[Federal Register: July 16, 1998 (Volume 63, Number 136)] [Rules and Regulations] [Page 38309-38311] From the Federal Register Online via GPO Access [wais.access.gpo.gov] [DOCID:fr16jy98-17] ======================================================================= ----------------------------------------------------------------------- POSTAL SERVICE 39 CFR Part 111 Use and Determination of Postage Value of Breast Cancer Research Semi-postal Stamp AGENCY: Postal Service. ACTION: Final rule; request for comments. ----------------------------------------------------------------------- SUMMARY: This rule amends the Domestic Mail Manual to establish the terms and conditions for use and determination of value of the Breast Cancer Research Semi-postal Stamp. DATES: Effective July 29, 1998. Comments must be received on or before August 17, 1998. ADDRESSES: Mail or deliver written comments to the Manager, Mail Preparation and Standards, 475 L'Enfant Plaza, SW, Room 6800, Washington, DC, 20260-2405. Copies of all written comments will be available for inspection and photocopying between 9 a.m. and 4 p.m., Monday through Friday at USPS Headquarters Library, 475 L'Enfant Plaza SW, 11th Floor N, Washington, DC. FOR FURTHER INFORMATION CONTACT: Anne Emmerth, (202) 268-2363. SUPPLEMENTARY INFORMATION: The Stamp Out Breast Cancer Act, Pub. L. No. 105-41, 111 Stat. 1119 (1997), directs the Postal Service to make available a Breast Cancer Research Semi-postal Stamp at a special price to enable the public to make contributions to fund breast cancer research. The Act specifies that the price of the special postage stamp is the First-Class Mail single-piece first-ounce letter rate plus a differential not to exceed 25 percent of that rate category. The Act empowers the Governors of the United States Postal Service to establish the price for the stamp. Pursuant to the Act, the Governors have established a price of 40 cents for each Breast Cancer Research Semi- postal Stamp. Mailers may use the Breast Cancer Research Semi-postal Stamp in place of First-Class Mail single-piece first-ounce letter rate stamps on their mail, if they so choose, in order to make a contribution. The difference between the purchase price of the stamp (40 cents) and the First-Class Mail single-piece first-ounce letter rate (currently 32 cents) less associated costs will be used to fund breast cancer research. Pursuant to the Act, the Postal Service is directed to pay, after deduction for its reasonable costs, 70 percent of the revenue from the differential to the National Institutes of Health, and the remainder to the Department of Defense. The stamp's dual purposes, namely, as a means of payment of postage and as a device for raising funds for breast cancer research, require that special terms and conditions apply to the use of the stamp. In particular, because the stamp must be made available for a two-year period, and given that the Act does not require that the stamp's price be changed in the event that a change in the First-Class Mail single- piece rate is implemented during the two-year period, the Postal Service has determined that the stamp will be non-denominated. This measure preserves the Governors' option of maintaining the price of the Breast Cancer Research Semi-postal Stamp at 40 cents, even after the First-Class Mail single-piece rate is raised to 33 cents after the stamp's issuance, without the need to reprint the stamp with a new numerical denomination. When the First-Class Mail single-piece rate is increased to 33 cents on January 10, 1999, the postage value of Semi- postal stamps purchased before such change is effected will remain the same. Stamps purchased after a change in the First-Class Mail single- piece rate is effected will have a postage value equivalent to that rate at the time of purchase. Thus, Semi-postal stamps purchased before the First-Class Mail single-piece rate is changed on January 10, 1999, will have a postage value of $0.32; Semi-postal stamps purchased after the rate change is implemented will have a postage value of $0.33. In lieu of a numerical denomination, the stamp will bear the words ``First-Class.'' This measure is intended to inform mailers that the stamp's postage value is equal to the First-Class Mail single-piece letter rate in effect at the time of purchase. In addition, the Domestic Mail Manual distinguishes the price of the stamp from its postage value and establishes that the postage value of the stamp is determined by the First-Class Mail first-ounce single-piece letter rate in effect at the time of purchase. Conforming limitations on refunds and valuation for purposes of exchange or conversion are also included in the final rule. A conforming amendment is also made to DMM R000.4.0. Although exempt from the notice and comment requirements of the Administrative Procedure Act (5 U.S.C. 553(b), (c)) regarding rulemaking by 39 U.S.C. 410(a), the Postal Service is seeking comments on the following revisions of the Domestic Mail Manual (DMM), incorporated by reference in the Code of Federal Regulations. See 39 CFR part 111. [[Page 38310]] List of Subjects in 39 CFR Part 111 Postal Service. Accordingly, 39 CFR 111 is amended as follows: PART 111--[AMENDED] 1. The authority citation for 39 CFR part 111 is amended to read as follows: Authority: 5 U.S.C. 552(a); 39 U.S.C. 101, 401, 403, 414, 3001- 3011, 3201-3219, 3403-3406, 3621, 3626, 5001. 