With the objective of providing better transport facilities for our tourists, thereby boosting the country's tourism industry, this Board, in coordination with the Department of Tourism, issued Memorandum Circular (MC) No. 2003-001 reclassifying Tourist Transport Services.

Pursuant to said MC, the Board had granted Certificates of Public Convenience (CPCs), however, upon careful study, the Board sees it fit to further reclassify Tourist Transport Services to expedite identification, supervision, and regulation.

After a circumspect review of the policies and in the interest of public service and convenience, the Board hereby amends MC No. 2003-001.  Thus, all holders of a CPCs to operate a Tourist Service are hereby ordered to file a Petition for Conversion of their existing CPCs within ninety (90) days from the effectivity date of this Circular to conform with the following reclassification:

1. Tourist Coupon Transport Service

Tourist Coupon Transport Service shall refer to four-door sedan vehicles, vans (such as Mitsubishi L-300, Nissan Urvan, Toyota Hi-Ace, Hyundai Starex, Kia Besta, Kia Pregio, MB 100 or their equivalent), and Asian Utility Vehicles (AUV) plying the international and/or domestic airports, seaports, and hotels. Backseats of AUVs with liftbacks shall be removed.  They shall have body markings and no top light shall be installed.

Upon contracting the services of the Tourist Coupon Transport Service, passengers must be given an Official Receipt/coupon containing the following information:

a) Name of Operator/Business Name
b) Address of Operator
c) Name of Passenger
d) Date Hired
e) Point of Origin and Destination
f) Number of Passengers
g) Number of Luggages
h) Name of Driver
i) Plate Number
j) Amount Paid

The passenger shall sign the Original Receipt or coupon upon reaching his/her destination to confirm the aforesaid information.

2. Tourist Chartered Transport Service

Tourist Chartered Transport Service shall refer to coasters, vans (such as, but not limited to, Mitsubishi L-300, Nissan Urvan, Toyota Hi-Ace, Hyundai Starex, Kia Besta, Kia Pregio, MB 100 or their equivalent), air-conditioned jeepneys (with at least 12 passengers), mini-buses and buses. Services must be covered by a Contract of Service. Vehicles must have body markings (trade name, plate number and LTFRB case number).

3. Tourist Rent-a-Car Transport Service

Tourist Rent-a-Car Transport Service refers to luxury vehicles, pick-up, limousines, Sports Utility Vehicles (SUV) and vans with plush carpeting, luxurious upholstery, Audio/Video amenities and with engine displacement of not less than 2000 cc and has a wheel base of a minimum of 2670 mm.  These vehicles must have no body markings.

In the event that the moratorium is lifted, all new franchise applications must be endorsed by the Department of Tourism (DOT) and shall seek its accreditation after the grant of the CPC by the Board.  Yearly DOT accreditation must be secured before the authorized units are confirmed by the Board for registration purposes with Land Transportation Office (LTO).

Moreover, an endorsement from the DOT shall also be a requirement for the acceptance of a Petition for Conversion. Existing operators may also amend their base of operation.  Failure to file a Petition for Conversion within the period stated above shall be a cause for the cancellation of the franchise and the units therein shall no longer be confirmed by the Board.

All tourist transport service drivers must go through the free driver seminar under the "Para sa Super Tsuper" program of DOTC and must display Identification Cards in their vehicles, especially when carrying passengers.

The fare rates and charges of the above tourist transport services shall be regulated by the Board and shall not be increased or decreased without the prior approval of the Board.  Grantees of the above services are not allowed to pick-up passengers on its return trip.

Likewise, LTFRB shall allow duly accredited hotels to use a maximum of two (2) units (Sedans, Vans or Coasters) without Franchise/CPC solely dedicated for in-house shuttle service of hotel guests and customers, provided that its use is free of charge and provided further, that hotel name/identification markings/logos are printed on both sides of vehicle body.  In excess of said number of units shall be subject to regular LTFRB Tourist Transport Franchising process.

The age requirement for all units for the above transport services is five (5) years from date of manufacture, except for limousines, coasters and buses which is ten (10) years.  A brand-new unit, for this purpose, means a unit manufactured in the current year or the preceding year when the Application is filed.

All units authorized to operate the above Services shall secure new specialized plates issued by the LTO.  Failure to secure said specialized plates within three (3) months from the issuance of the LTFRB favorable Decision shall be a ground for the cancellation of CPCs.

Lastly, all operators are required to paint on both sides of their units the type of tourist service they are operating, except for "Tourist Rent-a-Car Transport Service."

This Memorandum Circular modifies and/or supersedes any and all issuances inconsistent herewith.

This Circular shall take effect fifteen (15) days following the filing of three (3) copies hereof with the UP Law Center, pursuant to Presidential Memorandum Circular No. 11, dated 09 October 1992.

SO ORDERED.

Adopted: 26 May 2004