[Federal Register: August 21, 2008 (Volume 73, Number 163)] [Rules and Regulations]                [Page 49333-49348] From the Federal Register Online via GPO Access [wais.access.gpo.gov] [DOCID:fr21au08-5]                           ======================================================================= -----------------------------------------------------------------------  POSTAL SERVICE  39 CFR Part 111    Implementation of New Standards for Intelligent Mail Barcodes  AGENCY: Postal ServiceTM.  ACTION: Final rule.  -----------------------------------------------------------------------  SUMMARY: On April 30, 2008, we published in the Federal Register  (Volume 73, Number 84, pages 23393-23403) proposed mailing standards to  require the use of Intelligent Mail[supreg] barcodes on all letters and  flats mailed at automation prices as of May 2010. We described two  options for using Intelligent Mail barcodes as of May 2009: The basic  option and the full-service option. In this final rule, we summarize  comments received in response to our proposed rule and provide our new  mailing standards for the use of Intelligent Mail barcodes.  DATES: Effective Date: May 11, 2009.  FOR FURTHER INFORMATION CONTACT: Bill Chatfield at 202-268-7278 or  Karen Zachok at 202-268-8779.  SUPPLEMENTARY INFORMATION: Current mailing standards require either  POSTNETTM barcodes or Intelligent Mail barcodes on letters  and flats mailed at automation prices and on letters mailed at Standard  Mail[supreg] enhanced carrier route prices. Both barcode formats  contain routing information, but Intelligent Mail barcodes offer  additional options. They can include indicators for added services such  as Address Change Service and Confirm[supreg], and enable tracking of  individual mailpieces through our processing system. This additional  visibility adds value to the mail and enables us to monitor service.     In response to many mailer requests, we will continue to allow  POSTNET barcodes on automation letters and flats until May 2011.  However, effective May 2009, we will require all automation flats to  bear barcodes that include delivery point routing codes, as currently  required for automation letters.     In May 2009, we will offer two options for using Intelligent Mail  barcodes. Under the basic option, mailers will use the Intelligent Mail  barcode on their letter and flat mailpieces. The basic Intelligent Mail  barcode contains routing information for the delivery address but does  not need to uniquely identify the mailpiece. Under the full-service  option mailers must: Use unique Intelligent Mail barcodes on  mailpieces; use Intelligent Mail tray barcodes and Intelligent Mail  container barcodes; and electronically submit postage statements and  mailing documentation.     We will offer customers who qualify for the full-service  Intelligent Mail option the following benefits in May 2009:      Start-the-clock information at no additional charge to  notify mailers when USPS [supreg] takes possession of mailings, and      Address correction information at no charge for qualified  letters and flats that do not have the most current address or that are  undeliverable for other reasons, when those pieces are endorsed as  specified for OneCode ACS TM.  [[Page 49334]]      In May 2009, all First-Class Mail[supreg], Periodicals, Standard  Mail, or Bound Printed Matter (BPM) letters and flats requiring a  barcode will be eligible for the full-service option if the pieces bear  Intelligent Mail barcodes and meet all other full-service option  requirements.  Overview of Comments      We are encouraged by the mailing industry's support of our  Intelligent Mail vision. In response to our proposed rule, we received  68 submissions from mail preparers, vendors, and mailers with wide  ranges of annual mail volumes. Many commenters shared our enthusiasm  for the Intelligent Mail initiative and appreciated our revised  timeline for full-service option implementation as well as our  extension of POSTNET barcode eligibility. Nevertheless, many commenters  expressed concern about the new implementation timeline and about  specific aspects of the program. In the sections below, we summarize  comments and provide our responses.  Timing for Full-Service Implementation  Readiness      Many commenters questioned the readiness of mailers, software and  hardware vendors, and the Postal Service to support full-service use of  Intelligent Mail barcodes by May 2009. Despite the extended time for  implementation of full-service Intelligent Mail, several commenters  suggested that May 2009 was still too aggressive and asked the Postal  Service to reconsider. Several commenters requested that we phase-in  implementation and continue to allow POSTNET barcodes on automation  letters and flats until 2011 or later. In contrast, one mailer  association suggested that we do not allow POSTNET barcodes on  automation letters and flats after May 2009.     The Postal Service is aware of the technological challenges that  the mailing industry faces. Postal systems will support full-service  use of Intelligent Mail in May 2009. We will continue to work closely  with the mailing industry to ensure a successful implementation. We  recognize that mailers need time to incorporate vendor-supported  solutions and must establish budgetary priorities. Therefore,  Intelligent Mail barcodes will not be required for automation prices in  May 2009. We will continue to allow POSTNET barcodes on automation  letters and flats until May 2011. The USPS will offer the benefits to  those mailers who are ready for full-service in May 2009.  Final Requirements      A primary concern about May 2009 implementation is the need for  final technical requirements. These requirements allow vendors to  supply new software and hardware that will enable mailers to print  high-quality barcodes and provide electronic documentation via  Mail.dat[supreg] or Mail.XML (replacing Wizard Web Services). Many  commenters stated that vendors may need six to twelve months to  develop, test, and finalize their products, followed by additional  testing and implementation time for mailers. This final rule contains  the final mailing standards for basic and full-service use of  Intelligent Mail barcodes. A Guide to Intelligent Mail Letters and  Flats (the Guide), available on the USPS Web site at ribbs.usps.gov,  provides direction on how to implement the technical requirements.  PostalOne! Capacity      Mailers expressed concern about the ability of PostalOne! to handle  the larger, more complex files needed to document full-service  mailings, and several commenters asked that PostalOne! operate around  the clock, 7 days a week. PostalOne! is upgrading both hardware and  software to be able to support the increased size and complexity of  full-service mailing files. Currently, PostalOne! is a full production  system that is available 24 hours a day, 7 days a week, except for its  maintenance window. The standard scheduled maintenance window is on  Sundays from 4 a.m. to 8 a.m. Central Time.  Pricing and Benefits  Requests for Advanced Notice of Prices      Many commenters asked us to provide information, before next year's  price adjustment announcement, about the pricing structure for  mailpieces with Intelligent Mail barcodes that qualify for full-service  prices and those eligible for basic prices. Most of these commenters  stated that this information is needed to evaluate the financial costs  and benefits of implementing the full-service option by May 2009. Two  mailers suggested that the Postal Service work with the Postal  Regulatory Commission to announce the Intelligent Mail barcode price  structure before the annual Mailing Services price adjustment  announcement.     Some commenters stated that prices for pieces mailed under the  full-service option should be lower than current automation prices.  Some commenters further stated that the full-service prices should  recognize the significant costs to the industry to participate in the  full-service option. There were also a few requests for complete  pricing structures, including all automation and nonautomation prices.     