[Federal Register: November 9, 2004 (Volume 69, Number 216)]
[Proposed Rules]
[Page 64877-64880]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr09no04-25]
=======================================================================
-----------------------------------------------------------------------
POSTAL SERVICE
39 CFR Part 111
Address Sequencing Services
AGENCY: Postal Service.
ACTION: Proposed rule.
-----------------------------------------------------------------------
SUMMARY: The United States Postal Service provides mailers with both
manual and electronic address sequencing services for their address
lists, including electronic address sequencing (EAS) service and
computerized delivery sequencing (CDS) service. Mailers who prepare
their mail using these services may qualify for postage discounts. In
addition, these services help mailers use the best possible addresses
on their mail. This improves mail deliverability and reduces the costs
of the Postal Service.
Mailers who qualify for, and obtain, the highest level of address
sequencing service (Level 3 Service) from the Postal Service for an
address list, may then apply to obtain a CDS subscription for each
separate address group in each 5-digit ZIP Code within that address
list. The Postal Service proposes to streamline the process by which it
provides seed addresses to CDS subscribers and accepts address lists
from mailers for Level 3 Service. The Postal Service proposes to
provide mailers with more detailed information so that they may
properly submit address lists to the Postal Service in order to obtain
address sequencing services. CDS subscribers will continue to obtain
the benefit of using seed addresses to assist them in protecting their
address lists. The Postal Service also proposes to clarify that the
requirements for obtaining Level 3 Service and CDS subscriptions for
Post Office box address groups is the same as for other address groups.
DATES: Written comments must be received on or before December 9, 2004.
ADDRESSES: Written comments should be mailed to the Computerized
Delivery Sequence (CDS) Department, National Customer Support Center,
United States Postal Service, 6060 Primacy Pkwy Ste 201, Memphis TN
38188-0001. Copies of all written comments will be available at this
address for public inspection and photocopying between 9 a.m. and 4
p.m., Monday through Friday.
FOR FURTHER INFORMATION CONTACT: Becky Dunn, National Customer Support
Center, United States Postal Service, (800)-238-3150.
SUPPLEMENTARY INFORMATION: The Postal Service offers a range of manual
and electronic address sequencing services not only to mailers who
develop or own address lists, but also to mailers who use address lists
they obtain from third parties. Mailers, as well as parties acting on
behalf of mailers, may obtain address sequencing services by submitting
address lists to the Postal Service either in the form of address cards
or electronic address files (both forms are referred to as ``address
lists''). The Postal Service only provides address sequencing and
correction services. It does not provide address lists of postal
customers to the public. See 39 U.S.C. 412.The Postal Service offers
mailers three levels of address sequencing services for address lists:
Level 1 Service: The Postal Service arranges addresses in delivery
sequence and removes undeliverable addresses from address lists.
Level 2 Service: In addition to Level 1 Service, the Postal Service
inserts blank cards for missing addresses in an address list submitted
as address cards, or delivery sequence numbers for addresses missing
from the mailer's electronic address list file.
Level 3 Service: In addition to Levels 1 and 2 Service, the Postal
Service inserts addresses for missing or new addresses either by
address cards or into electronic address files, depending on whether
the mailer has submitted its address list as address cards or as an
electronic address list file. In order to obtain Level 3 Service, a
mailer must satisfy the Postal Service requirements summarized below.
[[Page 64878]]
The Postal Service will provide Level 3 Service only if the address
list contains at least ninety percent (90%), but not more than one
hundred ten percent (110%), of the delivery addresses in each separate
address group in a 5-digit ZIP Code (such as city, rural, Post Office
box) after the Postal Service removes undeliverable addresses.
The Postal Service, as a new requirement, proposes that mailers
must submit a completed Processing Acknowledgement Form (PAF Form) to
the Postal Service in order to obtain Level 3 Service for an address
list. A sample of this form follows this notice. Mailers must provide
required information on the PAF Form such as contact information,
whether they have a current CDS subscription, and if so, their
computerized delivery sequence (CDS) customer number. In addition,
mailers must submit information concerning the origin or acquisition of
the address list submitted to the Postal Service. A mailer must attach
a description to the PAF Form as to how it developed the address list
if it states that it has not acquired the address list from a third
party. If instead, a mailer states on the PAF Form that it has acquired
the address list from a third party, the Postal Service proposes to
require that the mailer submit written documentation from the owner of
that address list (including any CDS subscriber who may have inserted
seed addresses in to the address list), that authorizes the mailer to
submit the address list to the Postal Service in order to obtain Level
3 Service or a CDS subscription. The CDS subscriber may set a date
after which the mailer is no longer authorized to submit the address
list to the Postal Service for Level 3 Service or a CDS subscription.
