82 FR 17467 - Market Test of Experimental Product-Customized Delivery
POSTAL REGULATORY COMMISSION Federal Register Volume 82, Issue 68 (April 11, 2017)
Federal Register Volume 82, Issue 68 (April 11, 2017)
| Page Range | 17467-17468 | |
| FR Document | 2017-07176 |
[Federal Register Volume 82, Number 68 (Tuesday, April 11, 2017)] [Notices] [Pages 17467-17468] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2017-07176] ======================================================================= ----------------------------------------------------------------------- POSTAL REGULATORY COMMISSION [Docket No. MT2014-1; Order No. 3849] Market Test of Experimental Product-Customized Delivery AGENCY: Postal Regulatory Commission. ACTION: Notice. ----------------------------------------------------------------------- SUMMARY: The Commission is noticing a recently-filed Postal Service request for an exemption from the $10 million annual revenue limitation for the Customized Delivery market test. This notice informs the public of the filing, invites public comment, and takes other administrative steps. DATES: Comments are due: April 26, 2017. 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: On April 4, 2017, the Postal Service filed a request, pursuant to 39 U.S.C. 3641(e)(2), for an exemption from the $10 million annual revenue limitation for the Customized Delivery market test.\1\ The Commission authorized the market test to proceed in Order No. 2224 and authorized the extension of the market test in Order No. 3543 until October 31, 2017.\2\ --------------------------------------------------------------------------- \1\ Request of the United States Postal Service for Exemption from Revenue Limitation on Market Test of Experimental Product-- Customized Delivery, with Portions Filed Under Seal, April 4, 2017 (Request). \2\ See Order Authorizing Customized Delivery Market Test, October 23, 2014 (Order No. 2224); see also Order Authorizing Extension of Customized Delivery Market Test and Updating Data Collection Plan, September 28, 2016 (Order No. 3543). --------------------------------------------------------------------------- The Postal Service states that ``Customized Delivery is an experimental package delivery service that offers delivery of groceries and other prepackaged goods within a customized delivery window.'' Request at 4. The Postal Service states that the purpose of the market test is to test and develop a long-term, scalable solution to facilitate expansion to additional markets. Id. Total revenues anticipated or received by the Postal Service from the Customized Delivery market test must not exceed $10 million in any year unless the Commission exempts the market test from that limit.\3\ If the Commission grants an exemption, total revenues anticipated or received by the Postal Service from Customized Delivery may not exceed $50 million in any year, adjusted for inflation. Id. 39 U.S.C. 3641(e)(2), (g). In its initial notice for the Customized Delivery market test, the Postal Service requested an exemption from the $10 million revenue limitation based on then-current projections of expected revenue.\4\ The Commission denied the request for exemption as premature, but noted that the Postal Service may resubmit its request ``once it collects sufficient data to calculate the total revenue received and estimate the additional revenue anticipated for each fiscal year of the market test.'' Order No. 2224 at 18. --------------------------------------------------------------------------- \3\ See 39 U.S.C. 3641(e). The $10 million annual limitation is adjusted by the change in the consumer price index for all urban consumers (CPI-U). Id. 39 U.S.C. 3641(g). \4\ Notice of the United States Postal Service of Market Test of Experimental Product--Customized Delivery, September 23, 2014, at 7. --------------------------------------------------------------------------- The Postal Service asserts that it now has the data available to make the calculations requested by the Commission. Request at 3. The Postal Service states that if current demand for Customized Delivery continues, it anticipates reaching the inflation adjusted $10 million revenue limitation for FY 2017 in early June 2017.\5\ --------------------------------------------------------------------------- \5\ Id. The Postal Service calculates an inflation adjusted revenue limitation of $11,170,163. Id. at 2. --------------------------------------------------------------------------- The Commission shall approve the request for exemption if it determines that: (1) The product is likely to benefit the public and meet an expected demand; (2) the product is likely to contribute to the financial stability of the Postal Service; and (3) the product is unlikely to result in unfair or otherwise inappropriate competition. 