Administrative Practice and Procedure, Postal Service, 51311-51314 [2011-21015]

Download as PDF Federal Register / Vol. 76, No. 160 / Thursday, August 18, 2011 / Proposed Rules Excise Taxes. Part 51 provides guidance on the annual fee imposed on covered entities engaged in the business of manufacturing or importing branded prescription drugs by section 9008 of the ACA. The text of those regulations also serves as the text of these proposed regulations. The preamble to the temporary regulations explains the new part. It has been determined that this notice of proposed rulemaking is not a significant regulatory action as defined in Executive Order 12866, as supplemented by Executive Order 13563. Therefore, a regulatory flexibility assessment is not required. It also has been determined that section 553(b) of the Administrative Procedure Act (5 U.S.C. chapter 5) does not apply to these regulations. It is hereby certified that the collection of information in these regulations will not have a significant economic impact on a substantial number of small entities. This certification is based on the fact that these regulations primarily affect large corporations. Thus, Treasury Department and the IRS do not expect a substantial number of small entities to be effected. Therefore, a Regulatory Flexibility Analysis under the Regulatory Flexibility Act (5 U.S.C. chapter 6) is not required. Pursuant to section 7805(f) of the Internal Revenue Code, this notice of proposed rulemaking has been submitted to the Chief Counsel for Advocacy of the Small Business Administration for comment on its impact on small business. mstockstill on DSK4VPTVN1PROD with PROPOSALS List of Subjects in 26 CFR Part 51 Before these proposed regulations are adopted as final regulations, consideration will be given to any written comments (a signed original and eight (8) copies) or electronic comments that are submitted timely to the IRS. Comments are requested on all aspects of the proposed regulations. In addition, the IRS and the Treasury Department specifically request comments on the clarity of the proposed regulations and how they may be made easier to understand. All comments will be available for public inspection and copying. A public hearing may be scheduled if requested in writing by any person that timely submits written comments. If a public hearing is scheduled, notice of the date, time, and place for the hearing will be published in the Federal Register. Jkt 223001 Proposed Amendments to the Regulations Accordingly, and under the authority of 26 U.S.C. 7805 (sec. 9008, Pub. L. 111–347 (124 Stat. 119)), 26 CFR part 51 is proposed to be added to read as follows: PART 51—BRANDED PRESCRIPTION DRUGS [The text of proposed §§ 51.1 through 51.11 is the same as the text of §§ 51.1T through 51.11T published elsewhere in this issue of the Federal Register.] [The text of proposed § 51.6302–1 is the same as the text of paragraphs (a) and (b) of § 51.6302–1T published elsewhere in this issue of the Federal Register.] Sarah Hall Ingram, Deputy Commissioner for Services and Enforcement. [FR Doc. 2011–21012 Filed 8–15–11; 11:15 am] BILLING CODE 4830–01–P POSTAL REGULATORY COMMISSION 39 CFR Part 3020 [Docket No. RM2011–8; Order No. 666] Comments and Requests for a Public Hearing 16:03 Aug 17, 2011 The principal author of these regulations is Celia Gabrysh, Office of Associate Chief Counsel (Passthroughs and Special Industries). However, other personnel from the IRS and the Treasury Department participated in their development. Drugs, Reporting and recordkeeping requirements. Special Analyses VerDate Mar<15>2010 Drafting Information Administrative Practice and Procedure, Postal Service Postal Regulatory Commission. Notice of proposed rulemaking. AGENCY: ACTION: A Federal statute directs the Commission to implement a modern classification system. This proposal responds to that directive by presenting a comprehensive Mail Classification Schedule. Issuance of this document will allow the Commission to consider comments and, if appropriate, to make revisions prior to adoption of a final schedule. SUMMARY: DATES: Comments are due: September 6, 2011. Submit comments electronically by accessing the ‘‘Filing Online’’ link in the banner at the top of the Commission’s Web site (https:// www.prc.gov) or by directly accessing ADDRESSES: PO 00000 Frm 00038 Fmt 4702 Sfmt 4702 51311 the Commission’s Filing Online system at https://www.prc.gov/prc-pages/filingonline/login.aspx. Commenters who cannot submit their views electronically should contact the person identified in the FOR FURTHER INFORMATION CONTACT section as the source for case-related information for advice on alternatives to electronic filing. FOR FURTHER INFORMATION CONTACT: Stephen L. Sharfman, General Counsel, at 202–789–6820 (case-related information) or DocketAdmins@prc.gov (electronic filing assistance). SUPPLEMENTARY HISTORY: Regulatory History: 72 FR 29284, May 25, 2007; 72 FR 33261, June 15, 2007; 72 FR 50744, September 4, 2007. Table of Contents I. Introduction II. Background III. Accessibility of the Mail Classification Schedule IV. Mail Classification Schedule Structure V. Rule Modifications VI. Public Representative VII. Public Comments VIII. Directions for Federal Register Publication and Access to Unpublished Material I. Introduction The Postal Regulatory Commission (Commission) establishes a rulemaking docket pursuant to its responsibilities under the Postal Accountability and Enhancement Act (PAEA), Public Law 109–435, 120 Stat. 3198, December 20, 2006, to consider modifications to the Commission’s rules governing the Mail Classification Schedule (MCS). Modifications are proposed to add material describing some Postal Service products and make conforming changes. The Commission provides this notice and opportunity for comment on whether the Commission should incorporate the proposed modifications by final rule into the Commission’s rules at 39 CFR 3020, Subpart A—Mail Classification Schedule. For products currently being offered by the Postal Service, this rulemaking does not add products to, remove products from, or transfer products between the existing market dominant or competitive product lists. However, this rulemaking does reorganize how products appear within each individual list. This reorganization is most apparent within the competitive product list where, at the suggestion of the Postal Service, the vestiges of ‘‘class’’ groupings have been replaced with functional product groupings. Additionally, the currently published product lists require updating to remove E:\FR\FM\18AUP1.SGM 18AUP1 51312 Federal Register / Vol. 76, No. 160 / Thursday, August 18, 2011 / Proposed Rules products no longer offered (certain