DMM REVISION

Electronic Verification System

Effective January 4, 2007, 402.2.0, 434, 435.4.0, 443.3.4, 444, 445.4.0, 446.2.0, 454, 455.3.0, 456.2.0, 464, 465, 466.2.0, 473.1.4, 474, 475, 476.1.1., 483.1.4, 484, 485, 486.1.1, 503, 604.5.0, 608.8.1, 705.2.0, 705.6.0, 705.7.0, 705.8.6.0 of the Mailing Standards of the United States Postal Service, Domestic Mail Manual (DMM) are revised to reflect the mailing requirements for mailers who choose the current option to use the Electronic Verification System (eVS) for manifesting parcel mail.

Required Use

Beginning, August 1, 2007, eVS will be required for all permit imprint Parcel Select mailings and for permit imprint commingled parcel mailings authorized under DMM 705.6.0 or 705.7.0. A final rule on this requirement, along with a detailed analysis of comments received from the mailing public, was published in the Federal Register on July 10, 2006.

Background and Overview

The Postal ServiceTM has worked closely with the parcel shipping industry for the past 3 years to develop verification and acceptance procedures designed for customer convenience and flexibility in mail induction and postage payment. Current procedures for the acceptance and verification of parcel mailings are paper-driven and can be challenging in a dynamic shipping industry. This industry includes mailers and mail owners (such as catalog companies, order-fulfillment houses, and e-commerce firms) as well as shippers (such as regional and national carriers, parcel consolidators, and transporters handling parcels from mailers, mail owners, and other shippers). For purposes of brevity, the term "mailer" in this article and the following DMM text signifies all these possible entities.

Current Operational and Documentation Flow

Current operational cycles of parcel mailers, especially operational cycles for destination entry parcels prepared as plant-verified drop shipment (PVDS), tend to be tied to the schedules of Postal Service clerks. These clerks visit the mailer's production plants and mailing centers to verify and accept parcel mail before it can be entered into the mailstream or transported to Postal Service destination entry facilities for induction. For destination entry parcel mailers, scheduling poses a challenge because they must prepare paper documentation for each induction event just prior to the time of acceptance and verification at their production plants.

One challenge for the mailer is the high level of coordination needed to ensure that the mail, the Postal Service personnel charged with verification, and the mailer's transportation all arrive around the same time. A second challenge is the preparation of the following important documentation:

• Postage Statements. Postage statements constitute a mailer's declaration of what is in the mailing and the authorization to withdraw funds from the mailer's postage payment account. These are critical financial documents that list rates and payment for the various classes of parcel mail based on the declared number of pieces and rate categories.

• Manifests. If the parcel mail is manifested, then corresponding manifests also must be generated to support the mail volume reported and the rates claimed, including any destination entry rates. Manifests are typically used for nonidentical-weight parcels paid with a permit imprint. As a result, manifests must contain detailed information about each parcel in the mailing. Postal Service personnel verify the mailing by comparing their rate calculations of mail samples taken from the mailing against the rate information reported in the manifest.

• Clearance Documents. In addition to preparing the postage statements and the manifests providing rate- related information on every parcel in the mailing, mailers must prepare separate clearance documents for segments within the mailing being transported to each destination entry facility. The additional document, specifically used for destination entry mail, is PS Form 8125, Plant-Verified Drop Shipment (PVDS) Verification and Clearance, which serves as proof of payment for each specific destination entry shipment when presented to the Postal Service at the entry facility. If the mailer, for example, has segmented the mail for transporting it to 125 entry facilities, then 125 distinct clearance documents must be prepared for those 125 facilities.

After Postal Service clerks verify the parcel mail at a mailer's plant, the mail often flows through consolidators and transporters, who must keep track of the various PS Forms 8125. When consolidators and transporters commingle parcels from multiple mailings, it becomes difficult to keep the physical mailings and corresponding documents intact. It is also difficult for Postal Service clerks at destination entry facilities to reconcile the paper documentation against the parcels received.

Mailers need a more convenient and flexible way to provide and update the necessary documentation required for the parcel mail in their mailings. Likewise, the Postal Service needs a more consistent and accurate way to verify parcel mailings at destination entry facilities.

Benefits of eVS

The Postal Service and the parcel shipping industry have worked together to develop eVS into a new manifesting model that simplifies verification, acceptance, and induction of parcel mailings. Under this model, mailers barcode and manifest all parcels before transmitting the electronic manifest files to the Postal Service.

The eVS manifest file structure, which is similar to the traditional postage payment manifests, lists all parcels in a mailing and includes pertinent information that supports postage and fee payment for each parcel. Under eVS, the Postal Service generally no longer verifies parcel mailings at a mailer's plant, and the mailer is no longer required to create paper documentation for induction activities. Mailers now manifest the parcels, transmit their electronic files to the Postal Service, schedule appointments through the Facility Access and Shipment Tracking (FAST) system, and present the parcels at the desired destination entry facilities according to their FAST appointments.

The Postal Service draws random statistical samples of mailings at the appropriate plants and delivery units, and electronically compares the sampling data against the transmitted electronic manifest data in order to verify the accuracy of the mailing. Electronic reports provide information on the discrepancies noted. These reports are available via the eVS Web site and can facilitate an automated reconciliation process.

Parcel mailers can benefit from using eVS for the following reasons:

• Flexibility. On-site Postal Service verification schedules no longer constrain the management of a mailer's internal workflows, thereby allowing more rapid responses to changes in production, order fulfillment, and customer business needs. Under eVS, most verification and sampling activities now occur off-site at Postal Service destination entry facilities such as bulk mail centers and delivery units rather than at origin sites such as the mailer's plant or the Postal Service business mail entry unit serving that plant.

• Precision. Barcoding each parcel ensures greater precision within the accounting and postage payment processes.

• Efficiency. Transmitting specifically prepared electronic manifest files eliminates the need for paper documentation, significantly improves the efficiency of operations and reporting, and provides greater flexibility for updating information. eVS is a paperless system. All documentation is prepared electronically and received electronically, and clearance documents are no longer needed.

• Cash Flow. Transmitting electronic files on the day when the mailer deposits the mail at the destination facilities allows the mailer to pay postage closer to the actual time that the mail is entered into the mailstream.

• Information. Having access to a wealth of online reports provides up-to-date mailing and transaction information. This information (accessible 24 hours a day, 7 days a week) facilitates convenient information sharing between the Postal Service and the eVS mailers.

Plant-Verified Drop Shipment (PVDS) vs. Electronic Verification System (eVS)

Requirements

eVS has two fundamental technical requirements that provide the necessary data and configuration for successful processing. The requirements are as follows:

• Electronic Manifest Files. The creation and successful transmission of electronic manifest files to the Postal Service for postage payment is required. The electronic file format and data elements used for these manifest files are detailed in Postal Service Publication 205, Electronic Verification System Technical Guide. The eVS electronic manifest files replace today's hardcopy manifest, as well as the associated hardcopy postage statement and, for plant-verified drop shipments, PS Form 8125.

• Parcel Barcoding. The application of a unique barcode to each parcel is required. There are two standardized eVS barcode formats: the Confirmation Services barcode (that is, the current barcode used for Delivery ConfirmationTM and Signature ConfirmationTM) and the Package Services routing barcode for parcels not using Confirmation Services. Publication 205 presents the technical requirements for each barcode, as follows:

• The barcode must be an authorized UCC/EAN Code 128 barcode meeting the technical requirements in Publication 205.

• The mailer ID used in the barcode must be unique to the parcel shipper or the parcel shipper's client.

• Each barcode must be unique for 12 consecutive months. (The Postal Service is developing requirements to shorten this period to 6 consecutive months for possible implementation in 2007.)

Because Delivery Confirmation service does not require any additional fees for Parcel Select items, mailers are encouraged to apply a Delivery Confirmation service barcode to all Parcel Select pieces. Delivery Confirmation service is available on other Package Services and Standard Mail parcels for $0.14, when using the electronic option. Mailers may choose to apply an alternate barcode, as described in Publication 205, to avoid paying this fee. However, no delivery information is available if this barcode used.

eVS Manifest Mailing Operations

The principal eVS manifest mailing operations for the eVS mailer and the Postal Service occur in the following sequence:

1. Transmitting Electronic Manifest Files. On or before the actual date of deposit (also called the date of mailing), the mailer transmits electronic manifests to the Postal Service detailing all eVS parcels to be deposited into the mailstream.

