RECEIVEI)
BEFORE THE
POSTAL RATE COMMlSSlON
WASHINGTON,
D.C. 20268-0001
POSTAL RATE AND FEE CHANGES, 2.001
j
Nor 23 4 39 p#y ‘01
i’:c’;,:i, 7 i 1:::‘,:-,:,:.!
,~
OlTic; rjj ;;;: :j,;,;;;_J,$
Docket No. R2001-1
RESPONSE OF UNITED STATES POSTAL SERVICE
WITNESS SCHENK TO INTERROGATORIES
OF
THE NEWSPAPER ASSOCIATION OF AMERICA
(NAA/USPS-T43-1-9)
The United States Postal Service hereby provides the responses
Schenk to the following interrogatories
NAA/USPS-T43-1-9,
filed on November
Each interrogatory
of the Newspaper
Association
of witness
of America:
9 2001.
is stated verbatim and is followed by the response.
Respectfully
submitted,
UNITED STATES POSTAL SERVICE
By its attorneys:
Daniel J. Foucheaux, Jr.
Chief Counsel, Ratemaking
.M&&.
NU
Nan K. McKenzie
475 L’Enfant Plaza West, SW.
Washington, DC. 20260-l 137
(202) 268-3089 Fax -5402
November 23,200l
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORIES
OF THE NEWSPAPER ASSOCIATION OF AMERICA
NAAAJSPS-T43-1.
Please refer to Library Reference USPS-LR-J-58, and explain how
the volume distributions by destination entry and weight increment given in
‘tiers-table.xls’ from the data in LR-J-112 are developed. Please provide specific
calculations.
RESPONSE:
As described
in LR-J-58, page 24, the volume distributions
weight increments
LR-J-58.
given in tiers-table.xls
The calculations
RPW-Shape-PFY-GFY-ounce.xls)
Volumes-tiers.xls.
come from Volumes-tiersxls,
are given in sheet Summary
The source data from LR-J-112
by destination
(specifically,
entry and
also in USPS-
by entry’ in Volumes-tiers.xls.
workbook
are provided in the rest of the sheets in
Each cell in sheet ‘Summary by entry’ provides the formulas used to
calculate each volume.
The general methodology
shapes and rate elements corresponding
used is to sum volumes across
to each cell in Table 7.
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORIES
OF THE NEWSPAPER ASSOCIATION OF AMERICA
NAAAJSPS-T43-2.
Please refer to Library Reference USPS-LR-J-58, and explain how
non-variable costs are calculated and then please explain how those costs are
distributed to different subclasses.
RESPONSE:
The cost by ounce increment models in USPS-LR-J-58
variable costs.
Non-variable
provide deaveraged
costs are not included in USPS-LR-J-58.
volume
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORIES
OF THE NEWSPAPER ASSOCIATION OF AMERICA
NAAAJSPS-T43-3.
Please refer to Library Reference USPS-LR-J-58, and provide all
calculations and the results for transportation-related
dropship cost avoidance.
RESPONSE:
Dropship cost avoidances
calculations
are calculated
of the transportation-related
in USPS-LR-J-68.
AppenB.xls
dropship cost avoidance
provides the
for Standard
Mail.
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORIES
OF THE NEWSPAPER ASSOCIATION OF AMERICA
NAAhJSPST43-4.
Please refer to Library Reference USPS-LR-J-58, and provide all
calculations and the results for non-transportation-related
and transportation-related
dropship cost avoidances separately for each mail subclass.
RESPONSE:
Dropship cost avoidances
are calculated
calculations
of the transportation-related
AppenCxls
provides the calculations
avoidances
for Standard
Mail.
in USPS-LR-J-68.
AppenB.xls
provides the
dropship cost avoidance for Standard
of the non-transportation-related
Mail.
dropship cost
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORIES
OF THE NEWSPAPER ASSOCIATION OF AMERICA
NAAAJSPS-T43-5.
Please refer to Library Reference USPS-LR-J-58, and state
whether non-transportation-related
dropship cost avoidances are figured into the total
dropship costs?
RESPONSE:
Non-transportation-related
dropship cost avoidances
costs for Standard Mail in USPS-LR-J-58.
are figured into the total dropship
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORIES
OF THE NEWSPAPER ASSOCIATION
OF AMERICA
NAAAJSPS-T43-6.
Please confirm that Table 7 in Library Reference
presents volumes by units.
USPS-LR-J-58
RESPONSE:
Table 7 in USPS-LR-J-58
Saturation),
mail.
destination
provides volumes (pieces) by tier (Basic, High Density, and
entry, and weight increment for Standard
ECR (Commercial)
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORIES
OF THE NEWSPAPER ASSOCIATION OF AMERICA
NAAAJSPS-T43-7.
a.
b;
z:
Please refer to the FY2000 IOCS data set.
