[ LTO, April 26, 2004 ]

IMPLEMENTING RULES AND REGULATIONS ON THE ISSUANCE OF OPTIONAL MOTOR VEHICLE PLATES BEARING PREFERRED INSCRIPTIONS OTHERWISE KNOWN AS "VANITY LICENSE PLATE" PURSUANT TO PRESIDENTIAL MEMORANDUM ORDER NO. 65, SERIES OF 2002



SECTION I. Purpose - Pursuant to Presidential Memorandum Order No. 65 dated 20 June 2002 "Authorizing the Department of Transportation and Communications (DOTC), through the Land Transportation Office (LTO), to issue optional Motor Vehicle plates bearing preferred inscriptions", dated 20 June 2002, the following Implementing Rules and Regulations are hereby promulgated for the guidance and compliance in the execution of the "Vanity License Plates (VLP) Program".

SECTION II. Use of Vanity License Plates - Vehicle owners may avail of optional motor vehicle plates bearing preferred inscriptions for personalization and/or to establish a more prestigious identification of the motor vehicle to its Owner (or vice-versa) such as in the case of vintage and high-end luxury vehicles, as practiced in other countries primarily in the U.S., in Europe, as well as in Asia.

SECTION III. Definition of Terms

1.    Vanity License Plate (VLP) - or "Vanity License Plate (VLP)", refers to the optional MV Plates having preferred inscriptions for the purpose of establishing personalized identity of the motor vehicle to the registered owner.

2.    MV - refers to a motor vehicle as defined under RA 4136

3.    LTO License Plate (LLP) - refers to the regular MV license plates issued by LTO bearing the standard alphanumeric characters in accordance with BP 43 & 74.

4.    Commemorative License Plate (CLP) - refers to one piece of duly issued plate used in lieu of the regular license plates for commemorating historical events and valid for a limited period and installed at the front portion of the MV.

5.    Existing MV - refers to currently duly registered motor vehicle with LTO.

6.    New MV - refers to new motor vehicle, whether locally assembled or imported, which has not been previously registered with LTO.

7.    Motor Vehicle Plate Title - refers to the Vanity License Plate title of ownership, which shall be issued together with the VLP.

8.    VLP Validation Sticker (VLPS) - refers to the inside windshield security sticker, for proper motor vehicle identification.

9.    Computerized Issuance Verification System (CIVS) - is an on-line verification system via the Internet that contains all the listings of available and issued character combinations into a web-based electronic catalog, provided both for public information and internal LTO operations.

10.  VLP On-line Auction System (VOAS) - is an electronic internet-based system for conducting on-line public auctions only for "LIMITED EDITION" Vanity License plates, and in line with RA 8792, known as "The E-commerce Act", directing government agencies to deploy IT-based facilities in the conduct of their modernization programs.

SECTION IV. Coverage of Implementation

1.    The following classes of motor vehicles under the four (4) wheel category shall be eligible to avail of the program:

(a)   Existing motor vehicles

1.  Cars
2.  SUV
3.  Vintage & collectors
4.  AUV
5.  Sports Pick-up

(b) New Motor Vehicles

1.  Cars
2.  SUV
3.  AUV
4.  Sports Pick-up

2.    Availment shall be subject to the prerequisites and requirements provided herein.

SECTION V. Exclusions

1.    The following classifications of motor vehicle shall not be covered by the program:

(a)   Existing motor vehicles

1.  Public Utility Vehicles
2.  Cargo Trucks (Private/For Hire)
3.  Service Vehicles (Hotel Limousines, Tourist Vehicles, Car Rentals, Ambulance, Funeral Hearse)
4.  Government Vehicle
5.  Diplomatic/OEV

(b)   New motor vehicles

1.  Public Utility Vehicles
2.  Cargo Trucks (private/For Hire)
3.  Service Vehicles (Hotel Limousines, Tourist Vehicles, Car Rentals, Ambulance, Funeral Hearse)
4.  Government Vehicles
5.  Diplomatic/OEV
6.  More than four (4) wheel category

SECTION VI. Execution Strategy of Program

1. All motor vehicles falling under the given eligibility and qualification can be issued vanity license plates.

2. Motorists may apply for the vanity license plates in any of the authorized LTO district offices nationwide and at the LTO main office, East Avenue, Quezon City. Proper procedures shall be promulgated.

3. A single Vanity License Plate is issued and used in conjunction with the regular plate and is installed at the space allotted for the rear license plate of the motor vehicle.  The scheme for the implementation of the various categories is described under Section VII entitled "Implementation and Issuance Process" of this Implementing Rules and Regulations (IRR).