39 U.S.C. 3641(e)(2). In its Request, the Postal Service discusses how the Customized Delivery market test benefits the public and meets an expected demand, contributes to the Postal Service's financial stability, and is unlikely to result in unfair or inappropriate competition. Request at 5-7. The Commission's regulations require the Postal Service to file cost and revenue information with its request for exemption. 39 CFR 3035.16(f). The Postal Service asserts that the financial documentation and workpapers submitted under seal show actual and expected revenue and costs for the market test. Request at 1, 4. The Commission invites comments on whether the Request complies with applicable statutory and regulatory requirements, including 39 U.S.C. 3641, 39 CFR part 3035, Order No. 2224, and Order No. 3543. Comments are due no later than April 26, 2017. The public portions of these filings can be accessed via the Commission's Web site (http://www.prc.gov). 39 U.S.C. 505 requires the Commission to designate an officer of the Commission to represent the interests of the general public in all public proceedings (Public Representative). The Commission previously appointed Lauren A. D'Agostino to serve as the Public Representative in this proceeding. She [[Page 17468]] remains appointed to serve as the Public Representative. It is ordered: 1. The Commission invites comments on the Request of the United States Postal Service for Exemption from Revenue Limitation on Market Test of Experimental Product--Customized Delivery, with Portions Filed Under Seal, filed April 4, 2017. 2. Pursuant to 39 U.S.C. 505, Lauren A. D'Agostino remains appointed to serve as the Public Representative in this proceeding. 3. Comments by interested persons are due no later than April 26, 2017. 4. The Secretary shall arrange for publication of this order in the Federal Register. By the Commission. Ruth Ann Abrams, Acting Secretary. [FR Doc. 2017-07176 Filed 4-10-17; 8:45 am] BILLING CODE 7710-FW-P
![Federal Register / Vol. 82, No. 68 / Tuesday, April 11, 2017 / Notices 17467
administration to provide the patient invites public comment, and takes other projections of expected revenue.4 The
time to make isolation arrangements or administrative steps. Commission denied the request for
the licensee to make plans to hold the DATES: Comments are due: April 26, exemption as premature, but noted that
patient, if the patient cannot be 2017. the Postal Service may resubmit its
immediately released? request ‘‘once it collects sufficient data
1. If so, explain why and describe ADDRESSES: Submit comments to calculate the total revenue received
what the requirement should include. electronically via the Commission’s and estimate the additional revenue
2. If not, explain why the requirement Filing Online system at http:// anticipated for each fiscal year of the
is not needed. www.prc.gov. Those who cannot submit market test.’’ Order No. 2224 at 18.
3. In either case, describe the resulting comments electronically should contact The Postal Service asserts that it now
health and safety benefits, or lack of the person identified in the FOR FURTHER has the data available to make the
benefits, to individual being released, INFORMATION CONTACT section by calculations requested by the
the licensee, and to the public. telephone for advice on filing Commission. Request at 3. The Postal
alternatives. Service states that if current demand for
F. Requirement To Ensure Patients Are
FOR FURTHER INFORMATION CONTACT: Customized Delivery continues, it
Given Instructions Prior to the
David A. Trissell, General Counsel, at anticipates reaching the inflation
Procedure
202–789–6820. adjusted $10 million revenue limitation
The current NRC patient release for FY 2017 in early June 2017.5
SUPPLEMENTARY INFORMATION: On April
regulations require the licensee to The Commission shall approve the
4, 2017, the Postal Service filed a
provide the released individual with request for exemption if it determines
request, pursuant to 39 U.S.C.
instructions if the dose to any that: (1) The product is likely to benefit
3641(e)(2), for an exemption from the
individual is likely to exceed 1 mSv (0.1 the public and meet an expected
$10 million annual revenue limitation
rem). The requirements are silent on demand; (2) the product is likely to
for the Customized Delivery market
when the required instructions should contribute to the financial stability of
test.1 The Commission authorized the
be given to the patient. Some patients the Postal Service; and (3) the product
market test to proceed in Order No.
