664.332 Termination.
A mailer may elect to terminate participation in a plant-verified drop
shipment agreement by 10 calendar days' written notice to the authorizing
field division general manager/postmaster.

664.333 Revocation.
A plant-verified drop shipment agreement may be revoked by the authorizing
field division general manager/postmaster by 10 calendar days' written notice
to the mailer.  Revocation must be based on the mailer's failure to pay
postage and fees or to meet the requirements that apply to plant-verified drop
shipment or mailing at third-class rates.  The revocation action may be
appealed as provided in 133.

664.34 Modification of Agreement.
A mailer may request that a plant-verified drop shipment postage payment
system agreement be modified to include verification and postage payment for
additional publications, products or jobs not included in the original
application and agreement.  A new application and agreement are not required
for each new mailing or job produced at a single origin mailing plant.
Information about the new mailings, as specified by 664.313a through
664.313d, must be provided by the mailer to the origin post office
at least 30 days before the date proposed for submission for verification of
the additional plant-verified drop shipments.  Depending on the specific
situation, the required 30-day advance notice may be waived by the approving
official (see 664.32).  The origin post office submits the request
for modification of the plant-verified drop shipment agreement to the field
division general manager/postmaster for approval under the procedures in
664.32.

664.4 DMU Functions

664.41 General.
Assignment of postal personnel to the mailer's plant to process
plant-verified drop shipments may be in conjunction with the DMU staffing
associated with a plant-load authorization for that mailer's plant, but may be
provided to a mailer's plant that is not authorized plant load, at the
discretion of the division general manager/postmaster.

664.42 Inspection of Mailpieces.
Postal personnel assigned to the mailer's plant must verify drop shipment
mailings for classification, rate eligibility, preparation, presort, and
postage in the same manner as plant load mailings.

664.43 Documents

664.431 Preparation.
The mailer must submit to the DMU a Form 8125 with Part A completed for
each shipment to each destination entry postal facility.  After verifying the
shipment and before releasing each plant-verified drop shipment for dispatch,
postal personnel must ensure that Form 8125 is properly completed, signed, and
dated, and that it includes the number of the postal seal used on the vehicle.
 The DMU retains one copy of each completed Form 8125 and returns the other
two signed and dated copies to the mailer.  These other copies travel with the
shipments to the destination postal facilities.

Note:  The USPS Authorized Mailing ID Code requested in Part A, item 8
on Form 8125 is only shown for mailings included in the Bulk Business
Mail/Service Performance Measurement System (BBM/SPMS).  The code, twelve
alpha-numeric characters in length, is captured at the destination office in
ODIS.

Exception:  The requirement for affixing a Postal Service seal (or
equivalent security device) to vehicles containing plant-verified drop
shipments and for recording the seal number on clearance documents is
suspended indefinitely.  During this suspension, the Postal Service will allow
the use of any customer security program that provides seals on vehicles
containing plant-verified drop shipments.  The origin post office that
verifies the shipments and observes the loading of the vehicle records the
customer seal number on Form 8125 in Part II, item 3, and observes the sealing
of the vehicle.  The customer's vehicle seal number shown on Form 8125 must be
preceded by the letters "CS" to designate a customer seal.

664.432 Enclosure.
Postal personnel must ensure that the completed, signed, and dated Forms
8125 are provided to the mailer responsible for placing the forms in each
vehicle to accompany the corresponding plant-verified drop shipments to the
destination entry post offices.  The completed Forms 8125 must be placed on
the left rear wall of the vehicle just inside the door of the vehicle.

664.44 Loading.
Postal personnel must observe the loading of each vehicle used to transport
plant-verified drop shipments to ensure the correct mailings are loaded into
vehicles for the correct destinations and that shipments are not improperly
commingled (see 664.264).

664.45 Security

664.451 At Origin Mailer Facility.
Postal personnel must seal the vehicle containing the plant-verified drop
shipments mailings with a postal revenue protection seal (i.e., a USPS ball
seal, USPS lock, or other postal security device) that prevents access to the
shipments by other than authorized postal employees.  Vehicles that make en
route stops must be resealed after the corresponding mail is removed (see
664.5).

