83_FR_31844 83 FR 31713 - Periodic Reporting

83 FR 31713 - Periodic Reporting

POSTAL REGULATORY COMMISSION

Federal Register Volume 83, Issue 131 (July 9, 2018)

Page Range31713-31714
FR Document2018-14621

The Commission is acknowledging a recent filing requesting the Commission initiate an informal rulemaking proceeding to consider changes to an analytical method for use in periodic reporting (Proposal Six). This document informs the public of the filing, invites public comment, and takes other administrative steps.

Federal Register, Volume 83 Issue 131 (Monday, July 9, 2018)
[Federal Register Volume 83, Number 131 (Monday, July 9, 2018)]
[Proposed Rules]
[Pages 31713-31714]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-14621]


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POSTAL REGULATORY COMMISSION

39 CFR Part 3050

[Docket No. RM2018-9; Order No. 4692]


Periodic Reporting

AGENCY: Postal Regulatory Commission.

ACTION: Notice of proposed rulemaking.

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SUMMARY: The Commission is acknowledging a recent filing requesting the 
Commission initiate an informal rulemaking proceeding to consider 
changes to an analytical method for use in periodic reporting (Proposal 
Six). This document informs the public of the filing, invites public 
comment, and takes other administrative steps.

DATES: Comments are due: August 15, 2018.

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. Proposal Six
III. Notice and Comment
IV. Ordering Paragraphs

I. Introduction

    On June 26, 2018, the Postal Service filed a petition pursuant to 
39 CFR 3050.11, requesting that the Commission initiate a rulemaking 
proceeding to consider changes to analytical principles relating to 
periodic reports.\1\ The Petition identifies the

[[Page 31714]]

proposed analytical changes filed in this docket as Proposal Six.
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    \1\ Petition of the United States Postal Service for the 
Initiation of a Proceeding to Consider Proposed Changes in 
Analytical Principles (Proposal Six), June 26, 2018 (Petition). The 
Postal Service filed a non-public library reference with Proposal 
Six. Library Reference USPS-RM2018-9/NP1, Nonpublic Material 
Relating to Proposal Six, June 26, 2018; Notice of Filing of USPS-
RM2018-9/NP1 and Application for Nonpublic Treatment, June 26, 2018.
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II. Proposal Six

    Background. The Postal Service indicates that Proposal Six 
addresses two issues regarding the treatment of international indemnity 
payments. Petition, Proposal Six at 1. First, the Postal Service states 
this proposal ``addresses the issue of assigning claims for Priority 
Mail International (PMI) service to Outbound International Insurance, 
rather than to the PMI product.'' \2\
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    \2\ Id. (citing Docket No. ACR2017, United States Postal Service 
Annual Compliance Report, December 29, 2017, at 71 (FY 2017 ACR)).
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    Second, the Postal Service states that Proposal Six responds to a 
directive in the FY 2017 Annual Compliance Determination report (ACD). 
Id. In the FY 2017 ACD, the Commission directed the Postal Service to 
file a report on its ``evaluation of Outbound International Insurance 
cost reporting'' within 90 days of the FY 2017 ACD, including a 
determination of ``whether a change in analytical principles is 
warranted.'' \3\
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    \3\ Id.; see Annual Compliance Determination Report, Fiscal Year 
2017, March 29, 2018, at 88 (FY 2017 ACD).
---------------------------------------------------------------------------

