Change in Rates and Classes of General Applicability for Competitive Products, 74394-74473 [2020-25620]

Download as PDF khammond on DSKJM1Z7X2PROD with NOTICES 74394 Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices feedback surveys, focus groups, user testing, and interviews. Average Number of Respondents per Activity: 1 response per respondent per activity. Estimated Number of Respondents: 1,009,850. Estimated Time per Response: Varied, dependent upon the data collection method used. The possible response time to complete a questionnaire or survey may be 3 minutes or up to 30 minutes to participate in an interview. Estimated Total Annual Burden Hours: 252,975. Estimated Total Annual Cost to the Government: $14,527,495.63. Estimated Total Annual Cost to Public: We have identified no reporting or recordkeeping ‘‘non-hour’’ cost burdens for this collection of information. Request for Comments: Comments submitted in response to this notice will be summarized and/or included in the request for OMB approval. Comments are invited on: (a) Whether the collection of information is necessary for the proper performance of the functions of the agency, including whether the information shall have practical utility; (b) the accuracy of the agency’s estimate of the burden of the collection of information; (c) ways to enhance the quality, utility, and clarity of the information to be collected; (d) ways to minimize the burden of the collection of information on respondents, including through the use of automated collection techniques or other forms of information technology; and (e) estimates of capital or start-up costs and costs of operation, maintenance, and purchase of services to provide information. Burden means the total time, effort, or financial resources expended by persons to generate, maintain, retain, disclose or provide information to or for a Federal agency. This includes the time needed to review instructions; to develop, acquire, install and utilize technology and systems for the purpose of collecting, validating and verifying information, processing and maintaining information, and disclosing and providing information; to train personnel and to be able to respond to a collection of information, to search data sources, to complete and review the collection of information; and to transmit or otherwise disclose the information. All written comments will be available for public inspection Regulations.gov. An agency may not conduct or sponsor, and a person is not required to respond to, a collection of information VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 unless it displays a currently valid Office of Management and Budget control number. Office of Personnel Management. Alexys Stanley, Regulatory Affairs Analyst. [FR Doc. 2020–25627 Filed 11–19–20; 8:45 am] BILLING CODE 6325–23–P POSTAL SERVICE Change in Rates and Classes of General Applicability for Competitive Products Postal ServiceTM. ACTION: Notice of a change in rates of general applicability for competitive products. AGENCY: This notice sets forth changes in rates of general applicability for competitive products. DATES: The change in rates is effective January 24, 2021. FOR FURTHER INFORMATION CONTACT: Elizabeth Reed, 202–268–3179. SUPPLEMENTARY INFORMATION: On November 12, 2020, pursuant to their authority under 39 U.S.C. 3632, the Governors of the Postal Service established prices and classification changes for competitive products. The Governors’ Decision and the record of proceedings in connection with such decision are reprinted below in accordance with section 3632(b)(2). SUMMARY: Joshua J. Hofer, Attorney, Federal Compliance. Decision of the Governors of the United States Postal Service on Changes in Rates of General Applicability for Competitive Products (Governors’ Decision No. 20–5) November 12, 2020 Statement of Explanation and Justification Pursuant to authority under section 3632 of title 39, as amended by the Postal Accountability and Enhancement Act of 2006 (‘‘PAEA’’), we establish new prices of general applicability for the Postal Service’s shipping services (competitive products), and such changes in classifications as are necessary to define the new prices. The changes are described generally below, with a detailed description of the changes in the attachment. The attachment includes the draft Mail Classification Schedule sections with classification changes in legislative format, and new prices displayed in the price charts. PO 00000 Frm 00085 Fmt 4703 Sfmt 4703 As shown in the nonpublic annex being filed under seal herewith, the changes we establish should enable each competitive product to cover its attributable costs (39 U.S.C. 