[Federal Register Volume 75, Number 146 (Friday, July 30, 2010)]
[Notices]
[Pages 44993-44994]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-18701]
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POSTAL REGULATORY COMMISSION
[Docket Nos. MC2010-27, CP2010-69; and CP2010-70, Order No. 493]
New Postal Product
AGENCY: Postal Regulatory Commission.
ACTION: Notice.
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SUMMARY: The Commission is noticing a recently-filed Postal Service
request to add Global Plus 2A to the competitive product list. The
Postal Service has also filed related contracts. This notice addresses
procedural steps associated with the filing.
DATES: Comments are due: July 27, 2010.
ADDRESSES: Submit comments electronically via the Commission's Filing
Online system at http://www.prc.gov. Commenters who cannot submit their
views electronically should contact the person identified in the FOR
FURTHER INFORMATION CONTACT section by telephone for advice on
alternatives to electronic filing.
FOR FURTHER INFORMATION CONTACT: Stephen L. Sharfman, General Counsel,
[email protected] or 202-789-6820.
SUPPLEMENTARY INFORMATION:
Table of Contents
I. Introduction
II. Notice of Filing
III. Ordering Paragraphs
I. Introduction
The Postal Service seeks to add a new product, Global Plus 2A, to
the competitive product list and to that end, filed notice, pursuant to
39 CFR 3015.5, announcing that it has entered into two additional
Global Plus 2A contracts.\1\ The Postal Service states that the instant
contracts are functionally equivalent to one another and to previously
submitted Global Plus 2 contracts, and are filed in accordance with
Order No. 112.\2\ It states further that the instant contracts are
supported by Governors' Decision No. 08-10, which establishes prices
and classifications not of general applicability for Global Direct,
Global Bulk Economy and Global Plus Contracts.\3\
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\1\ Notice of the United States Postal Service of Filing of Two
Functionally Equivalent Global Plus 2A Contracts Negotiated Service
Agreements, July 13, 2010 (Notice); see Errata to Notice of the
United States Postal Service of Filing of Two Functionally
Equivalent Global Plus 2A Contracts Negotiated Service Agreements,
July 14, 2010; see also Notice of the United States Postal Service
of Filing a Signed Global Plus 2A Negotiated Service Agreement, July
15, 2010.
\2\ See Docket Nos. MC2008-7, CP2008-16 and CP2008-17, Order
Concerning Global Plus 2 Negotiated Service Agreements, October 3,
2008 (Order No. 112).
\3\ See Docket No. MC2008-7, CP2008-16, and CP2008-17, Request
of the United States Postal Service to Add Global Plus 2 Negotiated
Service Agreements to the Competitive Product List, and Notice of
Filing (Under Seal) the Enabling Governors' Decision and Two
Functionally Equivalent Agreements, Attachment 1, August 8, 2010.
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While the Postal Service's filing was not submitted pursuant to 39
U.S.C. 3020.30 et seq., it appears to request the addition of a new
product to the competitive product list. Docket No. MC2010-27 is
established to consider this part of the filing.
The Postal Service contemporaneously filed copies of the contracts
related to the proposed competitive product classification pursuant to
39 U.S.C. 3632(b)(3) and 39 CFR 3015.5. The contracts have been
assigned Docket Nos. CP2010-69 and CP2010-70, respectively.
The instant contracts. The Postal Service filed the instant
contracts pursuant to 39 CFR 3015. The Postal Service states that the
instant contracts are the immediate successor contracts to those in
Docket Nos. CP2009-48 and CP2009-49 that are scheduled to expire July
31, 2010. Notice at 2-3. The instant contracts are expected to begin
August 1, 2010, and expire on the day prior to the day of any changes
in the published rates that affect the Qualifying Mail subject to the
contracts. Id. at 3-4.
The Postal Service filed copies of the contracts, Governors'
Decision with attachments, and supporting financial documentation under
seal. Id. at 2.