    Proposal. The Postal Service states that Proposal Six will ``expand 
the distribution of the attributable costs for International Indemnity 
payments to include International Inbound Indemnity payments.'' 
Petition, Proposal Six at 2. The proposal separates Outbound 
International Insurance indemnities from Inbound International 
Insurance indemnities, and ``develop[s] separate decision rules for 
treating the costs relating to Outbound International indemnities and 
Inbound International indemnities.'' Id. Specifically, the Postal 
Service proposes for Outbound International Insurance indemnities ``1) 
when additional insurance is not purchased, the indemnity cost will be 
assigned to the base parent product, and 2) when additional insurance 
is purchased, the indemnity cost will be assigned to the Outbound 
International Insurance product.'' Id. at 4. For Inbound International 
Insurance, the Postal Service proposes to split these indemnities from 
Outbound International indemnities and distribute the costs to their 
respective inbound products. Id. at 5-6.
    Rationale and impact. The Postal Service states that the current 
cost reporting requires ``refinements'' which ``may not rise to the 
level of a change in analytical principles.'' Id. at 2. It explains 
that the proposed methodology will correct the prior method of 
distributing international indemnity payments. Id. The Postal Service 
identifies the likely effects of Proposal Six on the development of the 
International Cost and Revenue Analysis (ICRA) report in non-public 
Library Reference USPS-RM2018-9/NP1. Id. at 2-3. The Petition indicates 
the proposal shifts costs from Outbound International Insurance to 
Inbound International Insurance, resulting in an improvement in 
contribution for Outbound products and a decline in contribution for 
Inbound products, and provides cell-by-cell differences between the 
proposed methodology and the data provided in the ICRA as part of the 
Postal Service's annual compliance report for FY 2017. Id. at 2-6. The 
Postal Service anticipates the overall net impact would not result in a 
negative contribution by any product that previously had a positive 
contribution, but also would not result in a positive contribution by 
any product that currently has a negative contribution. Id. at 3.

III. Notice and Comment

    The Commission establishes Docket No. RM2018-9 for consideration of 
matters raised by the Petition. More information on the Petition may be 
accessed via the Commission's website at http://www.prc.gov. Interested 
persons may submit comments on the Petition and Proposal Six no later 
than August 15, 2018. Pursuant to 39 U.S.C. 505, Kenneth R. Moeller is 
designated as an officer of the Commission (Public Representative) to 
represent the interests of the general public in this proceeding.

IV. Ordering Paragraphs

    It is ordered:
    1. The Commission establishes Docket No. RM2018-9 for consideration 
of the matters raised by the Petition of the United States Postal 
Service for the Initiation of a Proceeding to Consider Proposed Changes 
in Analytical Principles (Proposal Six), filed June 26, 2018.
    2. Comments by interested persons in this proceeding are due no 
later than August 15, 2018.
    3. Pursuant to 39 U.S.C. 505, the Commission appoints Kenneth R. 
Moeller to serve as an officer of the Commission (Public 
Representative) to represent the interests of the general public in 
this docket.
    4. The Secretary shall arrange for publication of this order in the 
Federal Register.

    By the Commission.
Ruth Ann Abrams,
Acting Secretary.
[FR Doc. 2018-14621 Filed 7-6-18; 8:45 am]
 BILLING CODE 7710-FW-P



                                                                             Federal Register / Vol. 83, No. 131 / Monday, July 9, 2018 / Proposed Rules                                                         31713