3633(a)(2)) and should result in competitive products as a whole complying with 39 U.S.C. 3633(a)(3), which, as implemented by 39 CFR 3035.107(c), requires competitive products collectively to contribute a minimum of 9.1 percent to the Postal Service’s institutional costs. Accordingly, no issue of subsidization of competitive products by market dominant products should arise (39 U.S.C. 3633(a)(1)). We therefore find that the new prices are in accordance with 39 U.S.C. 3632–3633 and 39 CFR 3035.102. I. Domestic Products A. Priority Mail Express Overall, the Priority Mail Express price change represents a 1.2 percent increase. The existing structure of zoned Retail, Commercial Base, and Commercial Plus price categories is maintained, with Commercial Base and Commercial Plus prices continuing to be set equal to each other. Dimensional weighting, which was introduced for all zones in 2019, will continue in 2021. New for 2021, a $100 fee will be assessed on parcels found in the mailstream that exceed the maximum mailable size limit (combined length and girth greater than 130 inches). Retail prices will increase an average of 1.0 percent. The price for the Retail Flat Rate Envelope, a significant portion of all Priority Mail Express volume, will remain priced at $26.35, with the Legal Size and Padded Flat Rate Envelopes priced at $26.50 and $26.95, respectively. The Commercial Base price category offers lower prices to customers who use online and other authorized postage payment methods. The Commercial Base prices will increase 2.5 percent on average. Commercial Base prices will, on average, reflect a 14.1 percent discount off of Retail prices. The Commercial Plus price category has traditionally offered even lower prices to large-volume customers. Commercial Plus prices were matched to the Commercial Base prices in 2016 and will continue to be in 2021. For January, Commercial Plus prices as a whole will receive a 2.5 percent increase on average. B. Priority Mail On average, the Priority Mail prices will be increased by 3.5 percent. The existing structure of Priority Mail Retail, Commercial Base, and Commercial Plus E:\FR\FM\20NON1.SGM 20NON1 Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices price categories is maintained. Dimensional weighting, which was extended to all zones in 2019, will continue in 2021. New for 2021, a $100 fee will be assessed on parcels found in the mailstream that exceed the maximum mailable size limit (combined length and girth greater than 130 inches). Retail prices will increase an average of 3.0 percent. Retail Flat Rate Box prices will be: Small, $8.45; Medium, $15.50; Large, $21.90 and Large APO/ FPO/DPO, $20.40. Thus, the Large APO/ FPO/DPO Flat Rate Box will be $1.50 less than the Large Flat Rate Box. The regular Flat Rate Envelope will be priced at $7.95, with the Legal Size and Padded Flat Rate Envelopes priced at $8.25 and $8.55, respectively. The Commercial Base price category offers lower prices to customers using authorized postage payment methods. The Commercial Base prices will increase 3.6 percent on average. Commercial Base prices will, on average, reflect a 14.4 percent discount off of Retail prices. The Commercial Plus price category has traditionally offered even lower prices to large-volume customers. For January, Commercial Plus prices as a whole will receive a 4.5 percent increase and will average 14.1 percent off Retail prices. C. Parcel Select khammond on DSKJM1Z7X2PROD with NOTICES On average, prices for destinationentered non-Lightweight Parcel Select, the Postal Service’s bulk ground shipping product, will increase 8.9 percent. For destination delivery unit (DDU) entered parcels, the average price increase is 4.9 percent. For destination sectional center facility (DSCF) destination entered parcels, the average price increase is 10.7 percent. For destination network distribution center (DNDC) parcels, the average price increase is 9.7 percent. Prices for Parcel Select Lightweight will increase by 20.0 percent. Parcel Select Ground will see a 1.3 percent price increase. Dimensional weighting, which was introduced for all zones in 2019, will continue in 2021. New for 2021, a $100 fee will be assessed on parcels found in the mailstream that exceed the maximum VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 mailable size limit (combined length and girth greater than 130 inches). D. Parcel Return Service Parcel Return Service prices will have an overall price increase of 4.9 percent. Prices for parcels retrieved at a return sectional center facility (RSCF) will increase by 4.9 percent, and prices for parcels picked up at a return delivery unit (RDU) will increase 4.9 percent. New