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Implications of USPS Changes to CASS TM Certification Presented by:

Implications of USPS Changes to CASS TM Certification Presented by: Kristi Kanitz, General Manager Flagship Software Ltd. The Current Situation. CASS TM is required to access almost all levels of postal discounts, including First Class Mail Standard Mail Periodical Mail

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Implications of USPS Changes to CASS TM Certification Presented by:

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  1. Implications of USPS Changes to CASSTM Certification Presented by: Kristi Kanitz, General Manager Flagship Software Ltd.

  2. The Current Situation • CASSTM is required to access almost all levels of postal discounts, including • First Class Mail • Standard Mail • Periodical Mail • USPS has been slowly moving to a CASSTM system that makes it more difficult BUT NOT IMPOSSIBLE for Canadian mailers to enter the US market

  3. The CASSTM Cycles • Developers of CASSTM -certified software must re-certify their software each year • These re-certifications periods are called Cycles • We are currently in Cycle K • Cycle L starts August 1, 2007 • This new cycle requires that CASSTM software validates against two additional databases: • Delivery Point Validation (DPVTM) • Locatable Address Conversion System (LACSLinkTM)

  4. Delivery Point Validation (DPVTM): • Database containing over 145 million deliverable addresses in the United States • There are many valid addresses which cannot or do not receive mail • The CASSTM process will mark whether or not an address in the mailing list is actually deliverable • If an address is not deliverable, it cannot receive a ZIP + 4 code

  5. Locatable Address Conversion System (LACSLinkTM) • Database containing addresses converted by local municipalities • Most updates are 911 address conversions from rural to city-style addresses • Also includes municipal renaming or renumbering of streets • Updated address information is provided to the mailer through the CASSTM software

  6. The Problem • DPVTM and LACSLinkTM are considered highly sensitive data files and are encrypted • Because of the sensitivity of the data and the encryption, they are not allowed to be exported from the United States • This is mandated by privacy legislation and Homeland Security

  7. Where does that leave Canadian Mailers? • To continue receiving bulk mail discounts, Canadian mailers MUST continue to use CASSTM - and PAVETM-certified software • Choices: • Discontinue US mailings • Outsource data work to US companies • Access DPVTM and LACSLinkTM remotely • Something else?

  8. Outsourcing data work to US companies • Increase in cost to Canadian mailers • Loss of control over mailings

  9. Outsourcing data work to US companies • Increase in cost to Canadian mailers • Loss of control over mailings Accessing DPVTM and LACSLinkTM remotely • Requires high-speed, secure connection • Slows processing of data files, especially as file size increases • Are software vendors willing and able? • Software pricing issues: Higher prices for international mailers or transaction-based pricing?

  10. The Bottom Line • August 1, 2007 is not the end! • There are vendors willing to supply software with remote access to DPVTM and LACSLinkTM • Make sure you check with your vendor as soon as possible – software must be released by May 1, 2007

  11. Just when you thought it was safe…. • USPS is on a mission to reduce Undeliverable-As-Addressed (UAA) mail • Their next step is ensuring names match addresses • Currently Move Update is required to qualify for First Class discounted rates • There is momentum within USPS to: • Extend Move Update requirements to all classes of mail • Make NCOALink a mandatory CASS requirement

  12. Move Update • Mandatory since 1997 for First Class discounted mail • Certification that names and addresses have been checked for change of address (several methods available including NCOALinkTM) NCOALinkTM • Equivalent to the Canadian NCOA process • Very strict licensing requirements

  13. HOT OFF THE PRESS! USPS issued a clarification to licensing restrictions November 20, 2006: • USPS position: international mailers MAY access databases, including NCOALinkTM , remotely • Affected USPS databases must not leave the US • Processing of mailing lists must be done on a “backend” located within the US and updated lists can be returned to Canada • NCOALinkTM licensees (software vendor or service provider) must request written permission for each customer from USPS

  14. To make Move Update or NCOALinkTM mandatory for CASS certification, USPS must provide only an 18 month lead-time. NAMMU needs to be vigilant and continue a dialogue with the USPS to ensure Canadian mailers have fair access to the US market.

  15. Possible Action: • Work through UPU to allow access to the territorially restricted databases? • Lobby USPS to prevent Move Update or NCOALinkTM from becoming mandatory? • In the meantime, work with software vendors to ensure remote access to mandatory databases is available at a fair price • Other options?

  16. Q & A

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