Periodicals Pending Authorization Postage

CourtPostal Service
Citation86 FR 70382
Record Number2021-26716
Publication Date10 December 2021
70382
Federal Register / Vol. 86, No. 235 / Friday, December 10, 2021 / Rules and Regulations
the Small Business and Agriculture
Regulatory Enforcement Ombudsman
and the Regional Small Business
Regulatory Fairness Boards. The
Ombudsman evaluates these actions
annually and rates each agency’s
responsiveness to small business. If you
wish to comment on actions by
employees of the Coast Guard, call 1–
888–REG–FAIR (1–888–734–3247). The
Coast Guard will not retaliate against
small entities that question or complain
about this rule or any policy or action
of the Coast Guard.
C. Collection of Information
This rule will not call for a new
collection of information under the
Paperwork Reduction Act of 1995 (44
U.S.C. 3501–3520).
D. Federalism and Indian Tribal
Governments
A rule has implications for federalism
under Executive Order 13132,
Federalism, if it has a substantial direct
effect on the States, on the relationship
between the National Government and
the States, or on the distribution of
power and responsibilities among the
various levels of government. We have
analyzed this rule under that order and
have determined that it is consistent
with the fundamental federalism
principles and preemption requirements
described in Executive Order 13132.
Also, this rule does not have tribal
implications under Executive Order
13175, Consultation and Coordination
with Indian Tribal Governments,
because it does not have a substantial
direct effect on one or more Indian
tribes, on the relationship between the
Federal Government and Indian tribes,
or on the distribution of power and
responsibilities between the Federal
Government and Indian tribes.
E. Unfunded Mandates Reform Act
The Unfunded Mandates Reform Act
of 1995 (2 U.S.C. 1531–1538) requires
Federal agencies to assess the effects of
their discretionary regulatory actions. In
particular, the Act addresses actions
that may result in the expenditure by a
State, local, or tribal government, in the
aggregate, or by the private sector of
$100,000,000 (adjusted for inflation) or
more in any one year. Though this rule
will not result in such expenditure, we
do discuss the effects of this rule
elsewhere in this preamble.
F. Environment
We have analyzed this rule under
Department of Homeland Security
Directive 023–01, Rev. 1., associated
implementing instructions, and
Environmental Planning COMDTINST
5090.1 (series), which guide the Coast
Guard in complying with the National
Environmental Policy Act of 1969 (42
U.S.C. 4321–4370f), and have
determined that this action is one of a
category of actions that do not
individually or cumulatively have a
significant effect on the human
environment. This rule involves a safety
zone that will prohibit mariners and the
public 100 yards from the pilings, work
equipment and structures of the
Pensacola Bay Bridge, Pensacola Beach,
FL, including the channel at the center
span that will be impassable at this
time. It is categorically excluded from
further review under paragraph L60 (a)
of Appendix A, Table 1 of DHS
Instruction Manual 023–01–001–01,
Rev.01.
G. Protest Activities
The Coast Guard respects the First
Amendment rights of protesters.
Protesters are asked to call or email the
person listed in the
FOR FURTHER
INFORMATION CONTACT
section to
coordinate protest activities so that your
message can be received without
jeopardizing the safety or security of
people, places or vessels.
List of Subjects 33 CFR Part 165
Harbors, Marine safety, Navigation
(water), Reporting and recordkeeping
requirements, Security measures,
Waterways.
For the reasons discussed in the
preamble, the Coast Guard amends 33
CFR part 165 as follows:
PART 165—REGULATED NAVIGATION
AREAS AND LIMITED ACCESS AREAS
1. The authority citation for part 165
continues to read as follows:
Authority: 46 U.S.C. 70034, 70051; 33 CFR
1.05–1, 6.04–1, 6.04–6, and 160.5;
Department of Homeland Security Delegation
No. 00170.1, Revision No. 01.2.
2. Add § 165.T08–0862 to read as
follows:
§ 165.T08–0862 Safety Zone; Pensacola
Bay Bridge, Pensacola Beach, FL.
(a) Location. The following area is a
safety zone: All navigable waters within
100 yards from the pilings, work
equipment, and structures of the
Pensacola Bay Bridge, Pensacola Beach,
FL, including the channel at the center
span which will be impassable at the
time.