664.452 At Other Mailer Facilities.
Vehicles containing plant-verified drop shipments from a mailer's facility
may make stops at one or more other facilities that are authorized
plant-verified drop shipment.  Additional shipments for the same destination
entry postal facility may be loaded on the vehicle.  This may be done only if
postal personnel located at each mailing plant remove the postal seal on the
vehicle; observe the loading of the additional shipment; provide the mailer
with Form 8125 showing the correct seal number; and reseal the vehicle before
it travels on to the next stop.  All Forms 8125 for a single destination
postal facility should be stapled together or enclosed in a single envelope
identifying the name of the destination postal facility.  The seal number
shown on the first Form 8125 (for the last facility where mail was loaded) for
the destination post office must properly identify the seal on the vehicle.

Exception:  The requirement for affixing a Postal Service seal (or
equivalent security device) to vehicles containing plant-verified drop
shipments and for recording the seal number on clearance documents is
suspended indefinitely.  During this suspension, the Postal Service will allow
the use of any customer security program that provides seals on vehicles
containing plant-verified drop shipments.  The origin post office that
verifies the shipments and observes the loading of the vehicle records the
customer seal number on Form 8125 in Part II, item 3, and observes the sealing
of the vehicle.  The customer's vehicle seal number shown on Form 8125 must be
preceded by the letters "CS" to designate a customer seal.

664.5 Destination Postal Facility Functions

664.51 Verification of Documents.
The postal seal number on Form 8125 for the destination must match the
number on an unbroken seal securing the vehicle.  The mail described in Part 1
on Form 8125 must match the containers or load deposited.  If these items
match, the destination postal facility signs and dates Form 8125 accompanying
the mailings and processes the mail.  Forms 8125 must be retained by the
destination postal facility for 1 year in a chronological file.  If two copies
of the form are submitted to the destination office, a signed and dated copy
is returned to the mailer's employee or agent (see 664.25c).

Exception:  The requirement for affixing a Postal Service seal (or
equivalent security device) to vehicles containing plant-verified drop
shipments and for recording the seal number on clearance documents is
suspended indefinitely.  During this suspension, the Postal Service will allow
the use of any customer security program that provides seals on vehicles
containing plant-verified drop shipments.  The origin post office that
verifies the shipments and observes the loading of the vehicle records the
customer seal number on Form 8125 in Part II, item 3, and observes the sealing
of the vehicle.  The customer's vehicle seal number shown on Form 8125 must be
preceded by the letters "CS" to designate a customer seal.

664.52 Verification of Contents.
Each destination postal facility where plant-verified drop shipments are
deposited must ensure that only the appropriate shipments are unloaded and
accepted.

664.53 Vehicles Containing Mail for More Than One Destination Facility.
When a mailer's vehicle contains mail for more than one destination entry
facility, each intermediate postal facility must record the number of a new
USPS ball seal on the clearance document for the next scheduled destination
post office, and affixe that seal to secure the vehicle.  (If USPS locks are
used, they must be removed and retained at the final postal facility where the
vehicle stops.)

Exception:  The requirement for affixing a Postal Service seal (or
equivalent security device) to vehicles containing plant-verified drop
shipments and for recording the seal number on clearance documents is
suspended indefinitely.  During this suspension, the Postal Service will allow
the use of any customer security program that provides seals on vehicles
containing plant-verified drop shipments.  The origin post office that
verifies the shipments and observes the loading of the vehicle records the
customer seal number on Form 8125 in Part II, item 3, and observes the sealing
of the vehicle.  The customer's vehicle seal number shown on Form 8125 must be
preceded by the letters "CS" to designate a customer seal.

664.54 Loading of Mail Prohibited.
Postal Service mail for downstream postal facilities must not be loaded
onto the mailer's vehicle by any intermediate postal facility at which the
mailer has stopped to deposit a plant-verified drop shipment.

664.6 Liability.
The mailer assumes all liability and responsibility for any loss or damage
to plant-verified drop shipments before they are deposited and accepted as
mail at destination entry postal facilities, regardless of whether a third
party is used to transport those shipments.  The Postal Service is not liable
or responsible for any loss or damage to plant-verified drop shipments before
they are deposited and accepted as mail at a destination postal facility.

