REPUBLIC ACT NO.

6374

AN ACT AMENDING REPUBLIC ACT NUMBERED FORTY-ONE HUNDRED

THIRTY-SIX, KNOWN AS THE "LAND TRANSPORTATION AND TRAFFIC CODE"

Section 1. Paragraph (a) and (c) of Section four of Republic Act Numbered Forty one
hundred thirty-six, otherwise known as the Land Transportation and Traffic Code, are
hereby amended to read as follows:

"Sec. 4. (a) There is created under the Department of Public Works and
Communications an office which shall be designated and known as the Land
Transportation Commission, composed of one Commissioner and one Deputy
Commissioner, who shall be vested with the powers and duties hereafter specified.
Whenever the word "Commission" is used in this Act, it shall be deemed to mean the
Land Transportation Commission, and whenever the word "Commissioner" is used in
this Act, it shall be taken to mean the Commissioner or Deputy Commissioner, as the
case may be.

"(c) The Commissioner shall receive an annual compensation of twenty thousand five
hundred eighty pesos and the Deputy Commissioner, an annual compensation of
eighteen thousand six hundred thirty-six pesos. The Commissioner shall be assisted by
one head executive assistant (MV regulation adviser or chief), one administrative
officer, one registration regulation chief, one inspection, examination and licensing
regulation chief, one law and traffic enforcement regulation chief, one provincial
regulation chief, one utility and property regulation chief, one accounting officer, one
internal chief auditor, one personnel officer III, one budget officer IV, and one chief
medical division IV, who shall receive an annual compensation of fifteen thousand two
hundred sixty-four pesos each; ten land transportation regional directors who shall
receive an annual compensation of fourteen thousand five hundred thirty-two pesos
each; ten transportation assistant regional directors, who shall receive an annual
compensation of eleven thousand three hundred twenty-eight pesos each; and ten land
transportation assistant regulation chiefs, who shall receive an annual compensation of
thirteen thousand one hundred fifty-two pesos each; provided, that the assistant chiefs
of divisions shall receive an annual compensation of twelve thousand five hundred
sixteen pesos each; the chiefs of sections, district supervisors, and land transportation
registrars III shall receive an annual compensation of ten thousand two hundred sixty
pesos each; the assistant district supervisors and land transportation registrars II shall
receive an annual compensation of eight thousand eight hundred thirty-two pesos each;
the land transportation registrars I shall receive an annual compensation of seven
thousand six hundred eight pesos each; and all other employees in the land
transportation commission whose salaries are paid monthly shall receive an increase in
an amount equivalent to eight WAPCO ranges each, but in no case shall an employee
exceed the salary of his immediate superior."
Sec. 2. Section Sixty-one of Republic Act Numbered Forty-one hundred thirty-six, is
hereby amended to read as follows:

"Sec. 61. Disposal of Monies Collected. — Monies collected under the provisions of
this Act shall be deposited in a special trust account in the National Treasury to
constitute the Highway Special Fund, which shall be apportioned and expended in
accordance with the provisions of the "Philippine Highway Act of 1953"; provided,
however, that the amount necessary to maintain and equip the Land Transportation
Commission but not to exceed twenty per cent of the total collecting during any one
year, shall be set aside for the purpose."

Sec. 3. In order to carry out the provisions of this Act the payment of salary
differentials resulting from the adjustment in salaries as provided for in this Act shall be
implemented from the amount that may be taken out of the twenty per cent of the
collections of the Land Transportation Commission necessary to maintain and equip it
from the fiscal year 1970-71. Thereafter, so much amount as will be needed to carry out
the purpose of this Act shall be included in the annual appropriation of the Land
Transportation Commission.

Sec. 4. The incumbents of the positions at the time of the approval of this Act whose
salaries are herein standardized shall automatically be entitled to the benefits hereof
without the need of another appointment.

Sec. 5. Any provision of law to the contrary notwithstanding, the beneficiaries of the
salary increases provided for in this Act are not precluded from receiving general salary
adjustments that may be provided for government officials and employees in future
General Appropriations Act.

Sec. 6. This Act shall take effect upon its approval.

Approved: August 16, 1971

BATAS PAMBANSA Blg. 398

An Act Amending Certain Sections of Republic Act Numbered Forty-One Hundred and
Thirty-Six, Otherwise Known as the Land Transportation and Traffic Code

Section 1. Section nineteen of Republic Act Numbered Forty-one hundred and thirty six
otherwise known as the Land Transportation and Traffic Code, is hereby amended to
read as follows:

"Sec. 19. Duty to have license. Except as otherwise specifically provided in this Act, it
shall be unlawful for any person to operate any motor vehicle without having in his
possession a valid license to drive a motor vehicle.

"The license shall be carried by the driver at all times when operating a motor vehicle,
and shall be shown and/or surrendered for cause and upon demand to any person with
authority under this Act to confiscate the same."

Section 2. Section twenty of the same Act is hereby repealed.

Section 3. Section twenty-two of the same Act is hereby amended to read as follows:

"Sec. 22. Application for driver’s license, fees, examination. Every person who desires to
personally operate any motor vehicle shall file an application to the Director or his
deputies for a license to drive motor vehicles: Provided, however, That no person shall
be issued a professional driver’s license who is suffering from contagious diseases, such
as tuberculosis, sexually transmitted diseases and epilepsy or who is an alcohol or drug
addict or dependent.

"Each such application, except in the case of enlisted men operating government-owned
vehicles, shall be accomplished by a fee of five pesos, and shall contain such
information respecting the applicant and his ability to operate motor vehicles, as may be
required by the Bureau.

"The Director or his deputies shall also ascertain that the applicant’s health, sight and
hearing are sound and normal, and is physically and mentally fit to operate motor
vehicles. To this end, the Director or his deputies shall require a certificate to that effect,
signed by a reputable accredited physician.

"An examination, theoretical and practical, to determine every applicant’s ability and
fitness to operate motor vehicles to be conducted by the Director in such form and
manner as he shall prescribe shall also be required. A manual containing the general
scope of the examinations and such information as may be necessary for the guidance of
the applicants and for the purpose of effectivity and implementation of this Act may be
published in an official language and distributed at no cost to the applicants.
"No application for a driver’s license shall be received, unless the applicant:

"(1) For a professional driver’s license, is at least eighteen years of age, possesses a valid
student-driver’s permit and has undergone instruction in the operation of motor
vehicles for at least five months under a qualified instructor: Provided, however, That
the period of time the applicant has operated a motor vehicle with a non-professional
driver’s license shall be credited against the period of instruction required herein; and

"(2) For a non-professional driver’s license, is at least seventeen years of age, possesses a
valid student-driver’s permit and has undergone instruction in the operation of motor
vehicles for at least a month."

Section 4. Section twenty-three of the same Act is hereby amended to read as follows:

"Sec. 23. Issuance of driver’s license, fees and validity. If, after such examination, the
Director or his deputies find that the applicant possesses the necessary qualification and
proficiency in the operation of motor vehicles, is able to read and write any of the
official languages or a major dialect and knows how to read and interpret various traffic
signs, signals and road markings, a professional or nonprofessional license may be
issued to such applicant upon payment of the fee prescribed in accordance with law, but
prior to the issuance of said license, the applicant shall present himself in person and
have his photograph taken by the bureau. All driver’s licenses issued shall be signed in
the presence of the Director or his deputies and shall bear, among others, the full name,
date of birth, height, weight, sex, color of eyes, blood type, complete current address,
right hand thumbprint of the licensee, license number, and its date of issue and
expiration.

"In the issuance of licenses, the Bureau shall use such process or adopt such measure as
will prevent any alteration or falsification of a license or will enable the Bureau to detect
any unauthorized license.

"Except for student permits and new licenses, all driver’s licenses shall be valid for
three consecutive years reckoned from the birthdate of the licensee, unless sooner
revoked or suspended: Provided, however, That, subject to Section twenty-six hereof,
any holder of a professional or nonprofessional driver’s license who has not committed
any violation during the three-year period shall be entitled to a renewal of such license
for five-year period."

Section 5. Section twenty-four of the same Act is hereby amended to read as follows:

"Sec. 24. Use of driver’s license and identification card. Every license issued under the
provisions of this Act to any driver shall entitle the holder thereof, while the same is
valid and effective, to operate motor vehicles described in such license: Provided,
however, That every licensed professional driver, before operating a public utility
vehicle registered under classification (b) of Section seven hereof, as amended by Batas
Pambansa Bilang 74, shall secure from the Director, upon payment of the sum of five
pesos, a driver’s identification card which he shall, at all times while so operating a
public utility vehicle, display in plain sight in the vehicle being operated. The
identification card shall be issued simultaneously with the license.

"It shall be unlawful for any duly licensed driver to transfer, lend or otherwise allow
any person to use his license for the purpose of enabling such person to operate a motor
vehicle.

"No owner of a motor vehicle shall engage, employ, or hire any person to operate such
motor vehicle, unless the person sought to be employed is a duly licensed professional
driver."

Section 6. Section twenty-six of the same Act is hereby amended to read as follows:

"Sec. 26. Renewal or replacement of lost license. Any license not renewed on or before
the last working day prior to the expiry date of such license as provided for in the third
paragraph of Section twenty-three of this Act shall become delinquent and invalid,
except when the license is surrendered to the Director or his deputies on or before the
last working day prior to the expiry date of such license as hereinabove specified in
order to avoid payment of the delinquency fees.

"For a renewal of a delinquent license, there shall be collected as delinquency fee, in

addition to the basic fee as prescribed, an amount equivalent to fifty per cent of said
basic fee.

"Every applicant for renewal of license to operate any motor vehicle shall present to the
Director or his deputies, in person, the license issued to the applicant for the previous
period, together with the basic fee hereinabove prescribed, and, in the case of
professional drivers, three copies of a readily recognizable photograph of the applicant
taken by the Bureau. In case the applicant for renewal has committed three or more
offenses within a period of one year, or has suffered any injury or illness that impairs
his ability to operate motor vehicles, he shall be required to undergo a theoretical and
practical examination in order to determine his ability and fitness to operate motor
vehicles.

"Lost License. In case the license has been lost or cannot be produced, the licensee shall
apply for a duplicate of the original on file with the Bureau by filing a sworn statement
that such license has been lost and that a thorough and diligent search was futile and in
accordance with the procedure which the Director is hereby authorized to promulgate,
subject to the approval of the Minister of Transportation and Communications.
"The Director or his deputies are hereby authorized to administer the oath in connection
with such application."

Section 7. Section twenty-seven of the same Act is hereby amended to read as follows:

"Sec. 27. Authority to suspend, revoke and reinstate driver’s license. Without prejudice
to the authority of the court in appropriate cases and except as herein otherwise
provided, the Director shall have exclusive power and authority to suspend or revoke
for cause any driver’s license issued under the provisions of this Act.

"(a) The Director may suspend for a period not exceeding three months or, after hearing,
revoke any driver’s license and may order such license, whether confiscated by, and/or
in the possession of, any other law enforcement agencies deputized in accordance with
paragraph (d) (1) of Section four of this Act, to be delivered to him whenever he has
reason to believe that the holder thereof is an improper person to operate motor
vehicles, or in operating or using a motor vehicle in, or as an accessory to, the
commission of any crime or act which endangers the public. Any deputy of the Director
may. for the same cause, suspend for a period not exceeding three months any driver’s
license issued under the provisions of this Act; Provided, that such suspension may be
appealed to the Director who may, after reviewing the case, confirm, reverse or modify
the action taken by such deputy.

"(b) Whenever during any twelve-month period a driver shall have been convicted at
least three times for the violations of any provisions of this Act or of any regulations
issued by the Director or any municipal or city ordinance relating to motor vehicle
traffic not in conflict with any of the provisions of this Act, the Director may revoke or
suspend the license of such driver for a period not exceeding two years.