negotiated service agreements) and otherwise to correct for inaccuracies as a better understanding of how the Postal Service’s product structure has developed under the PAEA. This task is incorporated into the rulemaking. The Commission has consulted with the Postal Service as the proposed MCS was developed and has found the Postal Service’s input invaluable in concisely and accurately describing all product offerings. mstockstill on DSK4VPTVN1PROD with PROPOSALS II. Background On August 15, 2007, the Commission initiated the process of developing an MCS with a request to the Postal Service to develop language describing individual products.1 The Postal Service was requested to draw from existing material provided in the Domestic Mail Classification Schedule (DMCS) and the International Mail Manual to develop a model MCS at a comparable level of detail as provided in the DMCS. The Postal Service complied with this request and provided a MCS proposal on September 24, 2007.2 An initial MCS was published on October 29, 2007.3 This publication met the requirements of publishing market dominant and competitive product lists necessary for operation of the regulatory system. However, the initial MCS did not include descriptions of individual products. The publication of the initial product lists, which for the first time included international products and a division of products into market dominant and competitive categories, generated a need for additional descriptive material to more accurately describe the thencurrent state of the product lists. The Commission again asked the Postal Service to provide additional proposals for MCS language. Order No. 26 at 4002–4. The additional material focused on treatment of negotiated service agreements, certain international products, and the final categorization of products as either market dominant or competitive. The Postal Service complied with this request and provided additional proposals on November 20, 2007.4 1 Docket No. RM2007–1. Order Proposing Regulations to Establish a System of Ratemaking, August 15, 2007, at paras. 4008–9 (Order No. 26). 2 Docket No. RM2007–1. United States Postal Service Submission of Initial Mail Classification Schedule in response to Order No. 26, September 24, 2007. 3 Docket No. RM2007–1. Order Establishing Ratemaking Regulations for Market Dominant and Competitive Products, October 29, 2007 (Order No. 45); see also 72 FR 63662 (November 9, 2007). 4 Docket No. RM2007–1. United States Postal Service Submission of Additional Mail VerDate Mar<15>2010 16:03 Aug 17, 2011 Jkt 223001 In the interim, the Commission developed a ‘‘draft’’ MCS which included material describing each product. As various market dominant product price adjustments, competitive product price adjustments, and classification changes have been reviewed and approved by the Commission, the Commission has kept this draft version of the MCS up to date. Price and classification changes have been incorporated into the proposed MCS as of December 31, 2010. The Commission intends to incorporate any subsequently approved rate or classification changes that occur prior to issuing the final rule in this docket into the final rule in this docket. This proceeding shall consider formal incorporation of all draft material describing each market dominant and competitive product into the official MCS, and conforming language to the Commission’s rules governing the MCS. III. Accessibility of the Mail Classification Schedule The Commission intends to make two versions of the MCS available. The first version will be posted to the Commission’s Web site in a format that will allow interested persons the ability to search and copy sections of the MCS for use in Commission proceedings. The Postal Service, and others, may find this version most convenient for communicating proposals to the Commission. The second version will appear in the Code of Federal Regulations (CFR). The organization and appearance of the MCS in the CFR will be different to meet CFR publication requirements. However, there should be no difference in substantive material between the Web site and the CFR versions.5 The electronic documentation appearing on the Commission’s Web site with this order will contain both versions of the MCS. The Commission would find it helpful if comments addressing the contents of the MCS refer to the version of the MCS that will appear on the Commission’s Web site. IV. Mail Classification Schedule Structure The revised MCS, as proposed, consists of preface material followed by four substantive sections. The preface material includes a Revision History, which is intended to comply with the 39 U.S.C. 3642(d)(2) requirement to ‘‘indicate how and when’’ product lists Classification Schedule Information in Response to Order No. 43, November 20, 2007. 5 If any substantive discrepancies inadvertently appear, the CFR version will govern, until such time as both versions again can be made consistent. PO 00000 Frm 00039 Fmt 4702 Sfmt 4702 are modified, Trademark Notices, and a Table of Contents. The four substantive sections that follow are titled Part A— Market Dominant Products, Part B— Competitive Products, Part C—Glossary of Terms and Conditions, and Part D— Country Price Lists for International Mail. Part A—Market Dominant Products, is divided into two major sections: the Market Dominant Product List, and the Market Dominant Product Descriptions. Both sections retain the ‘‘class’’ structure for categorizing products developed under the Postal Reorganization Act with the classes including: First-Class Mail, Standard Mail (Commercial and Nonprofit), Periodicals, Package Services, and Special Services.6 Three new separate categories are added to this part to contain market dominant Negotiated Service Agreements, market dominant Nonpostal Services, and market dominant Market Tests. International products, which did not appear in the former DMCS, now are included within the appropriate associated class. Each class subsection in Part A follows a similar structure. The individual class subsections first provide a description of class-wide characteristics and a list of all products in the class. This is followed by information about each product in the class. The individual product descriptions generally include the following topics in the following order: (1) Product description (where necessary); (2) size and weight limitations; (3) minimum volume requirements; (4) price categories; (5) optional features; and (6) prices. The Special Services subsection requires less detail and generally includes the following topics in the following order: (1) Product description; and (2) prices. Part B—Competitive Products also is divided into two major sections: the Competitive Product List, and the Competitive Product Descriptions. As originally published in Order No. 43, the competitive product list retained a class-like structure for organizing competitive products. In informal discussions, the Postal Service appropriately pointed out that a classlike structure has lost much of its meaning for competitive products under the PAEA. The Postal Service proposed that the products in the competitive product list be reorganized into three subsections: Domestic Products, International Products, and Negotiated Service Agreements. The proposed organization better aligns competitive 6 Special Services is treated as a class for MCS purposes. E:\FR\FM\18AUP1.SGM 18AUP1 Federal Register / Vol. 76, No. 160 / Thursday, August 18, 2011 / Proposed Rules mstockstill on DSK4VPTVN1PROD with PROPOSALS products with the separate domestic and international business functions of the Postal Service. It also allows all products that are not of general applicability to be grouped within a Negotiated Service Agreement section. This concept is reflected in the proposed MCS. Note that the Negotiated Service Agreement subsection is further subdivided into Domestic, Outbound International, and Inbound International. Two additional separate subsections are added to this part, one for competitive Special Services, and one for competitive Nonpostal Services. Part B has a similar structure to Part A, except that class separations are not made in competitive products. Thus, there is no need for class descriptions. Each subsection contains a list of all products appearing within that heading. Descriptions applicable to several related products are provided where appropriate. This is followed by information about each product in the subsection. The product descriptions generally include the following topics in the following order: (1) Product description (where necessary); (2) size and weight limitations; (3) minimum volume requirements; (4) price categories; (5) optional features; and (6) prices. The competitive Special Services subsection requires less detail and generally includes the following topics in the following order: (1) Product description; and (2) prices. Note that many of the Negotiated Service Agreement products merely reference the product name, associated dockets, PRC order numbers, and termination dates due to the confidential nature of these agreements. Part C—Glossary of Terms and Conditions is self explanatory. Part D— Country Price Lists for International Mail contains the country codes used to identify individual countries in the various international product price lists appearing in Parts A and B. V. Rule Modifications The Commission’s rules concerning the MCS currently are codified at 39 CFR 3020, Subpart A—Mail Classification Schedule. The existing MCS itself is codified at Appendix A to Subpart A—Mail Classification Schedule of 39 CFR 3020. This rulemaking proposes changes to the rules governing the MCS and replaces the existing Appendix A with four more administratively manageable appendices. The intent of the rule changes are to incorporate the market dominant product list and the competitive product list into the Commission’s rules so that the lists are prominently available for examination, VerDate Mar<15>2010 16:03 Aug 17, 2011 Jkt 223001 and to incorporate the majority of the material describing individual products into four appendices. Rule 3020.2 General (old rule 3020.10) is revised to describe the proposed new format of the MCS. Rule 3020.11 Initial Mail Classification Schedule is being deleted. It only was applicable to the initial MCS that is now being replaced. Rule 3020.3 Publication of the Mail Classification Schedule (old rule 3020.12), paragraph (a), is revised to indicate that the MCS is being incorporated into the rules themselves, i.e., the MCS no longer will be contained solely in Appendix A. Paragraph (b) is modified to indicate that the Commission only will be making the most recent version of the MCS available to the public. With almost weekly revisions to the MCS, it would be administratively burdensome, and confusing to the public, to make multiple, mainly outdated, versions readily available. In any event, all changes will be published in the Federal Register for interested persons to reference if the need arises to reconstruct earlier versions. Rule 3020.4 Notice of change (old rule 3020.14) is revised to indicate that any changes to the material describing products will cause notice to be published in the Federal Register. Rule 3020.5 Contents of the Mail Classification Schedule (old rule 3020.13) will contain the MCS. The same information contained within the MCS version proposed to appear on the Commission’s Web site will be divided among paragraphs (b) through (h) of this rule. Paragraph (b) will provide a revision history as required by 39 U.S.C. 3642(d)(2). Paragraph (c) will provide trademark notices. Paragraph (d) will provide a table of contents by section numbers. The section numbers will correspond to the section numbers appearing in the Appendices. Paragraph (e) will provide information concerning market dominant products. This paragraph is divided into (e)(1), which contains the list of market dominant products, and (e)(2), which specifies the market dominant product descriptive information that is to be provided and references Appendix A where that information is provided. Paragraph (f) will provide information concerning competitive products. This paragraph is divided into (f)(1), which contains the list of competitive products, and (f)(2), which specifies the competitive product descriptive PO 00000 Frm 00040 Fmt 4702 Sfmt 4702 51313 information that is to be provided and references Appendix B where that information is provided. Paragraph (g) references Appendix C, which provides a glossary of terms of conditions. Paragraph (h) references Appendix D, which provides the country price lists for international mail. The four appendices will contain the majority of the descriptive material. Appendix A will contain the description of market dominant products. This corresponds to Part A, Section 1001, Market Dominant Product Descriptions provided in the proposed Web version of the MCS. Appendix B will contain the description of competitive products. This corresponds to Part B, Section 2001, Competitive Product Descriptions provided in the proposed Web version of the MCS. Appendix C will contain a glossary of terms and conditions. This corresponds to Part C, Section 3000, Glossary of Terms and Conditions provided in the proposed Web version of the MCS. Appendix D, Section 4000, will contain the country price lists for international mail. This corresponds to Part D, Country Price