Title
LTFRB policy on bus sale, transfer, substitution
Law
Ltfrb Memorandum Circular Number 2007- 006
Decision Date
Feb 12, 2007
The LTFRB issued a memorandum circular to clarify the policies regarding petitions for sale and transfer, as well as dropping and substitution of units under the Bus Rationalization Program, allowing certain exceptions and prohibiting simultaneous filing of petitions.

Questions (LTFRB MEMORANDUM CIRCULAR NUMBER 2007- 006)

It clarifies and reconciles previously conflicting LTFRB policy issuances on the acceptance and filing of petitions/applications involving (1) sale and transfer of CPCs, and (2) dropping and substitution of units, particularly in relation to the Bus Route Rationalization Program and other related programs.

It temporarily held in abeyance the acceptance of petitions/applications for sale and transfer and dropping and substitution of buses under the Bus Route Rationalization Program until that program was finished.

Acceptance could be made for units included in Tables 1, 2, and 3 of the Bus Rationalization Program and/or units already approved under the Bus Rationalization Program.

It extended the exceptions on acceptance of petitions for dropping and substitution of PUB units, specifically maintaining the requirement that substitute units are brand new.

It purportedly clarified that it only lifted the suspension for dropping and substitution (with the condition of brand-new substitutes), but not for petitions for sale and transfer of CPCs.

They prohibited (1) petitions/applications for sale and transfer of CPCs under the Bus Rationalization Program, and (2) petitions/applications for sale and transfer with dropping and substitution of unit/s for all types of denomination (e.g., PUB bus-related authorizations beyond only bus rationalization units).

It provided that no application for dropping and substitution shall be accepted during the segregation program for CPC.

They may be accepted if the substitute units are brand new.

If the CPC is subject of an Application for Voluntary Segregation of any authorized PUB Unit, substitution of the unit subject thereof shall not be allowed during the period of the Voluntary Segregation Program.

Acceptance is allowed if the units are included in Tables 1, 2, and 3 of the Bus Rationalization Program or if the units are already approved under the Bus Rationalization Program.

No. It states that petitions for sale and transfer, dropping and substitution may be processed at any time during the validity of the CPCs.

It clarifies that petitions for sale and transfer with dropping and substitution of units for all other types of denomination (PUJ, TAXI, TH, etc.) are allowed (i.e., not covered by the earlier prohibitions that were specifically clarified/reconciled).

It supersedes any and all issuances inconsistent with its clarified policy on sale/transfer and dropping/substitution, including the earlier conflicting MCs cited in the text (MC 2003-005, MC 2003-024, MC 2005-047, MC 2005-049, and the related provisions insofar as inconsistency exists).

It becomes effective fifteen (15) days after its publication in a newspaper of general circulation or in the Official Gazette.

It operates as a condition for allowing dropping and substitution petitions under the Bus Rationalization Program; without brand-new substitutes, acceptance would not align with the clarified exception.


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