CODIFICATION: In § 36.2, paragraphs (b) through (e) were redesignated paragraphs (c) through (f) and a new paragraph (b) was added, 23 F. R. 5994, Aug. 7, 1958.

§ 36.3 Application. Application for a special cancellation must be submitted in writing to the postmaster at the post office where the cancellation is to be used. The application must provide the following information:

[Introductory text amended, 23 F. R. 8938, Nov. 15, 1958]

(c) Name of post office or post offices where use of cancellation is desired. [Paragraph (c) amended, 21 F. R. 5444, July 20, 1956]

(f) Name and address of sponsor who will pay the cost of special die hub. Postmasters at first- and second-class post offices will forward applications to the Postal Services Division, Bureau of Operations, Post Office Department, Washington 25, D. C. Postmasters must furnish with the applications the name of the manufacturer and model of the cancelling machine in use at their office; and must be certain to specify whether the machine is new or old (square or round type ring die) when applicable. Postmasters at third- and fourth-class post offices will inform applicants that special cancellations may not be used at these offices.

[Paragraph (f) amended, 23 F. R. 8938, Nov. 15, 1958]

Prior Amendments

1958: 23 F. R. 5994, Aug. 7.

$ 36.5 Use and disposition. Special die hubs are used at post offices in place of regular hubs for canceling postage stamps on letter mail. In addition to general use on locally mailed letters, special cancellations may be applied to philatelic envelopes submitted by mail. These envelopes must be addressed and must bear postage at the first-class rate. The special hub will be disposed of as directed by the Postal Services Division, Bureau of Operations. No hub will be turned over to a sponsor after use.

CODIFICATION: Former § 36.5 was redesignated § 36.6 and a new $36.5 was added, 23 F. R. 5994, Aug. 7, 1958.

Sec.

37.1

37.2

Part 37-Prepayment and

Refunds [Revised]

Prepayment of postage required.
Refunds.

§ 37.1 Postage payment-(a) Prepayment required. Postage on all mail must be fully prepaid at the time of mailing, with the following exceptions:

(1) Business reply mail, see § 21.2 (c) of this chapter.

(2) Federal Government and free mail, see Part 27 of this chapter.

(3) Certain mail for the blind, see Part 28 of this chapter.

(4) Mail sent by members of the Armed Forces, see § 21.5 of this chapter.

(5) Letters and printed matter carried or delivered by vessels not regularly employed in carrying mail, see § 21.6 of this chapter.

(6) Keys and identification devices returned to owners, see § 24.2 of this chapter.

(b) Insufficient prepayment. (1) When mail of any class, including that for which special service is indicated, is received at either the office of mailing or the office of address without any postage or without sufficient postage it shall be:

(i) Marked to show the total deficiency of postage and fees plus a short-paid charge of 5 cents.

(ii) Dispatched promptly to the addressee by means of the regular or special service indicated.

(iii) Delivered to addressee upon payment of the charges marked on the mail. As an exception, when quantity mailings of ten or more pieces are received at the office of mailing without any postage or without sufficient postage, the mailer shall be notified, without charge, preferably by telephone, in order that the postage charges may be adjusted before the mail is dispatched.

(2) When the addressee refuses to pay the deficient postage and 5 cent shortpaid charge, and when the mail is undeliverable for any other reason, it shall be handled as follows:

(i) First-class mail, including airmail, bearing a return address shall be returned to the sender and delivered upon payment by him of the deficient postage and a short-paid charge of 5 cents.

(ii) Mail other than first class bearing a return address shall be returned to the sender and delivered upon payment by him of the total of the deficient postage, the forwarding postage, the return postage, and a short-paid charge of 5 cents.

(iii) All mail which does not bear a return address shall be disposed of in accordance with § 48.6 of this chapter. [23 F. R. 4601, June 24, 1958]

Prior Amendments

1956: 21 F. R. 5444, July 20.

§ 37.2 Refunds-(a) Conditions that justify refund. (1) When postage or special service fees have been paid on mail for which no service is rendered, or collected in excess of the lawful rate, a refund may be made.

(2) The Postal Service is considered to be at fault and "no service is rendered" in cases involving returned articles improperly accepted in both domestic and international services because of excess size or weight.

(3) Mailers who customarily weigh and rate their mail are expected to be familiar with basic requirements and the Postal Service is not considered to be at fault when these mailers are required to withdraw articles from the mail prior to dispatch.

(4) See paragraphs (c) (2) and (f) of this section for special provisions for refunding the postage value of unused meter stamps.

(b) Application. Submit an application on Form 3533 (Application and Voucher for Refund of Postage and Fees), in duplicate, to the postmaster together with the envelope or wrapper, or the portion thereof having names and addresses of sender and addressee, canceled postage and postal markings, or other evidence of payment of the amount of postage and fees for which refund is desired.

