[Federal Register Volume 77, Number 236 (Friday, December 7, 2012)]
[Page 73062]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-29547]



[Docket No. CP2013-23; Order No. 1562]

International Mail Contract

AGENCY: Postal Regulatory Commission.

ACTION: Notice.


SUMMARY: The Commission is noticing a recent Postal Service filing 
concerning an additional inbound competitive Multi-Service Agreements 
with Foreign Postal Operators 1 negotiated service agreement with China 
Post. This notice informs the public of the filing, invites public 
comment, and takes other administrative steps.

DATES: Comments are due: December 12, 2012.

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 

FOR FURTHER INFORMATION CONTACT: Stephen L. Sharfman, General Counsel, 
at 202-789-6820.


Table of Contents

I. Introduction
II. Contents of Filing
III. Commission Action
IV. Ordering Paragraphs

I. Introduction

    On November 30, 2012, the Postal Service filed a notice, pursuant 
to 39 CFR 3015.5, stating that it has entered into an additional 
negotiated service agreement with foreign postal operator China Post 
(Agreement).\1\ The Agreement is a successor to the existing China Post 
2011 Agreement, which will expire December 31, 2012.\2\

    \1\ Notice of United States Postal Service of Filing 
Functionally Equivalent Inbound Competitive Multi-Service Agreement 
with a Foreign Postal Operator, November 30, 2012 (Notice).
    \2\ See Docket No. CP2011-68, Order No. 859, Order Concerning an 
Additional Inbound Competitive Multi-Service Agreements with Foreign 
Postal Operator, November 30, 2012 (Notice).

    The Postal Service seeks to have the inbound portion of the 
Agreement, which concerns delivery of inbound Air CP,\3\ Surface CP, 
and Express Mail Service, included within the Inbound Competitive 
Multi-Service Agreements with Foreign Postal Operators 1 (MC2010-34) 
product on the competitive product list. Notice at 1.

    \3\ ``CP'' is an abbreviation used to identify or reference 
international parcel post (from the French phrase colis postaux, 
``postal package'').

II. Contents of Filing

    The Postal Service's filing consists of the Notice, an Excel file 
containing redacted financial workpapers, and four attachments. 
Attachment 1 is a redacted copy of the Agreement. Attachment 2 is the 
certified statement required by 39 CFR 3015.5(c)(2). Attachment 3 is a 
redacted copy of the Governors' Decision No. 10-3. Attachment 4 is an 
application for non-public treatment of unredacted material. Id. at 3. 
The Agreement's intended effective date is January 1, 2013. Id. at 4. 
The term is for one year after the effective date, unless terminated 
earlier. Id.
    The Postal Service reviews the regulatory history of the Inbound 
Competitive Multi-Service Agreements with Foreign Operators 1 product 
and identifies the TNT Agreement (approved in Docket No. CP2010-95) as 
the baseline agreement for purposes of determining the functional 
equivalence of the instant Agreement.\4\ Id. at 1-3. It asserts that 
the Agreement fits within applicable Mail Classification Schedule 
language and addresses functional equivalency with the baseline 
agreement, including similarity of cost characteristics. Id. at 5. The 
Postal Service also identifies differences between the two contracts, 
such as revisions to existing articles and the addition of new annexes, 
but asserts that these differences do not detract from a finding of 
functional equivalency. Id. at 5-8.

    \4\ The Postal Service identifies Governors' Decision No. 10-3 
as the enabling Governors' Decision. Id. at 1-2. The TNT Agreement's 
status as the baseline agreement was confirmed in Order No. 840, 
September 7, 2011.

    The Agreement also includes rates for a yet-to-be-launched inbound 
product. Id. Annex 1 n.3. Prior to launching the product, the parties 
to the Agreement must enter into a written modification to the 
Agreement, subject to approval from various entities, including the 
Commission. Id. at 4 n.8.
    Rates under the instant Agreement are intended to become effective 
on January 1, 2013. Id. at 2-3. They are to remain in effect for 1 year 
after the effective date of the agreement, unless terminated earlier. 
Id. at 4.

III. Commission Action

    Notice of establishment of docket. The Commission establishes 
Docket No. CP2013-23 for consideration of matters raised by the Notice. 
The Commission appoints Allison J. Levy to serve as Public 
Representative in this docket.
    Interested persons may submit comments on whether the Postal 
Service's filing in the captioned docket is consistent with the 
policies of 39 U.S.C. 3632 and 3633 and the requirements of 39 CFR part 
3015. Comments are due no later than December 12, 2012. The public 
portions of this filing can be accessed via the Commission's Web site 
(http://www.prc.gov). Information on obtaining access to sealed 
material appears in 39 CFR part 3007.

IV. Ordering Paragraphs

    It is ordered:
    1. The Commission establishes Docket No. CP2013-23 for 
consideration of matters raised by the Postal Service's Notice.
    2. Pursuant to 39 U.S.C. 505, Allison J. Levy is appointed to serve 
as an officer of the Commission (Public Representative) to represent 
the interests of the general public in this proceeding.
    3. Comments by interested persons in this proceeding are due no 
later than December 12, 2012.
    4. The Secretary shall arrange for publication of this order in the 
Federal Register.

    By the Commission.
Ruth Ann Abrams,
Acting Secretary.
[FR Doc. 2012-29547 Filed 12-6-12; 8:45 am]