Lists for International Mail provided in the proposed Web version of the MCS. VI. Public Representative Pursuant to 39 U.S.C. 505, Kenneth E. Richardson is appointed to serve as officer of the Commission (Public Representative) to represent the interests of the general public in this docket. VII. Public Comments Comments concerning the proposed modifications to the MCS by interested persons are due September 6, 2011.7 Interested persons previously filing comments in response to this Notice appearing on the Commission’s Web site with an earlier due date may file supplemental comments, if necessary. All comments previously filed in this docket shall be considered and need not be re-filed. VIII. Directions for Federal Register Publication and Access to Unpublished Material An abbreviated version of this notice shall be published in the Federal Register. This version shall include the material appearing up to the signature of this notice. This material includes among other items ‘‘a description of the subjects and issues involved’’ with the 7 All references to August 5, 2011 in Order No. 666 issued February 7, 2011 will be replaced with September 6, 2011. E:\FR\FM\18AUP1.SGM 18AUP1 51314 Federal Register / Vol. 76, No. 160 / Thursday, August 18, 2011 / Proposed Rules proposed rule as required by 5 U.S.C. 553(b)(3). The abbreviated version shall also include pages 1 through 13 of the material titled ‘‘Mail Classification Schedule’’ appearing after the signature in Order No. 666 issued on February 7, 2011. This material describes the textual changes proposed to existing 39 CFR part 3020, subpart A. As previously stated in paragraph III of this notice, all material, including the proposed four new appendices, appears on the Commission’s Web site. For interested persons without access to the Internet, a copy of all material is available for inspection at the Postal Regulatory Commission, 901 New York Avenue, NW., Suite 200, Washington, DC 20268–0001. Reasonable alternative access also may be arranged by contacting the Commission’s docket section at 202–789–6846. It is ordered: 1. Docket No. RM2011–8 is established for the purpose of receiving comments on the Commission’s proposal. 2. The Commission proposes to amend its rules of practice and procedure. The proposed amendments involve amending 39 CFR part 3020 Subpart A—Mail Classification Schedule. 3. Kenneth E. Richardson is designated as an officer of the Commission representing the interests of the general public in this docket. 4. Interested persons may submit comments by September 6, 2011. 5. The Secretary shall arrange for publication of this notice in the Federal Register as directed in the body of this notice. List of Subjects in 39 CFR Part 3020 Administrative practice and procedure, Postal Service. By the Commission. Ruth Ann Abrams, Acting Secretary. [FR Doc. 2011–21015 Filed 8–17–11; 8:45 am] BILLING CODE 7710–FW–P ENVIRONMENTAL PROTECTION AGENCY mstockstill on DSK4VPTVN1PROD with PROPOSALS 40 CFR Part 52 [EPA–R03–OAR–2011–0610; FRL–9452–9] Approval and Promulgation of Air Quality Implementation Plans; Maryland; Adoption of Drum and Pail Coating Standards Environmental Protection Agency (EPA). AGENCY: VerDate Mar<15>2010 16:03 Aug 17, 2011 Jkt 223001 ACTION: Proposed rule. EPA is proposing to approve a State Implementation Plan (SIP) revision submitted by the State of Maryland (Maryland). This SIP revision includes amendments to the Code of Maryland (COMAR) 26.11.19.13, Volatile Organic Compounds from Specific Processes, Drum and Pail Coating. Maryland’s SIP revision meets the requirement to adopt Reasonably Available Control Technology (RACT) for sources covered by EPA’s Control Techniques Guidelines (CTG) for Miscellaneous Metal and Plastic Parts Coatings and will help Maryland attain and maintain the National Ambient Air Quality Standard (NAAQS) for ozone. This action is being taken under the Clean Air Act (CAA). DATES: Written comments must be received on or before September 19, 2011. SUMMARY: Submit your comments, identified by Docket ID Number EPA– R03–OAR–2011–0610 by one of the following methods: A. https://www.regulations.gov. Follow the on-line instructions for submitting comments. B. E-mail: fernandez.cristina@epa.gov. C. Mail: EPA–R03–OAR–2011–0610, Cristina Fernandez, Associate Director, Office of Air Program Planning, Mailcode 3AP30, U.S. Environmental Protection Agency, Region III, 1650 Arch Street, Philadelphia, Pennsylvania 19103. D. Hand Delivery: At the previouslylisted EPA Region III address. Such deliveries are only accepted during the Docket’s normal hours of operation, and special arrangements should be made for deliveries of boxed information. Instructions: Direct your comments to Docket ID No. EPA–R03–OAR–2011– 0610. 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 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 ADDRESSES: PO 00000 Frm 00041 Fmt 4702 Sfmt 4702 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, any form of encryption, and be free of any defects or viruses. Docket: All documents in the electronic docket are listed in the https://www.regulations.gov index. Although listed in the index, some information is not publicly available, i.e., CBI or other information whose disclosure is restricted by statute. Certain other material, such as copyrighted material, is not placed on the Internet and will be publicly available only in hard copy form. Publicly available docket materials are available either electronically in https:// www.regulations.gov or in hard copy during normal business hours at the Air Protection Division, U.S. Environmental Protection Agency, Region III, 1650 Arch Street, Philadelphia, Pennsylvania 19103. Copies of the State submittal are available at the Maryland Department of the Environment, 1800 Washington Boulevard, Suite 705, Baltimore, Maryland 21230. FOR FURTHER INFORMATION CONTACT: Irene Shandruk, (215) 814–2166, or by e-mail at shandruk.irene@epa.gov. SUPPLEMENTARY INFORMATION: On June 22, 2011, the Maryland Department of the Environment (MDE) submitted to EPA a SIP revision concerning the adoption of the drum and pail coating standards found in the Miscellaneous Metal and Plastic Parts Coatings CTG. I. Background Section 172(c)(1) of the CAA provides that SIPs for nonattainment areas must include reasonably available control measures (RACM), including RACT for sources of emissions. Section 182(b)(2)(A) provides that for certain nonattainment areas, states must revise their SIPs to include RACT for sources of VOC emissions covered by a CTG document issued after November 15, 1990 and prior to the area’s date of attainment. CTGs are intended to provide state and local air pollution control E:\FR\FM\18AUP1.SGM 18AUP1