"(c) The license suspended or revoked under the provisions of subsections (a) and (b) of
this section shall not be reinstated by the Director, unless the driver has furnished a
bond in accordance with Section twenty-nine of this Act and only after the Director has
satisfied himself that such driver may again safely be permitted to operate a motor
vehicle.

"(d) A decision of the Director revoking or refusing the reinstatement of a license under
the provisions of this section may be appealed to the Minister of Transportation and
Communications."

Section 8. Section twenty-eight of the same Act is hereby amended to read as follows:

"Sec. 28. Driver’s bond. The Director before reinstating any driver’s license which has
been suspended or revoked under the provisions of the preceding section or of any
provisions of this Act, may require such driver to post a bond in the sum of five
thousand pesos conditioned upon the satisfaction and payment of any claim which may
be filed or of any execution which may be issued against such driver in any case
wherein said driver may be held answerable while operating motor vehicles. The bond
required in this section shall be in such form as to render sureties liable at least for a
period of not less than one year nor more than three years: Provided, however, That
upon written application to the Director for release from such bond, the Director may,
after revoking or suspending the driver’s license, authorize the release of the bondsmen
from further responsibility thereunder: Provided further, That should the director
decide not to revoke the license of a driver who has been convicted of homicide through
reckless imprudence, or of violation of the speed limit or of reckless driving at least
three times within a twelve-month period, the said driver shall post a bond in the sum
of not less than ten thousand pesos, conditioned upon the payment of any claim which
may be filed or any execution which may be issued against him in any case wherein
said driver may be held answerable while operating motor vehicles."

Section 9. Section twenty-nine of the same Act is hereby amended to read as follows:

"Sec. 29. Confiscation of driver’s license. Law enforcement and peace officers of other
agencies duly deputized by the Director shall, in apprehending a driver for any
violation of this Act or any regulations issued pursuant thereto, or of local traffic rules
and regulations not contrary to any provisions of this Act, confiscate the license of the
driver concerned and issue a receipt prescribed and issued by the Bureau therefor
which shall authorize the driver to operate a motor vehicle for a period not exceeding
seventy-two hours from the time and date of issue of said receipt. The period so fixed in
the receipt shall not be extended, and shall become invalid thereafter. Failure of the
driver to settle his case within fifteen days from the date of apprehension will be a
ground for the suspension and/or revocation of his license."

Section 10. Section thirty of the same Act is hereby amended to read as follows:

"Sec. 30. Student-driver’s permit. Upon proper application and the payment of the fee
prescribed in accordance with law, the Director or his deputies may issue
student-driver’s permits, valid for one year to persons not under sixteen years of age,
who desire to learn to operate motor vehicles.

"A student-driver who fails in the examination on a professional or non-professional

license shall continue as a student-driver and shall not be allowed to take another
examination at least one month thereafter. No student-driver shall operate a motor
vehicle, unless possessed of a valid student-driver’s permit and accompanied by a duly
licensed driver.

"The licensed driver duly accredited by the Bureau, acting as instructor to the
student-driver, shall be equally responsible and liable as the latter for any violation of
the provisions of this Act and for any injury or damage done by the motor vehicle on
account or as a result of its operation by a student-driver under his direction."
Section 11. Section thirty-two of the same Act is amended to read as follows:

"Sec. 32. (a) Exceeding registered capacity, issuance of conductor’s license, validity and
fee. No person operating any motor vehicle shall allow more passengers or more freight
or cargo in his vehicle than its registered carrying capacity. In the case of public utility
trucks or buses, the conductor shall be exclusively liable for the violations of this section
or of Section thirty-two, letter (c) hereof: Provided, That the conductor before being
employed by any public service operator shall get a permit or license from the Bureau
and pay the fee prescribed in accordance with law, for said license or permit issued in
his favor, which shall be valid for three years, and the same is renewable on or before
the last working day prior to or on his birthdate, attaching a readily recognizable
photograph taken by the Bureau and after presentation of a medical certificate of fitness
of applicant.

"Passenger trucks may be allowed to construct any cargo-carrying device at the rear or
at the side of the truck, subject to the approval of the Director: Provided, however, That
the total weight of the device, including the cargo, shall not exceed one hundred kilos.

"(b) Carrying of passengers and freight on top of vehicles. No person operating a motor
vehicle shall allow any passenger to ride on the cover or top of such vehicles: Provided,
however, That, subject to such conditions as may be contained in permits that may be
issued by the Director, baggage or freight may be carried on the top of a truck so long as
the weight thereof does not exceed twenty kilos per square meter and is distributed in
such a manner as not to endanger the passengers or stability of the truck.

"(c) Riding on running boards. No driver shall allow any person to ride on the running
board, step board, or mudguard of his motor vehicle for any purpose while the vehicle
in motion.

Section 12. Section fifty-six of the same Act is amended to read as follows:

"Sec. 56. Penalty for violation. The following penalties shall be imposed for violations of
this Act:

"(a) For registering later than seven days after acquiring title to an unregistered motor
vehicle or after conversion of a registered motor vehicle requiring larger registration fee
than for which it was originally registered, or for a renewal of a delinquent registration,
the penalty shall be a fine of fifty per cent of the registration fees corresponding to the
portion of the year for which the vehicle is registered for use.

"(b) For failure to sign driver’s license or to carry same while driving, one hundred
pesos fine.
"(c) Driving a vehicle with a delinquent or invalid driver’s license, two hundred pesos
fine or imprisonment not exceeding ten days, at the discretion of the court.

"(d) Driving a motor vehicle with delinquent, suspended or invalid registration, or

without registration or without the proper license plate for the current year, three
hundred pesos fine or imprisonment not exceeding fifteen days, at the discretion of the
court.

"(e) Driving a motor vehicle without first securing a driver’s license, five hundred pesos
fine and imprisonment of not exceeding fifteen days.

"(f) Driving a motor vehicle while under the influence of liquor or narcotic drug, a fine
of not less than one thousand pesos or imprisonment of not less than three nor more
than six months, or both, at the discretion of the court.

"(g) Violation of Sections thirty-two, thirty-four (a), (b), and (b-1), thirty-five and
forty-six, a fine not exceeding one hundred pesos: Provided, however, That in the case
of violation of Section thirty-four (b) the vehicle or vehicles affected may not be allowed
to operate, unless the requirement provided in this section are complied with.

"(h) Violations of Sections forty-nine, fifty-one, and fifty-two, a fine of not less than
twenty-five pesos nor more than fifty pesos.

"(i) For using or attempting to use a driver’s license, identification card, certificate of
registration, number plate, tag or permit in similitude of those issued under this Act, or
falsely or fraudulently representing as valid and in force any driver’s license under this
Act which is delinquent or which has been suspended or revoked, a fine of not less than
one thousand nor more than three thousand pesos or imprisonment of not more than
six months, or both, at the discretion of the court.

"For making, manufacturing, distributing or selling a driver’s license, identification

card, certificate of registration, number plate, tag or permit in imitation or similitude of
those issued under this Act, the penalties under the provisions of the Revised Penal
Code.

"If the violation is committed by a public officer or employee, the offender shall
furthermore suffer perpetual absolute disqualification.£á⩊phi£

"(j) For using private passenger automobiles, private trucks, private motorcycles, and
motor wheel attachments for hire, in violation of Section seven, subsections (a), (b), and
(c), of this Act, a fine of two hundred pesos and suspension of driver’s license for a
period of three months for the first conviction; a fine of three hundred pesos and six
months imprisonment of one year and permanent revocation of the driver’s license for
the third conviction.
"(k) For permitting, allowing, consenting to, or tolerating the use of privately-owned
motor vehicles for hire in violation of Section seven, subsections (a), (b), and (c), of this
Act, there shall be imposed upon the owner of the vehicle as fine of five hundred pesos
and the certificate of registration shall be suspended for a period of three months for the
first conviction, and an increase of one hundred pesos in the fine and one month’s
suspension of the registration for each subsequent conviction.

"(l) For violation of any provisions of this Act or regulations promulgated pursuant
hereto, not hereinbefore specifically punished, a fine of not less than one hundred nor
more than five hundred pesos shall be imposed.

"(m) In the event an offender cannot pay any fine imposed pursuant to the provisions of
this Act, he shall be made to undergo subsidiary imprisonment as provided for in the
Revised Penal Code.

"(n) If, as the result of negligence or reckless or unreasonable fast driving, any accident
occurs resulting in death or injury of any person, the motor vehicle operator at fault
shall, upon conviction, be punished under the provisions of the Revised Penal Code."

Section 13. The fees and charges herein provided as well as those provided in other
sections of the same Act may be revised by the Minister of Transportation and
Communications, upon the recommendation of the Director, subject to the approval of
the Cabinet. Such fees and charges shall be revised at just and reasonable rates sufficient
to cover administrative costs, and, whenever practicable, be uniform for similar or
comparable services and functions.

Section 14. For purposes of simplicity, economy and efficiency in operations and
implementation, the Director, subject to the approval of the Minister of Transportation
and Communications, is hereby authorized to promulgate rules and regulations for the
rational and equitable issuance and renewal of licenses during the first three years
following the effectivity of this Act, including the said period. Accordingly, the Director
shall proportionately reduce the fees corresponding to the period of validity of the
driver’s license.

Section 15. This Act shall take effect upon its approval.

Approved: May 18, 1983

The Lawphil Project - Arellano Law Foundation

 MALACAÑANG
MANILA
BY THE PRESIDENT OF THE PHILIPPINES

EXECUTIVE ORDER NO. 1011

ESTABLISHING THE LAND TRANSPORTATION COMMISSION IN THE

MINISTRY OF TRANSPORTATION AND COMMUNICATIONS, AND FOR
OTHER PURPOSES

WHEREAS, efficient and reliable transportation services constitute a vital supportive

system to national development;

WHEREAS, the rationalization of the administrative framework for the exercise of

quasi-judicial and enforcement functions in the regulation of transportation services,
will enhance the effectiveness of such services and redound to the welfare of the public;

WHEREAS, one way of rationalizing governmental regulations in the field of

transportation, is to merge the two existing agencies tasked with the implementation of
land transportation laws, namely the Board of Transportation and the Bureau of Land
Transportation, into one agency in order to avoid wasteful duplication of functions and
thereby upgrade public utility services;

WHEREAS, under Presidential Decree No. 1416, as amended, the President of the
Philippines is empowered and authorized to undertake such organizational and related
improvements as may be appropriate in the light of changing circumstances and new
developments;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by

virtue of the powers vested in me by the Constitution and by law, particularly
Presidential Decree No. 1416, as amended, do hereby order:

SECTION 1. Creation of the Land Transportation Commission. – There is hereby created

a new agency attached to the Ministry of Transportation and Communications, to be
known as the Land Transportation Commission, hereinafter referred to as the
Commission, to rationalize, develop, and continually improve land transportation
services and facilities and implement effectively the various transportation laws, and
rules and regulations to achieve the desired objectives and uplift the economic
well-being of the people.

SEC. 2. Composition of the Commission. – The Commission shall be composed of a

Chairman and four Commissioners who shall all be appointed by the President of the
Philippines for a term of six (6) years; Provided, however, That of the members first
appointed, the Chairman shall serve for a term of six (6) years, two Commissioners for
four (4) years, and the remaining two Commissioners for two (2) years.
The Chairman shall have the qualifications, salary, rank and privileges of an Associate
Justice of the Intermediate Appellate Court. Two of the Commissioners shall have the
qualifications, salary, rank and privileges of a Judge of a Regional Trial Court. The two
other Commissioners need not be lawyers, but must be graduates of a reputable college
or institution with a degree in, among others, economics, finance or management, and
shall have the salary and age qualifications of a Judge of a Regional Trial Court.

