DMM Revision: Combined Mailings of Standard Mail and Periodicals Flats

Effective January 22, 2012, the Postal Service™ will revise Mailing Standards of the United States Postal Ser­vice, Domestic Mail Manual (DMM®) to add a new 705.15, providing optional standards for combining Standard Mail® flats and Periodicals flats within the same bundle, when placed on pallets; and for combining bundles of Standard Mail flats and bundles of Periodicals flats on the same pal­let. The Postal Service will also revise DMM 708.1.1 to describe the new optional endorsement line (OEL) stan­dards corresponding to these options

Mailers using this option may combine different-class mailpieces within the same bundle (comail), or combine separate same-class bundles (of different classes) on the same pallet (copalletize) to maximize presorting or to qual­ify for deeper destination entry discounts. All mailpieces prepared under this option are required to be bundled and placed on pallets. Combined mailings enhance operational efficiencies within postal processing by allowing mailers to place mailpieces in bundles on pallets that might have been placed in sacks if prepared separately.

In 2007, the Postal Service introduced a pilot program for mailers to combine Standard Mail flats and Periodicals flats. The program was restricted to a limited number of participants, and to date, most of the original participants continue to mail under pilot standards. The pilot program generally allowed for entry, transport, and processing of the combined mailings similar to that currently provided for Periodicals flats.

Standards for the program have since been modified to more closely align preparation and processing of these mixed class bundles with those currently provided for Standard Mail bundles. These modified standards were ini­tially provided via a Federal Register proposed rule (75 FR 16588–16592) on March 24, 2011. Final standards were provided on June 28, 2011, in a Federal Register final rule (76 FR 37655–37659), and are described below.

These revised standards will not change current DMM content and eligibility standards applicable to Periodicals and Standard Mail. Mailers using these options will con­tinue to be required to meet the minimum volume stan­dards for Standard Mail of 200 pieces or 50 pounds. Periodicals publications must be authorized or have a pending authorization to mail at Periodicals prices. The current processes that identify and isolate Periodicals ori­gin mixed area distribution center (OMX) mailpieces, for integration into the First-Class Mail® mailstream, will not be available when combining Standard Mail flats and Periodi­cals flats on pallets. All mailpieces included in a combined mailing of Standard Mail and Periodicals flats on pallets must be machinable in accordance with DMM 301.3.0.

Mailers wishing to combine Standard Mail and Periodi­cals flats under these options will be required to submit a request for authorization, in writing, to the manager, Busi­ness Mailer Support.

Mailers combining Standard Mail flats and Periodicals flats will not have the option to form area distribution center (ADC) pallets or to dropship to ADCs. As a result, Periodicals publications included in combined mailings will not have access to DADC prices. Other specific prices for Periodicals flats in a combined mailing will be assessed as follows:

n The bundle prices applicable to the ADC container level will be applied to the auxiliary service facility (ASF)/network distribution center (NDC) container level.

n The container prices applicable to the ADC pallet level will apply to the ASF/NDC pallet level.

n The bundle price applicable to the ADC bundle placed on the ADC container level will apply to mixed ADC bundles placed on mixed NDC pallets.

n The container price applicable to the mixed ADC pal­let level (expected to be provided on January 22, 2012) will apply to the mixed NDC pallet level.

Standard Mail flats and Periodicals flats combined on pallets will be processed as Standard Mail; and the Period­icals mailpieces included within these combined mailings may receive deferred handling and will be subject to the USPS® service standards applicable to Standard Mail. These mailings must also be identified as Standard Mail when scheduling dropship appointments in the Facility Access and Shipment Tracking (FAST®) system.

Mailers combining Standard Mail flats and Periodicals flats on pallets must populate field 10, “Product or Publica­tion Title or Names,” of PS Form 8125 and/or field 11b, “Product Name/ID,” of PS Form 8125C with “MIX COMAIL” when preparing dropship documentation for these mailings.

Each Standard Mail and Periodicals mailpiece prepared under a combined mailing of Standard Mail flats and Peri­odicals flats will be required to be identified as containing mixed classes through the use of an optional endorsement line (OEL) in accordance with the proposed standards.

