
144.35 On-Site Meter-Setting Program

144.351 General

a.
This program allows Postal Service employees to set and examine postage
meters at a customer's place of business within the area covered by the
licensing post office.

b.
To the maximum extent practicable, Forms 3610 of customers enrolled in the
program must be maintained at a single designated postal facility.  Only
meters of customers enrolled in the program are set or examined from that
location. The program also provides for checking meters into or out of service
at meter manufacturer's branch offices, including meters set for use at
another post office.

c.
Fees for on-site meter setting or examination are:





EachEach meter
FirstAdditionalchecked in or
MeterMeterout of service

Scheduled basis$25.00$2.75$6.50

Unscheduled basis 28.00 2.75 6.50



d.
The fees in 144.351c apply to meters set or examined at a
customer's place of business or at a meter company's offices.

e.
The $6.50 surcharge must be paid for each meter checked in or out of
service, in addition to the on-site fee.

144.352 Meter-Setting Material.
Meter-setting employees must have the following:



Form #Form Name

3544Post Office Receipt for Money
3602-ARecord of Meter Register Readings
3603Receipt for Postage Meter Settings
3618Local Setting of Postage Meter Licensed at Another
Office



Other Necessary Items

Lead Seals
Lead Seal Validator (sealing pliers)
Diagonal Cutters
Meter-Setting Keys
Postmaster's Restrictive Bank Endorsement Rubber Stamp


Note:  Meter-setting material must be checked in by a supervisor upon
return and provided locked protection when not in use.


144.353 Procedures

a.
Books of receipts, Forms 3603 and Forms 3544, must be issued solely for the
on-site meter-setting unit.

b.
Prior to leaving the designated office of record, the meter-setting
employee must record the unit value, manufacturer's code, meter number, and
old control total from Form 3610 on Form 3603 for each of the scheduled
customer settings for that day.  A list must also be made of current advance
deposit account balances for any meter settings to be paid by advance deposits
that day.  For emergency or unscheduled meter settings, the information may be
obtained by telephone.  Meters set for use at another post office cannot use
advance deposit account deposits (see 144.344d).

144.354 Setting or Examining Meters at Customer's Place of Business

a.
The meter-setting employee must examine and set the meters in accordance
with procedures established, except for items in 144.342f and
144.342g.  The transcription of the data from Form 3603 to Form
3610, as required by 144.342g, must be done upon return to the
postal unit by an employee other than the meter-setting employee.  Item 9 on
both remaining copies of Form 3603 must be checked and initialed by the
employee who posts the data to Form 3610.  Payment of on-site meter-setting or
examination fees and postage must be either by check or through an advance
deposit account.  For meters set for use at another post office, follow the
procedures in 144.344 and 144.345.

b.
Payment by check for postage set into the meter and for the meter-setting
or examination fees involved must be collected prior to leaving the customer's
place of business.  If payment of fees is through an advance deposit account,
write "From Account" in the "Received From" block on Form 3544.  If more than
one meter is involved, payments for all postage and fees may be combined,
except for meters set for use at another post office.  A single Form 3544 may
be issued to cover all fees; however, a separate Form 3603 or Form 3618, as
appropriate, must be completed for each meter.  All checks must be immediately
backstamped with the postmaster's restrictive endorsement.  A clerk who
accepts a check in accordance with established procedures is not financially
liable for an uncollectible check.  The original copies of receipts, Forms
3603 and Forms 3544, must be given to the customer.

c.
Do not collect on-site meter-setting or examination fees when a postal
employee qualified to set postage meters is regularly assigned to the premises
of a customer for postal administrative duties.  Employees are not to be
detailed to a customer's premises solely to justify a waiver of on-site
meter-setting or examination fees.  Incidental visits by postal employees for
purposes other than regular mail acceptance or revenue-protection duties must
not be used to waive collection of on-site meter-setting or examination fees.

144.355 Setting or Examining Meters at Company Branch Offices

a. Installation of New Meter

(1)
If the customer has no postage meter license, a license may be issued after
telephoning the licensing post office to confirm the approval.  Ensure that
the customer does not already have a postage meter license at that post office
and that no postage meter license has been previously revoked.  See
144.351 for the applicable fees to be collected.

(2)
Prepare Form 3618 in quadruplicate for amount of check.

(3)
Set descending register for amount of check; lock and seal meter.

(4)
If the customer desires to use a Form 3602-A, fill out front cover; make
initial entry showing installation of meter.

(5)
Give triplicate of Form 3618, Form 3602-A (if used), license, and meter to
meter company representative who is to deliver to customer.

(6)
Give quadruplicate of Form 3618 to meter company representative for
company's files.

(7)
Retain duplicate of Form 3618 for post office record.

(8)
Prepare penalty envelope for sending the following items to the postal unit
where meter is to be set:

(a)
Original of Form 3618.

(b)
Check from customer for dollar value of the setting.

(c)
Preaddressed return envelope (penalty).

(9)
The appropriate supervisor in the postal unit where the meter is to be
registered for setting must ensure that Form 3603 and Form 3610 are prepared
from information shown on Form 3618 and that the original of Form 3603 is sent
to the customer.  There is no change in procedure for disposition of the other
two copies of Form 3603.  The check must be included on the Form 1412-A on the
day received.  When checking computerized remote postage meters into service,
obtain the name, address, and ZIP Code of the examining postal facility for
entry on the Form 3602-A, if used, and include the examining facility's ZIP
Code and finance number in the information given to the manufacturer.
Although no check or setting is involved, the Form 3618 is completed as
applicable with "CMR" indicated in the "Amount of Check" block.

b. Checking Meters Out of Service

(1)
A letter addressed to the postmaster authorizing the checkout must be
presented with the meter to be checked out.

(2)
Check the serial number of the meter and telephone the postal unit where
the meter is licensed to verify the control total.  The meter company
representative furnishes the postal clerk with the name of this unit.  If the
meter is out of balance, treat as directed in 144.36.

(3)
Prepare Form 3618 in duplicate, write "checkout" in "Amount of Check,"
block and send original to postal unit where licensed; retain duplicate.

(4)
Reduce descending register to zero or to lowest possible reading.

(5)
Complete a postage meter checkout request form, provided by the company,
and retain two copies.  Send these two copies and a letter authorizing
checkout to postmaster of postal unit where the meter is licensed.

(6)
Give meter and remaining two copies of checkout request form to meter
representative.  Meter should be locked but not sealed.

(7)
If refund is due and proper (no machine malfunction), refund is by Treasury
check mailed directly to the customer, unless the latter prefers to call at
the post office for it.  No refunds are made by the "on-site" postal employee.

(8)
See 144.351 for the applicable fees to be collected.

c. Transferring Postage from One Meter to a New Meter.
The procedure for transferring postage from one meter to another is
essentially the same as checking out one meter and installing another.

(1)
Follow the steps in 144.355b(1) through 144.355b(6).

(2)
Set postage on new meter to correspond with amount taken off of old meter.
Lock and seal new meter.

(3)
Prepare Form 3602-A for customer, if the customer desires to use one.

(4)
If customer desires more postage on new meter than was transferred to it,
an additional Form 3618 must be prepared, in quadruplicate, with the same
distribution.

(5)
The appropriate supervisor at the postal unit where the meter is licensed
for setting must ensure that Form 3603 and Form 3610 are prepared from
information shown on Form 3618 and that the original of Form 3603 is sent to
the customer.  There is no change in procedure for disposition of the other
two copies of Form 3603.  If there is a check, it should be included on Form
1412-A the day it is received.

(6)
See 144.351 for the applicable fees to be collected.

d. Payment

(1)
Payment of postage set into meters and for the fees involved must be
collected prior to leaving the meter manufacturer's branch office.  Fees must
be charged for each transaction, as outlined in 144.351c.  The
schedule for fees is the same for each type of meter transaction performed.

