Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
Second Regular Session

HOUSE BILL NO. 6909

Introduced by Rep. RAUL V. DEL MAR

EXPLANATORY NOTE

Section 458 (1)(vi) of Republic Act 7160, otherwise known as
“Local Government Code of 1991”, grants municipal and city
governments, respectively, the power to regulate the operation of
tricycles and grant franchises for the operation thereof within their
territorial jurisdiction, subject to the guidelines prescribed by the then
[Department of Transportation and Communication (DOTC)] now the
DEPARTMENT OF TRANSPORTATION (DOTr). This provision aims to
promote the safety of the riding public and to ensure maintenance of
existing low-cost transportation.

It is of common knowledge that in cities, municipalities and
barangays in the country, there is a proliferation of motorcycles-for-
hire known as habal habal or angkas. Habal habal or angkas has been
considered as the most convenient and cheapest means of
transportation of the residents therein for lack of other means of
transportation. Despite the benefits that motorcycles-for-hire provide,
it cannot be denied that their non-regulation poses danger and risks
to the safety and welfare of the riding public. The absence of any law
regulating the operation of motorcycles-for-hire or habal habal or
angkas runs counter to the policy of the State to ensure the safety and
welfare of the public.


The amendment of Section 458(1)(vi) of R.A. No. 7160 - Local
Government Code and Section 7 (c) of Republic Act No. 4136 - Land
Transportation Code will resolve the existing inadequacies in our laws
and shall promote the safety and welfare of people who patronage
motorcycles-for-hire known as habal habal or angkas. The grant of
authority to municipalities and cities to regulate the operations of
motorcycles-for-hire known as habal habal or angkas will facilitate the
registration of motorcycles as a legitimate public transport and shall
ensure that operators and drivers will be held responsible for the
negligent operation of their motorcycles. The same will likewise
prevent abuse from owners, operators and drivers, thus ensuring low-
cost transportation.

Approval of this bill is earnestly sought.

a '. DEL
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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
Second Regular Session

63909
HOUSE BILL NO.

Introduced by Rep. RAUL V. DEL MAR

AN ACT

REGULATING MOTORCYCLES-FOR-HIRE KNOWN AS HABAL-
HABAL OR ANGKAS, THEREBY AUTHORIZING CITIES AND
MUNICIPALITIES TO GRANT FRANCHISES FOR THEIR
OPERATIONS, AMENDING FOR THE PURPOSE SECTION 458 (yy
(VI) OF REPUBLIC ACT NO. 7160, AS AMENDED, OTHERWISE
KNOWN AS THE LOCAL GOVERNMENT CODE OF THE
PHILIPPINES

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
“Motorcycles-For-Hire Act of 2017.”

SEC. 2. Declaration of Policy. - It is the policy of the State to
Promote public safety and security. To meet this end, the State
provides mechanism for regulation of public transport services.
Despite the government's intensified programs to meet this end,
existing laws do not regulate all forms of public transport services
such as motorcycles-for-hire; thus defeating the State’s policy. To


protect and promote the safety and welfare of the riding public, the
local governments, particularly cities and municipalities, should be
empowered to regulate the operations of motorcycles-for-hire also
known as habal habal or angkas.

SEC. 3. Definition of Motorcycle-for-Hire.- For the purpose of
this Act, motorcycle-for-hire known as habal habal or angkas shall
denote any motorcycle that will carry passengers, goods and other
small cargo for a fee as a common carrier. Motorcycles-for-hire or
habal-habal operate in the rural and urban areas of the country,
especially in the interior roads and in hilly, sloping and mountainous
barangays where there is a lack of jeepneys, buses and other forms of
transportation.

SEC. 4. Amendments. - Section 458(1)(vi) of Republic Act No.
7160, as amended, otherwise known as the Local Government Code of
the Philippines is hereby amended by inserting the phrase
“motorcycles-for-hire known as habal-habal or angkas” between the

words “of” and “and” to read as follows:

“SEC. 458. Powers, Duties, Functions and
Compensation. — (a)

“xxx.