The Postal Service will not provide Level 3 Service for an address list
if an authorization from a CDS subscriber has expired.
Only a mailer who has qualified for and obtained Level 3 Service
for ZIP Code groupings in an address list may apply to the Postal
Service to obtain a CDS subscription for those ZIP Code groupings,
thereby becoming a CDS subscriber. CDS subscriptions enable mailers to
maintain current delivery sequencing information for their qualified
address lists. The Postal Service periodically provides CDS subscribers
with updated CDS file information that contains a list of addresses in
a ZIP Code grouping arranged in delivery sequence as served by a
specific Postal Service carrier. In addition, the Postal Service
assists CDS subscribers in protecting their address lists through the
Postal Service's seed address program.
The Postal Service proposes to streamline the process by which it
provides qualified CDS subscribers with seed addresses for a ZIP Code
and address group within an address list. A seed address is a
fictitious address that CDS subscribers may elect to obtain from the
Postal Service. Each seed address that the Postal Service assigns to a
CDS subscriber is unique to that CDS subscriber. CDS subscribers may
insert the assigned seed address (or addresses) into an address list as
a way to identify that address list as belonging to the CDS subscriber.
This may enable the detection of unauthorized use of the CDS
subscriber's address list by other mailers.
The Postal Service understands that some CDS subscribers permit
other mailers to use their address lists, and permit third-party
intermediaries, such as list brokers, to provide the CDS subscribers'
address lists to mailers. The Postal Service has experienced a number
of problems with address lists that mailers acquire from third parties.
Mailers appear to reasonably believe that they are authorized to submit
the address lists for Level 3 Service and CDS subscriptions either
based on representations made by the third-party intermediaries and
list brokers, or by the failure of the third party to clearly explain
the limited use of the address list. There are concerns in the mailing
industry that some mailers who seek Level 3 Service and CDS
subscriptions are not qualified to do so.
To resolve these problems, the Postal Service proposes to require
that in the event that a CDS subscriber on its own, or through another
party, authorizes a mailer to submit the subscriber's address list to
the Postal Service for Level 3 Service, the CDS subscriber must provide
the mailer with written authorization to do so. The Postal Service
proposes that CDS subscribers who wish to obtain seed addresses must
agree to be responsible for ensuring that any such third-party
intermediaries or list brokers ensure that mailers who are seeking
Level 3 Service receive the necessary written authorization in addition
to the address lists. The mailer then must furnish this written
authorization together with the completed PAF Form to the Postal
Service, as described above, if the mailer seeks Level 3 Service for an
address list it obtained from another party. The Postal Service will
not begin Level 3 Service processing until it receives complete
documentation. By implementing the foregoing procedures, the Postal
Service believes that mailers who obtain address lists from third
parties should be able to obtain Level 3 Service only for those address
lists for which they have received written authorization.
In the event a mailer submits an address list it obtained from
another party to the Postal Service for Level 3 Service and the Postal
Service locates a seed address that has not been assigned to the
mailer, the Postal Service will continue its present practice of
notifying the CDS subscriber to whom the seed address has been
assigned. The Postal Service will provide the CDS subscriber with the
identity of the mailer. The Postal Service proposes to supplement this
process by also notifying the mailer of the identity of the CDS
subscriber. The Postal Service will not release to the mailer that part
of the address list for the ZIP Code containing a seed address until it
receives authorization from the CDS subscriber.
The CDS subscriber and the mailer, as well as any intermediaries or
list brokers (if any), will then be responsible for independently
resolving issues concerning the proper use of the address list without
Postal Service involvement. Due to the fact that the parties themselves
now will handle address list questions in a manner they see fit, the
Postal Service proposes to discontinue its current practice of
researching seed address problems. The Postal Service, however, will
continue its existing practice of processing address groups without
seed addresses in the address list submitted by the mailer.
The Postal Service also proposes to clarify in its address
sequencing program materials that its requirements for mailers to
obtain Level 3 Service and CDS subscriptions for Post Office box
address groups in each 5-digit ZIP Code within an address list are the
same as for other address groups, including the following: (1) Mailers
must submit their address lists in the form of either address cards or
electronic files to the Postal Service in order to obtain Level 3
Service or CDS subscriptions for Post Office box address groups, and
(2) the Postal Service charges mailers the same fees for obtaining
address sequencing services for Post Office box address groups as it
does for other address groups.
