[Federal Register: October 27, 2004 (Volume 69, Number 207)]
[Proposed Rules]               
[Page 62635]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr27oc04-26]                         

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POSTAL SERVICE

39 CFR Part 111

 
Use of Ancillary Service Endorsement for Mailing Certain Types of 
Checks

AGENCY: Postal Service.

ACTION: Proposed rule.

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SUMMARY: This proposed rule would amend the Domestic Mail Manual (DMM) 
to require an endorsement requesting forwarding or return on certain 
mailpieces containing checks sent at Standard Mail postage rates, 
including ``convenience'' and ``balance transfer'' checks.

DATES: Written comments must be received on or before November 26, 
2004.

ADDRESSES: Written comments should be mailed or delivered to the 
Manager, Mailing Standards, United States Postal Service, 475 L'Enfant 
Plaza, SW., Rm 3436, Washington DC 20260-3436. Copies of all written 
comments will be available for inspection and photocopying at USPS 
Headquarters Library, 475 L'Enfant Plaza, SW., 11th Floor N, Washington 
DC, between 9 a.m. and 4 p.m., Monday through Friday. Comments may not 
be submitted via fax or e-mail.

FOR FURTHER INFORMATION CONTACT: William Chatfield, Mailing Standards, 
United States Postal Service, 202-268-7278.

SUPPLEMENTARY INFORMATION: The Postal Service has observed an increased 
amount of mail containing checks, including ``convenience'' and 
``balance transfer'' checks. For instance, a common marketing tool is 
to include convenience checks with credit card-related mailings to 
encourage addressees to complete a check for cash, with the amount 
added to the credit card balance. Financial institutions also are using 
balance transfer checks to encourage addressees to transfer balances 
from competitor credit cards to the mailer's credit card. In many 
cases, these mailpieces are not requested by the addressee. In 
addition, other checks are sent through the mail. For example, check 
vendors and producers mail new books of blank checks to fulfill orders 
from their customers.
    The secure carriage of our customers' correspondence is a paramount 
consideration for the Postal Service. This consideration is 
particularly important when we are entrusted with mailings containing 
checks. The security of mailpieces containing checks is enhanced by 
ensuring that they are, if undeliverable as addressed, either forwarded 
to the addressee's new address or returned to the sender.
    Mail entered as First-Class Mail receives forwarding and return 
service if undeliverable as originally addressed. Many mailings that 
contain checks are required, due to the nature of their contents, to be 
entered as First-Class Mail. Other mailings that contain checks, even 
though eligible for Standard Mail rates, are entered as First-Class 
Mail, which expedites handling and ensures the forwarding or return of 
undeliverable pieces. However, some mailings that contain checks 
eligible for Standard Mail rates are mailed at those rates.
    Under the proposal, certain checks not required to be entered as 
First-Class Mail may be sent as Standard Mail only if the mailpiece 
bears an ancillary service endorsement resulting in the forwarding or 
return of undeliverable mailpieces. The use of such endorsements is a 
low-cost solution for mailers, particularly those who maintain updated 
address lists, since these endorsements require the payment of fees or 
additional postage only for mail that is undeliverable as addressed.
    Endorsements satisfying the proposed standard would include 
``Return Service Requested,'' ``Address Service Requested,'' and 
``Forwarding Service Requested'' or, for authorized users of bulk 
parcel return service, ``Return Service Requested--BPRS'' or ``Address 
Service Requested--BPRS.'' Mailpieces required to bear one of these 
endorsements would be those with checks drawn on an account of a party 
other than the mailer or mailer's agent, whether or not the checks are 
blank. An endorsement would not be required on mailpieces containing 
rebate, refund, and similar checks that are drawn on the mailer's 
account, whether or not they are mailed as Standard Mail.

Implementation Schedule

    If the proposal is adopted, the Postal Service intends to defer 
implementation until June 1, 2005. This delayed implementation date 
would give customers adequate time to budget and plan for future 
mailings.
    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 comments on 
the following proposed revisions to the Domestic Mail Manual (DMM), 
which is incorporated by reference in the Code of Federal Regulations 
(CFR). See 39 CFR part 111.

List of Subjects in 39 CFR Part 111

    Administrative practice and procedure, Postal Service.

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, 
3001-3011, 3201-3219, 3403-3406, 3621, 3626, 5001.

    2. Revise the following sections of the Domestic Mail Manual (DMM) 
as set forth below:

E Eligibility

* * * * *

E600 Standard Mail

E610 Basic Standards

* * * * *
2.0 CONTENT
* * * * *
    [Add new 2.4 to read as follows:]

2.4 Checks

    Checks that are drawn (or intended to be drawn) on an account of a 
party other than the mailer or mailer's agent and that are not required 
to be entered as First-Class Mail may be sent as Standard Mail only 
when the envelope or container bears one of the following ancillary 
service endorsements: ``Return Service Requested,'' ``Address Service 
Requested,'' or ``Forwarding Service Requested.'' Mailers authorized to 
use bulk parcel return service to mail Standard Mail machinable parcels 
must use the endorsement ``Return Service Requested--BPRS'' or 
``Address Service Requested--BPRS.'' These provisions apply to all 
mailpieces containing such checks, whether blank or with some or all of 
the fields completed.
* * * * *
    We will publish an appropriate amendment to 39 CFR part 111 if the 
proposal is adopted.

Neva R. Watson,
Attorney, Legislative.
[FR Doc. 04-23647 Filed 10-26-04; 8:45 am]

BILLING CODE 7710-12-P