One mailer association suggested that new mailing requirements to  avoid price increases could constitute an effective price increase.  Another commenter, declaring no need for the full-service option for  themselves, opposed a dual price structure. One vendor suggested that  pricing for full-service flats should be discounted more than for  letters.     There were several inquiries about whether we would establish two  or three automation price tiers. One mailer asked for a pricing roadmap  for related services.  Response Concerning Prices      The benefits of Intelligent Mail reside in the enhanced value of  the information-enriched mailstream, rather than in any prices that may  accompany the Intelligent Mail barcode's introduction. While we  understand that a number of factors affect how rapidly our customers  adopt this new technology, we want to ensure that mailers focus on the  groundbreaking nature of the Intelligent Mail barcode itself.     Responses to our Federal Register proposed rule revealed that there  are wide variations in preparedness. Given the variation in mailers'  readiness, and the current state of the economy, we want customers to  adopt the new technology at their own pace. We do not want the  implementation of any price to be interpreted as a mandate to adopt the  full-service option in May 2009.     As we noted in our proposed rule, the Postal Service typically does  not comment on specific prices in advance of a general price change  announcement. As part of our price adjustment announcement in 2009, we  will recommend to the Board of Governors that there be two automation  pricing tiers, with lower automation prices in the Fall of 2009 for  letters and flats that require a barcode and that are eligible for the  full-service use of Intelligent Mail. We also will announce prices for  related services as part of the annual price adjustment announcement.     We believe that the benefits of the information-enriched mailstream  will be evident to most mailers and that they will determine that those  benefits (those included in the full-service option as well as the  internal uses of the data generated for the mailer through use of the  Intelligent Mail barcode) will be worth their investments. The Postal  Service will be ready to implement both full-service and basic options  of  [[Page 49335]]  Intelligent Mail in May 2009 and will work with mailers to promote and  assist adoption. The Postal Service will provide start-the-clock and  address correction information to full-service participants in May  2009.  Concerns About Other Benefits      Many commenters asked for more details regarding the value or  benefits of using the full-service option for mailers and mail  providers. There were requests for the USPS to summarize the costs and  benefits of full-service option implementation for the USPS and for  customers. There also were requests for an explanation of how the  industry will recover costs; with one commenter stating that  implementation of the full-service option provides no value to mail  service providers. One mailer association stated that a mature data  feedback system for providing beneficial data should be developed and  in place by the time customers need to be ready for implementation. One  commenter suggested that full tracking information be the primary  benefit for full-service mailings, instead of establishing a lower  price.  Response Concerning Benefits      Intelligent Mail offers significant benefits. The USPS will provide  automated address correction notices for letters and flats and start- the-clock information for mailings prepared under the full-service  option. Mailers will receive actionable address correction information  so that the right mailpiece is delivered to the right recipient at the  right time. This improves mail quality and the return on investment of  mailings. Start-the-clock information will enable visibility for when a  mailing is inducted in the mailstream, allowing participants to bring  accountability to the supply chain. Full-service option mail requires  unique identification of mailpieces and containers and the provisioning  of electronic documentation. These features can be used by mailers to  automate and improve document management processes, quality control,  and hand-off to third party suppliers. Mailers will no longer need to  print and provide hard copy qualification reports and paper postage  statements. This not only reduces paper usage, but eliminates the  associated costs for handling, storing, managing, and disposing of  paper-based documentation, promoting a more sustainable approach. See  subsequent sections on "Address Correction Notices" and  "Visibility" for explanations of these benefits.  A Guide to Intelligent Mail for Letters and Flats      Many commenters expressed concern about the recently published A  Guide to Intelligent Mail for Letters and Flats, and stated that a  longer period should be allowed for comments about that document. We  have welcomed input and have continued to work with mailers to enhance  the Guide and improve its usefulness. Several commenters asked that  electronic documentation requirements be separated from Intelligent  Mail implementation. As a reminder, electronic documentation is an  integral part of the full-service option and remains an eligibility  requirement. There is concern from customers that specifications in the  Guide will continue to change. The Guide has been updated to  accommodate feedback received from mailers and provide greater clarity  for electronic documentation solutions. We are publishing the Guide on  ribbs.usps.gov, concurrent with this final rule.     Comments about the Guide included inquiries about the timing of  Mail.dat and Web Services updates to resolve such issues as nesting of  mailpieces. Other inquiries include the identification of mail owners,  customer registration IDs (CRIDs), accounting for pieces in combined  and copalletized mailings, accounting for mailpiece spoilage,  designation of "by/for" entities, and designation of authorized third  parties (or "cast of characters") for data dissemination.     The Guide has been updated to reflect changes to support the full- service option. The Guide specifies the versions of Mail.dat and  Mail.XML that will support Intelligent Mail. The Guide clarifies that  the CRID is a 10-digit number field. There are no current plans to  change the CRID to a 12-digit field. The Guide has also been updated to  identify the spoilage, shortage, and data distribution solutions in  collaboration with the mailing industry. More specific information on  these and other items raised by commenters are in the Guide.  Mailer ID Concerns      Many commenters appreciated our clarification regarding the  optional use of a mail owner's or mail preparer's Mailer ID in the  Intelligent Mail barcode.  Application Process      There were many requests to streamline the application process,  with a few requests to establish an online process. One service  provider asked if mail preparers would be able to directly obtain  Mailer IDs for mail owners. In response to these requests, we have  simplified the application form. Mail preparers may obtain Mailer IDs  for mail owners via a redesigned application form, available online at  ribbs.usps.gov.     Mail owners and mail preparers requested that the USPS consolidate  the application process so that one Mailer ID could be used for OneCode  ACS, OneCode Confirm, and general use of Intelligent Mail barcodes. One  Mailer ID will be sufficient to access Confirm service, OneCode ACS,  and the full-service option, except for specific uses of OneCode ACS.  When a mailer uses the same ACSTM endorsement on all  mailpieces, the same Mailer ID can be used. If a mailer uses different  endorsements, such as "Address Service Requested" for some mailpieces  and "Change Service Requested" for other mailpieces, a separate  Mailer ID may be needed for each endorsement. Several commenters asked  for a solution that would allow one Mailer ID to be used for multiple  endorsements. The Guide explains the limited circumstances when mailers  will need to use a different Mailer ID to support multiple  endorsements.     