(b) Enforcement period. This section
is effective without actual notice from
December 10, 2021, until December 31,
2021. For purposes of enforcement,
actual notice will be used from
December 3, 2021, until December 10,
2021.
(c) Regulations. (1) The general
regulations contained in § 165.23 as
well as the regulations in this section
apply to the regulated area.
(2) Entry into this zone is prohibited
unless authorized by the Captain of the
Port Sector Mobile (COTP) or a
designated representative.
(3) Persons or vessels seeking to enter
into or transit through the zone must
request permission from the COTP or a
designated representative. They may be
contacted on VHF–FM channels 15 and
16 or by telephone at 251–441–5976.
(4) If permission is granted, all
persons and vessels must comply with
the instructions of the COTP or
designated representative.
(d) Informational broadcasts. The
COTP or a designated representative
will inform the public through
broadcast notices to mariners of the
enforcement period for the safety zone.
Dated: December 3, 2021.
L.A. Allen,
Captain, U.S. Coast Guard, Captain of the
Port Sector Mobile.
[FR Doc. 2021–26755 Filed 12–9–21; 8:45 am]
BILLING CODE 9110–04–P
POSTAL SERVICE
39 CFR Part 111
Periodicals Pending Authorization
Postage
AGENCY
: Postal Service
TM
.
ACTION
: Final rule.
SUMMARY
: The Postal Service is
amending Mailing Standards of the
United States Postal Service, Domestic
Mail Manual (DMM
®
) subsection
207.5.2 to revise the process for
calculating postage on a Periodicals
publication pending authorization.
DATES
: Effective Date: January 9, 2022.
FOR FURTHER INFORMATION CONTACT
: Elke
Reuning-Elliott at (202) 268–4063 or
Garry Rodriguez at (202) 268–7281.
SUPPLEMENTARY INFORMATION
: On
September 30, 2021, the Postal Service
published a notice of proposed
rulemaking (NPRM) (86 FR 54142) to
revise the postage calculation standards
for Periodicals pending authorization. In
response to the proposed rule, four
commenters submitted comments.
Comment: One commenter supported
the proposal changes, stating that it
would make pricing Pending periodicals
more efficient and effective.
USPS Response: The Postal Service is
grateful for the support.
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Comment: One commenter opposed
the proposal, characterizing it as a price
increase unsupported by data, analysis,
or fiscal studies that would assess its
effects.
USPS Response: The Postal Service
believes this comment misunderstands
the proposal. The Postal Service was not
proposing a price increase, which in any
event would have to be brought as a
price case before the Postal Regulatory
Commission, not a change to the
Domestic Mail Manual. Rather, the
Postal Service proposed an alternative
method of assigning non-Periodicals
prices to mailings while a mailer’s
application for Periodicals mailing
privileges is pending.
Mailers seeking Periodicals mailing
privileges must submit an application
for approval, together with appropriate
fees and supporting information to
demonstrate eligibility (DMM 207.4.1–
207.4.2; 207.4.13; 207.5.1.1–207.5.1.10;
207.10.7.1–207.10.7.3). While this
application is pending, a mailer may
prepare its mailing as Periodicals and
make use of all available dropshipping
and pre-sorting options available for
Periodicals, but the mailing is not
eligible for Periodicals prices.
As such, the mailer must provide two
postage statements with each mailing, a
Periodicals postage statement and a
postage statement for the non-
Periodicals price most closely
applicable to the mailing (DMM
207.17.2.5). The process is automated,
however, and a mailer that has an
account with the Postal Service need
only enter a Periodicals postage
statement into the Postal Service
computer systems, which then
automatically generate the non-
Periodicals postage statement and
calculate the closest applicable non-
Periodicals prices. It is the methodology
its computer systems use to assign non-
Periodicals prices that the Postal Service
proposed to revise because the current
methodology is unwieldy and limited.
On the one hand, maintaining the
underlying mapping between
Periodicals and non-Periodicals prices
is labor intensive. There are hundreds of
possible rate cells to map between
Periodicals prices and possible non-
Periodicals prices. The price for out-of-
county Periodicals, for example,
includes a per-pound price for the
percentage of advertising space; a per-
pound price for the percentage of non-
advertising space; a per-piece price that
varies by shape (i.e., letters, flats, or
parcels), sorting level (e.g., CR, 5-Digit,
3-Digit, ADC, etc.), and machinability;
and a per-bundle or per container price,
the latter of which varies by dropship
level (Notice 123, August 29, 2021).