2. Generating Postage Statements. eVS generates postage statements using the information contained in the mailer's transmitted manifest files and submits these postage statements directly to PostalOne!

3. Paying Postage and Fees. From the information on the generated postage statements, postage and any fees for special services are withdrawn from the mailer's PostalOne! postage payment account. Account information, including current balances and transactions, is updated on the eVS Web site. The eVS mailer can access the password-protected Web pages to view postage statements and associated funds debited from the account.

4. Transporting and Depositing Parcels. The eVS mailer makes appointments through the Postal Service's Facility Access and Shipment Tracking (FAST) system and then the mailer transports and deposits the parcels at the appropriate Postal Service destination entry facility, based on any of these entry rates available for the class of mail class claimed:

a. Destination bulk mail center.

b. Destination sectional center facility.

c. Destination delivery unit.

5. Sampling Deposited Parcels. As the eVS mailer deposits parcels at destination entry facilities, the Postal Service randomly samples the parcels using scanning devices and electronic scales and uploads the collected sampling data to eVS. The uploaded data is matched to the data manifested by the mailer. The data is then compared to verify whether the manifested postage for the sampled parcels has been calculated correctly, based on the rate determinants and physical characteristics of the parcels. The comparison results are recorded in the eVS database and used to calculate the postage adjustment factor (PAF) described in the next section. Sampling data collected by the Postal Service includes the following:

a. Barcode information and rate markings on the mailing label.

b. Service area of the entry point and destination ZIP CodeTM on the mailing label.

c. Zone, if applicable to the class or subclass of mail.

d. Size (dimensions) of the parcel, if warranted by an unusual size that could result in a balloon rate or oversize rate.

e. Weight of the parcel.

f. Machineability of the parcel.

6. Determining Misshipped and Unmanifested Parcels. When barcodes on the mailing labels are scanned during normal processing and delivery operations (for example, delivery scans collected for parcels prepared with Delivery Confirmation), the barcode data is transmitted from the Product Tracking System to the eVS database to determine whether the parcels are misshipped or unmanifested. Misshipped parcels are parcels deposited by the eVS mailer at the incorrect destination delivery unit entry facility and transported by the Postal Service to the correct entry facility. Unmanifested parcels are parcels that are scanned by the Postal Service but not included on the mailer's manifest.

7. Assessing Additional Postage. As described in the next section, the mailer is assessed postage for discrepancies found in the electronic manifests for any of the following:

a. Incorrectly rated parcels.

b. Unmanifested parcels.

c. Misshipped parcels.

Postage Adjustments

eVS collects postage daily based on the electronic manifests received that day from mailers. For calculating postage adjustments in eVS, a mailing period is defined as a calendar month. A reconciliation period is defined as the 20 days immediately following the mailing period. In addition to the daily collection of postage based on the manifests, postage is calculated and assessed each month for the following types of errors:

• Incorrectly Rated Parcels. If total postage paid for the parcels on the manifests received for a mailing period is understated by more than 1.5 percent (based on sampling), a postage adjustment factor (PAF) is calculated by dividing the total postage for the sampled parcels by the postage claimed for the sampled parcels on the mailer's manifests. If the PAF exceeds 1.015 (that is, the percentage of underpayment is greater than 1.5 percent), then the manifested postage amount for the entire mailing period is multiplied by the PAF minus 1 (1.015 -1) to determine the additional postage due.

• Unmanifested Parcels. If a parcel is not identified on a manifest, the mailer ID in the barcode is used to establish accountability for payment of postage. Postage for unmanifested parcels is based on data collected on these parcels at destinating Postal Service facilities. The eVS database receives a weekly update of unmanifested parcels from the Product Tracking System. The mailer is allowed to reconcile unmanifested parcels by transmitting electronic manifest files for the unmanifested parcels during the mailing period and no later than within 10 days after the close of the mailing period. Any unmanifested parcel receiving a manifest record prior to the 11th day of the subsequent month will be removed from this assessment and charged the appropriate postage. Unmanifested parcels do not become part of the postage adjustment factor calculation.

• Misshipped Parcels. For destination delivery unit (DDU) parcels dropped at an incorrect entry location, the eVS mailer is charged the difference between the manifested postage and the appropriate single-piece rate for the parcel. In the case of Standard Mail parcels, the mailer is charged the difference between the manifested postage and, whichever is less, the appropriate First-Class Mail single-piece rate or appropriate Parcel Post rate, either the intra-bulk mail center (intra-BMC) or inter-bulk mail center (inter-BMC) rate depending on the service area of the correct destination ZIP Code. DDU rates are currently not available for Standard Mail parcels. To allow for improved delivery, mailers can be authorized to commingle Standard Mail parcels with Parcel Select parcels entered at DDUs. For destination bulk mail center (DBMC) and destination sectional center facility (DSCF) parcels dropped at an incorrect entry location, any sampled pieces from such misshipments become part of the postage adjustment factor calculation.

The Postal Service will work with mailers required to pay postage adjustments for incorrectly rated parcels, unmanifested parcels, and misshipped parcels to determine the causes that led to the adjustments and to review quality control procedures. It is important that the mailer maintain such procedures to ensure accountability of parcels entered under the eVS manifest program.

Schedule of Postage Payments and Adjustments

Postage Payment Schedule

Under eVS, the collection of postage and any postage adjustment for postage due occurs as follows:

• The mailer's PostalOne! postage payment account is debited on a daily basis. Payment for each manifest is debited on the day the manifest is submitted.

• On the 21st day of the month following the monthly mailing period, defined as a calendar month, the mailer's PostalOne! postage payment account may be further debited for (1) postage adjustments on the manifested postage if the PAF exceeds 1.015, (2) postage for unmanifested parcels, and (3) additional postage for misshipped parcels. These additional postage amounts are processed on the 21st day of the month following the mailing period to allow mailers time to investigate and reconcile discrepancies. Between the end of a mailing period and the 21st day of the following month, eVS provides two consecutive 10-day review periods, as follows:

• Mailer Investigation Period. The first 10-day period is the mailer review period and begins immediately after the end of the monthly mailing period and extends through the 10th day of the month following the mailing period. During the 10-day review period, the mailer may still submit manifest files to reconcile and pay for unmanifested parcels.

• Joint Mailer/Postal Service Investigation Period. The second 10-day period is a joint review period between the mailer and the Postal Service and begins immediately following the 10-day mailer review period and extends through the 20th day of the month following the mailing period. During this period, at the mailer's request, the mailer may jointly review the sampling data with the Postal Service to dispute any data indicating a postage adjustment is due. Appeals and refund requests must be submitted in writing to the Business Mailer Support manager within 30 days following the end of the joint review period.

eVS Parcel Subclasses and Rate Categories

Currently only the classes, subclasses, rate categories, and processing categories shown in the following table are available for eVS. The Postal Service plans to include the additional classes of mail and rate categories indicated in the lower part of the table by the dates shown.