664.7 Postage

664.71 Method of Payment.
Postage for a plant-verified drop shipment must be paid by precanceled or
meter stamps or by permit imprint using a precanceled stamp permit, meter
license, or permit imprint advance deposit account, as applicable, maintained
by the mailer at the post office serving the mailer's location.

664.72 Computation.
Postage for third-class mailings prepared as plant-verified drop shipments
is calculated from the destination postal facility where mailings are
deposited and accepted into the mailstream (the postal facility where the
Express Mail or Priority Mail shipment destinates).

664.73 Refunds.
The Postal Service does not refund postage for any failure to provide
service that is caused in whole or in part by any event that occurs before the
shipment is deposited and accepted into the mailstream and becomes mail at a
destination postal facility, except under 147.2.


665  Postage Payment for Plant-Verified Drop Shipment Permit Imprint
Mailings at Origin Post Office Serving Mailer's Plant

665.1 General.
Postage is normally debited from a mailer's advance deposit account using
the information presented by the mailer on hard-copy individual mailing
statements.  Under this payment option, in addition to the individual mailing
statements required for each third-class mailing (see 662), mailers
may be required to submit registers of mailing statements and consolidated
mailing statements for bulk rate permit imprint mailings that are verified
under a plant-verified drop shipment postage payment system (see
664).  A single, unique USPS mailing number (key) must appear on all
related individual mailing statement, the register of mailing statements
listing these individual statements and the associated consolidated mailing
statement.  This unique key number identifies the relationship between the
individual statements, the register, and the consolidated statement.  When a
mailer is required to submit consolidated mailing statements, the information
on these statements is used to debit the mailer's account instead of using the
information on each individual mailing statement.

665.2 Participation

665.21 Required by Local Post Office.
The local post office serving the mailing plant where the advance deposit
account is maintained must require a plant-verified drop-shipment mailer to
submit registers of mailing statements (see 665.32) and consolidated
mailing statements (665.33) whenever individual jobs or mailing cycles
presented by the mailer to the DMU for verification and acceptance for postage
payment on any given day are segmented for deposit and entry at five or more
destination postal facilities requiring five or more individual mailing
statements for each job or mailing cycle.

665.22 Request by Mailer.
An authorized plant-verified drop shipment postage payment system mailer
may request authorization to submit registers of mailing statements and
consolidated mailing statements for all mailings that are drop shipped into
more than one entry post office.

665.23  Approval of Registers of Mailing Statements and Consolidated
Mailing Statements.
The MSC manager, mailing requirements, must review and approve the format
and method of generation of individual mailing statements, registers of
mailing statements, and consolidated mailing statements to be presented by the
mailer to ensure that they comply with the requirements prescribed in
665.3 before the local post office serving the mailing plant can use
the consolidated statements for debiting the mailer's account.

665.3 Required Mailer Documentation

665.31 Individual Mailing Statements.
The mailer must produce and submit a signed individual mailing statement in
hard-copy for each mailing destined for each destination entry post office, at
the time the mailing is presented for verification and postage payment.  In
addition to the information required on all individual mailing statements,
when the mailer is required to submit consolidated mailing statements (for 5
or more entry post offices) for debiting of the advance deposit account, each
individual mailing statement must include a uniquely assigned mailing
statement sequence number that must not exceed nine digits.  The numbers must
be sequential within a job or mailing cycle for mailings verified, paid for,
and cleared for dispatch on the same day.  The statements must also include a
unique USPS mailing number (key) corresponding to the number on the related
register of mailing statements and consolidated mailing statement.

665.32 Register of Mailing Statements

665.321 General.
A register of mailing statements is a computer-generated line item listing
of all individual mailing statements for plant-verified drop shipment permit
imprint mailings verified and released for dispatch on a single day from a job
or mailing cycle.  All individual mailing statements represented on a register
of mailing statements must be represented by a corresponding consolidated
mailing statement, and the total postage charge on the register must be
identical to the total postage charge on the corresponding consolidated
statement.  The information on a register of mailing statements is reconciled
against individual mailing statements and the consolidated mailing statement
to ensure proper payment of postage.

665.322 Content.
The information identified in 665.323 through 665.325 is
required to appear on each register of mailing statements.  Additional
information may be shown.

