[Federal Register Volume 78, Number 14 (Tuesday, January 22, 2013)]
[Notices]
[Pages 4478-4479]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-01086]
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POSTAL REGULATORY COMMISSION
[Docket No. CP2013-42; Order No. 1623]
New Postal Product
AGENCY: Postal Regulatory Commission.
ACTION: Notice.
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SUMMARY: The Commission is noticing a recent Postal Service filing
concerning an additional Global Plus 2C contract. This notice informs
the public of the filing, invites public comment, and takes other
administrative steps.
DATES: Comments are due: January 24, 2013.
ADDRESSES: Submit comments electronically via the Commission's Filing
Online system at http://www.prc.gov. Those who cannot submit comments
electronically should contact the person identified in the FOR FURTHER
INFORMATION CONTACT section by telephone for advice on filing
alternatives.
FOR FURTHER INFORMATION CONTACT: Stephen L. Sharfman, General Counsel,
at 202-789-6820.
SUPPLEMENTARY INFORMATION:
Table of Contents
I. Introduction
II. Contents of Filing
III. Commission Action
IV. Ordering Paragraphs
I. Introduction
Notice of filing. On January 11, 2013, the Postal Service filed a
notice announcing that it is entering into an additional Global Plus 2C
contract (Agreement).\1\ The Postal Service seeks to have the Agreement
included within the Global Plus 2C product on the grounds of functional
equivalence to previously approved baseline agreements. Id. at 2.
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\1\ Notice of the United States Postal Service of Filing a
Functionally Equivalent Global Plus 2C Contract Negotiated Service
Agreement and Application for Non-Public Treatment of Materials
Filed Under Seal, January 11, 2013 (Notice). The Notice was filed in
accordance with 39 CFR 3015.5. Id. at 1.
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Background. The Commission added Global Plus 2 to the competitive
product list, based on Governors' Decision No. 08-10, by operation of
Order No. 112. Id. at 1. It later approved the addition of Global Plus
2C contracts to the competitive product list as a result of Docket No.
MC2012-5.\2\ The Commission designated the contracts filed in companion
Docket Nos. CP2012-10 and CP2012-11 as the baseline agreements for
purposes of establishing the functional equivalency of other agreements
proposed for inclusion with the Global Plus 2C product. Notice at 2.
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\2\ See Docket Nos. MC2012-5, CP2012-10, and CP2012-11, Order
No. 1135, Order Adding Global Plus 2C to the Competitive Product
List and Approving Functionally Equivalent Global Plus 2C
Agreements, January 13, 2012.
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Customers for Global Plus 2C contracts are Postal Qualified
Wholesalers (PQWs) and other large businesses that offer mailing
services to end users for shipping articles via Global Direct and/or
International Business Reply Service. Id. at 5.
II. Contents of Filing
The filing includes the Notice, along with the following
attachments:
Attachment 1--a redacted copy of the Agreement;
Attachment 2--a redacted copy of the certification
required under 39 CFR 3015.5(c)(2);
Attachment 3--a redacted copy of Governors' Decision No.
11-6; and
Attachment 4--an application for non-public treatment of
material filed under seal.
The material filed under seal consists of unredacted copies of the
Agreement and supporting financial documents. Id. at 2. The Postal
Service filed redacted versions of the sealed financial documents in
public Excel spreadsheets. Id. at 3.
Functional equivalency. The Postal Service asserts that the instant
Agreement and the baseline agreements
[[Page 4479]]
are functionally equivalent because they share similar cost and market
characteristics. Id. at 4. It notes that the pricing formula and
classification established in Governors' Decision No. 08-10 ensure that
each Global Plus 2C contract meets the criteria of 39 U.S.C. 3633 and
related regulations. Id. The Postal Service also indicates that the
pricing formula relied on for Global Plus 2C contracts is included in
Governors' Decision No. 11-6. Id. The Postal Service further asserts
that the functional terms of the two agreements are the same and the
benefits are comparable. Id. at 4.
The Postal Service states that prices may differ, depending on when
an agreement is signed, due to updated costing information. Id. at 5.
It also identifies other differences in contractual terms, but asserts
that the differences do not affect either the fundamental service being
offered or the fundamental structure of the Agreement.\3\ Id. at 7.
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\3\ The list includes, among other things, the non-inclusion of
a particular service, the addition and revision of articles, and
related renumbering of articles. See id. at 5-8.
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Effective date; term. The Agreement includes a scheduled effective
date of January 14, 2013, however, given its filing date (January 11,
2013) and advance notice requirements,\4\ the Agreement can take effect
no sooner than January 26, 2013, assuming regulatory approval.
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\4\ Pursuant to 39 CFR 3015.5.
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The Agreement is expected to be in effect for approximately 1 year.
Termination is linked to either the date prior to the date in January
2014 that Canada Post Corporation takes action on price changes for
certain domestic products \5\ or, in the event of inaction, January 31,
2014. Id.
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\5\ The products are domestic Lettermail, Incentive Lettermail,
Admail, and/or Publications Mail products. Notice, Attachment 1 at
9.
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III. Commission Action
The Commission establishes Docket No. CP2013-42 for consideration
of matters raised in the Notice. Interested persons may submit comments
on whether the Agreement is consistent with the requirements of 39 CFR
3015.5 and the policies of sections 3632, 3633, and 3642. Comments are
due no later than January 24, 2013. The public portions of the Postal
Service's filing can be accessed via the Commission's Web site at
http://www.prc.gov. Information on how to obtain access to nonpublic
material appears at 39 CFR 3007.40.
The Commission appoints Allison J. Levy to represent the interests
of the general public (Public Representative) in this case.
IV. Ordering Paragraphs
It is ordered:
1. The Commission establishes Docket No. CP2013-42 for
consideration of matters raised in the Postal Service's Notice.
2. Pursuant to 39 U.S.C. 505, the Commission designates Allison J.
Levy to serve as an officer of the Commission (Public Representative)
to represent the interests of the general public in this proceeding.
3. Comments are due no later than January 24, 2013.
4. The Secretary shall arrange for publication of this Order in the
Federal Register.
By the Commission.
Shoshana M. Grove,
Secretary.
[FR Doc. 2013-01086 Filed 1-18-13; 8:45 am]
BILLING CODE 7710-FW-P