On March 14, 2011, the Postal Service published a pro­posed rule, Federal Register notice, New Origin Entry and Containerization Standards (75 FR 13704–13767). If that pro­posal is adopted, standards for combined mailings of Stan­dard Mail and Periodicals flats will be modified to reflect these new preparation standards, including one significant change that will require the separation of mixed ADC pallets into an origin NDC pallet (required over 150 pounds), if not already prepared, and a Tier 2 Network pallet.

Effective January 22, 2012, the Postal Service will also amend 39 CFR Part 121.2 by adding a new item “c” to describe the USPS processing of Periodicals mailpieces included in combined mailings of Standard Mail flats and Periodicals flats, and specifying that Periodicals mailpieces included in these mailings will be assigned the service standards applicable to Standard Mail pieces.

Mailing Standards of the United States Postal Service, Domestic Mail Manual (DMM)

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700 Special Standards

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705 Advanced Preparation and Special Postage Payment Systems

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8.0 Preparing Pallets

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8.5 General Preparation

8.5.1 Presort

[Revise the fifth sentence of 8.5.1 as follows:]

***Except as described in 15.1g, bundles must not be placed on mixed ADC or mixed NDC pallets.***

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[Renumber current 15.0 through 23.0 as new 16.0 through 24.0 and add new 15.0 as follows:]

15.0 Combining Standard Mail Flats and Periodicals Flats

15.1 Basic Standards

Authorized mailers may combine Standard Mail flats and Periodicals flats in a single mailing as follows:

a. Each mailpiece must meet the standards in 340 for Standard Mail and 707 for Periodicals. Periodicals publications must be authorized or pending original or additional entry at the office of mailing.

b. Mailers must prepare pieces in bundles on pallets.

c. All mailpieces must be machinable in accordance with 301.3.0.

d. Mailers must pay all annual mailing fees at the office of mailing.

e. Each mailing must include at least 200 pieces or 50 pounds of Standard Mail.

f. All mailpieces combined within bundles, in accor­dance with 14.0, must be similar in size so as to create stable bundles. Bundles placed on pallets under this provision must be prepared to create stable pallets.

g. When residual pieces are included in a combined mailing of Standard Mail flats and Periodicals flats on pallets, these pieces must be bundled and placed di­rectly on mixed NDC pallets.

15.1.1 Service Objectives

The Postal Service handles combined mailings of Standard Mail flats and Periodicals flats as Standard Mail. Periodicals flats included within mailings of combined Standard Mail flats and Periodicals flats are subject to the USPS service standards applicable to Standard Mail.

15.1.2 Postage Payment

Postage for all Standard Mail pieces must be paid with per­mit imprint using a special postage payment system in 2.0 through 4.0 at the Post Office location serving the mailer’s plant. Postage for Periodicals may be paid through an advance deposit account or through a Centralized Account Payment System (CAPS) account.

15.1.3 Documentation

Mailers must present standardized electronic documenta­tion according to 708.1.0. This documentation must accu­rately reflect the final piece count in the combined mailing. In addition, mailers must provide:

a. An edition or version summary for all pieces in the mailing. The summary may be part of the USPS qual­ification report and must include version ID, product or edition code, class of mail, piece weight of each version, and number of pieces by version; and for Pe­riodicals, USPS or permit number (or pending permit number), issue date, and advertising percentage.

b. A consolidated postage statement register and post­age statement for each Periodicals publication in the combined mailing.

c. A consolidated postage statement register and post­age statement for each Standard Mail mailing in the combined mailing. Mailers may provide a single con­solidated postage statement and a consolidated postage statement register of all Standard Mail mail­ings if they are itemized.

d. When pallets are dropshipped, a register of Forms 8125 (or PS 8125C) that consolidates all of the mail­ings into the destinations where the mail is drop­shipped.

e. Documentation to support zones and bundle totals, if requested.

f. When requested, a copy of a notification document signed and dated by the Periodicals publisher, ac­knowledging their participation in a combined mail­ing of Standard Mail and Periodicals and the potential for their mailpieces to receive deferred USPS handling.

g. Any additional documentation to support postage payment system records, if requested.