Agencies

[Federal Register Volume 76, Number 160 (Thursday, August 18, 2011)]
[Proposed Rules]
[Pages 51311-51314]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-21015]


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POSTAL REGULATORY COMMISSION

39 CFR Part 3020

[Docket No. RM2011-8; Order No. 666]


Administrative Practice and Procedure, Postal Service

AGENCY: Postal Regulatory Commission.

ACTION: Notice of proposed rulemaking.

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

SUMMARY: A Federal statute directs the Commission to implement a modern 
classification system. This proposal responds to that directive by 
presenting a comprehensive Mail Classification Schedule. Issuance of 
this document will allow the Commission to consider comments and, if 
appropriate, to make revisions prior to adoption of a final schedule.

DATES: Comments are due: September 6, 2011.

ADDRESSES: Submit comments electronically by accessing the ``Filing 
Online'' link in the banner at the top of the Commission's Web site 
(https://www.prc.gov) or by directly accessing the Commission's Filing 
Online system at https://www.prc.gov/prc-pages/filing-online/login.aspx. Commenters who cannot submit their views electronically 
should contact the person identified in the FOR FURTHER INFORMATION 
CONTACT section as the source for case-related information for advice 
on alternatives to electronic filing.

FOR FURTHER INFORMATION CONTACT: Stephen L. Sharfman, General Counsel, 
at 202-789-6820 (case-related information) or DocketAdmins@prc.gov 
(electronic filing assistance).