(c) Amount of refund allowable. (1) Refund of 100 percent will be made:

(i) When the Postal Service is at fault.

(ii) For the excess when postage or fees have been overpaid the lawful rate.

(iii) When service to the country of destination has been suspended.

(iv) When postage is fire-scarred while in the custody of the Postal Service, including fire in letter box, and the mail is returned to sender without service.

(v) When special-delivery stamps are erroneously used in payment of postage, and the mail is returned to the sender without service.

(vi) When fees are paid for special delivery, special handling and certified mail, and the article fails to receive the special service for which the fee has been paid.

(vii) When surcharges are erroneously collected on domestic registered mail or collected in excess of the proper amount, or represented by stamps affixed to matter not actually accepted for registration.

(viii) For fees paid for return receipts or for restricted delivery when the failure to furnish return receipt or its equivalent, or erroneous delivery, or nondelivery, is due to fault or negligence of Postal Service.

(ix) For annual bulk mailing fee when no bulk mailings of third-class matter are made during the year for which the annual fee has been paid.

(x) When customs clearance and delivery fees are erroneously collected.

(xi) When fees are paid for registry or insurance service on mail addressed to a country to which such services are not available, unless claim for indemnity is made.

(2) Refund of 90 percent shall be made:

(i) When it is determined that there is no fault or negligence attributable to the Postal Service.

(ii) When complete and legible unused meter stamps are submitted within 1 year from the dates appearing in the stamps. See paragraph (f) of this section.

(3) When mail is returned at the request of the sender or for a reason not the fault of the Postal Service, any difference between the amount paid and the appropriate domestic air or surface rate chargeable from mailing office to interception point and return will be refunded.

(4) On articles prepaid at airmail rates but actually transported by surface means, the difference between the postage computed at the airmail and surface rates is refundable. The fact that surface transportation was used must be confirmed.

(5) One-half of an original secondclass application fee will be refunded if the application is not approved. See § 22.3 (e) of this chapter.

(d) Unallowable refunds. No refund will be made:

(1) For an application fee to use permit imprints.

(2) For registered,

insured,

and c. o. d. fees after the mail has been accepted by the post office even though it is later withdrawn from the mailing post office.

(e) Meters. The postage value of unused units set in a meter surrendered to the post office to be checked out of service may be refunded or, if desired, an equivalent amount will be transferred to another meter used by the same license holder. If the meter is withdrawn from service because of faulty mechanical operation, a final postage adjustment or refund may be withheld pending report of the meter manufacturer of the cause of faulty operation. If the meter is damaged by fire, a refund or transfer of postage will be made only if the registers are legible, or can be reconstructed by the meter manufacturer.

(f) Meter stamps-(1) What to submit. (i) Unused meter stamps that are complete and legible accompanied by an application, in duplicate, on Form 3533 within 1 year from dates appearing in the stamps, will be considered for refund. Arrange the stamps so that all of one denomination are together.

(ii) If portion of stamp is printed on one envelope or card and remaining portion on another, fasten the two together to show that the two portions represent one stamp.

(iii) Meter stamps printed on labels or tapes which have not been stuck to wrappers or envelopes must be submitted loose.

(iv) Refunds are allowable for stamps on metered reply envelopes only when it is obvious that an incorrect amount of postage was printed thereon.

(v) Submit separately with statement of facts, envelopes or address portions of wrappers on mail returned to sender from the mailing office marked "No such post office in State named," "Returned for better address," or "Received without contents," indicating no effort to deliver was made.

(2) What not to submit. Do not submit:

(1) Meter reply envelopes or cards paid at the proper rate of postage.

(ii) Meter stamps printed on labels or tape which have been removed from wrappers.

(iii) Meter stamps without the name of the post office and State.

(iv) Meter stamps without the date printed on tape. (See § 33.4 (f) of this chapter.)

(v) Meter stamps printed on mail which was dispatched from the mailing post office in regular course and returned to sender as undeliverable, including nixies marked No such post office in State named.

(vi) Meter stamps or mail addressed for local delivery and returned to sender after directory service was given or effort was made to deliver.

CODIFICATION: § 37.2 was revised, 22 F. R. 3071, May 1, 1957. Subsequently, in paragraph (a), subparagraph (3) was deleted and subparagraphs (4) and (5) were redesignated (3) and (4), respectviely, 22 F. R. 10112, Dec. 17, 1957.

Prior Amendments

1956: 21 F. R. 2685, Apr. 26; 21 F. R. 5444, July 20.

Part 41-Service in Post Offices Sec.

41.8 Post office boxes. [Amended]

§ 41.3 Post office boxes.

(b) How to rent a box. Submit an application for post office box, Form 1093, to the postmaster. When the application is approved by the postmaster, a box will be assigned.