are given instructions along with other is unlikely to result in unfair or
2224 and authorized the extension of
medical release paperwork and may not otherwise inappropriate competition. 39
the market test in Order No. 3543 until
be aware of the instructions. U.S.C. 3641(e)(2). In its Request, the
Question: Should the NRC explicitly October 31, 2017.2
Postal Service discusses how the
include the time frame for providing The Postal Service states that
Customized Delivery market test
instructions in the regulations (e.g., the ‘‘Customized Delivery is an
benefits the public and meets an
instructions should be given prior to the experimental package delivery service
expected demand, contributes to the
procedure)? that offers delivery of groceries and
Postal Service’s financial stability, and
1. If so, explain why and provide a other prepackaged goods within a
is unlikely to result in unfair or
recommended time period for the customized delivery window.’’ Request
inappropriate competition. Request at
instructions to be provided. at 4. The Postal Service states that the
5–7. The Commission’s regulations
2. If not, explain why the requirement purpose of the market test is to test and
require the Postal Service to file cost
is not needed. develop a long-term, scalable solution to
and revenue information with its
3. In either case, describe the resulting facilitate expansion to additional
request for exemption. 39 CFR
health and safety benefits, or lack of markets. Id.
3035.16(f). The Postal Service asserts
benefits, to the individual being Total revenues anticipated or received
that the financial documentation and
released, the licensee, and to the public. by the Postal Service from the
workpapers submitted under seal show
Customized Delivery market test must
Dated at Rockville, Maryland, this 3rd day actual and expected revenue and costs
not exceed $10 million in any year
of April, 2017. for the market test. Request at 1, 4.
unless the Commission exempts the
For the Nuclear Regulatory Commission. The Commission invites comments on
market test from that limit.3 If the
Daniel S. Collins, whether the Request complies with
Commission grants an exemption, total
Director, Division of Material Safety, State, applicable statutory and regulatory
revenues anticipated or received by the
Tribal and Rulemaking Programs, Office of requirements, including 39 U.S.C. 3641,
Postal Service from Customized
Nuclear Material Safety and Safeguards. 39 CFR part 3035, Order No. 2224, and
Delivery may not exceed $50 million in
[FR Doc. 2017–07276 Filed 4–10–17; 8:45 am] Order No. 3543. Comments are due no
any year, adjusted for inflation. Id. 39
later than April 26, 2017. The public
BILLING CODE 7590–01–P U.S.C. 3641(e)(2), (g). In its initial notice
portions of these filings can be accessed
for the Customized Delivery market test,
via the Commission’s Web site (http://
the Postal Service requested an
POSTAL REGULATORY COMMISSION www.prc.gov).
exemption from the $10 million revenue
39 U.S.C. 505 requires the
[Docket No. MT2014–1; Order No. 3849] limitation based on then-current
Commission to designate an officer of
the Commission to represent the
Market Test of Experimental Product- 1 Request of the United States Postal Service for
interests of the general public in all
Customized Delivery Exemption from Revenue Limitation on Market Test
of Experimental Product—Customized Delivery, public proceedings (Public
AGENCY: Postal Regulatory Commission. with Portions Filed Under Seal, April 4, 2017 Representative). The Commission
(Request). previously appointed Lauren A.
srobinson on DSK5SPTVN1PROD with NOTICES
ACTION: Notice. 2 See Order Authorizing Customized Delivery
D’Agostino to serve as the Public
Market Test, October 23, 2014 (Order No. 2224); see
SUMMARY: The Commission is noticing a also Order Authorizing Extension of Customized Representative in this proceeding. She
recently-filed Postal Service request for Delivery Market Test and Updating Data Collection
an exemption from the $10 million Plan, September 28, 2016 (Order No. 3543). 4 Notice of the United States Postal Service of
3 See 39 U.S.C. 3641(e). The $10 million annual Market Test of Experimental Product—Customized
annual revenue limitation for the limitation is adjusted by the change in the Delivery, September 23, 2014, at 7.