On the other hand, and more
importantly, the current methodology
does not provide exact pricing. In some
cases, for example, a mailing might
receive a non-Periodical rate that most
closely matches by size, weight, and
shape but for which the mailing
nevertheless does not qualify because it
does not meet volume requirements.
The minimum volume requirement for a
mailing pre-sorted to ADC, 3-Digit, or 5-
Digit, for example, is 6 pieces for
Periodicals and 10 pieces for Marketing
Mail, the most closely analogous price.
Pending Periodicals mailings between 6
and 9 pieces receive the Marketing Mail
price even though those mailings do not
qualify for that price.
In other cases, an equivalent
appropriate rate simply may not exist.
For example, an out-of-county
Periodical mailing will pay one price,
an identical in-county Periodical
mailing will pay a different and lower
price, id., but no other mail product
makes an equivalent in-county/outside-
county pricing distinction. Thus, the
most closely applicable price to charge
pending in-county Periodicals as
opposed to pending outside-county
Periodicals is unclear.
Accordingly, in the September 30
NPRM, the Postal Service proposed a
simplified way to charge current non-
Periodical rates for Periodicals mailings
while a mailer’s application for
Periodicals privileges is pending.
Mailers pay non-Periodical rates based
upon commonalities of size, shape, and
weight between the Periodicals mailed
and other products. Table 1, an
expanded version of DMM Exhibit 5.2.3,
sets out possible Periodical types,
corresponding non-Periodicals
products, the reason for the association,
the relevant average per-piece prices,
and the non-Periodicals price to be paid,
expressed as a percentage to be added
to the Periodicals prices.
T
ABLE
1—P
ENDING
P
ERIODICALS AND
A
SSOCIATED
R
ATES
Periodical Associated class/subclass Reason for associated class/subclass
Average
price for
associated
class/subclass
Average
periodicals
price
1
%
Difference
Periodicals Flats ....................... Marketing Mail Flats
2
.............. Meets Flat Dimension Requirement up to
15.99 ozs. $0.542 $0.333 63
Periodicals Letters .................... Marketing Mail Letters
2
.......... Meets Letter Dimension Requirement up to
15.99 ozs. 0.258 0.295 0
Periodicals NP Flats ................. Marketing Mail NP Flats
2
....... Eligible for both Periodicals Nonprofit & Mar-
keting Nonprofit & Meets Flat Dimension
Requirement up to 15.99 ozs.
0.328 0.234 40
Periodicals NP Letters .............. Marketing Mail NP Letters
2
.... Eligible for both Periodicals Nonprofit & Mar-
keting Nonprofit & Meets Letter Dimension
Requirement up to 15.99 ozs.
0.131 0.292 0
Periodicals NP Parcels ............. Marketing Mail NP Parcels
2
... Minimum of 200 pcs or 50 lbs. Parcels under
1 pound. 1.724 0.730 136
Periodicals Parcels ................... Bound Printed Matter Parcels
3
Bound Publication with weight 1 lb & over
3
4
inch thick. 1.190 1.210 0
Periodicals Flats ....................... Bound Printed Matter Flats
3
... Bound Publication with weight 1 lb & Meets
Flat Dimension Requirement. 0.820 0.333 146
Periodicals Letters .................... First Class Letters—Single
Piece
4
.Mailing less than 200 pieces Meets Letter Di-
mension Requirement. 0.575 0.295 95
Periodicals Flats ....................... First Class Flats—Single
Piece
4
.Mailing less than 200 pieces & Meets Flat Di-
mension Requirement. 1.754 0.333 427
Periodicals Parcels ................... First Class Parcels—Retail
4
... Mailing less than 200 pieces & Meets Flat Di-
mension Requirement. 4.970 1.210 311
Periodicals Parcels ................... Parcel Select
5
......................... Unbound Publication and exceeds
3
4
thick or
weighs over 15.99 ozs. 8.290 1.210 585
Periodicals Parcels ................... Priority Mail Commercial Par-
cels
6
.Commercial Parcels weighs under 1 pound .... 7.810 1.210 545
Periodicals Parcels ................... Priority Mail Commercial Par-
cels
6
.Commercial Parcels weighs over 1 pound but
under 2 pounds. 8.580 1.210 609
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T
ABLE
1—P
ENDING
P
ERIODICALS AND
A
SSOCIATED
R
ATES
—Continued
Periodical Associated class/subclass Reason for associated class/subclass
Average
price for
associated
class/subclass
Average
periodicals
price
1
%
Difference
Periodicals Flats ....................... Priority Mail Commercial
Flats
6
.Commercial Flats weighs under 1 pound ........ 7.650 0.333 2,197
Periodicals Flats ....................... Priority Mail Commercial
Flats
6
.Commercial Parcels weighs over 1 pound but
under 2 pounds. 7.780 0.333 2,236
1
Average revenue per piece from Shape Indica for FYQ3–FY21Q2: With August approved Prices.
