(a) The director, transportation division, after approval by the Highway Transportation Branch, Bureau of Transportation may annul any contract motor vehicle contract for failure by the contractor or any of his employees to perform service or to furnish equipment in accordance with provisions of the advertisement, or for reasons stated in § 521.4(d) (3) of this chapter.

(b) The director, transportation division, may discontinue service under a contract motor vehicle contract whenever public interest requires discontinuance by allowing, as full indemnity to the contractor, as extra pay one-twelfth of the per annum rate, unless the contract has been terminated for cause.

(a) Certification. Postmasters or other designated installation heads will use Form 2640 to certify performance of contract motor vehicle service.

(b) Contract payments. Postal data centers must pay contract motor vehicle contractors at the close of each accounting period upon certification that service has been performed. Payment may not be made without an order awarding or renewing contract.

(c) Readjustment of compensation. See Part 526 of this chapter.

§ 525.7 Screening contractors, subcontractors, and certain employees.

See § 521.8 of this chapter.

It is unlawful for a Federal Official to encourage a claim against the Government. The request must be instituted by the contractor, subcontractor, or messenger. Preferably, it should be written; however, verbal requests may be accepted to initiate action. Immediate written record shall be made of any verbal requests, particularly regarding date. All requests received by postmasters, whether written or verbal, shall be immediately forwarded to the director, transportation division. § 526.3 Cost statement- -contract service.

(a) Furnishing forms. When requests are received by the director, transportation division, from a contractor or through a postmaster, he will furnish the contractor, subcontractor, or mail messenger, three copies of Form 5478, Cost Statement Contract Service, under cover of Form 5478-A, Transmittal Letter and Instructions for Completing Form 5478.

(a) Air carrier. A citizen or company of the United States authorized by the Civil Aeronautics Board to engage in interstate air transportation.

(b) Interstate air transportation. The carriage of mail by aircraft between a place in any State of the United States, or the District of Columbia, and a place in any other State of the United States, or District of Columbia; or between places in the same State of the United States; or between places in the same territory or possession of the United States, or District of Columbia; or between places in any State of the United States, or District of Columbia, and a place in Puerto Rico or U.S. Virgin Islands or terminal points in Canada; or between or within Puerto Rico and the U.S. Virgin Islands.

(c) Mail. United States or foreign transit airmail.

§ 531.3

Air carriers' responsibilities.

(a) For transporting mail. Air carriers are required to transport and transfer mail as ordered on dispatch documents and related coding on pouch labels.

(b) For giving mail priority. Air carriers are required to give the following priority to mail:

(1) From each point served, the normal mail load for each trip must be given priority of transportation over all other traffic on each trip designated for transportation of mail.

(2) The normal mail load for each trip is determined, at the option of the air carrier, for each day of the week on (i) basis of the mail tendered to that trip on the same day of the week for the 5 previous weeks or (ii) basis of the weight of mail tendered to the trip on Tuesday, Wednesday, Thursday, and Friday of the preceding week. When a holiday occurs on one of those days, substitute the same day of the second previous week. In either method of computing the average, exclude mail tendered under abnormal conditions. When an air carrier elects to use one of the two methods it must continue to use the selected method on Form 2760, Air Carrier's Reply-Refusal/ Removal of Airmail.

(3) No part of the mail load, either local boarding or through mail, will be displaced when a trip requires additional fuel.

(4) Mail in excess of normal mail load must be given priority over all other traffic except confirmed revenue passengers and their baggage. Mail aboard a plane must not be removed to accommodate local boarding passengers or extra fuel.

(5) Intra-Alaska air carriers must provide the same priority for normal mail flow as any certificated air carrier. When it is not possible for an air carrier to move all available mail above normal out of gateway cities because of unusual heavy local mailings or peak volumes of mail received by boat or truck, the priority of movement is further defined in this order-airmail, first-class, newspapers, perishable parcels, and then bulk mail. Subsequent trips of a carrier will continue this priority of movement until the peak volume is transported.

(6) In loading, unloading, transferring mail to connecting planes, and delivering

mail to the designated postal representative, mail must be given preference over all other cargo.

(c) For protecting mail. (1) Air carriers are held strictly responsible and accountable for mail in their custody. Mail must not be left exposed on trucks or otherwise subjected to depredation or weather. In transporting mail between point of exchange with the post office and aircraft ramp positions, carriers must provide adequate and suitable vehicles that will (i) prevent mail from being lost or dropped en route and (ii) protect mail from depredation and weather. Take every precaution to protect mail from fire. Mail handlers must be identified by badges or distinguishing caps or clothing or must be prepared to exhibit their airline identification cards on request of postal employees concerned.