(1)(vi) Subject to the guideline prescribed by the
Department of Transportation [and Communications],
regulate the operation of MOTORCYCLES-FOR-HIRE
KNOWN AS HABAL-HABAL OR ANGKAS and tricycles and
grant franchises for the operation thereof within the

territorial jurisdiction of the CITY OR municipality,”


- Section 7 [c] of Republic Act No. 4136 otherwise known as
Land Transportation Code, is hereby amended by deleting
letter “(c) private motorcycles, scooters or motor wheel
attachments.” to read as follows:

“SEC. 7. Registration Classification -

“Sox.

(a) Private passenger automobiles; and (b) private
trucks. [; and (c) private motorcycles, scooters or
motor wheel attachments] Motor vehicles registered
under these classifications shall not be used for hire
under any circumstances and shall not be used to
solicit, accept, or be used to transport passengers or

freight for pay.

SEC. 5. Local Franchise. ~The municipality or city shall receive,
process and evaluate all applications for the grant of franchise to
operate motorcycles-for-hire known as habal-habal or angkas within
their territorial jurisdiction.

Any person applying for the grant of franchise to operate a
motorcycle-for-hire shall submit the following documents:

1. Certification of the punong barangay attesting that the
applicant is a bonafide resident of the barangay within the
city or municipality;

2. Certificate of registration and official receipt of registration
payment for the said motorcycle unit; and

3. A deed of undertaking by the owner that the unit applied for
will be operated only within the said city or municipality.


After favorable consideration of the application, the same shall
be endorsed to the sanggunian bayan or sangguniang panglungsod for
the issuance of franchise for the operation of the motorcycle-for-hire
within the territorial jurisdiction of the city or municipality. The
franchise shall indicate the place or route where the motorcycle-for-
hire is authorized to operate.

SEC. 6. Administrative Boundaries. ~The authority granted to
local government unit to regulate motorcycles-for-hire shall be limited
and confined to the boundaries of the city or municipality. The local
government unit may only grant franchise to motorcycles operating
within the city or municipality and owned by residents thereof.

In cases where travel between two (2) municipalities can only be
done by motorcycles-for-hire, for lack of any other means of public
transportation, the cities or municipalities traversed by the
motorcycles-for-hire shall agree between or among themselves through
a Memorandum of Agreement how incursions of motorcycles-for-hire
belonging to another city or municipality will be treated.

SEC. 7. Limits of Operations. - Motorcycles-for-hire are
authorized to operate on any road within the city or municipality.
However, they are prohibited to operate, except to cross, along the
national highway or on any road which allows a maximum speed
greater than 40 kilometers per hour.

The local government unit with jurisdiction over the roads may
limit and fix routes for motorcycles-for-hire.

SEC. 8. Insurance Coverage. -For purposes of passenger’s
safety, the owner of motorcycle-for-hire shall, upon registration,
procure the necessary insurance for third party liability.


SEC. 9. Penalty. — The owner of the motorcycle-for-hire or
habal-habal who fails to secure a franchise to operate shall be fined
the amount of not less than Three Thousand Pesos (P3,000.00) up to
not more than Five Thousand Pesos (P5,000.00) and the motorcycle
unit shall be impounded by the local government unit until the
registration of the same. These set of penalties shall be subject to the
review and appropriate revisions of the Department of Transportation
and Communications every three (3) years after the effectivity of this
Act.

SEC. 10. Implementing Rules and Regulations. -The
Secretary of Transportation and Communications shall, within sixty
(6) days after the effectivity of this Act, issue the necessary rules and
regulations to implement this Act.

SEC. 11. Repealing Clause. -All laws, decrees, executive orders,
rules and regulations and other issuances or parts thereof,
inconsistent with the provisions of this Act, are hereby repealed or
modify accordingly.

SEC. 12. Effectivity. -This Act shall take effect fifteen (15) days
following its publication in at least two (2) national newspapers of

general circulation.

Approved.