                                                  absorbent cushioning materials, sealed                   Postal Service, Domestic Mail Manual                       enough to withstand normal processing
                                                  secondary packaging, and a strong outer                  (DMM), as follows:                                         in Postal Service networks.
                                                  mailing container. The Postal Service is                                                                            *    *     *     *    *
                                                  also adding language to encourage the                    Mailing Standards of the United States
                                                  use of locking rings when mailing metal                  Postal Service, Domestic Mail Manual                       Ruth Stevenson,
                                                  containers with friction-top closures                    (DMM)                                                      Attorney, Federal Compliance.
                                                  (push-down tops).                                        *       *         *       *       *                        [FR Doc. 2018–14382 Filed 7–6–18; 8:45 am]
                                                    The Postal Service believes these new                                                                             BILLING CODE 7710–12–P
                                                  mailing standards will prevent spills in                 600 Basic Standards for All Mailing
                                                  general and reduce the frequency of                      Services
                                                  incidents in which ruptured containers                   601     Mailability                                        POSTAL REGULATORY COMMISSION
                                                  of liquid cause significant damage to
                                                  surrounding mailpieces. The Postal                       *       *         *       *       *                        39 CFR Part 3050
                                                  Service anticipates that this proposed                   3.0     Packaging                                          [Docket No. RM2018–9; Order No. 4692]
                                                  revision will result in decreased cost
                                                  and time related to spill response, mail                 *       *         *       *       *                        Periodic Reporting
                                                  decontamination, site cleanup, and                       3.4     Liquids
                                                  provide for an improved customer                                                                                    AGENCY:   Postal Regulatory Commission.
                                                  experience.                                                 [Revise the introductory paragraph of                   ACTION:   Notice of proposed rulemaking.
                                                    If this proposed rule is adopted, the                  3.4 to read as follows:]                                   SUMMARY:    The Commission is
                                                  Postal Service will revise and align the                    Mailers must mark the outer container                   acknowledging a recent filing requesting
                                                  language referencing the packaging of
                                                                                                           of a mailpiece containing liquid to                        the Commission initiate an informal
                                                  nonhazardous liquids located in DMM
                                                                                                           indicate the nature of the contents, and                   rulemaking proceeding to consider
                                                  601.3.4 and add clarifying language
                                                                                                           include orientation arrows in                              changes to an analytical method for use
                                                  regarding the use of orientation arrows.
                                                                                                           accordance with Publication 52, section                    in periodic reporting (Proposal Six).
                                                  The Postal Service will also publish an
                                                                                                           226. Mailers must package and mail                         This document informs the public of the
                                                  appropriate amendment to 39 CFR part
                                                                                                           liquids under the following conditions:                    filing, invites public comment, and
                                                  111 to reflect these changes. Finally, if
                                                                                                                                                                      takes other administrative steps.
                                                  the proposed rule is adopted, the Postal                    [Revise 601.3.4a to read as follows:]
                                                  Service will also make corresponding                                                                                DATES: Comments are due: August 15,
                                                                                                              a. Use screw-on caps with a minimum                     2018.
                                                  revisions to Publication 52, Hazardous,                  of one and one-half turns, soldering,
                                                  Restricted, and Perishable Mail, section                 clips, or similar means to close primary                   ADDRESSES:   Submit comments
                                                  451 to align both publications with                      containers containing liquids. Do not                      electronically via the Commission’s
                                                  regard to the packaging of liquids in its                                                                           Filing Online system at http://
                                                                                                           use containers with friction-top closures
                                                  networks.                                                                                                           www.prc.gov. Those who cannot submit
                                                                                                           (push-down tops) except as provided in
                                                    Although exempt from the notice and                                                                               comments electronically should contact
                                                                                                           3.4d.
                                                  comment requirements of the                                                                                         the person identified in the FOR FURTHER
                                                  Administrative Procedure Act (5 U.S.C.                      [Renumber the current 601.3.4b                          INFORMATION CONTACT section by
                                                  553(b), (c)) regarding proposed                          through 601.3.4d as the new 601.3.4c                       telephone for advice on filing
                                                  rulemaking by 39 U.S.C. 410(a), the                      through 601.3.4e and add a new                             alternatives.
                                                  Postal Service invites public comments                   601.3.4b to read as follows:]                              FOR FURTHER INFORMATION CONTACT:
                                                  on the following proposed revisions to                      b. The use of locking rings or similar                  David A. Trissell, General Counsel, at
                                                  Mailing Standards of the United States                   devices is encouraged when mailing                         202–789–6820.
                                                  Postal Service, Domestic Mail Manual                     containers with friction-top closures                      SUPPLEMENTARY INFORMATION:
                                                  (DMM), incorporated by reference in the                  (push-down tops).
                                                  Code of Federal Regulations (see 39 CFR                                                                             Table of Contents
                                                  111.1).                                                  *      *     *    *     *
                                                                                                                                                                      I. Introduction
                                                                                                              [Revise renumbered 601.3.4d to read                     II. Proposal Six
                                                  List of Subjects in 39 CFR Part 111
                                                                                                           as follows:]                                               III. Notice and Comment
                                                    Administrative practice and                               d. All nonmetal containers of liquids,                  IV. Ordering Paragraphs
                                                  procedure, Incorporation by reference,
                                                                                                           including plastic containers, and metal                    I. Introduction
                                                  Postal Service.
                                                                                                           containers with friction top closures,
                                                    Accordingly, for the reasons stated in                                                                               On June 26, 2018, the Postal Service
                                                                                                           without regard to volume, must be
                                                  the preamble, the Postal Service                                                                                    filed a petition pursuant to 39 CFR
                                                                                                           triple-packaged according to the                           3050.11, requesting that the
                                                  proposes that 39 CFR parts 111 and 113                   following requirements:
                                                  be amended as follows:                                                                                              Commission initiate a rulemaking
                                                                                                              1. Cushion the primary container(s)                     proceeding to consider changes to
                                                  PART 111—[AMENDED]                                       with absorbent material capable of                         analytical principles relating to periodic
                                                                                                           absorbing all of the liquid in the                         reports.1 The Petition identifies the
                                                  ■ 1. The authority citation for 39 CFR                   container(s) in case of breakage;
sradovich on DSK3GMQ082PROD with PROPOSALS