First-Class Mail and Priority Mail

Beginning April 1, 2007, First-Class Mail and Priority Mail will be offered only on a test basis. Both subclasses are handled in a preferential network and will require alternative sampling procedures. Current eVS-approved mailers interested in testing First-Class Mail or Priority Mail must send a written request to:

MANAGER
BUSINESS MAILER SUPPORT
US POSTAL SERVICE
475 L'ENFANT PLZ SW RM 2P846
WASHINGTON DC 20260-0846

Available eVS Mail Classes, Rate Categories, and Processing Categories

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

* * * * *

400 Discount Mail Parcels

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402 Elements on the Face of a Mailpiece

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2.0 Placement and Content of Markings

2.1 First-Class Mail and Standard Mail Markings

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2.1.2 Exceptions to Markings

[Revise 2.1.2 to read as follows:]

The following exceptions apply to manifest mailings:

a. The basic marking must appear in the postage area on each piece. The two-letter rate category code required in the keyline on manifest mailing pieces prepared under 705.2.0 meets the requirement for other rate markings.

b. Mail manifested using the Electronic Verification System (eVS) under 705.2.9 must bear the basic marking and the additional marking "eVS" (or the alternative "e-VS" or "EVS") in two places:

1. In the required permit imprint as described in 604.5.0.

2. In the human-readable text above the required barcode described in 705.2.9 and 708.5.0.

2.2 Parcel Post, Bound Printed Matter, Media Mail, and Library Mail Markings

* * * * *

[Revise title and text of 2.2.7 to read as follows:]

2.2.7 Exception to Markings

Mail manifested using eVS under 705.2.9 must bear the basic marking and the additional marking "eVS" (or the alternative "e-VS" or "EVS") in two places:

a. In the required permit imprint as described in 604.5.0.

b. In the human-readable text above the required barcode described in 705.2.9 and 708.5.0.

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430 Discount Parcels First-Class Mail

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434 Postage Payment and Documentation

1.0 Basic Standards for Postage Payment

1.1 Postage Payment Options

[Revise 1.1 by adding the following sentence, after the first sentence, as follows:]

***Mail manifested using the Electronic Verification System (eVS) under 705.2.9 must be paid with a permit imprint.***

* * * * *

3.0 Mailing Documentation

3.1 Completing Postage Statements

[Revise the first sentence of 3.1 to read as follows:]

Unless manifested using eVS under 705.2.9, any mailing claiming a discount and all permit imprint mailings must be accompanied by a postage statement completed and signed by the mailer (in duplicate if the mailer wants a receipted copy).***

3.2 Basic Documentation Standards

[Revise the first sentence of 3.2 to read as follows:]

Unless manifested using eVS under 705.2.9, mailings presented to the USPS generally require paper documentation.***

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435 Mail Preparation

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4.0 Sack Labels

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[Revise title and text of 4.5 to read as follows:]

4.5 Line 3 (Origin Line)

Line 3 (origin line showing office of mailing or mailer information) must be the bottom line of required information unless the sack contains mail manifested using the Electronic Verification System (eVS) under 705.2.9. Line 3 must show either the city and state of the entry Post Office or the mailer's name and the city and state of the mailer's location. It is recommended that the mailer's name also appear with the city and state of the entry Post Office. As an alternative to adding a fourth line for eVS mailings as required by 4.6, "eVS" may appear as the first element on Line 3.

[Renumber current 4.6 and 4.7 as new 4.7 and 4.8, respectively. Add new 4.6 to read as follows:]

4.6 Electronic Verification System

All sacks containing parcels prepared and identified using the Electronic Verification System (eVS) under 705.2.9 must show "eVS" (or the alternatives "EVS" or "E-VS") directly below Line 3 using the same size and lettering used for Line 3. As an option, "eVS" may be placed as the first element on Line 3.

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440 Discount Parcels Standard Mail

443 Rates and Eligibility

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3.0 Basic Standards for Standard Mail Parcels

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3.4 Presort Mailing Fees

[Revise 3.4 by adding the following sentence, after the first sentence, as follows:]

***For mail manifested using the Electronic Verification System (eVS) under 705.2.9, only one annual mailing fee, paid at the Post Office of account where the permit imprint account is held, is required regardless of the number of Post Offices of mailing.***

* * * * *

444 Postage Payment and Documentation

1.0 Basic Standards for Postage Payment

1.1 Postage Payment Options

[Revise 1.1 by adding the following sentence, after the first sentence, as follows:]

***Mail manifested using the Electronic Verification System (eVS) under 705.2.9 must be paid with a permit imprint.***

* * * * *

3.0 Mailing Documentation

3.1 Completing Postage Statements

[Revise the first sentence of 3.1 to read as follows:]

Unless manifested using eVS under 705.2.9, any mailing claiming a discount and all permit imprint mailings must be accompanied by a postage statement completed and signed by the mailer (in duplicate if the mailer wants a receipted copy).***

3.2 Basic Documentation Standards

[Revise the first sentence of 3.2 to read as follows:]

Unless manifested using eVS under 705.2.9, mailings presented to the USPS generally require paper documentation.***

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445 Mail Preparation

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4.0 Sack Labels

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[Revise title and text of 4.5 to read as follows:]

4.5 Line 3 (Origin Line)

Line 3 (origin line showing office of mailing or mailer information) must be the bottom line of required information unless the sack contains mail manifested using the Electronic Verification System (eVS) under 705.2.9. Line 3 must show either the city and state of the entry Post Office or the mailer's name and the city and state of the mailer's location. It is recommended that the mailer's name also appear with the city and state of the entry Post Office. As an alternative to adding a fourth line for eVS mailings as required by 4.6, "eVS" may appear as the first element on Line 3.

[Renumber current 4.6 and 4.7 as new 4.7 and 4.8, respectively. Add new 4.6 to read as follows:]

4.6 Electronic Verification System

All sacks containing parcels prepared and identified using the Electronic Verification System (eVS) under 705.2.9 must show "eVS" (or the alternatives "EVS" or "E-VS") directly below Line 3 using the same size and lettering used for Line 3. As an option, "eVS" may be placed as the first element on Line 3.

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446 Enter and Deposit

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2.0 Destination Entry

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2.2 Minimum Volume

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[Add new 2.2f to read as follows:]

f. When Standard Mail mailings are presented together under the Electronic Verification System (eVS), a mailer may use the total piece count or total weight for all line items to all destinations reported within the 24-hour mailing period defined in 705.2.9. Under this alternative, a mailer may enter fewer than 200 pieces or 50 pounds for a Standard Mail mailing at a single destination entry facility if there is at least 200 pieces or 50 pounds for all entry points within the 24-hour mailing period.

2.3 Postage Payment

[Revise 2.3 to read as follows:]

Postage payment for Standard Mail destination entry mailings is subject to the same standards that apply generally to Standard Mail and to the following:

a. Mailers must pay postage and correct mailing fees at each Post Office where they are authorized to present mailings for verification unless using the Electronic Verification System (eVS) under 705.2.9. Except for plant-verified drop shipments (see 705.15.0), eVS shipments (see 705.2.9), or metered mail drop shipments (see 705.18.0), mailers must have a meter license or permit imprint authorization at the parent Post Office for mailings deposited for entry at a DBMC or ASF, at a DSCF, or at a DDU. Correct mailing fees must be paid for the current 12-month period at the Postal Service facility where postage is paid for the mailing.

b. Mailers who mail parcels paid with a permit imprint and claimed at Standard Mail destination entry rates may use eVS under 705.2.9. Mailers using eVS must pay postage and fees at the Post Office where they hold the permit used for all eVS mailings.

2.4 Office of Mailing

[Revise 2.4 to read as follows:]

Unless the mailing is paid and deposited as a metered mail drop shipment (see 705.18.0), a plant-verified drop shipment (see 705.15.0), or an eVS mailing (see 705.2.9), mail paid with meter postage, precanceled stamps, or permit imprint must be deposited at the Post Office that issued the corresponding license or permit, or at the destination bulk mail center serving that Post Office. Under the latter alternative, only the DBMC rate is available.

2.5 Documentation

[Revise 2.5 by adding a sentence at the end to read as follows:]

***For eVS mailings manifested under 705.2.9, postage statements are generated by USPS using the mailer's eVS manifest files.

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2.7 Verification

2.7.1 Place

[Revise 2.7.1 to read as follows:]

As directed by the postmaster, the mailer must present destination entry mailings to USPS employees for verification:

a. At the origin mailer's plant or the origin Post Office serving the mailer's plant under an authorized plant- verified drop shipment system under 705.15.0 or, when required by class of mail, rate category, or other reasons determined by the Postal Service, eVS under 705.2.9.

b. At the destination Post Office or business mail entry unit.

c. At the destination entry Postal Service facility, for eVS mailings under 705.2.9.

