---
kind: "section"
citation: "39 C.F.R. § 3040.221"
title: "39"
number: "3040.221"
heading: "Additional supporting justification for negotiated service agreements."
url: "https://uscodex.org/cfr/39/3040.221"
---

# §3040.221. Additional supporting justification for negotiated service agreements.

- (a) Each request shall also include the items specified in [paragraphs (b) through (j)](#b..j) of this section.
- (b) **A copy of the negotiated service agreement.**
- (c) **The planned effective date(s) of the planned rates.**
- (d) The identity of a responsible Postal Service official who will be available to provide prompt responses to requests for clarification from the Commission.
- (e) A statement identifying all parties to the agreement and a description clearly explaining the operative components of the agreement.
- (f) Details regarding the expected improvements in the net financial position or operations of the Postal Service (39 U.S.C. [3622(c)(10)(A)(i)](/usc/39/3622.md?p=c-10-A-i) and [(ii)](/usc/39/3622.md?p=c-10-A-ii)). The projection of the change in net financial position as a result of the agreement shall be based on accepted analytical principles. The projection of the change in net financial position as a result of the agreement shall include for each year of the agreement:
  - (1) The estimated mailer-specific costs, volumes, and revenues of the Postal Service absent the implementation of the negotiated service agreement;
  - (2) The estimated mailer-specific costs, volumes, and revenues of the Postal Service which result from implementation of the negotiated service agreement;
  - (3) An analysis of the effects of the negotiated service agreement on the contribution to institutional costs from mailers not party to the agreement;
  - (4) If mailer-specific costs are not available, the source and derivation of the costs that are used shall be provided, together with a discussion of the currency and reliability of those costs and their suitability as a proxy for the mailer-specific costs; and
  - (5) If the Postal Service believes the Commission's accepted analytical principles are not the most accurate and reliable methodology available:
    - (i) An explanation of the basis for that belief; and
    - (ii) A projection of the change in net financial position resulting from the agreement made using the Postal Service's alternative methodology.
- (g) An identification of each component of the agreement expected to enhance the performance of mail preparation, processing, transportation, or other functions in each year of the agreement, and a discussion of the nature and expected impact of each such enhancement.
- (h) Details regarding any and all actions (performed or to be performed) to assure that the agreement will not result in unreasonable harm to the marketplace ([39 U.S.C. 3622(c)(10)(B)](/usc/39/3622.md?p=c-10-B)).
- (i) A discussion in regard to how functionally similar negotiated service agreements will be made available on public and reasonable terms to similarly situated mailers.
- (j) Such other information as the Postal Service believes will assist the Commission in issuing a timely determination of whether the requested changes are consistent with applicable statutory policies.

## Notes

### Source

Source: 85 FR 81138, Dec. 15, 2020, unless otherwise noted.

### Authority

Authority: 39 U.S.C. 503; 3622; 3631; 3642; 3682.

### Source

Source: 72 FR 63698, Nov. 9, 2007, unless otherwise noted. Redesignated at 85 FR 9615, Feb. 19, 2020.