(2) When an air carrier discovers a pouch damaged so that loss or depredation could result, the air carrier will turn in the pouch to the first possible postal unit for repouching and redispatch. Form 2734, Airmail Exception Record, must accompany the damaged pouch to the postal unit.

(d) For cooperating with postal inspectors. Postal inspectors are special representatives of the Postmaster General. All employees of air carriers engaged in transportation of mail are required to cooperate with and assist inspectors in performing their duties which may include opening pouches and sacks and examining mail therein.

(e) For providing quarters—(1) At air stops. When requested to do so by the Department, air carriers must furnish adequate and suitable quarters at air stops as necessary for the receipt, dispatch, distribution, and transfer of mail, unless and until otherwise provided by the Department.

(2) Location of quarters. Quarters must be located to provide expeditious handling of mail to and from planes and conveniently accessible to mail-carrying vehicles.

(3) Requests for changes in quarters. Requests by air carriers or officials of the postal service for changes in existing quarters or establishment of new quarters must be made through the transportation division involved.

(f) For obtaining routing from postal units (1) Interrupted transportation.

Any carrier in possession of mail on which he does not have proper routing knowledge will immediately request the necessary information from the local postal unit.

(2) Overload situations. When all available mail cannot be transported on an intended flight, the air carrier with the overload situation must promptly inform postal personnel at the airport mail facility or air stop post office and obtain instructions concerning priority to be given in loading mail that can be accommodated. Anticipate potential overload situations as much in advance of flight time as possible. Off-loading of mail already on board in order to carry mail for destinations of greater postal advantage will not be required if this would entail unreasonable delay in departure of the flight.

(g) For preparing and submitting schedules (1) Preparation. Air carriers shall prepare schedules as follows:

(i) Arrange schedules north to south and east to west, with flights listed in chronological order left to right.

(ii) Show on related schedules for each route all restrictions on the transportation of mail.

(2) Submission. (i) Air carriers shall submit with proposed new schedules a brief explanatory letter or cover sheet detailing proposed changes.

(ii) Copies of changes to existing schedules must be filed with the Post Office Department, Air Transportation Branch, Bureau of Transportation, Washington, D.C. 20260, not less than 10 days prior to effective date. In the case of major schedule changes, carriers are requested to give not less than 20 days notice in order that the Department may have sufficient time to process these schedule changes. The date of filing will be the date of receipt by the Air Transportation Branch.

(iii) Air carriers shall distribute copies of proposed new schedules or changes to existing schedules as follows:

(a) Two copies to Air Transportation Branch. Send related ADP cards to Director, Schemes and Routing Branch, Bureau of Transportation, Post Office Department, Washington, D.C. 20260.

(b) One copy to transportation division in each region concerned.

(c) States-Alaska and Intra-Alaska air carriers must send one copy to the

Director, Transportation Division, Post Office Department, Post Office Box 9000, Seattle, Wash. 98109.

(3) Designation of service. The transportation division will advise the Air Transportation Branch of all flights that are not needed for the transportation of mail. The Air Transportation Branch will notify the air carriers of flights designated for transportation of the mail.

(h) For answering correspondence. Air carriers must answer promptly all correspondence from officials of the postal service. Correspondence concerning operation of the Alaskan airmail service must be channeled through the Regional Director, Post Office Department, Seattle, Wash. 98124.

§ 531.4 Flight operations.

(a) Scheduled operations—(1) Maintaining schedules. Air carriers will operate designated flights as shown in filed schedules except where prevented from doing so by weather or other causes beyond their control.

(2) Off schedule operations. In the event of an operation other than as shown by published schedules, the carrier will be responsible for notifying all on-line postal units as soon as possible, except that advice need not be given of delays of less than 30 minutes.

(b) Originating sections, resumed flights, and delayed operations. Delayed scheduled trips may operate with available mail from the initial terminal or intermediate points. When a scheduled trip has been canceled at the initial terminal or at some intermediate point, a section may be originated at any intermediate point on the route.

(c) Omissions of service. If a scheduled stop will not be made by a trip, the air carrier must immediately notify the local postal representative. If service is to be suspended for 1 week or more, the air carrier must immediately notify the Air Transportation Branch, Bureau of Transportation, Washington, D.C. 20260; the directors, transportation divisions, in the regions concerned; and the postal units concerned. The same offices must be notified when service is to be resumed.

(d) Emergency trips and extra sections. Emergency trips and extra sections operated by air carrier may be used for transportation of mail. It may

be placed on the plane at an unscheduled stop when offered for dispatch by the local postal representative, except that mail will not be accepted if the air carrier is not authorized to serve that city.

(e) Holding orders. In unusual situations, the Domestic Transportation Division, Bureau of Transportation, may require the holding of planes at junction points for the connection of mail. If any air carrier desires to take exception to a holding order, a complete statement giving the particulars will be submitted by the air carrier promptly to the Domestic Transportation Division.