                                                  part 111 continues to read as follows:                                                                                1 Petition of the United States Postal Service for
                                                                                                              2. Place the primary container inside                   the Initiation of a Proceeding to Consider Proposed
                                                    Authority: 5 U.S.C. 552(a); 13 U.S.C. 301–             another sealed, leakproof container                        Changes in Analytical Principles (Proposal Six),
                                                  307; 18 U.S.C. 1692–1737; 39 U.S.C. 101,
                                                                                                           (secondary container), such as a                           June 26, 2018 (Petition). The Postal Service filed a
                                                  401, 403, 404, 414, 416, 3001–3011, 3201–                                                                           non-public library reference with Proposal Six.
                                                  3219, 3403–3406, 3621, 3622, 3626, 3632,                 watertight can or plastic bag; and
                                                                                                                                                                      Library Reference USPS–RM2018–9/NP1,
                                                  3633, and 5001.                                             3. Use a strong and securely sealed                     Nonpublic Material Relating to Proposal Six, June
                                                                                                           outer mailing container durable enough                     26, 2018; Notice of Filing of USPS–RM2018–9/NP1
                                                  ■2. Revise the following sections of                                                                                and Application for Nonpublic Treatment, June 26,
                                                  Mailing Standards of the United States                   to protect the contents and durable                        2018.



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                                                  31714                      Federal Register / Vol. 83, No. 131 / Monday, July 9, 2018 / Proposed Rules

