Effective July 11, 2016, the Postal Service™ will revise Mailing Standards of the United States Postal Service, Domestic Mail Manual (DMM®), section 705.23, to modify the annual fee renewal date process.
To help simplify the waiving of the annual permit fee process for those who are enrolled in the Full-Service option under DMM 705.23, the Postal Service is changing the calculation requirement from previous 12 month average to the fee anniversary renewal date. This change will reflect the current practice which simplifies the calculation process. This allows for a fixed point in time so that both customers and postal employees can better manage the process and expectations.
As background, the annual presort fee may be waived for mailers who provide more than 90% of their presort-eligible volume as Full-Service. This presort fee waiver is at the individual permit level. The fee waiver calculation itself is based on two numbers:
1. Numerator – total Full-Service volume, and
2. Denominator – total presort-eligible mail volume.
The Annual Fee Renewal date is determined when a mailer’s fee renewal is due. The first mailing presented on this anniversary date starts the determination of whether the presort fee is due. Each anniversary renewal date resets the percentage to 0%. Each mailing presented after that is used to recalculate the Full-Service percentage, and if the cumulative volume falls below 90%, PostalOne! will prompt for the fee to be paid. The date the fee is paid will become the new anniversary date. Once the fee is paid, the system will not validate the Full-Service percentage until the next Anniversary date. This eliminates the need for a constant recalculation of the previous 12 months.
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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23.0 Full-Service Automation Option
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23.3 Fees
23.3.1 Eligibility for Waiver of Annual Fees and Waiver of Deposit of Permit Imprint Mail Restrictions
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[Revise item c. to read as follows:]
c. If any mailing (of the classes and shapes of mail in 23.3) presented under a mailing permit causes the permit holder’s Full-Service ratio (i.e. the percentage of all the permit holder’s Full-Service eligible pieces that were actually mailed as Full-Service items) to fall:
1. The start date for the initial verification process is the renewal or anniversary date of the permit fees. Each subsequent anniversary date will reset the Full-Service percentage to 0%. The first mailing starts the cumulative process and if the cumulative mailing falls below the threshold percent of 90%, the annual fees are to be paid promptly. Once the annual fees are paid, the next validation date of the Full-Service percentage is the next anniversary date.
2. The provision in 23.3b for presentation of mailings at multiple offices is discontinued for all mailings presented under the applicable permit imprint.
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We will incorporate this revision into the next update of the online DMM, which is available via Postal Explorer® at http:⁄⁄pe.usps.com.
— Product Classification,
Marketing and Sales, 6-9-16