Some commenters asked the USPS to remove questions from the  application that asked for information they considered to be  proprietary in nature. We redesigned the Mailer ID application to  remove these sections.  6-digit Mailer IDs for MLOCRs and "Jackpotting"      Many mailers asked us to assign 6-digit Mailer IDs to individual  multi-line optical character reader (MLOCR) machines. An MLOCR mailer  may be given more than one 6-digit or 9-digit Mailer ID for use in the  production environment for mailings prepared under full-service  requirements if the MLOCR mail preparer's volume is such that they  could not maintain unique identification of the mailpieces in a 45-day  period using a single Mailer ID.     A concern was raised about whether an MLOCR mailer would be  required to profile each customer's mail volume separately when  "jackpotting" several small customer volumes together within a single  mailing. We will allow MLOCR mailers to jackpot the mail from customers  who provide less daily volume than 1% of the total average daily volume  processed at that facility or 3,000 pieces (whichever is less). Mail  preparers may not jackpot pieces with postage paid by permit imprint or  any nonprofit pieces included in a combined mailing. Mail preparers may  not subdivide one day's mailing into smaller segments to increase the  number  [[Page 49336]]  of opportunities to jackpot the mail. A concern was expressed about the  ability to jackpot reject mailpieces if the mail owner had to be  identified either in the barcode or in the mailing documentation.  Reject mailpieces will not have to be separately profiled.  Mail Owner Identification      Two mail service providers objected to the proposed requirement  that the mail owner's request to use the owner's Mailer ID be honored,  stating that this could not be done while maintaining mailpiece  uniqueness. A few service providers and two industry associations  requested that we remove the requirement for identification of the mail  owner in the electronic documentation. Except for mailpieces with  unreadable barcodes that may need to have a replacement barcode applied  by a mail preparer, we are reiterating the requirement that mail  preparers honor mail owners' requests to use their Mailer IDs in the  Intelligent Mail barcode. We also retain the requirement to identify  the mail owner via electronic documentation.  Mailpiece Uniqueness      Several commenters reiterated the previous suggestion that  mailpiece "uniqueness" (unique numbering of mailpieces) be achieved  by linking the delivery routing code with the serial number ID. As of  May 2009, when mailpiece uniqueness is required for full-service, the  serial number ID in combination with the Mailer ID and Service Type ID  (by class of mail) will be required for mailpiece uniqueness. When  mailers separate pieces of identical weight permit imprint mail by  price category, or when the correct postage is affixed to each piece in  full-service mailings of less than 10,000 pieces, mailpieces may have  the same serial number on all pieces.     Many commenters expressed doubt about their ability to maintain  uniqueness for 45 days. Several commenters questioned why the USPS  needed to ensure uniqueness at all. To provide maximum solutions for  information needed now and for future development, piece uniqueness is  required, and that uniqueness lies in the Service Type ID (by class of  mail), Mailer ID, and unique serial number. The USPS assigns 6-digit  and 9-digit Mailer IDs to mailers to accommodate the ability to  uniquely identify mailpieces, taking into account their mail volumes. A  9-digit Mailer ID allows up to 1 million pieces with unique serial  numbers for a period of 45 days. A 6-digit Mailer ID allows up to 1  billion pieces with unique serial numbers, which should enable mailers  to maintain mailpiece uniqueness for 45 days.  Intelligent Mail Barcodes for Mailpieces  Height      Several mailers asked for a reduction in height of the Intelligent  Mail barcode and for a reduction in the required space between address  elements and the barcode, and one mailer asked if the technical  specifications for the Intelligent Mail barcode have been finalized. We  understand the barcode printing concerns and the necessity of  maintaining an address area that facilitates use of a 1-inch-high  label. The USPS Engineering and Intelligent Mail Planning and Standards  departments have worked extensively with mailer groups over the past 18  months to resolve barcode specification issues. Ink jet printer  manufacturers also provided recommendations and testing.     As a result, the Postal Service revised the barcode specification  to reduce the barcode minimum height to 0.125 inch (from 0.134 inch)  and the minimum vertical text-to-barcode spacing to 0.028 inch (from  0.040 inch). This results in an overall line height that is actually  less than the POSTNETTM barcode requirements. In addition, the void  spacing maximum (the empty space between print dots that make up a bar)  has been doubled from 0.005 inch to 0.010 inch and MERLIN[supreg]  barcode thresholds have been altered to be lower than the minimum  heights of the barcode with slightly lower text-to-barcode spacing to  allow for printing variations. These specifications are final.     Barcode theory and USPS testing indicate that any further  reductions in barcode height will erode the readability of the barcode.  This issue is due to the physical limitations of creating four  different elements within the barcode's height. In addition, ink jet  printer manufacturers are concerned that further reductions in barcode  height would exceed the tolerance their equipment can meet. As an  alternative to further barcode dimension changes, the Postal Service  has reduced the address block text sizes for barcoded mail. These new  dimensions allow a minimum text height of 0.065 inch (0.080 inch was  initially proposed). These changes represent significant steps in  facilitating address block and barcode printing. Ink jet printer  manufacturer feedback to these latest changes has been unequivocally  positive.  Business Reply Mail (BRM) Barcode Placement      One commenter stated that the placement of Intelligent Mail  barcodes on Business Reply Mail[supreg] (BRM) in the barcode clear zone  does not allow adequate printing tolerance, particularly for taller  barcodes. A delivery point barcode must be positioned vertically  between 0.1875 inch and 0.4375 inch from the bottom edge of the piece.  The maximum 0.165-inch-high Intelligent Mail barcode will fit within  the 0.250-inch area with room remaining for print tolerance. The  Intelligent Mail barcode specification provides ample tolerance for  printers to comply with the clear zone dimensions.  Redirection Visibility      There was one request that the USPS upgrade our Postal Automated  Redirection System (PARS) to spray a new Intelligent Mail barcode on  forwarded pieces so that the data in the original barcode are retained.  The USPS decided not to make a modification to PARS.  Miscellaneous Barcode Issues      One commenter asked about the future of the PLANET Code barcode. We  will retain the PLANET Code barcode for Confirm service as long as we  continue to allow the POSTNET barcode for automation price eligibility.  Several commenters asked if Intelligent Mail barcodes would be required  on nonautomation pieces, and one commenter recommended that the  Intelligent Mail barcode be optional on machinable pieces. We will not  require barcodes on nonautomation mailpieces, but would allow correct  barcodes at the mailer's option. One commenter asked if both alpha and  numeric indicators could be used in the Intelligent Mail barcode.  Current specifications for the Intelligent Mail barcode use numeric  indicators; we have no plans to include alpha indicators in the  barcode.     