for 2021, a $100 fee will be assessed on parcels found in the mailstream that exceed the maximum mailable size limit (combined length and girth greater than 130 inches). E. First-Class Package Service First-Class Package Service (FCPS) continues to be positioned as a lightweight (less than one pound) offering primarily used by businesses for fulfillment purposes. In 2017, FirstClass Mail Parcels were transferred to the competitive product list and renamed First-Class Package Service— Retail (FCPS-Retail), and in 2019, the FCPS-Retail and FCPS-Commercial price categories were given zone-based pricing. Overall, FCPS prices will increase 6.2 percent, with a 4.8 percent increase for FCPS-Retail and a 6.5 percent increase for FCPS-Commercial. New for 2021, a $100 fee will be assessed on parcels found in the mailstream that exceed the maximum mailable size limit (combined length and girth greater than 130 inches). F. USPS Retail Ground USPS Retail Ground prices will increase 3.0 percent. Customers shipping in Zones 1–4 will continue to receive Priority Mail service and will only default to Retail Ground if the item contains hazardous material or is otherwise not permitted to travel by air transportation. New for 2021, a $100 fee will be assessed on parcels found in the mailstream that exceed the maximum mailable size limit (combined length and girth greater than 130 inches). G. Domestic Extra Services Premium Forwarding Service (PFS) prices will increase between 3.9 and 4.0 percent in 2021, depending on the specific rate element. The retail counter enrollment fee will increase to $22.75. PO 00000 Frm 00086 Fmt 4703 Sfmt 4703 74395 The online enrollment option, introduced in 2014, will now be available for $20.90. The weekly reshipment fee will increase to $22.75. PFS Local, which was introduced in 2019 for P.O. Box customers, will have an increase in the reshipment fee to $22.75. Prices for Adult Signature service will increase to $6.90 for the basic service and $7.15 for the personspecific service. Address Enhancement Service price increases will vary depending on the particular rate element, to ensure adequate cost coverage. Competitive Post Office Box prices will be increasing 23.3 percent on average, and some adjustments will be made to the price ranges. Package Intercept Service will increase 4.1 percent, to $15.25. The Pickup On Demand fee will increase to $25.00 for 2021. Premium Data Retention and Retrieval Service, which was introduced in 2020, will have no price change for 2021. Order The changes in prices and classes set forth herein shall be effective at 12:01 a.m. on January 24, 2021. We direct the Secretary to have this decision published in the Federal Register in accordance with 39 U.S.C. 3632(b)(2), and direct management to file with the Postal Regulatory Commission appropriate notice of these changes. By The Governors: /s/ lllllllllllllllllll Robert M. Duncan, Chairman, Board of Governors. United States Postal Service Office of the Board of Governors Certification of Governors’ Vote On Governors’ Decision No. 20–5 Consistent with 39 U.S.C. 3632(a), I hereby certify that, on November 12, 2020, the Governors voted on adopting Governors’ Decision No. 20–5, and that a majority of the Governors then holding office voted in favor of that Decision. /s/ lllllllllllllllllll Katherine Sigler, Secretary of the Board of Governors (A). Dated: November 12, 2020. BILLING CODE 7710–12–P E:\FR\FM\20NON1.SGM 20NON1 VerDate Sep<11>2014 Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00087 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 EN20NO20.042</GPH> khammond on DSKJM1Z7X2PROD with NOTICES 74396 EN20NO20.044</GPH> 74397 VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00088 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 EN20NO20.043</GPH> khammond on DSKJM1Z7X2PROD with NOTICES Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices VerDate Sep<11>2014 Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00089 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 EN20NO20.045</GPH> khammond on DSKJM1Z7X2PROD with NOTICES 74398 VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00090 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 74399 EN20NO20.046</GPH> khammond on DSKJM1Z7X2PROD with NOTICES Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices VerDate Sep<11>2014 Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00091 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 EN20NO20.047</GPH> khammond on DSKJM1Z7X2PROD with NOTICES 74400 VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00092 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 74401 EN20NO20.048</GPH> khammond on