[Federal Register: October 29, 2003 (Volume 68, Number 209)]
[Proposed Rules]
[Page 61647-61650]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr29oc03-17]
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POSTAL SERVICE
39 CFR Part 111
Refund Procedures for Metered Postage
AGENCY: Postal Service.
ACTION: Proposed rule.
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SUMMARY: The Postal Service proposes to revise the Domestic Mail Manual
(DMM) to allow refunds for unused, undated metered postage. The
proposed mailing standard would benefit any mailer who generates
significant quantities of unused, undated metered postage and is able
to meet the refund criteria. The Postal Service also proposes minor
clarifications to the procedures for requesting refunds for unused,
dated metered postage.
DATES: Submit comments on or before November 28, 2003.
ADDRESSES: Mail or deliver written comments to Charles Tricamo, New
[[Page 61648]]
York Rates and Classification Service Center, Postal Service, 1250
Broadway FL 14, New York, NY, 10095-9599. You can view and copy all
written comments at the same address between 9 a.m. and 4 p.m., Monday
through Friday.
FOR FURTHER INFORMATION CONTACT: Charles Tricamo, New York Rates and
Classification Service Center, at 212-613-8676.
SUPPLEMENTARY INFORMATION: Inclusion of a date in meter indicia is
optional for Standard Mail and Package Services items. Many mailers
choose to omit the date to increase their production flexibility and
allow them to deposit the mailing at any time, even though Postal
Service mailing standards do not allow refunds for unused meter indicia
lacking a date. The Postal Service grants refunds only for unused,
dated meter indicia if requested within 60 days of printing the
indicia. The Postal Service proposes that if the mailer can provide
sufficient documentation with the refund request to support and
validate the proper amount of the refund, the date the mailing was
prepared, and the validity of the indicia on the mailpieces, then it
could grant refunds for undated metered mail. The Postal Service
proposes to apply the existing time frame restrictions for dated
metered mail to undated metered mail. Additionally, the Postal Service
proposes that refunds for unused, undated metered postage will only be
considered when the customer submits at least 500 mailpieces from a
single mailing, or, as an alternative, indicia worth at least $500 from
a single mailing, along with the required supporting documentation.
When more than one meter was used to prepare the mailing, a separate PS
Form 3533, Application and Voucher for Refund of Postage, Fees, and
Services, must be submitted for each meter used to print the unused
indicia submitted for refund. Mailers concerned about their inability
to obtain a refund for unused, undated metered postage because they
have less than the required mail volume or cannot provide the required
documentation should use dated meter indicia or permit imprint for
their Standard Mail and Package Services mailpieces, as permitted, in
lieu of undated meter indicia.
As part of this proposed rule, the Postal Service also proposes to
revise DMM P014, Refunds and Exchanges, to clarify the mailing
standards for refunds of unused, dated meter indicia. Portions of P014
are reorganized to consolidate all of the information related to
submitting a refund request for unused meter indicia. Also included is
a proposed clarification to specify that a contract postal unit (CPU)
will handle refunds for unused meter indicia in accordance with the
contract each CPU has executed with the Postal Service for the sale of
metered postage.
Although exempt from the notice and comment requirements of the
Administrative Procedure Act (5 U.S.C. 553(b), (c)) regarding proposed
rulemaking by 39 U.S.C. 410(a), the Postal Service invites public
comments on the following proposed amendments to the Domestic Mail
Manual, incorporated by reference in the Code of Federal Regulations.
See CFR part 111.
List of Subjects in 39 CFR Part 111
Administrative practice and procedure, Postal Service.
For reasons stated in the preamble, the Postal Service proposes to
amend 39 CFR part 111 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); 39 U.S.C. 101, 401, 403, 404, 414,
416, 3001, 3011, 3201, 3219, 3403'3406, 3621, 3626, 5001.
2. Revise Domestic Mail Manual (DMM) as set forth below:
Domestic Mail Manual (DMM)
* * * * *
P Postage and Payment Methods
P000 Basic Information
P010 General Standards
* * * * *
P014 Refunds and Exchanges
* * * * *
2.0 Postage and Fees Refunds
2.1 Refund Standards
A refund for postage and fees may be made:
* * * * *
[Add new item e to read as follows:]
e. Under the terms of a contract between the contract postal unit
(CPU) and the USPS [reg] for unused postage printed by the
CPU.