One commenter suggested that the USPS test readability of the  Intelligent Mail barcode on Periodicals publications. Since 2006, the  USPS has worked with mailers to test a variety of letters and flats to  achieve the most flexible barcode specifications. The barcode  specifications are now standardized and all mailers will be provided  support as needed for implementation.     One commenter requested specific standards for applying Intelligent  Mail barcodes on postcards. Current standards allow Intelligent Mail  barcodes on postcards that have enough space in the address block to  include the barcode.  [[Page 49337]]  Container Placards and Barcodes      Two commenters reacted favorably to the elimination of the proposed  requirement for a green strip or border on the container placard  (previously referred to as a "container label"). One mailer expressed  appreciation for the added option of using a smaller placard when  affixed to the outside of the shrinkwrap. Several commenters urged the  USPS to improve our container barcode scanning percentage.  Number of Placards      There were several requests that we retain the current two-placard  requirement for pallets due to increased costs of applying a third  placard. As of May 2009, under the full-service option, we will require  two affixed placards on adjacent sides on the outside of shrinkwrapped  pallets. Mailers who load pallets on trucks must position the pallets  so that one pallet placard faces the rear of the truck.  Layers of Shrinkwrap      There were several objections to the restriction of no more than  two layers of shrinkwrap covering pallet placards, noting compliance  problems due to the automation of their wrapping procedures. We  reiterate the importance of having all pallet placards placed so that  they are readable and the barcodes may be scanned. We cannot generate  or provide scans for placards that are obscured by shrinkwrap. In May  2009, for full-service mailings, we require that all pallet placards  with Intelligent Mail container barcodes be affixed on the outside of  shrinkwrap.  Placard Specifications      Two commenters objected to changing the minimum height of pallet  placards. Mailers may choose to use smaller self-adhesive pallet  placards with a minimum size of 4 inches by 7 inches for placards not  containing "mailer-area" information, that are affixed to the outside  of shrinkwrap. We also are retaining the current minimum height of 8  inches for pallet placards with a defined "mailer area." The top 4.25  inches of the placard will remain reserved for USPS use only. Mailers  who use the 8 x 11 inch size must limit the mailer area to the  remaining lower portion of the placard, which reduces the size of that  area. Several commenters suggested that the Intelligent Mail container  barcode include the destination. The Intelligent Mail container barcode  has been designed to uniquely identify a unit load of mail and capture  specific tracking data. The unique ID in the barcode is designed to  link the physical unit load with its detailed attributes contained  within an electronic file. The barcode is not designed for routing  purposes.     A mailer association asked if leading dashes or zeros could be used  in the container barcode. The current Intelligent Mail container  barcode specification supports the use of either leading dashes or  zeros.     One mailer asked if a basic-option mailer could use the Intelligent  Mail container placard, even though not required. We welcome these  mailers' use of Intelligent Mail container placards, and hope that  those who do so will participate in the full-service option at their  earliest opportunity.     One vendor asked how the USPS would use container scan data. We  will furnish induction container scan data, when available, for full- service mailings to the mailers as part of the start-the-clock  feedback. We also will use these data to validate drop-shipments for  full-service mailings.  Tray Labels and Barcodes      Some commenters expressed concern about the changing 10/24 barcode  format for Intelligent Mail tray labels, and many commenters asked when  the new 24-digit barcode format could be used. The final specifications  for the 10/24 transitional Intelligent Mail tray label and the 24-digit  Intelligent Mail tray label are available on ribbs.usps.gov. Mailers  will be able to use the 24-digit barcoded label on, but not before,  April 6, 2009. The need for accurate 24-digit barcodes on labels  generated through vendor software is imperative to the success of full- service implementation. Therefore, we are requesting that all vendor  software that generates the 24-digit barcoded labels go through a  certification process to ensure readiness. The certification process is  posted on our Intelligent Mail Web site at ribbs.usps.gov. One mailer  requested that tray label specifications be finalized within 60 days.  Specifications for the 24-digit Intelligent Mail tray label are  provided in the Mailing Standards of the United States Postal Service,  Domestic Mail Manual (DMM[supreg]) section of this final rule.     Several commenters urged the Postal Service to ensure adequate  supplies of plastic sacks and label holders and to improve the quality  of existing label holders. The Postal Service uses 2-inch label holders  on letter and flats trays, and supplies label holders to mailers upon  request. We have an adequate supply of plastic sacks and sack label  holders, and we welcome specific suggestions for improving the quality  of existing label holders.     One mailer asked if both alpha and numeric indicators could be used  in the Intelligent Mail tray barcode. We developed the Intelligent Mail  tray barcode to include only numeric indicators and are not planning to  allow alpha indicators.  Address Correction Notices  Provision of Data      Many commenters sought clarification about how USPS will provide  address correction notices, and inquired about the ability to  distribute these notices to authorized third parties. Two commenters  requested that free address correction information be provided to all  users of Intelligent Mail barcodes. Several commenters requested that  notices be provided in a downloadable file format.     We will provide automated address correction notices for correctly  formatted full-service mailpieces that meet OneCode ACS requirements.  The information will be provided in one of two ways. Authorized  entities may obtain downloadable files via the Internet or an  electronic exchange method.  Provision of Notices at No Additional Charge      Mailers will qualify for automated address correction notices at no  additional charge for mailpieces verified as eligible for Intelligent  Mail full-service, when mailers use the provided information to update  their address records. Mailers who do not update an address record  after notification may incur charges for subsequent notices for that  address.     One mailer suggested that free address correction notices be  provided for carrier route flats when they have Intelligent Mail  barcodes and are part of a full-service mailing. We will consider  including carrier route flats as eligible for full-service benefits in  the future.  Move Update      A few commenters questioned whether participation in the full- service option would meet the Move Update requirement. Full-service  mailings would meet Move Update requirements as long as address  correction information previously obtained has been used to update  addresses within 95 days (effective November 23, 2008) of the date of  mailing. It is important that mailers use the information provided in  address correction notices to update addresses used in future mailings.  A premailing method, such as NCOALINK[supreg], is necessary  for Move Update compliance when mailers use  [[Page 49338]]  newly purchased lists or lists that have not used an approved Move  Update process within the previous 95 days. As a reminder, mailpieces  with alternative addressing formats (simplified, occupant, and  exceptional addresses) are not subject to the Move Update standard and  may not use ancillary service endorsements. Alternative addresses  include pieces with addresses such as "Postal Customer," "Occupant"  with a delivery address, or an addressee's name accompanied by "Or  Current Resident" with a delivery address. Pieces with alternative  addressing formats must not use ACS.     