DSKJM1Z7X2PROD with NOTICES Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices VerDate Sep<11>2014 Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00093 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 EN20NO20.049</GPH> khammond on DSKJM1Z7X2PROD with NOTICES 74402 VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00094 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 74403 EN20NO20.050</GPH> khammond on 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2020 / Notices 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00145 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 EN20NO20.105</GPH> khammond on DSKJM1Z7X2PROD with NOTICES 74454 VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00146 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 74455 EN20NO20.106</GPH> khammond on DSKJM1Z7X2PROD with NOTICES Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices VerDate Sep<11>2014 Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00147 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 EN20NO20.107</GPH> khammond on DSKJM1Z7X2PROD with NOTICES 74456 VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00148 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 74457 EN20NO20.108</GPH> khammond on DSKJM1Z7X2PROD with NOTICES Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices VerDate Sep<11>2014 Federal Register / Vol. 85, No. 225 / 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Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00153 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 EN20NO20.114</GPH> khammond on DSKJM1Z7X2PROD with NOTICES 74462 VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00154 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 74463 EN20NO20.115</GPH> khammond on DSKJM1Z7X2PROD with NOTICES Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices VerDate Sep<11>2014 Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00155 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 EN20NO20.116</GPH> khammond on DSKJM1Z7X2PROD with NOTICES 74464 VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00156 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 74465 EN20NO20.117</GPH> khammond on DSKJM1Z7X2PROD with NOTICES Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices VerDate Sep<11>2014 Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00157 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 EN20NO20.118</GPH> khammond on DSKJM1Z7X2PROD with NOTICES 74466 VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00158 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 74467 EN20NO20.119</GPH> khammond on DSKJM1Z7X2PROD with NOTICES Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices EN20NO20.121</GPH> Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00159 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 EN20NO20.120</GPH> khammond on DSKJM1Z7X2PROD with NOTICES 74468 VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00160 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 74469 EN20NO20.122</GPH> khammond on DSKJM1Z7X2PROD with NOTICES Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices EN20NO20.124</GPH> Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00161 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 EN20NO20.123</GPH> khammond on DSKJM1Z7X2PROD with NOTICES 74470 VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00162 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 74471 EN20NO20.125</GPH> khammond on DSKJM1Z7X2PROD with NOTICES Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices EN20NO20.127</GPH> Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 PO 00000 Frm 00163 Fmt 4703 Sfmt 4725 E:\FR\FM\20NON1.SGM 20NON1 EN20NO20.126</GPH> khammond on DSKJM1Z7X2PROD with NOTICES 74472 Federal Register / Vol. 85, No. 225 / Friday, November 20, 2020 / Notices BILLING CODE 7710–12–C SECURITIES AND EXCHANGE COMMISSION [Release No. 34–90434; File No. SR–MRX– 2020–19] Self-Regulatory Organizations; Nasdaq MRX, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To the Exchange’s Pricing Schedule at Options 7 To Amend Taker Fees for Regular Orders November 16, 2020. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’),1 and Rule 19b–4 thereunder,2 notice is hereby given that on November 2, 2020, Nasdaq MRX, LLC (‘‘MRX’’ or ‘‘Exchange’’) filed with the Securities and Exchange Commission (‘‘Commission’’) the proposed rule change as described in Items I and II below, which Items have been prepared by the Exchange. