New Postal Product , 881 [E9-31415]

Agencies

• POSTAL REGULATORY COMMISSION

[Federal Register: January 6, 2010 (Volume 75, Number 3)]
[Notices]
[Page 880-881]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr06ja10-55]

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POSTAL REGULATORY COMMISSION

[Docket No. CP2010-19; Order No. 374]


New Postal Product

AGENCY:  Postal Regulatory Commission.

[[Page 881]]


ACTION:  Notice.

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SUMMARY:  The Commission is noticing a recently-filed Postal Service
request to add a Global Direct Contracts 1 agreement to the Competitive
Product List. This notice addresses procedural steps associated with
this filing.

DATES: Comments are due: January 6, 2010.

ADDRESSES: Submit comments electronically via the Commission's Filing
Online system at https://www.prc.gov. Commenters who cannot submit their
views electronically should contact the person identified in ``FOR
FURTHER INFORMATION CONTACT'' by telephone for advice on alternatives
to electronic filing.

FOR FURTHER INFORMATION CONTACT:  Stephen L. Sharfman, General Counsel,
202-789-6820 or stephen.sharfman@prc.gov.

SUPPLEMENTARY INFORMATION:
I. Background
II. Notice of Filing
III. Ordering Paragraphs

I. Background

    On December 23, 2009, the Postal Service filed a notice announcing
that it has entered into an additional Global Direct Contracts 1
agreement.\1\ Global Direct Contracts 1 provide a rate for mail
acceptance within the United States and transportation to a receiving
country, with the addition by the customer of appropriate foreign
indicia, and payment by the Postal Service of the appropriate
settlement charges to the receiving country. The Postal Service
believes the instant agreement is functionally equivalent to previously
submitted Global Direct Contracts 1 agreements, and supported by the
Governors' Decision filed in Docket No. MC2008-7.\2\ The Postal Service
contends that the instant agreement should be included within the
Global Direct Contracts 1 product. Id. at 2.
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    \1\Notice of United States Postal Service Filing of Functionally
Equivalent Global Direct Contracts 1 Negotiated Service Agreement,
December 23, 2009 (Notice).
    \2\Notice at 1-2, citing Attachment 4 reflecting a redacted
version of Decision of the Governors of the United States Postal
Service on the Establishment of Prices and Classifications for
Global Direct, Global Bulk Economy, and Global Plus Contracts
(Governors' Decision No. 08-10), July 16, 2008. The Postal Service
also filed under seal an unredacted version of the Governors'
Decision in that docket.
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    The instant contract. The Postal Service filed the instant
agreement pursuant to 39 CFR 3015.5. In addition, the Postal Service
contends that the agreement is in accordance with PRC Order No. 153.\3\
Id. It submitted the contract and supporting material under seal, and
attached the following:
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    \3\Docket Nos. MC2009-9, CP2009-10 and CP2009-11, Order
Concerning Global Direct Contracts Negotiated Service Agreements,
December 19, 2008 (Order No. 153).
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    1. Attachment 1--a redacted copy of the contract;
    2. Attachment 2--a certified statement required by 39 CFR
3015.5(c)(2);
    3. Attachment 3--an application for non-public treatment of
materials to maintain the contract and supporting documents under seal;
and
    4. Attachment 4--a redacted copy of Governors' Decision No. 08-10,
which establishes prices and classifications for Global Direct, Global
Bulk Economy, and Global Plus Contracts.
    The Postal Service will notify the customer of the effective date
of the contract, which is the immediate successor of the Global Direct
contract at issue in Docket No. CP2009-18, within 30 days after
receiving all regulatory approvals.\4\ Notice at 2-3. To that end, the
Postal Service also explains that a redacted version of the supporting
financial documentation is included with this filing as a separate
Excel file. Id. at 2.
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    \4\ The contract at issue in Docket No. CP2008-19 was ruled
functionally equivalent to other Global Direct Contracts, including
the one at issue in Docket No. CP2008-11, which were added to the
Competitive Product List. See Docket No. CP2009-18, Order Concerning
Additional Global Direct Contracts Negotiated Service Agreement,
January 9, 2009 (Order No. 166).
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    The Notice identifies the instant agreement as fitting within the
Mail Classification Schedule language for Global Direct Contracts, and
indicates that this agreement is set to replace the one expiring
soon.\5\ The Notice also provides the Postal Service's rationale for
concluding that the instant contract is functionally equivalent to the
concurrently proposed new baseline contract filed in Docket Nos.
CP2010-17 and CP2010-18. Id. The Postal Service submits that the
instant contract and the proposed new baseline contract share similar
cost and market characteristics with only a minor difference while the
``core terms and conditions remain the same.'' Id. Unlike the proposed
new baseline contract, the present contract ``allows the customer to
tender items that meet the requirements for Canada Post's domestic Ad
Mail service, in addition to the types of Canada Post items covered by
the contract in Docket Nos. MC2010-17 and CP2010-18.'' Id. This kind of
distinction, it adds, has not precluded functionally equivalent
treatment in the past. Id. at 3, n.6, citing PRC Order No. 166. Thus,
it concludes that ``this contract should be added to the existing
Global Direct Contracts 1 product.'' Id. at 4.
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    \5\Id. The Postal Service also states that this agreement is
scheduled to remain effective for one year subject to automatic
renewal unless terminated by the parties. Id. at 3.
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II. Notice of Filing

    The Commission establishes Docket No. CP2010-19 for consideration
of matters related to the agreement identified in the Postal Service's
Notice.
    Interested persons may submit comments on whether the Postal
Service's agreement is consistent with the policies of 39 U.S.C. 3632,
3633, or 3642. Comments are due no later than January 6, 2010. The
public portions of these filings can be accessed via the Commission's
Web site (https://www.prc.gov).
    The Commission appoints Jeremy Simmons to serve as Public
Representative in the captioned filing.

III. Ordering Paragraphs

    It is ordered:
    1. The Commission establishes Docket No. CP2010-19 for
consideration of the matters raised in this docket.
    2. Pursuant to 39 U.S.C. 505, Jeremy Simmons is appointed to serve
as officer of the Commission (Public Representative) to represent the
interests of the general public in these proceedings.
    3. Comments by interested persons in these proceedings are due no
later than January 6, 2010.
    4. The Secretary shall arrange for publication of this order in the
Federal Register.

    By the Commission.
Shoshana M. Grove,
Secretary.
[FR Doc. 2010-31415 Filed 01-05-10; 8:45 am]
BILLING CODE 7710-FW-S