Identify the total number of tallies.
Identify the number of tallies that are not dollar-weighted.
Identify the number of tallies with “Leave” activity codes.
Identify the number of tallies that were used to distribute mail processing
costs, by class and subclass.
RESPONSE:
a. The FY2000 IOCS data set contains 855,132 records.
b. The FY2000 IOCS data set contains 361,235 records with a zero tally dollar weight.
c. The FY2000 IOCS data set contains 328,651 records with a “leave” activity code
(F262).
A “leave” activity code is defined as all activity codes except 9130 that are
reported in Section 9 of Table B-2 (page B-22) of USPS LR-J-1 (Summary
of USPS Development
d. See Attachment
A.
of Costs by Segments and Components
Description
Fiscal Year 2000).
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORIES
OF THE NEWSPAPER ASSOCIATION OF AMERICA
NAAAJSPS-T43-6.
Please refer to LR-J-58 spreadsheet “LR58AECR.xls”,
tab “TY MP.”
Please provide the number of IOCS direct tallies and the number of weighted tallies
associated with each distributed mail processing cost figure, by shape, presort level
(activity code), handling category (Field F9213: single piece, item, and container), and
by weight increment (including no weight).
RESPONSE:
See Attachment
B.
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORIES
OF THE NEWSPAPER ASSOCIATION OF AMERICA
NAAAJSPS-T43-9.
Please refer to your response to OCAAJSPS-107, wherein you
identify 6,497 “letter-shaped unweighted IOCS tallies” for mail processing Cost Segment
3.1 for Standard Regular mail in the O-l oz. range. Please also refer to your answer to
OCAAJSPS-112 (a), which lists 10,442 IOCS direct tallies for Standard Regular letters
less than 1 oz. Please explain why these two tally numbers differ.
RESPONSE:
The unweighted
in OCA/USPS-107
tallies for Standard
Regular mail letters in the O-l ounce range reported
reflect clerk/mailhandler
mail processing
direct tally number reported in OCAAJSPS-112
tallies, but window service and administrative
tallies.
tallies only. The IOCS
(a) contains not only the mail processing
clerk/mailhandler
tallies and city carrier
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORIES
OF THE NEWSPAPER ASSOCIATION OF AMERICA
ATTACHMENT
ChSS
First-Class
Single-piece letters
Presorted mk.~
Single-piece cards
Presorted cards
Total First-Class
Priority
Express
Mailgrams
I”COU”ty
R0QUlU
Non Profit
Cl~SSW2”l
Periodicals
Standard
Packme
A - FY2000 IOCS Tallies - ClerkslMailhandlers
Services
Total Periodicals
Regular ECR
Regular Other
Non Profii ECR
Non Profh Other
Total Standard
Parcel post
Sound Printed Matter
Special Rate
Libras Rate
Total Package Services
USPS
Free for Blind/Handicapped
lntetnationel
Registry
Certified
insurance
COD
Money Orders
Stamped Envelopes
Special Handling
P.O. BOX
Other Special Services
Total Special Services
Total Direct
Standard (A) Mixed Mail
Other Mixed Mail
Not Handling
Total
Record Count Weighted Tallies (5000)
36.001
2.736,511
10.052
751,101
1,561
106,666
313
22,715
49,927
3,621.213
5,216
349.569
1,056
60,533
2
129
264
9,179
4.615
335,660
965
56.413
202
3.156
406,429
6,066
159,023
2,104
1,211,021
16,569
16.973
259
260,216
3,670
1.649.236
22,602
101,699
1,534
953
63,057
631
40,673
97
6,027
211,656
3,215
1,257
95
4,154
90,403
5,657
125,w-G
413
356
13
11
0
0
4
0
449
1,246
94,640
203
23,164
32.002
965
956
0
0
106
0
35,664
93,096
6,614,066
14,586
1.863.251
6,135,407
29,256
97,139
221,436
14,627.311
Mail Processing
ATTACHMENT
Shape
Letters
B: BY00 IOCS Weighted
Handling
Activity
Cod9
category
1310Single Piece
1310Single Item
1310Cbntainer
133OSingle Piece
133JJSi”Qle Item
1330Containet
I
Total Flats
IPPS
($000~) by shape and weight
Mail Enhanced