Customized Delivery market test. This consumer price index for all urban consumers (CPI– 5 Id. The Postal Service calculates an inflation
notice informs the public of the filing, U). Id. 39 U.S.C. 3641(g). adjusted revenue limitation of $11,170,163. Id. at 2.
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![17468 Federal Register / Vol. 82, No. 68 / Tuesday, April 11, 2017 / Notices
remains appointed to serve as the Public Securities Division (‘‘GSD’’) Rulebook members. In addition, it would enhance
Representative. (‘‘GSD Rules’’) and Mortgage-Backed the CRRM by shifting it from a relative
It is ordered: Securities Division (‘‘MBSD’’) Clearing scoring approach to an absolute scoring
1. The Commission invites comments Rules (‘‘MBSD Rules,’’ and collectively approach.
on the Request of the United States with the GSD Rules, the ‘‘Rules’’).4 The This rule filing also contains
Postal Service for Exemption from proposed rule change would amend the proposed rule changes that are not
Revenue Limitation on Market Test of Rules in order to (i) enhance the matrix related to the proposed CRRM
Experimental Product—Customized (hereinafter referred to as the ‘‘Credit enhancements but that provide
Delivery, with Portions Filed Under Risk Rating Matrix’’ or ‘‘CRRM’’) 5 specificity, clarity and additional
Seal, filed April 4, 2017. developed by FICC to evaluate the risks transparency to the Rules related to
2. Pursuant to 39 U.S.C. 505, Lauren posed by certain GSD Netting Members FICC’s current ongoing membership
A. D’Agostino remains appointed to and MBSD Clearing Members monitoring process.
serve as the Public Representative in (collectively, ‘‘CRRM-Rated Members’’)
this proceeding. to FICC and its members from providing (i) Background
3. Comments by interested persons services to these CRRM-Rated Members
are due no later than April 26, 2017. FICC occupies an important role in
and (ii) make other amendments to the the securities settlement system by
4. The Secretary shall arrange for Rules to provide more transparency and
publication of this order in the Federal interposing itself through each of GSD
clarity regarding FICC’s current ongoing
Register. and MBSD as a central counterparty
membership monitoring process.
between members that are
By the Commission.
II. Clearing Agency’s Statement of the counterparties to transactions accepted
Ruth Ann Abrams,
Purpose of, and Statutory Basis for, the for clearing by FICC, thereby reducing
Acting Secretary. Proposed Rule Change the risk faced by members. FICC uses
[FR Doc. 2017–07176 Filed 4–10–17; 8:45 am] the CRRM, the Watch List (as defined
In its filing with the Commission, the
BILLING CODE 7710–FW–P
clearing agency included statements below) and the enhanced surveillance to
concerning the purpose of and basis for manage and monitor default risks of its
the proposed rule change and discussed members on an ongoing basis, as
SECURITIES AND EXCHANGE any comments it received on the discussed below. The level and
COMMISSION proposed rule change. The text of these frequency of such monitoring for a
[Release No. 34–80383; File No. SR–FICC– statements may be examined at the member is determined by the member’s
2017–006] places specified in Item IV below. The risk of default as assessed by FICC.
clearing agency has prepared Members that are deemed by FICC to
Self-Regulatory Organizations; Fixed summaries, set forth in sections A, B, pose a heightened risk to FICC and its
Income Clearing Corporation; Notice of and C below, of the most significant members are subject to closer and more
Filing of Proposed Rule Change To aspects of such statements. frequent monitoring.
Enhance the Credit Risk Rating Matrix
and Make Other Changes (A) Clearing Agency’s Statement of the Existing Credit Risk Rating Matrix
Purpose of, and Statutory Basis for, the In 2004, the Commission approved a
April 5, 2017. Proposed Rule Change
Pursuant to Section 19(b)(1) of the proposed rule change filed by FICC
Securities Exchange Act of 1934 1. Purpose (‘‘Initial Filing’’) 6 with respect to GSD
(‘‘Act’’),1 and Rule 19b–4 thereunder,2 The proposed rule change would, and MBSD to establish new criteria for
notice is hereby given that on March 22, among other things, enhance the CRRM placing certain members of FICC on a
2017, Fixed Income Clearing to enable it to rate FICC members that list for closer monitoring (‘‘Watch List’’).