2
Average Price based on Q3FY2020–Q2Fy2021.
3
Average piece with weight at least 1 pound and up to 15 pounds based on Q3FY2020–Q2Fy2021.
4
Average Price based on Q3FY2020–Q2Fy2021.
5
Average Price based on Q3FY2020–Q2Fy2021 Ground and Destination Entry excluding light weight parcels.
6
Average Price based on Q3FY2020–Q2Fy2021.
For example, for Periodicals under
one pound that meet the size
requirements for Flats, mailers pay
Marketing Mail Flats prices, achieved by
multiplying the applicable Periodicals
Flats price by 1.63, (i.e., adding an
additional 63 percent of the Periodicals
price to the average per-piece
Periodicals price to reach the average,
per-piece Periodicals Flats price) and
not, as some commenters understood it,
by paying only 63 percent of the
Periodicals price. For Periodicals
weighing more than one pound or that
are more than 0.75thick, mailers pay
Bound Printed Matter Parcels prices,
achieved by multiplying the Periodicals
Parcels price by 2.46. All of this is
detailed on the Periodicals postage
statement, PS Form 3541.
The non-Periodicals prices to be paid
are expressed as the percentage
difference between the current, average
per-piece price for Periodicals and the
current, average per-piece price for the
corresponding product. The average
prices are derived from volume and
revenue data for the previous four
quarters, and thus the Postal Service
may update the percentages in Exhibit
5.2.3 each quarter to reflect quarterly
changes in volumes and revenues.
For all of the foregoing reasons, the
Postal Service disagrees with the
commenter’s contention that the
September 30 proposal for calculating
pending Periodicals prices is a price
increase and is making no changes as a
result of the comment. The Postal
Service is, however, revising the
pending postage table from the
proposed rule (Exhibit 5.2.3) by adding
‘‘Nonprofit USPS Marketing Mail
Parcels’’ as an option for eligible
Periodicals during the pending
authorization process. This option was
inadvertently omitted from the
proposal.
Comment: The two remaining
commenters oppose the proposal on a
number of grounds, though they stated
that they generally support the intent to
simplify and improve the current
process for calculating rates for pending
Periodicals.
Primarily, these commenters state that
the proposed rule appears to be a price
change that must first be approved by
the Commission. If the Postal Service’s
intent was to apply existing prices, that
was not clear from, or supported by,
information or discussion in the
proposed rule.
The commenters also state that the
proposal would result in widely
divergent, often too-high, prices and,
therefore, that the Postal Service should
either reduce the percentages given or
provide an intermediate appeals process
for the mailer to seek review of the
pending Periodicals price charged.
USPS Response: The Postal Service
appreciates the commenters’ support for
improving the process for assessing
prices for pending Periodicals.
As explained in its response to the
previous comment, the Postal Service
disagrees that the proposal for changing
the methodology for calculating prices
for pending Periodicals also proposed a
change in prices. Again, the Postal
Service proposed an alternative method
of assigning prices to mailings while a
mailer’s application for Periodicals
mailing privileges is pending. The new
methodology assigns closely applicable
non-Periodicals prices to pending
Periodicals, and these prices are
expressed as a percentage difference
between the current, average per-piece
price for Periodicals and the
corresponding current, average per-
piece price for the corresponding
product, based upon volume and
revenue for the previous four quarters.