The Chairman and the Commissioners shall be of proven competence and expertise in
land transportation or its related fields. The Chairman shall, at the same time, be the
chief executive officer of the Commission, and shall be in charge of the administrative
functions thereof, possessing all the powers and authority necessary or incidental
thereto. The four Commissioners may, in addition to performing their duties as
members of the Commission, be assigned to perform other functions by the Chairman
relative to the administrative and substantive operations of the Commission. The
Chairman may designate one of the Commissioners to take charge of the enforcement
functions of the Commission.

The Commission shall have an Executive Director who shall be appointed by the
President of the Philippines, upon recommendation of the Commission and the Minister
of Transportation and Communications. He shall assist the Commission and the
Chairman in his capacity as chief executive officer, in the day-to-day management of the
affairs and operations of the Commission.

In the exercise by the Commission of its quasi-judicial functions, decision shall be made
by the Commission sitting en banc. Every decision, order or resolution of the
Commission must bear the approval and signature of at least three (3) members of the
Commission. In the exercise of its other functions, the Commission shall serve as the
governing board and, as such, shall pass upon and act on recommendations and other
matters relative to the administrative and substantive operations of the Commission.
All personnel appointments not requiring Presidential approval, shall be made by the
Commission subject to the approval of the Minister of Transportation and
Communications.

SEC. 3. Administrative Supervision and Control Over the Commission. – The Ministry
of Transportation and Communications shall exercise administrative supervision and
control over the Commission.

SEC. 4. Jurisdiction. – The exercise by the Commission of its quasi-judicial and other
functions provided for herein, as appropriate, shall apply only to motorized or
engine-driven vehicles and their ancillary components, except as provided in Section 11
hereof.

Non-motorized vehicles, such as animal-drawn carriages and carts, and pedal-driven

bicycles, shall not be within the jurisdiction of the Commission, except when such
vehicles are ancillary to and dependent upon motorized vehicles, as in the case of truck
trailers.
The Commission may empower, in whole or in part, at its discretion, appropriate
agencies, including local governments, to regulate the operation of specialized
motorized vehicles which as a general rule do not operate on public roads, such as
agricultural tractors, road graders and other similar equipment, as well as those
operating exclusively within private subdivisions or private housing projects.

SEC. 5. Powers and Functions of the Commission. – The Commission shall have, among
others, the following powers and functions:

(a) Quasi-judicial powers and functions which require notice and hearing –

(1) To identify, establish, prescribe, and regulate routes of service, economically viable
capacities, and zones or areas of operation of public land transportation services
provided by motorized vehicles; Provided, That the establishment of routes and areas of
operation shall be in accordance with the public land transportation development plans
and programs approved by the Ministry of Transportation and Communications;

(2) To issue, amend, revise, suspend or cancel Certificate of Public Convenience or

permits authorizing the operation of public land transportation services provided by
motorized vehicles, and to prescribe the appropriate terms and conditions therefor;

(3) To determine, prescribe and approve, and periodically review and adjust, reasonable
fares, rates and other related charges relative to the operation of public land
transportation services provided by motorized vehicles;

(4) To issue preliminary or permanent injunction, whether prohibitory or mandatory, in

all cases in which it has jurisdiction, and in which cases the pertinent provisions of the
Rules of Court shall apply;

(5) To punish for contempt of the Commission, both direct and indirect, in accordance
with the pertinent provisions of, and the penalties prescribed by, the Rules of Court;

(6) To issue subpoena and subpoena duces tecum and to summon witnesses to appear
in any proceedings of the Commission, to administer oaths and affirmations, and, in
appropriate cases, to order the search and seizure of all vehicles and documents, as may
be necessary for the proper disposition of the cases before it; and

(7) To impose fines and/or penalties for violation of this Order, or any other laws, rules
and regulations being implemented by the Commission, or its orders, decisions and/or
rulings.

(b) Administrative powers and functions –

(1) To register all motorized vehicles and issue licenses to drivers of motorized vehicles,
and fix, impose and collect, and periodically review and adjust, fees and charges
therefor;
(2) To fix, impose and collect, and periodically review and adjust, reasonable fees and
other related charges for services rendered, as well as administrative fines for violation
for pertinent laws, orders, rules and regulations, decisions and rulings;

(3) To implement and enforce laws and policies on land transportation, as well as the
rulings and decisions of the Commission in the exercise of its quasi-judicial powers and
functions;

(4) To promulgate, administer and enforce standards of measurements and/or design,

and rules and regulations requiring operators of any public land transportation service
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 their areas of operations; and

(5) To formulate, promulgate, implement and enforce rules and regulations on land
transportation, including the operation of both public land transportation services and
private vehicles.

(c) Other powers and functions –

(1) To prepare and submit to the Minister of Transportation and Communications a

national public land transportation development plan, taking appropriate steps such as
undertaking traffic and economic studies, gathering and analyzing the necessary data
and statistics, estimating present and future requirements for land transportation
facilities, and developing resource procurement and use schedules to meet these
requirements; Provided, That such development plan shall be updated periodically as
the need therefor arises;

(2) To coordinate and cooperate with other government agencies and other entities
concerned with any aspect involving public land transportation services with the end in
view of effecting continuing improvement of such services;

(3) To participate, in collaboration with the Ministry of Education, Culture and Sports
and other appropriate agencies, in the licensing and supervision of motorized vehicle
driving schools; and

(4) To perform such other functions and duties as may be provided by law, or as may be
necessary, proper or incidental to the purposes and objectives of this Order, or as may
be assigned from time to time by the Minister of Transportation and Communications.

(d) In this exercise of its powers and functions, the Commission shall prescribe,
formulate, promulgate and implement such other appropriate procedures, rules and
regulations necessary to carry out the desired objectives of this Order.

SEC. 6. Submission of Public Land Transportation Development Plans and Programs. –

In connection with its power to grant franchise, the Commission shall prepare and
submit to the Ministry of Transportation and Communications, for approval,
appropriate public land transportation development plans and programs with at least
region-wide coverage and implications, indicating the broad guidelines for the
determination of public land transportation routes, their economically feasible
capacities, and zones or areas of operations. Development plans and programs shall be
the basis for the operation of the appropriate public land transportation services. Such
land transportation development plans and programs may initially be prepared and
submitted in parts; Provided, That each submission shall at least be of regional
coverage;

SEC. 7. Regional Offices. – The Commission may establish such regional offices as may
be necessary which shall be under the supervision and control of the Chairman. Each of
these regional offices shall be headed by a Regional Director who shall be assisted by
one or more Assistant Regional Directors.

Whenever practicable, and in order to enhance efficiency and economy in operations,

the Commission proper, as a body, may authorize the regional offices of the
Commission to conduct hearings with respect to the exercise of its quasi-judicial
functions, including the authority to adjudicate certain matters as may be determined
by the Commission, and subject to such guidelines as it may prescribe.

SEC. 8. Appeals. – Decisions of the regional offices made pursuant to the authority
delegated to them shall be appealable to the Commission. Decisions of the Commission
shall be appealable to the Intermediate Appellate Court by petition for review.

SEC. 9. Enforcement Functions of the Commission. – The Commissioner designated by

the Chairman pursuant to Section 2 hereof to oversee the enforcement functions of the
Commission may solicit the direct assistance of other agencies and units of the
government and deputize, for a fixed and limited period, the heads or personnel of
such agencies and units to perform enforcement functions for the Commission.
Decisions of the government agencies and units exercising the enforcement functions by
delegated authority of the Commission shall be subject to review by the Commission.

SEC. 10. Authority Over the Metro Manila Transit Corporation. – The Metro Manila
Transit Corporation, an attached agency of the Ministry of Transportation and
Communications, shall be subject to the authority of the Commission only with respect
to the determination of the routes and rates of the Corporation and any measure for
safety and protection of passengers in compliance with the Public Service Law and
other related laws governing public transportation of passengers.

SEC. 11. Transfer of Regulatory Powers to Local Governments. – Except with respect to
the city or municipal governments under the jurisdiction of the Metropolitan Manila
Commission, the exercise of regulatory powers and functions relative to motorized
tricycles used for public transportation is hereby transferred to the city and municipal
governments, except that the function of registering motorized tricycles and the
licensing of drivers thereof shall be retained by the Commission, and the granting of
franchises and the setting of rates shall be upon the recommendation of the city and
municipal governments.

SEC. 12. Authority Over Public Transportation Systems Operating on Railways. – The
Commission shall assume authority and jurisdiction over public transportation services
or systems that operate on railways, such as railroads and light rail transit systems,
whether operated by the Government or by private operators; Provided, That with
respect to systems operated by the Government, the Commission shall assume
authority and jurisdiction only over the determination of the routes and rates, and any
measure for safety and protection of passengers.

SEC. 13. Abolition of the Board of Transportation and the Bureau of Land
Transportation.- The Board of Transportation and the Bureau of Land Transportation are
hereby abolished, and their powers, functions and responsibilities transferred to the
Commission, including applicable appropriations, records, properties, equipment,
rights, choses the action, obligations and liabilities; Provided, That an inventory and
valuation of the properties, equipment, rights, choses in action, obligations and
liabilities of the abolished agencies shall be made by the Commission on Audit and the
accountable officers of the abolished agencies shall remain accountable therefor until
issued a certificate of clearance by the Commission on Audit; Provided, further, That the
quasi-judicial functions of the Board of Transportation pertaining to water
transportation shall be transferred to the Maritime Industry Authority.

Officers and employees of the abolished agencies who are qualified and retained by the
Commission shall be issued the appropriate appointment. Any such personnel who is
not reappointed or who refuses appointment shall be deemed to have been separated
from the service and shall be accordingly paid the money value of his accumulated
vacation and sick leaves, and such gratuity or retirement benefits as may be due him
under existing laws. Any personnel who does not qualify under existing retirement
laws, shall be paid one month’s salary for every year of service, a remaining fraction of
at least six months being considered as one whole year, payable in lump sum from the
savings and salary lapses in the abolished agencies and/or the Ministry of
Transportation and Communications.

SEC. 14. Hold-Over Functions. – All present incumbents of positions in the abolished
agencies shall continue to exercise their usual functions, duties and responsibilities
unless otherwise directed, pending, the issuance of the appropriate implementing order.

SEC. 15. Staffing Pattern Personnel. – The Commission shall determine its
reorganization structure, including the staffing pattern, and shall appoint the necessary
personnel. The Commission shall have the power to suspend or dismiss for cause any
employee and/or approve or disapprove the transfer, detail or promotional
appointment of employees.
SEC. 16. Implementing Rules and Regulations. – The Minister of Transportation and
Communications shall promulgate the rules and regulations necessary to implement
further.

SEC. 17. Repealing Clause. – All laws, decrees, orders, proclamations, rules and
regulations, or parts thereof, which are inconsistent with any of the provisions of this
Executive Order are hereby repealed or modified accordingly; Provided, however, That
nothing in this section shall be construed as having modified or repealed any of the
provisions of Presidential Decree No. 1605.

SEC. 18. Separability Clause. – Any portion or provision of this Executive Order which
may be declared unconstitutional or invalid shall not have the effect of nullifying the
other provisions hereof; Provided, That such remaining provisions can still stand and be
given effect in their entirety to accomplish the purposes and objectives of this Executive
Order.

SECTION 19. Effectivity. – This Executive Order shall take effect immediately.

DONE in the City of Manila, this 20th day of March, in the year of Our Lord, Nineteen
Hundred and Eighty-Five.