(a) Delivery to air carriers-(1) Authorized location. Mail for outgoing trips shall be delivered to the air carrier at the time and place authorized by the director, transportation division.

(2) Dispatch lists required. (1) The postal unit delivering mail to air carriers shall complete Form 2729, Weekly Summary of Airmail Dispatched, showing weight of mail for each destination.

(ii) On receipt of mail from the local postal unit, air carrier will be responsible for verifying (a) the piece count of mail with those related entries on the dispatch list and (b) that all of the mail is destined for points on his system, or is coded for transfer at a point served by his company.

(iii) Mail received from mail messengers or vehicle service at airports without a mail facility must correspond with mail listed on copy of Form 2729. If pouches are listed but not received or if mail is received but not listed, notify the local dispatching office at once so that office can correct the related original Form 2729. Advise messenger of any discrepancy.

(iv) In the Intra-Alaskan Service, Form 2713-A, Alaskan Airmail Dispatch Record, is used instead of Form 2729. At non-post-office points on Alaskan routes where it has not been possible to arrange for preparation of Form 2713-A, the air carrier shall prepare Form 2713-A and make claim for service in the usual manner.

(b) Direct transfer between planes(1) Carrier responsibility. Carriers must make transfers according to service ordered on Form 2729 by the dispatching

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postal unit and as shown on pouch labels. To facilitate transfers, carriers are responsible for concluding mutually agreeable local arrangements regarding point of exchange between carriers. These local arrangements are subject to approval by the transportation division to assure that they are adequate for postal needs. In addition, carriers shall comply with the following:

(i) Arriving (delivering) carriers:

(a) All transfers are based on normal operations and, under normal conditions, should be made as authorized.

(b) When late, the arriving carrier shall ascertain whether the intended connection can be made. If the connection cannot be made, the arriving carrier will obtain new routing instructions from local postal personnel; prepare Form 2734, Airmail Exception Record; verify mail with related entries on Form 2734, and deliver the mail to an alternate carrier, or to a postal representative, as instructed.

(ii) Departing (receiving) carriers:

(a) A departing carrier, due to receive transfer mail from an incoming carrier, shall inform his ramp personnel of any delays in scheduled departure so that scheduled transfers may be maintained when the minimum transfer time is available regardless of arrival time of the incoming trip.

(b) The receiving carrier must accept mail tendered by transfer up to the actual departure time of the intended flight, for loading when possible, or for further disposition, unless the mail is not properly coded on pouch label or is not routed for delivery or transfer at a point on its routes. When an irregularity occurs and Form 2734 is presented with the mail by the delivering carrier, the receiving carrier must verify mail with related Form 2734.

(c) After acceptance of transferred mail, if the trip of the receiving carrier to which the mail was routed (1) is delayed more than 1 hour, (2) is canceled, or (3) for any other reason cannot provide the ordered service, the receiving carrier shall obtain new routing instructions from local postal personnel for transferring the mail as required with Form 2734.

(2) Failures to transfer. Postal personnel shall prepare Form 2759, Report of Irregular Handling of Airmail, to re

port failures to transfer mail to intended connections. All pertinent facts relating to actual arrival and departure times of trips involved must be shown. If the prescribed connection time was available and responsibility for failure to connect the mail cannot be conclusively established, fines may be assessed against both carriers for failure to cooperate in providing proper service.

(c) Delivery to postal representative. Upon arrival of the plane at the stop point, air carrier representatives must immediately unload the mail and deliver it to the authorized postal representative at such point as may be designated. Maximum unloading time may be specified by the transportation division.

(d) Disposition of mail-canceled or irregular flights. (1) When a trip is to be canceled at the initial terminal or any point en route, the air carrier must promptly notify the local postal officials concerned. (Dispatch forms covering mail not enplaned must be voided if no mail is dispatched.)

(2) Disposition of mail will be in accordance with instructions of the local postal unit. If unable to obtain instructions, the air carrier will reroute the mail on the basis of the best available information. The air carrier must observe current procedures in preparing necessary forms to accomplish any rerouting and to provide for the accounting adjustments required.

(3) When necessary to transport mail to the local post office or railroad station, available regular scheduled trips of the mail messenger or vehicle service may be used. Air carriers will not be required to transport to the post office local destination mail received from trips operating off schedule. However, air carriers are responsible for transporting to the post office or railroad station, as directed. local origin mail being returned or through mail received from canceled trips, mail dispatched to the airport for a trip that overflies the local air stop, and mail dispatched to the airport for a trip that is to overfly a schedule downline air stop.

(4) When irregular operations occur, dispatch airmail to best advantage. If two carrier routing has advantage over holding for single carrier, use the two carrier dispatch.