(2)
Payment for meter-setting or examination fees must be by check or through
an advance deposit account.

(a)
If payment is made by check, issue a Form 3544 to cover the fees.

(b)
If paid through an advance deposit account, the meter-setting employee is
responsible for determining that the account is in good standing before
leaving the postal installation to which he is assigned.

(3)
The Postal Service collects meter-setting or examination fees through an
advance deposit account as follows:

(a)
The Postal Service employee must record each meter set, examined or checked
out of service on the meter-setting log sheet, compute the applicable fees,
and sign the log.  The meter manufacturer's representative also signs the log.

(b)
The original and one copy of the log are given to the manufacturer's
representative.  The remaining copy is turned in, with related Forms 3618 and
checkout forms (if any), to the supervisor of the clearance clerk at the
setting employee's postal unit.

(c)
The meter manufacturers mail a monthly check to the address shown on the
log covering all charges for the month.  The advance deposit maintained must
be adequate to cover the anticipated monthly fees.  Logsheets are supplied by
the meter companies.

144.356 Reporting Revenue and Fees

a.
Upon return to the parent unit, the meter-setting employee must:

(1)
Group Forms 3603 with related Forms 3544 so that fees and postage, whether
paid by check or trust-fund withdrawal, can be easily verified by the
clearance clerk or supervisor.

(2)
Group Forms 3618 with related Forms 3544 and checks for fees so that fees
can be verified.

(3)
Group Forms 3618 with related manufacturer's logsheets so that fees paid by
advance deposit can be verified.

(4)
Surrender to clearance clerk all Forms 3603, Forms 3544, logsheets, and
checks covering the value of Forms 3603 and Forms 3544;  and then obtain a
receipt on Form 1096.

(5)
Mail Forms 3618 with related checks and preaddressed envelopes to the
postal unit at which the meter is licensed or normally set.

(6)
Turn in all meter-setting equipment and receipt books to supervisor of
clearance clerks; and obtain receipt for property (can be included on Form
1096).

b.
The supervisor or clearing employee must do the following:

(1)
Establish Form 25 for each meter customer who elects to pay for on-site
meter-setting or examination fees and postage through an advance deposit
account.

(2)
Verify accountability for all receipt forms.

(3)
Verify funds to Forms 3603 and Forms 3544; verify value of logsheets to
Forms 3618.  Release Forms 3618 and related checks to employee for mailing;
give receipt for funds and logsheets on Form 1096.

(4)
Post advance deposits to Form 25 from Form 3544.

(5)
Post withdrawals from advance deposit accounts to Form 25 from the
triplicate copy of Form 3603 or Form 3544.

(6)
Post meter-setting or examination fees to AIC 112, "On-Site Meter Setting
or Examination Fees";  on Form 1412-A or Form 1412-B, include meter postage
with other customer meter funds in AIC 111.

(7)
Post amounts of fees and postage paid through advance deposit accounts to
AIC 480, "Funds Withdrawn," on Form 1412-A or Form 1412-B.

(8)
Ensure that data on Forms 3603 are transcribed to Form 3610.

(9)
Forward manufacturer's logsheets to the accounting unit for collection of
meter-setting fees paid through an advance deposit.

(10)
Use Form 3083 to summarize advance deposit account activity and forward it
with Form 1412-A or Form 1412-B to the accounting unit.

c.
The accounting unit must do the following:

(1)
Establish Form 25 for each meter manufacturer which elects to pay for
meter-setting or examination fees through an advance deposit account.

(2)
Post the initial deposit to the record.

(3)
Credit the monthly checks received from the meter manufacturers directly
into revenue in AIC 112 without the need to make actual withdrawals and
redeposits to the advance deposit account.

(4)
Maintain the office copy of the logsheets by account, by month, and ensure
that the monthly checks agree with the sum of the logsheets.

(5)
Whenever monthly charges are greater than the amount of the advance
deposit, notify the meter manufacturer that the deposit must be increased to
an amount to cover the anticipated monthly charges.

(6)
Maintain records of monthly charges and payments.

144.36 Checking Meter Out of Service

144.361 General.
Mailers must bring a postage meter to the post office where it is normally
set whenever the meter's printing or recording mechanism becomes faulty.  The
post office then checks the meter "out of service."  Meters may also be
brought in and checked out of service if a customer no longer desires to use
the meter.  The customer should notify the meter manufacturer's representative
that this is being done.

144.362 Transferring and Refunding Postage.
Unused postage in the meter may be transferred to another meter used by the
licensee and registered at the same post office, or the postmaster may refund
the amount in accordance with 147.31, if the total readings of the
ascending and descending registers are equal to or less than the total
settings shown on the Form 3610.  If the total of the register readings of the
defective meter exceeds the total settings, the excess is deducted from the
amount shown in the descending register to determine the amount of postage to
be refunded or transferred.  When a meter fails to lock out and prints stamps
in excess of the amount for which set, the additional amount due is collected
from the mailer in cash.  The amount of postage due is determined by adding
the last setting to the previous ascending register reading and subtracting
this total from the current ascending register reading.

144.363 Returning Meters.
Meters checked out of service must be returned to meter manufacturers'
representatives by the Postal Service.  The representatives is given a
completed Form 3602-A if available, or a copy of the latest Form 3603 if the
meter is faulty.  A copy of Form 3610 is also given to the meter manufacturer,
upon request, if the meter is faulty.  The licensee must keep Form 3602-A for
at least 1 year after date of final entry.

144.364 Manufacturer's Statement.
After examination of a meter withdrawn because of apparent faulty operation
affecting registration, the manufacturer must furnish a detailed statement
explaining why the meter failed to function properly.  The manufacturer may
also recommend an appropriate postage adjustment.  Post offices determine from
the manufacturer's report, and other facts, what postage adjustment, if any,
is necessary.  In case of doubt regarding proper postage adjustment, post
offices must report all facts to the rates and classification center.

144.365 Refunds for Unused Meter Stamps.
Refunds for unused meter stamps are made in accordance with
147.31.

144.37 Records--Files.
Three basic files must be kept for meters and meter licensees:  a file of
meter licensees, an alphabetical file of meter licensees and meters currently
in use by them, and a numeric file of postage meters.  These files are
maintained in the main post office.  They must not be duplicated at branches,
stations, or other locations but must be kept so that information is readily
obtainable by telephone or other means.  Additional information concerning
accounting records for Postal Service-owned meters is contained in
144.74. Information required in 144.37b and
144.37c may be maintained on permanent computer records.  The
provisions for keeping files follow.

a. License File.
A central file must be maintained of all currently licensed users of
postage meters.  This file must consist of approved Forms 3601-A (top
portions).  Canceled licenses must be maintained for 1 year and then disposed
of.

b. Meter User File.
This file consists of cards filed alphabetically by licensee, listing the
manufacturer and serial number of meters in use.  As meters are withdrawn,
delete the number from the list by drawing a line through the serial number.
This file and the numeric file must be kept where they are available for use
any time the post office is open for business or mail is being processed.

c. Numeric File.
This file consists of cards for each meter set by post office, branch, or
station.  Cards must contain the make, model, and serial number of the meter
and list the name of the meter user, date of installation, and date when
withdrawn or reported lost or stolen.

