QuestionsQuestions (CDA Resolution NO. 233, s.1993)
The text states that under Executive Order No. 95 (s. 1993), CDA is designated as the lead agency mandated to coordinate all activities of government agencies with cooperative programs and projects, and CDA is the central registering agency of all types of cooperatives.
Registration is the formal acquisition of juridical personality through CDA’s issuance of a certificate of registration. Accreditation is the OTC Board’s approval of the organization of the transport cooperative, which must occur prior to CDA registration (or later, if the cooperative was already registered before the guidelines), and it entitles the cooperative to DOTC/OTC assistance, rights, and privileges.
Endorsement is the favorable consideration by the proper franchising agency (e.g., LTFRB, MARINA, CAB, or NTC) to support the application for CDA registration of a transport/telecom cooperative. It is not an automatic grant of a franchise or CPCN, which requires a separate legal act after compliance with the Public Service Act requirements.
The text explains that public service cooperatives must secure favorable endorsement from the appropriate franchising agencies prior to their registration with CDA, consistent with Art. 97 of R.A. 6938 and these joint guidelines.
Section 2 provides that any group of persons may organize a cooperative for public land, water, or air transportation services, with membership composed of investors/operators, drivers, pilots, ship and airplane crews, allied workers, and in appropriate cases, commuters or users.
Investors/operators preferably shall not have more than five (5) units individually owned, whose franchise and management shall be transferred/shared with the cooperative; if an operator-member acquires more than five (5) units during membership, they cease being regular members and are treated as associate or preferred members.
A minimum of fifty (50) members is required upon organization, with at least fifteen (15) licensed drivers. The representation of licensed drivers plus allied workers in the board must not be less than 30% of the total number of directors at any time.
For shuttle and trucking services, a lesser number of driver-members is allowed, corresponding to two drivers/mechanics to every vehicle owned/operated.
At least 25 units ready for operation for jeepney, taxi, or tricycle if individually owned by members (subject to exceptions). The addendum also states minimums if the OTC allows lesser numbers: not less than 5 units for taxi and jeepney, and 10 units for tricycle.
If the cooperative is to operate bus service, the minimum number of units shall be ten (10), whether individually owned by operator-members or titled and owned in the name of the cooperative.
For truck hauling services: at least one (1) unit if owned in the name of the cooperative, or five (5) units if individually owned by operator-members. For shuttle services: minimum of two (2) jeepneys/vans/minibuses cooperatively owned for members’ primary use, or one (1) if it owns and operates a regular sized bus for shuttle service.
A minimum of five (5) jeepneys cooperatively owned is required for dual jeepney service.
(1) For jeep, taxi, bus or trucking services: Php 25,000.00. (2) For tricycle services: Php 10,000.00.
Applications may be filed with any unit of the CDA or with the OTC, and also received in district/regional offices of LTO/LTFRB for land transport cooperatives, MARINA for water, and CAB/ATO for air transport, in addition to their central offices. The receiving unit may preliminarily determine sufficiency of organizational/documentary submissions and advise return for compliance if substantial requirements are lacking.
Section 6 states that receipt by CDA of the application together with the necessary endorsements starts to run the prescriptive period under Art. 16, unless CDA has other reasons to suspend the running of the period.
CDA will act only on applications duly endorsed by the proper agencies (local government unit, LTFRB, MARINA, CAB, or NTC as the case may be) and accredited by DOTC/OTC, and CDA must require full compliance with Art. 14(4) of the Cooperative Code to entitle the applicant to registration.
It oversees implementation of the joint guidelines, may recommend changes (but changes are effective only if agreed upon and promulgated via joint circulars), keeps records of issuances, assists in resolving other issues affecting operation of transportation and telecommunications cooperatives, and is composed of two representatives from DOTC/OTC, two from CDA, and a fifth member from each national federation (seated only when concerns of that federation arise).
Under Section 10, such cooperatives may apply for accreditation with DOTC/OTC to become eligible for DOTC/OTC technical assistance and qualify as beneficiaries under DOTC/OTC financial and developmental projects and programs.
Section 11 states the guidelines take effect fifteen (15) days from filing with the U.P. Law Center pursuant to Presidential Memorandum Circular No. 11 dated 9 October 1992; it was adopted 30 Sept. 1993 and filed 23 Nov. 1993.