THE TRANSPORT COOPERATIVE PROGRAM

July 10, 1974 Memorandum Order No. 438 Expanding the scope & coverage of the Transport Cooperative Program. To include public utility vehicle owners, operators & allied workers in all other areas of the country.

1. Study and recommend incentives for the cooperatives such as the wholesale purchase of bulk gasoline and spare parts; the establishment of repair shops and other allied requirement of the transport industry that would rationalize and maximize the use of available transport resources in the face of serious energy shortage.

2. Study, assist and recommend measures that

would achieve the objectives of transport

integration and rationalization, and towards this end

it may recommend measures for the financing

and/or extending such financing for the attainment

of these objectives.

OBJECTIVE – To promote & organize Transportation Cooperatives (TCs) as a tool towards the integration and rationalization of public transport system, not only as a means to effect economy and efficiency in the movements of passengers and goods but also as a potent measure to ameliorate the social and economic conditions of public utility vehicle drivers and to mitigate impending shortage of energy arising to national welfare and economy initially focusing in Metro Manila.

October 19, 1973 Memorandum Order No. 395

Creating the Committee on Transportation Cooperatives (CTC) under the Office of the President (OP)

CREATION

1. HIGHLIGHTS OF PROGRAM IMPLEMENTATION

2.1 1973 TO 1982

2.1.1 PROGRAM DEVELOPMENT AND COORDINATION

• Franchising arrangement

• The Deed of Sale/Deed of Transfer

2.1.2 PROGRAM IMPLEMENTATION

• Organization difficulties.

• The issue on legalized “Kabit System”

• Start OF THE NATIONAL FEDERATION

• Transfer of the Program to MOTC now DOTC.

July 27,

1981

Executive Order

No. 708 Reorganizing the Office of the President and creating the Office of the Prime Minister pursuant to the 1981 amendment of the Constitution. As a result thereto, the CTC was transferred from the Office of the President to the Ministry of Transportation and Communications (MOTC), for the reason that a single agency, the MOTC (now DOTC) can more effectively coordinate the regulation and operation of transportation cooperatives, in line with the integration and rationalization of public transportation system in the country.

THE MANAGEMENT AGREEMENT IMPLEMENTATION OF SPECIAL PROJECTS

1. SEARCH FOR TOCOD. 2. STUDY ON THE SOCIO-ECONOMIC PROFILE OF TRANSPORT

COOPERATIVES. 3. COOPERATIVE VEHICLE INSURANCE BUSINESS.

PROGRAM CHANGE (1983 TO 1992)

• Joint OTC -KKPPI-LIVECOR Gasoline Station Business Projects

BOUNDARY - HULOG

Program

KOOP PARADAHAN

KOOP SAKAYAN

PROJECT.

2.4 2004 TO 2013

2.4.1 IMPLEMENTATION OF THE NEW LAW (R.A. 9520)

2.4.2 CONTINUATION OF PROJECT IMPLEMENTATION

•KOOP PARADAHAN KOOP SAKAYAN PROJECT

•TC RICE DEALERSHIP/RETAILERSHIP

•PCSO/PHILHEALTH COVERAGE.

•BULK BUYING OF TBAs.

•PREVENTIVE MAINTENANCE TRAINING PROGRAM

•KABUHAYAN PARA SA BARANGAY PROGRAM

REFILLING STATION

•AUV REFLEETING PROGRAM

• LPG FED VEHICLE ACQUISITION PROGRAM

PANGKABUHAYANG

PAGSASANAY NG

K00PERATIBANG

PANSASAKYAN

PROGRAM STATUS AS 0F Dec.2013

Area No. of

TCs

No. of Memb

ers PUJ

MCH (Tricycle)

TAXI

MB BUS

M. CAB

Cargo Truck

AUV Motor. Banca

TOTAL

NORTHERN SECTOR

18 3196 1078 15 25 0 98 0 0 20 0 1241

SOUTHERN SECTOR

53 6931 2042 314 301 12 178 64 67 305 0 3283

EASTERN SECTOR

11 743 214 30 10 0 0 15 0 97 0 366

WESTERN SECTOR

7 1618 590 0 0 0 24 0 0 25 0 639

CENTAL SECTOR

22 3223 1481 0 139 - 39 0 2 67 0 1728

Metro Manila

111 15711 5405 359 475 12 339 79 69 514 0 7257

STATISTICAL DATA

Area No. of

TCs No. of

Members PUJ MCH TAXI MB BUS M.