2.7.2 Mail Separation and Presentation

[Revise 2.7.2 to read as follows:]

Mailers must have Standard Mail destination entry rate mail verified under a PVDS system (see 705.15.0) or eVS (see 705.2.9), or they must present mailings for verification and acceptance at a BMEU located at a designated destination Postal Service facility. Mailers may deposit only PVDS and eVS mailings at a destination delivery unit not co-located with a Post Office or other Postal Service facility having a business mail entry unit. If authorized under 705.6.0, mailers may commingle Standard Mail parcels with other approved parcel mail using eVS. Mailers presenting destination entry mailings to the Postal Service must meet the following requirements:

a. Mark each destination entry rate Standard Mail piece according to 402.0. If eVS is used, include the marking "eVS" on each piece as required by 705.2.9.

b. Ensure that all PVDS mailings are accompanied by a completed Form 8125, 8125-C, or 8125-CD. eVS mailings do not require these forms.

c. Separate each mailing from other mailings for verification. For PVDS mailings and eVS mailings, separate mailings for deposit at different destination Postal Service facilities.

d. Separate mail from freight transported on the same vehicle.

e. If Periodicals mail is on the same vehicle, load the Periodicals mail toward the tail of the vehicle.

2.7.3 Form 8125

[Revise 2.7.3 by adding the following sentence, at the end, as follows:]

***Mail manifested using eVS under 705.2.9 does not require Form 8125.

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450 Discount Parcels Parcel Post

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454 Postage Payment and Documentation

1.0 Basic Standards for Postage Payment

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1.2 Postage Payment

[Revise 1.2 to read as follows:]

Postage payment for Parcel Select DBMC, DSCF, and DDU rate mail is subject to the same standards that apply generally to Parcel Post. Except for plant-verified drop shipments (see 705.15.0), Electronic Verification System (eVS) shipments (see 705.2.9), and metered mail drop shipments (see 705.18.0), the mailer must have a meter license or permit imprint authorization at the destination facility parent Post Office for mailings deposited for entry at a DBMC or ASF, at a destination sectional center facility, or at the parent Post Office of a destination delivery unit. Except for manifested mail using eVS under 705.2.9, postage and fees are paid to the Post Office that verifies the mailings. The mailer must ensure that Form 8125 accompanies plant-verified drop shipments.

2.0 Mailing Documentation

2.1 Completing Postage Statements

[Revise 2.1 to read as follows:]

Any mailing claiming a discount and all permit imprint mailings except manifested mail using eVS under 705.2.9 must be accompanied by a postage statement completed and signed by the mailer (in duplicate if the mailer wants a receipted copy). A change made to any postage statement requires the mailer (agent) to correct the postage statement accordingly and document the correction.

* * * * *

2.3 Basic Documentation Standards

[Revise the first sentence of 2.3 to read as follows:]

Unless manifested using eVS under 705.2.9, mailings presented to the USPS generally require documentation.***

* * * * *

455 Mail Preparation

* * * * *

3.0 Sack Labels

* * * * *

[Revise title and text of 3.5 to read as follows:]

3.5 Line 3 (Origin Line)

Line 3 (origin line showing office of mailing or mailer information) must be the bottom line of required information unless the sack contains mail manifested using the Electronic Verification System (eVS) (see 3.6 for eVS labeling information). Line 3 must show either the city and state of the entry Post Office or the mailer's name and the city and state of the mailer's location. It is recommended that the mailer's name also appear with the city and state of the entry Post Office.

[Renumber current 3.6 and 3.7 as new 3.7 and 3.8, respectively. Add new 3.6 to read as follows:]

3.6 Electronic Verification System

All sacks containing parcels prepared and identified using the Electronic Verification System (eVS) under 705.2.9 must show "eVS" (or the alternatives "EVS" or "E-VS") directly below Line 3 using the same size and lettering used for Line 3. As an option, "eVS" may be placed as the first element on Line 3.

* * * * *

456 Enter and Deposit

* * * * *

2.0 Parcel Select

* * * * *

2.2 Rate Eligibility for Parcel Select Rates

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2.2.4 Postage Payment

[Revise 2.2.4 to read as follows:]

Postage payment for Parcel Select mailings is subject to the same standards that apply generally to Parcel Post and to the following:

a. Mailers must pay postage and correct mailing fees at each Post Office where they are authorized to present mailings for verification unless using the Electronic Verification System (eVS) under 705.2.9. Except for plant-verified drop shipments (see 705.15.0), eVS shipments (see 705.2.9), or metered mail drop shipments (see 705.18.0), mailers must have a meter license or permit imprint authorization at the parent Post Office for mailings deposited for entry at a DBMC or ASF, at a DSCF, or at a DDU. Correct mailing fees must be paid for the current 12-month period at the Postal Service facility where postage is paid for the mailing.

b. Mailers who mail parcels paid with a permit imprint and claimed at Parcel Select rates may use eVS under 705.2.9. Mailers using eVS must pay postage and fees at the Post Office where they hold the permit used for all eVS mailings.

* * * * *

2.4 Deposit for Parcel Select

* * * * *

2.4.3 Mail Separation and Presentation

[Revise 2.4.3 to read as follows:]

Mailers must have Parcel Select mailings verified under an authorized PVDS system (see 705.15.0) or eVS (see 705.2.9), or they must present mailings for verification and acceptance at a BMEU located at a designated destination Postal Service facility. Mailers may deposit only PVDS and eVS mailings at a destination delivery unit not co-located with a Post Office or other Postal Service facility having a business mail entry unit. If authorized under 705.7.0, mailers may commingle Parcel Select with other approved parcel mail using eVS. Mailers presenting destination entry mailings to the Postal Service must meet the following requirements:

a. Mark each DBMC, DSCF, or DDU rate Parcel Post piece as either "Parcel Post" or "Parcel Select," according to 402.2.2. If eVS is used, include the marking "eVS" on each piece as described in 604.5.0.

b. Separate DBMC rate mailings by zone for permit imprint mailings of identical-weight pieces that are not mailed using a special postage payment system under 705.2.0 through 705.4.0, or that are not mailed under 455.1.4.

c. Ensure that all PVDS mailings are accompanied by a completed Form 8125, 8125-C, or 8125-CD. eVS mailings do not require these forms.

d. Separate each mailing from other mailings for verification. For PVDS mailings and eVS mailings, separate mailings for deposit at different destination Postal Service facilities.

e. Separate mail from freight transported on the same vehicle.

f. If Periodicals mail is on the same vehicle as Parcel Post, load the Periodicals mail toward the tail of the vehicle.

* * * * *

460 Discount Parcels Bound Printed Matter

* * * * *

464 Postage Payment and Documentation

1.0 Basic Standards for Postage Payment

1.1 Postage Payment Options

[Revise 1.1 by adding the following sentence, after the first sentence, as follows:]

***Mail manifested using the Electronic Verification System (eVS) under 705.2.9 must be paid with a permit imprint.***

2.0 Mailing Documentation

2.1 Completing Postage Statements

[Revise the first sentence of 2.1 to read as follows:]

Unless manifested using eVS under 705.2.9, any mailing claiming a discount and all permit imprint mailings must be accompanied by a postage statement completed and signed by the mailer (in duplicate if the mailer wants a receipted copy).***

2.2 Basic Documentation Standards

[Revise the first sentence of 2.2 to read as follows:]

Unless manifested using eVS under 705.2.9, mailings presented to the USPS generally require documentation.***

* * * * *

465 Mail Preparation

* * * * *

4.0 Sack Labels

* * * * *

[Revise title and text of 4.5 to read as follows:]

4.5 Line 3 (Origin Line)

Line 3 (origin line showing office of mailing or mailer information) must be the bottom line of required information unless the sack contains mail manifested using the Electronic Verification System (eVS) (see 4.6 for eVS labeling information). Line 3 must show either the city and state of the entry Post Office or the mailer's name and the city and state of the mailer's location. It is recommended that the mailer's name also appear with the city and state of the entry Post Office.