(Sgd.) FERDINAND E. MARCOS

President of the Philippines

By the President:

(Sgd.) JUAN C. TUVERA

Presidential Executive Assistant

 MALACAÑANG
Manila

EXECUTIVE ORDER NO.125

As amended by Executive Order No. 125-A dated 13 April 1987

REORGANIZING THE MINISTRY OF TRANPSORTATION AND

COMMUNICATIONS DEFINING ITS POWER AND FUNCTIONS AND FOR
OTHER PURPOSES

RECALLING that the reorganization of the government is mandated expressly in

Article II, Section 1(a), and Article III of the freedom Constitution;

HAVING IN MIND that pursuant to Executive Order No.5 (1986), it is directed

that necessary and proper changes in the organizational and functional structures of the
government , its agencies and instrumentalities, be effected in order to promote efficiency
and effectiveness in the delivery of public services;

CONSIDERING that viable and dependable transportation and communication

networks are necessary tools for economic recovery;

CONSIDERING further that rapid technological advances in communication

facilities require a distinct response to the peculiar problems of this field;

REALIZING that the growing complexity of the transportation sector has

necessitated its division to various sub-sectors to facilitate the regulation and promotion
of the sector as a whole; and

REALIZING further that the State needs to regulate these networks and promote
their continuous upgrading in order to preserve their viability and enhance their
dependability;

NOW, THEREFORE, I, CORAZON C. AQUINO, President of the Philippines,

by virtue of the power vested in me by the sovereign will of the Filipino people and the
Freedom Constitution, do hereby order;

SECTION 1 Title. This Executive Order shall otherwise be known as the

Reorganization Act of the Ministry of Transportation and Communications.

SECTION 2. Reorganization. The Ministry of Transportation and

Communications is hereby reorganized, structurally and functionally, in
accordance with the provisions of this Executive Order.

SECTION 3. Declaration of Policy. The State is committed to the maintenance

and expansion of viable, efficient and dependable transportation and
communications systems as effective instruments for national recovery and
economic progress. It shall not compete as a matter of policy with private
enterprise and shall operate transportation and communications facilities only in
those areas where private initiative are inadequate or non-existent.

SECTION 4. Mandate. The Ministry shall be the primary policy, planning,

programming, coordinating, and implementing, regulating and administrative
entity of the Executive Branch of the government in the promotion, development
and regulation of dependable and coordinated networks of transportation and
communication systems as well as in the fast, safe, efficient and reliable postal,
transportation and communications services.

To accomplish such mandate, the Ministry shall have the following objectives:

(a) Promote the development of dependable and coordinated networks of

transportation and communications system;

(b) Guide government and private investments in the development of the

country’s inter-modal transportation and communications system in a most
practical, expeditious and orderly fashion for maximum safety, service and
cost effectiveness;

(c) Impose appropriate measures so that technical, economic and other

conditions for the continuing economic viability of the transportation a nd
communications entities are not jeopardized and do not encourage
inefficiency and distortion of traffic patronage;

(d) Develop an integrated plan for a nationwide transmission system in

accordance with national and international telecommunications service
requirements including, among other, radio and television broadcast
relaying, leased channel services and data transmission;

(e) Guide government and private investments in the establishment, operation

and maintenance of an international switching system for in coming and
outgoing telecommunication services;

(f) Encourage the development of a domestic telecommunications industry in

coordination with the concerned entities particularly the manufacture of
communications/electronics equipment and components to complement
and support, as much as possible, the expansion development, operation
and maintenance of the nationwide telecommunication network;

(g) Provide for a safe reliable and efficient postal system for the country.
SECTION 5. Power and Functions. To accomplish its mandate the Department
shall have the following powers and functions:

(a) Formulate and recommend national policies and guidelines for the
preparation and implementation of integrated and comprehensive
transportation and communications systems at the national, regional and
local levels;

(b) Establish and administer comprehensive and integrated programs for

transportation and communications and for this purpose, may call on any
agency, corporation, or organization, whether public or private, whose
development programs include transportation and communications as an
integral part thereof, to participate and assist in the preparation and
implementations of such programs;

(c) Assess, review and provide direction to transportation and

communications research and development programs of the government in
coordination with other institutions concerned;

(d) Administrative and enforce all laws, rules and regulations in the field of
transportation and communications;

(e) Coordinate with the Department of Public Works and Highways in the
design, location, development, rehabilitation improvement, construction,
maintenance and repair of all infrastructure projects and facilities of the
Department. However, government corporate entities attached to the
Department shall be authorized to undertake specialized
telecommunications, ports, airports and railways projects and facilities as
directed by the President of the Philippines or as provided by law;

(f) Establish, operate and maintain a nationwide postal system that shall
include mail processing, delivery services , and money order services and
promote the art of philately;

(g) Issue certifications of public convenience for the operation of public land
and rail transportation utilities and services;

(h) Accredit foreign aircraft manufactures and/or international organizations

for aircraft certification in accordance with established procedure and
standards;

(i) Establish and prescribe rules and regulations of identification of routes,

zones and/ or areas of operation of particular operators of public land
services;
(j) Establish and prescribe rules and regulations for the establishment,
operation and maintenance of such telecommunications facilities in areas
not adequately served by the private sector in order to render such
domestic and overseas services that are necessary with the consideration
for advance in technology;

(k) Establish and prescribe rules and regulations for the operation and
maintenance of a nationwide postal system that shall include mail
processing, delivery services money order services and promotion of
philately;

(l) Establish and prescribe rules and regulations for the issuance of certificate
of public convenience for public land transportation utilities, such as
motor vehicles, trimobiles and railways;

(m) Establish and prescribe rules and regulations for the inspection and
registration of air and land transportation facilities, such as motor vehicle,
trimobiles, railways and aircrafts;

(n) Establish and prescribe rules and regulations for the issuance of licenses to
qualified motor vehicle drivers, conductors, and airmen;

(o) Establish and prescribe the corresponding rules and regulations for the
enforcement of laws governing land transportation, air transportation and
postal services including the penalties for violations thereof, and for the
deputation of appropriate law enforcement agencies in pursuance thereof;

(p) Determine, fix and/or prescribe charges and/or rates pertinent to the
operation of public air and land transportation utility facilities and
services, except such rates and/or charges as may be prescribed by the
Civil Aeronautics Board under the charter, and, in cases where charges or
rates are established by international bodies or associations of which the
Philippines is a participating member or bodies or associations recognized
by the Philippine government as the proper arbiter of such charges or
rates;

(q) Establish and prescribe the rules, regulations, procedures and standards for
the accreditation of driving schools;

(r) Administer and operate the Civil Aviation training Center (CATC) and the
national telecommunication training Institute (NTTI; and

(s) Perform such other powers and functions as may be prescribed by law, or
as maybe necessary, incidental or proper to its mandate, or as maybe
assigned from the time by the President of the republic of the Philippines.
SECTION 6. Authority and Responsibility. The authority and responsibility for
the exercise of the mandate of the Ministry and for the discharge of its powers and
functions shall be vested in the Minister, who shall have supervision and control
over the Ministry and shall be appointed by the President.

SECTION 7. Office of the Minister. The Office of the Minister shall consist
for the Minister and his immediate staff.

SECTION 8. Undersecretaries. The Secretary shall be assisted by four (4)

Undersecretaries appointed by the President upon the recommendation of the
Secretary.

SECTION 9. Assistant Secretaries and Services Chiefs. The Secretary shall also
be assisted by eight (8) Assistant Secretaries appointed by the President upon the
recommendation of the Secretary, each of whom shall respectively be responsible
for the following four (4) staff respectively be responsible for the following
four(4) staff offices composed of eight (8) services and four (4) line offices, and
shall report to the respective Undersecretaries assigned by the Secretary, which
Undersecretary shall have control and supervision over said respective services
and offices:

(a) Office of the Assistant Secretary for Administrative and Legal Affairs:

1) Administrative Services, and

2) Legal Service

(b) Office of the Assistant Secretary for Finance and Comptrollership;

1) Finance and Management Services, and

2) Comptrollership Service

(c) Office of the Assistant Secretary for Planning and Project Development;

1) Planning Services, and

2) Project Development Service

(d) Office of the Assistant Secretary for Management Information Service and
Project management:

1) Management Information Service, and

2) Project management Service

(e) Office of the Assistant Secretary for Land transportation;

(f) Office of the Assistant Secretary for Postal Services;

(g) Office of Assistant Secretary for telecommunications;

(h) Office of the Assistant Secretary for Air transportation.

Each of the above-named services shall be headed by a services chief appointed

by the President upon the recommendation of the Secretary.

SECTION 10. Structural Organization. The Department, aside from the

Department proper which is comprised of the Offices of the Secretary
Undersecretary and Assistant Secretaries shall include the Department regional
offices and attached agencies and corporations referred to in Section 14 hereof.

The Office of the Secretary shall have direct line supervision and control over the
Department regional offices. The Department proper shall be responsible for
developing and implementing policies, plans, program and project for the
Department.

SECTION 11. Department Regional Offices. The Department shall have three (3)
Department Regional in each of the administrative regions of the country: the
Department regional Office for Land Transportation, the Department Regional
Office for Telecommunications and the Department Regional for Postal Services.
The present Regional Offices of the Land Transportation Commission are hereby
abolished and their functions are transferred to the respective Department
Regional Offices of the Land Transportation. The present Regional Offices of the
Bureau of Telecommunications are hereby abolished and their functions are
transferred to the respective Department Regional Offices for
Telecommunications. The present Regional Offices of the Bureau of Posts are
hereby abolished and their functions are transferred to the corresponding
Department Regional Offices for postal Services. Each Department Regional
Office shall be headed by a Department Regional Director and assisted by a
Department Assistant regional Director. The present Airport Offices of the
Bureau of Air Transportation are hereby abolished and their functions are
transferred to the Department Airport offices. The abolition of the herein Regional
Offices and the transfer of the their functions shall be governed by the provisions
of Section 15 (b) hereof.

The Department regional Offices shall essentially be line in charter and shall be
responsible for the delivery of all front line services of the Department .

For such purposes, the Department Regional Offices shall have, within their
respective administrative regions, the following functions:
 (a) Implement laws, and policies, plans, programs, projects, rules and regulations
of the Department;

(b) Provide efficient, and effective service to the people;

(c) Coordinate with regional offices of other departments, offices and agencies;

(d) Coordinate with local government units;

(e) Perform such other functions as may be provided by law.

SECTION 12. Maritime Industry Authority. The Maritime Industry Authority is hereby
retained and shall have the following functions:
(a) Develop and formulate plans, policies, programs, projects, standards,
specifications and guidelines geared toward the promotion and development
of the maritime industry, the growth and effective regulation of shipping
enterprises, and for the national security objectives of the country;

(b) Establish, prescribe and regulate routes, zones and/or areas of operation of
particular operators of public water services;

(c) Issue Certificates of Public Convenience for the operation of domestic and
overseas water carriers;

(d) Register vessels as well as issue certificates, licenses or documents necessary

or incident thereto;

(e) Undertake the safety regulatory functions pertaining to vessel construction

and operation including the determination of manning levels and issuance of
certificates of competency to seamen;

(f) Enforce laws, prescribe and enforce rules and regulations, including penalties
for violations thereof, governing water transportation and the Philippine
merchant marine, and deputize the Philippine Coast Guard and other law
enforcement agencies to effectively discharge these functions;

(g) Undertake the issuance of licenses to qualified seamen and harbor, bay and
river pilots;

(h) Determine, fix and/or prescribe charges and/or rates pertinent to the operation
of public water transport utilities, facilities and services except in cases where
charges or rates are established by international bodies or associations of
which the Philippines is a participating member or by bodies or associations
 recognized by the Philippine Government as the proper arbiter of such charges
or rates;

(i) Accredit marine surveyors and maritime enterprises engaged in shipbuilding,

shiprepair, shipbreaking, domestic and overseas shipping, ship management
and agency;

(j) Issue and register the continuous discharge book of Filipino seamen;

(k) Establish and prescribe rules and regulations, standards and procedures for the
efficient and effective discharge of the above functions;

(l) Perform such other functions as may now or hereafter be provided by law.