144.38 Computerized Remote Postage Meter Resetting

144.381 General.
The computerized remote postage meter resetting system permits the users of
certain postage meters with specially designed locking mechanisms to have such
meters reset at their places of business.  CMRS meters must always be set at
the customer's place of business, not at the post office.  The system employs
a postage meter equipped with a resetting mechanism which contains a lock
which operates with unique one-time use combinations.  The customer makes an
advance deposit to a designated trustee bank, obtains the correct combination
from the manufacturer's data center, keys it into the lock, and then is able
to add an amount of postage to the meter.  To obtain the combination, the
customer communicates with the manufacturer's data center and provides
identifying data and meter-register readings.  The data center verifies the
data and checks the status of the customer's advance deposit account balance
before providing the customer with the combination.  The customer's advance
deposit account at the trustee bank is charged, following notification of the
transaction by the manufacturer.  The bank wires payment for the postage to
the Postal Service Federal Reserve Bank Account.  The manufacturer provides
required information to the customer for each meter resetting and is
responsible for ensuring that funds are transferred to the Postal Service's
account during the morning of the next banking day.

144.382 Check-In Procedures

a.
A customer must not have a meter equipped with this mechanism in his
possession until it has been checked into service by the licensing post
office.  However, no postage is to be set in these meters by the licensing
post office, except when a computerized remote postage meter is being checked
out of service and the unused postage in it is transferred to another
computerized remote postage meter of the same customer.  The manufacturer must
bring the meter to the post office where it is to be examined before delivery
to the customer, unless it is initially checked into service at the meter
company's office, as described in 144.35.

b.
When the manufacturer brings a meter to the licensing post office for the
initial check in, the postal employee must:

(1)
Determine that a valid meter license exists.

(2)
Perform the physical inspection.

(3)
Enter the date, the ascending and descending register readings, control
total, and all other required data on a Form 3610.

(4)
Verify that the ZIP Code of the examining postal unit, as shown on the
manufacturer's installation form, is a valid ZIP Code of the licensing post
office and it is the postal unit the customer has selected for the 6-month
examination.

(5)
Do not adjust the meter registers, except as stated in 144.382a
(settings are done by the customer using the computer-provided combinations).

(6)
Provide a Form 3602-A for the CMRS customer, with the street address and
ZIP Code of the authorized examining postal unit, if the customer desires to
use one.

(7)
Send the Form 3610 to the accounting unit of the post office where it is
filed separately from other meter records.

144.383 Verification and Examination

a.
Customers must bring CMRS meters to the licensing post office every 6
months for examination.  The manufacturer must notify customers of the dates
on which meter examinations are due.  Combinations for resettings must not be
provided by the manufacturer if the meters are not brought to the post office
for examination by the due date.  The licensing post office must institute
procedures set forth in Handbook F-51, Computerized Meter Resetting
System, to notify the manufacturer to discontinue meter resettings.

b.
When the customer brings a CMRS meter into the licensing post office for
examination, an authorized employee must:

(1)
Perform the physical examination.

(2)
Enter the date, meter manufacturer's name, meter serial number, and the
ascending and descending register readings on an Item 0-13, Routing Slip,
 and send it to the accounting unit with the day's Form 1412-A or Form
1412-B.

(3)
Return the meter and Form 3602-A if applicable, to the customer.

c.
The accounting unit computes the control total and compares it with the
control total provided on the Resetting by Post Office Report.  If the
computed control totals are not within the parameters established in Handbook
F-51, the customer must be contacted to obtain the current ascending and
descending register readings.  The accounting unit then computes the new
control total and contacts the manufacturer's data center on the company's
toll-free number or by a collect call to verify the control total.  If the
control total does not match, the customer must be advised to check the meter
out of service immediately in accordance with 144.36.

d.
If the meter is not brought into the licensing post office within the
specified time, the accounting unit must request the appropriate field
division to advise the manufacturer's data center to stop reset combinations.
If the Postal Service does not rescind this request within 30 days, the
manufacturer must remove the meter from service.

144.384 Checkout Procedures.
CMRS meters must be checked out of service by performing the physical
examination in 144.383b, and the procedures in 144.355b for
on-site service or 144.36 for post office service.

144.385 Customer Advance Deposits.
An advance deposit of funds covering the desired postage increments must be
on deposit in the customer's account at the trustee bank, and the trustee bank
must notify the manufacturer of the amounts received from each customer each
day.  The manufacturer must ensure that its data center computer is updated to
reflect each new customer deposit.

144.386 Setting and Payment.
For each request for a postage meter resetting, the customer must provide
the manufacturer with the meter serial number, the customer account number,
and the meter's ascending and descending register readings.  The manufacturer
must verify that the information provided the customer is consistent with its
records, and that there are adequate funds in the customer's account to cover
the postage setting requested before providing an appropriate lock
combination.  If the customer desires additional predetermined increments of
postage, he may request and receive additional lock combinations, provided
sufficient funds are on deposit.  Immediately following each resetting, the
manufacturer must direct the trustee bank to charge the customer's account for
the amount of the postage reset.  After the completion of each transaction,
the manufacturer must promptly provide the customer with a statement
documenting the transaction and the balance remaining in the customer's trust
account, or the manufacturer may provide a statement on a monthly (or
approximately monthly) basis that documents all transactions during the period
and that shows the balance in the customer's account after each transaction.

144.4 Meter Stamps

144.41 Designs.
The types, sizes, and styles of meter stamps are fixed when meters are
approved by the Postal Service for manufacture.  Only approved designs may be
used.

a. General Examples.  See Exhibit 144.41a. *viewer dmm170.pcx*


(NOT SHOWN):

]
DMM170Exhibit 144.41a]


b. Official Mail. See Exhibit 144.41b *viewer dmm171.pcx*
and 137.

(NOT SHOWN):

]
DMM171Exhibit 144.41b]


144.42 Legibility.
Meter stamps must be legible and not overlap.  Illegible or overlapping
meter stamps are not counted in determining postage paid.

144.43 Fluorescent Ink.
The use of fluorescent ink is mandatory for postage imprints on letter-size
metered mail.  Failure to use fluorescent ink may result in the revocation of
the meter license.  Letter-size mail is defined as being from 5 to 11-1/2
inches long, 3-1/2 to 6-1/8 inches wide, and 0.007 to 0.25 inch thick.

144.44 Meter Stamps on Tape.
When meter stamps are printed on tape, only tape approved by the Postal
Service may be used.

144.45 Position.
Meter stamps must be printed or applied in the upper right corner of the
envelope, address label, or tag.

144.46 Content.
Meter stamps must show the city and state designation of the licensing post
office, meter number, and amount of postage for all classes of mail. Upon
approval of the licensing post office, meter indicia may contain the name and
state designation of its local classified branch which sets the meter.  This
authorization does not apply to classified stations or contract stations or
branches.  As an alternative, the ZIP Code designation may be shown in the
meter postmark instead of the city/state designation.  When this occurs, the
words "Mailed From ZIP Code" must appear in place of the city designation and
the mailer's delivery address ZIP Code in place of the state.  When it is
necessary to print multidenomination meter stamps on more than one tape, the
circle showing the post office must appear on each tape.

144.47 Date of Mailing

144.471 Accuracy.
The date shown in a meter postmark must be the actual date of deposit (see
374.22) with the following exceptions:

a.
Mail deposited after the last scheduled collection of the day may bear the
actual date of deposit or the date of the next scheduled collection (see
144.54).  Mailers are encouraged but not required to use the date of
the next scheduled collection.

b.
Authorized dispatch prepared presort mail accepted after midnight may bear
the previous day's date.

144.472  When Complete Date Required.
The month, day, and year must be shown in the meter postmark on all
First-Class Mail, and on all registered, certified, insured, COD, special
delivery, and special-handling mail, whether the postmark is printed directly
on the mailpiece or on a separate tape.  The exception to this is prepaid
reply postage.

144.473 When Month and Year Required.
The month and year must be shown on meter postmarks printed on a separate
tape for third-, and fourth-class pieces.  The day may be omitted.  Mailpieces
postmarked on a separate tape with only the month and year may be accepted
during the month shown.  They may be accepted through the third day of the
following month when, in the judgment of the postmaster, the mailing was
unavoidably delayed prior to its deposit with the Postal Service.