(c) Rental rates-(1) Main post offices-(i) Office groups. The following nine groups of post offices are established for purposes of setting rental rates for call and lockboxes. The factors-such as the postmaster's salary level-to be applied in determining the proper schedule of charges in installations that were in operation on or before July 1, 1957, will be those that were in effect on July 1, 1957, regardless of whether or not

changes have been made in such factors since that date. The factors to be applied for all units that have been placed in operation after July 1, 1957, will be those in effect on the opening date of the installation.

Group A. Post offices offering city delivery service and with the position of the postmaster ranked in salary levels 16, 17, 18, or 19.

Group B. Post offices offering city delivery service and with the position of the postmaster ranked in salary levels 14 or 15. Group C. Post offices offering city delivery service and with the position of the postmaster ranked in salary levels 12 or 13.

Group D. Post offices offering city delivery service and with the position of the

Call boxes

Size No.

postmaster ranked in salary levels 10 or 11. Group E. Post offices offering city delivery service and with the position of the postmaster ranked in salary levels 7, 8 or 9.

Group F. Post offices not offering city delivery service and with the position of the postmaster ranked in salary levels 8, 9 or above.

Group G. Post offices not offering city delivery service and with the position of the postmaster ranked in salary level 7.

Group H. Post offices not offering city delivery service and with the position of the postmaster ranked in salary levels 5 or 6. Group I. All fourth-class post offices. (ii) Rate schedule. The quarterly box rent schedule for main post offices is as follows:

Rate per quarter

Lock boxes and drawers

Size No.

(2) Stations and branches-(i) Stations and branches of first-class offices. (a) Box rental rates at stations and branches of post offices with gross annual postal receipts of $1 million or more are established by the Bureau of Finance. Postmasters of those offices will be furnished individual rate schedules.

(b) With the exception of rural stations or certain stations and branches primarily servicing academic institutions, box rental rates at station and branches affiliated with post offices having less than $1 million in gross annual postal receipts are based on the following:

(1) At classified stations and branches with the position of the superintendent ranked in salary levels 9 or above the rates are those prescribed in the box rent schedule for the first group below that of the main office.

(2) At classified stations and branches with the position of the superintendent ranked in salary levels 8 or below the rates are those prescribed in the box rent schedule for the second group below that of the main office.

(3) All contract stations will charge those rates prescribed in the box rent schedule for the second group below that of the main office.

(c) All rural stations will charge the fees prescribed in the box rent schedule for Group I post offices.

(d) Stations and branches with box equipment owned or supplied by an academic institution establish box rental charges in accordance with subdivision (iii) of this subparagraph. Stations and branches primarily servicing academic institutions with lockbox equipment not owned or supplied by an academic insti

tution will charge regular applicable box rental rates.

(ii) Stations and branches of second and third-class offices. (a) With the exception of rural stations or certain stations and branches primarily servicing academic institutions, stations and branches of second- and third-class post offices will charge the same rental fees as those charged at the main office.

(b) All rural stations will charge the fees prescribed in the box rent schedule for Group I post offices.

(c) Stations and branches with box equipment owned or supplied by an academic institution will establish box rental charges in accordance with subdivision (iii) of this subparagraph. Stations and branches primarily servicing academic institutions with lockbox equipment not owned or supplied by the academic institution will charge regular applicable box rental rates.

(iii) Stations and branches servicing academic institutions. The following applies only to stations and branches pri

marily servicing academic institutions when the box equipment is owned or supplied by the academic institution:

(a) When box equipment is separated from designated post office quarters and the mail is placed in the boxes by personnel employed by the school, box rental fees, if any, are subject to the control of the academic institution and the revenues therefrom, if any, are not considered as postal funds.

(b) When box equipment is not separated from designated post office quarters or the mail is not placed in the boxes by personnel employed by the academic institution, call and lockbox charges are based on the following schedule and all revenues therefrom shall be considered as postal funds. Fees may be paid on an annual basis or on either a semester or quarterly basis to coincide with the system used by the school. Box rental fees applicable during the summer session of schools operating on a semester basis will be one-half the regular semester rates.

(3) Fees applicable under special circumstances. When larger size boxes are not available or cannot be provided to handle the average daily mail volume of a patron, arrangements may be entered into by postmasters to utilize bags or other containers in lieu of lockboxes. The fee for service will be equivalent to the rental that would be collected if the patron had been provided with the largest size box in the installation.

(d) Payment of box rent. Box rent must be paid in advance. A receipt on Form 1538 is given for each payment. Box rent may be paid as follows:

(3) Improper matter. Only matter which has passed through the mail, or official postal notices, may be placed in a post office box. (See paragraph (a) of this section).

(Interprets or applies 62 Stat. 784; 18 U. S. C. 1725)

CODIFICATION: § 41.3 was amended in the following respects:

1. Paragraph (b) was amended, 22 F. R. 10112, Dec. 17, 1957.

2. Paragraph (c) and the introductory text of paragraph (d) were amended, a new paragraph (e) was added, and former paragraphs