SECTION 13. Abolition/Transfer/Consolidation:

(a) The Land Transportation Commission is hereby abolished and its staff
functions are transferred to the service offices of the Department Proper and
its line functions are transferred to the Department Regional Offices for Land
Transportation as provided in Section 11 herein. Such Transfer of functions is
subject to the provisions of Section 15(b) hereof. The quasi-judicial powers
and functions of the Commission are transferred to the Department. The
corresponding position structure and staffing pattern shall be approved and
prescribed by the Secretary pursuant to Section 16 hereof.

(b) PNL Leasing, Inc. is hereby abolished and its functions are transferred to
Philippine National Lines, Inc. subject to the provisions of Section 15(b)
hereof. The Secretary of Transportation and Communications or his
designated representative shall be the Chairman of the Board.

(c) The National Aero Manufacturing, Inc. and the Philippine Aero Systems, Inc.
are hereby abolished in accordance with the provisions of Section 15(a)
hereof.

(d) The Civil Aeronautics Board is hereby transferred from the Department of
Tourism to the Department as an attached agency in accordance with the
provision of Section 15(a) hereof. The Secretary of Transportation and
Communications or his designated representative shall be the Chairman of the
Board.

(e) The Maritime Training Council’s function of issuing certificates of

competency to seamen under LOI 1404 is hereby transferred to the Maritime
Industry Authority.
SECTION 14. Attached Agencies and Corporations.
(a) The following agencies and corporations are attached to the Ministry: the
Philippine National Railways, the Maritime Industry Authority, the Philippine
National Lines, the Philippine Aerospace Development Corporation, the
Metro Manila Transit Corporation, the Office of Transport Cooperatives, the
Philippine Ports Authority, the Philippine Merchant Marine Academy, the
Toll Regulatory Board, the Light Rail Transit Authority, the Transport
Training Center, the Civil Aeronautics Board, the National
Telecommunications Commission and the Manila International Airport
Authority.

(b) An Airport Security Center is hereby created within the Manila International
Airport Authority, to plan, supervise, control, coordinate, integrate and direct
intelligence and operational activities of all police and military units, security
and safety service units, government monitoring and intelligence units and
other security operating units employed by government entities and/or by
private agencies in the Manila International Airport. The Center is under the
direct supervision and control of the MIAA General Manager. Moreover, the
Authority shall be authorized to organize a Manila International Airport Police
Force with all the police powers necessary to implement the objectives of the
Center.

The exercise of supervision and control by the Airport security Center does
not include the transfer of appropriation, equipment and personnel to the said
Authority; PROVIDED, that the Airport Security Center may cause the
deployment of equipment and personnel in such manner it deems necessary in
the discharge of its functions.

SECTION 15. Transitory Provisions. In accomplishing the acts, of reorganization

herein prescribed, the following transitory provisions shall be complied with,
unless otherwise provided elsewhere in this Executive Order:

(a) The transfer of a government unit shall include the functions, appropriations,
funds, records, equipment, facilities, choses in action, rights, other assets, and
liabilities, if any, of the transferred unit as well as the personnel thereof, as
may be necessary, who shall, in a hold over capacity, continue to perform
their respective duties and responsibilities and receive the corresponding
 salaries and benefits unless in the meantime they are separated from
government service pursuant to Executive Order No. 17 (1986) or Article III
of the Freedom Constitution. Those personnel of the transferred unit whose
positions are not included in the Ministry’s new position structure and staffing
pattern approved and prescribed by the Minister or who are not reappointed
shall be deemed separated from the service and shall be entitled to the benefits
provided in the second paragraph of Section 16 hereof.

(b) The transfer of functions which results in the abolition of the government unit
that has exercised them shall include the appropriations, funds, records,
equipment, facilities, choses in action, rights, other assets and personnel as
may be necessary to the proper discharge of the transferred functions. The
abolished unit’s remaining appropriations and funds, if any, shall revert to the
General Fund and its remaining assets, if any, shall be allocated to such
appropriate units as the Minister shall determine or shall otherwise be
disposed in accordance with the Government Auditing Code and other
pertinent laws, rules and regulations. Its liabilities, if any, shall likewise be
treated in accordance with the Government Auditing Code and other pertinent
laws, rules and regulations, Its personnel shall, in a hold over capacity,
continue to perform their duties and responsibilities and receive the
corresponding salaries and benefits unless in the meantime they are separated
from the service pursuant to Executive Order No. 17 (1986) or Article III of
the Freedom Constitution. Its personnel, whose positions are not included in
the Ministry’s new position structure and staffing pattern approved and
prescribed by the Minister under Section 16 hereof or who are not
reappointed, shall be deemed separated from the service and shall be entitled
to the benefits provided in the second paragraph of the same Section 16.

(c) The transfer of functions which does not result in the abolition of the
government unit that has exercised them shall include the appropriations,
funds, records, equipment, facilities, choses in action, rights, other assets and
personnel as may be necessary to the proper discharge of the transferred
functions. The liabilities, if any, that may have been incurred in connection
with the discharge of the transferred functions, shall be treated in accordance
with the Government Auditing Code and other pertinent laws, rules and
regulations. Such personnel shall, in a hold over capacity, continue to perform
their respective duties and responsibilities and receive the corresponding
salaries and benefits unless in the meantime they are separated from the
service pursuant to Executive Order No. 17 (1986) or Article III of the
Freedom Constitution. Personnel, whose positions are not included in the
Ministry’s new position structure and staffing pattern approved and prescribed
 by the Minister under Section 30 hereof or who have not been appointed, shall
be deemed separated from the service and shall be entitled to the benefits
provided in the second paragraph of the same Section 16.

(d) In case of the abolition of a government unit which does not result in the
transfer of its functions to another unit, the appropriations and funds of the
abolished unit shall revert to the General Fund, while the records, equipment,
facilities, choses in action, rights, and other assets, thereof shall be allocated to
such appropriate units as the Minister shall determine or shall otherwise be
disposed in accordance with the Government Auditing Code and other
pertinent laws, rules and regulations. The liabilities of the abolished unit shall
be treated in accordance with the Government Auditing Code and other
pertinent laws, rules and regulations, while the personnel thereof, whose
positions are not included in the Ministry’s new position structure and staffing
pattern approved and prescribed by the Minister under Section 16 hereof or
who have not been reappointed, shall be deemed separated from the service
and shall be entitled to the benefits provided in the second paragraph of the
same Section 16.

(e) In case of merger or consolidation of government units, the new or surviving

unit shall exercise the functions (subject to the reorganization herein
prescribed and the laws, rules and regulations pertinent to the exercise of such
functions) and shall acquire the appropriations, funds, records, equipment,
facilities, choses in action, rights, other assets, liabilities if any, and personnel,
as may be necessary, of (1) the units that compose the merged unit or (2) the
absorbed unit, as the case may be. Such personnel shall, in a hold over
capacity, continue to perform their respective duties and responsibilities and
receive the corresponding salaries and benefits unless in the meantime they
are separated from the service pursuant to Executive Order No. 17 (1986) or
Article III of the Freedom Constitution. Any such personnel, whose positions
is not included in the Ministry’s new position structure and staffing pattern
approved and prescribed by the Minister under Section 16 hereof or who is
not reappointed, shall be deemed separated from the service and shall be
entitled to the benefits provided in the second paragraph of the same Section
16.

(f) In case of termination of a function which does not result in the abolition of
the government unit which has performed such function, the appropriations
and funds intended to finance the discharge of such function shall revert to the
General Fund, while the records, equipment, facilities, choses in action, rights
and other assets used in connection with the discharged of such function shall
be allocated to the appropriate units as the Minister shall determine or shall
 otherwise be disposed in accordance with the Government Auditing Code and
other pertinent laws, rules and regulations. The liabilities, if any, that may
have been incurred in connection with the discharge of such function shall
likewise be treated in accordance with the Government Auditing Code and
other pertinent laws, rules and regulations. The personnel who have performed
such function, whose positions are not included in the Ministry’s new position
structure and staffing pattern approved and prescribed by the Minister under
Section 16 hereof or who have not been reappointed, shall be deemed
separated from the service and shall be entitled to the benefits provided in the
second paragraph of the same Section 16.

SECTION 16. New Structure and Pattern. Upon approval of this Executive Order,
the officers (the term ”officer” as used in this Executive Order is intended to be
within the meaning of the term “official” as used in the Freedom Constitution)
and employees of the Ministry shall, in a hold over capacity, continue to perform
their respective duties and responsibilities and receive the corresponding salaries
and benefits unless in the meantime they are separated from government service
pursuant to Executive Order No. 17 (1986) or Article III of the Freedom
Constitution.

The new position structure and staffing pattern of the Ministry shall be approved
and prescribed by the Minister, for the Ministry, within one hundred twenty (120)
days from the approval of this Executive Order and the authorized positions
created there under shall be filled with regular appointments by him or by the
President as the case may be. Those incumbents whose positions are not included
therein or who are not reappointed shall be deemed separated from the service.
Those separated from the service shall receive the retirement benefits to which
they may be entitled under existing laws, rules and regulations. Otherwise, they
shall be paid the equivalent of one month basic salary for every year of service, or
the equivalent nearest fraction thereof favorable to them on the basis of the
highest salary received, but in no case shall such payment exceed the equivalent
of 12 months salary.

No court or administrative body shall issue any writ or preliminary injunction or

restraining order to enjoin the separation/replacement of any officer or employee
effected under this Executive Order.
SECTION 17. Prohibition Against Changes. No change in the reorganization
herein prescribe shall be valid except upon prior approval of the President for the
purposes of promoting efficiency and effectiveness in the delivery of public
services.

SECTION 18. Implementing Authority of Minister. The Minister shall issue such
orders, rules, regulations and other issuances as may be necessary to ensure the
effective implementation of the provisions of this Executive Order.

SECTION 19. Notice or Consent Requirements. If any reorganizational change

herein authorized is of such substance or materiality as to prejudice third persons
with rights recognized by law or contract such that notice to or consent of
creditors is required to be made or obtained pursuant to any agreement entered
into with any of such creditors, such notice or consent requirement shall be
complied with prior to the implementation of such reorganizational change.

SECTION 20. Funding. Funds needed to carry out the provisions of this
Executive Order shall be taken from funds available in the Ministry.

SECTION 21. Change of Nomenclature. In the event of the adoption of a new

Constitution which provides for a presidential form of government, the Ministry
shall be called Department of Transportation and Communications and the titles
of Minister, Deputy Minister, and Assistant Minister shall be changed to
Secretary, Undersecretary and Assistant Secretary, respectively.

SECTION 22. Separability. Any portion or provision of this Executive Order that
may be declared unconstitutional shall not have the effect of nullifying other
portions or provisions hereof, as long as such remaining portions or provisions
can still consist and be given effect in their entirely.