* * * * *
[Delete 2.5 and 2.6. Renumber current 2.7 through 2.12 as new 2.5
through 2.10, respectively.]
* * * * *
2.7 Applying for Refund
[Revise text of renumbered 2.7 to read as follows:]
For refunds under 2.0, the customer must apply for a refund on PS
Form 3533; submit it to the postmaster; and provide the envelope,
wrapper, or a part of it showing the names and addresses of the sender
and addressee, canceled postage and postal markings, or other evidence
of postage and fees paid. Refunds for metered postage are submitted
under 3.0.
2.8 Ruling on Refund Request
[Revise text of renumbered 2.8 to read as follows:]
Refund requests are decided based on the specific type of postage
or mailing:
a. Refunds under 2.0. The local postmaster grants or denies refunds
under 2.0. The customer may appeal an adverse ruling through the
postmaster to the rates and classification service center (RCSC)
manager who issues the final agency decision.
b. Dated metered postage, except for PC Postage [reg]
systems, under 3.0. The postmaster at the licensing Post Office\TM\
grants or denies requests for refunds for dated metered postage under
3.0. The licensee may appeal an adverse ruling within 30 days through
the manager of Postage Technology Management, USPS Headquarters (see
G043 for address), who issues the final agency decision. The original
meter indicia must be submitted with the appeal.
c. Undated metered postage under 3.0. The manager, business mail
entry (MBME) at the district Post Office overseeing the mailer's
licensing Post Office, or designee, grants or denies requests for
refunds for undated metered postage under 3.0. The customer may appeal
a decision on undated metered postage within 30 days through the MBME,
or designee, to the RCSC manager who issues the final agency decision.
The original meter indicia must be submitted with the appeal.
d. PC Postage systems under 3.0. The system provider grants or
denies a request for a refund for dated indicia printed by PC Postage
systems under 3.0 using established USPS criteria. For dated PC Postage
indicia only, the licensee may appeal an adverse ruling within 30 days
through the manager of Postage Technology Management, USPS
Headquarters, who issues the final agency decision. The original
indicia must be submitted with the appeal.
e. Optional procedure (OP) mailings. Mailer's request for a refund
must be submitted to the manager of Business Mailers Support (BMS),
USPS Headquarters (see G043 for address).
* * * * *
[[Page 61649]]
3.0 Refund Request for Postage Evidencing Systems and Metered Postage
* * * * *
[Revise title and text of 3.2 to read as follows:]
3.2 Unused, Dated Postage Evidencing System Indicia, Except for PC
Postage Indicia
Unused, dated postage meter indicia are considered for refund only
if complete, legible, and valid. PC Postage indicia refunds are
processed under 3.3. All other metered postage refund requests must be
submitted as follows:
a. The licensee must submit the request. The refund request must
include proof that the person or entity requesting the refund is the
licensee for the postage meter that printed the indicia. Acceptable
proof includes a copy of the lease, rental agreement, or contract.
b. The licensee must submit the request, along with the items
bearing the unused postage, to the licensing Post Office. The items
must be sorted by meter used and then by postage value shown in the
indicia, and must be properly faced and packaged in groups of 100
identical items when quantities allow. The request is processed by the
USPS. The postmaster approves or denies the refund request.
c. The licensee must submit the refund request within 60 days of
the date(s) shown in the indicia.
d. When the unused metered postage is affixed to a mailpiece, the
refund request must be submitted with the entire envelope or wrapper.
The unused metered postage must not be removed from the mailpiece once
applied.
e. Indicia printed on labels or tapes not stuck to wrappers or
envelopes must be submitted loose and must not be stapled together or
attached to any paper or other medium. However, self-adhesive labels
printed without a backing may be submitted on a plain sheet of paper.
f. If a part of one indicium is printed on one envelope or card and
the remaining part on one or more others, they must be fastened
together to show that they represent one indicium.
g. Refunds are allowable for indicia on metered reply envelopes
only when it is obvious that an incorrect amount of postage was printed
on them.
h. The refund request must be submitted with a properly completed
PS Form 3533 (see I021). A separate PS Form 3533 must be completed for
each meter for which a refund is requested. All identifying information
and all sections related to the refund requested must be completed.