144.474 When Date Optional.
The date (day, month, or year) is not required to be shown on meter
postmarks printed directly on a thirdor fourth-class mailpiece.

144.475 When Date Prohibited.
The date must not be shown on meter postmarks used to prepay reply postage
in accordance with 144.112.

144.476 Placement.
With the mailpiece oriented to read the address, a ".00" postage meter
impression used to correct the date of metered mail must be placed (for
letter-size mail) on either the nonaddress side in the upper right-hand corner
or on the address side in the lower left corner.  On flats or parcels, it must
be placed adjacent to the postage meter stamp.  The date of the ".00"
impression must be the actual date of deposit.

144.48 Hour of Mailing.
The hour of mailing may be shown only on First-Class or special delivery
mail, and then only when mailed in time to be dispatched at the hour shown.

144.49 Ad Plates

144.491 General.
Advertising matter, slogans, return addresses, and the postal markings
specified in 144.492 may be printed with the meter stamps within
space limitations.  Licensees must obtain the plates for the printing of this
matter from authorized meter manufacturers to ensure suitable quality and
content in accordance with the requirements of the Postal Service.  Ad plate
messages must be clearly distinguished by the inclusion of the name of the
mailer or words such as "Mailers Message."  The ad plate must not be obscene,
defamatory of any particular person or group, or deceptive, nor may it
advocate unlawful action.

144.492  Postal Markings.
Postal markings related to the class or category of mail such as
"First-Class," "Presorted First-Class," "Priority Mail," "ZIP+4," "ZIP+4
Presort," "ZIP+4 Barcoded," "Third-Class," "Blk. Rt.," "Nonprofit Org.,"
"Carrier Route Presort," "Basic ZIP+4," "5-Digit ZIP+4," "Fourth-Class,"
"Fourth-Class Bulk Rates," "Special Fourth-Class Rate," "Presorted Special
Fourth-Class Rate," "Bound Printed Matter," and "Library Rate," are
permissible.  If a postal marking is to appear in the ad plate area, no other
matter is to be printed.  The marking must fill the entire ad plate area to
the extent practicable.  All words must be in bold capital letters which are
at least 1/4 inch in height or 18-point type, and legible at 2 feet.
Exceptions are not made for small ad plates that cannot accommodate any of the
above markings.

144.5 Mailings

144.51 Preparation

144.511 Facing and Packaging.
The mailer must bundle, box, or otherwise package mailings of five or more
letter-type pieces with the addresses facing in one direction.  This
preparation prevents the pieces from mixing with other mail that must be
faced, canceled, and postmarked in the post office.  Each class and
denomination should be bundled separately.  Mail receiving special delivery
service should always be bundled separately or placed on the top of a bundle.
Properly prepared metered mail, which is sent directly to distribution, can be
expedited in dispatch.

144.512 Irregularities.
Metered mail not properly bundled, boxed, or otherwise packaged as required
is reported to the mailer or authorized agent by telephone or personal visit.
A record of this action must be kept by the postmaster on Form 3749. If the
mailer or agent disregards such reports and irregularities are repeated, the
mail is retained by the postmaster and the mailer immediately notified by
telephone so that the mailing can be picked up for proper preparation before
acceptance and dispatch.

144.513  Combined Mailings.
See 382.6, 382.7, 661.4, and 661.5
for regulations governing the preparation of ZIP+4 Barcoded rate mailings in
which pieces paid by permit imprint are combined with pieces bearing
precanceled stamps and/or meter stamps.

144.52 Place of Mailing

144.521 Single-Piece Rate Mail.
Metered single-piece rate Firstor third-class mail, Express Mail, or
Priority Mail (in a weight category for which rates do not vary by zone) may
be deposited in any street collection box, mailchute, receiving box,
cooperative mailing rack, or other place where mail is accepted under the
jurisdiction of the licensing post office (i.e., the post office shown in the
meter stamp).  To secure faster dispatch, metered mail should be deposited at
the main post office or a station or branch thereof.

144.522 Limited Exception for Special Delivery and First-Class Mail.
To expedite dispatch, mailers may deposit limited quantities of special
delivery mail and First-Class Mail, paid at the single-piece rate, at offices
other than the one which appears in the meter stamp.  A limited quantity is
considered to be a handful.

144.523 Limited Exception for Express Mail.
If facilities for acceptance are not available locally, customer-metered
Express Mail may be mailed at an Express Mail acceptance facility under the
jurisdiction of another office.

144.524 Deposit of Other Metered Mail at the Licensing Post Office.
Any metered mail, other than single-piece rate Firstor third-class or
Priority Mail (in a weight category for which rates do not vary by zone), must
be deposited at a post office acceptance unit, window unit, or other location
designated by the postmaster.  Mailers may neither hand such mail to a
delivery employee nor deposit it in a street collection box, mailchute,
receiving box, cooperative mailing rack, or other mail collection receptacle.

144.525 Deposit of Metered Mail at Other Than the Licensing Post Office.
Metered mail may not be deposited at a post office other than the licensing
post office except as provided by 144.522, 144.523, and
144.8.

144.53 Handling

144.531 Mailed at Stations and Branches.
At stations and branches where mail is not processed, keep metered mail
separate from other types of mail, insofar as possible, so the advantages of
the separation are not lost at the time of processing.  When the quantity
warrants, place metered mail in pouches, sacks, or hampers, labeled "Metered
Mail."  When the quantities are too small to be separately pouched or sacked,
tie the pieces securely in bundles labeled "Metered Mail," so they may be
identified and promptly separated in the distributing unit from other types of
mail.

144.532 Postmarking.
Do not postmark metered mail, except as required in 144.534 and
Postal Operations Manual,423.35.

144.533 Distribution.
Send metered mail to distribution points as soon as received.  Distribute
in order of priority of receipt, regardless of time shown in postmarks or
meter stamps.

144.534 Examination.
Metered mail must be examined for accurate dating using the procedures in
Handbook DM-102, Bulk Mail Acceptance, 432.

144.54 Mailing Irregularities.
Metered mail is examined by the Postal Service to detect irregularities in
preparation and dating.  In this regard, postal personnel must follow the
procedures in Handbook DM-102, Bulk Mail Acceptance, 432.  Errors do
not include pieces legibly postmarked the previous date if they were deposited
in a collection box after the last collection (see 144.471) or if
they were not collected by the Postal Service as scheduled on the date
appearing in the meter postmark.

144.6 Security

144.61 Quarterly Verification

144.611 Coordination Responsibility.
The field director, marketing and communications, at field division offices
and management sectional centers must coordinate the quarterly verification of
metered mail and ensure its completion.

144.612 Where Sampling Occurs.
All area mail-processing units, bulk mail acceptance units (BMAUs),
including plant-load operations, and post offices which do initial
distribution of originating mail must take a sampling of local metered or
originating metered mail each quarter.  This sampling must include letters and
parcels, including parcels destined for distribution at bulk mail centers
(BMCs) and also those bearing Postal Service meter stamps.  This sampling is
designed to detect the following:

a.
Use of unauthorized meters.

b.
Altered or counterfeit metered stamps.

c.
Improper metered mail procedures by mailers, especially the use of
incorrect postmarks.

d.
Shortpaid mail.

144.613 Sample Selection.
The sample is selected from the total originating metered mailings
processed in 1 day (as an average) at a mail processing unit, including
associate offices' metered mailings, for which initial distribution is
performed.  Individual metered mailings consist of one or more pieces from the
same meter on the same day.  The sample is taken over a minimum of 5 weeks
during the quarter on a different day each week.  The following table must be
used to establish sample sizes.