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. khammond on DSKJM1Z7X2PROD with NOTICES I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change The Exchange proposes to amend the Exchange’s Pricing Schedule at Options 7, as described further below. The text of the proposed rule change is available on the Exchange’s website at https://listingcenter.nasdaq.com/ rulebook/mrx/rules, at the principal office of the Exchange, and at the Commission’s Public Reference Room. 1 15 2 17 U.S.C. 78s(b)(1). CFR 240.19b–4. VerDate Sep<11>2014 17:08 Nov 19, 2020 Jkt 253001 II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, the Exchange included statements concerning the purpose of and basis for the proposed rule change and discussed any comments it received on the proposed rule change. The text of these statements may be examined at the places specified in Item IV below. The Exchange has prepared summaries, set forth in sections A, B, and C below, of the most significant aspects of such statements. A. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change 1. Purpose The Exchange recently filed to permit certain affiliated market participants (i.e., Affiliated Entities) 3 to aggregate volume and qualify for certain pricing incentives.4 The purpose of the proposed rule change is to amend the Exchange’s Pricing Schedule to enhance 3 An ‘‘Affiliated Entity’’ is a relationship between an Appointed Market Maker and an Appointed OFP for purposes of qualifying for certain pricing specified in the Pricing Schedule. Market Makers and OFPs are required to send an email to the Exchange to appoint their counterpart, at least 3 business days prior to the last day of the month to qualify for the next month. The Exchange will acknowledge receipt of the emails and specify the date the Affiliated Entity is eligible for applicable pricing, as specified in the Pricing Schedule. Each Affiliated Entity relationship will commence on the 1st of a month and may not be terminated prior to the end of any month. An Affiliated Entity relationship will terminate after a one (1) year period, unless either party terminates earlier in writing by sending an email to the Exchange at least 3 business days prior to the last day of the month to terminate for the next month. Affiliated Entity relationships must be renewed annually by each party sending an email to the Exchange. Affiliated Members may not qualify as a counterparty comprising an Affiliated Entity. Each Member may qualify for only one (1) Affiliated Entity relationship at any given time. See Options 7, Section 1(c). 4 See SR–MRX–2020–17 (not yet published). PO 00000 Frm 00164 Fmt 4703 Sfmt 4703 participation in the Exchange’s Affiliated Entities program in order to encourage additional order flow to the Exchange. Each change is described below. Regular Taker Fees Today, as set forth in Options 7, Section 3, Table 1, the Exchange applies a two-tier taker fee structure based on Total Affiliated Member 5 or Affiliated Entity ADV.6 In Penny Symbols, the Exchange currently charges all nonPriority Customer 7 orders a taker fee of $0.50 per contract, regardless of the tier achieved. In Non-Penny Symbols, the Exchange currently charges all nonPriority Customers a taker fee of $0.90 per contract, regardless of tier achieved. Priority Customer 8 orders do not get charged taker fees for executions in either Penny or Non-Penny Symbols today. In addition, as set forth in note 2 within Options 7, Section 3, Table 1, Market Maker 9 orders that take liquidity are also currently eligible for ADV-based fee discounts in both Penny and NonPenny Symbols when trading against Priority Customer orders entered by an Affiliated Member or Affiliated Entity. 5 An ‘‘Affiliated Member’’ is a Member that shares at least 75% common ownership with a particular Member as reflected on the Member’s Form BD, Schedule A. See Options 7, Section 1(c). 6 Total Affiliated Member or Affiliated Entity ADV means all ADV executed on the Exchange in all symbols and order types, including volume executed by Affiliated Members or Affiliated Entities. All eligible volume from Affiliated Members or an Affiliated Entity will be aggregated in determining applicable tiers. See Options 7, Section 3, Table 3. 7 Non-Priority Customer include Market Makers, Non-Nasdaq MRX Market Makers (FarMMs), Firm Proprietary/Broker-Dealers, and Professional Customers. 8 A ‘‘Priority Customer’’ is a person or entity that is not a broker/dealer in securities, and does not place more than 390 orders in listed options per day on average during a calendar month for its own beneficial account(s), as defined in Nasdaq MRX Options 1, Section 1(a)(36). 9 The term Market Makers refers to ‘‘Competitive Market Makers’’ and ‘‘Primary Market Makers’’ collectively. E:\FR\FM\20NON1.SGM 20NON1 EN20NO20.128</GPH> [FR Doc. 2020–25620 Filed 11–19–20; 8:45 am] 74473