Charges for processing a refund request for unused, dated meter indicia
are as follows:
(1) If the total face value of the indicia is $350 or less, the
amount refunded is 90% of the face value. USPS may process the refund
payment locally via a no-fee postal money order.
(2) If the total face value is more than $350, the amount refunded
is reduced by a figure representing $35 per hour, or fraction thereof,
for the actual hours to process the refund, with a minimum charge of
$35. The postmaster will submit the approved PS Form 3533 to the USPS
Imaging and Scanning Center for payment processing through the
Accounting Service Center.
[Renumber current 3.3 and 3.4 as new 3.5 and 3.6, respectively. Add
new 3.3 and 3.4 to read as follows:]
3.3 Unused, Dated PC Postage Indicia
Unused, dated PC Postage indicia are considered for refund only if
complete, legible, and valid. The refund request must be submitted as
follows:
a. Only the PC Postage licensee may request the refund. The
licensee must submit the request, along with the items bearing the
unused postage, to the system provider. The request is processed by the
provider, not the USPS.
b. The licensee must submit the refund request within 30 days of
the date(s) shown in the indicia.
c. The refund request must be submitted as required by 3.2.d
through 3.2.g.
d. The provider may, at its discretion, charge for processing a
refund request.
3.4 Undated Metered Postage
Unused, undated postage evidencing system indicia are considered
for refund only if complete, legible, and valid. The refund request
must be submitted as follows:
a. Only the meter licensee or the commercial entity that prepared
the mailing for the licensee using the licensee's meter may request the
refund. The request must include a letter signed by the meter licensee
or the commercial entity that prepared the mailing for the licensee
explaining why the mailpieces were not mailed.
b. The minimum quantity of unused, undated metered postage that may
be submitted for refund is 500 pieces from a single mailing or, as an
alternative, indicia with a total postage value of at least $500 from a
single mailing.
c. The meter licensee, or the commercial entity that prepared the
mailing for the licensee using the licensee's meter, must submit the
request, along with the items bearing the unused postage and the
required documentation, to the manager of business mail entry at the
district Post Office overseeing the mailer's licensing Post Office, or
to a designee. The manager or designee approves or denies the refund
request.
d. The request must include the items bearing the unused postage,
sorted by meter used and then by postage value shown in the indicia.
The items must be properly faced and packaged in groups of 100
identical items, when quantities allow, and must meet the requirements
of 3.2.d through 3.2.g.
e. The request must be submitted within 60 days of the date the
mail was metered. Supporting documentation must be submitted to
validate the date. Examples of supporting documentation include the job
order from the customer, production records, the USPS qualification
report, spoilage report, and reorders created report, as well as
customer billing records, postage statements, and a sample mailpiece.
f. The refund request must be submitted with a properly completed
PS Form 3533 (see I021). All identifying information and all sections
related to the refund requested must be completed. When more than one
meter was used to prepare the mailing, a separate PS Form 3533 must be
completed for each.
(1) If the total face value of the indicia for a single mailing
submitted for refund is $350 or less, the amount refunded is 90% of the
face value. USPS may process the refund payment locally via a no-fee
postal money order.
(2) If the total face value of the indicia for a single mailing
submitted for refund is more than $350, the amount refunded is reduced
by a figure representing $35 per hour, or fraction thereof, for the
actual hours to process the refund, with a minimum charge of $35. The
MBME will submit the approved PS Form 3533 to the USPS Imaging and
Scanning Center for payment processing through the Accounting Service
Center.
3.5 Ineligible Metered Postage Items
The following metered postage items are ineligible for refunds:
* * * * *
[Revise text of renumbered 3.5.d to read as follows:]
d. Indicia lacking identification of the licensing Post Office, or
other required information.
* * * * *
[[Page 61650]]
We will publish an appropriate amendment to 39 CFR 111 to reflect
these changes if the proposal is adopted.
Stanley F. Mires,
Chief Counsel, Legislative.
[FR Doc. 03-27186 Filed 10-28-03; 8:45 am]
BILLING CODE 7710-12-P