4. The Vanity License Plate shall be issued to the motor vehicle owner and shall belong to the owner with an effectivity period for life unless revoked by the implementing agency (i.e., LTO) due to violation(s) and non-compliance with existing mandatory MV registration laws and regulations.

5. The Vanity License Plate shall only be issued to the MV owner and assigned to a registered owner if his motor vehicle has been issued a regular LTO license plate.  It is prohibited to transfer the vanity license plate to other motor vehicle not authorized by LTO and shall be considered as illegal transfer subject to confiscation and payment of fines.

6. A vehicle owner may apply for transfer of his VLP to another vehicle which is likewise registered, subject to the rules and regulations on the transfer of VLP and the payment of the prescribed fees.  This shall be applicable in the event of sale or change in ownership of the owner's original motor vehicle.

7. A vehicle owner may decide for a replacement/duplication of his/her damaged/dilapidated or lost VLP with the same characters upon payment of a re-issuance fee.

8. Authorization of commemorative plates shall no longer be granted upon implementation of the vanity license plates program.  However, existing commemorative plates shall be allowed to mature its validity period with no further extension.

9. The alphanumeric combination schemes shall be subject for recommendation by the Special Study Committee on Vanity License Plates.  The LTO shall cause to prepare a catalog of alphanumeric combinations for use as aid in the ordering of vanity license plates.

10. All corresponding fees and pricing structure shall be subject to study and recommendation by the designated committee after proper public hearings.

11. A computerized Issuance Verification System (IVS) will be provided to serve as aid in expediting the application and processing of vanity license plates that can be accessed via the Internet.  This facility includes listings of all available and currently issued character combinations.

12. Upon issuance, the vanity license plate shall be used in conjunction with the existing LTO regular motor vehicle license plate.  The characters of the vanity and LTO license plates shall be used as reference in conducting official transactions wherever and whenever the registration and identity of the covered motor vehicle may be required.

SECTION VII. Implementation and Issuance Process

1. The program shall have three (3) categories or classes of vanity license plates which shall dictate the level of personalization according to the type of alphanumeric combination being applied for:

(a)  LIMITED EDITION
(b)  PREMIUM
(c)  SELECT

2. The following requirements are prerequisites for application:

(a)  Standard documentary requirements (OR/CR) for vehicle registration (based on current year registration)

(b)  Filled-up and completed "Vanity License Plates" Application Form

(c)  Corresponding/Accompanying fees

3. There shall be specific full-color graphic background available for each category, which shall be the basis of selection for the pricing structure.  Accompanying MV Plate Title of Ownership in the form of a certificate with security features shall be issued with the "Vanity License Plate" to serve as Title of Ownership.

4. A single piece of Vanity License Plate is issued and installed at the rear portion of the motor vehicle.  A pair of VLP Validation Stickers shall be issued to establish the linkage between the regular license plate and the vanity license plate, for security and regulatory purposes.  It is required that the VLP should be subject to renewal and payment of fees as prescribed by LTO to be paid at the time of the annual renewal registration of the motor vehicle.

5. The applicant and the issuing officer shall refer to the VLP Catalog as a guide for proper selection of available alphanumeric combinations under each VLP category.

6. Whenever on-line Internet access is available to an LTO agency, the use of the computerized IVS shall be preferred over the VLP Catalog to ensure that reference to listings of available and issued combinations are always based on current updates.

7. Of the pair of the plate year tags issued, one (1) piece shall be placed on the vanity license plate while the other piece shall be placed on the regular plate presently being used in conjunction with the Vanity License Plate on the motor vehicle.

8. Purchase of "LIMITED EDITION" vanity license plates shall be through public auction process, either manually or electronically. MV owners desiring to procure VLP under this category must select from predetermined character combination listed in the VLP catalog.  The guidelines under this category are as follows:

(a)    Pre-determined combinations that are listed under both the manual and electronic catalogs for publication.

(b)    All identical numeric or all identical alpha characters will be allowed and no combination of alpha numeric permitted.

(c)    Minimum of four (4) and maximum of six (6) characters length.

(d)    Examples:

(i)    AAAAAA (25-6 characters) (25-5 characters) (25-4 characters)

(ii)    999999 (10-6 characters) (10-5 characters) (10-4 characters)

(105) total        = 75 identical alpha characters

30 identical numeric characters

(e)    "Limited Edition" vanity license plate shall be installed at the space allotted for the rear license plate of the motor vehicle.