The overall result is to assess, averaged
across all mailings, the same amount
before and after the proposal is adopted.
Looked at somewhat differently, just
as the proposal makes no direct changes
in prices, it makes no indirect changes
in prices either. Nothing about the
proposal will force pending Periodical
mailings into a higher price category
because existing, associated prices are
already applied, nor has the Postal
Service eliminated any rate cells or
categories. United States Postal Service
v. Postal Regulatory Commission, 785
F.3d 740, 751–52 (D.C. Cir. 2015);
United States Postal Service v. Postal
Regulatory Commission, 886 F.3d 1261,
1273 (D.C. Cir. 2018) (indirect changes
in prices). In short, with no changes in
prices or in available rate categories or
cells, the proposal can have no price cap
implications. Moreover, there is no
technical way to map the changes
described here on to the billing
determinants—a prerequisite for any
price cap analysis—because billing
determinants data do not separately set
out non-Periodicals rates paid by
pending Periodicals volume.
The Postal Service apologizes that the
proposal was not sufficiently clear and
trusts that this explanation shows that it
is not seeking to change prices for
pending Periodicals.
As to wide fluctuation or variability
in prices under the new methodology,
the Postal Service does not agree that
the proposed methodology results in
higher prices. Because the proposed
methodology is based upon historical
volumes and current, average prices, it
is possible that for any given mailing, a
mailer may pay a different price than it
would have paid under the existing
methodology. But those prices may be
higher than, lower than, or unchanged
from the existing methodology, though
the Postal Service expects the prices to
be close to those given by the present
methodology.
Over multiple mailings during the
pendency of an application for
Periodicals privileges, however, mailers
should collectively be paying
approximately the same prices under
both the previous and proposed
methodologies. As such, the Postal
Service disagrees that it should reduce
the proposed percentage multipliers in
DMM Exhibit 5.2.3.
For that same reason, the Postal
Service disagrees that it should provide
an additional opportunity for review of
pending Periodicals pricing. What is
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more, the opportunity for this review
already exists. When the Postal Service
grants a mailer’s application for
Periodicals mailing privileges, the
Postal Service refunds to the mailer the
difference between the Periodicals
prices for the mailings made while the
application was pending and the higher,
non-Periodicals prices the mailer
actually paid for those mailings (DMM
207.5.2.2b, 207.5.3.5). Any mailer
whose application for Periodicals
privileges is denied and who therefore
does not receive this refund may appeal
the denial (DMM 207.5.3.7). This appeal
was available to the approximately 25
percent of 289 applications for
Periodicals privileges denied by the
Postal Service in FY 2020 and 2021.
The Postal Service is revising the
process to calculate pending postage by
assigning the existing applicable class of
mail prices based upon common
characteristics of shape and weight.
Each applicable class of mail price will
be expressed as a percentage from the
corresponding Periodicals price. This
new process will simplify the
calculation process during the
authorization review period, and the
refund process when a Periodicals
publication is approved.
We believe this revision will provide
customers with a more efficient and
easier process.
List of Subjects in 39 CFR Part 111
Administrative practice and
procedure, Postal Service.
The Postal Service adopts the
following changes to Mailing Standards
of the United States Postal Service,
Domestic Mail Manual (DMM),
incorporated by reference in the Code of
Federal Regulations. See 39 CFR 111.1.
We will publish an appropriate
amendment to 39 CFR part 111 to reflect
these changes.
Accordingly, 39 CFR part 111 is
amended as follows:
PART 111—[AMENDED]
1. The authority citation for 39 CFR
part 111 continues to read as follows:
Authority: 5 U.S.C. 552(a); 13 U.S.C. 301–
307; 18 U.S.C. 1692–1737; 39 U.S.C. 101,
401–404, 414, 416, 3001–3018, 3201–3220,
3401–3406, 3621, 3622, 3626, 3629, 3631–
3633, 3641, 3681–3685, and 5001.
