Change in Rates and Classes of General Applicability for Competitive Products
| Published date | 20 October 2020 |
| Citation | 85 FR 66760 |
| Record Number | 2020-23152 |
| Section | Notices |
| Court | Postal Service |
Federal Register, Volume 85 Issue 203 (Tuesday, October 20, 2020)
[Federal Register Volume 85, Number 203 (Tuesday, October 20, 2020)]
[Notices]
[Pages 66760-66868]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-23152]
[[Page 66759]]
Vol. 85
Tuesday,
No. 203
October 20, 2020
Part II
Postal Service
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Change in Rates and Classes of General Applicability for Competitive
Products; Notice
Federal Register / Vol. 85, No. 203 / Tuesday, October 20, 2020 /
Notices
[[Page 66760]]
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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.
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SUMMARY: This notice sets forth changes in rates of general
applicability for competitive products.
DATES: This action begins January 24, 2021.
FOR FURTHER INFORMATION CONTACT: Christopher C. Meyerson, 202-268-7820.
SUPPLEMENTARY INFORMATION: On October 9, 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).
Ruth Stevenson,
Chief Counsel, Federal Compliance.
Decision of the Governors of the United States Postal Service on
Changes in Rates and Classes of General Applicability for Competitive
International Products (Governors' Decision No. 20-4)
October 6, 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
(1) 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; (2)
establish changes in country groups in rate tables for Priority Mail
Express International (PMEI), Priority Mail International (PMI),
International Priority Airmail (IPA), International Surface Air Lift
(ISAL), Outbound Single-Piece First-Class Package Service (FCPIS), as
provided in sections 2305.6, 2315.6, 2320.6, 2325.6, and 2335.6,
respectively, of the Mail Classification Schedule; (3) make changes to
the country price lists for international mail that appear in Part D of
the Mail Classification Schedule; (4) establish changes in
classifications concerning the minimum size limits of small packets
when sent as IPA, ISAL, and FCPIS, as set forth in sections 2320.2,
2325.2, and 2335.2. 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 8.8 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 and classification changes are in accordance with 39 U.S.C.
3632-3633 and 39 CFR 3035.102.
I. International Expedited Services
International expedited services include Global Express Guaranteed
(GXG) and Priority Mail Express International (PMEI). Overall, GXG
prices will be subject to a 0.9 percent increase, and PMEI will be
subject to an overall 3.6 percent increase. Commercial Plus prices will
be equivalent to Commercial Base; however, deeper discounting may still
be made available to customers through negotiated service agreements.
Also, three additional country price groups are being added for PMEI.
In order to better align the country groupings for PMEI based on volume
and geography, the country groupings for PMEI will be realigned.
II. Priority Mail International
The overall increase for Priority Mail International (PMI) will be
5.1 percent. Commercial Plus prices will be equivalent to Commercial
Base; however, deeper discounting may still be made available to
customers through negotiated service agreements. Also, three additional
country price groups are being added for PMI. In order to better align
the country groupings for PMI based on volume and geography, the
country groupings for PMI will be realigned.
III. International Priority Airmail and International Surface Air Lift
Published prices for International Priority Airmail (IPA) letters,
flats and packets will increase by 74.1 percent. Published prices for
International Surface Air Lift (ISAL) letters, flats, and packets will
increase by 32.6 percent. One additional country price group is being
added to both IPA and ISAL. In order to better align the country
groupings for IPA and ISAL based on volume and geography, the country
groupings for IPA and ISAL will be realigned. Also, the minimum size
limits of small packets when sent as IPA or ISAL will be revised to
conform to Universal Postal Union (UPU) standards. The minimum
dimensions will be changed to 6 inches in length and 4 inches in
height.
IV. Airmail M-Bags
The published prices for Airmail M-Bags will increase by 5.0
percent.
V. First-Class Package International ServiceTM
The overall increase for First-Class Package International Service
(FCPIS) prices will be 4.8 percent. Commercial Plus prices will be
equivalent to Commercial Base; however, deeper discounting will still
be made available to customers through negotiated service agreements.
Eleven additional country price groups are being added for FCPIS. In
order to better align the country groupings for FCPIS based on volume
and geography, the country groupings for FCPIS will be realigned. Also,
the minimum size limits of small packets when sent as FCPIS will be
revised to conform to Universal Postal Union (UPU) standards. The
minimum dimensions will be changed to 6 inches in length and 4 inches
in height.
VI. International Ancillary Services and Special Services
Prices for several international ancillary services will be
increased, with an overall increase of 3.4 percent.
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/
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Robert M. Duncan,
Chairman, Board of Governors.
[[Page 66761]]
United States Postal Service
Office of the Board of Governors
Certification of Governors' Vote on Governors' Decision No. 20-4
Consistent with 39 U.S.C. 3632(a), I hereby certify that, on
October 6, 2020, the Governors voted on adopting Governors' Decision
No. 20-4, and that a majority of the Governors then holding office
voted in favor of that Decision.
Date: October 6, 2020.
/s/
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Katherine Sigler,
Acting Secretary of the Board of Governors.
BILLING CODE 7710-12-P
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[FR Doc. 2020-23152 Filed 10-19-20; 8:45 am]
BILLING CODE 7710-12-C