Total projected number
of mailings per day
(average of 5 days)Sample size

Up to 1,00025% of mailings
1,000 to 1,499259
1,500 to 2,999272
3,000 to 4,999289
5,000 to 9,999291
10,000 to 19,999295
20,000 to 49,999297
50,000 or more299



Example: In a mail processing unit with 690 customer meters, the total
mailings over 5 days are projected at 3,450 (5 x 690).  The sample is thus
289.  On Monday of week one, sample 58 randomly selected metered mailings;
Tuesday, week two, 58 more; Wednesday, week three, 58 more; Thursday, week
four, 58 more; and Friday of week five, the remaining 57.  The mailings are
then verified with the records at all associate post offices selected.

144.614 Sampling Procedures

a.
Sampling must be performed by employees skilled in sampling, where
available.  Quality control personnel should be utilized for this process
whenever possible.  Employees taking the sample must be familiar with the
requirements of 144, and must be provided with copies of Forms 3616
and Forms 3749.  The sample is selected from the total originating metered
mailings (including parcels) at a mail processing unit, including associate
offices' metered mailings for which initial distribution is performed.
Employees taking the sample must include unreadable or questionable meter
numbers and return addresses just as they appear.  This is especially
important, since an unauthorized meter user may have dulled, smudged, or
purposely lightly inked the meter dye to avoid easy detection.

b.
Local originating metered mail with other than a local postmark must be
listed on a separate Form 3616 for each postmark.

c.
Metered mail being sampled must also be examined for alterations or
counterfeit impressions by the sample taker.  Suspect impressions must be
immediately brought to the attention of the supervisor.  If, in the opinion of
the supervisor, the meter impression is suspect, the supervisor must record
the circumstances (sender, date, meter number, postmark, time of sampling,
details of the peculiarity or item making the impression suspect) and forward
a report to the MSC director of finance.  Alterations may be indicated by

(1)
peculiar tint ink,

(2)
smudged or uneven impressions,

(3)
digits which are out of line or vary in size, or

(4)
impressions which appear to have been altered manually by pen and ink or
other means.

d.
Examine metered mail being sampled for improper mailing practices, such as
incorrect or illegible postmarks and other metered mail preparation
deficiencies.  Follow the procedures in Handbook DM-102, Bulk Mail
Acceptance, 432, if errors are detected.

144.615 Verification of Meter Authorization

a.
An employee in accounting or mail classification who did not participate in
the sampling must check the Forms 3616 against the numerical and alpha files
of meters set by the post office and the lost or stolen meter book, where
available.  When a meter impression disclosed in the sampling cannot be traced
to an authorized meter user, a supervisor should review the matter.  Unless
the supervisor decides there is minimal risk involved in alerting the
customer, do not contact the customer.  Enlist the assistance of the
manufacturer to resolve the discrepancy.  If the meter manufacturer cannot
resolve the matter, advise the MSC director of finance.  If a meter impression
serial number is found in the lost or stolen meter book, it must be reported
in accordance with 144.61k.

b.
Forms 3616 for mail from associate offices having other than a local
postmark must be forwarded to the appropriate postmaster to determine whether
the meters are authorized.  These Forms 3616 must be returned to the MSC
taking the samples and filed with Forms 3616 developed during that office's
quarterly verification.

144.616 Reporting

a.
Area mail processing units and post offices which do initial distribution
of originating mail must advise their MSC directors of finance each quarter of
the date their verifications were completed.  In addition, these postal
facilities must provide a summary of the number of meter impressions sampled,
the projected number of mailings per day, and any suspected meter
irregularities.  The MSC director of finance must monitor these verifications
to ensure that the mail from each office which has customer postage meters is
subject to being sampled quarterly.

b.
The director of finance must promptly report any of the following to the
nearest postal inspector and by memorandum to the regional chief inspector:

(1)
Suspect meter impressions.

(2)
Unresolved or unauthorized meters.

(3)
Meters previously reported stolen.

144.62 Examination

a.
Review Forms 3610 quarterly.  If no settings have been made during the
previous 6 months, advise local meter licensees to bring in meters which have
not been set within this period for examination, as specified in
144.341.  When the meter is set at another office, request the
office which sets the meter to have it called in for examination.  The office
where the meter is set must then advise the office where Form 3610 is
maintained of the results of the examination, including register readings at
the time of examination, so a suitable entry can be made on Form 3610.

b.
Customers who do not bring in their meters after the initial written
notification must be approached again within 15 days, preferably by personal
contact.  If no response is received within another 15 days, the postmaster
must notify the meter license holder that the meter is to be removed from
service and/or the meter license revoked, following the procedures for
revocation in 144.23.

144.63 Lost or Stolen Meters.
Mailers should immediately report to the local postmaster the loss or
theft, and the recovery of any lost or stolen meters.  Reports must include
the meter model and serial number; the date, location, and details of the loss
or theft; and a copy of the police report, when applicable.  Postmasters must
cooperate with meter manufacturers to locate meter licensees who have moved
without informing the post office or manufacturer. Upon request, postmasters
provide manufacturers with the forwarding address, except as restricted by
352.44 of the Administrative Support Manual.  Quarterly, a PDC
distributes a book of all lost or stolen meters to selected post offices (see
144.952).

144.64 Location Control

144.641
The New York Postal Data Center (NYPDC) provides each affected post office,
through its respective field division or management sectional center (MSC),
with lists of additions to and withdrawals from the meter inventory, as of the
close of business of the date indicated on the lists.  The NYPDC separates the
lists by post offices and sends them in bulk to the field divisions and MSCs,
which distribute them within 2 days to their associate offices.  To facilitate
this process, post offices must:

a.
Verify the postage meter installations and withdrawals shown on the NYPDC
list by comparing them with the post office numerical file of meters. Use Form
3610 to do further research on any postage meter listed by the PDC that does
not agree with the post office's numerical file.

b.
If a list shows a meter not on a post office record, check the license file
or verify the status with the customer indicated on the installation's list.

c.
Annotate the lists for withdrawals still in service, indicating user name
and address, and indicate those installations for which there are no records.

d.
Return all lists as appropriate, within 15 days, to the field division and
MSC, including lists without changes.

e.
Cooperate with the manufacturer's branches in reconciling differences that
result from meters that do not appear either on postal records or the
manufacturer's branch records and that could not be reconciled by comparison
with the manufacturer's headquarters' records.

144.642
MSC postmasters and field division general managers are responsible for the
return of all lists to the NYPDC within 20 days of the date sent to the
associate offices.

144.643
The NYPDC must:
a.
Update its records from the data supplied by post offices and advise the
meter manufacturers of differences.

b.
Provide a summary report of unreconciled installations and withdrawals to
the Office of Classification and Rates Administration at the end of each
reporting cycle.

144.65  Meter manufacturers.
Postmasters must cooperate with representatives of meter manufacturers in
the examination and control of customers' meters by providing the information
from (or a copy of) either a customer's Form 3610 or the latest Form 3603 and
verifying the location of the meter or meter holder, when requested.

144.7 Post Office Meters

144.71 Criteria for Use.
Omnidenomination postage meters are assigned to parcel post and registry
windows and postage-due units at post offices and classified stations and
branches meeting the criteria in the Postal Operations Manual (POM).
Post office-owned meters are not assigned to contract stations or branches.

144.72 Requests for Meters.
Requests for postage meters must be made in accordance with the POM.

144.73 Operation of Meter

144.731 Instruction by Meter Manufacturer.
A representative of the manufacturer must instruct employees how to operate
the device at time of installation.