We received additional questions about whether mailers could switch  OneCode ACS on and off for different mailings. Mailers may use OneCode  ACS on selected mailings or on selected pieces within a mailing, but  should be aware that we will monitor address quality to ensure  compliance with Move Update standards. Commenters also questioned  whether free notices would be provided for mailpieces that failed to  maintain uniqueness. Mailpieces that are ostensibly presented as part  of full-service mailings, but which do not maintain the required  uniqueness or fail to qualify for full-service for any reason will not  be eligible to receive automated address correction notices at no  additional charge.     A mailer association asked about the obligation of a third party  when address lists are rented. The mailer is responsible for ensuring  compliance with Move Update requirements. Mail providers may request  that mail owners complete PS Form 6014, Certification of Move Update  Compliance.  Printed Endorsements      Several commenters questioned the need for printed ancillary  service endorsements on pieces requesting OneCode ACS. First-Class Mail  letters and Periodicals mailpieces with OneCode ACS do not need printed  endorsements since all undeliverable-as-addressed First-Class Mail  letters and Periodicals mailpieces are sent to either the Postal  Automated Redirection System (PARS) or Centralized Forwarding System  (CFS) units for processing where the Intelligent Mail barcode is read  to detect the mailer's request for address correction services. First- Class Mail flats, without a printed endorsement, that can be forwarded  are also sent to CFS units for processing and generation of OneCode ACS  notices based on the Intelligent Mail barcode. First-Class Mail flats  that are undeliverable for any other reason are not sent to CFS units  for processing and do not generate the OneCode ACS address correction  notice unless they have a printed endorsement indicating the mailer's  request for address correction services. All undeliverable-as-addressed  Bound Printed Matter (BPM) and Standard Mail pieces received at the  delivery unit are disposed of if they do not bear printed endorsements  to alert delivery employees to the mailer's request for address  correction services.     We also received questions about additional charges for services  implied by endorsements, including whether the USPS would charge for  hard copy notices provided for full-service option pieces. When  Periodicals, Standard Mail, and BPM pieces have endorsements requesting  an undeliverable mailpieces' forwarding or return, additional charges  apply for these services. Also, when hard copy notices are provided at  the mailer's request associated with the forwarding of a mailpiece,  current prices apply. However, as today, mailers will not be required  to pay the manual notice fee for a hard copy notice for pieces properly  prepared for OneCode ACS when the endorsement is Electronic Service  Requested.  Miscellaneous      One commenter suggested that providing free notices devalued use of  NCOALINK. A premailing method, such as NCOALINK,  may be necessary for compliance with Move Update requirements when  mailers use newly purchased lists or lists of addressees to which they  have not mailed within the previous 95 days. We urge customers to use  NCOALINK before mailing to increase the percentage of  deliverable, timely mail. We consider the provision of address  correction notices, which includes information not available in  NCOALINK when files are processed, as a supplement to  NCOALINK and other mailer efforts to update and cleanse  their address lists.     Several commenters asked if mailpieces for which the USPS database  could not supply 11-digit routing codes would be eligible for  automation prices. One commenter suggested that the USPS improve its  address database to lower the percentage of uncodeable addresses. As of  May 2009, barcodes with 11-digit routing codes will be required for  automation flats. Currently, 11-digit routing codes are required in  barcodes on automation letters. The USPS makes a continuous effort to  identify and resolve any missing information in its address database.  However, not all addresses maintained by the mailing industry represent  valid delivery points served by the USPS. When a mailer has addressed a  piece to an address that is not a USPS delivery point, or when the  address cannot be matched to the USPS address data, an 11-digit routing  code cannot be provided. The USPS provides many different products,  programs, and services to assist mailers in resolving addresses that  cannot be matched to the USPS database. As a reminder, current DMM  standards accommodate situations when mailpieces are addressed for  delivery to an address with a unique 5-digit ZIP CodeTM or  unique ZIP+4[supreg] code.     A mailer association asked when the USPS would retire traditional  ACS, and another commenter asked if notices would be "free forever."  We have no plans to retire traditional ACS. When mailers participate in  the full-service option, automated address correction notices will be  provided for qualifying mailpieces. We will monitor the effectiveness  of this service on reducing the volume of undeliverable-as-addressed  mail and the results will influence future pricing decisions.  Visibility      Many commenters asked for clarification about information that will  be provided as "start-the-clock" information--verification of USPS  possession of the mailing or container scans. There were many requests  to specify the method for providing the information, with observations  that online reports would be inadequate. Several commenters requested  that container scans be provided in a downloadable file format, with  the ability to provide information to mail owners, mail preparers, and  authorized third parties. Two commenters suggested that tray and  container scans be provided at no charge to full-service option  participants. We will provide information about when the mail is  inducted into the mailstream. All available induction scan data will be  provided. Information will be provided online via an online method or  an electronic data exchange capability.     Two commenters stated the need for the USPS to provide detailed  diagnostic information based on data obtained when pieces are  processed. The USPS will provide address correction information and  start-the-clock information as part of the full-service option. The  USPS will consider offering additional mail quality diagnostics in the  future.  Confirm      Several commenters requested that the USPS maintain Confirm service  in its current state, allowing all mailers  [[Page 49339]]  who use either Intelligent Mail barcodes or PLANET Code barcodes to  access mailpiece tracking information. Several commenters requested an  expanded ability to distribute scan data to third parties. One mailer  requested that the USPS expand pricing options to accommodate fewer  scans for a subscription price lower than the current Silver price  level.     We agree that Confirm provides information that improves the value  of mail for customers; this is consistent with the Intelligent Mail  vision. Any changes in the pricing or availability of Confirm would be  pursued separately. This notice reiterates the availability of OneCode  Confirm through the use of a Service Type ID in the Intelligent Mail  barcode, and does not change the existing ability of authorized third  parties to receive Confirm data. Expanded data distribution  capabilities are discussed in the Guide.     One commenter asked if OneCode Confirm will supply forwarding  scans. The USPS does not plan to offer this at this time.  