SECTION 23. Repealing Clause. Presidential Decree No. 890, Letter of

Instruction Nos. 263 and 371, Executive Order No. 1011 dated March 20, 1985
are hereby repealed. All laws, ordinances, rules, regulations, other issuances or
parts thereof which are inconsistent with this Executive Order are hereby repealed
or modified accordingly.
~
~
~
 ,';
Assis tant Secre tary..:for';:Managemen t. Inf orma tion-;~;;ti~!r:t~i~

Organization. :"The Depar,tment, aside: from the;;~~~~~,;i::~'~

~'~:;$~~~~~;;::'Department','proper ;-which is comorised of the Offices of the Secre tary,:~:~~~T;;;:;~\k~
:~'i;:6:~~;:;;-'Under'secre.t.ary. ::and-:'Ass1sian t S~cre caries shall', include" the. ' Depart:nent':~~~d;,~?~~~~
ag&,"'cies" and corpo"stions ?"oFe""od to in,":;,;~t;i";l~q~

~or developing an~ im,plementi?g policies, pl::ns, prog::-ams,'..';,t~~(~';:;::f

:' :, -.':, ,.. ~' ,' ,:;~-:~~{;:~-.;:,!~:,:-,,

~::-"""'.~'-," c ': ' ll:~,":';;,;"Department.

-, Regional
~ Offices ~..', The Department sb.=.ll , have. '",:",.,'-:.q~;::;:"~::.~~
;::;:!1:-;':';';;
(3) Department. Regional Offices in each of the admin1st::-a1:ive r&.gions"-},,:;:~(~,:::;,~~:;;:

P.e.g 10:1al Of ric!? for La!ld T=.:! ~S For-:::t.::'on',:::.~~~~~f~f~~:

for Telecom:::uuic:! ticns D.nd t::e D~?ar'::::nt."'~:::;;~::,::~'~~?

The..,,;,. present., r.L;:; i.~"al Of.. -ces or L.L.- u~- .--u or c;'_r-';':'",
:,.",~,
_and ~t.hei= func:::o::s a=~ t::-::::;:;f.e==cd:;~~.rl~~
~;;'J!~;;i~~~,tothe:.:r~spective..DeDartme~t ,Regional Otfices for Telecommu~ic::c::cns~ ' 'The'."~;';'~;!':';-"-~$

Bu::-~au of~post: .:re ,~~re;r-~~~:i

1'
;:';;:?j;"i' ;::their;,,;:~unctions are.transfer..ed to t.,e cor.. espoL_c_~g ",cp '-.,'~.. --"~::.l.o..~l:, "'~::'i:"~;"'~,, '::~~g;~~'

"':'::_"""'~C
Off .'"

...ces.;;,.,
, ::"_c
f or-.;.
;;:; p
ost.a,
S

erv
i

ces.
' ~-

..~c,.
1;, "'.."

",,?oa_,-ment
;'!"~1...~,,1

;'-6-~'-'.-
r'\~-=..

'J
~,.. ,,;".,1'

-,
}.o:-'~:;;:!(!;~;}-;;:;;,

"'_'".::.~",~!,.~". '~,.::':i;,;,'£t.o

'T'!"~ "00111:"'0:1 of t!-.o t",,'.~i;-. R"";o:lal'-::""'.:""",':'~,;:,:'

;h;~; f:':;~;i~I'.S sh;ll t~ ._~,=",:;~~;; ;~~- t~e..~;(~;~~'~~
..,:~,.,"-t":J~:prov1sions 'at: Sect.1on',15(b)'" he"~oT" :::~"-":;;'~:'i::

":;,;.,-:.;;:.;.their,respec.t.1ve...adm1n1sttat.ive ~-g,-,..,..;, ..:1", "-0 0 ,; ,-- .:', ,'.,,'-"

.' ..,\..~i-:'i
~
~:~~]tt:;1~~~~,tr~:::(h);.:;-'De.term1n~,~,fii::;an4/or prescribe char.ges :andior rates 'pertine~t~~~»~i:~~:;~j.:"{"'~
ot.he:'::::.operat1on ...of: public water !,transDo'rt. utili ties ,~,,:facil1 t1es:~J2~~!~,;:4
t,::~;ln .cas~s. .:wh~re ;charges or' .rates ';,~!~a~e~~;~~~::
tablished,by.".1nterna tional' bodies ~or: as socia t.ions of which.,:.'.:~the~"l;,,;,:i:r~

,.,~(1):6.Accredit:-:. marine:, surveyors and. mari.time enterprises, engaged ::'.1n;'.7~~~:~j:

as follows:'. ...:.:-'~-;'i~';;:.':;,;r'~~}:,,~~~,"

".",.",,,.:, :powers. .".and .-functions or the Com...iSS1O... a_- t._"",.,1. _~~ea to. the;~~""'.:""?;,"

t~:d""""".\:f"""";,;,,,'-'.':-",(b)"

is },e-oby ,.r-ol~ "'1°a ar"d -1"~ func--ions .at:a.-o:'"..;t~~".

~
...'
'~. '.
.-Pap;e

te)
i-.