665.323 First Page.
The following information must appear at the top of the first page of each
register of mailing statements:

a.
the endorsement "Register of Mailing Statements;"

b.
the name and location of the mailing agent;

c.
the date mailings represented are verified and cleared for dispatch;

d.
the permit imprint advance deposit account to be debited;

e.
the unique USPS mailing number (key) corresponding to the number on related
individual mailing statements and the related consolidated statement.

665.324 Line Items.
Each line item listing on a register must include the following data
elements from the individual mailing statement represented on that line:

a.
The unique individual mailing statement sequence number;

b.
the destination post office of mailing;

c.
the total number of pieces in the mailing;

d.
the total weight of the mailing;

e.
the total postage charge.

665.325 Totals.
The register must also include a total postage charge representing the sum
of the total postage charges from each individual mailing statement listed, as
well as the total number of pieces and the total weight for all individual
mailing statements listed.  The total postage charge on the register must
match the total postage charge on the related consolidated statement.

665.326 Corrections.
Where necessary, due to changes made to individual mailing statements,
manual corrections may be made to the register of mailing statements listing
the data from the individual statements.  These corrections must be documented
by the DMU and the corrected register of mailing statement must be signed and
dated by both the mailer and the postal service representative that approved
the changes.  The changes on the register must be reflected on the associated
consolidated mailing statement.

665.327 Submission by Mailer.
The mailer must submit the register of mailing statements to the DMU at or
before the time that the first individual mailing included on the register is
presented to the DMU for verification and release for dispatch.

665.328 Retention.
The normal retention period for financial documents also applies to
registers of mailing statements.

665.33 Consolidated Mailing Statement

665.331 General.
This statement consolidates all mailing statement data from individual
mailing statements representing permit imprint mailings verified, paid for,
and released for dispatch on a single day from a job or mailing cycle.  The
consolidated mailing statements are used to debit the mailer's advance deposit
account by the post office where the mailer's account is maintained.  The
following information must be identical for each of the individual mailing
statements that are rolled up to a single consolidated mailing statement:

a.
the mailing statement date representing the date mailings are verified and
cleared for dispatch by the DMU serving the mailer's plant;

b.
the name and location of the mailing agent;

c.
the processing category for individual mailings;

d.
the rate of postage (all regular rates or all special nonprofit rates);

e.
the permit imprint advance deposit account to be debited;

f.
the job or mailing cycle description;

g.
the unique USPS mailing number (key) corresponding to the number on related
individual mailing statements.

665.332 Format.
The consolidated mailing statement must be a computer-generated facsimile
that has essentially the same format at the individual Postal Service mailing
statements that it represents.  It must be signed and dated by the mailer.
Certain data elements including the range of unique individual mailing
statement sequence numbers, the number of individual mailing statements
represented, and the endorsement "Consolidated Mailing Statement," that are
not shown on individual statements must be shown on the consolidated
statement.  Other data elements included on individual statements, such as
each post office of deposit for drop shipment mailings, must not be shown on
the consolidated statement because this statement is consolidating information
from multiple individual mailing statements.  In addition, each individual
mailing statement must contain a USPS mailing number (a key) that corresponds
to the USPS mailing number on the related consolidated mailing statement.

665.333 Calculation of Data.
Each field on the consolidated mailing statement represents the sum total
of the numbers in that field from all the individual mailing statements
represented by the  consolidated statement.  The number in each field on the
consolidated mailing statement must be held to the same number of decimal
places required to be held on an individual mailing statement.  All fields
containing data on the individual mailing statements must be rolled up to the
consolidated mailing statement.  The total postage charge on the consolidated
mailing statement must be the sum of the total postage charges for all
subordinate individual mailing statements and must be used to debit the
mailer's advance deposit account.


Note:  When each of the line item totals that have been calculated
using standard procedures for computing, rounding and expressing weight and
postage figures on all the individual mailing statements are rolled up to a
consolidated statement, the sum of those line item totals on the consolidated
statement does not necessarily result in the exact sum of the total postage
charges from all the individual mailing statements.

665.334 Submission by Mailer.
The mailer must submit the consolidated mailing statement to the DMU at or
before the time the last individual mailing statement it represents is
submitted to the DMU for the day's mailing.