[Renumber current 4.6 and 4.7 as new 4.7 and 4.8, respectively. Add new 4.6 to read as follows:]

4.6 Electronic Verification System

All sacks containing parcels prepared and identified using the Electronic Verification System (eVS) under 705.2.9 must show "eVS" (or the alternatives "EVS" or "E-VS") directly below Line 3 using the same size and lettering used for Line 3. As an option, "eVS" may be placed as the first element on Line 3.

* * * * *

5.0 Preparation for Presorted Parcels

* * * * *

5.2 Preparation for Irregular Parcels Weighing Less Than 10 Pounds

5.2.1 Required Bundling

* * * * *

[Revise 5.2.1c to read as follows:]

c. Mailers must note on the postage statement whether they applied the piece count, weight, or both, except for eVS mailings prepared under 705.2.9.

* * * * *

5.2.3 Required Sacking

* * * * *

[Revised 5.2.3c to read as follows:]

c. Mailers must note on the postage statement whether they applied the piece count or weight except for eVS mailings prepared under 705.2.9.

* * * * *

5.4 Preparation for Machinable Parcels Not Claiming DBMC Rates

5.4.1 Required Sacking

* * * * *

[Revise 5.4.1c to read as follows:]

c. Mailers must note on the postage statement whether they applied the piece count or weight except for eVS mailings prepared under 705.2.9.

* * * * *

5.5 Preparation for Machinable Parcels Claiming DBMC Rates

5.5.1 Required Sacking

* * * * *

[Revise 5.5.1c to read as follows:]

c. Mailers must note on the postage statement whether they applied the piece count or weight except for eVS mailings prepared under 705.2.9.

* * * * *

466 Enter and Deposit

* * * * *

2.0 Destination Entry

* * * * *

2.2 Minimum Volume

* * * * *

[Add new 2.2f to read as follows:]

f. When Bound Printed Matter presorted mailings are presented together under the Electronic Verification System (eVS), a mailer may use the total piece count for all line items to all destinations reported within the 24-hour mailing period defined in 705.2.9. Under this alternative, a mailer may enter fewer than 300 pieces for a presorted mailing at a single destination entry facility if there is at least 300 presorted rate pieces for all entry points within the 24-hour mailing period.

2.3 Postage Payment

[Revise 2.3 to read as follows:]

Postage payment for Bound Printed Matter destination rate mailings is subject to the same standards that apply generally to Bound Printed Matter and to the following:

a. Mailers must pay postage and correct mailing fees at each Post Office where they are authorized to present mailings for verification unless using the Electronic Verification System (eVS) under 705.2.9. Except for plant-verified drop shipments (see 705.15.0), eVS shipments (see 705.2.9), or metered mail drop shipments (see 705.18.0), mailers must have a meter license or permit imprint authorization at the parent Post Office for mailings deposited for entry at a DBMC or ASF, at a DSCF, or at a DDU. Correct mailing fees must be paid for the current 12-month period at the Postal Service facility where postage is paid for the mailing.

b. Mailers who mail parcels paid with a permit imprint and claimed at Bound Printed Matter destination entry rates may use eVS under 705.2.9. Mailers using eVS must pay postage and fees at the Post Office where they hold the permit used for all eVS mailings.

2.4 Mailing Fee

[Revise 2.4 by adding the following sentence, after the first sentence, as follows:]

***For mail manifested using eVS under 705.2.9, only one annual destination entry mailing fee, paid at the Post Office where the eVS permit imprint account is held, is required regardless of the number of Postal Service facilities where mailings are verified.***

* * * * *

2.8 Verification

2.8.1 Place

[Revise 2.8.1 to read as follows:]

As directed by the postmaster, the mailer must present destination entry mailings to USPS employees for verification:

a. At the origin mailer's plant or the origin Post Office serving the mailer's plant under an authorized plant- verified drop shipment system under 705.15.0 or, when required by class of mail, rate category, or other reasons determined by the Postal Service, Electronic Verification System (eVS) under 705.2.9.

b. At the destination Post Office or business mail entry unit.

c. At the destination entry Postal Service facility for eVS mailings under 705.2.9.

2.8.2 Mail Separation and Presentation

[Revise 2.8.2 to read as follows:]

Mailers must have Bound Printed Matter destination entry rate mailings verified under a PVDS system (see 705.15.0) or use eVS (see 705.2.9), or they must present mailings for verification and acceptance at a BMEU located at a designated destination Postal Service facility. Mailers may deposit only PVDS and eVS mailings at a destination delivery unit not co-located with a Post Office or other Postal Service facility having a business mail entry unit. If authorized under 705.7.0, mailers may commingle Bound Printed Matter parcels with other approved parcel mail using eVS. Mailers presenting destination entry mailings to the Postal Service must meet the following requirements:

a. Mark each destination entry rate piece according to 402.2.2. If eVS is used, include the marking "eVS" on each piece as required by 604.5.0.

b. Separate DBMC rate mailings by zone for permit imprint mailings of identical-weight pieces that are not mailed using a special postage payment system under 705.2.0 through 705.4.0, or that are not mailed under 465.1.4.

c. Ensure that all PVDS mailings are accompanied by a completed Form 8125, 8125-C, or 8125-CD. eVS mailings do not require these forms.

d. Separate each mailing from other mailings for verification. For PVDS mailings and eVS mailings, separate mailings for deposit at different destination Postal Service facilities.

e. Separate mail from freight transported on the same vehicle.

f. If Periodicals mail is on the same vehicle, load the Periodicals mail toward the tail of the vehicle.

* * * * *

470 Discount Parcels Media Mail

473 Rates and Eligibility

1.0 Media Mail Rates and Fees

* * * * *

1.4 Mailing Fee

[Revise 1.4 by adding the following sentence, after the first sentence, as follows:]

***For mail manifested using the Electronic Verification System (eVS) under 705.2.9, only one annual mailing fee for Presorted Media Mail rates, paid at the Post Office where the eVS permit imprint account is held, is required regardless of the number of Postal Service facilities where mailings are verified.***

* * * * *

474 Postage Payment and Documentation

1.0 Basic Standards for Postage Payment

1.1 Postage Payment Options

[Revise 1.1 by adding the following sentence, after the first sentence, as follows:]

***Mail manifested using the Electronic Verification System (eVS) under 705.2.9 must be paid with a permit imprint.***

2.0 Mailing Documentation

2.1 Completing Postage Statements

[Revise the first sentence of 2.1 to read as follows:]

Unless manifested using eVS under 705.2.9, any mailing claiming a discount and all permit imprint mailings must be accompanied by a postage statement completed and signed by the mailer (in duplicate if the mailer wants a receipted copy).***

2.2 Basic Documentation Standards

[Revise the first sentence of 2.2 to read as follows:]

Unless manifested using eVS under 705.2.9, mailings presented to the USPS generally require documentation.***

* * * * *

475 Mail Preparation

* * * * *

4.0 Sack Labels

* * * * *

[Revise title and text of 4.5 to read as follows:]

4.5 Line 3 (Origin Line)

Line 3 (origin line showing office of mailing or mailer information) must be the bottom line of required information unless the sack contains mail manifested using the Electronic Verification System (eVS) (see 4.6 for eVS labeling information). Line 3 must show either the city and state of the entry Post Office or the mailer's name and the city and state of the mailer's location. It is recommended that the mailer's name also appear with the city and state of the entry Post Office.

[Renumber current 4.6 and 4.7 as new 4.7 and 4.8, respectively. Add new 4.6 to read as follows:]

4.6 Electronic Verification System

All sacks containing parcels prepared and identified using the Electronic Verification System (eVS) under 705.2.9 must show "eVS" (or the alternatives "EVS" or "E-VS") directly below Line 3 using the same size and lettering used for Line 3. As an option, "eVS" may be placed as the first element on Line 3.

* * * * *

5.0 Preparation for Media Mail Parcels

* * * * *

5.2 Preparation for Machinable Parcels

5.2.1 Required Sacking

* * * * *

[Revise 5.21c to read as follows:]

c. Mailers must note on the postage statement which sacking method was used except for eVS mailings prepared under 705.2.9.

