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AN ACT GIVING OWNERSHIP OF THE PUBLIC UTILITY VEHICLES TO THE

GOVERNMENT

TITLE I

GENERAL PROVISIONS

SECTION 1: Short Title. – This act shall be known as “Government Owned Public Utility
Vehicles”

SECTION 2: Declaration of Policy. – It is the duty of the state to modernize the


transportation system of the Philippines making such transportation government owned
in order to effectively facilitate, regulate and improve its services towards the public in a
day to day basis.

SECTION 3: Definition of Terms. –Whenever used in this act, the following terms shall
have the respective meanings hereafter set forth:

a. Public Utility Vehicles/PUVs– mode of transportation used by the commuters in


a day to day basis. It pertains to jeepneys and fx

b. Subpoena – a writ ordering a person to attend a court

c. Subpoena Duces Tetum - is a court summons ordering the recipient to appear


before the court and produce documents or other tangible evidence for use at a
hearing or trial.
d. Pasada – term used as the operation hours of the PUV drivers

e. Fortuitous event - An unforeseen event that occurs by chance or accident from


natural or man-made forces over which an affected person has no control.

f. Pakyaw System – term used when a passenger/commuter wants to rent a public


utility vehicle for a private use.
SECTION 4: Scope. – This Act applies only to Jeepneys and FXs conducting operations
within Metro Manila in the Philippines. Furthermore, those who wish to newly apply for
conducting such operation will be subject to the provisions of this act provided that it
will be complied with to prevent penalties as stated in this act.

TITLE II
GOVERNMENT OWNED TRANSPORTATION REGULATORY BOARD (GOTRB)

SECTION 5: The Government Owned Transportation Regulatory Board (GOTRB) shall


be the one responsible for the right implementation of the provisions of this law.

SECTION 6: Scope- The rules and regulations of the regulatory board shall be binding to
the owners and drivers of government owned vehicles such as jeepneys and FX’s
transporting inside Metropolitan Manila only.

SECTION 7: Registration- The Government Owned Transportation Regulatory Board


shall solely be responsible for the registrations of GOVERNMENT OWNED VEHICLES
ONLY pursuant to the provisions for Registration herein.

SECTION 8: Organizational Structure- The regulatory board shall be attached to the Land
Transportation and Franchise Regulatory Board and such shall be composed of one (1)
Chairman, one (1) Vice Chairman, one (1) Spokesperson, three (4) Members of the Board,
one (2) Head of the Office of Legal Associates. The Chairman shall be the one responsible
for the system of registration of government owned vehicles, in-charge with the decision
and policy making and planning. The Vice Chairman shall be responsible for assisting
the Chairman as well as the protecting and keeping the records of the regulatory board.
The one who will represent the regulatory board in public meetings and such. The
Spokesperson shall be responsible for the Media. All information, updates, and news
concerning the regulatory board shall be disseminated to the public by the spokesperson.
If there are any media conferences, symposium, and any other public meetings, the
Spokesperson will be the one representing the regulatory board if Chairman is unable.
The four Members of the Board shall be responsible for resolving the disputes concerning
the government owned vehicle, give their dispositions on certain areas concerning the
regulatory board, and help Chairman in the decision and policy making. Spokesperson
will come from the Members of the Board. The head of the Office of Legal Associates shall
be responsible for the handling of all legal affairs of the regulatory board.
SECTION 9: Term limits- The Chairman, Vice Chairman, Members of the Board, and
Head of Office of Legal Associates shall be appointed by the President of the Philippines
for the term of three years subject for reappointment for another three years.
Appointment shall be subject to the process of ow an appointment is made.
The Spokesperson, shall be chosen from the four members of the board subject to majority
votes of the Chairman, Vice Chairman, Members of the Board, and the Head of Legal
Associates.

SECTION 10: Qualifications- The Chairman and Vice Chairman shall be a Filipino citizen,
thirty-five (35) to forty (40) years of age with good moral character, undoubted integrity,
and known probity.
Members of the Board shall also be a Filipino citizen, twenty-five (25) to thirty (30) years
of age with good moral character, undoubted integrity, and known probity.
The head of Office of the Legal Associates shall be a member of the Integrated Bar of the
Philippines in good standing.

SECTION 11: Salary- The regulatory board shall be responsible for the salary of the
Government –Owned PUV drivers pursuant to the provisions for Salary provided herein.

TITLE III

POWERS AND FUNCTIONS OF THE BOARD

SECTION 12: Regulatory Powers. The Board shall have the power to regulate routes of
service of the government owned PUVs in accordance with the public land transportation
development plans and programs approved by the Department of Transportation and
Communications. The board shall also have the power to determine, prescribe and
approve and periodically review and adjust, reasonable fares, rates and other related
charges, relative to the operation of government owned PUVs and to formulate,
promulgate, administer, implement and enforce rules and regulations on government
owned PUVs, standards of measurement and/or design, and rules and regulations for
government owned PUVs to equip, install, and provide in their utilities and in their
stations such devices, equipment facilities and operating procedures and techniques as
may promote safety, protection, comfort and convenience to persons and property in
their charges as well as the safety of persons and property within the areas of operations
of the government owned PUVs.