SUPPLEMENTARY HISTORY: Regulatory History:

72 FR 29284, May 25, 2007;
72 FR 33261, June 15, 2007;
72 FR 50744, September 4, 2007.

Table of Contents

I. Introduction
II. Background
III. Accessibility of the Mail Classification Schedule
IV. Mail Classification Schedule Structure
V. Rule Modifications
VI. Public Representative
VII. Public Comments
VIII. Directions for Federal Register Publication and Access to 
Unpublished Material

I. Introduction

    The Postal Regulatory Commission (Commission) establishes a 
rulemaking docket pursuant to its responsibilities under the Postal 
Accountability and Enhancement Act (PAEA), Public Law 109-435, 120 
Stat. 3198, December 20, 2006, to consider modifications to the 
Commission's rules governing the Mail Classification Schedule (MCS). 
Modifications are proposed to add material describing some Postal 
Service products and make conforming changes. The Commission provides 
this notice and opportunity for comment on whether the Commission 
should incorporate the proposed modifications by final rule into the 
Commission's rules at 39 CFR 3020, Subpart A--Mail Classification 
Schedule.
    For products currently being offered by the Postal Service, this 
rulemaking does not add products to, remove products from, or transfer 
products between the existing market dominant or competitive product 
lists. However, this rulemaking does reorganize how products appear 
within each individual list. This reorganization is most apparent 
within the competitive product list where, at the suggestion of the 
Postal Service, the vestiges of ``class'' groupings have been replaced 
with functional product groupings.
    Additionally, the currently published product lists require 
updating to remove

[[Page 51312]]

products no longer offered (certain negotiated service agreements) and 
otherwise to correct for inaccuracies as a better understanding of how 
the Postal Service's product structure has developed under the PAEA. 
This task is incorporated into the rulemaking.
    The Commission has consulted with the Postal Service as the 
proposed MCS was developed and has found the Postal Service's input 
invaluable in concisely and accurately describing all product 
offerings.

II. Background

    On August 15, 2007, the Commission initiated the process of 
developing an MCS with a request to the Postal Service to develop 
language describing individual products.\1\ The Postal Service was 
requested to draw from existing material provided in the Domestic Mail 
Classification Schedule (DMCS) and the International Mail Manual to 
develop a model MCS at a comparable level of detail as provided in the 
DMCS. The Postal Service complied with this request and provided a MCS 
proposal on September 24, 2007.\2\
---------------------------------------------------------------------------

    \1\ Docket No. RM2007-1. Order Proposing Regulations to 
Establish a System of Ratemaking, August 15, 2007, at paras. 4008-9 
(Order No. 26).
    \2\ Docket No. RM2007-1. United States Postal Service Submission 
of Initial Mail Classification Schedule in response to Order No. 26, 
September 24, 2007.
---------------------------------------------------------------------------

    An initial MCS was published on October 29, 2007.\3\ This 
publication met the requirements of publishing market dominant and 
competitive product lists necessary for operation of the regulatory 
system. However, the initial MCS did not include descriptions of 
individual products.
---------------------------------------------------------------------------

    \3\ Docket No. RM2007-1. Order Establishing Ratemaking 
Regulations for Market Dominant and Competitive Products, October 
29, 2007 (Order No. 45); see also 72 FR 63662 (November 9, 2007).
---------------------------------------------------------------------------

    The publication of the initial product lists, which for the first 
time included international products and a division of products into 
market dominant and competitive categories, generated a need for 
additional descriptive material to more accurately describe the then-
current state of the product lists. The Commission again asked the 
Postal Service to provide additional proposals for MCS language. Order 
No. 26 at 4002-4. The additional material focused on treatment of 
negotiated service agreements, certain international products, and the 
final categorization of products as either market dominant or 
competitive. The Postal Service complied with this request and provided 
additional proposals on November 20, 2007.\4\
---------------------------------------------------------------------------

    \4\ Docket No. RM2007-1. United States Postal Service Submission 
of Additional Mail Classification Schedule Information in Response 
to Order No. 43, November 20, 2007.
---------------------------------------------------------------------------

    In the interim, the Commission developed a ``draft'' MCS which 
included material describing each product. As various market dominant 
product price adjustments, competitive product price adjustments, and 
classification changes have been reviewed and approved by the 
Commission, the Commission has kept this draft version of the MCS up to 
date. Price and classification changes have been incorporated into the 
proposed MCS as of December 31, 2010. The Commission intends to 
incorporate any subsequently approved rate or classification changes 
that occur prior to issuing the final rule in this docket into the 
final rule in this docket. This proceeding shall consider formal 
incorporation of all draft material describing each market dominant and 
competitive product into the official MCS, and conforming language to 
the Commission's rules governing the MCS.

III. Accessibility of the Mail Classification Schedule

    The Commission intends to make two versions of the MCS available. 
The first version will be posted to the Commission's Web site in a 
format that will allow interested persons the ability to search and 
copy sections of the MCS for use in Commission proceedings. The Postal 
Service, and others, may find this version most convenient for 
communicating proposals to the Commission. The second version will 
appear in the Code of Federal Regulations (CFR). The organization and 
appearance of the MCS in the CFR will be different to meet CFR 
publication requirements. However, there should be no difference in 
substantive material between the Web site and the CFR versions.\5\
    The electronic documentation appearing on the Commission's Web site 
with this order will contain both versions of the MCS. The Commission 
would find it helpful if comments addressing the contents of the MCS 
refer to the version of the MCS that will appear on the Commission's 
Web site.