2. Revise the Mailing Standards of the
United States Postal Service, Domestic
Mail Manual (DMM) as follows:
Mailing Standards of the United States
Postal Service, Domestic Mail Manual
(DMM)
* * * * *
200 Commercial Mail Letters, Flats,
and Parcels
* * * * *
207 Periodicals
* * * * *
5.0 Applying for Periodicals
Authorization
* * * * *
5.2 Mailing While Application
Pending
* * * * *
[Renumber 5.2.3 and 5.2.4 as 5.2.4
and 5.2.5, add new 5.2.3 to read as
follows:]
5.2.3 Pending Postage
Postage for a Periodicals publication
pending authorization is calculated by
applying the applicable percent in
Exhibit 5.2.3 to PS Form 3541, Part P,
Line P–1.
Exhibit 5.2.3 Pending Postage
Pending class of mail Percent
USPS Marketing Mail Letters .................. * 00
USPS Marketing Mail Flats ..................... 63
Nonprofit USPS Marketing Mail Letters .. * 00
Nonprofit USPS Marketing Mail Flats ..... 40
Nonprofit USPS Marketing Mail Parcels 136
Bound Printed Matter Flats ..................... 146
Bound Printed Matter Parcels ................. * 00
Parcel Select Parcels .............................. 585
First-Class Mail Letters ........................... 95
First-Class Mail Flats ............................... 427
First-Class Package Service-R ............... 311
Priority Mail ............................................. 545
*Use Periodicals prices.
* * * * *
Ruth B. Stevenson,
Chief Counsel, Ethics and Legal Compliance.
[FR Doc. 2021–26716 Filed 12–7–21; 11:15 am]
BILLING CODE P
ENVIRONMENTAL PROTECTION
AGENCY
40 CFR Parts 9 and 721
[EPA–HQ–OPPT–2020–0131; FRL–7842–02–
OCSPP]
RIN 2070–AB27
Significant New Use Rules on Certain
Chemical Substances (20–2.5e)
AGENCY
: Environmental Protection
Agency (EPA).
ACTION
: Final rule.
SUMMARY
: EPA is issuing significant new
use rules (SNURs) under the Toxic
Substances Control Act (TSCA) for
chemical substances that were the
subject of premanufacture notices
(PMNs). The SNURs require persons
who intend to manufacture (defined by
statute to include import) or process any
of these chemical substances for an
activity that is designated as a
significant new use by this rule to notify
EPA at least 90 days before commencing
that activity. The required notification
initiates EPA’s evaluation of the use,
under the conditions of use for that
chemical substance, within the
applicable review period. Persons may
not commence manufacture or
processing for the significant new use
until EPA has conducted a review of the
notice, made an appropriate
determination on the notice, and has
taken such actions as are required by
that determination.
DATES
: This rule is effective on February
8, 2022. For purposes of judicial review,
this rule shall be promulgated at 1 p.m.
(e.s.t.) on December 27, 2021.
FOR FURTHER INFORMATION CONTACT
: For
technical information contact: William
Wysong, New Chemicals Division
(7405M), Office of Pollution Prevention
and Toxics, Environmental Protection
Agency, 1200 Pennsylvania Ave. NW,
Washington, DC 20460–0001; telephone
number: (202) 564–4163; email address:
wysong.william@epa.gov. For general
information contact: The TSCA-Hotline,
ABVI-Goodwill, 422 South Clinton
Ave., Rochester, NY 14620; telephone
number: (202) 554–1404; email address:
TSCA-Hotline@epa.gov.
SUPPLEMENTARY INFORMATION
:
I. General Information
A. Does this action apply to me?
You may be potentially affected by
this action if you manufacture, process,
or use the chemical substances
contained in this rule. The following list
of North American Industrial
Classification System (NAICS) codes is
not intended to be exhaustive, but rather
provides a guide to help readers
determine whether this document
applies to them. Potentially affected
entities may include:
Manufacturers or processors of one
or more subject chemical substances
(NAICS codes 325 and 324110), e.g.,
chemical manufacturing and petroleum
refineries.
This action may also affect certain
entities through pre-existing import
certification and export notification
rules under TSCA. Chemical importers
are subject to the TSCA section 13 (15
U.S.C. 2612) import provisions
promulgated at 19 CFR 12.118 through
12.127 and 19 CFR 127.28. Chemical
importers must certify that the shipment
of the chemical substance complies with
all applicable rules and Orders under
TSCA, which would include the SNUR
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