[Federal Register Volume 60, Number 248 (Wednesday, December 27, 1995)]
[Notices]
[Pages 66999-67000]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-31296]
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POSTAL RATE COMMISSION
[Order No. 1097; Docket No. MC96-1]
Notice of Filing of Request for Establishment of an Experimental
First-Class and Priority Mail Small Parcel Automation Rate Category
Issued December 20, 1995.
Before Commissioners: Edward J. Gleiman, Chairman; W.H. ``Trey''
LeBlanc III, Vice Chairman; George W. Haley, H. Edward Quick, Jr.;
Experimental First-Class and Priority Mail Small Parcel Automation
Rate Category, 1995.
Notice is hereby given that on December 19, 1995, the U.S. Postal
Service filed a request with the Postal Rate Commission pursuant to
3623 of the Postal Reorganization Act, 39 U.S.C. 101 et seq., for a
recommended decision on proposed changes in the Domestic Mail
Classification Schedule (DMCS). The proposed revisions also include
proposed new rates. The request includes attachments supported by the
testimony of four witnesses and four library references. It is on file
in the Commission Docket Room and is available for inspection during
the Commission's regular business hours.
Experimental Nature of the Proposed Change
The Postal Service indicates that it is requesting new,
experimental small parcel automation rate categories within First Class
and Priority Mail.
Description of Request
The Postal Service requests the establishment of discounted rate
categories within Priority Mail and First-Class Mail for bulk
quantities of small parcels that are prebarcoded and otherwise
compatible with processing on sorting machines equipped with barcode
scanners. The proposed service would be available to all Priority and
First-Class Mail pieces which: (1) Are entered at one of the designated
test sites; 1 (2) are presented in mailings of 50 or more pieces;
(3) bear a barcode as prescribed by the Postal Service; (4) meet
machinability specifications prescribed by the Postal Service; (5) bear
a label placed on the surface of the parcel with the largest measured
area; (6) meet address readability specifications as prescribed by the
Postal Service; and (7) are presented for mailing in a manner which
does not require cancellation. The Postal Service proposes a rate
discount of four cents per piece for mailings that would qualify for
inclusion in the proposed categories.
\1\ The Postal Service states that there are currently three
locations which have equipment appropriate for processing the
proposed parcel categories: the Southeastern Pennsylvania Processing
and Distribution Center, the Philadelphia, Pennsylvania Airport Mail
Facility, and the St. Petersburg, Florida Sectional Center Facility.
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The request of the Postal Service proposes that the experimental
First-Class and Priority Mail Small Parcel Automation Rate Categories
be in effect for two years. The Postal Service states a belief that
this period of effectiveness will allow mailers sufficient time to
adjust their mailing practices to use the classification, and provide
adequate time for the Service to aggregate and fully analyze data
collected under the experiment. If the data generated in the experiment
are determined to support a request for a permanent mail classification
change, the Postal Service anticipates that such a filing would be made
sufficiently in advance of the termination date that service at the
experimental sites would not be interrupted.
Motion for Waiver of Certain Filing Requirements
The Postal Service's request was also accompanied by a motion for
waiver of compliance with certain requirements of section 64(h) of the
rules of practice [39 CFR 3001.64(h)], which specify rate-related
information to be included in classification requests that would affect
rates and fees. Specifically, the Postal Service seeks waiver of
compliance with subsections (d) (in part), (f)(2), (f)(3), (h), (j),
(l)(1) (in part), and (l)(2) of section
[[Page 67000]]
54 of the rules [39 CFR Sec. 54(d), (f)(2), (f)(3), (h), (j), (l)(1),
and (l)(2)], which would otherwise be required under section
64(h)(2)(i) [39 CFR Sec. 64(h)(2)(i)]. The Postal Service states that
the requested waiver is justified by the extremely limited scope of the
proposed experiment and its anticipation that the consequent effects on
costs, revenues, and volumes will be very minor.
