(NAR) VOL. 25 NO. 3 / JULY - SEPTEMBER 2014
This is with reference to various requests of transportation cooperatives for endorsements and/or technical assistance in the pursuit of its objectives, including but not limited to franchise application, vehicle registration, etc. Thus, policy guidelines relative hereto is hereby adopted.
1. Reference.
Chapter XIV, Article 113 of R.A. 9520 provides that: Renewal of Franchise and Vehicle Registration. “Renewal of franchises and vehicle registration shall be granted to Transportation Service Cooperatives, provided such cooperative presents a Certificate of Good standing from the Authority and the OTC......”
The same was further reiterated in the Rules and Regulations implementing the Special Provisions of the Philippine Cooperative Code of 2008 under Rule V, Section 10, thereof.
Likewise, Article IX, Section 8, of the OTC Administrative Order No. 2000- 001 provides that: Issuance of Certificate of Good Standing (CGS). “The OTC shall issue a Certificate of Good Standing to transport service cooperatives that have complied with the prescribed requirements. These shall entitle them to enjoy the rights/privileges under the cooperative code and Executive Order No. 898. In addition, the cooperative may use the certificate to support its application for a grant of financial/technical assistance from government or other agencies.”
Foregoing premises, issuance of endorsements and/or other technical assistance shall be governed by the following:
3. General Application
This guideline is applicable to all transportation cooperatives of various modes either in land and/or sea/water and shall take effect immediately. All issuances/orders relative hereto are hereby modified and/or revoked accordingly.
(SGD) MELCHOR V. CAYABYAB
Chairman