Agencies

[Federal Register Volume 85, Number 225 (Friday, November 20, 2020)]
[Notices]
[Pages 74394-74473]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-25620]


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POSTAL SERVICE


Change in Rates and Classes of General Applicability for 
Competitive Products

AGENCY: Postal ServiceTM.

ACTION: Notice of a change in rates of general applicability for 
competitive products.

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

SUMMARY: This notice sets forth changes in rates of general 
applicability for competitive products.

DATES: The change in rates is effective January 24, 2021.

FOR FURTHER INFORMATION CONTACT: Elizabeth Reed, 202-268-3179.

SUPPLEMENTARY INFORMATION: On November 12, 2020, pursuant to their 
authority under 39 U.S.C. 3632, the Governors of the Postal Service 
established prices and classification changes for competitive products. 
The Governors' Decision and the record of proceedings in connection 
with such decision are reprinted below in accordance with section 
3632(b)(2).

Joshua J. Hofer,
Attorney, Federal Compliance.

Decision of the Governors of the United States Postal Service on 
Changes in Rates of General Applicability for Competitive Products 
(Governors' Decision No. 20-5)

November 12, 2020

Statement of Explanation and Justification

    Pursuant to authority under section 3632 of title 39, as amended by 
the Postal Accountability and Enhancement Act of 2006 (``PAEA''), we 
establish new prices of general applicability for the Postal Service's 
shipping services (competitive products), and such changes in 
classifications as are necessary to define the new prices. The changes 
are described generally below, with a detailed description of the 
changes in the attachment. The attachment includes the draft Mail 
Classification Schedule sections with classification changes in 
legislative format, and new prices displayed in the price charts.
    As shown in the nonpublic annex being filed under seal herewith, 
the changes we establish should enable each competitive product to 
cover its attributable costs (39 U.S.C. 3633(a)(2)) and should result 
in competitive products as a whole complying with 39 U.S.C. 3633(a)(3), 
which, as implemented by 39 CFR 3035.107(c), requires competitive 
products collectively to contribute a minimum of 9.1 percent to the 
Postal Service's institutional costs. Accordingly, no issue of 
subsidization of competitive products by market dominant products 
should arise (39 U.S.C. 3633(a)(1)). We therefore find that the new 
prices are in accordance with 39 U.S.C. 3632-3633 and 39 CFR 3035.102.

I. Domestic Products

A. Priority Mail Express

    Overall, the Priority Mail Express price change represents a 1.2 
percent increase. The existing structure of zoned Retail, Commercial 
Base, and Commercial Plus price categories is maintained, with 
Commercial Base and Commercial Plus prices continuing to be set equal 
to each other. Dimensional weighting, which was introduced for all 
zones in 2019, will continue in 2021. New for 2021, a $100 fee will be 
assessed on parcels found in the mailstream that exceed the maximum 
mailable size limit (combined length and girth greater than 130 
inches).
    Retail prices will increase an average of 1.0 percent. The price 
for the Retail Flat Rate Envelope, a significant portion of all 
Priority Mail Express volume, will remain priced at $26.35, with the 
Legal Size and Padded Flat Rate Envelopes priced at $26.50 and $26.95, 
respectively.
    The Commercial Base price category offers lower prices to customers 
who use online and other authorized postage payment methods. The 
Commercial Base prices will increase 2.5 percent on average. Commercial 
Base prices will, on average, reflect a 14.1 percent discount off of 
Retail prices.
    The Commercial Plus price category has traditionally offered even 
lower prices to large-volume customers. Commercial Plus prices were 
matched to the Commercial Base prices in 2016 and will continue to be 
in 2021. For January, Commercial Plus prices as a whole will receive a 
2.5 percent increase on average.

B. Priority Mail

    On average, the Priority Mail prices will be increased by 3.5 
percent. The existing structure of Priority Mail Retail, Commercial 
Base, and Commercial Plus

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price categories is maintained. Dimensional weighting, which was 
extended to all zones in 2019, will continue in 2021. New for 2021, a 
$100 fee will be assessed on parcels found in the mailstream that 
exceed the maximum mailable size limit (combined length and girth 
greater than 130 inches).
    Retail prices will increase an average of 3.0 percent. Retail Flat 
Rate Box prices will be: Small, $8.45; Medium, $15.50; Large, $21.90 
and Large APO/FPO/DPO, $20.40. Thus, the Large APO/FPO/DPO Flat Rate 
Box will be $1.50 less than the Large Flat Rate Box. The regular Flat 
Rate Envelope will be priced at $7.95, with the Legal Size and Padded 
Flat Rate Envelopes priced at $8.25 and $8.55, respectively.
    The Commercial Base price category offers lower prices to customers 
using authorized postage payment methods. The Commercial Base prices 
will increase 3.6 percent on average. Commercial Base prices will, on 
average, reflect a 14.4 percent discount off of Retail prices.
    The Commercial Plus price category has traditionally offered even 
lower prices to large-volume customers. For January, Commercial Plus 
prices as a whole will receive a 4.5 percent increase and will average 
14.1 percent off Retail prices.