Data Security      Commenters requested information regarding USPS plans to provide  security for data transmitted by mailers and data captured under the  full-service option use of Intelligent Mail. The Intelligent Mail  implementation will be in compliance with its comprehensive security  standards as published in the USPS Handbook, AS-805, Information  Security. The AS-805 handbook and its related documents are based upon  industry and government standards and best practices.  Customer/Supplier Agreements  Containerization Standards      Commenters noted that our proposal lacked standards for  containerization of First-Class Mail letters and flats. Several  commenters requested that we finalize containerization standards and  publish them as part of the final rule, rather than possibly publishing  them as a separate notice. We continue to work with the mailing  industry on containerization of large, origin entered mailings through  customer/supplier agreements.  Variations by Site      Some commenters expressed concern about local agreements varying by  site, and three commenters requested a defined resolution process. One  commenter suggested that containerization requirements should translate  into price discounts. Customer/supplier agreements are the result of  cooperation between mailers and USPS plant managers to establish  appropriate separation of mailing containers related to critical mail  acceptance times. Customer/supplier agreements will be used for origin- entered mailings verified at a mailer's facility, for mail presented at  the BMEU requesting later entry times, and for time-sensitive  dropshipped Periodicals mailings requesting later entry times. The  nature of customer/supplier agreements is one of a mutually beneficial  agreement. The process for establishing customer/supplier agreements is  outlined in the Guide and these will be established as needed for  eligible customers.  Special Postage Payment Agreements      Several commenters asked if optional procedure agreements or other  special postage payment agreements would be replaced with customer/ supplier agreements. Special postage payment agreements will remain as  they are currently, with customer/supplier agreements supplementing  special postage payment agreements rather than replacing them.  Miscellaneous      One mailer requested that the USPS allow First-Class Mail mailers  to retain scheduled pickups. There are no plans to discontinue current  local transportation schedules. One mailer asked that the USPS not  require multiple mailings to be combined. This is not required now and  the Postal Service has no plans to require it in the future. A vendor  association stated that more information on transportation routes and  handling of First-Class Mail is needed. There are no planned changes in  current transportation requirements.  Reply Mail      Most commenters appreciated the longer time provided in our  proposal to use POSTNET barcodes on reply mail, but some asked us to  rethink whether we needed Intelligent Mail barcodes on all reply mail.  One mailer asked that we not require Mailer IDs in Intelligent Mail  barcodes on Business Reply Mail (BRM).     BRM or Courtesy Reply MailTM (CRM) pieces will not be required to  have Intelligent Mail barcodes until May, 2011. However, letters  claiming Qualified Business Reply Mail (QBRM) prices and Permit Reply  Mail (PRM) pieces will be required to use Intelligent Mail barcodes,  including Mailer IDs, as of May 2010. We will continue to allow, until  May 2011, either POSTNET or Intelligent Mail barcodes on other reply  mail that is enclosed within automation mailpieces.     Two commenters asked for a 5 percent rebate on postage for Courtesy  Reply Mail bearing Intelligent Mail barcodes and enclosed in full- service mailings. Courtesy Reply Mail pieces are entered into the mail  system as single-piece items and are fully processed by the USPS;  therefore we do not plan to offer a rebate on postage for Courtesy  Reply Mail pieces.  Verification of Full-Service Mailings  Mixed Mailings      Many commenters asked if, under the full-service option, the USPS  would allow mailpieces with POSTNET barcodes and basic option  Intelligent Mail barcodes to be commingled with full-service pieces. We  will allow full-service and basic option mailpieces with Intelligent  Mail barcodes as well as pieces with POSTNET barcodes to be combined in  a single mailing, including copalletized mailings, when appropriate  documentation is provided. As a reminder, when there are full-service  pieces in a mailing, mailers must use Intelligent Mail tray labels and  Intelligent Mail container placards (if the mail is containerized) and  provide the USPS with electronic mailing documentation which includes  piece level documentation for all mailpieces in those mailings. The  Guide provides detailed information concerning documentation for mixed  and copalletized mailings that include pieces with different types of  barcodes.  Verification Procedures      Several commenters asked about continuation of current verification  procedures, as well as proposed tolerances and penalties for failure to  maintain mailpiece uniqueness or other errors. Current verification  procedures, including use of MERLIN and established levels of error  tolerances, will apply to basic and full-service mailings. Failure to  meet qualifications for the full-service option, such as not  maintaining mailpiece uniqueness, would result in a mailing being  ineligible for full-service benefits; however, it may still be eligible  for automation prices. A mailer association asked if hard copy  documentation will be required for full-service mailings. Full-service  mailings require the submission of electronic documentation; use of  hard copy documentation for full-service mailings is not an option.  [[Page 49340]]  Miscellaneous      One commenter asked for the flexibility to enter a full-service  mailing as a Standard Mail mailing, but upgrade it to a First-Class  Mail mailing via electronic notification. There are no provisions for  this type of change at this time.     Another commenter asked if the unique serial number in barcodes on  pieces mailed under the full-service option would replace the printed  unique mailpiece identification required for manifest mailings. The  USPS will consider this option in the future, as mailers and the USPS  determine that validation and verification procedures are adequate  without the printed identifiers.     One mailer requested that the USPS publish a list of approved full- service vendors. We are not planning to certify or formally pre-approve  vendors for full-service capabilities.  FAST      Several commenters expressed appreciation that Facility Access and  Shipment Tracking (FAST[reg]) appointments would not be generally  needed for First-Class Mail mailings and for origin-entered mailings of  other mail classes. We received several requests for clarification  regarding the method needed to update files after the original  appointment is made. Updates for recurring appointments may be provided  via Mail.dat or Mail.XML, whereas updates to one-time appointments  would be provided only via Mail.XML. One commenter asked if  consolidators were responsible for updating appointment information.  Whoever makes the appointment is responsible for updating the logistics  information. Appointment content information may be updated by the  appointment creator (scheduler) or may also be updated by the mail  owner or mail preparer in joint scheduling scenarios.     One commenter asked how FAST accommodates customer/supplier  agreements. FAST will be used, as defined in the customer/supplier  agreement, to create appointments for origin entered mail that is  transported by the mailer. The FAST system is also used to schedule  appointments for dropshipment mailings, which typically do not require  a customer/supplier agreement.     One mailer asked if FAST will be integrated with the Surface Air  Management System (SAMS). SAMS and FAST serve different functions, and  under the full-service option they will continue to function as they do  today. There are no plans for a SAMS-FAST link.  