Guidelines on Rationalizing Provincial Bus Routes

No new Certificates of Public Convenience (CPCs) or franchises shall be issued to bus operators as a result of route rationalization.
Route modifications may include shortening, lengthening, amending routes, or adjusting origins and destinations.
Route extensions are only allowed if the operator has an existing franchise in the proposed modified route.
Operators must have passenger terminals at both origin and destination points and a garage for bus accommodation, prohibiting roadside parking.
Authorized units may be increased or decreased, but total units for each operator must not increase.
The "prior operator" rule mandates that existing operators be given first opportunity to extend service before admitting new operators unless public interest dictates otherwise.
Restrictions apply to provincial buses regarding passage through EDSA, with specific exceptions for buses from SLEX and RORO-related buses.
Proposed routes are described by origin and destination only, without specific via points, provided routes are not circular and maintain the nearest distance.
Operators cannot abandon any authorized routes as a result of rationalization.
Route modifications must comply with the Integrated Transport System as per Executive Order No. 67, Series of 2012.
Operators have 180 days to substitute phased-out units following approval of route modifications.
Route modifications do not affect pending cases concerning the same CPCs.

Operators must file a verified Petition for Modification of Route for their existing valid CPCs; expired CPCs with pending extensions are included, but cancelled CPCs and unregistered units for three consecutive years are excluded.
Inter-regional route petitions are filed at the Central Office; intra-regional route petitions at Regional Franchising and Regulatory Offices (RFROs).
Petitions must be submitted in multiple copies and supported by certified franchise verifications and a route matrix.
Notices of Hearing must be issued by the LTFRB and published in a major newspaper at least 10 days before the hearing.
Petitioner must post notices at the LTFRB or RFRO bulletin boards.
Failure to comply with publication requirements may lead to a second notice issuance or dismissal.
During hearings, the petitioner or authorized representative must appear personally with legal counsel.
Opposing parties must file written oppositions before the initial hearing.
Complete and compliant petitions are subject to resolution.

A modification fee is required upon filing: Php 20,000 per unit for inter-regional routes and Php 10,000 per unit for intra-regional routes.

All petitions must be filed by August 15, 2014; no petitions accepted after this date.
This memorandum circular supersedes inconsistent prior issuances and takes effect immediately upon publication and filing in compliance with Presidential Memorandum Circular No. 11.