C. Parcel Select

    On average, prices for destination-entered non-Lightweight Parcel 
Select, the Postal Service's bulk ground shipping product, will 
increase 8.9 percent. For destination delivery unit (DDU) entered 
parcels, the average price increase is 4.9 percent. For destination 
sectional center facility (DSCF) destination entered parcels, the 
average price increase is 10.7 percent. For destination network 
distribution center (DNDC) parcels, the average price increase is 9.7 
percent. Prices for Parcel Select Lightweight will increase by 20.0 
percent. Parcel Select Ground will see a 1.3 percent price increase. 
Dimensional weighting, which was introduced for all zones in 2019, will 
continue in 2021. New for 2021, a $100 fee will be assessed on parcels 
found in the mailstream that exceed the maximum mailable size limit 
(combined length and girth greater than 130 inches).

D. Parcel Return Service

    Parcel Return Service prices will have an overall price increase of 
4.9 percent. Prices for parcels retrieved at a return sectional center 
facility (RSCF) will increase by 4.9 percent, and prices for parcels 
picked up at a return delivery unit (RDU) will increase 4.9 percent. 
New for 2021, a $100 fee will be assessed on parcels found in the 
mailstream that exceed the maximum mailable size limit (combined length 
and girth greater than 130 inches).

E. First-Class Package Service

    First-Class Package Service (FCPS) continues to be positioned as a 
lightweight (less than one pound) offering primarily used by businesses 
for fulfillment purposes. In 2017, First-Class Mail Parcels were 
transferred to the competitive product list and renamed First-Class 
Package Service--Retail (FCPS-Retail), and in 2019, the FCPS-Retail and 
FCPS-Commercial price categories were given zone-based pricing. 
Overall, FCPS prices will increase 6.2 percent, with a 4.8 percent 
increase for FCPS-Retail and a 6.5 percent increase for FCPS-
Commercial. New for 2021, a $100 fee will be assessed on parcels found 
in the mailstream that exceed the maximum mailable size limit (combined 
length and girth greater than 130 inches).

F. USPS Retail Ground

    USPS Retail Ground prices will increase 3.0 percent. Customers 
shipping in Zones 1-4 will continue to receive Priority Mail service 
and will only default to Retail Ground if the item contains hazardous 
material or is otherwise not permitted to travel by air transportation. 
New for 2021, a $100 fee will be assessed on parcels found in the 
mailstream that exceed the maximum mailable size limit (combined length 
and girth greater than 130 inches).

G. Domestic Extra Services

    Premium Forwarding Service (PFS) prices will increase between 3.9 
and 4.0 percent in 2021, depending on the specific rate element. The 
retail counter enrollment fee will increase to $22.75. The online 
enrollment option, introduced in 2014, will now be available for 
$20.90. The weekly reshipment fee will increase to $22.75. PFS Local, 
which was introduced in 2019 for P.O. Box customers, will have an 
increase in the reshipment fee to $22.75. Prices for Adult Signature 
service will increase to $6.90 for the basic service and $7.15 for the 
person-specific service. Address Enhancement Service price increases 
will vary depending on the particular rate element, to ensure adequate 
cost coverage. Competitive Post Office Box prices will be increasing 
23.3 percent on average, and some adjustments will be made to the price 
ranges. Package Intercept Service will increase 4.1 percent, to $15.25. 
The Pickup On Demand fee will increase to $25.00 for 2021. Premium Data 
Retention and Retrieval Service, which was introduced in 2020, will 
have no price change for 2021.

Order

    The changes in prices and classes set forth herein shall be 
effective at 12:01 a.m. on January 24, 2021. We direct the Secretary to 
have this decision published in the Federal Register in accordance with 
39 U.S.C. 3632(b)(2), and direct management to file with the Postal 
Regulatory Commission appropriate notice of these changes.

    By The Governors:

/s/--------------------------------------------------------------------
Robert M. Duncan,

Chairman, Board of Governors.

United States Postal Service Office of the Board of Governors

Certification of Governors' Vote On Governors' Decision No. 20-5

    Consistent with 39 U.S.C. 3632(a), I hereby certify that, on 
November 12, 2020, the Governors voted on adopting Governors' Decision 
No. 20-5, and that a majority of the Governors then holding office 
voted in favor of that Decision.

/s/--------------------------------------------------------------------
Katherine Sigler,

Secretary of the Board of Governors (A).

Dated: November 12, 2020.
BILLING CODE 7710-12-P

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[FR Doc. 2020-25620 Filed 11-19-20; 8:45 am]
BILLING CODE 7710-12-C
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