[Federal Register Volume 75, Number 54 (Monday, March 22, 2010)]
[Notices]
[Pages 13611-13612]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-6170]
=======================================================================
-----------------------------------------------------------------------
POSTAL REGULATORY COMMISSION
[Docket No. MC2010-20; Order No. 423]
New Postal Product
AGENCY: Postal Regulatory Commission.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: The Commission is noticing a recently-filed Postal Service
request to transfer selected Post Office Box Service locations from the
Market Dominant Product List to the Competitive Product List. This
notice addresses procedural steps associated with that filing.
DATES: Comments are due: March 31, 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:
[[Page 13612]]
Table of Contents
I. Introduction
II. Notice of Filing
III. Ordering Paragraphs
I. Introduction
On March 12, 2010, the Postal Service filed a request, pursuant to
39 U.S.C. 3642 and 39 CFR 3020.30 et seq., to add a new product to the
Competitive Product List. More specifically, it proposes to transfer a
small segment of Post Office Box Service, currently classified as a
market dominant product and part of the Special Services class, to the
Competitive Product List.\1\
---------------------------------------------------------------------------
\1\ Request of the United States Postal Service, March 12, 2010
(Request); see also Notice of the United States Postal Service of
Filing of USPS-MC2010-20/NP1, March 12, 2010.
---------------------------------------------------------------------------
The Postal Service supports its Request with conforming Mail
Classification Schedule (MCS) language as Attachment A, a Statement of
Supporting Justification as required by 39 CFR 3020.32 as Attachment B,
an application for non-public treatment of materials, and a redacted
version of the spreadsheet used to calculate revenue as Attachments C
and D, respectively. Id. at 3. The Postal Service separately filed a
non-public version of the spreadsheet.
In the Statement of Supporting Justification, Nan McKenzie,
Manager, Special Services, asserts that the transfer of Post Office Box
Service in a few locations will not impair the ability of competitive
products as a whole to comply with 39 U.S.C. 3633(a)(3). Id.,
Attachment B, at 4. Thus, Ms. McKenzie contends there will be no issue
of subsidization of competitive products by market dominant products as
a result of the proposed change. Id. Post Office Box Service offers
secure mail delivery to a receptacle for a fee. The Postal Service
states that it intends to establish the new product by moving Post
Office Box Service from the Market Dominant Product List to the
Competitive Product List in a small number of locations where
competitive alternatives exist. Request at 1. The Postal Service
describes its initial proposal as modest, involving ``a few box
sections where competitive conditions can be already demonstrated.''
Id. It contends because of the limited number of boxes under
consideration, the initial proposal ``does not require detailed
examination of costing and other issues.'' Id. The Postal Service
states that in the event a more substantial transfer of box sections is
proposed, costing and other issues can be addressed in more detail. Id.
It asserts that all of the box sections subject to transfer are in fee
group 1 areas, and the proposed transfer of service amounts to less
than 0.5 percent of the market dominant Post Office Box product's
revenue. Id. at 2-3. The Postal Service notes that it is undertaking a
comprehensive evaluation of all Post Office Box locations and may
propose additional transfers if justified. Id. at 2.
The Postal Service contends that a Governors' Decision is not
required for this request because it does not propose any changes in
the parameters of Post Office Box Service, the proposed MCS language is
only modified to identify box locations for the competitive product,
the transfer includes only fee group 1 prices, and excludes provisions
applicable to Group E boxes which are the only method of delivery for
certain customers.\2\
---------------------------------------------------------------------------
\2\ The Postal Service notes that the MCS language it offers is
based on the current market dominant Post Office Box language with
changes necessary to identify the competitive product. It also
states that the Group E boxes in the affected ZIP Code locations
that are not being included in the transfer are still a part of the
Post Office Box Service under evaluation, and Group E boxes may be
addressed in the future.
---------------------------------------------------------------------------
Additionally, the Postal Service advances reasons for the proposed
changes to the Post Office Box Service product in conformity with 39
CFR 3020.31, which include: (1) It is not a special classification
pursuant to 39 U.S.C. 3622(c)(10) for market dominant products; (2)
upon transfer to the Competitive Product List, it will not be a product
not of general applicability in accordance with 39 U.S.C. 3632(b)(3)
for competitive products; and (3) it is not a nonpostal product. Id. at
3.
The Postal Service contends that ``transferring a small portion of
Post Office box service is appropriate at this time, and is consistent
with the standards of section 3642.'' Id. In its Request, the Postal
Service maintains that the supporting financial information, including
the calculation of revenue for the ZIP Code locations subject to
transfer, should remain under seal. Id., Attachment C.
The Postal Service states it will concurrently file a notice
explaining these changes in the Federal Register. Id. at 4.
The Postal Service urges the Commission to approve the Request. Id.
at 3.
II. Notice of Filing
The Commission establishes Docket No. MC2010-20 for consideration
of matters identified in the Postal Service's Request.
The Commission appoints James Callow and Jeremy Simmons to
represent the interests of the general public in this proceeding.
Comments. Pursuant to section 3020.33, interested persons may
submit comments on whether the planned transfer is consistent with the
policies of 39 U.S.C. 3633 and 3642 and 39 CFR 3020.30 et seq., subpart
B. Comments are due no later than March 31, 2010. The public portions
of these filings can be accessed via the Commission's Web site (http://www.prc.gov).
III. Ordering Paragraphs
It is ordered:
1. The Commission establishes Docket No. MC2010-20 for
consideration of the matters raised in this docket.
2. Pursuant to 39 U.S.C. 505, James Callow and Jeremy Simmons are
appointed to serve as officers of the Commission (Public
Representatives) to represent the interests of the general public in
these proceedings.
3. Comments by interested persons in these proceedings are due no
later than March 31, 2010.
4. The Secretary shall arrange for publication of this order in the
Federal Register.
By the Commission.
Shoshana M. Grove,
Secretary.
[FR Doc. 2010-6170 Filed 3-19-10; 8:45 am]
BILLING CODE 7710-FW-S