Other Comments  Miscellaneous      Many commenters requested a technology roadmap for the next three  to five years. The USPS will share the timeline for Intelligent Mail  implementation with the mailing industry.     Several commenters requested that the USPS establish online and  human technical support systems. USPS help desks are being resourced  and trained to support the Intelligent Mail implementation in May 2009.  Personnel across various USPS functions such as business mail  acceptance, business service network, and sales are being trained. The  USPS will provide webinars, training and educational material for  vendors and customers after publication of this final rule.  Current Standards      We also received questions about issues that are already covered by  mailing standards in the current DMM. For instance, barcode placement  standards are in DMM 202.5, 302.4, and 708.4. We currently allow and  encourage mailers to use Intelligent Mail barcodes on their letters and  flats to qualify for automation prices according to standards in DMM  202.5, 302.4, and 708.4, with technical specifications available at  ribbs.usps.gov/OneCodeSolution/. Standards regarding the use of  Intelligent Mail barcodes with Confirm service are in DMM 503.13.3 and,  with OneCode ACSTM in DMM 507.4.2. Standards for using Intelligent  Mail barcodes on BRM are in DMM 507.9.9 and 708.4.0. We have a  frequently asked questions (FAQs) section on our Intelligent Mail Web  site at ribbs.usps.gov.  Summary      In May 2009, we will implement the following:      Updated requirements for Intelligent Mail barcodes and  POSTNET barcodes, with delivery point routing information required in  barcodes on automation letters and flats and carrier route letters.      Two options for using Intelligent Mail barcodes--the basic  option and the full-service option.      For full-service implementation, we will require:      Unique identification in Intelligent Mail barcodes on  letters and flats.      Intelligent Mail tray labels, with unique barcodes, used  on trays and sacks.      Intelligent Mail container placards, with unique barcodes,  affixed on the outside of pallets and placed on containers (if the mail  is containerized).      Electronic postage statements and documentation (when  documentation is required).      Full-service mailers will enjoy the following benefits:      Address correction information for letters and flats using  OneCode ACS at no charge (subject to approval by the Governors).      "Start-the-clock" information that will document when  the Postal Service has taken possession of each mailing.     In May 2010, we will require the Intelligent Mail barcode on QBRM  letters and on Permit Reply Mail pieces.     As part of the annual price adjustment announcement in 2009, we  will recommend to the Board of Governors that letters and flats  requiring a barcode and mailed under the full-service option of  Intelligent Mail pay lower automation prices in the Fall of 2009 than  pieces mailed under the basic option or with POSTNET barcodes.     The Postal Service will adopt the following changes to Mailing  Standards of the United States Postal Service, Domestic Mail Manual  (DMM), incorporated by reference in the Code of Federal Regulations.  See 39 CFR 111.1.  List of Subjects in 39 CFR Part 111      Administrative practice and procedure, Postal Service.  0 Accordingly, 39 CFR part 111 is amended as follows:  PART 111--[AMENDED]  0 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, 3622, 3626, 3632, 3633,  and 5001.   0 2. Revise the following sections of Mailing Standards of the United  States Postal Service, Domestic Mail Manual (DMM) as follows: * * * * *  Mailing Standards of the United States Postal Service, Domestic Mail  Manual (DMM)  * * * * *  200 Commercial Letters and Cards  * * * * *  230 First-Class Mail  233 Prices and Eligibility  * * * * *  [[Page 49341]]  5.0 Additional Eligibility Standards for Automation First-Class Mail  Letters  5.1 Basic Standards for Automation First-Class Mail Letters      All pieces in a First-Class Mail automation mailing must: * * * * *     [Revise item e of 5.1 as follows:]     e. Bear an accurate delivery point POSTNET barcode or an  Intelligent Mail barcode encoded with the correct delivery point  routing code, matching the delivery address and meeting the standards  in 202.5.0, and 708.4.0. Mailers must apply the barcode either on the  piece or on an insert showing through a window. * * * * *     [Renumber current 233.5.2 through 233.5.5 as new 233.5.3 through  233.5.6.]     [Add a new 233.5.2 as follows:]  5.2 Additional Eligibility Standards for Full-Service Automation First- Class Mail Letters      All pieces entered under the full-service automation option 705.22,  must:     a. Bear a unique Intelligent Mail barcode.     b. Be part of a mailing using unique Intelligent Mail tray labels  on all trays and sacks.     c. Be part of a mailing using unique Intelligent Mail container  barcodes on all destination-entry pallets and other containers prepared  under 705.8.0 or as part of a customer/supplier agreement.     d. Be part of a mailing using an approved electronic method to  transmit a postage statement and mailing documentation to the  PostalOne! system. * * * * *  234 Postage Payment and Documentation  * * * * *  4.0 Mailing Documentation  * * * * *     [Renumber current 234.4.4 through 234.4.9 as 234.4.5 through  234.4.10 and add a new 234.4.4 as follows:]  4.4 Documentation Submission--Full-Service Automation Option      Mailers entering First-Class Mail pieces under the full-service  automation option must electronically submit postage statements and  mailing documentation to the PostalOne! system as described in  705.22.3.4. * * * * *  235 Mail Preparation  * * * * *  4.0 Tray Labels  * * * * *  4.9 Barcoded Tray Labels  4.9.1 Basic Standards for Barcoded Tray Labels      [Revise 4.9.1 by adding a new second sentence as follows:]     * * * Intelligent Mail tray labels must be used with mailings  entered under the full-service automation option. * * * * * * * *  240 Standard Mail  243 Prices and Eligibility  * * * * *  6.0 Additional Eligibility Standards for Enhanced Carrier Route  Standard Mail Letters  6.1 General Enhanced Carrier Route Standards  * * * * *  6.1.2 Basic Eligibility Standards      All pieces in an Enhanced Carrier Route or Nonprofit Enhanced  Carrier Route Standard Mail mailing must: * * * * *     [Revise item g of 6.1.2 as follows:]     g. Meet the requirements for automation compatibility in 201.3.0  and bear an accurate delivery point POSTNET barcode or Intelligent Mail  barcode encoded with the correct delivery point routing code matching  the delivery address and meeting the standards in 202.5.0, and 708.4.0.  Letters with Intelligent Mail barcodes entered under the full-service  automation option also must meet the standards in 705.22. Pieces  prepared with a simplified address format are exempt from this  requirement. * * * * *  6.3 Basic Price Enhanced Carrier Route Standards  * * * * *  6.3.2 Basic Price Eligibility      * * * Basic prices also apply under these conditions:     [Revise item a of 6.3.2 as follows:]     a. Basic letter prices apply to each piece that is automation- compatible according to 201.3.0, and has an accurate delivery point  POSTNET barcode or Intelligent Mail barcode encoded with the correct  delivery point routing code matching the delivery address and meeting  the standards in 202.5.0 and 708.4.0. * * * * *  6.4 High Density Enhanced Carrier Route Standards  6.4.1 Basic Eligibility Standards for High Density Prices      [Revise the first sentence of 6.4.1 as follows:]     High density prices apply to each piece that is automation- compatible according to 201.3.0, and has an accurate delivery point  POSTNET barcode or Intelligent Mail barcode encoded with the correct  delivery point routing code matching the delivery address and meeting  the standards in 202.5.0, and 708.4.0. * * * * * * * *  6.5 Saturation ECR Standards  6.5.1 Basic Eligibility Standards for Saturation Prices      [Revise the first sentence of 6.5.1 as follows:]     