Corporation (‘‘FICC’’) filed with the are foreign banks or trust companies and FICC proposed in the Initial Filing
Securities and Exchange Commission have audited financial data that is that all U.S. broker-dealers and U.S.
(‘‘Commission’’) the proposed rule publicly available. It would also banks that were GSD Netting Members
change as described in Items I, II and III enhance the CRRM by allowing it to and/or MBSD Clearing Members would
below, which Items have been prepared take into account qualitative factors be assigned a rating generated by
by the clearing agency.3 The when generating credit ratings for FICC entering financial data of those members
Commission is publishing this notice to into an internally generated credit rating
solicit comments on the proposed rule 4 Capitalized terms not defined herein are defined scorecard, i.e., the CRRM.7 In the Initial
change from interested persons. in the GSD Rules, available at www.dtcc.com/∼/ Filing, FICC stated that all other types
media/Files/Downloads/legal/rules/ficc_gov_
rules.pdf, and the MBSD Rules, available at
of GSD Netting Members and MBSD
I. Clearing Agency’s Statement of the Clearing Members would be monitored
www.dtcc.com/∼/media/Files/Downloads/legal/
Terms of Substance of the Proposed rules/ficc_mbsd_rules.pdf. by credit risk staff using financial
Rule Change 5 The proposed rule changes with respect to the
criteria deemed relevant by FICC but
The proposed rule change consists of enhancement of the CRRM are reflected in the
inclusion of (1) qualitative factors and examples
amendments to FICC’s Government thereof in the definition of ‘‘Credit Risk Rating 6 See Securities Exchange Act Release No. 49158
Matrix’’ in GSD Rule 1 and MBSD Rule 1 and (2) (January 30, 2004), 69 FR 5624 (February 5, 2004)
1 15 U.S.C. 78s(b)(1). certain GSD Foreign Netting Members that are (SR–FICC–2003–03).
2 17 banks or trust companies and MBSD Bank Clearing 7 Footnote 4 of the Initial Filing explained the
CFR 240.19b–4.
Members that are Foreign Persons as CRRM-Rated new criteria for rating members: ‘‘[FICC’s] approach
srobinson on DSK5SPTVN1PROD with NOTICES
3 On March 22, 2017, FICC filed this proposed
rule change as an advance notice (SR–FICC–2017– Members in GSD Rule 3 (Section 12(b)(i)(II)) and to the analysis of members is based on a thorough
804) with the Commission pursuant to Section MBSD Rule 3 (Section 11(b)(i)(II)). The proposed quantitative analysis. A broker-dealer member’s
806(e)(1) of Title VIII of the Dodd-Frank Wall Street enhancement to CRRM also necessitates a rating on the [CRRM] will be based on factors
Reform and Consumer Protection Act entitled the conforming change to the existing Section 12(b) including size (i.e., total excess net capital), capital,
Payment, Clearing, and Settlement Supervision Act (renumbered to Section 12(c) in this proposed rule leverage, liquidity, and profitability. Banks will be
of 2010, 12 U.S.C. 5465(e)(1), and Rule 19b– filing) of GSD Rule 3 by deleting the reference to reviewed based on size, capital, asset quality,
4(n)(1)(i) of the Act, 17 CFR 240.19b–4(n)(1)(i). A Foreign Netting Members and Bank Netting earnings, and liquidity.’’ Id. These quantitative
copy of the advance notice is available at http:// Members participating through their U.S. branches factors are still being applied today, and FICC
www.dtcc.com/legal/sec-rule-filings.aspx. or agencies, as further discussed below. currently does not plan to change them.
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Document Created: 2017-04-11 00:48:29
Document Modified: 2017-04-11 00:48:29
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Notices | |
| Action | Notice. | |
| Dates | Comments are due: April 26, 2017. | |
| Contact | David A. Trissell, General Counsel, at 202-789-6820. | |
| FR Citation | 82 FR 17467 |
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