SECTION 13: Quasi-Judicial Powers. The board shall have the power to conduct
investigations and hearings of complaints for violations of laws concerning government
owned PUVs and its employees in the course of their official duties; provided, that the
board shall have such power to conduct investigations and hearings of complaints for
violations of the Board’s rules and regulations, orders, decisions and/or rulings
concerning government owned PUVs and its employees, whether or not in the course of
their official duties and to impose fines and/or penalties for such violations.
The Board shall have the power to issue preliminary or permanent injunction, whether
prohibitory or mandatory, in all cases in which it has jurisdiction, and to issue subpoena
and subpoena duces tecum and summon witnesses to appear in any proceedings of the
Board, to administer oaths and affirmations.
The Board shall have the power to punish for contempt of the Board, both direct and
indirect, in accordance with the pertinent provisions of, and penalties prescribed by, the
Rules of Court.

SECTION 14: Incidental Powers- The Board shall have the power to perform such other
functions and duties as may be provided by law, or as may be necessary, or proper or
incidental to the purposes and objectives of this Act.

SECTION 15: Cooperative functions- The Board shall coordinate and cooperate with other
government agencies and entities concerned with any aspect involving public land
transportation services with the end view of effecting continuing improvement of such
services.

SECTION 16: Decisions- The Board, in the exercise of its powers and functions, shall sit
and render its decisions en banc. Every such decision, order or resolution of the Board
must bear the concurrence and signature of at least three (3) members thereof and
approved by the Chairman.

SECTION 17: Appeal. The decision, order, or resolution of the Board shall be appealable
to the Secretary within thirty (30) days from receipt of the decision, order or resolution;
provided, that the Secretary may motu proprio review any decision or action of the Board
before the same becomes final.

TITLE IV
REGISTRATION

SECTION 18: Application for Registration. – Application for registration pursuant to the
requirements provided under the provisions of this Act shall be submitted to the
Government-Owned Transportation Regulatory Board (GOTRB) and shall be subject to
further examination.
SECTION 19: Classification of Registration. – Motor vehicles submitted for registration
under this Act shall be classified as public utility vehicle, and as such, shall be qualified
with a certificate of public convenience.

SECTION 20: Registration Fees and Other Additional Fees. – The annual registration fee
for registration of public utility vehicle under this Act shall amount to P288.00. For
replacement of a lost registration certificate, number plate, transfer of ownership, and
any other circumstance which involves the revision or reissue of a certificate, a fee of
three pesos shall be required.

SECTION 21: Registration Certificate- Issuance of Certificate of Registration shall be


made for each public utility vehicle after fulfilment of payment and examination.

SECTION 22: Registration Certificate Subject to Suspension- Failure to conform with the
standards and requirements set forth in the provisions of this Act warrants suspension
of registration certificate. Further, if upon examination, public utility vehicle is found
to be incapable and dangerous to be operated on, suspension of certificate shall be
made.

SECTION 23: Authority of Certificate of Registration- Certificate issued under the


provisions of this Act for any public utility vehicle shall be the authority for the
operation of said PUV, and the same shall be maintained and carried as evidence of
registration, and shall be presented for purposes of applications for re-registration,
transfer of ownership, and for any other similar functions.
No public utility vehicle shall be used or operated upon without the proper registration
certificate for the year.

TITLE V
SALARY COMPENSATION AND BENEFITS OF GOVERNMENT-OWNED PUV
DRIVERS
SECTION 24: Government-owned PUV drivers are supposedly allowed to work within
eight (8) hours a day but due to the public need of transportation for passengers, all
government-owned PUV drivers can still operate beyond the working time of eight (8)
hours a day. It is not required for government-owned PUV drivers to have their “pasada”
from eight (8) o’clock in the morning to five (5) o’clock in the afternoon as required to all
other government employee since the general public is in need of transportation twenty
four (24) hours a day, however if they exceed the maximum working time of eight hours,
they are entitled for overtime pay.

SECTION 25: Minimum wage- Minimum wage is based on a work week of 40 or 48 hours
of 8 hours per day. The daily 60 minute mandatory lunch break is not included in the 8
hour work day and is not compensated.
Government-owned PUV Drivers shall be paid the following minimum wage rates:
Fifteen thousand pesos (P15,000.00) a month for Government-owned PUV Drivers in
Metro Manila.
Provided, that the Government Owned Transportation Regulatory Board (GOTRB) shall
review the employment contracts of their PUV Drivers every five (5) years with the end
in view of improving the terms and conditions thereof.

SECTION 26: Overtime work- Work may be performed beyond eight (8) hours a day
provided that the government-owned PUV driver is paid for the overtime work, an
additional compensation equivalent to his regular wage plus at least twenty percent
(20%) thereof. Work performed beyond eight hours on a holiday or rest day shall be paid
an additional compensation equivalent to the rate of the first eight hours on a holiday or
rest day plus at least twenty five percent (25%) thereof.