665.335 Corrections.
Changes made to individual mailing statements may require the mailer to
correct the consolidated mailing statement to reflect the changes.  Such
corrections must be documented by the DMU and a corrected consolidated mailing
statement, signed and dated by the mailer, must be submitted to the DMU for
proper debiting of the mailer's account.

665.336 Retention.
The normal retention period for financial documents applies to consolidated
mailing statements.

665.4 Post Office Responsibilities

665.41 General.
Postal personnel assigned to the detached mail unit (DMU) in the mailer's
plant must perform all duties described in 664 pertaining to the
verification, clearance, and release for dispatch of plant-verified drop
shipment mailings.

665.42 Reconciliation of Individual Mailing Statements Against Register.
The DMU must reconcile the information reported on the individual
statements for each mailing from a job or mailing cycle that has been verified
and cleared for dispatch each day against the line item entries on the
register of mailing statements representing those individual statements.  The
DMU must ensure that all mailings that were verified and cleared for dispatch
are represented on the register and any corrections made to the individual
statements are reflected on the register.

665.43 Reconciliation of Register of Mailing Statement and Consolidated
Mailing Statement.
The DMU must ensure that the total postage charge shown on the register of
mailing statements matches the total postage charge on the corresponding
consolidated mailing statement.

665.44 Approval of Documents.
When the DMU determines that the data on the individual mailing statements,
the register of mailing statements and the consolidated mailing statement are
correct and all in agreement, the postal employee must sign and date (round
stamp) each statement.  A correct consolidated mailing statement, signed and
dated by the mailer and the DMU, must be used by the post office to debit the
mailer's account.

670  (Reserved)

680  (Reserved)

690 Ancillary Services

691 Forwarding and Return

691.1 Unendorsed Mail.
No forwarding or return services are provided on bulk business mail (bulk
third-class) without an endorsement.  Unendorsed, single-piece third-class
mail is returned to the sender with the new address or reason for nondelivery.
 Single-piece third-class mail endorsed "Do Not Forward" is not forwarded or
returned.  Single-piece third-class mail endorsed "Address Correction
Requested" is not forwarded and usually not returned to sender.

691.2 Insured Mail.
Insured third-class mail is treated as though endorsed "Forwarding and
Return Postage Guaranteed."

691.3 Forwarding and Return Postage Guaranteed.
Undeliverable third-class mail endorsed "Forwarding and Return Postage
Guaranteed" is forwarded for 12 months if the new address is known.  No
forwarding postage is charged to the recipient.  During months 13 through 18,
the piece is not forwarded; rather, it is returned to the sender with the
correct forwarding address or the reason for nondelivery attached.  The
third-class weighted fee (see 691.5) is charged on all mail so
endorsed that is returned during months 1 through 18.  If a piece or any
attachment is not opened by the addressee, the addressee may refuse delivery
of the mail and have it returned to the sender without affixing additional
postage (see 159.11c).  If a piece or any attachment is opened by
the addressee, the addressee must pay the required postage to mail the article
back to the sender.

691.4 Forwarding and Return Postage Guaranteed--Address Correction
Requested.
If the endorsement "Forwarding and Return Postage Guaranteed--Address
Correction Requested" is used, the mail is forwarded for the first 12 months,
if the forwarding address is known.  A separate address-correction notice on
Form 3547 is sent to the mailer, and the appropriate address-correction fee is
charged (see 612.2).  No forwarding postage is charged to the
recipient.  If the piece is not forwardable, it is returned.  During months 13
through 18, the piece is returned, with the correct forwarding address or the
reason for nondelivery attached (see 692).

691.5 Weighted Fee.
Whenever mail endorsed "Forwarding and Return Postage Guaranteed" or
"Forwarding and Return Postage Guaranteed--Address Correction Requested" is
returned to sender as outlined in 691.2 through 691.4, the
mailer pays the weighted fee, the appropriate single-piece third-class rate,
multiplied by a factor of 2.472.  This factor is derived from the ratio of the
number of third-class pieces nationwide that are successfully forwarded to the
number of these pieces that cannot be forwarded and are returned.  There is no
charge for the "on-piece" address correction provided.