* * * * *

5.3 Preparation for Irregular Parcels

5.3.1 Required Bundling

* * * * *

[Revise 5.3.1c to read as follows:]

c. Mailers must note on the postage statement which sacking method was used except for the Electronic Verification System (eVS) mailings prepared under 705.2.9.

* * * * *

5.3.3 Required Sacking

* * * * *

[Revise 5.3.3c to read as follows:]

c. Mailers must note on the postage statement which sacking method was used except for eVS mailings prepared under 705.2.9.

* * * * *

476 Enter and Deposit

1.0 Verification and Deposit

1.1 Verification and Entry

[Revise 1.1 to read as follows:]

Except for Electronic Verification System (eVS) shipments (see 705.2.9) or metered mail drop shipments (see 705.18.0), all presorted and barcoded discount mailings must be presented for verification and acceptance at the Post Office where the permit or license is held. All such mailings must be deposited at locations and times specified by the postmaster at the office that verifies and accepts the mailing. Plant-loaded mailings must be presented as specified by the applicable standards and the plant load agreement. Metered mail may be deposited at other than the licensing Post Office only as permitted under 705.18.0.

* * * * *

480 Discount Parcels Library Mail

483 Rates and Eligibility

1.0 Library Mail Rates and Fees

* * * * *

1.4 Mailing Fee

[Revise 1.4 by adding the following sentence, after the first sentence, as follows:]

***For mail manifested using the Electronic Verification System (eVS) under 705.2.9, only one annual mailing fee for Presorted Library Mail rates, paid at the Post Office where the eVS permit imprint account is held, is required regardless of the number of Postal Service facilities where mailings are verified.***

* * * * *

484 Postage Payment and Documentation

1.0 Basic Standards for Postage Payment

1.1 Postage Payment Options

[Revise 1.1 by adding the following sentence, after the first sentence, as follows:]

***Mail manifested using the Electronic Verification System (eVS) under 705.2.9 must be paid with a permit imprint.***

2.0 Mailing Documentation

2.1 Completing Postage Statements

[Revise the first sentence of 2.1 to read as follows:]

Unless manifested using eVS under 705.2.9, any mailing claiming a discount and all permit imprint mailings must be accompanied by a postage statement completed and signed by the mailer (in duplicate if the mailer wants a receipted copy).***

2.2 Basic Documentation Standards

[Revise the first sentence of 2.2 to read as follows:]

Unless manifested using eVS under 705.2.9, mailings presented to the USPS generally require documentation.***

* * * * *

485 Mail Preparation

* * * * *

4.0 Sack Labels

* * * * *

[Revise title and text of 4.5 to read as follows:]

4.5 Line 3 (Origin Line)

Line 3 (origin line showing office of mailing or mailer information) must be the bottom line of required information unless the sack contains mail manifested using the Electronic Verification System (eVS) (see 4.6 for eVS labeling information). Line 3 must show either the city and state of the entry Post Office or the mailer's name and the city and state of the mailer's location. It is recommended that the mailer's name also appear with the city and state of the entry Post Office.

[Renumber current 4.6 and 4.7 as new 4.7 and 4.8, respectively. Add new 4.6 to read as follows:]

4.6 Electronic Verification System

All sacks containing parcels prepared and identified using the Electronic Verification System (eVS) under 705.2.9 must show "eVS" (or the alternatives "EVS" or "E-VS") directly below Line 3 using the same size and lettering used for Line 3. As an option, "eVS" may be placed as the first element on Line 3.

* * * * *

5.0 Preparation for Library Mail Parcels

* * * * *

5.2 Preparation for Machinable Parcels

5.2.1 Required Sacking

* * * * *

[Revise 5.21c to read as follows:]

c. Mailers must note on the postage statement which sacking method was used except for eVS mailings prepared under 705.2.9.

* * * * *

5.3 Preparation for Irregular Parcels

5.3.1 Required Bundling

* * * * *

[Revised 5.3.1c to read as follows:]

c. Mailers must note on the postage statement which sacking method was used except for eVS mailings prepared under 705.2.9.

* * * * *

5.3.3 Required Sacking

* * * * *

[Revised 5.3.3c to read as follows:]

c. Mailers must note on the postage statement which sacking method was used except for eVS mailings prepared under 705.2.9.

* * * * *

486 Enter and Deposit

1.0 Verification and Deposit

1.1 Verification and Entry

[Revise 1.1 to read as follows:]

Except for Electronic Verification System (eVS) shipments (see 705.2.9) or metered mail drop shipments (see 705.18.0), all presorted and barcoded discount mailings must be presented for verification and acceptance at the Post Office where the permit or license is held. All such mailings must be deposited at locations and times specified by the postmaster at the office that verifies and accepts the mailing. Plant-loaded mailings must be presented as specified by the applicable standards and the plant load agreement. Metered mail may be deposited at other than the licensing Post Office only as permitted under 705.18.0.

* * * * *

500 Additional Mailing Services

503 Extra Services

* * * * *

9.0 Delivery Confirmation

* * * * *

9.4 Barcodes

* * * * *

9.4.3 Printing

* * * * *

[Revise 9.4.3a by adding the following sentence, after the second sentence, as follows:]

***The indicator "e/" or the optional "ELECTRONIC RATE APPROVED #[DUNS NUMBER]" text is not used for Delivery Confirmation Electronic Verification System (eVS) mailpieces (see 705.2.9).***

* * * * *

10.0 Signature Confirmation

* * * * *

10.4 Barcodes

* * * * *

10.4.3 Printing

* * * * *

[Revise 10.4.3a by adding the following sentence, after the second sentence, as follows:]

***The indicator "e/" or the optional "ELECTRONIC RATE APPROVED #[DUNS NUMBER]" text is not used for Signature Confirmation Electronic Verification System (eVS) mailpieces (see 705.2.9).***

* * * * *

600 Basic Standards for All Mailing Services

* * * * *

604 Postage Payment Methods

* * * * *

5.0 Permit Imprint (Indicia)

* * * * *

5.3 Indicia Design, Placement, and Content

* * * * *

5.3.6 First-Class Mail and Priority Mail Format

[Revise text of 5.3.6 by adding the following sentence, after the first sentence, as follows:]

***If the Electronic Verification System (eVS) is used under 705.2.9, the marking "eVS" (or the alternative "e-VS" or "E- VS") must appear directly below the permit number.***

5.3.7 Standard Mail and Package Services Format

[Revise 5.3.7 by adding the following sentence, after the first sentence, as follows:]

***If eVS is used under 705.2.9, the marking "eVS" (or alternative "e-VS" or "E-VS") must appear directly below the permit number.***

* * * * *

5.3.9 Use of a Company Permit Imprint

[Revise introductory text of 5.3.9 to read as follows:]

A company permit imprint is one in which the exact name of the company or individual holding the permit is shown in the indicia in place of the city, state, and permit number. If a company permit imprint is used for eVS under 705.2.9, the marking "eVS" (or alternative "e-VS" or "EVS") is placed directly below the name on a separate line. As an option for eVS mail only, "Permit No." and the permit number used exclusively for eVS may appear on a separate line between the company name and the marking "eVS." A customer may use a company permit if:

* * * * *

608 Postal Information and Resources

* * * * *

8.0 USPS Contact Information

8.1 Postal Service

[Revise room number and ZIP+4 for Business Mailer Support address as follows:]

BUSINESS MAILER SUPPORT
US POSTAL SERVICE
475 L'ENFANT PLZ SW RM 2P846
WASHINGTON DC 20260-0846

* * * * *

700 Special Standards

* * * * *

705 Advanced Preparation and Special Postage Payment Systems

* * * * *

2.0 Manifest Mailing System

2.1 Description

[Add new 2.1.1 by moving text from old 2.1 to new 2.1.1. Change the last sentence in new 2.1.1 to read as follows:]

2.1.1 Using an MMS

***The standards in 2.2 describe how to mail using an MMS.

[Add new 2.1.2 to read as follows:]

2.1.2 Electronic Verification System

Mailers using MMS when presenting Parcel Select mailings under 456.2.0 or, if authorized, commingled parcel mailings under 705.6.0 or 705.7.0 may document and pay postage using the Electronic Verification System (eVS) (see 705.2.9). Business Mailer Support (BMS), USPS Headquarters, must approve these systems. Unless authorized by Business Mailer Support, mailers may not commingle eVS mail with non-eVS mail within the same mailing or place eVS mail and non-eVS mail in or on the same mailing container.