2. Revise the following sections of the Domestic Mail Manual as set forth below: P Postage and Payment Methods * * * * * P014 Refunds and Exchanges 1.0 STAMP EXCHANGES 1.1 USPS Fault [Amend to read:] The post office may correct mistakes in selling damaged, defective, or otherwise unserviceable stamps by exchanging stamps at full postage value. 1.2 Damaged in Customer's Possession [Amend the last sentence to read as follows:] * * * Each such transaction is limited to $100 worth of postage from each customer. * * * * * 1.5 Purchase Error [Amend the first sentence to read as follows:] If a customer bought the wrong denomination stamps (or the wrong kind, size, or denomination envelope), they may be exchanged at full postage value. * * * * * * * * 2.0 POSTAGE AND FEES REFUNDS * * * * * [Add new 2.10 to read as follows:] 2.10 Breast Cancer Research Semi-postal Stamps Customers may exchange or convert Breast Cancer Research Semi- postal Stamps for their postage value, i.e., the price of the stamps less the contribution amount, to the extent exchange or conversion of postage stamps is permitted under P014. The postage exchanged or converted is equivalent to the First-Class Mail single-piece rate in effect at the time of purchase (currently $0.32), as supported by the mailer's receipt. The contribution amount is not included in the exchange or conversion value. If the mailer cannot produce a receipt, the exchange or conversion value of each Breast Cancer Research Semi- postal Stamp cannot exceed $0.32 per stamp, regardless of whether the First-Class Mail single-piece rate in effect at the time of purchase is $0.33 or higher. * * * * * P020 Postage Stamps and Stationery P022 Adhesive Stamps 1.0 PURCHASE AND USE * * * * * [Create 1.6 to read as follows:] 1.6 Breast Cancer Research Semi-postal Stamps Breast Cancer Research Semi-postal Stamps are subject to special limitations and conditions: a. Breast Cancer Research Semi-postal Stamps provide a means for customers to make contributions toward breast cancer research. Breast Cancer Research Semi-postal Stamps are offered for sale for a limited time as provided under 39 U.S.C. 414. b. The price of the Breast Cancer Research Semi-postal Stamp is 40 cents. The postage value of the Breast Cancer Research Semi-postal Stamp is the First-Class Mail Nonautomation Single-Piece first-ounce letter rate in R100.1.2 that is in effect at the time of purchase. The difference between the purchase price and the First-Class Mail Nonautomation Single-Piece first-ounce letter rate in effect at the time of purchase constitutes a contribution to breast cancer research, and cannot be used to pay postage. Additional postage must be affixed to pieces weighing in excess of one ounce, pieces subject to the nonstandard surcharge, or pieces for which special services have been elected. The postage value of Breast Cancer Research Semi-postal Stamps is fixed according to the First-Class Mail Nonautomation Single-Piece first-ounce letter rate in effect at the time of purchase; the postage value of Breast Cancer Research Semi-postal Stamps purchased before any subsequent change in the First-Class Mail Nonautomation Single-Piece first-ounce letter rate is unaffected by any subsequent change in that rate. c. Contributions to breast cancer research made through purchase of Breast Cancer Research stamps are not refundable. The postage value of Breast Cancer Research stamps for purposes of exchange or conversion under P014 is determined by the First-Class Mail Nonautomation Single- Piece rate in effect at the time of purchase, or as otherwise provided in P014.2.10. * * * * * R Rates and Fees R000 Stamps and Stationery * * * * * [Amend the table in R000.4.0 to include the following line item:] ---------------------------------------------------------------------------------------------------------------- Purpose Form Denomination ---------------------------------------------------------------------------------------------------------------- * * * * * * Breast Cancer Research............... Panes of up to 20...... Purchase Price of $0.40; Postage Value Equivalent to First-Class Mail Nonautomation Single-Piece Rate (currently $0.32); remainder is contribution to fund Breast Cancer Research. ---------------------------------------------------------------------------------------------------------------- [[Page 38311]] * * * * * An appropriate amendment to 39 CFR 111.3 will be published to reflect these changes. Stanley F. Mires, Chief Counsel, Legislative. [FR Doc. 98-19017 Filed 7-15-98; 8:45 am] BILLING CODE 7710-12-P