IV. Mail Classification Schedule Structure
---------------------------------------------------------------------------

    \5\ If any substantive discrepancies inadvertently appear, the 
CFR version will govern, until such time as both versions again can 
be made consistent.
---------------------------------------------------------------------------

    The revised MCS, as proposed, consists of preface material followed 
by four substantive sections. The preface material includes a Revision 
History, which is intended to comply with the 39 U.S.C. 3642(d)(2) 
requirement to ``indicate how and when'' product lists are modified, 
Trademark Notices, and a Table of Contents. The four substantive 
sections that follow are titled Part A--Market Dominant Products, Part 
B--Competitive Products, Part C--Glossary of Terms and Conditions, and 
Part D--Country Price Lists for International Mail.
    Part A--Market Dominant Products, is divided into two major 
sections: the Market Dominant Product List, and the Market Dominant 
Product Descriptions. Both sections retain the ``class'' structure for 
categorizing products developed under the Postal Reorganization Act 
with the classes including: First-Class Mail, Standard Mail (Commercial 
and Nonprofit), Periodicals, Package Services, and Special Services.\6\ 
Three new separate categories are added to this part to contain market 
dominant Negotiated Service Agreements, market dominant Nonpostal 
Services, and market dominant Market Tests. International products, 
which did not appear in the former DMCS, now are included within the 
appropriate associated class.
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    \6\ Special Services is treated as a class for MCS purposes.
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    Each class subsection in Part A follows a similar structure. The 
individual class subsections first provide a description of class-wide 
characteristics and a list of all products in the class. This is 
followed by information about each product in the class. The individual 
product descriptions generally include the following topics in the 
following order: (1) Product description (where necessary); (2) size 
and weight limitations; (3) minimum volume requirements; (4) price 
categories; (5) optional features; and (6) prices. The Special Services 
subsection requires less detail and generally includes the following 
topics in the following order: (1) Product description; and (2) prices.
    Part B--Competitive Products also is divided into two major 
sections: the Competitive Product List, and the Competitive Product 
Descriptions. As originally published in Order No. 43, the competitive 
product list retained a class-like structure for organizing competitive 
products. In informal discussions, the Postal Service appropriately 
pointed out that a class-like structure has lost much of its meaning 
for competitive products under the PAEA. The Postal Service proposed 
that the products in the competitive product list be reorganized into 
three subsections: Domestic Products, International Products, and 
Negotiated Service Agreements. The proposed organization better aligns 
competitive

[[Page 51313]]

products with the separate domestic and international business 
functions of the Postal Service. It also allows all products that are 
not of general applicability to be grouped within a Negotiated Service 
Agreement section. This concept is reflected in the proposed MCS. Note 
that the Negotiated Service Agreement subsection is further subdivided 
into Domestic, Outbound International, and Inbound International. Two 
additional separate subsections are added to this part, one for 
competitive Special Services, and one for competitive Nonpostal 
Services.
    Part B has a similar structure to Part A, except that class 
separations are not made in competitive products. Thus, there is no 
need for class descriptions. Each subsection contains a list of all 
products appearing within that heading. Descriptions applicable to 
several related products are provided where appropriate. This is 
followed by information about each product in the subsection. The 
product descriptions generally include the following topics in the 
following order: (1) Product description (where necessary); (2) size 
and weight limitations; (3) minimum volume requirements; (4) price 
categories; (5) optional features; and (6) prices. The competitive 
Special Services subsection requires less detail and generally includes 
the following topics in the following order: (1) Product description; 
and (2) prices. Note that many of the Negotiated Service Agreement 
products merely reference the product name, associated dockets, PRC 
order numbers, and termination dates due to the confidential nature of 
these agreements.
    Part C--Glossary of Terms and Conditions is self explanatory. Part 
D--Country Price Lists for International Mail contains the country 
codes used to identify individual countries in the various 
international product price lists appearing in Parts A and B.

