Purpose: resolve conflicting policy
- The circular resolves conflicting LTFRB policy issuances affecting petitions/applications for sale and transfer and for dropping and substitution of public utility vehicles.
- The circular clarifies when the LTFRB allows acceptance and filing of these petitions/applications in light of prior memoranda that created contradictory rules.
What the circular governs
- The circular governs acceptance and filing of petitions/applications for:
- Sale and Transfer of CPCs (Certificate of Public Convenience), and
- Dropping and Substitution of PUB units (public utility buses).
- The circular governs these rules under the Bus Rationalization Program and for other types of denomination (including PUJ, TAXI, TH, etc.).
- The circular expressly governs the processing timing of the specified petitions/applications.
Permitted filings under bus rationalization
- The LTFRB allows acceptance and filing of petitions for dropping and substitution of PUB units under the Bus Rationalization Program provided that the substitute units are brand new.
- The “brand new” substitute requirement is treated as the condition provided in MC 2003-024 dated 4 September 2003.
- The LTFRB allows acceptance and filing of petitions for sale and transfer of CPCs when the CPC units are:
- b.1 units included in Tables 1, 2 and 3 of the Bus Rationalization Program, or
- b.2 units already approved under the Bus Rationalization Program.
- The LTFRB allows these sale-and-transfer petitions subject to the exceptions provided in MC No. 2003-025 dated 24 February 2003.
Critical limitation: voluntary segregation window
- The LTFRB disallows substitution when the CPC is subject of an Application for Voluntary Segregation of any of the authorized PUB unit.
- The circular provides that substitution of the unit subject thereof shall not be allowed during the period of the Voluntary Segregation Program.
- The circular links this prohibition specifically to the dropping-and-substitution allowance for Bus Rationalization Program cases.
Allowed filings for other denominations
- The LTFRB allows acceptance and filing of a petition for sale and transfer with dropping and substitution of units for all other types of denomination (including PUJ, TAXI, TH, etc.).
- The circular does not limit the allowance for these “other types of denomination” to the Bus Rationalization Program tables or already-approved units.
Processing timing: may be processed anytime
- The LTFRB provides that Petitions for Sale and Transfer, Dropping and Substitution may be processed at anytime during the validity of the CPCs.
- This processing rule applies to petitions covered by the circular’s clarifications.
Supersession and inconsistent issuances
- The circular supersedes any and all issuances inconsistent herewith.
- The circular’s clarifications operate as the controlling LTFRB policy on acceptance and filing of the enumerated petitions/applications within its effectivity period.
Previously conflicting policy rules (context)
- The circular resolves prior policy issuances that had created restrictions affecting:
- Petitions/Applications for Sale and Transfer of CPCs under the Bus Rationalization Program, and
- Petitions/Applications for Sale and Transfer with Dropping and Substitution of units.
- The circular clarifies that the prior restrictive scheme is modified by the specific permissions and limitation rules stated in the circular.