Carrier
Route (ECR)
Weight tncrement (ounces)
2 to 2.5
2.5 to 3
3 to 3.5
1,095
970
646
266
I,+49
969
593
307
0
0
0
0
202
111
51
64
0
77
0
0
0
0
0
0
2,745
2,146
1,493
659
17,530
4,765
2310Single Piece
2310Single Item
2310Container
23ZOSingle Piece
233OSinale Item
2330Container
1.351
3,393
311
315
371
6,2400
6,091
5,325
505
1,316
636
13,6730
5,369
6,619
261
669
352
13.2900
5.199
7,069
622
753
476
14,1390
3,358
7,267
365
346
0
11,3360
3,596
4,956
320
320
514
9,7080
4,139
5,666
525
451
57
10,6360
5,422
7,606
260
169
261
13,7210
3310Single Piece
3310Si”gle Item
3310Gmtainer
33ZOSingle Piece
332OSingle Item
333OContainer
513
0
57
0
0
0
107
229
0
0
0
0
49
116
58
52
65
0
120
110
0
0
0
0
193
0
0
0
0
0
776
0
0
0
0
0
559
47
115
57
54
0
569
336
333
230
193
778
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
increment
-Standard
4310SinQle Piece
43lOSi”gle
Item
43lOContainer
433OSingle Piece
4320Single Item
432OContainer
Total Parcels
AmACHMENT
-Standard
.5 to 1 .o
6.056
6.063
0
1,686
1,466
55
Total IPPs
Parcels
tncrement
0 to .5
6.655
7,662
302
2,464
1,884
126
21,095
Total Letters
Flats
Direct Tallies
B: q YW IOCS Weighted
Activity
Handling
Direct Tallies
l.Obl.5
1.5to2
1,066
2.490
59
1,049
121
0
($0000) by shape and weight
3.5 to 4
4 to 5
417
0
951
143
0
0
15
0
0
0
0
0
1,383
143
5 to 6
6 to 7
0
0
0
0
0
0
0
0
0
0
0
0
0
0
1,769
3,323
173
115
357
5,7570
1,277
2,450
273
68
69
4,1460
1,163
1,626
142
62
67
3,0600
589
180
0
0
261
0
182
60
91
0
0
0
110
IQ6
57
0
0
0
187
64
0
60
0
0
631
1,030
333
363
332
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
Mail Enhanced
Carrier
Route (ECR) (continued)
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORIES
OF THE NEWSPAPER ASSOCIATION OF AMERICA
Shape
Letters
COdE
C&Qoly
131OSingte Piece
1310Sinole ttem
1310Container
1330Single Piece
133OSinale Item
1330Container
Total Parcels
10t011
11 to12
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
1,967
706
220
0
100
0
371
585
0
0
15
0
972
53
365
0.
225
0
0
642
0
0
0
0
0
0
0
0
0
0
0
0
0
4310Single Piece
43lOSingle Item
4310Container
432OSingte Piece
433OSinde Item
4330Container
2310Single Piece
2310Single Item
2310Container
233OSingle Piece
233OSingle Item
2330Container
3310Single Piece
3310Single item
3310Container
3334tSingle Piece
333OSinale Item
3330Container
12to13
13to14
141015
15to16
,160~
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
116
0
0
0
0
0
0
116
124
615
49
0
0
0
769
669
196
0
0
0
0
329
347
0
0
0
0
667
676
52
479
0
0
0
0
531
0
341
0
0
62
0
403
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
117
254
0
64
219
0
59
59
69
0
0
49
0
0
70
0
0
46
47
0
63
0
517
0
0
337
0
0
116
0
0
70
0
0
94
3,012
Total IPPs
Parcels
9to10
0
0
0
0
0
0
Total Flats
IPPS
6 to 9
0
0
0
0
0
0
0
Total Letters
Flats
7 to 6
NoWgi’
TOW
22,707
22,540
1,671
7.172
4,903
1,513
60.506
0
0
0
0
0
0
0
0
466
0
0
23,
0
469
455
745
0
0
0
0
1,199
0
0
0
0
0
0
0
1,573
0
0
175
0
0
1,746
6.338
7,156
5.631
2.330
130.666
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
115
0
0
0
0
115
6,696
4,431
3,687
3,519
3,700
3,330
25,365
0
166
0
0
246
0
0
0
269
0
0
0
635
0
0
0
59
0
0
0
0
254
0
0
5,925
5,030
4,466
4.502
0
0
166
0
0
246
0
0
269
0
0
635
0
0
59
231
0
465
4.644
4,330
26.917
45,645
63,566
DECLARATION
I, Leslie M. Schenk, declare under penalty of perjury that the foregoing
answers are true and correct, to the best of my knowledge,
belief.
Leslie M. Sche
information,
and
CERTIFICATE
OF SERVICE
I hereby certify that I have this day served the foregoing document
participants
of record in this proceeding
in accordance
upon all
with section 12 of the Rules of
Practice.
-nbA
ti.yu2&n
Nan K. McKenzie
475 L’Enfant Plaza West, S.W.
Washington, DC. 20260-l 137
November 23,200l
o_