SECTION 27: Premium Pay- Premium pay is given on non-working days (rest
days/special holidays). There are three (3) special holidays: Ninoy Aquino Day, All
Saints Day and Last Day of the Year.
Premium Pay Rates: On a rest day or special holiday, a government-owned PUV driver
is entitled to an additional 30% of his daily basic rate. On a rest day which is also a special
holiday, a government-owned PUV driver is entitled to an additional 40% of his daily
basic rate.
SECTION 28: The Government Owned Transportation Regulatory Board (GOTRB) may
require their PUV drivers to work on any holiday but the latter shall be paid a
compensation equivalent to twice his regular rate. Holiday includes: New Year’s Day,
Maundy Thursday, Good Friday, the ninth of April, the first of May, the twelfth of June,
the fourth of July, the thirtieth of November, the twenty-fifth and thirtieth of December
and the day designated by law for holding a general election.

SECTION 29: Night Shift Differential - Every government-owned PUV driver shall be paid
a night shift differential of not less than fifteen percent (15%) of his regular wage for each
hour of work performed between nine o’clock in the evening to five o’clock in the
morning.

SECTION 30: 13th Month Pay - Each year, a 13th month pay is given to all government-
owned PUV driver. This benefit must be paid before December 29th and is mandatory.
Government-owned PUV driver who have resigned from the Government Owned
Transportation Regulatory Board (GOTRB) before the payment of the 13th month pay are
still entitled to it in proportion to the length of time they worked for during that year. The
13th month pay must be at least 1/12th of the total basic salary of each PUV driver earned
during that calendar year.

SECTION 31: Retirement Pay- All Government-owned PUV drivers may retire from age
60 up to age 65, at which retirement becomes compulsory, and must have served for at
least 5 years. Retirement pay must at least be equivalent to half of a month’s salary for
each year of service and a fraction of at least 6 months is therefore considered as one (1)
whole year.

TITLE VI

COMPLAINTS

SECTION 32: Public Assistance and Complaints Desk- pursuant to Republic Act No. 9485
also known as the Anti-Red Tape Act of 2007, a Public Assistance and Complaints Desk
(PACD) shall be established by every government agency. These PACD must be visible
in the premises of the Agency which will be manned by knowledgeable employees on
frontline services. Public Assistance Services must be available at all times and must be
attended even during break time.
This Public Assistance and Complaints Desk shall give assistance to the aggrieved
party/parties involved in a fortuitous event/s on the road involving the government
owned Public Utility vehicles.

SECTION 33: Filing of Complaints – Manual and online filing of complaints shall be
available for the public for efficiency. Hotline numbers and other mechanisms which the
public may find efficient shall be recognized as well.

TITLE VII

MAINTENANCE

SECTION 34: Road Safety Training for Drivers – Mandatory Road Safety Training shall be
made before the actual deployment of the PUV drivers. This training shall be jointly
conducted by the LTFRB and the LTO.

SECTION 35: Annual Drug Testing for PUV drivers – Drug testing shall be conducted by
the Department of Health and shall be randomly done. This is to ensure that the drivers
of the government owned PUVs are drug-free and are in a stable and cautious mind while
rendering service to the riding public.

SECTION 36: Monthly Maintenance Check-up for PUV units – PUV units shall undergo
monthly maintenance check-up to the accredited maintenance service provider. Failure
to comply with such monthly maintenance shall be reported and must be sanctioned by
the Agency.

TITLE VIII

PROHIBITED ACTS

SECTION 37: Violation of Designated Routes by Drivers – It shall be prohibited for drivers
of Public Utility Vehicles to use a route other than the prescribed route;

SECTION 38: Engaging in ‘Pakyaw’ System and the Like – It shall be prohibited for
Operators, Drivers and Conductors to engage in ‘Pakyaw’ system and the like;
SECTION 39: Using of Public Utility Vehicles for Public Use – It shall be prohibited for
Operators, Drivers and Conductors to use Public Utility Vehicles for any private
purposes;

SECTION 40: Failure to Maintain a Space for Disabled Persons – It shall be mandatory for
Operators to maintain a space for disabled persons;

SECTION 41: Failure to Maintain Cleanliness in the Vehicle – It shall be mandatory for
Operators, Drivers and Conductors to maintain cleanliness inside the vehicle;

SECTION 42: Failure to operate 24 Hours except Saturdays and Sundays – It shall be
mandatory for Operators, Drivers and Conductors to operate 24 hours from Mondays
to Fridays except Saturdays and Sundays;

SECTION 43: Penalty for violation of the above enumerated acts. - The fine of Five thousand
pesos (5,000) shall be imposed for violation of any of the above mentioned acts for the
first offense. Suspension of license for a period of 1 month shall be imposed for
violation of any of the above mentioned acts for the second offense. Revocation of
license shall be imposed for violation of any of the above mentioned acts for the third
offense.