Motion to Expedite the Proceeding
Section 67d of the rules of practice (39 CFR 3001.67d) states that
the Commission will treat cases falling under the experimental rules as
subject to the maximum expedition consistent with procedural fairness,
and prescribes adoption of a schedule that will allow issuance of a
decision not more than 150 days from a determination that experimental
treatment of the request is appropriate. Notwithstanding this
provision, the Postal Service has submitted a motion requesting that
the Commission establish procedures allowing for issuance of a
recommended decision on its request within 120 days of the date of its
filing. In support of its motion, the Postal Service states that it has
provided sufficient information to allow such expedited consideration,
and claims that it needs additional flexibility to operate in an
increasingly competitive environment. In connection with its motion,
the Postal Service proposes adoption of special rules of procedure,
which it provided in draft form. The Service also provides a proposed
procedural schedule, which would culminate in issuance of the
Commission's Recommended Decision on April 12, 1996.
Anyone wishing to be heard in this matter is directed to file a
written notice of intervention with Margaret P. Crenshaw, Secretary of
the Commission, 1333 H Street, NW, Washington, DC 20268-0001, on or
before January 16, 1996. Intervenors should indicate whether they want
full or limited participation status. See rules 39 CFR 3001.20 and
3001.20a.
Those interested in participating in this docket are given notice
that the Commission will evaluate whether it is appropriate to use
rules 67-67d for considering a Postal Service request. In determining
whether the procedures for experimental cases are appropriate, the
Commission will consider: (1) The novelty of the proposed change; (2)
the magnitude of the proposed change; (3) the ease or difficulty of
collecting data on the proposed change; and (4) the duration of the
proposed change. Participants are invited to comment on whether the
Postal Service request should be evaluated under rules 67-67d. Such
comments are to be filed on or before January 16, 1996. Prior to a
Commission decision on this question, participants should act on the
assumption that the Postal Service request that the case be considered
pursuant to these rules will be approved.
Rule 67a provides a procedure for limiting issues in experimental
cases. In order to enable participants to evaluate whether genuine
issues of fact exist, the Postal Service shall respond to discovery
requests within 10 days. Written discovery pursuant to rules 25-28 may
be undertaken immediately upon intervention.
A decision on whether there is a need for evidentiary hearings, and
the scope of any such hearings has not been made yet. Participants
wishing to comment on this question should file a statement of issues
raised by the Postal Service request by January 16, 1996. At the same
time, participants should designate those issues involving questions of
material fact which they believe require trial type hearings. The
Postal Service and any interested participant may file responses to
these statements on or before January 26, 1996.
If it is determined to schedule trial type hearings to consider
topics involving issues of material fact, hearings to evaluate the
supporting evidence presented by the Postal Service may be scheduled to
begin as soon as February 6, 1996. The Presiding Officer will establish
subsequent procedural dates.
Representation of the General Public
In conformance with Sec. 3624(a) of title 39, the Commission
designates W. Gail Willette, Director of the Commission's Office of the
Consumer Advocate (OCA), to represent the interests of the general
public in this proceeding. Pursuant to this designation, Ms. Willette
will direct the activities of Commission personnel assigned to assist
her and, when requested, will supply their names for the record.
Neither Ms. Willette nor any of the assigned personnel will participate
in or provide advice on any Commission decision in this proceeding. The
OCA shall be separately served with three copies of all filings, in
addition to and contemporaneous with, service on the Commission of the
24 copies required by section 10(c) of the rules of practice [39 CFR
3001.10(c)].
It is ordered:
1. The Commission will sit en banc in this proceeding.
2. Notice of intervention will be filed no later than January 16,
1996.
3. Participants wishing to comment on whether it is appropriate to
consider this request under Commission rules 67-67d shall submit such
comments no later than January 16, 1996.
4. Participants are directed to file statements of issues and
designations of issues requiring trial type hearings no later than
January 16, 1996; responses may be submitted no later than January 26,
1996.
5. Answers to the Postal Service motions: to Expedite the
Proceeding, and for Waiver of Certain Filing Requirements are to be
submitted no later than January 16, 1996.
6. W. Gail Willette, Director of the Commission's Office of the
Consumer Advocate, is designated to represent the general public.
7. The Secretary shall cause this Notice and Order to be published
in the Federal Register.
Margaret P. Crenshaw,
Secretary.
[FR Doc. 95-31296 Filed 12-26-95; 8:45 am]
BILLING CODE 7710-FW-P