Additionally, in support of its Notice, the Postal Service filed
the following five attachments:
1. Attachment 1-a statement of supporting justification required by
39 CFR 3020.32;
2. Attachments 2A and 2B-a redacted copy of each contract;
3. Attachment 3A and 3B-a certified statement for each contract
required by 39 CFR 3015.5(c)(2);
4. Attachment 4-a redacted copy of Governors' Decision No. 08-10,
which establishes prices and classifications for Global Direct, Global
Bulk Economy, and Global Plus Contracts, formulas for the prices,
analysis and certification of the formulas and certification of the
Governors' vote; and
5. Attachment 5-an application for non-public treatment of
materials to maintain the contract and supporting documents under seal.
Functional equivalence. The Postal Service asserts that the instant
contracts are functionally equivalent both to one another and to the
precursor Global Plus 2 contracts in that they share similar cost and
market characteristics. Id. at 4. It contends as a result the instant
contracts should be grouped together as a single product. Id.
The Postal Service addresses similarities in the instant contracts
and their predecessors, e.g., that the customers are the same and that
fundamental terms and conditions of the contracts remain essentially
unchanged. In addition the Postal Service identifies what it
characterizes as material changes in the contracts, e.g., term, price
incentives, and additional service options. It asserts that the
differences do not affect either the
[[Page 44994]]
service provided or the structure of the contracts. Id. at 5-7.
Baseline treatment. The Postal Service also states that each of the
instant contracts takes the place of its immediate predecessor which
served as the baseline contracts for the Global Plus 2 Contracts
product.\4\ It requests that the instant contracts be considered ``the
new `baseline' contracts for consideration of future such agreements'
functional equivalency.'' Id. at 9.
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\4\ See Docket No. CP2009-48, Order Concerning Filing a
Functionally Equivalent Global Plus Contract Negotiated Service
Agreement, July 31, 2009, at 7; and Docket No. 2009-49, Order
Concerning Filing a Functionally Equivalent Global Plus Contract
Negotiated Service Agreement, July 31, 2009, at 7,
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Filing under part 3020. In support of its filing, the Postal
Service submitted, as Attachment 1, a Statement of Supporting
Justification. The Postal Service asserts that analysis under 39 U.S.C.
3642(b) is unnecessary here, because of the Commission's findings in
Order No. 43 that Negotiated Service Agreements for outbound
International Mail are classified as competitive. Id. at 8.
The Postal Service contends that its filings demonstrate that the
instant contracts comply with the requirements of 39 U.S.C. 3633, fit
within the Mail Classification Schedule language for Global Plus 2
Contracts and are functionally equivalent to each other. Id. at 9. It
urges the Commission to add Global Plus 2A Contracts to the competitive
product list. Id.
II. Notice of Filing
The Commission establishes Docket Nos. MC2010-27. CP2010-69, and
CP2010-70 for consideration of matters raised in the Postal Service's
Notice.
Interested persons may submit comments on whether the Postal
Service's filings in the captioned dockets are consistent with the
policies of 39 U.S.C. 3632, 3633, or 3642, 39 CFR part 3015, and 39 CFR
3020 subpart B. Comments are due no later than July 27, 2010. The
public portions of these filings can be accessed via the Commission's
Website (www.prc.gov).
The Commission appoints Paul L. Harrington to serve as Public
Representative in these dockets.
III. Ordering Paragraphs
It is Ordered:
1. The Commission establishes Docket Nos. MC2010-27, CP2010-69, and
CP2010-70 for consideration of matters raised by the Postal Service's
Request.
2. Comments by interested persons in these proceedings are due no
later than July 27, 2010.
3. Pursuant to 39 U.S.C. 505, Paul L. Harrington is appointed to
serve as the officer of the Commission (Public Representative) to
represent the interests of the general public in these proceedings.
4. The Secretary shall arrange for publication of this Order in the
Federal Register.
By the Commission.
Shoshana M. Grove,
Secretary.
[FR Doc. 2010-18701 Filed 7-29-10; 8:45 am]
BILLING CODE 7710-FW-S