144.732 Keys

a.
Two different keys are needed to operate a postage meter.  One key is
required to unlock the meter-operating lever and must be used each day the
machine is operated.  A different key, which is the same as the key used to
open customers' meters at time of setting, is required to open the meter to
set an amount of postage in the device.  The manufacturer must not furnish an
additional meter-setting key if the post office already has one.

b.
Duplicate keys are provided for the meter-operating lever of each machine.
One key is kept in custody of the designated supervisor, except during the
period the meter is assigned to the meter operator.  The duplicate key must be
recorded and retained in protective custody.

144.733 Settings.
Meters must be set by an employee authorized to set customers' meters.
Meter machine operators must never set their own meters.  Record initial
setting and all other information called for on Form 3609-PO.  Set each meter
at least once each 6 months.  Limit settings to multiples of $100.

144.734 Conversion to Postage Due

a.
Meters are converted to postage-due use by installing a snap-in die plate
which imprints the words "Postage Due" to the left of the postmark circle.
Dies are furnished by the Parts Section, Materiel Distribution Center in
Topeka, KS.  Requisition on Form 4984.  Include the model of meter with all
requests.

b.
Requisition a portable meter stand to move the meter between postage-due
units and receiving windows when it is used in a dual capacity.

c.
To the maximum extent practicable, postage-due meter operators assigned to
process advance deposit postage-due mail must not handle cash.

144.735 Use of Meter Stamps.
Sell meter postage for use on packages or parcels of all classes and for
occasional letters presented with parcels.  Do not sell meter postage to be
affixed to quantities of letters or circulars.  Always affix meter stamps on
mail in the presence of the customer.  Do not sell loose meter stamps for
customers to take outside the post office for future mailings.  Sales for
philatelic purposes, however, are permitted under 163.525.  If meter
stamps are printed in error, submit them for full refund to the postmaster
each day, using Form 3533.

144.736 Ink and Tape.
Use only tape and red ink furnished by the Postal Service.  Requisition
these from the materiel distribution center.  Use green ink in meters used
exclusively for postage-due mail.  Green ink must be obtained from the meter
manufacturer or their local representative in accordance with local
procurement authority in Chapter 7 of the Administrative Support Manual.


144.737 Protection of Meter Heads.
Remove meter heads and place them in a safe or locked cabinet overnight and
at other times when the operator is temporarily absent from his station and
adequate surveillance cannot be maintained over the meter head to prevent its
misuse by unauthorized persons.

144.738 Repairs.
Postage meters are guaranteed against all defects in materials and
workmanship for 1 year after installation.  Contact the nearest authorized
manufacturer's representative for free service during the 1-year guarantee.

144.739 Slogan Ad Plates.
Except as provided in 144.734, do not use slogan die plates in
post office-owned meters.

144.74 Accounting

144.741 Employees Accountable

a.
Designate a supervisor or other employee not assigned to operate the meter
as responsible to check the daily accountability of postage printed by a
meter.  This employee must check the meter in and out of service daily for the
operator and see that it is protected as provided in 144.737.

b.
A meter operator is responsible for all postage printed by a meter while it
is checked into his service and for locking the machine and safeguarding the
key during temporary absences.  When a window clerk is relieved, the Form
3602-PO should be completed and another Form 3602-PO initiated by the relief
clerk.  The procedure should be used even if the postage meter is not assigned
to another window clerk during his absence.

144.742 Preparation and Verification of Accounting Records

a. Form 3602-PO.
This is an accountable form, serially numbered, used daily to record
meter-register readings and remittance of cash.  Each day, the meter operator
must record the meter number, unit or station name, date, and ascending and
descending register readings.  The designated supervisor must verify the
readings of registers and then turn over the lever key to the operating clerk.
 At the end of his tour, the meter operator must record the ascending and
descending register readings.  The difference between the beginning and ending
readings represents the postage for which the meter operator is accountable.
The designated supervisor must verify readings and initial Form 3602-PO when
checking a meter out of service or when transferring it to another operator.

b. Form 3609-PO

(1)
The Form 3609-PO must be retained by the accounting unit, or the individual
in charge of the account book.  The first meter setting must be recorded
directly on Form 3609-PO.  All other settings are reported on Form 3602-PO and
posted to Form 3609-PO.

(2)
A copy of Form 3602-PO must be kept with Form 3609-PO and the total amount
of postage posted once each accounting period on Form 3609-PO.  The numerical
sequence of Forms 3602-PO must be verified.

144.743 Ascending Register Revision

a.
The ascending register, on reaching its maximum, reverts to zero and starts
a new ascending record.  When this occurs, the meter operator must record the
closing ascending register on Form 3602-PO as though it had not reverted by
recording the carryover digits in parentheses.

Example:



Descending register beginning    120000
Descending register end     40000
Ascending register end(1)0060000
Ascending register beginning   9980000
Amount remitted:  $800.00



b.
When Form 3602-PO is received by the employee maintaining records on Form
3609-PO, appropriate notation of the date of reversion must be made on the
Form 3609-PO.  Thereafter, readings of the ascending register are recorded in
the usual manner without addition of the digit in parentheses.

144.744 Remittance.
Money collected through postage-meter operations must be remitted daily as
near the end of the tour as possible.  The original of Form 3602-PO must
accompany the Form 1412-A or Form 1412-B.  If Form 1412-A or Form 1412-B is
not used, send remittance with Form 3602-PO.

144.75 Use by Contract Stations and Branches

144.751 Privately Owned Meters.
Although post office-owned meters are not furnished to contract stations
and branches, the contractor may, at his own expense and option, obtain a
postage meter to collect postage on parcels presented by patrons.

144.752 Accountability

a.
Settings of meters for contract stations must be made at the post office or
classified station or branch designated by the postmaster.

b.
If the meter is used exclusively for customers' mailings, follow
instructions in 144.733 and reduce stamp credit.  Furnish Form
3602-PO to the contractor and require submission of this form with daily
remission of meter funds.

c.
If meter is also used by contractor to pay postage on his own mail, require
payment for each setting at the time the meter is set.  The contractor
reimburses himself for meter postage applied to customers' parcels.

d.
Account for all settings of nonpost-office-owned meters used at contract
stations as stated in Handbook F-1, Post Office Accounting Procedures,
515.2.

144.8 Entry of Metered Mail at Other Than the Licensing Post Office (Drop
Shipment)

144.81 Conditions That Apply to All Methods of Drop Shipment

144.811 General.
Except as provided in 144.522 for limited ("handful") quantities
of single-piece rate metered mail, and by 144.523 for Express Mail, a
customer may affix postage using a postage meter licensed at one post office
(licensing post office) and deposit that mail at another post office (entry
post office) only if prior authorization is obtained from the Postal Service
in accordance with one of the procedures described in 144.82 through
144.85.  Any such authorization is subject to reconsideration when,
as determined by the Postal Service, the information or circumstances
supporting the original authorization may no longer be accurate, complete, or
applicable.

144.812 Postal Service Responsibilities

a. File.
An entry post office must maintain a file for each customer authorized
under this section to deposit mail at that post office, and must be
responsible for performing verifications of meter use (see 144.61).
Information concerning irregularities in meter use are supplied to the
licensing postmaster who is responsible for taking any necessary
administrative action.

b. Meter Control.
The licensing post office continues to examine and set meters licensed at
that post office.  No revenue credit is transferred between licensing and
entry post offices.

c. Representation.
Postmasters may not act as representatives of the mailer (the party who
presents the mail) or the meter licensee.

d. Responsibility for Mail.
The Postal Service assumes no responsibility for the material presented
until it is accepted into the mail, and it is not responsible for delays in
service caused by the mailer's failure to meet the applicable preparation or
entry requirements.

e. Improper Preparation.
Metered mailpieces which bear meter impressions or other endorsements
containing the wrong post office name, meter serial number, or authorization
number (as applicable) are not accepted.  The licensing postmaster must
immediately notify all entry post offices of changes in meter serial numbers
used in mailings authorized under this section.  Entry post offices must
contact the licensing post office to verify apparently incorrect meter serial
numbers before refusing to accept mail.

f. Irregularities.
Shortpaid, unpaid, or misdated or illegible meter impressions must be
handled in accordance with existing regulations.  See 144.47,
144.54, or 146.1, as applicable.

g. Notice to Licensees.
Notices of authorization to enter mail under this section must advise
mailers/licensees that "entry of mail under 144.8 may adversely
affect the Postal Service's ability to realize the service objectives that
apply to their mailings."