15.1.4 Authorization

A mailer must submit a written request to the manager, Business Mailer Support (see 608.8.1 for address) to com­bine mailings of Standard Mail flats and Periodicals flats. The request must show the mailer’s name and address, the mailing office, evidence of authorization to mail using a special postage payment system under 2.0 through 4.0, procedures for combining the mailing, the expected date of first mailing, quality control procedures, and a sample of all supporting mailing documentation, including postage statements and the USPS Qualification Report. Business Mailer Support will review the documentation and provide written authorization. A mailer may terminate an authoriza­tion at any time by written notice to the postmaster of the office serving the mailer’s location. Business Mailer Sup­port may terminate an authorization by written notice if the mailer does not meet the standards.

15.1.5 Price Eligibility

Apply prices based on the standards in 340 for Standard Mail. Prices are based on the standards in 707 for Periodi­cals and as modified under the standards for this program.

15.1.6 Piece Prices

Apply piece prices based on the bundle level. Pieces con­tained within mixed class bundles may claim prices based on the presort level of the bundle.

15.1.7 Applying the Periodicals Bundle Charge

Apply bundle charges as follows:

a. Calculate the percentage of Periodicals copies in a bundle.

b. Convert the percentage to four decimal places, rounding off if necessary (for example, convert 20.221% to 0.2022, or 20.226% to 0.2023). Multiply by the applicable bundle charge.

c. Allocate the resulting charge across the Periodicals titles and editions based on the number of copies of each in the bundle.

15.1.8 Applying the Periodicals Container Charge

Apply container charges to pallets as follows:

a. Calculate the percentage of the weight of Periodicals copies on each pallet.

b. Convert the percentage to four decimal places, rounding off if necessary (for example, convert 20.221% to 0.2022, or 20.226% to 0.2023). Multiply by the applicable container charge.

c. Allocate the resulting charge across the Periodicals titles and editions based on the number of copies of each on the pallet.

15.1.9 Other Periodicals Pricing

Other prices for Periodicals flats in a combined mailing of Standard Mail and Periodicals flats on pallets will be assessed as follows:

a. The bundle prices applicable to the ADC container level will be applied to the ASF/NDC container levels.

b. The container prices applicable to the ADC pallet lev­el will apply to the ASF/ NDC pallet levels.

15.1.10 Bundle Reallocation to Protect the SCF or NDC Pallet

Mailers may reallocate bundles under 8.11 or 8.13 to pro­tect the SCF or NDC pallet.

15.2 Combining Standard Mail Flats and Periodicals Flats in the Same Bundle

15.2.1 Bundling and Labeling

Standard Mail flats and Periodicals flats may be combined in carrier route, 5-digit (scheme), 3-digit, ADC, and Mixed ADC bundles when prepared according to 707.19.0 and these additional standards:

a. Each bundle containing combined Standard Mail flats and Periodicals flats must contain a minimum of 10 pieces. Bundles of only Standard Mail flats must contain a minimum of 10 pieces. Bundles of only Pe­riodicals flats must contain a minimum of 6 pieces.

b. Firm bundles must contain only Periodicals flats.

15.2.2 Mailpiece and Bundle Identification

Each Standard Mail and Periodicals mailpiece prepared under a combined mailing of Standard Mail flats and Peri­odicals flats must be identified as being part of a mixed class mailing through the use of an optional endorsement line (OEL) in accordance with the standards in 708.7.1.8.

15.2.3 Pallet Presort and Labeling

Mailers must prepare pallets according to the standards in 8.0 and in the sequence listed below. Merged 5-digit scheme through NDC pallets must contain at least 250 pounds of combined Standard Mail and Periodicals mail­pieces, except as allowed under 8.5.3. Pallets must be labeled according to the Line 1 and Line 2 information listed below and under 8.6. Pallet placards must be white and measure at least 8 inches by 11 inches, unless prepared under 708.6.6.6. Prepare pallets according to the prepara­tion, sequence, and labeling instructions in 15.4.1.

