Indigent Public Utility Drivers License Application Subsidy Act

Senate Office of the Seretary TWENTIETH CONGRESS OF THE SEP 24 P12:50 REPUBLIC OF THE PHILIPPINES First Regular Session RECEIVED 3Y: SENATE Senate Bill No. 1410 Introduced by Senator Erwin T. Tulfo AN ACT PROVIDING SUBSIDIES FOR INDIGENT PUBLIC UTILITY DRIVERS IN THE PAYMENT OF FEES AND CHARGES FOR CERTIFICATES AND CLEARANCES REQUIRED BY THE LAND TRANSPORTATION OFFICE (LTO) IN APPLYING FOR A PROFESSIONAL DRIVER'S LICENSE EXPLANATORY NOTE Public utility vehicles play an indispensable role in the country's transport system, providing affordable mobility for millions of Filipinos every day. Yet, many drivers aspiring to enter the public transport sector are unable to do so because of the prohibitive costs of clearances, certificates, training, and examinations required for the issuance of a Professional Driver's License. Before the issuance of a Professional Driver's License (PDL), public utility vehicle (PUV) drivers are required to comply with documentary requirements, undergo mandatory training, and pass medical examinations. These requirements include: (1) a Medical Certificate issued by an LTO-accredited physician or clinic, (2) a Practical Driving Course (PDC) Certificate, (3) a Birth Certificate from the Philippine Statistics Authority (PSA) or the Local Civil Registry, (4) an NBI or

Police Clearance, and (5) a negative drug test result from a Department of Health-accredited facility or government hospital. Applicants must also pay the corresponding LTO fees to process their application. While the base LTO fees are relatively modest, the total cost of compliance, especially when a driving school course is taken, may reach P8,000 to P10,000, an excessive expense for many low-income drivers. The proposed bill seeks to lessen the financial strain on indigent public utility drivers by granting a twenty percent (20%) discount to qualified applicants in paying for clearances and certificates required by the LTO when applying for a Professional Driver's License. It also mandates the Land Transportation Office (LTO) and the Technical Education and Skills Development Authority (TESDA) to ensure that qualified applicants have free access to practical driving courses, either directly or through accredited driving schools. In view of the foregoing, the urgent passing of this bill is earnestly sought. ERWIN T. TULFO

Senate TWENTIETH CONGRESS OF THE stier of the seccretary REPUBLIC OF THE PHILIPPINES First Regular Session 25 SEP 24 P12:50 RECEIVED BY: SENATE Senate Bill No. 1410 Introduced by Senator Erwin T. Tulfo AN ACT PROVIDING SUBSIDIES FOR INDIGENT PUBLIC UTILITY DRIVERS IN THE PAYMENT OF FEES AND CHARGES FOR CERTIFICATES AND CLEARANCES REQUIRED BY THE LAND TRANSPORTATION OFFICE (LTO) IN APPLYING FOR A PROFESSIONAL DRIVER'S LICENSE Be it enacted by the Senate and the House of Representatives of the Philippines in Congress assembled:

SECTION 1. Short Title. - This Act shall be known as the

"Indigent Public Utility Driver's License Application Subsidy Act."

SEC. 2. Declaration of Policy. - It is the policy of the State to

promote a just and dynamic order that will ensure the prosperity and independence of the nation and free people from poverty through policies that provide adequate social services, promote full employment, a rising standard of living, and improved quality of life for all. The State shall contribute towards this end by expanding accessibility to government services and providing subsidies and incentives to indigent individuals who seek livelihood as drivers of public utility vehicles.

SEC. 3. Definition of Terms. - For this Act, the following terms

shall have the definitions as stated: a) Public Utility Vehicle (PUV) refers to a motor vehicle considered as a public transport conveyance or common carrier duly registered with the Land Transportation Office (LTO) and granted a franchise by the Land Transportation Franchising Regulatory Board (LTFRB); and b) Qualified applicant refers to an individual seeking to apply for a Professional Driver's License to operate a public utility vehicle as a means of livelihood whose gross income and that of their immediate family does not exceed twice the monthly minimum wage in the area where they reside, and who does not own real property with a fair market value exceeding three hundred thousand pesos (P300,000), or whose income is insufficient to provide for the subsistence of their family.

SEC. 4. Subsidies for Qualified Applicants. - Under this Act,

qualified applicants shall be granted a twenty percent (20%) discount in the payment of clearances and certificates, as may be required by the LTO in applying for a Professional Driver's License, including but not limited to: a) Birth certificate from the Philippine Statistics Authority (PSA) or from the Local Civil Registry Office (LCRO); b) Medical certificate from an LTO-accredited clinic or physician; c) Drug test results from a Department of Health-accredited clinic or government hospitals; d) Clearance from the National Bureau of Investigation (NBI); e) Clearance from the Philippine National Police (PNP); and f) Application Fees. The LTO and Technical Education and Skills Development 37 Authority (TESDA) shall be required to offer Practical Driving Courses

to qualified applicants free of charge. In areas where LTO or TESDA offices are unable to directly conduct such courses due to limited facilities or resources, they shall accredit and partner with qualified driving schools to deliver the required training at no cost to the qualified applicants.

SEC. 5. Requirement for Subsidy. - Before the subsidy

authorized under this Act may be availed of, the qualified applicant must present the following documents: a) Proof of indigency: 1) Latest Income Tax Return; 2) Certificate of Indigency from the Department of Social Welfare and Development having jurisdiction over the residence of the applicant; or 3) Certificate of Indigency from the Barangay Chairman having jurisdiction over the residence of the applicant, together with an Affidavit of Indigency executed by the applicant; and b) Proof of intent to be a PUV driver: 1) Certificate of Public Convenience (CPC) as issued by the Land Transportation Franchising and Regulatory Board (LTFRB) under the qualified applicant's name, if he is also the operator/owner; or 2) A contract of engagement or certification from a licensed PUV operator or cooperative confirming that the applicant is an authorized or designated driver of a PUV under their CPC.

SEC. 6. Penalties. - Any public officer or employee who refuses

or fails to provide the benefits under this Act, grants subsidies to ineligible persons, or neglects to comply with the required verification and documentary procedures shall, upon conviction, be subject to a fine of not less than Five Thousand pesos (P5,000.00) but not more than Twenty Thousand pesos (P20,000.00).

SEC. 7. Implementing Rules and Regulations. - Within ninety

2 (90) days from the effectivity of this Act, the Land Transportation Office shall issue the necessary rules and regulations for the effective implementation of this Act.

SEC. 8. Separability Clause. - Should any provision or part of

this Act be declared unconstitutional or invalid, the other provisions and parts hereof, insofar as they are separable from the invalid ones, shall remain in full force and effect.

SEC. 9. Repealing Clause. - All laws, decrees, orders,

proclamations, rules and regulations, or parts thereof, which are inconsistent with this Act are hereby repealed, amended, or modified accordingly.

SEC. 10. Effectivity. - This Act shall take effect fifteen (15) days

after its publication in the Official Gazette or in at least two (2) newspapers of general circulation. Approved,