acceptance
during Performance-Based Verification. Specifically, mailings for which
the sample contains greater than 30 percent failed COAs out of the
total COAs are subject to additional postage charges as follows:
a. The percentage of the mailing paying the charge is based on the
percentage of failed pieces above 30 percent.
b. Each of the assessed pieces is subject to the $0.07 per piece
charge.
c. As an example, if 40% of COAs in the sample are not updated,
then the charge is applied to 10% (= 40%- 30%) of the total mailing.
d. Mailings for which the sample has five or fewer pieces that were
not updated for a COA are not subject to the assessment, regardless of
the failure percentage.
* * * * *
We will publish an appropriate amendment to 39 CFR part 111 to
reflect these changes.
Stanley F. Mires,
Chief Counsel, Legislative.
[FR Doc. E9-30619 Filed 12-22-09; 4:15 pm]
BILLING CODE 7710-12-P