9. Purchase of "PREMIUM" category Vanity License Plates shall be based on a fixed-price scheme.  The guidelines under this category are as follows:

(a)   All alpha-numeric characters other than the pre-determined combinations published in the computerized IVS catalog, and Section VII-1b&c.

(b)   Six characters 3-numeric and 3-alpha

(c)   Alpha characters shall be A-Z or a total of 26 letters.

(d)   Numeric combination starts from 001 to 999.

(e)   "Premium Edition" vanity license plate shall be installed at the space allotted for the rear license plate of the motor vehicle.

10. Purchase of "SELECT" category Vanity License Plates shall be based on a fixed-price scheme.  The guidelines under this category are as follows:

(a)   Alphanumeric character combinations not in conflict with the regular plate series combinations, and provisions under Section VII-1 a&b, and Section VII-8.

(b)   Alpha numeric or alpha character combination such as name, slogan, initial and other combination not in conflict with Limited Edition and Premium categories.

(c)   Minimum of three (3) and maximum of six (6) characters.

Examples:
 
1. GMA04 4. GMA 2. JUST4U 5. GLORIA 3. DAD2B 6. RIZA

(d)   "Select Edition" vanity license plate shall be installed at the space allotted for the rear license plate of the motor vehicle.

SECTION VIII. Restrictions and Considerations

1. The following restrictions and considerations shall be observed in the application, issuance, and assignment of vanity license plates:

(a)   Alphanumeric combinations similar to regular MV license plates, three (3) alpha succeeded by three (3) numeric (i.e., AAA-999) cannot be applied for.

(b)   Nationally allocated protocol Plate Numbers which are restricted and reserved for the House of Representatives, Senate, and Government Offices of similar or higher stature warranting the need for proper recognition and identification cannot be applied for.

(c)   A minimum of four (4) to a maximum of six (6) alphanumeric or character combinations shall qualify, provided that there are no conflict with the restrictions under Sections VII-9a&b.

(d)   Only duly registered motor vehicles having regular license plates, covered under Section III, shall be entitled for application and issuance of vanity license plates.

(e)   Any given character combination (i.e., purely numeric, purely alpha, or alphanumeric) may only be issued once to establish its purpose of serving as a unique identifier to a particular motor vehicle.

2. Regulations shall be imposed on the content and/or meaning of character combinations forming into words, such that a character combination which is offensive to religion or referring to sexual orientation, disability status, political affiliation, or any similar and like manner shall be prohibited.

3. Issuance of more than one (1) vanity license plate shall not be allowed on a single motor vehicle.

4. As an added source of income for the government, the prescribed corresponding fees shall be collected for the following:

4.1 Annual renewal fee of the VLP shall be paid by the owner together with the annual renewal registration of the motor vehicle.     4.2

Transfer of the VLP from the original motor vehicle owner to a transferee.

    4.3

In case the original owner dies, a transfer to the beneficiary as indicated in the MVPT.


5. Any violation of any of the above restrictions shall be subject to corresponding penalties under the land transportation rules and regulations.

SECTION IX. Specifications

1.  The Vanity License Plates system shall have the following features:

(a)   Single piece of full-color graphic license plate with security markings
(b)   A pair of VLP Validation Stickers with security markings and capability for intelligent motor vehicle identification.
(c)   Motor Vehicle Plate Title as certificate or deed of ownership.

2.  The pair of VLP Validation Stickers shall bear the same alphanumeric combinations as the vanity license plate to establish a facility for visual matching and validation with the vanity license plate.  It shall also contain visual information on the Regular Plate Numbers including vehicle data to establish linkage with the duly issued regular license plates for the motor vehicle.

3.  Use of a special font for the plates adopted from the European Union shall differentiate the vanity license plates from the regular license plates.

4.  Size dimensions of the vanity license plates shall be identical to the LTO license plates bearing a new design and format, as maybe provided under Section VII.

5.  Facsimile scaled samples of reflective full-color graphic Vanity License Plates are provided as part of this IRR. (Refer to Annexes "A" & "B")*

SECTION X. Installation

1. The mode of installation for the vanity license plates and VLP Validation Sticker shall be as follows:

(a)   The Vanity License Plate shall be installed at the space allotted for the rear license plate of the motor vehicle.

(b)   One piece of the pair of VLP Validation Stickers containing the same characters as vanity license plate shall be mounted at the upper center in the inside windshield of the vehicle adjacently opposite to the rear view mirror and the other piece shall be installed at the upper right hand corner of the inside rear windshield of the motor vehicle to avoid any visual obstruction that may result to driving hazards.  Once the VLP Sticker adheres and sets, it becomes permanent and becomes non-transferable as it is set to securely destruct if tampering is attempted.