144.813 Mailer Responsibilities

a. Additional Requirements.
In addition to the preparation and documentation requirements set forth
elsewhere in postal regulations, mail must be deposited at the times and
places, and in accordance with any additional preparation requirements,
specified by the Postal Service.

b. Postmark.
The postmark die must show the name of the licensing post office.

c. Information as Requested.
When requested by the Postal Service, a mailer authorized to deposit mail
under any of the provisions in 144.82 through 144.85 must
provide additional, amended, or updated information in support of that
authorization.  Failure to do so is grounds for revocation of the
authorization.

d. Updating Information.
Mailers must inform the approving official (see 144.815) when,
after authorization is granted, changes occur in any of the information
originally provided as part of the application.  Failure to submit updated
information may be grounds for revocation of the authorization to deposit mail
under 144.8.

144.814 General Application Procedures

a. Where to File.
For authorization under 144.82 or 144.83, the meter
license holder must submit a written application to the field division general
manager/postmaster whose area includes the licensing post office.  For
authorization under 144.84 or 144.85, the
mailer/consolidator must submit a written application to the field division
general manager/postmaster in whose area the mailer/consolidator is located.

b. Content of Application.
The application must describe the classes of mail to be deposited, and the
volume, processing category, frequency of mailing, and requested schedule of
deposit of each.  When applicable, the application must also state how the
mail to be entered meets applicable eligibility requirements and identify any
third party by whom the mail may be prepared and presented.  The application
must be prepared on the mailer's letterhead stationery, and signed by an
authorized manager or representative.  No Postal Service form is provided for
this purpose.

c. Review.
The field division general manager/postmaster reviews the application to
consider whether the proposed entry of mail reduces postal handling, improves
service, and otherwise is in the best interest of the Postal Service.

d. Additional Information.
See 144.84 and 144.85 for additional information required
in support of applications submitted under those sections.

144.815 Approval of Applications

a. Approving Official.
Applications for authorization under 144.82, 144.83, or
144.84 are approved by the field division general manager/postmaster.
 Applications for authorization under 144.85 are approved by the
general manager, rates and classification center (RCC).

b. Notice of Approval.
The approving official must notify the licensing postmaster in writing, and
issue a unique authorization number to identify the applicant, according to a
sequence of numbers reserved by the division (or RCC, if applicable) for this
purpose.  The licensing postmaster must notify the applicant.  A copy of the
authorization is provided to the entry office if it is not the division or
licensing post office.  See 144.852 for additional procedures for
applications under 144.85.

144.816 Denial of Application

a. Denying Official.
Applications for authorization under 144.82, 144.83, or
144.84 are denied by the field division general manager/postmaster.
Applications for authorization under 144.85 are denied by the general
manager, rates and classification center (RCC).

b. Notice of Denial.
The denying official must notify the licensing postmaster in writing,
stating the reasons for denial, and provide a copy of the denial to the entry
post office if it is not the division or licensing post office.  The licensing
postmaster must notify the applicant of the decision and the bases for the
denial.

c. Appeal

(1)
If the application was denied for operational reasons, the applicant may
appeal the denial, within 15 days of its receipt, to the regional director,
operations support.

(2)
If the application was denied because of noncompliance with applicable
eligibility requirements, the applicant may appeal the denial as provided in
133.

144.817 Revocation of Authorization to Enter Metered Mail at Other Than
the Licensing Post Office

a. Reasons.
An authorization under 144.8 may be revoked

(1)
when it has been determined that the authorized entry no longer reduces
postal handling or improves service, or is otherwise not in the best interests
of the Postal Service;

(2)
for nonuse during any consecutive 12-month period; or

(3)
when it has been used in operating any unlawful scheme or enterprise or for
any noncompliance with the regulations governing the use of postage meters.

b. Revoking Official

(1)
Authorizations under 144.82 or 144.83 are revoked by the
field division general manager/postmaster.

(2)
Authorizations under 144.84 and 144.85 are revoked by the
general manager, rates and classification center.

(3)
Any authorization under 144.8 may be revoked by the postmaster of
the licensing post office when it has been used in operating any unlawful
scheme or enterprise or for any noncompliance with the regulations governing
the use of postage meters.

c. Notice.
Notice of revocation must be in writing, stating the reasons for
revocation, with copies to entry office postmasters, the division, and the
licensing post office, as appropriate.

d. Multiple Actions.
Separate revocation actions may be pursued against the meter licensee and
the mailer, when appropriate.

e. Deferral.
If revocation of the entry is for nonuse, and the mailer indicates that use
of the entry is to resume within 90 days from the date of the revocation
notice, revocation may be deferred for a period not to exceed 90 days from the
date of the original notice of revocation.  Following that period, the
licensee must be notified in writing that the proposed revocation is to be
finalized (subject to appeal) or withdrawn, as appropriate.  Meter licenses
are revoked as provided in 144.23.

f. Appeal.
The notice of revocation may be appealed in writing, within 15 days of its
receipt, as provided in 133.

144.82 Option 1: Deposit at Local Area Mail Processing Center (AMPC)

144.821 Eligibility.
Metered mail of any class may be deposited at an entry post office that is
the area mail processing center (AMPC) performing initial originating
distribution for mail deposited at the licensing post office, subject to the
conditions in 144.822.

144.822 Preparation.
Metered mail deposited at an AMPC by authorization under 144.82
must be prepared as specified by the Postal Service.  This preparation may
extend beyond that which is required to qualify for the rate paid for the
mail, and may require the mail to be configured in a manner, and deposited
according to a specific schedule, that enhances postal handling.  Failure to
meet these requirements may be grounds for revocation of the authorization
(see 144.817).

144.83 Option 2: Deposit at Another Post Office (Drop Shipment)

144.831 Eligibility.
Metered mail of any class may be deposited at a post office other than the
licensing post office, subject to the conditions and limitations set forth in
144.832.

144.832 Preparation

a. Additional Requirements.
Metered mail deposited at an entry post office by authorization under
144.83 must be prepared as specified by the Postal Service.  This
preparation may extend beyond that which is required to qualify for the rate
paid for the mail, and may require the mail to be configured in a manner, and
deposited according to a specific schedule, that enhances postal handling.
Failure to meet these requirements may be grounds for revocation of the
authorization (see 144.817).

b. Endorsement.
The ad plate area must contain an endorsement with the words "Mailed at,"
followed by the city and state of the entry post office, and the words "Drop
Shipment Authorization," followed by the unique drop shipment authorization
number issued by the division (see 144.815b).  The endorsement must
be submitted to and approved by the licensing postmaster before drop shipment
mailings may be made.  Drop shipment endorsements authorized prior to March
19, 1989, are no longer valid.

Examples:



MAILED AT
CHICAGO IL
DROP SHIPMENT
AUTHORIZATION 12





DROP SHIPMENT
AUTHORIZATION 48
MAILED AT SPRINGFIELD MA



c. Options.
The drop shipment endorsement placed in the ad plate area on pieces in a
Presorted First-Class mailing may include the "Presorted First-Class" marking,
if that marking is placed directly below the drop shipment endorsement.
Alternatively, the "Presorted First-Class" marking may be provided separately,
not necessarily by meter ad plate, directly below the meter stamp or imprint,
provided it meets the size and legibility requirements of 144.492.