V. Rule Modifications

    The Commission's rules concerning the MCS currently are codified at 
39 CFR 3020, Subpart A--Mail Classification Schedule. The existing MCS 
itself is codified at Appendix A to Subpart A--Mail Classification 
Schedule of 39 CFR 3020.
    This rulemaking proposes changes to the rules governing the MCS and 
replaces the existing Appendix A with four more administratively 
manageable appendices. The intent of the rule changes are to 
incorporate the market dominant product list and the competitive 
product list into the Commission's rules so that the lists are 
prominently available for examination, and to incorporate the majority 
of the material describing individual products into four appendices.
    Rule 3020.2 General (old rule 3020.10) is revised to describe the 
proposed new format of the MCS.
    Rule 3020.11 Initial Mail Classification Schedule is being deleted. 
It only was applicable to the initial MCS that is now being replaced.
    Rule 3020.3 Publication of the Mail Classification Schedule (old 
rule 3020.12), paragraph (a), is revised to indicate that the MCS is 
being incorporated into the rules themselves, i.e., the MCS no longer 
will be contained solely in Appendix A. Paragraph (b) is modified to 
indicate that the Commission only will be making the most recent 
version of the MCS available to the public. With almost weekly 
revisions to the MCS, it would be administratively burdensome, and 
confusing to the public, to make multiple, mainly outdated, versions 
readily available. In any event, all changes will be published in the 
Federal Register for interested persons to reference if the need arises 
to reconstruct earlier versions.
    Rule 3020.4 Notice of change (old rule 3020.14) is revised to 
indicate that any changes to the material describing products will 
cause notice to be published in the Federal Register.
    Rule 3020.5 Contents of the Mail Classification Schedule (old rule 
3020.13) will contain the MCS. The same information contained within 
the MCS version proposed to appear on the Commission's Web site will be 
divided among paragraphs (b) through (h) of this rule.
    Paragraph (b) will provide a revision history as required by 39 
U.S.C. 3642(d)(2).
    Paragraph (c) will provide trademark notices.
    Paragraph (d) will provide a table of contents by section numbers. 
The section numbers will correspond to the section numbers appearing in 
the Appendices.
    Paragraph (e) will provide information concerning market dominant 
products. This paragraph is divided into (e)(1), which contains the 
list of market dominant products, and (e)(2), which specifies the 
market dominant product descriptive information that is to be provided 
and references Appendix A where that information is provided.
    Paragraph (f) will provide information concerning competitive 
products. This paragraph is divided into (f)(1), which contains the 
list of competitive products, and (f)(2), which specifies the 
competitive product descriptive information that is to be provided and 
references Appendix B where that information is provided.
    Paragraph (g) references Appendix C, which provides a glossary of 
terms of conditions.
    Paragraph (h) references Appendix D, which provides the country 
price lists for international mail.
    The four appendices will contain the majority of the descriptive 
material. Appendix A will contain the description of market dominant 
products. This corresponds to Part A, Section 1001, Market Dominant 
Product Descriptions provided in the proposed Web version of the MCS. 
Appendix B will contain the description of competitive products. This 
corresponds to Part B, Section 2001, Competitive Product Descriptions 
provided in the proposed Web version of the MCS. Appendix C will 
contain a glossary of terms and conditions. This corresponds to Part C, 
Section 3000, Glossary of Terms and Conditions provided in the proposed 
Web version of the MCS. Appendix D, Section 4000, will contain the 
country price lists for international mail. This corresponds to Part D, 
Country Price Lists for International Mail provided in the proposed Web 
version of the MCS.

VI. Public Representative

    Pursuant to 39 U.S.C. 505, Kenneth E. Richardson is appointed to 
serve as officer of the Commission (Public Representative) to represent 
the interests of the general public in this docket.

VII. Public Comments

    Comments concerning the proposed modifications to the MCS by 
interested persons are due September 6, 2011.\7\ Interested persons 
previously filing comments in response to this Notice appearing on the 
Commission's Web site with an earlier due date may file supplemental 
comments, if necessary. All comments previously filed in this docket 
shall be considered and need not be re-filed.
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    \7\ All references to August 5, 2011 in Order No. 666 issued 
February 7, 2011 will be replaced with September 6, 2011.
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VIII. Directions for Federal Register Publication and Access to 
Unpublished Material

    An abbreviated version of this notice shall be published in the 
Federal Register. This version shall include the material appearing up 
to the signature of this notice. This material includes among other 
items ``a description of the subjects and issues involved'' with the

[[Page 51314]]

proposed rule as required by 5 U.S.C. 553(b)(3).
    The abbreviated version shall also include pages 1 through 13 of 
the material titled ``Mail Classification Schedule'' appearing after 
the signature in Order No. 666 issued on February 7, 2011. This 
material describes the textual changes proposed to existing 39 CFR part 
3020, subpart A.
    As previously stated in paragraph III of this notice, all material, 
including the proposed four new appendices, appears on the Commission's 
Web site. For interested persons without access to the Internet, a copy 
of all material is available for inspection at the Postal Regulatory 
Commission, 901 New York Avenue, NW., Suite 200, Washington, DC 20268-
0001. Reasonable alternative access also may be arranged by contacting 
the Commission's docket section at 202-789-6846.
    It is ordered:
    1. Docket No. RM2011-8 is established for the purpose of receiving 
comments on the Commission's proposal.
    2. The Commission proposes to amend its rules of practice and 
procedure. The proposed amendments involve amending 39 CFR part 3020 
Subpart A--Mail Classification Schedule.
    3. Kenneth E. Richardson is designated as an officer of the 
Commission representing the interests of the general public in this 
docket.
    4. Interested persons may submit comments by September 6, 2011.
    5. The Secretary shall arrange for publication of this notice in 
the Federal Register as directed in the body of this notice.

List of Subjects in 39 CFR Part 3020

    Administrative practice and procedure, Postal Service.

    By the Commission.
Ruth Ann Abrams,
Acting Secretary.
[FR Doc. 2011-21015 Filed 8-17-11; 8:45 am]
BILLING CODE 7710-FW-P