15.3 Combining Bundles of Standard Mail Flats and Periodicals Flats on the Same Pallet

15.3.1 Bundling and Labeling

Mailers must prepare bundles according to the standards for the class of mail and the prices claimed.

15.3.2 Mailpiece and Bundle Identification

Each Standard Mail and Periodicals mailpiece prepared under a combined mailing of Standard Mail flats and Peri­odicals flats must be identified as being part of a mixed class mailing through the use of an optional endorsement line (OEL) in accordance with standards in 708.7.1.8.

15.3.3 Pallet Presort and Labeling

Mailers must prepare pallets according to the standards in 8.0 and in the sequence listed below. Merged 5-digit scheme through NDC pallets must contain at least 250 pounds of combined Standard Mail and Periodicals, except as allowed under 8.5.3. When reallocating bundles under 8.11 or 8.12, mailers do not have to achieve the finest pallet presort level possible. Pallets must be labeled according to the Line 1 and Line 2 information listed below and under 8.6. Pallet placards must be white and measure at least 8 inches by 11 inches, unless prepared under 708.6.6.6. Pre­pare pallets according to the preparation, sequence, and labeling instructions in 15.4.1.

15.4 Pallet Preparation

15.4.1 Pallet Preparation, Sequence and Labeling

When combining Standard Mail and Periodicals flats within the same bundle or combining bundles of Standard Mail flats and bundles of Periodicals flats on pallets, bundles must be placed on pallets. Preparation, sequence, and labeling:

a. Merged 5-digit scheme, optional. Not permitted for bundles containing noncarrier route automation-compatible flats under 301.3.0. Required for all other bundles. Pallet must contain barcoded carrier route bundles and barcoded noncarrier route 5-digit bun­dles for the same 5-digit scheme under L001. For 5-digit destinations not part of L001, merged 5-digit pallet preparation begins with 15.4.1d. Labeling:

1. Line 1: L001.

2. Line 2: “STD/PER FLTS CR/5D;” followed by “SCHEME” (or “SCH”); followed by “MIX COMAIL.”

b. 5-digit scheme carrier routes, required. Pallet must contain only carrier route bundles for the same 5-dig­it scheme under L001. For 5-digit destinations not part of L001, 5-digit carrier routes pallet preparation begins with 15.4.1c. Labeling:

1. Line 1: L001.

2. Line 2: “STD/PER FLTS”; followed by “CARRIER ROUTES” (or “CR-RTS”); followed by “SCHEME” (or “SCH”); followed by “MIX COMAIL.”

c. 5-digit carrier routes, required. Pallet must contain only carrier route mail for the same 5-digit ZIP Code. Labeling:

1. Line 1: city, state, and 5-digit ZIP Code destina­tion (see 8.6.4c for overseas military mail).

2. Line 2: “STD/PER FLTS”; followed by “CR/5D”; followed by “MIX COMAIL.”

d. Merged 5-digit, optional. Not permitted for bundles containing noncarrier route automation-compatible flats under 301.3.0. Required for all other bundles. Pallet must contain barcoded carrier route bundles and barcoded noncarrier route 5-digit bundles for the same 5-digit ZIP Code. Labeling:

1. Line 1: city, state, and 5-digit ZIP Code destina­tion (see 8.6.4c for overseas military mail).

2. Line 2: “STD/PER FLTS”; followed by “CR/5D”; followed by “MIX COMAIL.”

e. 5-digit, required. Pallet must contain only mail for the same 5-digit ZIP Code or same 5-digit scheme under L007 (for automation flats only under 301.3.0). 5-digit scheme bundles are assigned to 5-digit pallets accord­ing to the OEL “label to” 5-digit ZIP Code. Labeling:

1. Line 1: city, state, and 5-digit ZIP Code destina­tion (see 8.6.4c for overseas military mail).

2. Line 2: “STD/PER FLTS 5D”; followed by “BAR­CODED” (or “BC”); followed by “MIX COMAIL.”

f. 3-digit, optional, but not available for bundles for 3-digit ZIP Code prefixes marked “N” in L002. Pallet may contain mail for the same 3-digit ZIP Code or the same 3-digit scheme under L008 (for automation-compatible flats only under 301.3.0). Three-digit scheme bundles are assigned to pallets according to the OEL “label to” 3-digit ZIP Code in L008. Labeling:

1. Line 1: L002, Column A.

2. Line 2: “STD/PER FLTS 3D”; followed by “BAR­CODED” (or “BC”); followed by “MIX COMAIL.”

g. SCF, required. Pallet may contain carrier route or au­tomation mail for the 3-digit ZIP Code groups in L005. Labeling:

1. Line 1: L002, Column C.

2. Line 2: “STD/PER FLTS SCF”; followed by “BAR­CODED” (or “BC”); followed by “MIX COMAIL.”

h. ASF, required unless bundle reallocation used under 15.1.10. Pallet may contain carrier route or automa­tion mail for the 3-digit ZIP Code groups in L602. ADC bundles are assigned to pallets according to the “label to” ZIP Code in L004 as appropriate. Labeling:

1. Line 1: L602.

2. Line 2: “STD/PER FLTS NDC”; followed by “BAR­CODED” (or “BC”); followed by “MIX COMAIL.”

i. NDC, required. Pallet may contain carrier route or auto­mation mail for the 3-digit ZIP Code groups in L601. ADC bundles are assigned to pallets according to the “label to” ZIP Code in L004 as appropriate. Labeling:

1. Line 1: L601.

2. Line 2: “STD/PER FLTS NDC”; followed by “BAR­CODED” (or “BC”); followed by “MIX COMAIL.”

j. Mixed NDC, required, no minimum. Pallet may con­tain carrier route or automation mail. Pallet includes MXD ADC bundles, prepared according to the “label to” ZIP in L009, as appropriate. Unless authorized by the processing and distribution manager, pallet must be entered at the NDC serving the 3-digit ZIP Code of the entry Post Office. Labeling:

1. Line 1: “MXD” followed by the information in L601, for the NDC serving the 3-digit ZIP Code prefix of the entry Post Office.

2. Line 2: “STD/PER FLTS;” followed by “BAR­CODED” (or “BC”); followed by “WKG;” followed by “MIX COMAIL.”

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708 Technical Specifications

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1.0 Standardized Documentation for First-Class Mail, Periodicals, Standard Mail, and Flat-Size Bound Printed Matter

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1.5 Combined, Copalletized, and Merged Mailings

[Revise the introductory sentence of 1.5 as follows:]

For combined or copalletized mailings of Periodicals and Standard Mail, documentation must show this additional information:

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7.0 Optional Endorsement Lines (OELs)

7.1 OEL Use

7.1.1 Basic Standards

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Exhibit 7.1.1 OEL Formats

 

Sortation Level

OEL Example

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[Revise Exhibit 7.1.1 to add a new last section to describe additional OEL human-readable text for use with combined mailings of Standard Mail and Periodicals flats as follows:]

Additional required human-readable text for use with combined mailings of Standard Mail and Periodicals flats:

 

5-Digit Scheme

(and other sortation levels as appropriate)

* * * * * * * * SCH 5-DIGIT 12345 MIX COMAIL

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[Add a new 7.1.8 to described new OEL requirements for mailers combining Standard Mail and Periodicals flats as follows:]

7.1.8 Required OEL Use in Combined Mailings of Standard Mail and Periodicals Flats

Mailers authorized to combine Standard Mail flats and Peri­odicals flats, under 705.15, must apply an OEL identifying the presort level of the bundle and other applicable infor­mation as specified in 7.1 to each mailpiece. The following additional standards also apply:

a. Each OEL must contain the format elements de­scribed in 7.2 and must include a “MIX COMAIL” hu­man-readable text as its most right-justified element.

b. Mailpieces may include LOT information, in accor­dance with 7.1.7, only when there is sufficient space for the human-readable text in item a and all other re­quired information.

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We will incorporate these revisions into the next printed version of the DMM and into the online DMM, which is available via Postal Explorer® at http://pe.usps.com.