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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City, Metro Manila 
NINETEENTH CONGRESS 
1st Regular Session 
House Bill No. ________ 
Introduced by Representatives ERIC G. YAP, PAOLO Z. DUTERTE, and 
EDVIC G. YAP 
EXPLANATORY NOTE 
Public Utility Vehicle (PUV) drivers play a critical role in the public transportation of 
the country, making the sector among the national thrusts towards economic growth 
in order to increase mobilization of people and goods. In fact, among the priority 
policy of the government is the PUV Modernization Program which aims to transform 
the road sector of public transport through the introduction of safer and climate-
friendly vehicles, improved regulation, and industry consolidation. 
Following the implementation of the PUV Modernization Program, the Land 
Transportation Office (LTO) released Memorandum Circular 2021-2284, which 
enumerates the list of requirements for the applicants of a Professional Driver's 
License such as NBI Clearance, Original copy of Birth Certificate, to name a few. 
However, the processing and release of the required documents impose certain fees 
that would burden the PUV drivers financially, especially those who live below the 
poverty line. While the intention of the memorandum is to promote road safety and 
proper motorist behavior, such requirement would add to the burden of the PUV 
drivers who are now even tasked to buy modernized and climate-friendly vehicles. 
The Land Transportation Franchising and Regulatory Board (LTFRB) accounts for 
almost 430,000 PUV drivers, and the number of those to be affected is significant.  
It is in this regard that this bill seeks to provide subsidies and incentives to qualified 
indigent PUV drivers for the processing of fees and charges of the required certificates 
and clearances for the release of their Professional Driver’s License. The proposed 
measure also provides penalties for public officers or employees who will refuse to 
grant the same privileges. 
In view of the foregoing, approval of this bill is earnestly sought. 
PAOLO Z. DUTERTE 
       ERIC G. YAP 
EDVIC G. YAP         
May 11, 2023
9:04 am
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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City, Metro Manila 
NINETEENTH CONGRESS 
1st Regular Session 
House Bill No. ________ 
Introduced by Representatives ERIC G. YAP, PAOLO Z. DUTERTE, and 
EDVIC G. YAP 
AN ACT 
PROVIDING SUBSIDIES AND OTHER INCENTIVES FOR INDIGENT PUBLIC 
UTILITY DRIVERS IN THE PAYMENT OF FEES AND CHARGES FOR CERTAIN 
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 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 are seeking livelihoods as drivers of public utility vehicles. 
SEC. 3. Definition of Terms. - For this Act, the following terms are hereby 
defined: 
a) Applicant - refers to an individual seeking to apply for a license to operate a
public utility vehicle as a means of livelihood. Qualified applicants under this
Act are individuals whose per capita income falls below the official poverty
threshold as defined by the government as identified and certified by the
Philippine Statistics Authority (PSA) based on the criteria set under Republic
Act No. 11315 otherwise known as the "Community-Based Monitoring System
(CBMS) Act";
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b) 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). 
 
SEC. 4. Subsidies and Other Incentives for Qualified Applicants. - Under this 
Act, qualified applicants shall be granted a twenty percent (20%) discount in the 
payment of the following clearances, certificates, and fees required by the LTO in 
applying for a Professional Driver's License: 
 
a) Birth certificate from the Philippine Statistics Authority (PSA); 
 
b) Medical certificate from an LTO-accredited clinic or physician; 
 
c) Clearance from the National Bureau of Investigation (NBI); 
 
d) Clearance from the Philippine National Police (PNP); 
 
e) Enrollment fees for Theoretical and Practical Driving Courses given by LTO-
accredited and Technical Education and Skills Development Authority 
(TESDA)-certified driving schools; 
 
f) Examination Fees; and 
 
g) Other government-issued documents and fees that may be required by the LTO. 
 
Priority registration shall be given to applicants in cases where Theoretical and 
Practical Driving Courses in LTO-accredited and TESDA-certified driving schools can 
be enrolled free of charge. Furthermore, applicants shall be given a fixed daily 
allowance for expenses incurred in the commute to and from their chosen driving 
school. 
 
The LTO shall reduce the requirement that Professional Driver's License 
applicants should be holders of a valid Non-Professional Driver's license for one (1) 
year before application down to three (3) months. 
 
SEC. 5. Penalties. - Any public officer or employee who refuses or fails to 
provide the benefits granted to qualified applicants outlined in Section 4 of this Act 
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). 
 
Prosecution for an offense outlined in this Act shall be without prejudice to any 
liability for violation of any other existing laws, including civil service law, rules and 
regulations. 
 
SEC. 6. Implementing Rules and Regulations. - Within six (6) months from the 
effectivity of this Act, the Department of Transportation (DOTr), in consultation with 
Philippine Statistics Authority (PSA), Department of Interior and Local Government 


 
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(DILG), National Bureau of Investigation (NBI), Philippine National Police (PP), 
Department of Justice (DOJ), Department of Health (DOH), the Technical Education 
and Skills Development Authority (TESDA), and the National Anti-Poverty 
Commission (NAPC) shall issue the necessary rules and regulations for the effective 
implementation of this Act. 
 
SEC. 7. Separability Clause. - If any section or provision of this Act is held 
unconstitutional or invalid, the other sections or provisions hereof shall not be affected 
and thereby remain in full force and effect. 
 
SEC. 8. Repealing Clause. - All laws, decrees, executive orders, and rules and 
regulations, or parts thereof, inconsistent with the provisions of this Act, are hereby 
repealed or modified accordingly. 
 
SEC. 9. Effectivity Clause. - This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or two (2) newspapers of general circulation. 
 
Approved,