* * * * *

2.4 Authorization

2.4.1 Application

[Revise 2.4.1 by adding the following sentence at the end to read as follows:]

*** Publication 205, Electronic Verification System Technical Guide, provides the application procedures for mailers wanting to use eVS.

* * * * *

2.4.3 General Requirements for Authorization

* * * * *

[Renumber current 2.4.3c, 2.4.3d, and 2.4.3e as new 2.4.3d, 2.4.3e, and 2.4.3f, respectively. Add new 2.4.3c to read as follows:]

c. For eVS mailings prepared under 705.2.9, USPS charges eVS mailers for postage due for any underpaid, unmanifested, or misshipped parcels at the end of the review period following the mailing period as follows:

1. If the total postage of pieces sampled during verification indicates that the mailer has underpaid postage by more than 1.5% when compared with the mailer's manifest, USPS adjusts the total postage using the procedures in Publication 205.

2. USPS charges eVS mailers for any parcels not listed on the mailer's manifest but identified by USPS processing scans as being mailed. USPS removes these unmanifested parcels from any sampling adjustments.

3. USPS charges eVS mailers the appropriate single-piece rate for misshipped parcels (parcels deposited at incorrect destination facilities). USPS transports these misshipped parcels to the correct destination.

* * * * *

2.4.4 Approval Authority

* * * * *

[Revise 2.4.4b to read as follows:]

b. The Business Mailer Support manager, USPS Headquarters, approves manifest mailing systems, including eVS, that produce presorted First-Class Mail and Standard Mail mailings, Package Services mailings, and PVDS mailings.

* * * * *

[Add new 2.9 to read as follows:]

2.9 Electronic Verification System

2.9.1 Description

The Electronic Verification System (eVS) is a manifest mailing system that allows parcel mailers to document and pay postage and Extra Services fees by transmitting electronic files to the Postal Service without generating paper manifests, postage statements, or clearance documents, with the following principal features:

a. File Creation. eVS requires the creation of an electronic file containing specific data records organized into manifests. Each manifest within the file corresponds to a data record for each destination entry facility or each origin entry Post Office, with records for the parcels grouped under the record for the entry facility or entry Post Office. Successfully accepted files and the records within those files are used by eVS to generate electronic postage statements for automatic debiting of the mailer's postage payment account. Files must be prepared as specified in Publication 205, Electronic Verification System Technical Guide.

b. Daily Mailing and Presort Eligibility. A mailing, which is determined by all file transmissions received from the eVS mailer within a 24-hour cycle, must meet all presort and volume requirements for the class of mail and rate category claimed. The 24-hour cycle begins at 2:00:00 A.M. and ends at 1:59:59 A.M. Central Time.

c. Sampling. eVS sampling data, which is used to monitor postage and preparation accuracy, is primarily captured after the mailer deposits the mailing at a destination entry facility.

d. Monthly Data Reconciliation. eVS sampling data is reconciled against all the mailer's manifests received during a calendar month rather than against each individual mailing. All mailings entered during a calendar month are treated as a single mailing for the purpose of reconciliation and the collection of any postage due.

2.9.2 Availability

eVS may be used only for parcel mail paid with a permit imprint and only for the following classes and subclasses of mail, rate categories, and mail processing categories:

a. First-Class Mail. Effective April 1, 2007, single-piece rate; all parcel processing categories.

b. Priority Mail. Effective April 1, 2007, single-piece rate, flat rate envelope, and flat rate box; all parcel processing categories.

c. Regular Standard Mail. Basic and 3/5-digit presorted, destination bulk mail center (DBMC), and destination sectional center facility (DSCF) rates; machinable parcels and irregular parcels.

d. Parcel Post. Inter-BMC and intra-BMC rates; machinable parcels and nonmachinable parcels. Origin BMC and BMC Presort discounts are not available. Parcel Select. DBMC, DSCF, and destination delivery unit (DDU) rates; machinable parcels and nonmachinable parcels.

e. Bound Printed Matter. Single-piece, presorted, DBMC, DSCF, and DDU rates; machinable parcels and, for single-piece and DDU rates only, irregular parcels.

f. Media Mail. Single-piece, basic, and 5-digit rates; machinable parcels and irregular parcels.

g. Library Mail. Single-piece, basic, and 5-digit rates; machinable parcels and irregular parcels.

2.9.3 Extra Services

The following Extra Services are available for eVS:

a. Delivery Confirmation.

b. Signature Confirmation.

c. Insurance, if PS Form 3877 is used.

d. Collect on Delivery, if PS Form 3877 is used.

e. Return Receipt.

f. Return Receipt for Merchandise.

g. Restricted Delivery.

2.9.4 Optional and Required Use

Mailers depositing permit imprint parcels for those classes of mail and rate categories specified in 2.9.2 may document and pay postage using eVS. Mailers authorized to commingle Standard Mail machinable parcels or Package Service parcels under 705.6.0 and 705.7.0 also may use eVS to document and pay postage for all parcels in the mailing for those mail classes and subclasses available under 2.9.2. Effective August 1, 2007, mailers must use eVS for all permit imprint Parcel Select parcels and for permit imprint parcels authorized under 705.6.0 and 705.7.0 to be commingled with Parcel Select.

2.9.5 General Requirements

General requirements for participation are as follows:

a. Permit Account Number. The mailer must have or establish a single permit account number for eVS at the business mail entry unit designated by the administering district manager. The Post Office where the business mail entry unit is located is generally considered the Post Office of Account for the eVS mailer. The eVS permit account number is to be used exclusively for eVS mailings. No other permit number may be used for eVS mailings.

b. Postage Payment Account. The mailer must have or establish a PostalOne! postage payment debit account used for the withdrawal of funds from postage statements generated by eVS from the electronic files transmitted by the mailer.

c. Annual Mailing Fees. The mailer must pay all applicable presort and destination entry mailing fees at the administering district business mail entry unit.

d. Customer Identification Number. The mailer must have or obtain a DUNS number from Dun and Bradstreet or a unique identification number from the Postal Service. This customer identification number must be registered with the Postal Service and used to identify all electronic manifests transmitted by the mailer for eVS mailings. The mailer may use the same customer identification number in the Package Identification Code (PIC) or different numbers in the PIC if these additional numbers are also registered with the Postal Service. The mailer is required to keep the Postal Service updated on changes and additions to customer identification numbers.

e. Application. The mailer must complete and submit the eVS application available from the Postal Service.

f. Computer Access. The mailer must obtain computer access to eVS and, if necessary, to PostalOne!

g. File Transfer. The mailer must complete and submit PS Form 1357-S, Request for Computer Access, to set up the file transfer mechanism with the Postal Service. PS Form 1357-S is not required for Electronic Data Interchange (EDI).

h. Software. The mailer must develop or obtain computer software that meets eVS electronic file specifications for manifesting parcels and the barcode specifications for producing accurate and scannable barcodes used on the parcel mailing labels.

i. File and Label Certification. The mailer must have electronic files and barcodes certified by the Postal Service.

j. Quality Assurance. The mailer must develop and administer effective quality assurance procedures to ensure the integrity and accuracy of the mailer's mail production, postage payment, and file transmissions.

k. Mailing Test. The mailer must complete a test during which eVS manifest files are transmitted and mailings are made to determine the accuracy of the mailer's system.

l. Mailing Agreement. The mailer must enter into an eVS manifest mailing agreement with the Postal Service.

2.9.6 System Requirements

A mailer using eVS must have or contract with a service provider that has an automated system that produces mail according to USPS standards and calculates postage and Extra Services fees accurately. The system used for eVS must:

a. Create and submit electronic manifest files as described in Publication 205 and assign a unique file number for each manifest file containing the mailer's customer identification number used for all file transmissions.

b. Produce a manifest file for each mailing or mailing segment deposited at a destination Postal Service facility or entry Post Office as identified by ZIP Code.

c. Provide all required data in each manifest record for each parcel for the destination Postal Service facility or entry Post Office.

d. Assign each parcel a unique package identification code used for producing a corresponding unique barcode containing a customer identification number.

e. Transmit electronic manifest files on or before the date of mailing.