144.84 Option 3: Consolidated Drop Shipment Using a Drop Shipment
Endorsement

144.841 Eligibility

a. General.
Metered matter (bearing postage from meters licensed at different post
offices) may be collected and deposited at another post office, subject to the
conditions and limitations in 144.842 and 144.843.

b. ZIP+4 Barcode.
The majority of the mail that is consolidated for entry under
144.84 must be prepared in a single mailing (with a single mailing
statement) in which all pieces, regardless of rate claimed, bear a correct
ZIP+4 barcode (prepared according to the applicable requirements) and are
physically compatible with automated mail processing equipment.  The entry
post office may reject a mailing if all pieces in that mailing do not bear a
correct ZIP+4 barcode, or if it determines that processing the mail may result
in injury to postal personnel or damage to the matter mailed, to other mail,
or to postal equipment.  A minor portion of the consolidated mail may be
prepared as a second, separate mailing (with its own mailing statement) in
which the mailpieces do not bear a correct ZIP+4 barcode, or are not
compatible with automated processing equipment, but which meet the
requirements that apply to the rates claimed.

c. Service Standard.
When a mailpiece is deposited as part of a consolidated mailing, the
service standard that applies must be the same as or better than that which
would have applied had the mailpiece been entered at the licensing post
office.  The applicant mailer must provide documentation, as part of the
application, that demonstrates compliance with this requirement to the
satisfaction of the Postal Service.  (Typical documentation lists the service
standard that applies to each licensing post office from whose area mail is to
be consolidated and the standard that applies to that mail when it is entered
under 144.84.)

144.842 Additional Authorization Procedures

a. Information.
An application under 144.84 must be submitted by the party who is
to present the consolidated mailing to the Postal Service (i.e., the mailer).
In addition to the information required by 144.814b, the application
must identify the meter licensees whose mail is to be consolidated and the
serial numbers of each licensee's meters.

b. Notice to Licensees.
Upon receipt of a notice of authorization, the mailer must give written
notice to each licensee whose mail is to be consolidated for mailing under the
authorization.  That notice must include a copy of the notice of
authorization, a full explanation of the applicable preparation requirements,
and notice that consolidation of their mail may adversely affect service.
Copies of the notice to each licensee must be provided to the entry office and
licensing office postmasters.

144.843 Preparation

a. Additional Requirements.
Metered mail deposited at an entry post office by authorization under
144.84 must be prepared as specified by the Postal Service.  This
preparation may extend beyond that which is required to qualify for the rate
paid for the mail, and may require the mail to be configured in a manner, and
deposited according to a specific schedule, that enhances postal handling.
Failure to meet these requirements may be grounds for revocation of the
authorization (see 144.817).

b. Endorsement.
Each piece must bear an endorsement that contains the letters "DS,"
followed by the unique 2-digit drop shipment authorization number issued by
the division (see 144.815b), and the words "Mailed at," followed by
the 3-digit ZIP Code prefix of the entry post office.  The endorsement may
also include a date, provided it is the correct date of mailing.  (Inclusion
of the date in this fashion does not relieve the meter licensee of compliance
with the applicable requirements of 144.47.)  The endorsement must
be printed either immediately below the meter impression or in the lower left
corner of the piece, in 8-point or larger type, by computer-driven printer or
any other mechanical means that provides a clear and legible endorsement. The
endorsement must be submitted to and approved by the field division general
manager before drop shipment mailings may be made.

Examples:

DSnn MAILED AT zzz - mm/dd/yy
MAILED AT zzz DSnn - mm/dd/yy
DSnn MAILED AT zzz
MAILED AT zzz DSnn

NOTE:
nn - the unique authorized number issued by the division;

zzz - the 3-digit ZIP Code prefix of the office of entry;

mm/dd/yy - the correct date of mailing, if used.

c. Placement.
Placement of the drop shipment endorsement must not interfere with the
barcode clear zone or any other marking.

d. Other Requirements.
The applicable preparation and documentation requirements that apply to the
rates claimed in the mailing remain unaffected by entry under 144.84.

e. Further Consolidation.
Mail collected from licensees for mailing under 144.84 may not be
further collected or consolidated by any other mailer or consolidator.

144.85 Option 4: Consolidated Drop Shipment Without a Drop Shipment
Endorsement

144.851 Eligibility

a. General.
A mailer (i.e., a party who presents a consolidated mailing to the Postal
Service) may apply to collect metered matter bearing postage from meters
licensed at different post offices and consolidate that matter for deposit at
other entry post offices within that area, subject to the conditions and
limitations set forth in 144.852 through 144.853.

b. ZIP+4 Barcode.
The majority of the mail that is consolidated for entry under
144.85 must be prepared in a single mailing (with a single mailing
statement) in which all pieces, regardless of rate claimed, bear a correct
ZIP+4 barcode (prepared according to the applicable requirements) and are
physically compatible with automated mail processing equipment.  The entry
post office may reject a mailing if all pieces in that mailing do not bear a
correct ZIP+4 barcode, or if it determines that processing the mail may result
in injury to postal personnel or damage to the matter mailed, to other mail,
or to postal equipment.  A minor portion of the consolidated mail may be
prepared as a second, separate mailing (with its own mailing statement) in
which the mailpieces do not bear a correct ZIP+4 barcode, or are not
compatible with automated processing equipment, but which meet the
requirements that apply to the rates claimed.

c. Service Standard.
When a mailpiece is deposited as part of a consolidated mailing, the
service standard that applies must be the same as or better than that which
would have applied had the mailpiece been entered at the licensing post
office.  The applicant mailer must provide documentation, as part of the
application, that demonstrates compliance with this requirement to the
satisfaction of the Postal Service.  (Typical documentation would list the
service standard that applies to each pair of origin/destination 3-digit ZIP
Codes in the consolidated mailing, both if entered at the licensing post
office and if entered as authorized under 144.85.)

144.852 Additional Authorization Procedures

a. Information.
An application under 144.85 must be submitted by the party who is
to present the consolidated mailing to the Postal Service (i.e., the mailer).
The information required by 144.814b must be provided for each post
office at which mail is to be entered under 144.85.  Further, the
application must detail (1) the meter licensees whose mail is to be
consolidated, and the serial numbers of each licensee's meters; (2) the
mailer's method of sortation, documentation, and quality control; and (3) the
mailer's procedures to ensure that all pieces in the consolidated mailing are
entered in such a manner as to meet or exceed the service standards
established for the place from which they originated (see 144.851c).

b. Recommendations.
The field division general manager/postmaster obtains a recommendation from
each field division general manager/postmaster from whose service area mail is
to be collected, and prepares a recommendation to approve or deny the
application.  Each recommendation must consider whether the proposed entries
have adequate resources to process the mail to be deposited, whether the
proposed entries reduce handling, improve service, and otherwise are in the
best interest of the Postal Service.  The completed application, with all
recommendations, must be forwarded to the general manager, rates and
classification center (RCC), in whose service area the mailer is located.

c. Approval.
If the application is approved, the general manager, RCC, must notify the
applicant and issue a unique authorization number to identify the applicant,
according to a sequence of numbers reserved by the RCC for this purpose.  The
general manager must also give written notice to the postmasters of the entry
post offices and to the licensing postmasters who must update each licensee's
file accordingly.

d. Notice to Licensees.
Upon receipt of the notice of authorization, the mailer must give written
notice to each licensee whose mail is to be consolidated for mailing under the
authorization.  That notice must include a copy of the notice of
authorization, a full explanation of the applicable preparation requirements,
and notice that consolidation of their mail may adversely affect service.
Copies of the notice to each licensee must be provided to the entry office and
licensing office postmasters.