Although exempt from the notice and comment requirements of the
Administrative Procedure Act (5 U.S.C. of 553(b)-(c)) regarding
proposed rulemaking by 39 U.S.C. 410(a), the Postal Service invites
public comment on the following proposed revisions to the Domestic Mail
Manual (DMM) A920, incorporated by reference in the
[[Page 64879]]
Code of Federal Regulations (CFR). See 39 CFR 111.1.
List of Subjects in 39 CFR Part 111
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,
416, 3001-3011, 3201-3219, 3403-3406, 3621, 3626, 5001.
2. Amend the following sections of the Domestic Mail Manual as set
forth below:
Domestic Mail Manual (DMM)
* * * * *
A Addressing
* * * * *
A900 Customer Support
* * * * *
A920 Address Sequencing Services
1.0 SERVICE LEVELS
* * * * *
[Revise item d to read as follows:]
d. Mailers who have obtained address sequencing services described
in A920.1.c and 920.4.1 (Level 3 Service) for address lists, and who
have a current computerized delivery sequence (CDS) subscription, may
apply to USPS to obtain seed addresses to include in their address
lists. Qualified CDS subscribers may elect to include a seed address in
an address list for identifying the list and detecting the use of the
address list by another mailer.
[Revise item e to read as follows:]
e. If a mailer states that it has obtained an address list from
another party, and USPS locates a seed address when processing that
address list for Level 3 Service, USPS will notify both the mailer who
submitted the address list as well as the CDS subscriber to whom USPS
has assigned the seed address. USPS will provide the CDS subscriber
with the identity of the mailer, and will provide the mailer with the
identity of the CDS subscriber. USPS will not release to the mailer
those portions of the address list for the ZIP Codes containing the
seed address, unless USPS receives written authorization to do so from
the CDS subscriber if the mailer has obtained the address list from the
CDS subscriber or a party acting on behalf of the CDS subscriber. USPS
only will release those portions of the address list for ZIP Codes not
containing seed addresses if the mailer meets all other USPS address
sequencing requirements.
2.0 CARD PREPARATION AND SUBMISSION
* * * * *
[Revise title and text of 2.2 to read as follows:]
2.2 Limitations
The mailer is required to remit all fees to USPS for address
sequencing services performed by USPS, including service for which USPS
does not release to the mailer a ZIP Code containing a seed address.
See A920.5 below. a. In order to obtain a Level 3 Service, the mailer
must submit address cards or an address file (address list) that
contains at least ninety percent (90%), but not more than one hundred
ten percent (110%) of all possible delivery addresses for a specific 5-
digit ZIP Code delivery area.
b. If a mailer requests Level 3 Service for an address list and
fails to meet any USPS address sequencing requirements for a ZIP Code
within that address list, the mailer may resubmit the address list for
Level 3 Service for the 5-digit ZIP Code that fails to meet USPS
requirements. In the event the mailer fails to meet all USPS address
sequencing requirements for the 5-digit ZIP code on the third time it
submits the address list to USPS, USPS will not accept the address list
for that 5-digit ZIP Code for a period of 1 year from the date the
mailer submits the address list to USPS for the third time.
* * * * *
We will publish an appropriate amendment to 39 CFR Part 111 to
reflect these changes if the proposal is adopted.
United States Postal Service Processing Acknowledgement Form (PAF) for
Level 3 Address Sequencing Service
-----------------------------------------------------------------------
A mailer or a party acting on behalf of a mailer (Mailer), who
submits an address list to the United States Postal Service (USPS)
for Level 3 Address Sequencing Service, must submit the following
completed documents to USPS at the time it submits the address list:
1. USPS PAF Form. This USPS Processing Acknowledgement Form (PAF)
for Level 3 Address Sequencing Service, to which is attached:
a. Address File Obtained from Another Party. A Mailer who obtains an
address list, or portion thereof, from another party, must attach a
written Authorization from a Computerized Delivery Sequence (CDS)
subscriber to submit the address list to USPS for Level 3 Address
Sequencing; and/or
b. Address File Created or Developed by Mailer. A Mailer who
states that it, or a party acting on its behalf, created or
developed the address list, or portion thereof, must describe the
process by which the address list was created or developed to the
satisfaction of USPS; and
2. USPS Delivery Unit Summary and Processing Acknowledgement Form.
CDS subscribers may include ``seed'' addresses in their address
lists to assist in identifying their lists. A seed address is a
fictitious address that qualified CDS subscribers may elect to
obtain from USPS. In the event USPS locates a seed address in an
address list submitted for Level 3 Service and USPS has not assigned
that seed address to the Mailer submitting the address list, and the
Mailer has advised USPS that it obtained the address list from
another party, USPS shall notify both the Mailer and the CDS
subscriber that it has located the seed address. The Mailer and the
CDS subscriber will be responsible for resolving issues concerning
Mailer's use of the address list.