Saturation prices apply to each piece that is automation-compatible  according to 201.3.0, and has an accurate delivery point POSTNET  barcode or Intelligent Mail barcode encoded with the correct delivery  point routing code matching the delivery address and meeting the  standards in 202.5.0, and 708.4.0. * * * * * * * *  7.0 Eligibility Standards for Automation Standard Mail  7.1 Basic Eligibility Standards for Automation Standard Mail      All pieces in a Regular Standard Mail or Nonprofit Standard Mail  automation mailing must: * * * * *     [Revise item e of 7.1 as follows:]     e. Bear an accurate delivery point POSTNET barcode or Intelligent  Mail barcode encoded with the correct delivery point routing code,  matching the delivery address and meeting the standards in 202.5.0, and  708.4.0. Mailers must apply the barcode either on the piece or on an  insert showing through a window. * * * * *     [Renumber current 243.7.2 through 243.7.6 as new 243.7.3 through  243.7.7]     [Add a new 243.7.2 as follows:]  7.2 Additional Eligibility Standards for Full-Service Automation  Standard Mail Letters      All pieces entered under the full-service automation option  according to standards in 705.22 must:     a. Bear a unique Intelligent Mail barcode.     b. Be part of a mailing using unique Intelligent Mail tray labels  on all trays and sacks.  [[Page 49342]]      c. Be part of a mailing using unique Intelligent Mail container  barcodes on all destination-entry pallets and other containers prepared  under 705.8.0 or as part of a customer/supplier agreement.     d. Be part of a mailing using an approved electronic method to  transmit a postage statement and mailing documentation to the  PostalOne! system.     e. Be scheduled for an appointment through the Facility Access and  Shipment Tracking (FAST) system when deposited as a DBMC or DSCF drop- shipment. * * * * *  244 Postage Payment and Documentation  * * * * *  4.0 Mailing Documentation  * * * * *     [Renumber current 244.4.4 through 244.4.9 as 244.4.5 through  244.4.10]     [Add a new 244.4.4 as follows:]  4.4 Documentation Submission--Full-Service Automation Option      Mailers entering Standard Mail pieces under the full-service  automation option must electronically submit postage statements and  mailing documentation to the PostalOne! system as described in  705.22.3.4. * * * * *  245 Mail Preparation  * * * * *  4.0 Tray Labels  * * * * *  4.9 Barcoded Tray Labels  4.9.1 Basic Standards for Barcoded Tray Labels      * * * Barcoded labels must meet these general standards:     [Revise 4.9.1 by adding a new item e as follows:]     e. Intelligent Mail tray labels must be used with mailings entered  under the full-service automation option. * * * * *  300 Commercial Flats  330 First-Class Mail  333 Prices and Eligibility  * * * * *  5.0 Additional Eligibility Standards for Automation Price First-Class  Mail Flats  5.1 Basic Standards for Automation First-Class Mail      All pieces in a First-Class Mail automation mailing must: * * * * *     [Revise item e of 5.1 to require a delivery point barcode as  follows:]     e. Bear an accurate delivery point POSTNET barcode or Intelligent  Mail barcode encoded with the correct delivery point routing code,  matching the delivery address and meeting the standards in 302.4.0, and  708.4.0, either on the piece or on an insert showing through a barcode  window. * * * * *     [Renumber current 333.5.2 through 333.5.5 as 333.5.3 through  333.5.6.]     [Add a new 333.5.2 as follows:]  5.2 Eligibility Standards for Full-Service Automation First-Class Mail  Flats      All pieces entered under the full-service automation option  according to standards in 705.22 must:     a. Bear a unique Intelligent Mail barcode.     b. Be part of a mailing using unique Intelligent Mail tray labels  on all trays and sacks.     c. Be part of a mailing using unique Intelligent Mail container  barcodes on all destination-entry pallets and other containers prepared  under 705.8.0 or as part of a customer/supplier agreement.     d. Be part of a mailing using an approved electronic method to  transmit a postage statement and mailing documentation to the  PostalOne! system. * * * * *  334 Postage Payment and Documentation  * * * * *  4.0 Mailing Documentation  * * * * *     [Renumber current 334.4.4 through 334.4.9 as 334.4.5 through  334.4.10.]     [Add a new 334.4.4 to reflect electronic submission standards at  the full-service automation price as follows:]  4.4 Documentation Submission--Full-Service Automation Option      Mailers entering First-Class Mail flats under the full-service  automation option must electronically submit postage statements and  mailing documentation, including qualification and container reports,  to the PostalOne! system as described in 705.22.3.4. * * * * *  335 Mail Preparation  * * * * *  4.0 Tray Labels  * * * * *  4.9 Barcoded Tray Labels  4.9.1 Basic Standards for Barcoded Tray Labels      * * * Barcoded labels must meet these general standards:     [Revise 4.9.1 by adding a new item e as follows:]     e. Intelligent Mail Tray labels must be used with mailings entered  under the full-service automation option. * * * * *  340 Standard Mail  343 Prices and Eligibility  * * * * *  7.0 Additional Eligibility Standards for Automation Standard Mail Flats  7.1 Basic Eligibility Standards for Automation Standard Mail      All pieces in a Regular Standard Mail or Nonprofit Standard Mail  automation mailing must: * * * * *     [Revise item e to require a delivery point barcode as follows:]     e. Bear an accurate delivery point POSTNET barcode or Intelligent  Mail barcode encoded with the correct delivery point routing code,  matching the delivery address and meeting the standards in 302.4.0, and  708.4.0, either on the piece or on an insert showing through a barcode  window. * * * * *     [Renumber current 343.7.2 through 343.7.4 as 343.7.3 through  343.7.5.]     [Add a new 343.7.2 as follows:]  7.2 Eligibility Standards for Full-Service Automation Standard Mail  Flats      All pieces entered under the full-service automation option,  according to standards in 705.22, must:     a. Bear a unique Intelligent Mail barcode.     b. Be part of a mailing using unique Intelligent Mail tray labels  on all trays and sacks.     c. Be part of a mailing using unique Intelligent Mail container  barcodes on all destination-entry pallets and other containers prepared  under 705.8.0 or as part of a customer/supplier agreement.     d. Be part of a mailing using an approved electronic method to  transmit a postage statement and mailing documentation to the  PostalOne! system.     e. Be scheduled for an appointment through the Facility Access and  Shipment Tracking (FAST) system when deposited as a DBMC or DSCF  dropshipment. * * * * *  [[Page 49343]]  344 Postage Payment and Documentation  * * * * *  4.0 Mailing Documentation  * * * * *     [Renumber current 344.4.4 through 344.4.9 as 344.4.5 through  344.4.10.]     [Add a new 344.4.4 as follows:]  4.4 Documentation Submission--Full-Service Automation Option      Mailers entering Standard Mail pieces under the full-service  automation option must electronically submit postage statements and  mailing documentation, including qualification and container reports,  to the PostalOne! system as described in 705.22.3.4. * * * * *  345 Mail Preparation  * * * * *  4.0 Sack and Tray Labels  * * * * *  4.8 Use of Barcoded Sack and Tray Labels      * * * Barcoded labels must meet these general standards:     [Revise 4.8 by adding a new item e as follows:]     e. Intelligent Mail tray labels must be used on all trays and sacks  for mailings entered under the full-service automation option. * * * * *  360 Bound Printed Matter  363 Prices and Eligibility  1.0 Prices and Fees for Bound Printed Matter  1.1 Nonpresorted Bound Printed Matter  * * * * *  1.1.4 Barcoded Discount--Flats      [Revise 363.1.1.4 to require BPM claiming a barcode discount price  to be automation-compatible and bear a delivery point barcode as  follows
                
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