2. A guideline for the prescribed installation instructions shall be packaged with the Vanity License Plate.

SECTION XI. Public Information Dissemination Program - This program shall be accompanied with the necessary programs and dissemination guidelines to raise public awareness especially for the general public and vehicle owners to ensure the successful implementation of the program.

Sample layout of different categories*

SECTION XII. Penal Provisions

1. The following violations involving the illegal/improper use of the Vanity License Plate and/or VLP Validation Sticker shall be subject to the fines and penalties provided for under Department Order No. 93-693 Series of 1992

(a)   Unauthorized transfer
(b)   Tampering
(c)   Improper installation
(d)   Illegal application

2. The use of bogus or fake vanity license plates and VLP validation stickers shall be subject to laws against falsification of public documents as well as related LTO laws and guidelines.

SECTION XIII. Collection and Disbursement of Funds

1. The sale or reservation of vanity license plate shall be done at any authorized LTO district offices nationwide, regional offices and at the LTO main office or through the LTO web page www.lto.gov.ph.  The price of the vanity license plates is based on the preferred category.

2. The "LIMITED EDITION" category can be acquired through public auction and has a floor price of Fifty Thousand Pesos (Php 50,000.00).  This category consists of four (4) to six (6) characters.  All identical numeric or all identical alpha characters will be allowed and no combination of alpha numeric permitted.  There are only 105 pieces vanity license plates available for this category.  Reference to the catalog or to the website of the LTO.  The floor price shall include the handling cost by a designated LTO courier.

3. The "PREMIUM EDITION" category consists of six (6) characters 3-numeric and 3-alpha. Alpha characters shall be A-Z or a total of 26 letters and numeric starts from 001 to 999.  A combination of numeric-alpha has a price of Fifteen Thousand Pesos (Php 15,000.00) which includes the handling cost by a designated LTO courier.

4. The "SELECT EDITION" category consists of alpha numeric or alpha character combination such as name, slogan, initial and other combination not in conflict with Limited Edition and Premium categories and minimum of three (3) characters or a maximum of six (6) of numeric-alpha can be purchased at Ten Thousand Pesos (Php 10,000.00) inclusive of the handling cost by a designated LTO courier.

5. The LTO, through the DOTC, shall submit annual reports of income and expenditures to the Department of Finance (DOF) and Department of Budget and Management (DBM) in connection with the issuance of the Vanity License Plate (VLP).  All collections from the proceeds of the LTO Vanity License Plates shall be treated as a "Revolving Fund" and shall be deposited intact with any authorized Government Depository Bank (AGDB).

6. The revolving fund shall be utilized exclusively to defray payment for all costs incurred in issuing and processing the optional motor vehicle plates bearing preferred inscriptions, i.e. administrative and operating expenses as well as for the fulfillment of obligations as stipulated and prescribed under the contract, and other incidental expenses related thereto.

7. All other existing and applicable accounting and auditing procedures, rules and regulations in the proper handling / operation of revolving fund shall be followed.

8. All proceeds received by LTO in excess of the cost incurred in issuing and processing the optional motor vehicle plates bearing preferred inscription, including interest earned thereon, shall be deposited with the National Treasury and shall accrue to the general fund in accordance with the New Government Accounting System (NGAS).

SECTION XIV. Implementation of PMO No. 65

In the implementation of Presidential Memorandum Order No. 65 dated 20 June 2002, the LTO as represented by its Assistant Secretary is hereby authorized to devise a system and issue the necessary guidelines to carry out the provisions of this Implementing Rules and Regulations including but not limited to the conduct of public bidding for the supply and production of the Vanity License Plates and to approve the award thereof.

SECTION XV. Effectivity

This IRR shall take effect after fifteen (15) days following its publication in at least two newspapers of general circulation and filing with the University of the Philippines Law Center.

Adopted: 26 April 2004


(SGD.) ANNELI R. LONTOC
Assistant Secretary
Land Transportation Office (LTO)

APPROVED:

(SGD.) LEANDRO R. MENDOZA
Secretary
Department of Transportation & Communications (DOTC)

(SGD.) JUANITA D. AMATONG
Secretary
Department of Finance (DOF)

(SGD.) EMILIA T. BONCODIN
Secretary
Department of Budget & Management (DBM)



* Not filed with ONAR.

* See Appendix 1.