Title
LTFRB Rules on Public Utility Bus Franchises
Law
Ltfrb Memorandum Circular No. 98-009
Decision Date
Mar 12, 1998
The LTFRB establishes standards for Public Utility Buses, mandating a minimum seating capacity of 50, specific vehicle weight requirements, and fixed routes, while currently restricting new franchise applications due to a moratorium.
A

Legal basis and related issuances

  • The LTFRB adopts the rules “in accordance with” Item No. 1 of DOTC Dept. Order No. 97-1097 on standard classification for public land-based transport conveyances.
  • The circular operates in the context of a moratorium on acceptance of new applications for public utility vehicle franchises.
  • The moratorium referenced comes from Memorandum Circulars No. 97-009.
  • The effectivity filing is governed by Presidential Memorandum Circular No. 11 (dated October 9, 1992).

Scope: “Public Utility Bus” franchise proposals

  • Applications for franchises to operate “Public Utility Bus” may propose motor vehicles that match the required features.
  • The vehicle features apply to motor vehicles proposed under “Public Utility Bus” franchise applications.
  • The routes for “Public Utility Bus” service must be fixed, regular, limited stop, or express.
  • The fare for “Public Utility Bus” service must be based on distance or zonal, as authorized by the LTFRB.

Vehicle standards required for proposed buses

  • The proposed seating capacity must be 50 and above, excluding the driver and conductor.
  • The gross vehicle weight must be 6,400 kgs. and above and/or 70 kgs./pax.
  • The body must be a coach with entry and exit doors.
  • The coach must have emergency exits, an optional separate baggage compartment, and tempered glass windows.

Route, ventilation, and fare rules

  • “Public Utility Bus” routes must be fixed and regular.
  • Routes must be limited stop or express.
  • Ventilation may be ordinary or air-conditioned.
  • The fare must be based on distance or zonal as authorized by the LTFRB.

Application acceptance during moratorium

  • While a moratorium on the acceptance of new applications for franchise to operate public utility vehicles is in effect, the LTFRB accepts only petitions that comply with the rule stated in the circular.
  • Only petitions that do not involve or result in additional units are accepted for consideration.
  • Petitions involving or resulting in additional units are not accepted for consideration during the period covered by the moratorium referenced.

Modification, revocation, and supersession

  • All issuances, or parts thereof, inconsistent with the circular are modified accordingly.
  • Inconsistent provisions are superseded/revoked by the circular.

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