CAB Cargo Truck AUV

Motor. Banca TOTAL

REGION I 11 1543 613 215 0 0 73 3 0 20 0 924

REGION II 2 57 1 0 0 0 0 0 0 37 0 38

CAR 1 184 51 0 0 0 0 0 0 47 0 98

REGION III 70 10926 4009 151 0 329 378 0 14 224 0 5120

REGION IV-A 98 11956 3445 554 0 118 201 302 0 599 0 5219

REGION IV-B 6 343 5 0 0 0 45 77 0 31 58 216

REGION V 17 1457 378 84 0 9 96 0 19 49 0 635

REGION VI 6 7905 125 230 1 0 0 50 0 824 126 1356

REGION VII 10 2278 1153 0 272 0 3 0 3 144 0 1575

REGION VIII 8 1101 15 0 0 14 29 0 0 33 0 91

REGION IX 2 41 0 15 0 0 0 0 0 0 15 30

REGION X 25 5284 1395 53 34 28 3 120 27 55 0 1715

REGION XI 26 1976 646 31 201 1 7 77 0 95 0 1058

REGION XII 38 5981 854 2 24 3 37 377 0 376 0 1673

REGION XIII 4 519 41 448 0 0 0 0 0 51 0 540

ARMM 4 376 263 0 0 0 0 0 0 222 0 485

PROVINCE 328 51927 12994 1783 532 502 872 1006 63 2807 199 20773

ISSUES AND CONCERNS

ISSUES AND CONCERNS

• NON-COGNIZANCE OF GOVERNMENT AGENCIES OF

COOPERATIVE PRIVILEGES.

• LACK OF FINANCIAL ASSISTANCE T0 COOPERATIVES TO

PURSUE DEVELOPMENTAL PROJECTS.

• LACK OF DEVELOPMENTAL ASSISTANCE TO NEWLY

REGISTERED COOPERATIVES

• LACK OF COOPERATION AMONG COOPERATIVES.

• THE LACK OF UNDERSTANDING OF THE TRANSPORT

COOPERATIVE PROGRAM BY GOVERNMENT AGENCIES

PERSONNEL.

• LACK OF FUNDS TO FINANCE BUSINESS ACTIVITIES.

• LACK OF TRAINING AND EXPERTISE OF TC MANAGERS

.

1. TC OPERATION AND MANAGEMENT (VEHICLE OWNERSHIP).

ALLOCATION OF A PORTION OF THE SPECIAL

VEHICLE POLLUTION CONTROL FUND (SVPCF)

FOR VEHICLE REFLEETING OR THE

REPLACEMENT OF ENGINES THAT WILL USE

CLEAN FUEL (e.g. LPG, CNG, ELECTRIC, etc.).

LPG-FED VEHICLES.

4. RECOMMENDATIONS

• INCREASE IN THE BUDGETARY ALLOCATIONS OF OTC AND CDA.

• SUSPENSION OF THE IMPLEMENTATION OF JAO AND PUBLIC

HEARINGS SHOULD BE UNDERTAKEN BY THE AGENCIES

CONCERNED.

• COMPLIANCE OF GOVERNMENT WITH R.A. 9520 PARTICULARLY ON

PREFERENTIAL RIGHT TO COOPERATIVES.

• IMPLEMENTATION OF “BIG BROTHER, SMALL BROTHER” PROGRAM

AND COOPERATIVE INTEGRATION.

• ALLOCATION OF FUNDS FROM THE SVPCF TO THE OFFICE OF

TRANSPORTATION COOPERATIVES (OTC) FOR THE PROMOTION

AND ADVOCACY CAMPAIGNS ON THE USE OF CLEAN FUEL BY

THE TRANSPORT SECTOR.

• CONDUCT OF INFORMATION SEMINARS ON THE TC PROGRAM

TO LAND TRANSPORTATION SECTOR AGENCIES PERSONNEL.

• THE ALLOCATION OF SVPCF FUNDS IN THE ESTABLISHMENT OF

MOTOR VEHCILE INSPECTION SYSTEMS (MVIS) THAT WILL BE

SUPERVISED AND MANAGED BY TRANSPROTATION

COOPERATIVES.

• ALLOCATION OF FUNDS FOR THE IMPORTATION OF LPG

ENGINES, TIRES, BATTERIES AND SPARE PARTS THROUGH THE

FACILITIES OF PHILIPPINE INTERNATIONAL TRADING

CORPORATION (PITC). SUCH ACTIVITY WILL EVENTUALLY BE

MANAGED BY THE FEDERATION AFTER FUNDS PROVIDED BY

GOVERNMENT ARE FULLY RECOVERED.

• REVIEW OF THE PRESENT OPERATIONAL ARRANGEMENT OF

TRANSPORTATION COOPERATIVES (VEHICLE OWNERSHIP).

RECOMMENDATIONS

THANK YOU