Tn~ ~~~1 t.1~ Tr4~111rr~ Counc11's function

of
of laau1ng
I

c.ertlt.i~nte'
cul:tp~tcn(") LO ~CI).lcn und~T 1..01 J404 15 hercby tt'OIt1sfcrrud to
~~~~
~
'
..~ .., -
.

the !1a=-ft1Mc," lndu:irry :\llcl'Ior1tv." .

E.~:!IO;, S. ~ec~lon~ 18, J~, 20, 21, 21, 23. 24, 25 and 2(j of said
':::' ~::1.:t.1ye Order are ncreoy ren\1ropet:e.d KS Sect1on. 14, 15, 16, 17. IS, 19. 10,

~~ 2n~ ~:. resp~c~1V~)J'

$! CT10'; b. Se;:t1on 17 of said Execut.1ve Order is hereby- renu:nbcred A~
~=~lon 23 and ,mended to read ~S follows:

MSecr.~on 23. Kepea11nr. Cl~u8t:, Pre.s~dent.1.nl Decree No: 890, Letter ot"
lusr.ruc.r.1.on Nos-.. 263 and 371 t:.xe.c.ut.!:ve Order No. 1011 'dat.ed March 20, 193)
---,-.
'~rt hereb} ~epeal~d. kll l~~t, crd1nanc6s, rule" regula~1ons, o~her'
!ssuan~es or on=t& ther~of which Are
Order are hercPY r~peal~d or aodlfled 8c.~arding~y.M lncons1~~ent ~l~h this Execut~V~
.

SECTION 7. section 28 of as1c Executive Order 11 h=reby r~numbere.d ~S

~::t:!.on 24.
SECTION 8. 'l'h1s Exetut.2 ve Order sr.all u'J(,t: efiect 1~ed.1&t.el'" upon 1:~
"

~~::cval.
..COMt in ~he City of ~nnila. Phi11ppi~a, tn18 1 3t*h"- day of
'r.~~ 11
--~ I in th~ ~ear of O\\r Lord, Ninet.e~n ~undr~d .0 ~nd ~i~ht~Seve~.
J

'~J'" .Pi-.h.
" ..
Y
.'.

.
~ :hc Pt'cb1dent.:

//.
-" '7"7'"
, P.
,---jt.~;:;
~/~c~~t1ve
~ .
RROYO
~cretary
.

)~

~~;
r ~- imposed on f.very motor.vehicle, ·~vhethcr for hire or for private
11. No. 0863
~-· :n.;.;,. ISJO 11se. inr.luding govf)r n::uenL motor '\'f'hiclee. ·as
more fu lly
pro,,ided in Sect.ion 3 hereof. a Motor Veh'.cle User's Charge
(MVUC) which sh~ll he coliecterJ from al'.)d paid by the owner
of the mot.or vehicle.

SEC. :3. Ralr'S nf the Motnr Vdiiclc User 's Charge. - (a)
For private passenger cars rf-'bistered as of .the date of
effocL1viLy of this Act, the !vPVl..JC t.o be pa.tel shail he t he private
1r1ot()r v~h i cie ta x unr!to:: r Executive Or der No. 43, series of

1!}86, pins tw~nty-(:ivc percent (25%) for the first year, fifty
percent (50%) for the i;ccon<l year, sevent.y-fi ve per cent (75%)
fol' the third year, and one hundred percent (100%) for the
four th yea r and th,erea.fter: Provided, howct1er, That private
) pm;senger r,:ars t.o be reg-istered for t.he first ti me after the
cffectivitv· of t his Act, ;:ihall he subject to the MVUC rates
p1·escribP.d in .Section 3(b) hereof.

(b) }~~r.cpt as provi<l ed under Section 3(a) hereof, for

8€gun and held in Metro Manila , on Mondiiy, the twenty-sixth <!ach motor vehicle under each of the cat.egor ies as h erein
day of Jufy, nineteen hur1dred and ninety- nine. pro·,1 idcd, the MVlJC shall be collected from and paid by the
vehicle owner, at the following base rat.es plus twenty-five
percent (25%) in the first year from the cffectjvity of this Act;
[ REPUBLIC Acr No. B'f94 , the said h~r,e rates plus fifty percent (50%) in th e second year
J fr(•m the effectivit.y of t.his Act; the s::iid base rates plus
seventy-five percent (75%) in the third year fro m the
AN ACT H..-1POSING A !vlOTOR VEHICLE USER'S CHAR.GE r.ffectivity of this 1\ ct; ~nd the said base rates plus on e h undred
ON OWNERS OF ALL TYPES OF MOTOR VEH ICLES percent (100%) in the fourth year from the effectivity of this
AND FOR OTHER PURPOSES Act and thereafte r: Prou£ded, That the MVUC for spor ts
r f utility vehicles shall be fifteen percent (I:)%) high er than t he
/
8!! it enacted by the Ser.ate and House of R~presentatives of the MVT.IC herein set for private utility vehicles: Provided, further,
Philippines in Congres.~ assembled: Thal: motorcycles for hire with sidecars shall not pay more
t.han Three hundred pesmi (P300.00).
SECTION l. Declaration of Policy. - It is hereby declared
as tbc poli.cy of._the State to provide for and ens\lre the Type of Vehicle · Base Rates
ad.equate maintenance of nat.icnal and p:-ovincial roads t.hrouv.h
tufftcient: f1mding for the pnrpose. · · - L P-riv::it.c and Government.

cr·r· •) C. overage. - I n 1·te:! A. Pa>;i:;cn;rer Cars

~) ~J • .u. 0 r1 t h G reg1str<\t1on
. . fae under
Seciion 8 of Republic Act No. 4136, aG amended hv Batas (1) GV\V up to 1.600 kgs. P 8'00
Pam!)ansa .Bilar.g 71, and the Private Motor VP.hide T;x under (2) GVW more than 1,600 kgs.- 2,300 kgs. 1,800
Exi:!cutive Order No . '!3. series of i 986, ther€ is hereby (3) (;VW more than 2,300 kgs. 4,000
B. Utility Vehi.des
D. Buses

GWl more than 4,GOO kgs. P 15 per J.00 kgA. of GVW

I
GVW up to 2,700 kgs . Pl,000 E. Trucks \
Pl,000 + P 20
GVW more than 2,700 kgs.- 4, 500 kgs.
per 100 kgs. of
G'v'W over
GV\V more than 4,500 kgA. P900 + PJ.2 per 100 ~rri;.
of GVW over 2.;mo kgs.
I
2,700 kgs. F. Trai lers I
C. Motorcycles GVW m ore than 4,500 kgs. Pl2 per 100 kgs. of G\iW
without sidecar p 120
150 After the fnurth yea r from the cffect.ivity of t.h;s Act
wit h sidecar
t he Preside nt of the Philippine!> may adjust the rates contained
D. Buses in Section 3 which Ahalt be reflective of but 8hall n ot e.x'-eed
~he annual r ate of ini::ref\se of the Consumer Price Jndcx (CI'J.).
P900 + P12 per 100
GVW mor e than -1,500 k gs. The President may a djust such rates not more than once ~verj
kge. of GVW over
five (5) )'ear.s.
2,700 kgs.

E. Trucks S.E:C. 4 . Government J\1ot.or Vehicles_ - The mann~r of

P~'.yment oft.he user's charge on government 11\0V>r vehicle;;
GVW more than •1,500 k gs. P900 + P 12 per J{J(.J
s h a:ll be in accordance with the procedure that shall be
kgs. of G VW ov.:er pron.1ulgaLed by the Secretary of the Department of Budget
2,700 kg!3. cind ·l \.fanagement. (DI3M).
F. Trailers
SE<..~. 5. Reclassification and New Model s of M otor
G\TW more than 4,500 kgs. Pl2 per lll~O kgs. of Vehic/.es. - '!~he Land Transpor tation Office (LTO) shat! suhmit
GVW any recommenvlation for any change in the classification of
motor vehicles abo "e·listcd for approval by the Secretary of
IL For Hi.re the Department of T!'<>,nsportation and Commu.n ications
A. Passenger Cars (DOTC). All manufacture'rs and/or aRsemblers · of motor
vehicles . s h a ll. not later than three (3) m onths prior t.o t.he
(1) GVW up to 1,600 kgs. P 450
introduction of any new model o.f motor vehicle in the market
(2) GVW more tha n 1,600 kl.gs.-2,300 kg~. !WO
submit the specifications of such r,,ew model to the J.:ro which
(3) GVW more .t han 2,3f\!J kgs. 2,500
shall recommend fo r approval by the· !>.-;aid secretary, the proper
B. Utilit.y Vehicles classificat ion of the new model and t.:i~ rate of the MVUC
. /
G\ rw up lo 4,500 ~.gs. Pl5 per tOO kg"3. of under which the new model s h all fall. Tht· L'l'O shRll a lso
GVW release the prope r classification of said new ml"1tor ve hide

C.
-
Moti'.,i~cydes
model on or before the scheduled rPlease of such 11<>w model
t.o the market, hut in no case later than three (3) month s
aft.er its receipt of the new motor vehicle's specifications .
without ~i<le~u Pl50
 remaining thirty percent (30%) thereof shall be alloc~ted and
used for the maint.P.nance, and improvement of drainage of
5 natio~al secondary roads thro11ghout. the country ·
SEC. 6. Penalty for Ouerloarling. -An ammm.t. NJ. uiv~lent.
t.o twrnty-fivc percent (25%) of the MVUC shall he impcsccl 'The cost <lf inutallat.i on of adequ~te and e fficien t traffic
011 trucks ;; nd t.rnilers for loading heyon d thei r prcscrihcrl lights and road safety devices thrcughnut the country, where
f;l'Oss ve hicle weight: Provided, That no axle Ion.cl shall r:xcecd such fr<'lffi.c light!; 3na safety dcvicf!s an! needed, shall be taken
t.h.irt,ecn thou~and five h undred kiiogrnms (1 3,500 kgi::.). from the Sper.ial Road Safety Fund.

Sr.::c. 7 . Dispot;itr:on of Monies Cnl.lecl.ed. - A11 monies The Special Local Road Fund shall be apportioned to
<:ollect.(:n under this Act s}1all be enrm:trked solely :rnd used provincial and city gov~rnments in a ccordan ce wit~ the vehi~le
exchi.sively ( J) for road main timance a nd Lh !! improvP.mcP..t of population and size of lhe road network under t.he1r r espective
road:drainage, (2) for the inst~llation of adequate ancl effici ent jurisdictions, and s hall be used exclusively for mai.nte?ance
traffic lights and road. s3fety dnvices, and (3) for tiir pollutt. of local roads, traffic management and road safety devices. "
confrol.
A Road Board to impl~ment th e p;-ndent and efficient
!
t
/ All such monies collected shall he deposil,ed in fonr (1) management a nd utiliz.ation of t he specia l funds ·shall ·be
~pedal trnst accounts in the National Treas ury, n ~ m cly: (1) organi zed by th<> President. of the PhilippineR. The Road Board
Special Road Support fund; (2) S pecia l lflcal Road Fund: (3) r.hall be composed of seven (7) me mbers, with the Secreta1·y
Speci<11 Road Safety fund.: and (4) Special VF-hide P rillution of t he DPWH as ex off~cio head, and the secretaries of th~
Confrnl Fund. The dist.ribution oi collections undC:r this Act Departments of Finance, Budget Rnd Manag~~e.nt, and
shail ~P: ;.is follows: Transportation and Communications. as ex officio m.~~bt;z:s.
.. The remaining three (3) members shRll come from transport
. .~.:!.) Eighty .percent. (80%) shall be alloLted t.o and placed and. motorist organizations which have been in C?tistence and
in the Special Road Supi)O'r t F: md; active for t he la~t five (5) years prior to this Act. They, shall
be appoin t.e d for a term of two (2) yea!·s each by the President
of the P hilippines upon the recom mendation of the secretaries
(2) Five percent (5%) shall be allotted to and placed in
the Spcci::ll Local Road F und; of the DPWH and the DOTC.

SbC. 8. Status of Lhe Sp1xial F unds. - The four (4)

(3) Seven a nd one-half percent (7.5%) sh a ll b1~ allotted
s pecial funds est.a blislied under thii:; Act s hall be distinct .a nd
,I t.o :rnd placed in the Special Road Safety Fund: :ind
separate from and in addition to 1rny appropriat.ion authorize d
and granted yea rly to the DPWH a nd the DOTC to cover
(4) Seven ·a nd one-ha lf percent (7.5%) s hall be ellott.ecl c;:penditures for the identified objects of ex.penditures under
to and pl~ce in the Special Vehicl.e Pollution Con trol Fund. this Act. Congress shall continue t,o appropriate ·an a mount
in the General Appropriations Act for road m ai ntenance of
The Spcci<> l Road Support Fund , the Special Locnl Road . r: h
the DPWH : Provided., however, That. any savings .or eac
Fund an d the Special Ro<id Safety Fund sha ll lw unrlr.r the year out of such approprint.1on shall revert to t he Gener~l
DP'l'.iH, wh ereas the Special Vehicle Polhitinn C0ntrnl fund f und . Any ~uvi ngs from t.he special funds create d here in
:>hall be undtJr t.hc DOTC. shall accrue to t.hese respective specia l funds.

Seve nty percent (70%) of the Special Road Support Fund •"
sha ll l)e used ex<:lusivcly for the mai nte i:rnnce of. nn<l th<>
i;;:1provement of drninagc of. n;ltional prima r:" rond!'. The
\~ ---- ·

_ ... - - - - - ........... ..-..a.. ... ~-.,. . ..._·-.:-"..:.:...:..:.!...:::::.;- _.=. =-:;:....----=--- .. _. _ _ _ •

 7 8
SEC. 9. Implementing Rnles an.rt R cgu.lotions. - The SEC. l 3. E((ectivity. - 'T'his Act s hall take effect after
sP.cr etaries of the DPWH and the DOTC i:ihall jointly within fifteen 0 5) d:iys followi~g its publication in a t least two (2)
t hirty (30) days from t h e "effectivity of this Act, promulgate new~papers of gc:1ernl cu·culation.
the rules and regulnt.ions to implement. a nd carry out the
inLen t , objectives, purposes an d proviaions of this Ac t . Approved,
includ ing such structurai a nd procedur al improvemen t1; in
:.he sy3tems ~nd agencies concerned as may' be nec<'!ssary to
e n sure t he prudent, wise, effective and efficient utilization of
the sp ecial .funds established under t.his Act: Provided, That
JO~ MANUEL -c _ VTLL R JR.
the S~crctary of the DPWH shall prepare t.he portior. of t he · "' Speaker of the Ho ·e·
i:npleroenting ru!es and regulations pertriining to the Special of Repre..-:entative.
R.o:.d S u ppor t Fund, the Speci::il Loca l Road Fund, and the
Special Road Safety Fund, a nd the Secretary of t he DOTC
shall prepare th e portion of the impl ema·n tirig rulP.s and Thi~ Act which is a co1rnolidntion of House Bill No 6863
rcgulat.ions pert~ining t.o t.h e collect.ion of the MVUC state.q and Senate ~ill No. l830 was finaJly passed by the Ho~se of
under Section 3 of this Act and on the disposition of the monies Representatives a nti the Senate on June 6, 2000 and A ·1
-aC::crni 1~g to the Special Vehicle Poll ution Cont~ol Fund. 11, 2000, respectively. · pn

Sr~C- 10. Prohib1:tion Aga.ins l the lmposi:ti-O!L of Sim ~la r

C harge on Users of M.o lor Vehi.clr.s. - No oLher tax-,
foe or a ny
othe r charge of simi1ar nat.ure, as the· Motoi· Vehicle User's
Charge shall be imposed by any politi<.:al"subdivision or uni t in
the ('.()untry.
_.
~~~___,
.
OSCAR~~S ~jE
·
P.NAZARENO
Secretary of the Senate
.er tary General
Ho se
~~

Representatives

This provision s ha ll ?.pply t.o all motor ve hicles, induding l ~21~

I Approved:
Lricycles, motorized pedicabs and ''trisikads". !

SEC. l L Repealing Clause_ - Except as provided 1.mde.r

Section ~~ he reof. ~11 other provisions of Executive Order No.
43, series of J 986, and Section 8 of Republic Act Nn. 4136, as
I
i
' c::<f::.~
a mended by Ba:.as Pambansa Bilang 74, nod all at.her laws, _ JOSEPH E. ESTRADA
o:::-tlcrs, issmrnces, cir culars, rule ~ ~nd regulations or part.r> President af the Philippines
tb·~ n::of, which are incons~stcnt with the provisions of this Act
arc hereby repea led or modified accordinp,ly. o.
f>~c- 12. Separa.bi.lity CJrm.<;r.;. --~lf :my p~1wir;ion of this
Act. i.s declared unconstitut.i.on;i.l or invalid. othe r p;:irt.s or
provis ions hereof not affect';!cl Lh"!rehy ::;hn l1 continue tn he in
full force a nd effect. · ·
 ·--
i· W.£DmsriA~'/1·ANuARY :25.'~olf· ~
!·N'\~..,· W,WW.INQUIRERNET ' ..
. ..
,I ~~~:~ ~.~. ·t~ \, \' j ,·,I~.<! i!~:~~~ -'~•
.,
i.,
REPUBLIC ACT No. 11235

An Act Preventing and Penalizing the Use of Motorcycles in the Commission of

Crimes By Requiring Bigger, Readable and Color-Coded Number Plates and
Identification Marks, and for Other Purposes

Be it enacted by the Senate and House of Representatives of the Philippine Congress Assembled:

Section 1. Short Title. - This Act shall be known as the "Motorcycle Crime Prevention
Act".

Section 2. Declaration of Policy. - Article II, Section 5 of the 1987 Constitution provides
that the maintenance of peace and order, the protection of life, liberty, and property, and
the promotion of the general welfare are essential for the enjoyment by all people of the
blessings of democracy. It is hereby declared the policy of the State to secure and
safeguard its citizenry from crimes committed with the use of motorcycles through
bigger, readable and color-coded number plates and identification marks.

Section 3. Definitions. - As used in this Act, the following terms are defined:

(a) Backrider refers to any person or persons seated at the back of a motorcycle, or a
passenger of a motorcycle;

(b) Driver refers to any person driving or controlling a motorcycle;

(c) Motorcycle refers to a powered two (2) or three (3) wheeled motor vehicle, including,
but not limitted to. Scooters, mopeds, and motorcycles with appendages such as
sidecards, tricycles, or trikes. This shall include government-owned vehicles;

(d) Owner refers to any person who owns or is the registered owner of a motorcycle.
Under this Act, it also refers to any person who has actual control and possession of
motorcycle, whether it is registered or not; and

(e) Number plate refers to the regular motor vehicle license plate issued by the Land
Transportation Office (LTO) for a motorcycle, bearing the standard alphanumeric
characters in accordance with Republic Act No. 4136, as amended, otherwise known as
the "Land Transportation and Traffic Code."