USPS will not release to the Mailer that portion of the address list
for the ZIP Code containing the seed address until it receives an
Authorization from the CDS subscriber. USPS will not release to the
Mailer the identity of the seed address, or the address ranges or
carrier routes containing the seed address. Provided that the
address list meets all other USPS requirements for Address
Sequencing Services, USPS shall release to the Mailer other ZIP
Codes that do not contain seed addresses.
The Mailer is required to remit all fees to USPS for Address
Sequencing Services performed by USPS, including service for which
USPS does not release a ZIP Code containing a seed address. The
Mailer is not relieved of its obligation to pay USPS for Address
Sequencing Service performed for ZIP Codes containing seed addresses
that USPS does not release to the Mailer. In the event Mailer does
not timely remit all payments due to USPS, USPS may cancel the
Mailer's CDS subscription, refuse to accept Mailer's address lists
for Address Sequencing Services, discontinue other services provided
by USPS to Mailer, initiate collection efforts, or seek other
remedies.
Mailers must satisfy the requirements for and obtain Level 3 Address
Sequencing Service for an address list in order to be eligible to
obtain a Computerized Delivery Sequence (CDS) subscription from USPS
for that address list.
-----------------------------------------------------------------------
[[Page 64880]]
Mailers must comply with USPS requirements for Address Sequencing
Services and CDS subscriptions, including payment of all fees, that
are set forth in the USPS Domestic Mail Manual (DMM) A920,
Electronic Address Sequence (EAS) Service and CDS User Guides. USPS
publishes these materials at http://www.usps.com.
-----------------------------------------------------------------------
Mailer Information:
Company Name:
Primary Contact: Secondary Contact:
Mailing Address:
City: State: ZIP+4:
Primary Contact Phone Number:
Primary Contact Fax Number: Primary Contact:
Email:
Secondary Contact Phone Number: Secondary Contact Fax Number:
Secondary Contact:
Email:
Is Mailer a Current USPS Computerized Delivery Sequence (CDS)
Customer? Yes No
If yes, what is Mailer's USPS Computerized Delivery Sequence (CDS)
Customer Number?
Did Mailer obtain any portion of this address list from another
party? Yes No
If no, attach a written description of how Mailer created or
developed the address list to this PAF Form.
If yes, is the written Authorization attached to this PAF Form that
permits Mailer to submit the address list to USPS for Level 3
Service the Authorization that Mailer received for this the address
list? Yes No
If yes, does the Authorization state that seed addresses were
removed from list? Yes No
-----------------------------------------------------------------------
Certification and Signature: Mailer, by submitting this PAF Form,
and attachment(s), represents and warrants the following to USPS:
(1) all information furnished on this PAF Form and attachment(s) is
accurate, truthful and complete; (2) the undersigned is authorized
to sign and deliver this PAF Form and attachment(s) on Mailer's
behalf; (3) Mailer has read and agrees to the terms and conditions
for USPS Address Sequencing Service set forth in Section A920 of the
Domestic Mail Manual (DMM) and USPS EAS and CDS User Guides; (4)
Mailer agrees to pay all fees assessed by USPS in accordance with
the DMM; and (5) Mailer acknowledges that all requests for USPS
Address Sequencing Service processing will be identified on a USPS
password-secured Web site.
I understand that anyone who furnishes false or misleading
information or who omits information requested on this PAF Form or
attachment(s) may be subject to criminal sanctions (including fines
and imprisonment), and/or civil sanctions (including multiple
damages and civil penalties). The rights and remedies set forth in
18 U.S.C. 1001 shall be incorporated as if fully set forth herein.
Name and Title of Mailer's Authorized Representative (please print):--
Signature of Mailer's Authorized Representative:----------------------
Date:-----------------------------------------------------------------
Stanley F. Mires,
Chief Counsel, Legislative.
[FR Doc. 04-24887 Filed 11-8-04; 8:45 am]
BILLING CODE 7710-12-P