                                                  proposed analytical changes filed in this                for Outbound International Insurance                  currently has a negative contribution.
                                                  docket as Proposal Six.                                  indemnities ‘‘1) when additional                      Id. at 3.
                                                                                                           insurance is not purchased, the
                                                  II. Proposal Six                                                                                               III. Notice and Comment
                                                                                                           indemnity cost will be assigned to the
                                                     Background. The Postal Service                        base parent product, and 2) when                         The Commission establishes Docket
                                                  indicates that Proposal Six addresses                    additional insurance is purchased, the                No. RM2018–9 for consideration of
                                                  two issues regarding the treatment of                    indemnity cost will be assigned to the                matters raised by the Petition. More
                                                  international indemnity payments.                        Outbound International Insurance                      information on the Petition may be
                                                  Petition, Proposal Six at 1. First, the                  product.’’ Id. at 4. For Inbound                      accessed via the Commission’s website
                                                  Postal Service states this proposal                      International Insurance, the Postal                   at http://www.prc.gov. Interested
                                                  ‘‘addresses the issue of assigning claims                Service proposes to split these                       persons may submit comments on the
                                                  for Priority Mail International (PMI)                    indemnities from Outbound                             Petition and Proposal Six no later than
                                                  service to Outbound International                        International indemnities and distribute              August 15, 2018. Pursuant to 39 U.S.C.
                                                  Insurance, rather than to the PMI                        the costs to their respective inbound                 505, Kenneth R. Moeller is designated as
                                                  product.’’ 2                                             products. Id. at 5–6.                                 an officer of the Commission (Public
                                                     Second, the Postal Service states that                  Rationale and impact. The Postal                    Representative) to represent the
                                                  Proposal Six responds to a directive in                  Service states that the current cost                  interests of the general public in this
                                                  the FY 2017 Annual Compliance                            reporting requires ‘‘refinements’’ which              proceeding.
                                                  Determination report (ACD). Id. In the                   ‘‘may not rise to the level of a change
                                                  FY 2017 ACD, the Commission directed                     in analytical principles.’’ Id. at 2. It              IV. Ordering Paragraphs
                                                  the Postal Service to file a report on its               explains that the proposed methodology                  It is ordered:
                                                  ‘‘evaluation of Outbound International                   will correct the prior method of                        1. The Commission establishes Docket
                                                  Insurance cost reporting’’ within 90                     distributing international indemnity                  No. RM2018–9 for consideration of the
                                                  days of the FY 2017 ACD, including a                     payments. Id. The Postal Service                      matters raised by the Petition of the
                                                  determination of ‘‘whether a change in                   identifies the likely effects of Proposal             United States Postal Service for the
                                                  analytical principles is warranted.’’ 3                  Six on the development of the                         Initiation of a Proceeding to Consider
                                                     Proposal. The Postal Service states                   International Cost and Revenue                        Proposed Changes in Analytical
                                                  that Proposal Six will ‘‘expand the                      Analysis (ICRA) report in non-public                  Principles (Proposal Six), filed June 26,
                                                  distribution of the attributable costs for               Library Reference USPS–RM2018–9/                      2018.
                                                  International Indemnity payments to                      NP1. Id. at 2–3. The Petition indicates                 2. Comments by interested persons in
                                                  include International Inbound                            the proposal shifts costs from Outbound               this proceeding are due no later than
                                                  Indemnity payments.’’ Petition,                          International Insurance to Inbound                    August 15, 2018.
                                                  Proposal Six at 2. The proposal                          International Insurance, resulting in an                3. Pursuant to 39 U.S.C. 505, the
                                                  separates Outbound International                         improvement in contribution for                       Commission appoints Kenneth R.
                                                  Insurance indemnities from Inbound                       Outbound products and a decline in                    Moeller to serve as an officer of the
                                                  International Insurance indemnities,                     contribution for Inbound products, and                Commission (Public Representative) to
                                                  and ‘‘develop[s] separate decision rules                 provides cell-by-cell differences                     represent the interests of the general
                                                  for treating the costs relating to                       between the proposed methodology and                  public in this docket.
                                                  Outbound International indemnities and                   the data provided in the ICRA as part of                4. The Secretary shall arrange for
                                                  Inbound International indemnities.’’ Id.                 the Postal Service’s annual compliance                publication of this order in the Federal
                                                  Specifically, the Postal Service proposes                report for FY 2017. Id. at 2–6. The Postal            Register.
                                                                                                           Service anticipates the overall net
                                                    2 Id. (citing Docket No. ACR2017, United States
                                                                                                           impact would not result in a negative                  By the Commission.
                                                  Postal Service Annual Compliance Report,                 contribution by any product that                      Ruth Ann Abrams,
                                                  December 29, 2017, at 71 (FY 2017 ACR)).                                                                       Acting Secretary.
                                                    3 Id.; see Annual Compliance Determination             previously had a positive contribution,
                                                  Report, Fiscal Year 2017, March 29, 2018, at 88 (FY      but also would not result in a positive               [FR Doc. 2018–14621 Filed 7–6–18; 8:45 am]
                                                  2017 ACD).                                               contribution by any product that                      BILLING CODE 7710–FW–P
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Document Created: 2018-07-07 00:42:23
Document Modified: 2018-07-07 00:42:23
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionProposed Rules
ActionNotice of proposed rulemaking.
DatesComments are due: August 15, 2018.
ContactDavid A. Trissell, General Counsel, at 202-789-6820.
FR Citation83 FR 31713 

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