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Taxi operators to LTFRB-7: Extend new franchising renewal rule deadline

By: Futch Anthony Inso March 04,2019 - 09:45 PM

Regional Director Eduardo Montealto of the Land Transportation Franchising Regulatory Board (center with microphone) leads the dialogue on March 4 between taxi operators on the new franchising guidelines at the LTFRB-7 office. | Futch Anthony Inso

CEBU CITY, Philippines — Taxi operators are seeking an extension of the deadline for the renewal of their franchises especially with the new law requiring them to form a corporation or a cooperative before their franchises will be renewed.

Blessie Magto, a taxi operator who attended Monday’s, March 4, dialogue with taxi operators and the Land Transportation Franchising Board in Central Visayas, said that they were there to seek an extension of the implementation of the law since they were only made aware about it recently.

Magto was referring to LTFRB Department Order no. 2017-011 or otherwise known as the Omnibus Franchising Guidelines, which prohibits renewal of franchises of an individual operator.

“Kay base sa among nahibaw-an, tanang mga franchise karong March 18, totally mawagtang. Ang tagaan ug prayoridad kay kadtong mga naka-organize na or nakahimo na ug kooperatiba nga rehistrado na gyud,” she added.

She added that organizing a cooperative would take time before it would get approved.

She also said that they were not there at the dialogue to question the law but to ask for help on how to go about with this new law.

“Ang among pagduol diri, dili para pag-question kun unsay naa sa balaod. Ang among pag-ari diri kun dili pagpangayo ug tabang sa atong kagamhanan, kun unsay mahitabo, kay kami mga taxi operators, bali ang uban kay magpangikog pod ug istorya, mahadlok mo-istorya sa among feelings,” said Magto.

“So naa mi diri karon, pagpangutana kun unsay mahitabo namo nga mga individual franchise holder, hilabi na karon kay March 18 ang deadline sa consolidation,” she added.

Magto, 44, has already been operating taxi units for 15 years. Currently, she owns four units of taxis.

Assistant Regional Director Reynaldo Elnar LTFRB-7, however, clarified that the deadline had only been set as a timeline so that the agency could already process the renewal of franchises.

Elnar said that the agency had already given operators at least a year, from March 2018 to March 2019, to consolidate and to form a corporation or cooperative so that their franchises could be renewed.

“Since duna tay deadline nga March 18, 2019, wala na magpasabot nga mawala na pod inyong franchise. Naa inyong prangkisa, dili mawagtang inyong prangkisa,” he said.

“Sa among lang interpretasyon nga wala nay transaction after March 2019, dili na modawat ug transaction. Pero ingon si director nga dili, ingon si Delgra, maka-register lang gihapon after sa deadline tungod sa circumstances nga wala pa makatukod og cooperative o corporation,” he said during a dialogue with taxi operators.

LTFRB-7 Director Eduardo Montealto | Futch Anthony Inso

LTFRB-7 Regional Director Eduardo Montealto, for his part, said that for those who had not yet to form a corporation or cooperative, although they would be the least prioritized, their franchises could still be renewed by signifying that they would be willing to consolidate and submit a certification as proof that they had a pending application in establishing a cooperative or corporation.

They would also need to voluntarily signify for dissolution of their franchise as individual holder and convert it to a consolidated franchise.

He said that after the deadline, any PUV (public utility vehicle), whose franchise had not been renewed, could already be tagged as a colorum vehicle if they would be apprehended and would be penalized.

He said that in 2020, those who would not be able to comply with these requirements, their franchises would be bid-out to other interested individuals./dbs

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TAGS: dialogue, Franchising, guidelines, LTFRB-7, Montealto

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