[Federal Register Volume 85, Number 95 (Friday, May 15, 2020)]
[Notices]
[Pages 29491-29492]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-10385]
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POSTAL REGULATORY COMMISSION
[Docket No. MT2020-1; Order No. 5504]
Market Test of Experimental Product
AGENCY: Postal Regulatory Commission.
ACTION: Notice.
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SUMMARY: The Commission is noticing a recently filed Postal Service
proposal to conduct a market test of an experimental product called
Commercial PO Box Redirect Service. This notice informs the public of
the filing, invites public comment, and takes other administrative
steps.
DATES: Comments are due: May 21, 2020.
ADDRESSES: Submit comments electronically via the Commission's Filing
Online system at http://www.prc.gov. Those who cannot submit comments
electronically should contact the person identified in the FOR FURTHER
INFORMATION CONTACT section by telephone for advice on filing
alternatives.
FOR FURTHER INFORMATION CONTACT: David A. Trissell, General Counsel, at
202-789-6820.
SUPPLEMENTARY INFORMATION:
Table of Contents
I. Introduction
II. Background
III. Compliance With Legal Requirements
IV. Data Collection
V. Notice of Commission Action
VI. Ordering Paragraphs
I. Introduction
In accordance with 39 U.S.C. 3641 and 39 CFR part 3045, the Postal
Service filed notice of its intent to conduct a market test of an
experimental product called Commercial PO Box Redirect Service.\1\
Commercial PO Box Redirect Service will redirect automated letters
during mail processing from the
[[Page 29492]]
Commercial PO Box indicated on the mailpiece to a second Commercial PO
Box. Notice at 2. The Postal Service intends for the market test to run
for two full years beginning on June 8, 2020. Id. at 3.
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\1\ United States Postal Service Notice of Market Test of
Experimental Product--Commercial PO Box Redirect Service, May 8,
2020 (Notice).
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II. Background
On May 8, 2020, the Postal Service filed the Notice proposing the
Commercial PO Box Redirect Service market test. The Postal Service
asserts that Commercial PO Box Redirect Service will provide an
efficient solution for remittance mail processors, who receive and
process payments enclosed in Courtesy Reply Mail or Business Reply Mail
mailpieces on behalf of other businesses. Id. at 1. The Postal Service
states that, if remittance mail processors need to consolidate or close
the facilities associated with the address on the mailpiece, they must
currently use their own couriers to move the pieces, use an existing
postal bulk forwarding service, or employ private carriers. Id. at 1-2.
The Commercial PO Box Redirect Service will redirect the mailpieces to
the forwarding address at the first opportunity during mail processing.
Id. at 2.
The Postal Service states that Commercial PO Box Redirect Service
will only be available to customers who use Caller Service with the PO
Box to which the mailpieces will be redirected. Id. The service will
only redirect automation First-Class Mail letter mailpieces. Id.
The Postal Service plans to offer two price points for Commercial
PO Box Redirect Service: $0.06 and $0.07. Id. The $0.06 price will be
available to customers who certify that the service is essential to
respond to a contingency, such as the COVID-19 pandemic, with all other
eligible customers receiving the $0.07 price. Id.
III. Compliance With Legal Requirements
The Postal Service asserts that the proposed market test meets the
requirements in 39 U.S.C. 3641 and 39 CFR part 3045. First, the Postal
Service explains that Commercial PO Box Redirect Service is
``significantly different from all products offered by the Postal
Service within the last two years'' as required by 39 U.S.C.
3641(b)(1). Notice at 3. The Postal Service states that Commercial PO
Box Redirect Service is ``critically different'' from the Premium
Forwarding Service Commercial option because those mailpieces are
delivered and then repackaged and dispatched as Priority Mail Express
or Priority Mail shipments for delivery to the forwarding address in
bulk. Id. at 4. The Postal Service asserts that Commercial PO Box
Redirect Service differs from temporary and permanent Change of Address
orders because the new service is indefinite and uses ``different
operational processes to forward the pieces.'' Id.
Second, the Postal Service asserts that Commercial PO Box Redirect
Service ``will not create an unfair or otherwise inappropriate
competitive advantage for the Postal Service or any mailer'' as
required by 39 U.S.C. 3641(b)(2). Id. at 5. The Postal Service states
that Commercial PO Box Redirect Service ``retools the market dominant
letter processing network to create operational efficiencies prior to
delivery, a domain in which the Postal Service does not compete with
other carriers.'' Id. The Postal Service avers that, even if Commercial
PO Box Redirect Service competes with existing after-delivery services,
``the Postal Service cannot reasonably be said to compete unfairly with
these services unless the objective of section 3641(b)(2) is to
discourage efficiency gains in the Postal Service's market dominant
network.'' Id.
Third, the Postal Service states that Commercial PO Box Redirect
Service is properly categorized as market dominant as required by 39
U.S.C. 3641(b)(3). Id. at 6.
IV. Data Collection
To better understand the results of the market test, the Postal
Service asserts that it will collect the following data on a quarterly
basis: Number of customers, volume of pieces redirected, and revenues.
Id. The Postal Service also states that it will collect data on the
attributable costs of Commercial PO Box Redirect Service, including
administrative costs. Id.
V. Notice of Commission Action
The Commission establishes Docket No. MT2020-1 to consider matters
raised by the Notice. The Commission invites comments on whether the
Postal Service's filing is consistent with the requirements of 39
U.S.C. 3641 and 39 CFR part 3045. Comments are due no later than May
21, 2020. The filing can be accessed via the Commission's website
(http://www.prc.gov).
The Commission appoints Richard A. Oliver to serve as an officer of
the Commission to represent the interests of the general public in
these proceedings (Public Representative).
VI. Ordering Paragraphs
It is ordered:
1. The Commission establishes Docket No. MT2020-1 to consider the
matters raised by the Notice.
2. Pursuant to 39 U.S.C. 505, Richard A. Oliver is appointed to
serve as an officer of the Commission to represent the interests of the
general public in these proceedings (Public Representative).
3. Comments are due no later than May 21, 2020.
4. The Secretary shall arrange for publication of this order in the
Federal Register.
By the Commission.
Erica A. Barker,
Secretary.
[FR Doc. 2020-10385 Filed 5-14-20; 8:45 am]
BILLING CODE 7710-FW-P