Section 4. Registration by the Owner. - The owner of a motorcycle shall register his or her
motorcycle with the LTO within five (5) days from such acquisition of ownership. The
owner of a motorcycle shall also immediately report any sale or disposition of his or her
motorcycle to the LTO. Failure of the owner to register within five days from the
acquisition of ownership, or to immediately report its sale or disposition, shall subject
the owner to a penalty of imprisonment or arresto mayor to prision correccional, as defined
under the Revised Penal Code, or fine of not less than Twenty thousand pesos
(P20,000.00) but not more than Fifty thousand pesos (P50,000.00) or both.

If a motorcycle that is not yet registered with the LTO is used in connection with an
offense punishable under the penalty of the relevant offense shall be imposed on the
offenders.

Section 5. Bigger, Readable and Color-Coded Number Plates. - The LTO shall issue a
readable number plate for every motorcycle. The LTO shall, in the implementing rules
and regulations (IRR) of this Act, determine the font style and size of the bigger,
readable and color-coded number plates:

Provided, That the contents of the number plates shall be readable from the front, the
back and the side of the motorcycle from a distance of at least fifteen(15) meters from
the motorcycle.

The LTO shall also device a color scheme of the readable number plates for every region
in the Philippines where a motorcycle is registered for quick and easy identification.

The readable number plates must be displayed in both the front and back sides of a
motorcycle and shall be made of suitable and durable material as determined by the
LTO.

The utilization of voluntary and aid labor from prisoners shall be among the
requirements to bid for the procurement of the number plates under this Act.

Section 6. Registry of Motorcycles. - The LTO shall maintain a registry of motorcycles in a

database to facilitate information retrieval for official investigation and law enforcement
purposes. The registry of motorcycle shall include, but not limited to the following
information; name of motorcycle owner, motorcycle owners license number, motorcycle
owners address and contact details, motorcycle identification number, motorcycle plate
number, motorcycle body color, motorcycle brand/make. In the registry of motorcycles,
the LTO shall observe at all times Republic Act No. 10173 or the "Data Privacy Act of
2012".1âwphi1

Section 7. Driving Without a Number Plate or Readable Number Plate. - Driving without a
number plate or readable number plate, as provided in the Revised Penal Code, or a
fine of not less than Fifty thousand pesos (P50,000.00) but not more than One hundred
thousand (P100,000.00) or both.
A motorcycle driven without a number plate or a readable number plate shall be
stopped, and such motorcycle shall be seized by law enforcers and immediately
surrendered to the Philippine National Police (PNP). Any apprehension must be
reported immediately to the LTO, PNP and the Department of Information and
Communication Technology (DICT) Through the Joint LTO and PNP Operations and
Control Center. The owner of such motorcycle may redeem his or her ownership,
payment of the costs of seizure, and compliance with a number plate or readable
number plate.

Section 8. Failure to Surrender Seized Motorcycle. - Any seized motorcycle must be

reported immediately by the apprehending officer to the LTO and PNP through the
Joint LTO and PNP Operations and Control Center and must be surrendered within
twenty-four (24) hours to the local impounding center provided by the local
government unit (LGU). Any law enforcer who shall fail to report surrender a seized
motorcycle, within twenty-four (24) hours from seizure, shall be punished by prision
correccional as defined under the Revised Penal Code without prejudice to the filing of
proper administrative charges against said officer.

In case wherein there is loss of, or damage to, the motorcycle in the custody of the said
officer in violation of this section, the said law enforcement officer shall also be held
monetarily liable for the full worth of the motorcycle lost or the cost of repairs for the
damage caused to the motorcycle in question.

Furthermore, any LTO officer, PNP officer or deputized law enforcement personnel
shall be held criminally administratively and monetarily liable for using an impounded
vehicle.

Section 9. Use of a Motorcycle in the Commission of Crime. - If a motorcycle is used in the

commission of a crime constituting a grave felony under the Revised Penal Code, or in
the escape from the scene of such crime, regardless of the stage of commission, whether
attempted, frustrated, or consummated, the owner, driver, backrider or passenger who
participated in the same shall be punished by reclusion temporal to reclusion perpetua as
provided under the Revised Penal Code.

If a motorcycle is used in the commission of a crime constituting a less grave felony or

light felony under Revised Penal Code or any other crime, or in the escape from the
scene of such crime, regardless of the stage of commission whether attempted,
frustrated, or consummated, the owner, driver, backrider or passenger who participated
in the same shall be punished by prision correccional to prision mayor, as provided under
the Revised Penal Code.
If a seized motorcycle is used in the commission of a crime, the maximum penalty of the
relevant crime or offense shall be imposed.1avvphi1

If death or serious physical injuries, as defined under the Revised Penal Code, results
from the unlawful use of a motorcycle in the commission of a crime, the penalty of
reclusion perpetua as provided under the Revised Penal Code shall be imposed.

Section 10. Impoundment and Forfeiture of a Motorcycle. - A motorcycle used in the

commission of a crime or offense shall be impounded by the PNP as evidence in custodia
legis in a secured impounding center provided by the LGU until the termination of the
case. Such motorcycle shall then be forfeited in favor of the government, unless the
court finds that the defendant is not guilty of the offense charged or such motorcycle
belongs to an innocent third party.

The Department of the Interior and Local Government (DILG) shall ensure and enforce
that all LGUs set aside land establish a secured impounding center that shall be under
the control of the PNP to store the impounding center that be under the control of the
PNP to store the impounded motorcycles in accordance with this Act. They shall also
have a computerized/digitized data to see to it that all impounded or released
motorcycles are duly recorded and such data shall be shared on a real-time basis to the
Joint PNP and LTO Operations and Control Center.

Section 11. Loss Number Plate or Readable Number Plate. - If the number plate or readable
number plate of a motorcycle is lost, damaged, or stolen, the owner of such motorcycle
shall immediately report the same to the LTO and PNP through the Joint PNP and LTO
Operations and Control Center, and request a replacement number plate. Failure of the
owner to report the same shall subject te owner to fine of not less than Twenty thousand
pesos (P20,000.00) but not more than Fifty thousand pesos (P50,000.00).

However, if the lost, damaged or stolen number plate or readable number plate is used
in connection with an offense penalized under the Revised Penal Code or special penal
laws, the failure of the owner to report within three (3) days that the motorcycle is lost,
damaged, or stolen, shall subject the owner to a penalty of imprisonment of arresto
mayor to prision correccional.

Section 12. Erasing, Tampering, Forging, Imitating, Covering or Concealing a Number Plate or
Readable Number Plate and Intentional Use Thereof. - Erasing, tampering, altering, forging,
imitating, covering, concealing a number plate or readable number plate, or the
intentional use of such erased, tampered, altered, forged, imitated, covered or concealed
number plate or readable number plate, under this Act shall be punished by prision
mayor as provided under the Revised Penal Code, or a fine of not less that Fifty
thousand pesos (P50,000.00) but not more than One hundred thousand pesos
(P100,000.00), or both.

If a person knowingly sells or buys an erased, tampered, altered, forged or imitated

number plate or readable number plate, both such buyer and seller shall be punished by
prision mayor as provided under the Revised Penal Code. However, if a person who sells
or buys the number plate proves that he or she has no knowledge that it was erased,
tampered, altered, forged or imitated, he or she shall be punished by arresto mayor.

Section 13. Use of a Stolen Number Plate or Readable Number Plate. - The use of a stolen
number plate or readable number plate in a motorcycle shall be punished by prision
mayor as provided under the Revised Penal Code, or a fine of not less than Fifty
Thousanda pesos (P50,000.00) but not more than One hundred thousand pesos
(P100,000.00), or both at the direction of the court.

Section 14. Prohibition on Sale and Importation of Non-Compliant Motorcycles. - No person,

whether natural or juridical, shall be allowed to sell motorcycles, as defined under
Section 3(c) of this Act, unless such motorcycle has the capability to bear and showcase
a readable number plates as required under Section 5 of this Act.

Furthermore, the Bureau of Customs (BOC) shall not allow the importation into the
country of motorcycles, as defined under Section 3(c) of this Act, whose design will
impede the placement of the required number plate on the front and back sides of the
motorcycles firmly and securely.

Any motorcycle which does not have any capability to bear and showcase the required
readable number plate shall not be allowed to register with the LTO.

Section 15. Joint LTO and PNP Operations and Control Center. - The LTO and the PNP
shall establish a Joint LTO and PNP Operations and Control Center that shall be
operational and accessible real-time, twenty four (24) hours a day and seven (7) days a
week, to facilitate the implementation of this Act. It shall be equipped with the latest
available technology and adequate computers and software sufficient to immediately
address any emergency or inquiry. The LTO and the PNP-Highway Patrol Group (HPG)
shall establish a hotline to specifically address concerns related to crimes or offenses
committed with the use of motorcycles. The Joint PNP and LTO Operations and Control
Center shall be under the supervision of the DICT.

Section 16. Appropriation. - There is hereby appropriated an initial funding of One

hundred fifty million pesos (P150,000,000.00) for the implementation of this Act which
shall be included in the General Appropriations Act (GAA). Subsequent finding shall be
included in the GAA.

Section 17. Implementing Rules and Regulations. - The LTO, in consultation with law
enforcement and other relevant agencies, shall promulgate the rules and regulations to
implement the provisions of this Act within a non-extendible period of ninety (90) days
from its effectivity.

Section 18. Congressional Oversight on the Motorcycle Crime Prevention Act. - There is
hereby created a Congressional Oversight Committee on the Motorcycle Crime
Prevention Act to review and assess, among others, the implementation of this Act. The
Congressional Oversight Committee shall be composed of five (5) members from the
Senate and five (5) members from the House of Representatives. It shall be co-chaired
by the Chairpersons of the Senate Committee on Justice and House Committee on
Transportation. Such congressional review and oversight shall be undertaken yearly
beginning one (1) year after the effectivity of this Act and thereafter as may be
determined by the Oversight Committee.

The Oversight Committee shall review the penalties herein imposed and shall adjust the
same accordingly if deemed necessary.

Section 19. Transitory Provision. - Motorcycle owners with number plates not in
conformity with the provisions of this Act, shall renew their registration and apply for
the required readable number plate not later than June 30, 2019. The LTO is given until
December 31, 2019 to produce, release and issue the number plates as required by this
Act. After December 31, 2019, the penal provisions regarding the use of bigger, readable
and color-coded number plates as required under this Act shall take effect.

Section 20. Repealing Clause. - All laws, decrees, orders, rules and regulations or other
issuances or parts thereof inconsistent with the provisions of this Act are hereby
repealed or modified accordingly.

Section 21. Separability Clause. - If any portion or provision of this Act is declared
unconstitutional, the remainder of this Act or any provision not affected thereby shall
remain in force and in effect.

Section 21. Effectivity. - This Act shall take effect after fifteen (15) days following the
completion of its publication either in the Official Gazette or in a newspaper of general
circulation in the Philippines.

Approved,
GLORIA MACAPAGAL-ARROYO

Speaker of the House of Representatives

VICENTE C. SOTTO III

President of the Senate

This Act which is a consolidation of Senate Bill No. 1397 and House Bill No. 8419 was
passed by the Senate and the House of Representatives on December 13, 2018 and
January 14, 2019, respectively.

DANTE ROBERTO P. MALING

Acting Secretary General

House of Representatives

MYRA MARIE D. VILLARICA

Secretary of the Senate

Approved: March 8, 2019

(Sgd.) RODRIGO ROA DUTERTE

President of the Philippines