Periodicals Pending Authorization Postage

• Published date: 10 December 2021
• Citation: 86 FR 70382
• Record Number: 2021-26716
• Section: Rules and Regulations
• Court: Postal Service

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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Federal Register / Vol. 86, No. 235 / Friday, December 10, 2021 / Rules and Regulations

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 0.75″ thick, 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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Federal Register / Vol. 86, No. 235 / Friday, December 10, 2021 / Rules and Regulations

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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