Federal Register, Volume 75 Issue 51 (Wednesday, March 17, 2010)

[Federal Register Volume 75, Number 51 (Wednesday, March 17, 2010)]
[Notices]
[Pages 12805-12806]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-5793]


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POSTAL REGULATORY COMMISSION

[Docket No. CP2010-26; Order No. 420]


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 include a new contract within the existing Global Expedited 
Package Services 2 (GEPS 2) product. The Postal Service characterizes 
the referenced contract as a successor to a current contract, which 
will terminate early due to fulfillment of a volume condition. This 
notice addresses procedural steps associated with this filing.

DATES:  Comments are due: March 19, 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, 
202-789-6820 or [email protected].

SUPPLEMENTARY INFORMATION:

Table of Contents

I. Introduction
II. Notice of Filing
III. Ordering Paragraphs

I. Introduction

    On March 10, 2010, the Postal Service filed a notice announcing 
that it has entered into an additional Global Expedited Package 
Services 2 (GEPS 2) contract.\1\ The Postal Service believes the 
instant contract is functionally equivalent to previously submitted 
GEPS 2 contracts, and is supported by Governors' Decision No. 08-7, 
attached to the Notice and originally filed in Docket No. CP2008-4. Id. 
at 1, Attachment 3. The Notice also explains that Order No. 86, which 
established GEPS 1 as a product, also authorized functionally 
equivalent agreements to be included within the product, provided that 
they meet the requirements of 39 U.S.C. 3633. Id. at 1. In Order No. 
290, the Commission approved the GEPS 2 product.\2\
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    \1\ Notice of United States Postal Service Filing of 
Functionally Equivalent Global Expedited Package Services 2 
Negotiated Service Agreement and Application for Non-Public 
Treatment of Materials Filed Under Seal, March 10, 2010 (Notice).
    \2\ Docket No. CP2009-50, Order Granting Clarification and 
Adding Global Expedited Package Services 2 to the Competitive 
Product List, August 28, 2009 (Order No. 290).
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    The instant contract. The Postal Service filed the instant contract 
pursuant to 39 CFR 3015.5. In addition, the Postal Service contends 
that the contract is in accordance with Order No. 86. The Postal 
Service submitted the contract and supporting materials under seal, a 
redacted copy of the contract as Attachment 1, a certified statement 
required by 39 CFR 3015.5(c)(2) to the Notice as Attachment 2, 
Governors' Decision No. 08-7 and an application for non-public 
treatment of materials as Attachments 3 and 4, respectively. Id. at 1-
2.
    The Postal Service relates that the instant contract is the 
immediate successor contract to the contract in Docket No. CP2009-59, 
which expires on September 5, 2010, and which the Commission found to 
be functionally equivalent in Order No. 286.\3\ It states that because 
the customer has met the volume commitment of its present contract, it 
requests approval for the instant contract and the customer's current 
contract will be terminated early. The term of the contract is one year 
from the date the Postal Service notifies the customer that all 
necessary regulatory approvals have been received.
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    \3\ Docket No. CP2009-59, Order Concerning Additional Global 
Expedited Package Services 1 Negotiated Service Agreement, August 
24, 2009 (Order No. 286).
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    The Notice advances reasons why the instant GEPS 2 contract fits 
within the

[[Page 12806]]

Mail Classification Schedule language for GEPS 2. The Postal Service 
identifies customer specific information and general contract terms 
that distinguish the instant contract from the baseline GEPS 2 
agreement. Id. at 4-8. It contends that the instant contract is 
functionally equivalent to the GEPS 2 contracts filed previously 
notwithstanding these differences. Id. at 6-7.
    The Postal Service asserts that several factors demonstrate the 
contract's functional equivalence with previous GEPS 2 contracts, 
including the general terms of the contract, the market to which it is 
being offered, and its cost characteristics. Id. at 3. The Postal 
Service concludes that because the ``GEPS agreements incorporate the 
same cost attributes and methodology, the relevant cost and market 
characteristics are similar, if not the same . . .'' despite any 
incidental differences. Id. at 6.
    The Postal Service contends that its filings demonstrate that this 
new GEPS 2 contract is established in compliance with the requirements 
of 39 U.S.C. 3633, is functionally equivalent to previous GEPS 2 
contracts, and requests that this contract be included within the GEPS 
2 product. Id. at 7.

II. Notice of Filing

    The Commission establishes Docket No. CP2010-26 for consideration 
of matters related to the contract identified in the Postal Service's 
Notice.
    Interested persons may submit comments on whether the Postal 
Service's contract is consistent with the policies of 39 U.S.C. 3632, 
3622 or 3642. Comments are due no later than March 19, 2010. The public 
portions of these filings can be accessed via the Commission's Web site 
(http://www.prc.gov).
    The Commission appoints Paul L. Harrington to serve as Public 
Representative in the captioned filings.

III. Ordering Paragraphs

    It is ordered:
    1. The Commission establishes Docket No. CP2010-26 for 
consideration of matters raised by the Postal Service's Notice.
    2. Comments by interested persons in these proceedings are due no 
later than March 19, 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. 2010-5793 Filed 3-16-10; 8:45 am]
BILLING CODE 7710-FW-S