692 Return
Bulk business mail which cannot be delivered as addressed and bears the
endorsement "Do Not Forward, Address Correction Requested, Return Postage
Guaranteed" is not forwarded but returned at the appropriate single-piece
rate, with an address correction or the reason for nondelivery attached at no
charge.  Unendorsed bulk business mail is not returned.  Unendorsed
single-piece third-class mail which cannot be delivered as addressed is
returned to the sender at the appropriate single-piece rate, with the reason
for nondelivery attached at no charge.  Mail which qualifies for a
single-piece fourth-class rate under the provisions of 611.12 is
returned at that rate, if the mailer's endorsement includes the name of the
fourth-class rate.

693 Mixed Classes
Undeliverable, unendorsed bulk third-class mail with nonincidental
First-Class attachments or enclosures prepared according to 136.2 or
136.3 is returned at the single-piece third-class rate.  The weight
of the First-Class attachment or enclosure is not included when computing the
charges for return of the mailpiece.  Undeliverable unendorsed bulk
third-class mail with an incidental First-Class attachment or enclosure
prepared under 136.4 is disposed of by the Postal Service.

694 Address Correction

694.1  Description.
The sender may obtain a recipient's forwarding address (or the reason for
nondelivery, if there is no forwarding address or if the forwarding address is
temporary) by using the "Address Correction Requested" endorsement, either by
itself or together with the "Forwarding and Return Postage Guaranteed"
endorsement.  Temporary change-of-address information is not provided.
Exception:  This service is not provided for mail using the exceptional
address format.

694.2  Procedures

694.21 Optional Weighing Method.
When a large volume of identical weight pieces originate from a single
mailer bearing only the "Address Correction Requested" endorsement,
postmasters or their designees may determine the average per-piece weight of
the pieces by weighing a sample of at least 25 pieces and dividing the weight
of the sample by the number of pieces in it.

a.  For those pieces individually weighing over 1 ounce:
After the average per-piece weight is determined, the pieces are weighed in
bulk to determine the number of pieces subject to the address-correction fee.
Pieces of identical weight counted in this manner, regardless of weight, are
returned to the sender with the new address or the reason for nondelivery
endorsed on the piece.

b.  For those pieces individually weighing 1 ounce or less:
After the average per-piece weight is determined, the pieces are weighed in
bulk to determine the number of pieces subject to the single-piece rate for
return.

694.22  Standard Procedures.

If the volume of pieces is not sufficient to justify weighing, the
following conditions govern this service:

a.
Pieces generally weighing 1 ounce or less bearing the words "Address
Correction Requested" are returned to the sender with the new address or the
reason for nondelivery endorsed on the piece.  Only the appropriate
single-piece rate is charged (see 612.2).

b.
For pieces generally weighing more than 1 ounce and bearing only the
endorsement "Address Correction Requested," Form 3579 or a markup label is
used to notify the sender.

Exception:  When address labels are affixed to plastic wrappers, or a
window-address format is used on a mailpiece, or it is more expeditious for
the Postal Service, then Form 3547 may be used to provide the requested
information.

c.
Mail which qualifies for a single-piece fourth-class rate under the
provisions of 611.12 is returned at that rate, if the mailer's
address-correction service endorsement includes the name of the applicable
fourth-class rate.  For example, if a third-class piece qualifies for mailing
at the special fourth-class rate for books, the endorsement is "Special
Fourth-Class Rate; Forwarding and Return Postage Guaranteed."

694.3  Address Change Service (ACS)

a.
ACS is designed to centralize, automate, and improve the processing of
address correction requests for mailers.  The ACS process involves the
transmission of address correction information to a central point where the
changes are consolidated onto a magnetic tape filed by unique identifier.
These records are sequentially organized by USPS assigned codes and
distributed to each participating mailer.  Label formats are found in
441.232.

b.
ACS is available to mailers who maintain their address records on
computers.  For further information, write to Address Change Service, Address
Information Center, U.S. Postal Service (for address, see Address List in
Appendices).

695 No Service Requested
If the services described in 691, 692, or 693
are not requested by the mailer, and the piece is undeliverable as addressed,
and the period for forwarding has expired (159.2), the piece is treated as
dead mail.

696 Nonmailable or Nonstandard Pieces
For instructions regarding the return of nonmailable or nonstandard pieces
or third-class mail, see 629.222d or 629.234, respectively.