2.9.7 Postage Payment

All eVS mailings must be paid with a permit imprint and meet the standards for permit imprint mail in 604.5.0. USPS calculates postage payment and electronically debits postage from the mailer's postage account based on information received from the mailer's electronic manifest and data collected through USPS operational and sampling scans. Mailers must pay for postage through a Centralized Account Payment System (CAPS) debit account.

2.9.8 Verification and Postage Adjustments

USPS randomly samples parcels and considers verification samples to be representative of the entire mailing period. Verification data is used to make the following monthly adjustments for postage due, collected on the 21st day after the last day of the month of mailing:

a. Postage Adjustment Factor (PAF) Payment. USPS applies postage adjustment calculations, based on verification samples, to all mailpieces mailed during the mailing period. A mailing period is defined as a calendar month for purposes of calculating adjustments in eVS. USPS adjusts the total postage for the mailing period if the total postage of the pieces sampled during the mailing period results in an underpayment greater than 1.5%. The mailer must pay postage for any underpayments identified by USPS verification. The mailer must maintain sufficient funds in the mailer's postage account to cover any underpayments discovered after acceptance of the mail.

b. Unmanifested and Misshipped Parcel Payment. The mailer is responsible for postage payment of unmanifested parcels and misshipped parcels. Unmanifested parcels are those parcels for which the Postal Service has obtained information from scanning operations but has not received or successfully processed manifest files and records corresponding to the parcels. Misshipped parcels are destination entry rate parcels delivered to the incorrect Postal Service facility by the mailer and transported by the Postal Service to the correct facility. The mailer must pay postage for unmanifested and misshipped parcels identified by USPS verification. The mailer must maintain sufficient funds in the mailer's postage account to cover postage due discovered after acceptance of the mail.

2.9.9 Authorization

Mailers must be authorized to participate in eVS according to the following procedures:

a. Mailers must meet the general requirements and system requirements for eVS and submit an eVS application and supporting documentation as specified in Publication 205, Electronic Verification System Technical Guide, to the Business Mailer Support manager, USPS Headquarters (see 608.8.0 for address).

b. After mailers successfully complete development and testing for eVS, the USPS grants temporary approval. USPS conducts a review within 90 days of the temporary approval and grants final approval if the mailer's system is working as required. The Business Mailer Support manager, USPS Headquarters, has final authority for eVS approval.

c. After receiving final authorization, the mailer and a USPS representative must sign a service agreement. The agreement contains provisions regarding mailer and USPS responsibilities, including electronic documentation, document retention, quality control, and the duration of the agreement.

2.9.10 Denial

If USPS denies an eVS application, the mailer may appeal the decision within 15 days from the receipt of the notice by filing a written appeal, including evidence showing why the mailer should be authorized to use eVS. The mailer sends the appeal to the Business Mail Acceptance manager, USPS Headquarters, who issues the final agency decision (see 608.8.0 for address).

2.9.11 Revocation

The Business Mailer Support manager may revoke authorization for eVS participation for any of the following reasons:

a. A mailer does not provide correct data in electronic manifests and is not able or willing to correct the problems.

b. A mailer does not properly complete the required quality control procedures.

c. A mailer does not produce mailings meeting eVS criteria established by this standard or in the mailer's eVS manifest mailing agreement.

d. A mailer does not present mailings using eVS for more than 6 months (except as noted in the service agreement).

e. A mailer does not present properly prepared mailings.

f. A mailer does not pay proper postage.

2.9.12 Corrective Action

After USPS issues a notice of revocation to a mailer, the mailer and the USPS determine corrective actions, including an implementation schedule. At the conclusion of the implementation period, the USPS reexamines the mailer's system to determine if it complies with the program requirements. Failure to correct identified problems is sufficient grounds to sustain revocation of the mailer's eVS authorization.

2.9.13 Appeal of Revocation

After receiving initial notice of revocation, a mailer has 15 days from the date of receipt of the revocation notice to file a written appeal with the Business Mail Acceptance manager, USPS Headquarters. The appeal must include the reason the eVS authorization should not be revoked. The mailer may continue to mail using eVS during the appeal process. The Business Mail Acceptance manager issues the final agency decision. The final revocation takes effect 15 days after the date of the final agency decision.

* * * * *

6.0 Combining Mailings of Standard Mail and Package Services Parcels

[Revise title of 6.1 to read as follows:]

6.1. Combining Machinable Parcels-DBMC Entry

* * * * *

6.1.3 Postage Payment

[Revise 6.1.3 to read as follows:]

Mailers must pay postage for all pieces with a permit imprint at the Post Office serving the mailer's plant using an approved postage payment system. The applicable system agreement must include procedures for combined mailings approved by Business Mailer Support. Types of permissible postage payment systems are as follows:

a. Manifest Mailing System (MMS), under 2.0. Mailers may document and pay postage using the Electronic Verification System (eVS) under 705.2.9.

b. Optional Procedure (OP) Mailing System, under 3.0.

c. Alternate Mailing System (AMS), under 4.0.

* * * * *

[Revise title of 6.2 to read as follows:]

6.2 Combining Parcels-Parcel Post OBMC Presort, BMC Presort, DSCF Entry, and DDU Entry

* * * * *

6.2.3 Postage Payment

[Revise 6.2.3 to read as follows:]

Mailers must pay postage for all pieces with a permit imprint at the Post Office serving the mailer's plant using an approved manifest mailing system under 2.0. The following conditions also apply:

a. The applicable system agreement must include procedures for combined mailings approved by Business Mailer Support.

b. For mailings presented under 705.6.0, mailers may document and pay postage using the Electronic Verification System (eVS) under 705.2.9.

* * * * *

7.0 Combining Package Services Parcels for Destination Entry

[Revise title of 7.1 to read as follows:]

7.1 Combining Parcels-DSCF and DDU Entry

* * * * *

7.1.2 Basic Standards

* * * * *

[Revise 7.1.2b to read as follows:]

b. Postage must be paid via permit imprint under an approved manifest mailing system as provided in 3.0. For mailings presented under 705.7.0, mailers may document and pay postage using the Electronic Verification System (eVS) under 705.2.9.

* * * * *

[Revise title of 7.2 to read as follows:]

7.2 Combining Machinable Parcels-DBMC Entry

* * * * *

7.2.2 Basic Standards

* * * * *

[Revise 7.2.2c to read as follows:]

c. Postage must be paid via permit imprint under an approved manifest mailing system as provided in 3.0. For mailings presented under 705.7.0, mailers may document and pay postage using the Electronic Verification System (eVS) under 705.2.9.

* * * * *

8.0 Preparation for Pallets

* * * * *

8.6 Pallet Labels

* * * * *

8.6.6 Line 3 (Origin Line)

[Revise 8.6.6 to read as follows:]

The office of mailing or mailer information line (line 3 of required information) must be the bottom line of required information unless the pallet or pallet box contains mail prepared under the Electronic Verification System (eVS). Line 3 must show either the city and state of the entry Post Office or the mailer's name and the city and state of the mailer's location. It is recommended that the mailer's name also appear with the city and state of the entry Post Office.

[Renumber current 8.6.7 through 8.6.10 as new 8.6.8 through 8.6.11, respectively. Add new 8.6.7 to read as follows:]

8.6.7 Electronic Verification System

All pallets and pallet boxes containing parcels prepared and identified using the Electronic Verification System (eVS) under 705.2.9 must show "eVS" (or the alternatives "EVS" or "E-VS") directly below line 3 (origin line) using the same size and lettering used for Line 3.

* * * * *

We will incorporate these revisions into the next update of the online DMM available on Postal Explorer at http://pe.usps.com and into the next printed edition of the DMM.

— Business Mailer Support,
Customer Service, 12-21-06